Financing and payment terms for imported machinery
Buying a machine overseas is a capital decision, and how you pay affects your cash flow and your risk. This section covers the payment and financing options KECMT export buyers use, what each protects, and where the traps are.
Buying a press brake or a laser from overseas is a capital decision, and the way you pay affects both your cash flow and your risk. This section collects the payment and financing options KECMT's export buyers actually use, what each one costs and protects, and where the traps are. None of it replaces advice from your own bank or accountant, but it should help you walk into that conversation knowing the levers.
Export payment terms
T/T, letters of credit, and escrow-style arrangements — what each protects, and how to keep your deposit safe.
Lease vs buy
When financing a machine beats owning it outright, and what leasing does to your cash flow and your balance sheet.
US Section 179
The US tax deduction for equipment, how it applies to imported machinery, and the limits to watch.
Payment security and total cost of ownership are the two questions behind every export machine purchase. The price guide and theimporting guide cover the landed cost side; this section covers how the money moves.
Questions we get asked
What is the safest way to pay a machine supplier overseas?
The safest common structure is a telegraphic transfer with a modest deposit (often around 30 percent) and the balance against a clean pre-shipment inspection or a letter of credit at sight. An escrow or platform trade-assurance option adds a neutral party that only releases funds when conditions are met.
Does KECMT accept letters of credit?
Yes, KECMT works with both telegraphic transfer and letters of credit, including at sight and usance (deferred) forms. The exact terms are agreed per order and written into the proforma invoice and contract.
Can I finance the machine rather than pay outright?
Financing options depend on your local market. Many buyers use equipment leasing or a bank loan secured on the machine, and US buyers may be able to use Section 179 to deduct the cost. Discuss the structure with your bank; KECMT can issue the commercial invoice and shipping documents the financier needs.
Tell us how you plan to pay
We work with T/T, letters of credit and escrow-style arrangements, and we issue the commercial and shipping documents your financier needs. Tell us your preferred structure.