Flow Chart of L/C Opening in Garments Merchandising
Letter
of Credit (L/C):
L/C means Letter of Credit. It is the familiar word in apparel
industry. L/C set up is the work of merchandising section in garment factory. A
merchandiser should have clear concept on letter of credit. Letter of Credit
(L/C) also known as Documentary Credit is a widely used term to make payment
secure in domestic and international trade. So, L/C is very important in apparel merchandising. Novicegarment merchandiser don’t know how to L/C open. Now, I am giving a flowchart of
L/C opening.
Flow Chart of L/C Opening in Garments Merchandising
Requirement of material with specification
↓
To inform about requirement to the head of the management
↓
Management will search for the requirement
↓
Various company response with those specification
↓
The management will select some offers
↓
Then discussion will held among two management
↓
Management will sign the agreement with the selected company or agencies
↓
Then negotiation will take place among management and agencies
↓
Submission of the final PI
↓
Bank will open L/C
