Net-30 Payment Terms Policy

Purpose

This policy establishes the guidelines for extending net-30 payment terms to customers. Net-30 terms refer to invoices due 30 days after the invoice date. The purpose of this policy is to provide a consistent approach to managing accounts receivable and cash flow.

Eligibility

Net-30 payment terms may be offered to customers who meet the following criteria:

• Complete application: Client must provide a 9-digit Dun & Bradstreet Number (DUNS) and credit references.
• Established business relationship: The client has an existing business of at least a year and has demonstrated a history of on-time payments.
• Order volume: The client's average order volume must be at least $50k annually over the last 3 years to justify the extended payment terms.
• Credit evaluation: Nuage may perform a credit evaluation to assess creditworthiness and financial stability before net terms approval.

Approval Process

All requests for net-30 payment terms must be reviewed and approved by the Accounting Department. The approval process will consider the following factors:

• Customer credit profile
• Payment history
• Order volume and revenue potential

The approved net-30 payment terms will be clearly communicated to the customer in writing, including the due date and any applicable late fees or penalties.

Payments

The payment invoice for each Order will be issued on the Order Ship Date, and payment is due via ACH transfer within thirty (30) days after the payment invoice date.

Account Suspension

Failure to resolve past due balances aged ninety (90) days or more will result in an immediate freeze of your account. Future orders will not be released for shipment until all past-due balances are paid in full. If your account is frozen more than two (2) times in one calendar year, you will be disqualified from the Net Terms Program and must submit payment for Orders in advance of shipment for at least six (6) months before being eligible to reapply for the Net Terms Program.