Exportation of ropeway products from a Chinese engineering company

Case title: Exportation of ropeway products from a Chinese engineering company

Client name: Beijing Goodyou Ropeway Engineering Co., Ltd. (Abbr: Goodyou)

Client introduction: Beijing Goodyou Ropeway Engineering Co., Ltd.,   providing professional services including manufacturing, planning, feasibility studies, engineering estimates, and some related consulting work concerning the ropeway in the tourist area and Ski Resort. The company has developed a series of ropeway equipment possessing stable performance, advanced technology, exact design, and excellent service, exporting technology and equipment to Japan, India and Saudi Arabia, receiving good remarks from customers and enjoyed a good reputation in the ropeway industry field.

Case type:  Exportation- financing

Our role: Comprehensive agency for Goodyou

Buyers: Buyers of Goodyou products all over the world

Our service’s:

• Legal support:

Legal support over technical, procurement, construction and labour contracts along each project. In terms of procurement contracts, E-Heng is responsible to assist with our clients to determine the best solution on defining the payment terms, incoterms, and the liability for breach of contract terms, minimizing the risks and avoiding extra indemnification that are not caused by the sellers. In terms of labour contracts, it’s very essential to assure the life and property security of each staff during their assignment, not only the compensation for construction staff.

• Business communication support:

Including: assistance with the settlement of contract, assistance with the development of the delivery schedule, and the arrangement of L/C according to the delivery schedule.

• Risk controlling over payment receiving:

Concerning all the projects that Goodyou is handling, the on-site installation and debugging of a professional construction group is a must, and the whole procedure takes around 3 months, therefore E-Heng has suggested 90 days L/C as the method of payment. Before the opening of the L/C, E-Heng will confirm with the clients and provide the necessary information about issuing bank to make sure their credit is standing. Before the issue of the L/C, buyers will have to fulfil a L/C for E-Heng to check and make sure there’s no discrepancy. Upon the issue of the L/C, E-Heng will apply for the discount of the L/C and apply for favourable rates for the clients, and receiving the payment as soon as possible.

• Financial support (financing).

Even if the L/C will save Goodyou a large amount of money and time, the payment will not be received until the delivery of the products and confirmation of L/C from the bank. To secure the operation of each project and to avoid being influenced by the pre-procurement, E-Heng provided financial funds of 3 million RMB to secure the operation of the project.

• To ensure the custom procedure of equipment, spare parts, supplies and other disposal material passes quickly and smoothly.

Throughout the whole project, countless items are supposed to be exported such as steel materials, motor, rope, wood, cable, paint and all kinds of electric tools and consumables. Any trouble caused during the customs clearance might affect the exportation of goods, therefore, E-Heng assisted Goodyou in organizing the comprehensive product list in the view of the blueprint provided by Goodyou and applied to Chinese customs for a pre-classification result, in which the clearance procedure accelerated undoubtedly. Meanwhile the packing list provided by E-Heng helped customs identify any missing items or extra items very quickly, avoiding unnecessary mistakes caused by a rushed delivery.