Definitions for "trade credit"
A companys open account arrangements with its vendors.
Credit advanced to a business owner by suppliers and other vendors. They provide services or inventory in advance, and then wait for the business owner to pay them in 30, 60 or 90 days after delivery. Businesses use trade credit to maintain cash flow as they collect on invoices from clients and customers, and then pay their own bills. [go back to glossary list
Credit a supplier gives to customers by allowing them a certain period in which to pay. An important aspect in managing your company's cash flow.
Keywords:  debt, date
Trade date Trade debt
Keywords:  accounting, record, unit, value
an accounting unit used to record the value of a Trade