Cash With Order (CWO) Definition

What is Cash With Order (CWO)?

A Cash With Order (CWO) is a payment term used in the business and shipping industries where the purchaser must pay the full amount for goods at the time the purchase order is placed. The seller receives payment upfront, thereby reducing the risk of non-payment after the goods or services have been delivered. This method is most commonly used in transactions involving higher risk or with new clients whose creditworthiness is not established. CWO can provide businesses with necessary capital immediately while ensuring they are not left out of pocket.

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