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Cash in Advance

   Also found in: Acronyms 0.06 sec.
Cash in Advance
A payment term meaning the buyer pays the seller before shipment is effected.


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During the years at issue, Westpac entered into agreements with vendors, such as GTE Sylvania, America Greetings and McCormick, to buy inventory and receive cash in advance.
Monthly forecasts help prevent sudden discoveries of looming shortfalls, allowing entrepreneurs to secure a loan, pursue new business, or convert outstanding receivables to cash in advance.
In the past, cash in advance and letters of credit were customary for doing business with companies in other countries, but increasingly, cash in advance and letters of credit are no longer competitive terms in the international marketplace.
 
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