What is import bill advance in SAP FIN-FSCM-TRM - Treasury and Risk Management?

SAP Term: import bill advance

• Component: FIN-FSCM-TRM

• Component Name: Treasury and Risk Management

• Description: Short-term finance offered by a bank to an applicant buyer at the applicant’s request upon receiving the bills under a letter of credit.

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• Key Concepts: 
  Import Bill Advance is a feature of SAP Treasury and Risk Management (FIN-FSCM-TRM) that allows companies to receive an advance payment for goods or services they are importing. This payment is made by the importer’s bank to the exporter’s bank, and is usually based on a letter of credit. The advance payment is then used to cover the cost of the goods or services being imported. 
  
  How to use it: 
  To use Import Bill Advance, the importer must first create a letter of credit with their bank. This letter of credit will specify the terms of the advance payment, such as the amount, currency, and date of payment. Once this is done, the importer can then use SAP Treasury and Risk Management to create an import bill advance request. This request will include details such as the amount of the advance payment, the currency, and the date of payment. The request will then be sent to the exporter’s bank for approval. Once approved, the advance payment will be made to the exporter’s bank and used to cover the cost of the goods or services being imported. 
  
  Tips & Tricks: 
  When creating an import bill advance request in SAP Treasury and Risk Management, it is important to ensure that all details are accurate and up-to-date. This includes details such as the amount of the advance payment, currency, and date of payment. It is also important to ensure that all documents related to the transaction are in order before submitting the request. 
  
  Related Information: 
  For more information on Import Bill Advance in SAP Treasury and Risk Management, please refer to SAP Help Portal (https://help.sap.com/viewer/product/FIN_FSCM_TRM/).