As an astronomy equipment reseller, I can understand why
I sell telescopes, when an institution comes to buy, they don't pay cash upfront like your regular client. They ask to pay on credit terms because it's easier for them than handling a bunch of small invoices. They most probably want to accumulate several orders and pay you at once. This payment could take up-to 45 days from date of submitting the invoice. Then there are the bad players who delay payments, you could be chasing your money for 9 months. So yeah, I do charge a high premium for non cash customers. It costs you as a business 12% for every one month late payment. This is in the form of lost business opportunity and bank interest. So before you go about bashing resellers for high prices, look at your payment policy
Biting the hand that feeds IT
