Why Chinese makeup brush factory not accept L/C payment

Many customers are really puzzled about why most Chinese makeup brush manufacturers refuse the L/C payment terms. Per their understanding, L/C at sight is benefit for both the suppliers and the customers.

The reason is: almost makeup brush factories in China are not so big. As the makeup brush is a manual work, no need of high-technology or advanced equipment or strict management, therefore, most of the factories are small workshops, most of the staffs are workers, only a few staffs to control the production, marketing and quality. They have not too much energy to control the payment risks. So they usually accept payment via wire transfer which is very simple and quick.

While the L/C payment even L/C at sight, it contains a certain risk, and the main reason is the handle of L/C is too complex for most Chinese makeup brush manufacturers. It requires professional staff to examine all L/C documents terms by terms, and once a term does not match, the factory may not be able to get the payment. Also the fee of L/C is too high, which relatively decrease the margin of the factory. If handle L/C via the import and export companies, the cost will be higher.

We know that the customers have their own regulations on payment terms, while it is the situation that most Chinese makeup brush factories will not accept L/C payment terms, so if you would like to get factory direct price, the L/C payment may not feasible. Then many customers go to the traders to buy makeup brushes with much higher price.

We really hope the customers and Chinese manufacturers can find a way to solve such problem and gain two-win.