PAYMENT OPTIONS
Except for the lower amounts we offer a flexible payment system. Payments are always the source of contradictive rules: paying first or supplying first. Apart from expensive L/C's, bonds, or guarantees which only benefit the banks, a sound, and safe payment system is merely based on trust and integrity. We have set up a system where the client is free to choose which payment system will suit him best.
For orders less than USD. 7,000 the payment is 90% in advance and 10% before shipment
For variation orders, prompt payment is required.
For orders over USD. 7,000 we offer four options (see below).
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Financing
Payment choices
Price escalations
Conversion rates
Invoice terms and conditions
Bank transfers
Payments by credit card
Progress payments and how it works
Cancellation of the order
Storage fees
Design only orders
PREFABWORLD BALI INTERNATIONAL is unable to offer financing options, the reason being that our company is based in Indonesia. Insofar as not any bank outside Indonesia (a foreign bank) has the facilities to issue overseas financing (bond, LC). PREFABWORLD BALI INTERNATIONAL clients can therefore only apply for private financing options, if so required.
We have introduced 4 payment options, as follows;
Option A
D/P 10%
1st installment: 15% against a pre-assembly progress of 20% (milestone 1)
2nd installment: 40% against a pre-assembly progress of 40% (milestone 2)
3rd installment: 20% against a pre-assembly progress of 75% (milestone 3)
4th installment: 15% at completion and before shipment (milestone 4)
Material and labor price escalations, if any, apply to this option.
Option B
D/P 15%
1st installment: 20%, against a pre-assembly progress of 25% (milestone 1)
2nd installment: 40%, against a pre-assembly progress of 45% (milestone 2)
3rd installment: 15%, against a pre-assembly progress of 80% (milestone 3)
4th installment: 10% at completion and before shipment (milestone 4)
Material and labor price escalations, if any, apply, for this option.
Option C
D/P 30%
1st installment: 30%, against a pre-assembly progress of 35% (milestone 1)
2nd installment: 25%, against a pre-assembly progress of 55% (milestone 2)
3rd installment: 10%, against a pre-assembly progress of 85% (milestone 3)
4th installment: 5% at completion and before shipment
Material and labor price escalations, if any, apply to this option.
Option D (most chosen)
D/P 70%
1st installment: 10%, against a pre-assembly progress of 45% (milestone 1)
2nd installment: 10%, against a pre-assembly progress of 75% (milestone 2)
3rd installment: 5% against a pre-assembly progress of 90% (milestone 3)
4th installment: 5% at completion and before shipment (milestone 4)
No material and/or labor price escalations with this option.
Price escalations apply for options A, B, and C if raw materials have increased in price since the start of the project. Adjustments will be made to the invoices accordingly over the costs for the remaining materials needed to complete one or more milestones.
Our projects are priced based on the USD. If payments will be made in Euro or any other currency the payment for the installments will be adjusted against the conversion rate between USD and that currency (up or down) at the moment that the invoice is issued. If the rate at the moment of payment is higher or lower than the Indonesian Rupiah as was agreed at the moment of signing the order, payments in the foreign currency will be adjusted to the lower or higher conversion rate.
INVOICES TERMS, AND CONDITIONS
Pro Forma invoices will be sent by e-mail. 1% local bank charges will be added to each invoice. Nett. payments to be made by telegraphic transfer.
Payments for installments need to be received no later than 7 calendar days after the client has received the Pro Forma invoice. Late payments will be charged with 2% per month from the invoice amount. PREFABWORLD BALI INTERNATIONAL reserves the right to halt or suspend the works if payments are delayed until the funds have been credited to our account.
PREFABWORLD BALI INTERNATIONAL reserves the right to increase the prices with the costs for unexpected charges and/or fees imposed by the Government of Indonesia related to new or revised export regulations for the goods.
The goods will be released for shipment as soon as the full payment for the final installment inclusive of any outstanding payment(s) has been received.
We are at the receiving end of the payments made by the client. International bank regulations state that payment shall not be in transfer longer than 3 working days. However, not all banks comply with this regulation and keep the money longer in deposit than regulated. To allow us to trace the routing of the money which is kept in the bank deposit we advise that the client asks for a copy of the MT103 transfer slip and e-mail this to us. Banks will be more careful with upholding a payment when we have a copy of this slip.
PAYMENTS BY CREDIT CARD 
Payment by credit card is not an option unless the client accepts the high fees imposed by the payment providers. These payment providers charge 9% for international commercial payments to Indonesia.
PROGRESS PAYMENTS AND HOW IT WORKS
Each project with a value over USD. 50,000 will be fabricated following a pre-determined time and material schedule, shaped in a graphic called the S-curve. At 2, 3, or 4 pre-determined intervals a cut-off date will be set, linked to a milestone (such milestone normally falls at the cut-off date). When a milestone is reached a payment installment needs to be effected. Proof and evidence of a milestone will be furnished by pictures.
S-curves are an important project management tool. They allow the progress of a project to be tracked visually over time and form a historical record of what has happened to date. Analyses of S-curves allow project managers to quickly identify project growth, slippage, and potential problems that could adversely impact the project if no remedial action is taken.
Typical S-curve
An S-curve also provides the client with a clear indication of the progress and whether or not slippage (*) may occur.
(*) Delay days due to bad weather, local ceremonies, national holidays, Acts of God, and/or force majeur. Any of such events will be notified to the client.
We will soon install an internet CCTV system allowing the client - wherever in the world - to verify the progress based on the actual CCTV picture
A. CANCELLATION BEFORE ANY PAYMENT IS MADE
If a client cancels an order before any payment is made, the company is not entitled to demand payment, except for services already provided and any work that must be completed despite the cancellation, however, the company may demand payment because of loss or damage sustained due to cancellation. The company shall prove his or her loss or damage unless the parties have agreed that damages shall be paid in the event of cancellation, in which case there is an obligation to limit the loss or damage.
Compensation must be determined by taking into account, among other things, the total price of the service and the client's payment obligation, however, can never be greater than the total price of the negotiated project.
A grace period of 2 months will be in effect after the due date of payment of the issuing of the first invoice. After this period the Client shall pay for the loss and damages incurred to the company.
B. CANCELLATION AFTER A PAYMENT IS MADE
All materials purchased by us from the payments made for payment options A and B will revert to our company upon cancellation of the order. No refunds will be effected. All materials purchased by us from the payments made for payment options C and D will revert to the Client, including the retention money or the money kept in deposit, provided the design works have not yet commenced. Shipment costs for the returning materials shall be borne by the client. At cancellation of the order, any price escalation for payment options C and D will be reset to the system for options A and B and will be charged. In case of cancellation during the process of the preparation of the design, such cancellation shall be considered as the fee for the company for such canceled order and shall be deemed to be fully earned and non-refundable. The drawings and/or documents so far completed at the moment of cancellation will be submitted to the Client.
If a client wishes to delay his project and/or would like to have his unit stored for a certain period in our yard, we will charge an amount of USD 2.50 per day per m3 of wood to be stored. A discount of 5% will be granted if a booking fee of USD. 750 will be paid, which will guarantee storage space. The fee is valid for 3 months whereupon a new fee of USD. 750 is required. The booking or storage fee includes the cost of packing and handling and insurance against theft and/or damages.
For orders equal to or less than USD. 5,000:
Full payment of the design fee before the start of the design services.
For orders greater than USD. 5,000 but less than USD 10,000:
50% D/P
30% after 70% completion of the design works and before the submittal of the draft engineering report + draft structural drawings.
20% after 100% completion of the design works and before the submittal of the final engineering report + structural drawings.
For orders greater than USD. 10,000
50% D/P
40% after 70% completion of the design works and before the submittal of the draft engineering report + draft structural drawings.
10% after 100% completion of the design works and before the submittal of the final engineering report + structural drawings.