When you buy supplies on account instead of paying cash there and then, your suppliers are your creditors until you pay them. Enter in your cash flow forecast the payments that you will make to your creditors (including VAT) in the months in which you will pay them.
You will be making purchases from specialist suppliers, such as homeopathic pharmacies. The items that you buy will include:
- homeopathic essences, remedies, tablets, creams and so on
- screw cap, glass and dropper bottles
- sundries such as latex gloves, labels, envelopes and so on
- storage systems
Setting up an account
For convenience it is best to set up accounts with your main suppliers, if they are prepared to offer you credit facilities. To do this you may be asked to provide bank and trade references. Until the account facility has been granted you will have to pay for your order at the time you place it. This is known as paying on a pro forma basis.
Once your account has been set up you will be invoiced at regular intervals and expected to pay within a certain number of days of receiving the invoice.
Suppliers of homeopathic products
The Homeopathic Medical Association and the Alliance of Registered Homeopaths websites contain details of homeopathic pharmacies that supply products to the homeopathy profession.