On the face of it, paying for goods or materials before they’re required doesn’t make much sense.
In a nutshell:
- Vesting transfers ownership of goods to the client upon payment
- Goods are stored and insured by the manufacturer until they’re required
- Vesting can secure items in high demand, prevent delays to the programme or protect the client from price increases
- Clients make a ‘vesting visit’ to inspect the goods
- A vesting certificate completes the formal transfer
However, so-called ‘vesting’ can be a very good option when items are in high demand (or lead times are long) to secure an order or prevent delays to the programme – or to protect the client from price increases.
In short, a certificate of vesting is issued by the supplier or manufacturer to certify that ownership of the goods will transfer to the client upon payment.
The goods are then properly identified, stored and insured by the manufacturer until they’re required.
Often the formal signing of a certificate is preceded by a ‘vesting visit’, when the client will inspect the goods, review the storage arrangements, and get the peace of mind that their components will be available when required.
Organise a vesting visit
Maple clients can view their order at any time. Just speak to your Maple contact.
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