This section outlines financial and other benefits that Unimer provides suppliers and members. It also provides further information on:

• Financial Benefits
• Delivering Benefits
• Credit References
• Suspended or Closed Accounts
• Payments to Suppliers
• Payments by Members
• Bonus Benefits to Members
• Non-payment of Invoices

Financial Benefits

Unimer, as a catalyst, provides suppliers with significant financial and marketing benefits which enhance cash flow, reduce credit risk, minimise administration and costs, and on enquiry, confirmation of an instant account facility.

Delivering Benefits

From this simple illustration of our service, it will be obvious that Unimer carries out a great deal of accounting and credit control work, relieving suppliers of considerable effort, whilst providing comfort regarding credit worthiness. Suppliers send invoices to a point and similarly receive full payment from a single source. Therefore, suppliers enjoy the immediate benefit of reducing the number of individual accounts in their ledger to one in the name of United Merchants plc.

Credit References

When a trading arrangement is finalised with a supplier, members can be invoiced in duplicate via the Unimer account without the necessity of the supplier obtaining external credit/trade references, as would be the case with a non-Unimer merchant. Unimer does operate credit parameters on its membership. Therefore suppliers should refer requests for transferring existing direct accounts or new business to Unimer for clearance prior to implementing, unless originated by ourselves in writing. Failure to do so can result in Unimer refusing to accept liability for an invoice.

Suspended or Closed Accounts

On rare occasions over the years we have unfortunately found it necessary to suspend or close a member's account. When such action is taken, initially those suppliers trading through Unimer with the member concerned are immediately contacted by telephone and confirmation forwarded by fax and from that moment onwards Unimer will not accept invoices on behalf of that member unless it is proved to our satisfaction that an invoice was in transit and is received within 24 hours of notification. All suppliers are advised by letter on total closure of a members account.

Please note it is irrelevant when the goods were delivered. Unimer will only be held responsible for invoices in its possession and received within the 24 hour limit; so long as it be proved that the invoice is in every respect in agreement with the delivery prior to the closure.

Unimer is responsible for payment to suppliers for all invoices rendered to Unimer which relate to goods supplied to members, including those received within 24 hours as stated above following a members account suspension or closure. We cannot be held responsible if invoices have not been received, or accepted for processing in Rustington. Nor can we be held responsible in the event of a closed account if the supplier has not made any effort within the 24 hours to warn us of any impending charge. When a member's account is closed, the closure incorporates all branches of that member automatically unless otherwise stated.

It is therefore essential that suppliers' sales/invoicing departments have the Unimer membership information (as published in the Buyers Guide both by County and alphabetical sequence) and can recall supplies ordered but not actually delivered.

If at any time a supplier offers extended credit terms to any of our members the supplier should be aware that if, for any reason, the member ceases to trade with United Merchants before the end of the month in which the extended date for payment of the invoice falls, then United Merchants will not be responsible for the settlement of that invoice.

Payments to Suppliers

Suppliers post all invoices and credit notes in duplicate to Unimer, which in turn, having input all the relevant details onto our system, are then immediately dispatched by us to the member. Payment is made either by cheque or the BACS system. We pride ourselves on always dispatching payments on time. We pay Unimer suppliers on the agreed settlement date for all invoices which have been received by us up to and including the third working day of the month following date of invoice. Suppliers should ensure that invoices are forwarded promptly to avoid the possibility of re-dating due to late receipt. Each December, Unimer's suppliers are advised by circular of the cut off dates that will apply for the ensuing year. Payment of invoices does not prejudice our member's or Unimer's right to query the subject matter of any invoice or credit note at a later date.

Punctual settlement by Unimer of suppliers' accounts and by members of Unimer's accounts is essential to the provision of the facilities we offer. This is why no period of grace will be allowed. Members are required to include in the month-end payments all invoices detailed on our monthly statement, less any invoices already paid to Unimer by way of early settlement.

In the event of a member having a dispute with a supplier, the member must promptly notify Unimer by forwarding a copy of the correspondence, as in the majority of instances Unimer may well expedite a solution more quickly than the member.

Payments by Members

Payment from members is due in Rustington not later than the last commercial banking day of the month following the month in which the invoice matter of any invoice or credit note at a later date was issued. It is recommended that members endorse all records - manual and computerised- relating to each Unimer supplier 'Pay to Unimer for preferential settlement discount'.

Unimer offers early settlement terms in respect of certain suppliers. Should a member wish to take advantage of these, a separate cheque should be sent to Unimer, together with a remittance advice stating;

• Name of supplier
• Invoice number
• The total value of an invoice
• Total value of discount claimed

‘Bonus' benefits to Members

Profits earned by Unimer are, after the provision of suitable reserves, returned to members in the form of:

1. Preferential monthly and early settlement discounts (all members are provided with a schedule of Preferential Settlement Discounts).
2. Special off invoice discounts.
3. Quantity discount schemes.
4. Annual Bonus.

 The trading year ends on 30 April and the Annual General Meeting is usually held in the autumn following. Annual bonus is paid after the audited accounts have been presented to members, subject to availability.

The allowing or payment of benefits is not automatic and late payment and/or incomplete settlement of the Unimer statement can mean that benefits are forfeited and the member's account closed.

The rate of benefit payable to members may be altered at any time at the discretion of Unimer without prior notification in the maintenance of sound commercial practice.

Non-payment of Invoices

Unimer, in the event of not having received payment for invoices from the member for goods that have been delivered, will invoke the Conditions of Sale relevant to that supplier. Unimer will act as agent of the supplier. If there is no Retention of Title clause in the supplier's Conditions of Sale then the following clauses shall be deemed to be overriding and effective to Unimer direct.

Unimer will take full title to goods supplied by the supplier to the member until payment for them has been made in full. If any monies remain outstanding to Unimer then Unimer may recover all goods in respect of which title has not passed to the member.

Unimer as agent for the supplier is authorised by the member to enter upon any premises where such goods are held by or on behalf of the member and recover possession.

Until title to the goods has been passed to the member, the member shall possess the goods as a bailee at will of Unimer and the member shall not be entitled to sell or otherwise deal in goods in respect of which title has not passed to the member. If the member acts in breach of these conditions then, without prejudice to any other rights of Unimer, the member shall have a fiduciary duty to account to Unimer for the proceeds of any sales save to the extent that such proceeds exceed the amounts owed to Unimer by the member.

Unimer reserves the right, acting as a catalyst between the supplier and the member, that if a supplier does not address invoicing problems within a reasonable period then acting in accordance with sound commercial practice an amount equal to the amount in query will be deducted in the first instance.

In the event of this having no effect then Unimer reserves the right to take any further action deemed to be reasonably necessary to resolve the problem.