There are usually two common ways for import and export agents to recognize revenue. One is to recognize revenue according to the progress of agency services. For example, when key nodes such as customs declaration and transportation are completed, the corresponding revenue share is recognized according to the completion proportion. For example, if customs declaration completion accounts for 30% of the entire agency service, and the agency fee is 100,000 yuan, 30,000 yuan of revenue can be recognized at this time.
The other is to recognize revenue based on the receipt of payment, that is, to recognize revenue when the agency fee paid by the entrusting party is received. This method is relatively simple and straightforward, but it may be out of line with the actual progress of the business.
It should be noted that when recognizing revenue, it is necessary to accurately distinguish between agency fees and payment for goods collected and paid on behalf of others. The part of collection and payment on behalf of others does not belong to the revenue of the agency company. Meanwhile, the stipulations in the contract terms regarding the time and method of revenue recognition are also crucial, and they should be strictly executed according to the contract.
Professional consultant answers
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
There are usually two common ways for import and export agents to recognize revenue. One is to recognize revenue according to the progress of agency services. For example, when key nodes such as customs declaration and transportation are completed, the corresponding revenue share is recognized according to the completion proportion. For example, if customs declaration completion accounts for 30% of the entire agency service, and the agency fee is 100,000 yuan, 30,000 yuan of revenue can be recognized at this time.
The other is to recognize revenue based on the receipt of payment, that is, to recognize revenue when the agency fee paid by the entrusting party is received. This method is relatively simple and straightforward, but it may be out of line with the actual progress of the business.
It should be noted that when recognizing revenue, it is necessary to accurately distinguish between agency fees and payment for goods collected and paid on behalf of others. The part of collection and payment on behalf of others does not belong to the revenue of the agency company. Meanwhile, the stipulations in the contract terms regarding the time and method of revenue recognition are also crucial, and they should be strictly executed according to the contract.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
Generally speaking, if the contract stipulates that the agency fee will be settled when a certain stage of tasks is completed, then revenue should be recognized by stages, which can more accurately reflect the business results.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
Looking at the invoice issuance situation can also recognize revenue. If the agency fee invoice has been issued and the relevant services have been provided, revenue can basically be recognized.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
If the agency business cycle is short, revenue can also be recognized in one lump sum after all agency services have been completed and the entrusting party has inspected and found no errors.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
Pay attention to checking the matching of the costs and revenues of agency services, so that profits can be calculated more clearly. Cost factors should be considered when recognizing revenue.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
If there is a prepaid agency fee, during the process of gradually providing services, the prepaid amount should be converted into revenue according to the service progress.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
You can refer to industry practices and combine the characteristics of your own business to determine the method of revenue recognition and maintain consistency.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
If the agency business involves installment payments, revenue should be recognized according to the service volume corresponding to each payment.
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
According to accounting standards, judge whether risks and rewards have been transferred to the entrusting party. If they have been transferred, the conditions for revenue recognition are met.