In recent months, we have switched to FedEx as our main shipper/carrier, in part because they do not require us to pre-pay taxes, tariffs, and fees for cross-border shipments.
(Many other carriers operate the same way, but not all.)
This has allowed us, a small business in Canada, to continue shipping to our customers in the US.
Taxes, duties, and tariffs are the responsibility of the importer, i.e. the customer.
FedEx pays the US government on the customer's behalf, and sends them an invoice afterwards.
However, we have run into an issue more than a few times now, where the recipient has not paid their invoice from FedEx.
FedEx has paid the US government up front, and wants their money back.
If they don't get it from the recipient after a certain amount of time (45-60 days) they instead just bill the shipper.
In other words, FedEx says "well, *someone* is going to pay us back" so if it's not gonna be the receiver, it's gonna be the sender.
If you have not paid these invoices out of protest, or because it feels like a dispute between just you and "MegaCorp" and "MegaCorp" will just absorb the loss ...
We understand that thought process, and are right there with ya.
But unfortunately for us, "MegaCorp" will not just eat the loss -- they invoice us.
As a company, if we want to continue using FedEx's services, we have to pay up.
So far, everyone we have followed up with has made good, once they find out we are being charged for it instead of them, and for that we are grateful.
But it is a huge time suck on many levels, and is starting to take away from production time.
So, we are asking you pay these invoices within that 45 day period.
This will help us get to everyone's orders faster.
If you decide not to pay your invoice for whatever reason, that is your prerogative.
Just know that our business cannot absorb those costs, and our business model will have to change.
(Many other carriers operate the same way, but not all.)
This has allowed us, a small business in Canada, to continue shipping to our customers in the US.
Taxes, duties, and tariffs are the responsibility of the importer, i.e. the customer.
FedEx pays the US government on the customer's behalf, and sends them an invoice afterwards.
However, we have run into an issue more than a few times now, where the recipient has not paid their invoice from FedEx.
FedEx has paid the US government up front, and wants their money back.
If they don't get it from the recipient after a certain amount of time (45-60 days) they instead just bill the shipper.
In other words, FedEx says "well, *someone* is going to pay us back" so if it's not gonna be the receiver, it's gonna be the sender.
If you have not paid these invoices out of protest, or because it feels like a dispute between just you and "MegaCorp" and "MegaCorp" will just absorb the loss ...
We understand that thought process, and are right there with ya.
But unfortunately for us, "MegaCorp" will not just eat the loss -- they invoice us.
As a company, if we want to continue using FedEx's services, we have to pay up.
So far, everyone we have followed up with has made good, once they find out we are being charged for it instead of them, and for that we are grateful.
But it is a huge time suck on many levels, and is starting to take away from production time.
So, we are asking you pay these invoices within that 45 day period.
This will help us get to everyone's orders faster.
If you decide not to pay your invoice for whatever reason, that is your prerogative.
Just know that our business cannot absorb those costs, and our business model will have to change.
