Hangzhou Yu Chen is a professional mechanical manufacturer, mainly to provide mechanical processing services, to help external mechanical processing. Usually in manufacturing enterprises, there will be two forms of external processing:

    first: We supply raw materials from our company and commission processing suppliers to process them. In this process, processing suppliers only provide processing services and collect processing fees. The ownership of the raw materials belongs to our company from the beginning to the end. Even if the raw material is sent to the supplier, the transfer of property right will not occur when the supplier is stored for a long time.

    second kinds: our company designate the relevant technical standard, material standard, even the brand of raw material, producing area, etc. by the processing supplier to purchase the raw material according to our company’s request, and supply our company after the processing is finished. In this business mode, the price quoted by the supplier to our company will actually include two parts, one is the price of material purchase, the other is the price of processing fee. The real right will be transferred to our company after processing is completed and passed by our company’s incoming inspection.

    in addition to the above two forms, there will be some special cases. But in most special cases, the above two variants are in essence. For example, the popular way to buy and sell at present is to sell half of its products to a supplier at a certain price. After the completion of the processing, it will be bought from the supplier. In fact, it is a variety of the second forms. The article comes from Baidu.