Inventory valuation: the number that decides your profit
How stock is valued changes reported profit and tax without anything physical changing. FIFO against weighted average, what cost includes, and the write-down nobody wants to make.
A master bill of lading is between the carrier and the freight forwarder. The house bill is between the forwarder and you. Knowing which one you are holding decides who you can actually claim against.
A master bill of lading is issued by the actual carrier — the shipping line — to whoever booked the space with it, which on a consolidated shipment is a freight forwarder rather than the seller. The forwarder then issues its own house bill to each individual shipper whose cargo is in that container. Two documents, one physical movement, and different parties on each.
The distinction matters the moment something goes wrong. Your contract is with whoever issued the document you hold. A shipper holding a house bill has a claim against the forwarder, not against the shipping line, and a consignee trying to collect from the line while holding only a house bill will be told, correctly, that the line has never heard of them.
For a less-than-container-load shipment you will normally receive a house bill and there is no alternative — you did not book with the line. For a full container you can ask for a direct master bill from the line, which shortens the chain and can simplify a letter of credit, but you lose the forwarder’s coordination at destination. Banks are the deciding factor more often than anything else: some letters of credit will not accept a house bill, or will accept one only from a forwarder that is a member of a recognised association, and that condition has to be read before the shipment moves rather than after.
Check whose name is on the document you were sent. Sellers routinely believe they hold a carrier bill when the header belongs to a forwarder, and discover the difference only when a cargo claim is refused.
Ocean freight bound for the United States needs data before the vessel sails. An ISF filing has to be lodged 24 hours ahead of loading, and the penalty lands on the importer even when a forwarder was the one who missed it.
On a consolidated shipment the numbers multiply quickly — one master, several house bills, container and seal numbers, the invoice and certificate of origin for each consignment, arrival and release dates. Keeping them in one register per shipment is what makes a query answerable in a minute rather than an afternoon: Ettex Sheets holds the shipment register with a row per consignment and its document numbers, Ettex Records keeps the documents themselves attached to the shipment, and Ettex Docs holds the correspondence with the forwarder — the trail you need if a claim follows. The general rules for what belongs on each document are in bill of lading.
Plainly: this is record keeping, not a transport management system. There is no line integration, no tracking feed and no electronic release. What it prevents is the ordinary failure — nobody being able to say which document covers which box.
The master is issued by the shipping line to the freight forwarder and covers the whole container. The house is issued by the forwarder to the individual shipper and covers that shipper’s consignment.
The one issued to you. A consignee named on a house bill collects from the forwarder’s destination agent, who has already released the container from the line against the master.
On a full container, yes, by booking with the line or asking the forwarder for a direct bill. On consolidated cargo, no — the container is not yours alone.
Sometimes, and sometimes only from forwarders meeting stated conditions. Read the letter of credit terms before shipping, because the document cannot be changed retrospectively.
How stock is valued changes reported profit and tax without anything physical changing. FIFO against weighted average, what cost includes, and the write-down nobody wants to make.
Staff turnover is easy to calculate and easy to misread. How to work it out, why voluntary and involuntary must be separated, and what a replacement actually costs.
Business interruption cover replaces lost profit while you cannot trade. How the sum insured is calculated, why the indemnity period is the number that matters, and what is usually excluded.