Free On Board (FOB)

Knowledge Center


Description of Free On Board (FOB). Explanation.


Definition Free On Board (FOB). Description.

Free On Board (FOB) is an international sales term used in the transportation industry meaning that the seller fulfills his or her obligation to deliver a commodity when they have passed a specified loading point during a certain time period. The price includes loading the commodity on the transportation vehicle of the buyer. Also the FOB term requires the seller to clear the goods for export.

The risk of loss or damage is transferred to the buyer when the goods are loaded, so the buyer must ensure transportation and insurance from the loading point and must clear customs in the country of import. Furthermore, when counting inventory, merchandise in transit plays a crucial role depending on whether it is added to the company's balance sheet.

Note that because this is a legal term, its exact definition is much more complicated and can differ by country.

Special Interest Group - Free On Board (FOB)

Special Interest Group (5 members)

Forum - Free On Board (FOB)  

In the forum section you will find recent discussions within this knowledge area.

  Free on Board (FOB) in Accounting Usage
In accounting usage,
- FOB Shipping Point means the rec...
  Who Initially Bears the Costs in Free On Board? (1 reactions)
Who will bear all the costs iniatially? What happens after t...

Best Practices - Free On Board (FOB)

In the best practices section you will find the best forum discussions within this knowledge area.

Expert Tips - Free On Board (FOB)

In the expert tips section you will find advices from experts within this knowledge area.

Resources - Free On Board (FOB)

In the Resources section you will find powerpoint presentations, micro-learning videos, articles, news items, etc. within this knowledge area.


News about Free On Board (fob)


Videos about Free On Board (fob)


Presentations about Free On Board (fob)


Books about Free On Board (fob)


More about Free On Board (fob)


Compare with: Cost, Insurance and Freight

Special Interest Group Leader

You here? Sign up for free


Return to Management Hub: Supply Chain & Quality

More on Management  |  Return to Management Dictionary  | 


This ends our Free On Board (FOB) summary and forum.

About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
2019 12manage - The Executive Fast Track. V15.0 - Last updated: 17-6-2019. All names of their owners.