"Net 30" is a payment term commonly used in business transactions. It means that the buyer must pay the full invoice amount within 30 days of the invoice date. This allows the buyer some time to manage their cash flow before making the payment. This term is often seen in agreements between suppliers and retailers, where the supplier provides goods or services upfront. By using net 30, businesses can maintain a good relationship while ensuring timely payments, which helps with financial planning and budgeting.