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by psaux 1350 days ago
No comment about the company, but want to make clear as a buyer you understand the procurement and legal parts i.e. MFN or MFC.

If they do discount, even 5%, then it ripples across their accounts as a legal matter, esp at your scale. I was a buyer for some big companies, 8 digit, and the procurement office would only do a deal with MFN/MFC clause. They would also audit the supplier from time to time.

1 comments

I totally understand that ripple effect and am very familiar with Most Favored X when it comes to unit pricing of a tangible good (e.g. xx,xxx physical servers with a particular SKU), but in this case we were talking about a SaaS product where overages were disputed. Nearly every vendor would jump at the chance to discount additional commitments or support at the ‘expense’ of waiving some past overages.
Thanks for the response, been there on the overages per SAAS’s. Now running a startup, they scare me even more.