Bill of Lading (BOL)
Definition
The shipping document issued by a carrier that lists the goods being shipped, serves as a receipt and, for ocean freight, often acts as the title to the cargo.
Want a deeper explanation?
The BOL date often marks when ownership and risk transfer to you, depending on your Incoterms. That matters for your books because inventory you own while it is on the water belongs on your balance sheet.
Keep BOLs with the supplier invoice, freight bill and customs entry so landed cost can be built for each shipment. Watch for: goods you own in transit missing from inventory at month-end, which understates your assets.
Example
Your container from Ningbo arrives in Newark. Your freight forwarder needs the released bill of lading before the goods can be picked up.