Category Archives: Dynamic Discounting

Accelerating Early Payment Starts With Realizing the Seller is Giving Customers a Free Loan

My colleague David Gustin recently penned a paper that summarizes many of the techniques to accelerate early payment in the supply chain. As he frames the argument, “Everyone – including the White House, UK and European public sectors – agrees there are significant benefits that come from accelerating cash in the supply chain.” Yet even while politicians and businesses can agree that the benefits of accelerating payments is real in terms of economic impact and supply chain stability, there are underlying challenges in the structural notion of what has led to the need to accelerate early payments.

Late Payments: Thinking Through the Implications for SMEs

David Brown, founder of both Oxygen Finance and Remitia, is passionate about getting payment in the hands of SMEs as fast as possible. In a recent blog post on the topic, David notes that, based on research he’s looked at in the UK, “£41 billion of payments to suppliers are considered late. We have not been able to confirm what late specifically means in practice, 30, 60, 90, 120 days etc., but what we do know is that out of this £41 billion in late supplier payments, £36 billion is owed to SMEs.” The implications of this are significant indeed.

A Nightmare on Payment Street – The Supplier’s View of the Early Payment Maelstrom

Yesterday, I covered a number of challenges around the issue of early payment solution provider proliferation and supplier confusion. Yet it is excitement and change in the market that is in large part leading to the confusion itself. What’s driving part of the excitement – actually a large part of the excitement in procure-to-pay-based lending – is the data that sits inside networks like Tungsten, Basware, Taulia, Nipendo, Ariba, GT Nexus and others. The combination of this data with external data is nirvana for anyone with a doctorate in statistics or mathematics. As with program trading on Wall Street, you can model risk and behaviors.

Initial White House SupplierPay observations

As I sat in the room of Titans at the latest SupplierPay session in D.C., the key question running through my mind was what role […]

Motherhood, Apple Pie, and Paying Suppliers Early

Can’t argue with any of those three, or can you? We all know the story by now. Large companies are holding lots of cash and […]

Should Accounts Payable be a Profit Center?

I am old school, and old school thinks companies make money by selling products and services above cost. Included in those costs are direct operating […]

RBS selects Taulia to close Gap in Supply Chain finance offerings

The recent announcement that The Royal Bank of Scotland (RBS) has partnered with Taulia to offer its corporate clients dynamic discounting with e-Invoicing comes at […]

More states Put in Prompt Payment Laws, Impacting Early Pay Solutions

While SupplierPay from the White House gets all the press, U.S. states like Texas, Maryland and Massachusetts have implemented prompt pay laws. In the case of […]

Where Early Pay solutions could benefit

Many companies have developed early pay solutions to provide some form of liquidity to their supply base. And why wouldn’t they. Having technology in place […]

Nipendo’s Early Pay Solution Opens New Opportunities

Trade Financing Matters - Free White Paper Download
The Nipendo model represents a next-gen procure-to-pay platform, and is in line with the new trend of companies developing early pay solutions in order to create liquidity to their supply base. Find out more about Nipendo's spend coverage, validation solution and the innovative discounting solutions that can capture the long tail of procurement with this new, downloadable paper from Trade Financing Matters.

Mixing Apples and Oranges: 8 Differences Between Dynamic Discounting and Supply Chain Finance Programs

Trade Financing Matters - Free White Paper Download
Discover what separates innovative discounting and supply chain programs with these 8 easy-to-digest differences. While these 8 differences aren't the be all, end all, they will give vendors and consultants a better idea of where discounting and supply chain programs stand and how they can benefit each other in a corporate setting.

How banks can ramp up their Process to Pay B2B Product

Lets face it.  Banks are starved for revenue as the WSJ pointed out in Profit Engines for Banks Stumble.  This is not expected to change.  […]