IMPROVED CASH FLOW.
Suppliers want to get paid as fast as possible. In a typical scenario where an organization is selling items to a customer, they must wait an average of 40 days to receive payment for the invoiced product. This means the “frozen” capital is temporarily unavailable for the organization to use in other areas. Buyers typically want to balance retaining capital while maximizing discounts. In the past, buyers try to negotiate discount terms that meet capital cost requirements set by their treasury.
However, suppliers don’t always want to be stuck with such a long term commitment. With the innovative Dynamic Discounting and electronic invoicing options by iPayables, buyers are always assured they are meeting the capital cost requirements for discounts while allowing vendors select discounts based on their needs.
Dynamic Discounting is also known as “early pay discounting.” Dynamic Discounting provides ample time for the supplier to be notified that the invoice is approved and can be paid early with a discount. The Dynamic Discount is controlled by the customer, and customers usually require much less than rates offered by factoring agencies. Suppliers can either opt for the Dynamic Discount, or select a date to be paid and the application will let them know what the exact discount will be. This makes cash flow forecasting more accurate and relieves some of the reporting burden placed on the accounting department.
We use advanced algorithms in real-time to determine the appropriate discount for the supplier based on the selected date. The supplier agrees to the Dynamic Discount and can look forward to a payment that meets their schedule. To further illustrate this, take a look at the screen shot of the Dynamic Discounting application of InvoiceWorks on the left. Once the supplier decides the date they want to be paid for their product or service, InvoiceWorks automatically calculates the discount amount. It’s that easy!CONTACT
We specialize in...
InvoiceWorks™ is designed to accommodate all of your needs.
iPayables uses a robust system to enforce the customers approval policies.
iPayables Scan2e services turn paper invoices into electronic invoices.
We use advanced algorithms in real-time to determine the appropriate discount.