Small businesses rarely have more than a few weeks of cash on hand, yet many have considerable accounts receivable, often representing 60 to 90 days of sales that are yet to be collected from their customers. A small business with $4 million in annual sales and terms of 90 days has nearly $1 million trapped in accounts receivable. Moreover, with the pandemic, payment terms are extending rapidly as even the largest companies in the world look for ways to increase cash on their balance sheets.
Published : 24 June, 2020
A dynamic discounting model allows for variable cost and timing by creating a window of discount opportunity. This “discount-window” allows suppliers to provide a discount in real-time when they require crucial cash for their businesses. Find out more about how the Early Advantage Dynamic Discounting benefits both suppliers and buyers in this blog post.
Published : 27 August, 2020