25 Oct Small-and-medium-sized organisations to get paid within days of submitting an invoice through OB10 Express Payments
A unique supply chain finance solution from OB10 improves companies’ working capital and cash flow
OB10, the e-Invoicing network that handles £90bn of payments each year, has launched OB10 Express Payments, a unique supply chain finance service that allows organisations to receive payment on approved invoices within three days. The service supports the agreement announced this week between Prime Minister David Cameron and large UK organisations to consider or continue helping their suppliers’ cash flow through supply chain finance.
Many companies, especially SMEs, are looking for faster payment of their invoices, especially as they face extended payment terms and restricted lending from banks. By building on the benefits delivered by electronic invoicing – including faster invoice delivery and approval, and full visibility of payment progress – OB10 Express Payments offers a sought-after solution.
Once an invoice has been approved, suppliers can choose to receive guaranteed early payment direct to their bank within three working days. Suppliers agree to a discount in return for more immediate payment. OB10 Express Payments not only improves cash flow but also eliminates the costs of chasing unpaid invoices, streamlines collections processes and strengthens relationships with customers.
“By listening to members on the OB10 network, we have created OB10 Express Payments to meet a critical need for businesses today,” said Luke McKeever, CEO at OB10. “Our solution offers companies greater liquidity and flexibility at a time when they need it most. The service is free to join, it is entirely optional and the payments are initiated by suppliers, not their customers.
“Building on our strength as a mature and trusted electronic invoicing network with over 120,000 suppliers and transactions worth in excess of £90bn each year, our supply chain finance solution will have a major impact on the way companies manage their working capital and cash flow.”
OB10 Express Payments suits all OB10 customers as, unlike traditional supply chain financing, it is supplier led. A company can choose whether or not to take early payment, and can elect to apply it to one invoice, all invoices or a selection of transactions.