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Early Payment Discounts: Everything You Need to Know
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BlogEarly Payment Discounts: Optimize Your Cash Flow and Strengthen Supplier RelationshipsGot available cash? Don’t let it sit idle. Early payment discounts let you earn immediate savings while strengthening supplier loyalty and securing your supply chain.4 min readJuly 28, 20251Early Payment Discount: Definition, Benefits, and Target Businesses2What are the benefits of early payment discount?3How to calculate an early payment discount?4How to implement an early payment discount program?5FAQ – Everything you need to know about early payment discountsEarly Payment Discounts: Optimize Your Cash Flow and Strengthen Supplier Relationships Excess cash flow after a funding round? CAPEX lull? Business peak? Rather than letting your cash sit idle, put it to work for your performance. Early payment discounts make this possible. You settle supplier invoices ahead of their standard 30-day terms. They offer you a discount. Your payments become a lever for margin improvement and supplier loyalty. T...
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