Invoice financing with early payments: get paid on your terms.
Invoice Financing with Tradeshift Cash
Early and reliable invoice payments no matter your buyers’ payment terms. Tradeshift Cash provides invoicing financing without the paperwork or waiting. Get the cash you need now—it’s that simple.
Invoice financing on the best terms: yours.
Tradeshift Cash is an invoicing finance solution that helps suppliers get paid early on their invoices on the Tradeshift platform. If you have a good relationship with your buyer, you can get paid immediately, regardless of your invoice terms. Onboarding is free and easy, and no change to payment terms is required.
Fast funding without all the complex paperwork.
No one likes waiting to get paid—or worse, not knowing when. Tradeshift Cash enables fast and predictable buyer payments on all your invoices. Accelerate payments on all eligible invoices with a small interest fee without filling out extra applications or heading to external portals. Unlike traditional supply chain finance, you control when you get paid.
Embedded finance means cash is just a click away.
Tradeshift Cash is easy to access because it’s embedded right on the Tradeshift platform. As a seller, this reduces dependency on your buyer for underwriting by using historical and real-time data instead. You won’t have to fill in pages of forms or go through endless checks like you would with a bank loan or buyer-side program. Sign up and start getting paid—it’s that simple.
How does Tradeshift Cash benefit sellers?
Tradeshift Cash is more than receivables financing; it’s money right when you need it
Tradeshift Cash improves business cash flows, speeds payment, lowers borrowing costs and increases operational stability. Best of all, it’s incredibly easy to access through the Tradeshift Network.
Benefits of Tradeshift Cash to you as a seller:
- Improved Liquidity: Stronger, more predictable cash flows mean financial stability and operational continuity.
- Get paid quickly: Once eligible, invoices can be financed immediately.
- Lower borrowing costs Tradeshift Cash is much more affordable than a line of credit or corporate credit card.
- New growth opportunities: With improved cash flow, your business grows faster.
Are you ready to get paid faster? Learn more about how to apply for financing directly within the Tradeshift platform.
How does Tradeshift Cash benefit buyers?
Tradeshift Cash is receivables financing for your suppliers - but how does it benefit you as a buyer?
As a buyer, you probably know that many of your SMB suppliers may lack access to reliable financing solutions. This restricts their growth and introduces risk into your supply chain.
Our platform-embedded finance solution, Tradeshift Cash, offers easy and fast invoice financing to sellers on the Tradeshift platform. The invoice financing that Cash provides improves your suppliers’ cash flow and indirectly helps you because they’ll be more motivated to join Tradeshift and, therefore, support your business’s overall digital transformation.
Benefits of Tradeshift Cash to you as a buyer:
- Less Pressure to Pay: Invoice financing reduces dependence on short payment cycles. Days Payable Outstanding (DPO) could even be increased.
- Supplier Stability: More robust cashflows mean financial stability, higher inventory levels and operational continuity.
- Negotiation Power: Extending payment terms is possible with early payment options.
- Preferred Customer: Access to financing makes you a more valuable customer.
In short, Tradeshift Cash builds resilience and reliability into your supply chain, benefitting you and your supplier.
User Interface
Invoice financing embedded right on the Tradeshift platform
Tracking and Managing Finances
How do I track my outstanding balance and payment history in Tradeshift Cash?
Tracking your outstanding balance and payment history in Tradeshift Cash is straightforward, as the platform provides a user-friendly dashboard with real-time insights. Here’s how you can do it:
1. Access the Tradeshift Cash Dashboard
- Log in to your Tradeshift Cash account using your credentials.
- Navigate to the Dashboard or Financing Overview section summarising your financing activity.
2. Track Outstanding Balances
- View Current Balance: The dashboard displays your outstanding balance, which includes invoices that have been financed but are not yet repaid.
- Detailed Invoice Breakdown:
- Navigate to the Invoices or Outstanding Amounts tab.
- View a detailed list of financed invoices, including:
- Invoice number
- Customer name
- Financing date
- Due date
- Amount financed
- Outstanding amount
3. Review Payment History
- Go to the Payment History or Transactions section in your account.
- This section provides a chronological record of all payments you have made toward financed invoices, including:
- Payment dates
- Amounts paid
- Remaining balance (if applicable)
- Export payment history if needed, often available as a CSV or PDF file for your records.
4. Leverage Filters and Reports
- Use filters (e.g., date range, customer, or invoice status) to customise the view of your outstanding balances or payment history.
- Generate and download reports for further analysis or sharing with your finance team.
5. Set Up Notifications
- Enable email or in-app notifications to receive updates on:
- Upcoming payments
- Changes to outstanding balances
- Confirmation of payment receipts
6. Contact Customer Support
If you encounter discrepancies or need additional details, use the Knowledge Base or contact Tradeshift Support directly via the platform.
By leveraging Tradeshift Cash’s intuitive tools and analytics, you can efficiently monitor your financial obligations and maintain accurate records of your payment activities.
How does invoice financing help sellers maintain control of their commerce relationships?
1. Provides Consistent Cash Flow
By converting unpaid invoices into immediate cash, sellers can maintain smooth operations without pressuring their customers for early payments. This allows the seller to uphold agreed-upon payment terms, fostering goodwill with their retail clients.
2. Flexibility in Financial Management
Sellers can choose which invoices to finance, maintaining flexibility over their financial decisions. This selective approach ensures they only leverage financing when necessary, avoiding over-reliance or disruption to normal business practices.
3. Strengthens Ability to Fulfill Orders
Reliable cash flow from invoice financing enables sellers to restock inventory, invest in operations, or expand their offerings without delays. This ensures the seller can meet customer demands promptly, strengthening their reputation and relationship with retailers.
4. Supports Negotiation and Long-Term Collaboration
Sellers can focus on building long-term relationships by offering favourable terms and focusing on service quality, as short-term cash flow concerns do not burden them.
Invoice financing offers a balanced approach to sustaining and growing retail partnerships by preserving independence in managing customer relationships while providing immediate liquidity.
How does Tradeshift Cash benefit CFOs?
For CFOs, Tradeshift Cash delivers a seamless, cost-effective, and flexible financing solution that stabilises cash flow and enhances overall financial management, positioning the organisation for sustainable growth.
It does this in several ways:
1. Improved Cash Flow and Liquidity
- Access to Early Payments: Tradeshift Cash allows CFOs to access funds tied up in unpaid invoices almost immediately, reducing cash flow gaps and providing liquidity to meet operational expenses, payroll, or growth investments.
- Predictable Cash Flow: It provides greater predictability by converting receivables into cash quickly, enabling better financial planning.
2. Enhanced Working Capital Management
- Scalable Financing: The more invoices issued, the more cash can be unlocked, providing scalable financing options tied to business growth.
3. Cost-Efficiency
- Lower Financing Costs: Tradeshift Cash often provides competitive rates compared to traditional financing options, enabling CFOs to reduce the cost of capital.
- No Collateral Required: As invoice financing is secured by accounts receivable, it eliminates the need for additional collateral, preserving company assets.
4. Better Supplier and Customer Relationships
- Flexible Payment Terms: CFOs can offer extended payment terms to customers without straining cash flow, fostering stronger relationships and enhancing customer loyalty.
- Timely Payments to Suppliers: With improved liquidity, CFOs can ensure suppliers are paid promptly, potentially unlocking early payment discounts and strengthening supplier relationships.
5. Reduced Administrative Burden
- Automated Processes: Tradeshift’s digital platform automates the invoicing and financing process, reducing manual intervention and saving time for the finance team.
- Real-Time Insights: The platform provides visibility into cash flow, outstanding invoices, and financing options, enabling CFOs to make informed decisions quickly.
6. Supports Strategic Initiatives
- Funds for Growth: The liquidity unlocked can be reinvested into strategic initiatives like R&D, market expansion, or digital transformation.
- Mitigates Risk: By reducing dependence on traditional loans or equity financing, CFOs can diversify funding sources and mitigate financial risks.
7. Enhanced Financial Agility
- Adaptability to Market Conditions: Tradeshift Cash helps CFOs respond swiftly to changing market dynamics, such as unexpected expenses or opportunities for expansion, by ensuring access to immediate funds.
- No Long-Term Debt Commitments: Unlike traditional loans, invoice financing through Tradeshift Cash avoids long-term liabilities, keeping the organisation agile.
Invoice Financing - FAQ
Invoice financing involves a lender using outstanding invoices as security to obtain funds, allowing you to access a portion of the invoice value rapidly, typically within 24-48 hours.
In invoice factoring, the transaction fee is deducted from the advance before the funds are deposited into your bank account. When your client pays the invoice, no long-term commitments are involved. In contrast, invoice financing includes a portion of the fee in each payment.
Invoice financing, also known as invoice discounting and accounts receivable financing, involves borrowing money against your company’s outstanding invoices.
Invoice financing is a specific type of receivables financing that provides sellers nearly the total value of their accounts receivable minus the provider’s fee. The majority of this amount is paid upfront.
In invoice factoring, a supplier sells their invoice(s) to a factor, such as a bank or financial institution, at a discount. This allows the supplier to receive the invoiced amount immediately while the factor takes on the responsibility of collecting payment from the buyer. Conversely, in reverse factoring, the buyer initiates the process instead of the supplier.