Dynamic Discounting: the key to early payments

Historically loose monetary policy and risk aversion from geopolitical uncertainty have pushed cash balances for many large corporations to record levels. This has left firms struggling to find an investment risk versus return balance that makes sense. The last few years have exposed global supply chains’ strategic value and fragility. This has caused finance executives to more closely consider the weak points in their supply chain, the nature of their procurement policies, and the damage that late payments are causing to their respective supply chain networks. As a result, early payment solutions are becoming increasingly sought-after, with the growth of dynamic discounting forecast to far outstrip other forms of supplier finance over the coming years.