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Payables Finance Solutions

Creating Value for Suppliers to Increase the Overall Health of Your Supply Chain

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Optimize Working Capital

Kyriba helps CFOs and senior strategic leaders boost free cash flow and improve EBITDA with supply chain finance solutions that aid in extending payment terms and enable better working capital management.

Our robust payables finance solutions combine scalable technology, expert teams and key services such as working capital analysis, program design and supplier on-boarding.

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Boost Free Cash Flow and Profitability

To combat the mounting pressures of generating additional cash flow and improving bottom line value with return on investments, Kyriba provides dynamic discounting and supply chain finance solutions that benefit both buyers and suppliers, and empower treasury and procurement to work hand-in-hand to deliver working capital improvements.

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Making the Business Case for Supply Chain Finance & Dynamic Discounting
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When we looked into it, we really found that supply chain finance and dynamic discounting are a win-win situation for all parties. On the supplier side it provides invoice transparency [and] reliability payments. On the buyer side [...] it provides the client the ability to hold onto their cash."
Kristopher Kagan Vice President - Finance/HR, Scientist.com
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Supply Chain Finance

To allow both buyers and suppliers to free up working capital, organizations can utilize supply chain finance, also known as reverse factoring or confirming.

Supply chain finance gives suppliers the flexibility to “sell” approved invoices to financial institutions for a discount that is dependent on the credit risk of the buyer, typically allowing suppliers access to cheaper funding than they can obtain themselves.

A supply chain finance program is often deployed at a time when a company is reviewing it’s supplier payment terms. Our Working Capital Analysis will help buyers to benchmark and standardize payment terms to increase free cash flow.

Supply chain finance helps strengthen your supply chain and reduce the likelihood of disruption through supplier failure.

Supply chain finance allows organizations to easily tie sustainability objectives with financial incentives for suppliers to encourage better behaviors, as opposed to punishing suppliers for non-compliance.

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Dynamic Discounting

Early payment discount programs enable buyers to generate high returns on free cash, reduce cost of goods sold (COGS) through discounts and grow profit and EBITDA margins.

Suppliers and buyers collaborate directly in Kyriba’s portal to nominate and approve invoices for early payment with full transparency and reporting to both parties.

Embedding a dynamic discounting program with environment and social governance (ESG) metrics to achieve corporate social responsibility (CSR) goals can help to increase sales.

Multiple program types can be simultaneously supported to allow third party funding to be leveraged during periods when buyers do not have the excess liquidity, offering a seamless experience to suppliers.

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Hybrid Dynamic Discounting

A hybrid dynamic discounting program is the solution for organizations that don’t want to be tied to using their own cash to pay suppliers early during certain periods of the year.

Third party funding can be leveraged during periods when buyers do not have the excess liquidity, offering a seamless experience to suppliers.

Suppliers continue to get the much needed liquidity irrespective of the buyer’s cash position and continue to benefit in earning a return on cash when excess liquidity is available to buyers.

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"The feedback from suppliers that joined the program has been unanimously positive. We have met their expectations in terms of visibility, simplicity, transparency, independence and attractiveness."

CEO of Retail Services, Multinational Management Consulting Company

Benefits of a Payables Finance Solution

For suppliers, both supply chain finance and dynamic discounting result in:

  • Increased cash flow (supplier decrease DSO)
  • Enhanced cash visibility/predictability
  • Access to an additional source of funding
  • Improved visibility over invoices and payments
  • Improved supplier and buyer relationships
  • Inject liquidity into your supply chain

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