Pay early, pay less with Dynamic Discounting
Release liquidity to your suppliers for a risk-free return and hard savings
Create value with Taulia
What is Dynamic Discounting?
Dynamic Discounting is a form of supplier financing that puts your surplus cash to better use. Suppliers can take early payment in return for a discount.
Your suppliers choose which invoices to accelerate according to their cash flow needs. They can take payment any time between invoice approval and maturity. The earlier the payment, the greater the discount.
- Benefits for Buyers
- Benefits for Suppliers
Maximize savings from early payment discounts
Taulia’s Dynamic Discounting solution generates significant hard savings. These go straight to your bottom line and improve profitability.
Fund sustainability across the supply chain
Taulia’s Sustainable Supplier Finance enables companies to identify suppliers that align with the environmental, social, and governance (ESG) priorities of the organization, such as offering affordable funding to diverse suppliers.
Earn a risk-free high return
By investing your cash to capture discounts, you can earn risk-free returns that are much higher than traditional investments. Our customers achieve double-digit returns and there is no risk as you’re committed to pay at invoice maturity anyway.
Invest in stability and resilience
Supplier relations and sustainability are key to a healthy supply chain; a valuable asset that gives you a competitive advantage. By injecting liquidity into your supply chain, you strengthen your suppliers and become their customer of choice.
Access to consistent and affordable financing
Suppliers can benefit from consistent access to funding. What’s more, that funding typically comes at a much lower cost than other financing options available to them.
Reward for commitment to sustainability
Suppliers that meet environmental performance standards or qualify for social reasons can earn attractive financing rates to further support growth.
Invest and grow
With more working capital available, suppliers are better placed to invest in innovation and business growth – which benefits their customers too.
Cash on hand for the unpredictable
Dynamic Discounting gives suppliers access to cash when it’s needed, making it easier to deal with one-off or unexpected costs.
Taulia delivers the success factors you need for your Dynamic Discounting program
Mitigate risk and build a resilient supply chain
Taulia can customize a funding and incentive structure for your organization that meets both the timing and the outcomes of the sustainability goals and objectives you want to achieve. Proactively build resilience into the supply chain by rewarding sustainable and ethical practices with Taulia’s Sustainable Supplier Finance.
Combine predictability and flexibility
Giving suppliers control over early payments according to their own business needs is critical to adoption. Around 80% of early payments on our network are automated and 39% of suppliers leverage early payment for seasonal cash needs.
Leverage the network
Don’t start from scratch. Taulia brings a network of more than 2 million suppliers. Ask us for a network match and see how many of your suppliers already use Taulia.
Keep early payment top of mind
Our easy-to-use supplier portal gives your suppliers incremental benefits that drive Dynamic Discounting adoption. Improve visibility, reduce errors, resolve disputes and streamline communication all while encouraging deeper engagement with your Dynamic Discounting solution.
Automation through deep integration
Taulia integrates with any ERP, including self-developed ERPs in large organizations. Given the prevalence of SAP, we have developed unparalleled expertise and are SAP Gold certified. Our deep integrations make your life easy – all reconciliation work is automated and, best of all, you can go live in as little as 8 weeks.
A team of experts
Unfortunately, adoption isn’t magic and the ‘if you build it, they will come’ strategy doesn’t always create a successful program. Taulia provides a Business Consultant team to guide you through best practices, a Supplier Outreach team that is 100% dedicated to contacting suppliers about early payment and an award-winning Supplier Marketing team to execute campaigns on your behalf.Speak to one of our experts
A solution that flexes with you
Your liquidity strategy may change over time. Your program can change too. You can switch between self-funded dynamic discounting and 3rd-party funded supply chain finance as your requirements change. When you need to improve working capital, you can do it without disrupting your global supply chain.Learn more about Supply Chain Finance
A smarter dynamic discounting solution
Predictive analytics can have a hugely positive impact on the success of your program. We use artificial intelligence to boost programs through efficiency gains and predictive modeling.
We’ve analyzed more than a billion transactions across our platform. We augment this with external big data sets, such as cost of capital and credit ratings. Our models predict the best ways to drive adoption, the best terms and rates to offer, and the probability of early payment acceptance in different scenarios.
Use a more data-driven approach to generate results.
Before you go, you may be interested in this resource:
Dynamic discounting: Provide your supply chain with the working capital it needs