SCF: How it works

Step 1: Supplier delivers goods

The supplier delivers goods or services to the buyer.

Step 2: Buyer approves invoice

The buyer receives and approves the invoice for payment.

Step 3: Supplier requests early payment

The supplier requests early payment through the SCF platform.

Step 4: Funder provides early payment

A third-party funder (usually a bank) pays the supplier early, minus a small discount.

Step 5: Buyer pays at maturity

On the original due date, the buyer pays the full invoice amount to the funder.

Benefits

• Suppliers get paid earlier
• Buyers can extend payment terms
• Improved cash flow for both parties
• Strengthened supply chain relationships