Payables Finance

Payables Finance

What is Payables Finance?

Payables Finance allows you to set your suppliers up for early payment by discounting their receivable (i.e. your payable) on favourable terms as compared with their traditional method of financing.

This involves negotiating an attractive rate on their behalf with a third-party funder and providing a confirmation that you will pay on-time without any risk of commercial dispute. In return you may be able to negotiate longer commercial payment terms and increase the capacity of the supplier to produce and sell more product.

How does Payables Finance work?

Payables Finance

What are the benefits of Payables Finance?


Renegotiate payment terms, improving cash flow and balance sheet metrics.

Strengthen relationships with suppliers. Provide suppliers with a reliable access to early payment.

Off-balance sheet financing – subject to auditor confirmation – to maintain accounting treatment as trade payables.


Early access to cash – improve liquidity for redeployment into other corporate initiatives.

Favourable rate – low cost funding at a competitive rate, leveraging the creditworthiness of their buyer.

Access to alternative source of funding

Our Platform makes Payables Finance a win-win

  • Buyers: Our Platform enables buyers to seamlessly remit ledger files containing approved invoices, for their suppliers to discount. Our Platform also offers standard and bespoke reporting to track maturity payments.
  • Suppliers: Our Platform contains a marketing journey that can be tailored to each programme. Your suppliers will be guided through the online supplier registration process, including KYC & documentation, and the ability to select invoices manually or automatically for discounting.
Payables Finance


Over 500 live approved payables programmes


Over 11,000 suppliers onboarded through Demica’s leading Supplier Onboarding Tool


Over 50 languages and currencies currently supported

Our supplier onboarding service

For Approved Payables Finance programmes to succeed, your suppliers need to be brought onboard. Our unique, proprietary Supplier Onboarding Tool, automates mass onboarding of suppliers, reducing operational burden for everyone involved in the programme – the buyer, the funder and the suppliers.

Payables Finance

Using Payables Finance to support ESG

Learn how Barry Callebaut, one of the world’s largest chocolate manufacturers, worked with us and the IFC to implement a programme which supported their sustainability objectives.

Payables Finance

Get in touch to learn more about how Payables Finance could help your company