Invapay: simplifying payments, optimising working capital

Finance leaders have always been challenged by the need to optimise working capital whilst keeping their suppliers happy with prompt B2B payments. But during the COVID pandemic, these pressures have become even more acute. While commercial credit card lines offer an attractive solution, supplier acceptance limitations and associated transaction fees can cause their own challenges.

This is where Invapay can add real value for buyer and supplier finance teams.

Simple and effective

The beauty of Invapay is that it allows buy-side organisations to make use of commercial credit cards to pay 100% of all suppliers — even those that do not accept card payments. How does it work? In just a few easy steps:

1)Log your commercial card account number with the Invapay platform.

2)An authorised user in finance/accounts payable creates a supplier payment file and uploads to the Invapay platform.

3)A payment approver(s) in your organisation receives a notification to review/approve/decline the payment.

4)Once payment is approved, the encrypted card is debited for the sum, authorised by the issuer and the acquirer sends funds to Invapay’s client money account for onward payment to suppliers.

5)Invapay processes an Electronic Funds Transfer to the supplier, complete with reference and remittance advice if required by the buyer (ordinarily, these funds will reach the supplier the following day).

Adding value

The benefits speak for themselves. Commercial card credit lines allow finance teams to extend days payable outstanding (DPO) for 55-60 days — unlocking much-needed working capital. Suppliers are paid on time with no extra charges, preserving key supply chain relationships at a time, such as today, when many businesses are struggling financially.

To find out more about the Invapay platform, take a look at our latest video.