Businesses in the UK now have the option to offer their trade customers a flexible payment period of up to 12 months, thanks to the latest feature from iwocaPay, the integrated B2B payments solution. This new offering builds upon the existing three-month payment term, giving businesses the opportunity to pay over a longer period.
The ‘Pay in 12’ solution from iwocaPay aims to address the cash flow issues between buyers and suppliers, allowing suppliers to receive upfront payments and reinvest the funds immediately. At the same time, eligible trade customers have the option to spread their purchases further and benefit from a 70% reduction in monthly payments, giving them more time to recoup their investment.
This feature allows businesses to manage their payments using a subscription model, converting upfront costs into twelve monthly payments. With integrations with popular platforms such as Quickbooks, Xero, WooCommerce, and Magento, iwocaPay is now accessible to approximately one million businesses in the UK.
iwocaPay has also introduced another feature, a spending limit for businesses. Trade customers can access a spending limit of up to £15,000, which they can use to purchase goods and services from businesses that accept payments with iwocaPay. They can repay the amount monthly over a maximum of 12 months, enabling multiple purchases within their approved limit.
While the ‘Pay in 12’ option tackles cash flow concerns, the new spending limit feature addresses the issue of customer acquisition. According to a survey, nearly 30% of businesses reported that they would consider not working with a supplier due to unfavorable payment terms. By providing trade customers with an iwocaPay spending limit, businesses can offer competitive terms without the burden of credit management. iwocaPay handles credit checks, onboarding, and repayments, allowing suppliers to focus on serving their customers.
This trade credit alternative provides customers with visibility of their spending potential upfront, empowering them to make informed purchasing decisions. They can utilize their spending limit to buy services or products from multiple suppliers and seamlessly settle payments with terms and spending limits integrated into the checkout process.
Lara Gilman, Co-lead of iwocaPay, commented on the new features, expressing the company’s commitment to addressing the payment challenges faced by businesses. By offering flexible payment terms and spending limits, iwocaPay aims to support businesses in managing their cash flow and improving their relationships with suppliers and customers.
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