Vendor Spotlight: 5 Ways Vendors Drive Top & Bottom Line Improvements with Quartix
When it comes to accelerating payments of a sponsoring client, Quartix puts vendors like you in the driver's seat by offering you a flexible early payment app. How do vendors take advantage of this optional tool? Let's take a look.
When it comes to accelerating payments, Quartix empowers vendors with a flexible, digital, and optional solution to expedite approved payments from their clients. While managing cash flow is a primary benefit, subscribed vendors enjoy much more. Let's explore five different ways vendors leverage Quartix to optimize cash flow, reduce operational costs, and even increase sales, all without conflicting with their existing secured credit lines
Use case I: Overcoming seasonal peaks or cash flow gaps
This is a common practice among vendors utilizing Quartix. During peak seasons or unexpected cash flow gaps, vendors accelerate payments to bridge the temporary funding needs. Quartix is entirely optional and incurs no costs if vendors choose not to accelerate payments, allowing them to maintain tight control over spending during low seasons or when extra cash is unnecessary.
Use case II: Securing a backstop to your existing credit / bank lines
Quartix serves as an unsecured and uncommitted financing channel that complements secured bank lines. By accelerating payments through Quartix, vendors sell their invoices on a non-recourse basis, removing the receivable from the balance sheet without incurring additional debt. It provides vendors with a backup alternative to their bank lines at no extra cost.
Use case III: Simplifying collections
With Quartix, vendors receive digital payments via ACH/wire transactions, eliminating the hassles of waiting for and processing paper checks. Moreover, Quartix aids in guaranteeing collections, reducing risks, and minimizing other cost elements associated with collecting invoices that are due or overdue. Additionally, vendors benefit from receiving a lump sum through a single payment instead of dealing with multiple smaller payments.
Use case IV: Increasing sale volumes
Quartix enables vendors that cap their credit exposure towards clients to expand their sales. When Quartix accelerates a payment, it purchases the invoice from the vendor on a non-recourse basis, allowing the vendor to sell invoices to Quartix when they exceed their desired credit exposure towards the sponsoring SCF client, ensuring they can continue selling to that client while staying within their credit exposure limits.
Use case V: Enhancing transparency in invoice approvals
While some vendors primarily use Quartix as an early payment solution, others leverage it as a visibility and transparency tool to track the approval status of invoices issued to sponsoring buyers. This approach allows vendors to proactively address any issues preventing invoice approval, potentially saving money, time, and effort. In case an invoice does not appear on Quartix, vendors can contact the buyer in advance to confirm receipt or resolve any problems.
Vendors of all sizes, from small businesses to Fortune 1000 giants, rely on Quartix to achieve financial and operational flexibility, resulting in tangible savings and improved quality of life. Quartix's ability to control costs and provide quick access to cash sets it apart as a leading vendor early payment solution in the market.