Executive Summary
IBEA’s Payment Acceleration program helped a mid-sized Saudi supplier close a sudden working-capital gap the same day—without taking on new debt—by accelerating three approved invoices (total SAR 327,000) at an average 3% discount. The buyer’s AP team executed and reconciled payments automatically via IBEA, capturing immediate savings and proving how accounts payable can function as a predictable, cash-generating lever.
Client Launch Overview
When IBEA went live with its first enterprise client, it transformed the traditional B2B payables process into an automated, value-creating workflow. The platform enables buyers to pay suppliers earlier in return for a discount, while suppliers gain on-demand access to cash tied to approved invoices. The result is a flywheel of liquidity and profitability across the supply chain.
The Liquidity Challenge
A mid-sized supplier—historically dependent on a revolving bank credit line to bridge receivables—hit an unexpected shortfall in its facility during the first month of deployment. With operational expenses looming and days remaining until invoice maturity, traditional options (extending limits, new short-term loans) risked higher cost, documentation delays, and uncertainty.
The IBEA Intervention
From IBEA Supplier Portal, the supplier elected to accelerate three approved invoices totaling SAR 327K, accepting an average 3% discount. The buyer executed early payment with a click; funds settled to the supplier the same day, sourced directly from the buyer’s bank account. No new borrowing, covenants, or collateral were required, just the monetization of an already-approved receivable.
At a Glance
Outcomes & Impact
For the Supplier
For the Buyer (AP/Finance)
Why It Matters (Market Context)
Saudi B2B payment practices have historically involved late payments and elevated insolvency risk, pressuring SME cash flows. In markets with persistent delays, foreign suppliers often price in risk premium, pushing up input costs and straining working capital. Dynamic discounting directly addresses this by de-risking cash conversion for suppliers and enabling buyers to capture discount yield while supporting ecosystem health.
Analytical Takeaways
For Buyers
IBEA’s dynamic discounting model allows finance teams to program returns on payables by selectively accelerating approved invoices where the discount yield meets or exceeds hurdle rates. Practically, this turns AP into a repeatable cash-generation mechanism while maintaining supplier goodwill.
For Suppliers
IBEA serves as an on-demand, non-debt liquidity rail for cash-contained moments. Because funding is tied to approved invoices rather than new borrowing, suppliers reduce dependence on facilities, fees, and covenants—improving cash predictability and operational stability.
KPIs to Track
Conclusion
This deployment demonstrates how IBEA aligns incentives on both sides of the transaction: suppliers gain immediate, debt free working capital; buyers monetize approved payables with minimal friction. The result is an integrated, automated payment ecosystem that improves liquidity, reduces process cost, and strengthens buyer–supplier partnerships—turning the payables function into a genuine growth driver.
