Capture Early Payment Discounts
Process invoices fast enough to capture every available discount. Turn payment terms into profit.
Early payment discounts like 2/10 Net 30 offer an annualized return of 36%+. Yet most companies capture less than 20% of available discounts because they can't process invoices fast enough.
The Challenge
By the time invoices are entered, matched, approved, and scheduled for payment, the discount window has closed. Manual processing simply can't move fast enough for consistent discount capture.
The Solution
Nexus AP accelerates every step of invoice processing. Invoices that used to take 10+ days now process in 1-2 days. That gives you time to capture discounts while optimizing your payment timing.
How It Works
Instant Capture
Invoice received and processed immediately
2-3 days before invoice is even entered
Processed within hours of receipt
Fast Matching
Automated matching clears invoice quickly
3-5 days for manual matching
Instant for auto-matched invoices
Quick Approval
Mobile approvals accelerate sign-off
5-7 days waiting for approvers
1-2 days with push notifications
Optimized Payment
Pay in time for discount, but not earlier than needed
Miss discount or pay too early
Scheduled for optimal timing
Key Features
Accelerated processing
From receipt to payment-ready in 1-2 days
Discount tracking
See all available discounts and deadlines
Payment optimization
Schedule payments to maximize discounts
Discount analytics
Track capture rate and missed opportunities
Vendor prioritization
Focus on highest-value discount opportunities
Cash flow balance
Balance discount capture with cash management
Benefits
Higher capture rate
Capture 80%+ of available discounts
Significant savings
Add real dollars to your bottom line
Better vendor terms
Reliable payment earns better terms
Cash flow optimization
Pay at the optimal moment
ROI Impact
| Metric | Before | After | Improvement |
|---|---|---|---|
| Discount capture rate | 15-20% | 80%+ | 4x improvement |
| Annual discount value (on $5M spend) | $15K | $80K | $65K more |
| Processing speed | 10-15 days | 1-2 days | 85% faster |
| Effective annual return | Missed | 36%+ | Captured |
“We went from capturing maybe 1 in 5 early payment discounts to nearly all of them. That alone paid for the entire AP automation system.”
Frequently Asked Questions
What is the value of a 2/10 Net 30 discount?
A 2% discount for paying 20 days early equals a 36.7% annualized return. Even a 1% discount for 10 days early equals 36.5% annualized. This beats nearly any other use of cash.
How do you balance discounts with cash flow?
Nexus shows you the true value of each discount opportunity. You can set thresholds based on available cash, prioritize high-value discounts, and schedule payments for optimal timing.
What if we don't have the cash to pay early?
Taking early payment discounts can actually improve cash flow over time. Some companies even use short-term financing to capture discounts because the return exceeds borrowing costs.
Category
EfficiencyRelated Use Cases
Popular Industries
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