Credit where it’s due: Why B2B needs a digital credit upgrade
Read the latest research into the impact of digitisation and trade credit on growth and productivity.
Suppliers not investing in digitisation risk being left behind
As B2B shifts more towards ecommerce, suppliers with higher levels of digitisation are gaining a rapidly increasing advantage.
B2B suppliers that already offer an ecommerce option are 3x more likely to invest more in digitisation.
Considering these suppliers nearly double the number of orders via a digital platform than their less digital counterparts. This positive momentum has the potential to propel those investing far ahead of the pack.
Demand for trade credit is increasing faster than ever before
Trade credit has always been a driving force for B2B transaction volumes, giving essential purchasing power and flexibility to trade customers. However, economic conditions and tighter criteria from lenders have meant more trade customers asking for longer terms than ever before.
84% of businesses reported adjusting payment terms in 2024, compared to just 46% in 2020 during the pandemic.
Suppliers are equally more motivated to accommodate customer demands to stay competitive. Those relying on legacy trade credit models find themselves making a choice: take on more credit risk, or risk losing customers.
Digitisation and the use of trade credit solutions are both linked to higher productivity
Digital trade credit has the potential to combine the efficiencies of scale and convenience of ecommerce with flexible financing. Businesses using digital trade credit gain the benefits of trade credit, as well as a reduction in the risks and administrative burden of managing payments.
Fully digitised businesses that offer digital trade credit solutions are, on average, 2.6x more productive than those that don’t.
In other words, they’re generating 2.6x more revenue per employee than their less digital counterpart.
Download the full report for the complete analysis on the changing expectations of trade customers and recommendations for B2B businesses to maximise their profitability while meeting these demands.
Get the full report
Getting paid with Pay Later
Here are some of the common questions we get asked about accepting payments with Pay Later - you can find all our FAQs here.
We take on all the credit risk so there’s no recourse - that means if your customers don’t pay us we’ll never come to you asking for the money (unlike other solutions like invoice factoring).
We also don’t outsource our credit recovery process to nasty third parties. iwocaPay is part of iwoca - an award winning small business lender with years of experience lending responsibly and working with businesses to get them back on track when they struggle to pay.
We only charge for Pay Later when your customers use it , there’s no subsctiption fees. You also control who pays for Pay Later - either a fixed % on each Pay Later transaction for you (and interest free for your customers) or free for you and interest bearing for you customers.
What you pay will depend on your business and account set up when you join us, speak to the team on 0203 778 0549 to find out how this might work for your business.
Yes - if your customers signs up using your sign up link. They’ll appear in you “Spending Limit” page in the dashboard. They’ll show the same statuses as payments for “Signed Up” & “Approved”.
If they sign up on the iwocaPay website you won’t be able to see them here.
Their maximum spending limit is £30,000 over 3 or 12 months.
When customers start make repayments their spending limit tops up by the same amount.
Want to accept payments with iwocaPay? Get in touch
Talk with one our account managers who will get to know you and your business and then see how iwocaPay can help.
We'll cover:
- an explanation of how iwocaPay works
- details about your business and your customers
- a more personalised pricing and roll out process estimate