MasterCard and Basware have introduced Basware Pay to connect buyer and supplier payment processes and allow working capital optimization. The new process stems from the rate at which businesses admit to delaying payments to suppliers. In the past 12 months, 57% of surveyed international businesses have actively paid suppliers late, according to the companies’ recent research. Additionally, three of four businesses said they consider this a normal practice—which is hindering small and medium-sized enterprises (SMEs). Basware Pay helps buyers manage their cash flow and suppliers get paid sooner.
Basware Pay adds to Basware and MasterCard’s existing relationship and offers a new solution to optimize working capital. The system prolongs the value of the purchase-to-pay process by using a global e-payment solution—connecting buyers’ and suppliers’ payment process through the Basware Commerce Network. Suppliers’ invoices are sent through the Basware Commerce Network, are approved by the buyer, and then become available for payment through a virtual MasterCard account number. The supplier receives an early payment and the buyer usually has extended payment terms.
MasterCard and Basware surveyed more than 1,000 strategic decision makers for its “Creating Payment Energy” study. The top findings showed that 88% of respondents agree that suppliers should be paid promptly. However, 74% of decision makers think late payments will always happen, although 90% acknowledge that payment delays have greater repercussions for businesses—such as the ability to pay staff. Sixty-seven percent said they have used payment terms to help manage cash flow, and only one in four businesses reported having an automated process to manage payments.
In other industry news:
- RS Components (RS) has introduced an Internet of Things (IoT) area to its online Design Spark community. The new area features software design tools and resources for rapid prototyping and development.
- Distributor Rutronik has expanded its Inductive Components line card. Customers are now able to acquire SUMIDA brand products directly from Rutronik—including VOGT and STELCO brands.
- TTI’s The Specialist explores a galaxy far away in The Adventures of The Specialist. The ongoing comic series’ protagonist is now headed to space to save an ailing space station crew.
- Mouser is sponsoring the China Racing Formula-E Team—which will be competing in the international 2014/15 Formula E racing series featuring all-electric cars. The team is also being sponsored by partners Molex and Vishay Intertechnology, Inc. Additionally, Mouser is now stocking the XMC100 ARM Cortex-M0 32-bit Industrial Microcontrollers from Infineon Technologies—the first to stock the entire Infineon XMC family of microcontrollers.
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