Supply Chain Finance
OpenInvoice Supply Chain Finance is a fully integrated supplier payment program that allows you to pay your suppliers faster while you hold on to your cash longer and earn money at the same time.
The Buyer & Supplier Cash Flow Dynamic
The balance between supply and demand can shift quickly, especially in the oil & gas industry. As a buyer, you want to hang on to cash longer to strengthen your balance sheet while ramping-up operations, but you need a stable supplier base to support your growth. Your suppliers, on the other hand, are asked to provide more services but are expected to accept extended payment terms, putting their business under cash flow pressure.
A Win/Win for Buyers & Suppliers
As a buyer, you want a strong and loyal relationship with your suppliers ensuring you get the services you need to operate and grow. Oildex’s Supply Chain Finance program gives you the ability to pay your suppliers sooner while you optimize payment terms and maximize capital returns – meaning you can keep your cash longer while your suppliers can get cash flow right away.
How it Works
- Signs with Cass Bank and sets payment terms
- Receives/approves invoices through OpenInvoice
- Pays invoices to Cass Bank on agreed terms (30-90 days)
Oildex & Cass Bank
- Oildex works to promote the program to Suppliers and get them into the system
- Cass Bank receives approved invoices, pays Supplier early
- Oildex remits rebate payments to the Buyer quarterly
Top 5 Reasons Oil & Gas CFOs Should Utilize Supply Chain Finance
This Ardent Partners report details how CFOs and other financial leaders in the oil and gas industry can leverage SCF to optimize payments, maximize returns, normalize cash flows, strengthen supplier relationships, and ultimately improve bottom line results.Read the White Paper
Benefits of Supply Chain Finance
- Maintains or extends payment terms
- No financing costs
- Stable supply chain
Buyer & Supplier
- Predictable cash flow
- Improved liquidity
- Stronger relationships
- Receives payment faster
- No financing/loan required
- Cheaper than traditional financing
The Oildex Advantage
Our supply chain finance product is fully integrated with our industry-leading OpenInvoice platform and can exist along with other capital management programs.
Our extensive network means more participating suppliers which can streamline adoption and make the overall process easier and faster for everyone.
Oildex is the first point of contact for all service and support requests, that means you can focus on your business.
Supply Chain Finance is delivered on our secure OpenInvoice platform with multiple layers of security, each with its own policies.
Learn More About Supply Chain Finance
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