Cash flow finance
Supply chain finance Ireland: reverse factoring explained
Supply chain finance lets suppliers get paid early on invoices a large buyer has approved, while a separate kind, supplier-payment finance, helps your company pay its own suppliers now and repay later.
- How long
- Per invoice; 1 to 5 months with Treyd
- Depends on the lender and the deal
- How fast
- Around 3 working days
- Typical; never guaranteed
- Our fee
- €0 to you
- The lender pays us commission
Quick eligibility check
Need to pay suppliers sooner? Tell us what your company needs
Step 1 of 3 · about 60 seconds
About 60 seconds · no credit search · not recorded on the Central Credit Register
Prefer to talk? +353 1 536 9910- How long
- Per invoice; 1 to 5 months with Treyd
- Depends on the lender and the deal
- How fast
- Around 3 working days
- Typical; never guaranteed
- Our fee
- €0 to you
- The lender pays us commission
- Irish limited companies
- Several lenders, one request
- No fees for your company
- No obligation
At a glance
Supply chain finance at a glance
around 3 working days
- Irish limited companies
- Often 12+ months trading
- Depends on the lender
- 1
Tell us what you need
Three taps: purpose, amount, business type. About 60 seconds, no credit search and not recorded on the Central Credit Register.
- 2
We match you to lenders
We check your profile against lender criteria and approach only those likely to consider it. One request, only to lenders likely to consider it.
- 3
Compare any offers
See the rate, fees, security and any personal guarantee side by side before you decide anything.
Lenders we work with
We are a broker, not a lender. Lender names and logos are trademarks of their owners and are shown with permission. Their inclusion does not mean the lender endorses Welcome Finance. Finance is subject to each lender’s own approval, which is not guaranteed.
About supply chain finance
Supply chain finance, often called reverse factoring, is a programme a large buyer sets up with a bank or finance platform. When the buyer approves a supplier's invoice, the supplier can choose to be paid early by the funder, minus a discount, and the buyer pays the funder in full on the original due date. Because the funder relies on the buyer's promise to pay, the cost is usually based on the buyer's credit rather than the supplier's. Your company cannot apply for this on its own: it joins by invitation if a customer runs a programme. Buyers sometimes use these programmes alongside longer payment terms. Under Irish late payment rules, where a contract between businesses sets a payment period longer than 60 days, it must be expressly agreed and must not be grossly unfair to the supplier.
The other side of supply chain funding is supplier-payment finance, which our panel can help with. Here a funder pays your company's suppliers now, and your company repays later. Treyd, one of our panel lenders, pays suppliers upfront for Irish companies that sell physical goods, with a payback period of 1 to 5 months on each invoice and a limit decided within 24 hours of applying online, which is not guaranteed. Treyd asks for about one year of trading and turnover of at least €200,000, and works with limited companies that buy and sell finished products. For import documents such as letters of credit, see trade finance; for funding stock for resale in general, see stock finance. Tell us what your company needs and we'll tell you honestly whether our panel can help, or where to look instead.
What it’s used for
- Getting paid early on invoices a buyer has approved
- Paying your own suppliers upfront
- Taking early-payment or bulk discounts
- Smoothing cash flow when customers pay on long terms
Who it’s for
- Suppliers to large retailers, manufacturers and multinationals
- Companies that buy physical goods and want to pay suppliers sooner
- Wholesalers, distributors and brands with long gaps between paying suppliers and getting paid
No credit search · not recorded on the Central Credit Register · about 60 seconds
Supply chain finance calculator
Cash tied up in your trading cycle
€328,767
- Owed by customers
- €328,767
- Held in stock
- €98,630
- Less: owed to suppliers
- −€98,630
- Cash conversion cycle
- 60 days
This is roughly the cash your company needs to keep trading at this size. Invoice finance, stock finance or a working capital facility can fund some or all of it.
Check eligibility for working capitalIllustrative only. Actual rates, fees and terms depend on your circumstances and the lender. This is not an offer of finance.
How supply chain finance works
- 1
Buyer sets up a programme
A large buyer agrees a programme with a bank or platform and invites suppliers.
- 2
Invoice approved
The buyer confirms it will pay the invoice in full on the due date.
- 3
Early payment
The supplier chooses to be paid early by the funder, less a discount.
- 4
Buyer pays at maturity
The buyer pays the funder on the original due date.
Types of supply chain finance
Reverse factoring
Buyer-led: approved invoices paid early by the buyer's funder. Joining is by invitation.
Dynamic discounting
The buyer pays early from its own cash in return for a discount. No funder is involved.
Supplier-payment finance
A funder pays your company's suppliers and your company repays later. Our panel may help.
Typical eligibility
Every lender sets its own criteria. These are common starting points. We’ll tell you which lenders are likely to consider your business.
- Reverse factoring: an invitation from a buyer that runs a programme
- Supplier-payment finance through us: an Irish limited company that buys physical goods
- Treyd asks for about one year of trading and €200,000 turnover
- Accounts and bank statements that show your company can repay
What you’ll usually need
- The buyer's onboarding pack, for reverse factoring
- Supplier invoices or orders, for supplier-payment finance
- Latest accounts
- Business bank statements
- Director ID and proof of address
Advantages
- Early payment at a cost linked to a strong buyer's credit
- Supplier-payment finance keeps cash in your company while goods sell
- Paying promptly can win supplier discounts
Things to consider
- Reverse factoring is only open if your customer runs a programme
- Programmes can come with pressure for longer payment terms
- Supplier-payment finance must be repaid even if goods sell slowly
Rates, fees and costs
In reverse factoring the supplier pays a discount on each early payment, set by the buyer's funder and usually linked to the buyer's credit and the days left to the due date. With supplier-payment finance your company pays the cost: Treyd, for example, adds a fee to the amount repaid on each funded invoice, and holding a limit costs nothing. Compare every cost in euro with what you would save from an early-payment discount or lose by waiting.
We are paid commission by the lender when finance completes. We do not charge your company a fee and never ask for payment upfront.
Example (for illustration only): a large buyer approves a supplier’s €50,000 invoice, due in 90 days, on its supply chain finance programme. If the supplier chose to be paid early and the funder’s discount was €750, the supplier would receive €49,250 now, and the buyer would pay the funder the full €50,000 on the due date. The discount is set by the buyer’s funder, so compare it with what waiting 90 days would cost your company. A supplier can only join a programme when the buyer invites it, and the funder’s terms decide the real cost.
A buyer can change or end a programme, so early payment may stop at short notice. With supplier-payment finance your company must repay on the agreed date even if the goods sell slowly or not at all.
Finance is subject to status and the lender’s approval. Welcome Finance is a commercial finance broker, not a lender. We arrange finance for limited companies for business purposes only; this is not regulated by the Central Bank of Ireland.
Compare supply chain finance with alternatives
Not sure this is the right fit? Here’s how it compares with the options businesses most often weigh it against.
Supply chain finance
This page- Amount
- Varies
- Term
- Per invoice; 1 to 5 months with Treyd
- Typical speed
- Treyd says a limit within 24 hours of applying; not guaranteed
- Security
- Depends on the lender
- Typical min. trading
- 12 months
- Amount
- Varies
- Term
- Ongoing facility
- Typical speed
- Some providers fund within 24 hours once set up
- Security
- Invoices
- Typical min. trading
- 6 months
- Amount
- Varies
- Term
- Usually 1 to 5 months per purchase
- Typical speed
- Usually 1 to 3 weeks to set up
- Security
- Stock / orders
- Typical min. trading
- 12 months
- Amount
- Varies
- Term
- Per transaction
- Typical speed
- Usually 1 to 3 weeks to set up
- Security
- Stock / orders
- Typical min. trading
- 24 months
| Detail | This page Supply chain finance | Invoice finance | Stock finance | Trade finance |
|---|---|---|---|---|
| Amount | Varies | Varies | Varies | Varies |
| Term | Per invoice; 1 to 5 months with Treyd | Ongoing facility | Usually 1 to 5 months per purchase | Per transaction |
| Typical speed | Treyd says a limit within 24 hours of applying; not guaranteed | Some providers fund within 24 hours once set up | Usually 1 to 3 weeks to set up | Usually 1 to 3 weeks to set up |
| Security | Depends on the lender | Invoices | Stock / orders | Stock / orders |
| Typical min. trading | 12 months | 6 months | 12 months | 24 months |
How we work
Supply chain finance: frequently asked questions
What is supply chain finance?
Supply chain finance is a way of paying suppliers earlier without the buyer paying sooner. In the common form, reverse factoring, a large buyer sets up a programme with a bank or platform, and suppliers can be paid early on approved invoices, less a discount. The buyer then pays the funder on the due date. The term is also used loosely for finance that helps a company pay its own suppliers.
What is reverse factoring?
Reverse factoring is buyer-led supply chain finance. The buyer approves a supplier's invoice, a funder pays the supplier early at a discount, and the buyer pays the funder in full on the due date. It is called reverse because the buyer, not the supplier, starts the arrangement. The discount usually reflects the buyer's credit, which can make it cheaper than a supplier's own invoice finance.
What is the difference between supply chain finance and invoice factoring?
With invoice factoring, your company sells its invoices to a factor on its own initiative, and the cost is based on your customers and your company. With reverse factoring, your customer sets up the programme, only invoices it has approved are paid early, and the price is based on the customer's credit. Factoring covers your whole sales ledger; reverse factoring covers one buyer.
Can a small Irish supplier join a supply chain finance programme?
Yes, if a customer that runs a programme invites you. Many programmes are set up by large retailers, manufacturers and multinationals for their suppliers, and joining usually involves an onboarding check by the buyer's funder. You cannot set one up on your own. If your customers do not offer one, invoice finance or our panel's working capital loans may help with the gap instead.
Can a buyer use supply chain finance to stretch my payment terms?
A buyer may ask for longer terms when it offers a programme, but Irish law sets limits. Where a contract between businesses sets a payment period longer than 60 days, it must be expressly agreed and must not be grossly unfair to the supplier. Where no period is agreed, interest runs from 30 days after the invoice. Signatories to the Prompt Payment Code pledge to pay on agreed terms.
What is supplier-payment finance?
Supplier-payment finance is funding that pays your company's suppliers now, while your company repays later. Treyd, one of our panel lenders, pays suppliers upfront for Irish companies selling physical goods, with a payback period of 1 to 5 months on each invoice. It suits companies that buy stock, materials or freight well before their customers pay, and it is one of the products our panel may help with.
How is supply chain finance different from trade finance and stock finance?
Supply chain finance is about when suppliers are paid, either early through a buyer's programme or upfront through supplier-payment finance. Trade finance covers international trade tools such as letters of credit and import loans. Stock finance funds goods bought for resale until they sell. They overlap, so tell us what you are buying and when you are paid, and we will point you to the right one.
Can Welcome Finance help with supply chain finance?
Partly. Buyer-led reverse factoring programmes are arranged between a large buyer and its funder, so a supplier cannot set one up itself. Our panel may help your company with supplier-payment finance, where a lender such as Treyd pays your suppliers and you repay later. Any limit or decision is up to the lender and is not guaranteed. Tell us what your company needs and we'll tell you honestly whether our panel can help, or where to look instead.
Check in 60 seconds
Need to pay suppliers sooner? Tell us what your company needs
Our panel may help with supplier-payment finance for Irish limited companies that buy physical goods. Tell us what your company needs and we'll tell you honestly whether our panel can help, or where to look instead.
- No credit search, not recorded on the Central Credit Register
- One request, several lenders: we’re a broker, not a lender
- For limited companies registered in Ireland
- No fees for your company: we’re paid commission by the lender
Step 1 of 3 · about 60 seconds
Sources: Supplier invoice financing for Irish companies, Treyd (checked 23 Oct 2026); Treyd launches in Ireland, Treyd (checked 23 Oct 2026); Late payment in commercial transactions, Department of Enterprise, Tourism and Employment (checked 23 Oct 2026); Prompt Payment Code of Conduct, gov.ie (Department of Enterprise, Tourism and Employment) (checked 23 Oct 2026); Your questions, Treyd (checked 23 Oct 2026).