🧾 The Hidden Cost of Net-30: What Retailers Lose When They Wait to Pay

For years, Net-30 has been the norm in retail — a standard that feels safe and practical. Pay your vendors 30 days after receiving an invoice, keep cash longer, and protect your working capital.

But here’s the truth: those 30 days are costing you more than you think.

While your cash sits idle, your vendors are tightening their budgets, cutting production, or paying interest on short-term loans just to keep up with your orders. The result? Higher prices, stockouts, and missed sales opportunities that quietly drain your bottom line.

💸 The Real Price of “Free” Terms

Let’s break it down.
When vendors wait weeks to get paid, they’re the ones financing your shelves. To cover that gap, they borrow — and that cost often comes back to you through higher prices or smaller discounts.

In fact:

• 60% of small and mid-sized suppliers report losing up to 15% of revenue to cash-flow delays (Source: Supply & Demand Chain Executive).

• 46% of retail sales losses come from stockouts, often caused by suppliers unable to produce or ship on time (Source: NielsenIQ).

So while Net-30 feels like good cash management, it can quietly erode the health of your supply chain — and your profitability.

⚙️ Why Paying Early Changes Everything

Imagine this: instead of vendors waiting 30 days, they can choose to get paid right after you approve an invoice — and you get a discount for offering that flexibility.

That’s the concept behind EarlyPay from Purchs.

It lets retailers fund their own payables, or “buy now, pay later”, to give vendors faster access to cash — while you capture savings on the goods you already buy.

Here’s how it works:

1. Your vendor delivers and invoices as usual.

2. You approve the invoice in Purchs.

3. Vendors can opt to get paid early.

4. You still pay on your regular terms — but earn a discount for enabling faster payment.

Simple. Transparent. Win-win.

🤝 Better Cash Flow Means Better Partnerships

Paying early isn’t just about discounts. It’s about creating stronger, more resilient supplier relationships.
When your vendors have steady liquidity, they can:

• Keep shelves stocked

• Invest in quality and innovation

• Offer you better pricing and reliability

The ripple effect? Fewer disruptions, more trust, and a healthier supply chain that can grow with you.

✅ The Bottom Line

Net-30 isn’t free. It’s just delayed — and delay has a cost.

By giving your vendors the option to get paid sooner, you protect your own margins while helping them thrive. With Purchs EarlyPay, you turn your accounts payable into a strategic advantage instead of a waiting game.

Fund it yourself. Pay early. Earn discounts.

👉  Click Here to learn more about EarlyPay