Supply Chain Financing (SCF) 

Supply Chain Financing (SCF) is a set of financial solutions that optimize cash flow by allowing businesses to extend payment terms to suppliers while enabling suppliers to get paid early, often facilitated through a financial intermediary. 

Benefits: 

• Buyers improve working capital 

• Suppliers receive prompt payment 

• Strengthens supplier relationships 

• Reduces supply chain disruption risk 

Common tools: 

• Reverse factoring 

• Dynamic discounting 

• Inventory financing