🔄 Reverse Factoring Simulator
How does buyer-led supply chain financing benefit all three parties?
⚙️ Deal Parameters
Invoice Amount ($K)
500
Original Payment Terms (days)
60
Supplier's Borrowing Rate (%)
12
Buyer's Credit Rating Discount Rate (%)
4
Early Payment Day
10
🔁 How It Works
🏢
Buyer
approves invoice & extends payment to bank
🏦
Bank
pays supplier early at buyer's low rate
🏭
Supplier
gets cash on Day
10
instead of Day
60
✅
Everyone wins: supplier gets early cash, buyer keeps terms, bank earns spread
💵 Supplier's Perspective
$0
Without RF: Wait
60
days or borrow at
12
%
$0
With RF: Cash on Day
10
, cost only
4
%
$0
Supplier Savings per Invoice
$0
Bank's Earnings (Spread)
📊 Cost Comparison Over Payment Terms
Adjust parameters to see the financial impact on all parties.
🌍 Annual Program Impact (100 invoices/year)