What is dynamic discounting?

Dynamic discounting is a supply chain finance technique where a buyer offers to pay a supplier's invoice earlier than the agreed payment date in exchange for a small discount on the invoice amount. The discount rate is 'dynamic' because it varies based on how early payment is made — the earlier the payment, the higher the discount offered.

Is Discount Flow free for suppliers?

Yes. Discount Flow is completely free for suppliers. There are no fees, no subscription costs, and no minimum invoice size. Suppliers can register, upload an invoice, and send their first discount offer in under 10 minutes.

How is dynamic discounting different from invoice factoring?

With invoice factoring, a third party buys your receivables at a steep discount and collects payment from your customer directly. With dynamic discounting on Discount Flow, your existing buyer pays you early — there is no third party, no credit check, and the discount is significantly smaller. Your customer relationship stays completely intact.

How quickly do suppliers get paid?

Once a buyer accepts a discount offer, payment is transmitted directly from buyer to supplier, typically settling within 48 hours via their existing bank transfer or wire method.

What returns do buyers earn on dynamic discounting?

Buyers on Discount Flow typically earn an estimated annualized return of 12–24% on early payments. This is calculated as (discount % ÷ days accelerated) × 365. A 2% discount on a payment made 30 days early equals approximately 24% annualized — significantly above any treasury or money market rate.

What size company is Discount Flow designed for?

Discount Flow is purpose-built for mid-market companies with $10M to $500M in annual revenue. Enterprise platforms like C2FO or Taulia require complex ERP integrations and long sales cycles. Discount Flow is designed to get companies live in under a day.

How is dynamic discounting different from supply chain finance?

Traditional supply chain finance involves a bank or financial institution funding early supplier payments on the buyer's behalf — the supplier essentially borrows against the buyer's credit rating. Dynamic discounting requires no bank: the buyer uses their own cash to pay early in exchange for a discount. It is simpler, faster to set up, and works for any supplier regardless of size.

Is Profit Flow a loan?

No. Profit Flow documents a Refundable Customer Deposit arrangement between existing trading partners. The buyer advances funds to the supplier; the supplier repays the deposit plus Interest at the end of the agreed term. It is not a registered security and does not require credit approval from Featherbrooke.

Who holds the money in a Discount Flow transaction?

Nobody. Cash moves directly from buyer to supplier via their existing payment method — bank transfer, wire, or however they normally pay. Discount Flow is a coordination and confirmation tool. We never touch the funds.

How does Profit Flow work?

Profit Flow documents a Refundable Customer Deposit between a buyer and a supplier they already trade with. The buyer advances a lump sum; the supplier holds and uses the funds; the supplier repays the deposit plus Interest at an agreed annual rate at the end of the term (6 or 12 months). Both parties e-sign the agreement in the tool. Featherbrooke at no time receives, holds, or transfers the deposit.