What is Dynamic Discounting?

Put Excess Cash to Work

Dynamic discounting is an early payment solution that utilizes your excess cash to fund supplier early payments for a discount. This solution improves supplier health, reduces cost of goods sold and earns a high return.

Strengthen Supply Chain

Early payments keep suppliers financially stable and removes supply chain volatility.

Reduce Cost of Goods

Improve your bottomline and generate cost savings through discounted invoices.

Earn a Return on Cash

Deploying your cash to achieve discounts earns a higher return than most investments.

How Dynamic Discounting works

Self-funded Early Payments

Dynamic discounting lets you utilize your own capital to fund supplier early payments in exchange for invoice discounts. The earlier a supplier requests payment, the more you save on costs. Invoices can be accelerated at anytime between invoice approval and maturation. Coupled with extended payment terms, you can also receive a working capital benefit from all invoices paid at maturity.

THE LSQ Difference

Smart and Simple Dynamic Discounting

LSQ sits at the intersection of finance, payments and software. Our expertise servicing suppliers for more than 25 years has guided our platform development to create a fast, intuitive and smart working capital platform. See what makes LSQ FastTrack® dynamic discounting different.


Quick and easy to launch

An inefficient, unintuitive, or hard-to-implement solution will prevent your dynamic discounting from getting off the ground. LSQ FastTrack offers no-code, SFTP, and API data-integration options that allow you to be up and running – and processing supplier early payments – within days, not months.

Once you’re online, your suppliers can enroll in your dynamic discounting program in less than two minutes with no background checks, liens, or personal information requirements. We simply verify their bank information and they are ready to accept payment on invoices approved by you.

  • No-code, SFTP, and API implementations

  • 2-minute supplier enrollment with no red tape

  • Launch in a matter of days, not months

Working Capital Image
Adapt to changing liquidity needs


Adapt to changing liquidity needs

Structure your program to meet your changing liquidity needs. We provide the most extensive program funding options of any supply chain finance platform.

You can utilize your own cash with dynamic discounting or fund a supply chain finance program through various third-party funding sources including LSQ. Our platform is flexible enough to combine multiple funding sources to run supply chain finance and dynamic discounting programs simultaneously.

  • Third-party funding sources

  • Self-funded options

  • Combine different funding sources

Supplier Utilization & Enrollment

Maximize your investment

Ensuring that the right suppliers get onboarded at the right time is key to the success of your dynamic discounting program. Our team thoroughly analyzes your supplier and accounts payable data to ensure maximum adoption so you can start seeing the quickest return on your investment.

Once your suppliers are segmented, we handle education outreach to help them understand the value of the program and get them on board, so you can stay focused on your business.

Supplier utilization and enrollment


Manage and analyze program success

  • Intuitive real-time dashboard and reports

  • Granular invoice and supplier management

  • Working capital, payment and spend insights

  • Customizable notifications and alerts

Expand supplier access to working capital with early payments and our easy-to-use platform – dashboard screenshot.


Expand supplier access to working capital

  • Click-to-select invoices for early payment

  • Automate or set payments to new terms

  • Flexible same-day ACH payments

  • Advance all receivables with invoice finance

Related Content

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