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B2B BNPL solutions: What to look for

Updated: Nov 16

B2B BNPL solutions: What to look for

When you’re selling to businesses, having the right payment stack is a catalyst for big wins. 95% of B2B Buyers want to pay by invoice and have indicated that this is THE preferred payment method. Hence it’s important to acknowledge that a B2B Buy Now Pay Later (B2B BNPL) solution is a must-have for your B2B ecommerce.

Not only can a B2B BNPL platform provide financial relief and convenience to customers, but it can also explode your conversions and average order value.

Sounds good, right?

But there’s a catch. As this $700 billion industry grows, more B2B BNPL solutions are hitting, and they aren’t created equal. To benefit from the perks of implementing a B2B BNPL sans any headaches, you’ll need to know the features of a winning solution that suits best for your business. This article will explore the biology of a great B2B payment provider and how Sprinque can make your payments a breeze.

Table of contents

  • The anatomy of a great B2B BNPL

  • Built-for B2B

  • Optimized payment experience

  • International service coverage

  • Easy implementation and expert support

  • Affordable pricing

  • How Sprinque makes payments easy

  • The steps to finding your B2B BNPL match

The anatomy of a great B2B BNPL

When you know what to look for in a B2B BNPL solution, you’re only steps away from game changing results. Let’s breakdown the are the most important characteristics:

Built-for B2B

B2B buying journeys are often more complex than B2C journeys, and most industries have their intricacies and requirements. So it’s essential to onboard a BNPL solution purposely built for B2B payments instead of only offering aconsumer-type solution with B2B lipstick on. In particular, look for solutions that can handle B2B-specific cases like:

  • Order pricing adjustments. Often buyers place orders based on estimates which can result in the original order cost differing from the actual invoice amount. Other times there are multiple invoices for a single order.

  • Multichannel commerce. Not all transactions happen online. Other times, they can take place in-store or even at a trade show. In other instances, your (tele) sales team may want to check a buyer’s credit limit through a portal and upload invoices and transactions there.

  • Pay by Invoice on net terms. Many B2B buyers can only pay by invoice. So they’ll want to know if they’ve been approved or not for net payment terms before they arrive at checkout (e.g. when they create an account).

  • Varying shipping costs. In B2B commerce, shipping costs fluctuate depending on variables like product type, weight, end destination, and market pricing. So, it’s common for estimated and invoiced shipping costs to differ. Yet, in such a case, you’d still want to approve your buyers for a credit limit.

  • Large orders paid in installments. Big orders are common in the B2B commerce space, so buyers like the option to pay for such purchases in installments. For example, spreading the cost of a purchase over 90 days.

Your B2B BNPL solution should account for such scenarios and more to ensure correct repayment and boost conversion rates.

Optimized payment experience

Your payment experience greatly influences how buyers perceive and interact with your company. So, it's vital to make every transaction count. To ensure your payment journey strengthens the relationship between you and your buyers, onboard a solution that offers frictionless B2B BNPL payments. Particularly, your provider should have:

  • Transparent and fair fees, including clear terms on late payments. Some providers charge late fees, which could harm your relationship, while other companies don’t have any. So where possible, opt for the latter.

  • Simplified application, setup, and usage processes (e.g., no account or login required for buyers)

  • The option to white label a B2B BNPL solution to keep branding and buyer relationships intact

  • Adaptable to your offline and online purchase flows

  • Clear and consistent communication

  • On-hand customer support

International service coverage

Going cross-border comes part and parcel with B2B commerce expansion. So as your business charters new territories, your BNPL solution should scale with you internationally. This feature will help you stay lean in your payment tech stack and speed up your time to market in new locations. The right provider's key characteristics include:

  • Multi-market coverage, especially your current and target geographies.

  • Localized payment options. For example, the country’s language options and preferred payment methods like a local bank account (IBAN).

  • Localized communication. For buyers that are abroad, it’s important that all messages are translated and adapted to the buyer country, this avoid miscommunications and can further strengthen trust between you and your buyers

  • High buyer profile coverage to ensure as many applicants are accepted as possible. Rejected applications could have negative knock-on effects like manual tasks, poor customer experience, and lost revenue. Some key metrics to review when selecting a provider are:

  • Match rate: Assess how many prospects and customers your B2B BNPL provider can find during their due diligence. Also, look for a solution with real-time data.

  • Acceptance rate: Research how many buyers the provider typically approves. For best results, look for a provider with an acceptance rate of over 90% so you don’t lose any prospects coming into your webshop.

  • Real-time approval: In today’s world, time is the most important resource. Make sure your customers are able to pass the credit check real time, ideally within seconds.

  • Credit limit: Analyze whether the credit limits offered to buyers are high enough to support their purchases. Zoom in on the payment terms and check whether buyers can use the solution as a revolving credit line. These features are very important since they decide credit access over a period. For example, €5,000 can support up to €60,000 turnover in a 30-day term. This figure jumps to €120,000 in sales on a 15-day payment term (if invoices are paid on time).

Easy implementation and expert support

When onboarding new solutions to your payment stack, questions and teething issues can crop up during implementation. Confirm whether the B2B BNPL provider has a support team with knowledge of your business to ensure they’ll answer your queries quickly. Also, check the solution’s API documentation to learn if plug-ins or other methods are available to make integration smooth and easy. Finally, assess the integrations to essential eCommerce and programming platforms like Magento, Woocommerce, PrestaShop, and JS SDKs.

Affordable pricing

Price is a critical factor when picking a B2B BNPL provider. While the cheapest solution doesn’t automatically mean the best, look for one that gives you your money’s worth.

Typically, merchant charges are between 1%-5%. Find a provider with fees within this range, and you’ll be off to a great start. You’ll also want to pick a provider that allows you to select your settlement date since the term you pay over can greatly impact the cost.

To guarantee a warm reception from your customers and a growing adoption rate, investigate the costs the customers will incur. Ideally, the provider also provides the option of passing on fee to the buyers so that you can offer additional payment terms to your customers without having to cover the cost for those wishing to have more flexibility on their payment dates.

Another area to look into is usage terms. Often, B2B buyers have some cash ready for their purchases but need a little extra to close the funding gap. Investigate whether buyers can use the BNPL solution on a portion of the transaction to save money. Also, clarify whether your business can pay for the BNPL service it needs to optimize cost.

For example, in one case, you may want to get paid within 1 day of sending the invoice and allow customers to take advantage of the BNPL solution. In another case, you could get longer payment terms from your suppliers and only need the money for the invoice after 21 days, which you can extend to your B2B customers, substantially lowering the cost. Ideally, the provider is flexible on your settlement days so you can optimize your cashflow along the way.

How Sprinque makes B2B payments easy

So you know, Sprinque ticks all the boxes mentioned above and more. At Sprinque, we’re on a mission to make B2B BNPL payments fast, simple, and profitable. So, some conversion-boosting features you can benefit from as our valued customers are:

  • The ability to facilitate Pay by Invoice with Net Terms

  • Access to the most up-to-date information from the top Credit Rating companies,

  • Real-time approvals on the checkout page for applications,

  • One-click payments after approval

  • Payment reminder notifications for buyers

  • Multiple invoice payment options, e.g., Direct Debit, SEPA Bank Transfer, SEPA Direct Debit, and local payment methods

  • Instant payouts

  • Passing fee to buyers

  • Dynamic settlements

The steps to finding your B2B BNPL match

Implementing a B2B BNPL solution offers a fantastic way to speed up sales cycles, bolster revenue, and become a top choice for your customers. But to make your mark in your industry and gain the lion’s share of sales, you’ll need to be strategic. As a baseline, only employing a B2B BNPL solution that’s purpose-built, adaptable, and places customer satisfaction at the forefront.

As the saying goes, “Time is money,” so start your research today. Outline your business’ current operations and needs, plus where you want the company to be in the next 5 years. List the services and features you need from a provider, and seek a solution that covers them within your budget. Your BNPL match is waiting for you.

Looking for a reliable B2B BNPL provider? Look no further than Sprinque. Book a demo with us today to discover our innovative payment solution.

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