Maximise your Supply Chain Finance potential, stop pushing one-size-fits-all solutions, and build the capability to offer products tailored to your client's needs.

Key takeaways:

• Supply Chain Finance is an ecosystem of products, not a single solution

• Offering limited SCF products leaves clients unsatisfied and money on the table

• Aligning the right product to the right pain point strengthens client relationships and unlocks new revenue streams

Supply Chain Finance – it's not just a product; it's an ecosystem of products. 

Yet too many banks are stuck pushing single or one-size-fits-all solutions that don't fit their diverse client base. Why does this matter?

Let’s find out...

Bad product fit

Despite some valiant efforts, there’s little standardisation in our industry. But central to any understanding should be that Supply Chain Finance is not one solution, it’s a suite of solutions. It’s not, as many suggest, simply Payables Financing – or Reverse Factoring. 

According to the International Chamber of Commerce, “SCF is the use of financing and risk mitigation practices and techniques to optimise the management of working capital and liquidity invested in supply chain processes and transactions. It’s an ecosystem of products, typically applied to open account trade and triggered by supply chain events.” 

For example, Pre-Shipment Financing provides capital for production, taking on execution risk while Factoring offers immediate cash flow by converting receivables post-shipment and usually, post acceptance of goods. And so on…

Trying to solve every client’s needs with a single product or limited SCF product set is like forcing square pegs into round holes. Sure, you might get a piece of the puzzle in place, but are you really solving the whole picture? 

Understand the ecosystem

Each product addresses different pain points. If you understand how they interconnect, you can offer solutions that not only solve immediate issues but strengthen long-term client relationships – and boost your bottom line.

For example, Dynamic Discounting isn’t just about early payments – it’s about giving clients control over their surplus cash. Invoice Discounting is perfect for clients with immediate liquidity needs and robust debt management controls in place. The point is, each product has a distinct role. 

Take a quick look at this diagram. While not an exhaustive guide, it shows you how even subtle differences in product can lead you to an entirely different solution.

Ask the right questions

Do your current SCF offerings truly address your client’s core pain points? Or are you offering a generic solution that doesn’t fully satisfy anyone?

Don’t just guess; measure it. The right product, aligned with the right need, doesn’t just seal a deal – it opens doors to new revenue streams and stronger client relationships.

Use this chart to see if the product you’re offering truly matches up to your client’s pain points:

What’s next?

If you want to maximise the potential of your SCF offering, how about a call? Together, we can ensure you’re not just in the game, you’re leading it with a platform that doesn’t just support all products, but the ability to build your own.

< Watch: How to create a custom open account product >

And keep watching for our explainer series on individual products. Because the better you understand the product, the better you understand the benefits. And crucially, what’s in it for you – and your clients of course. 

If you want to talk about how you can improve and expand your SCF offering, get in touch!