Basware and MasterCard team up for e-payments
Basware has partnered with MasterCard to launch a new electronic payment solution that it says ensures suppliers are paid fast upon invoice approval, while extending payment terms for buyers.
Traditionally, businesses, even highly successful ones, can suffer financial performance issues caused by long payment cycles – especially when dealing with costly international payments. This is caused by a reliance on paper-based payments, labor-intensive processes, poor remittance data and low confidence in cash flow management; an issue that can even trigger issues in supply assurance.
MasterCard and Basware say this new single global payment solution will transform the way that companies do business with each other.
The e-payment service is enabled by the Basware Commerce Network, which is connected to the MasterCard global payment network and leverages MasterCard'ssuite of payments products.
Esa Tihilä, CEO of Basware, commented, "This is a partnership of huge importance and significance, not just for Basware and its customers, but for all buyer and supplier organisations and the whole purchase-to-pay (P2P) and e-invoicing industry.
"The launch of this service represents another example of how e-invoicing is evolving from being a largely technical service focused on delivering process efficiencies, to one that is able to deliver transformational commercial benefits to the business. Solutions like this are the present and future of every corporation's financial strategy and this development has the potential to revolutionise business payment, which can even impact the economy at large."
Basware's Commerce Network currently processes over 50 million invoices annually, totaling more than 420 billion USD across 900,000 trading partners in 100 countries. This scope and reach is combined with MasterCard's international payment network covering over 150 currencies across more than 210 countries and approximately 20,000 financial institutions. The new service will make sure suppliers get guaranteed early payment without placing any additional burden on buyers, creating a vital economic buffer for businesses of all sizes.
"MasterCard is pleased to announce this alliance with Basware," said Hany Fam, President, Global Strategic Alliances at MasterCard.
"Together we are changing the way businesses are paid and get paid – delivering increased speed and control as well as cost savings for both buyers and suppliers. MasterCard's world-class network, data and technology assets operating in tandem with Basware's industry-leading purchase-to-pay network represents the ideal combination to make this happen. By combining one of the largest payment networks with a transaction network of comparable scale we are simplifying payments and increasing cash flow for businesses of all sizes."