Trade payable financing: your suppliers get paid now, and you pay later.
Trade payable financing is for the buyer. 1st Commercial Credit pays your suppliers on the due date, or early if a supplier offers a discount, and you pay 1st Commercial Credit back later on longer terms. Your suppliers don't have to sign anything. Credit goes up to $10 million, with a $100,000 minimum spend.
Daniel Chirino · Business Development Officer, 1st Commercial Credit
Updated: October 29, 2026
- Since 20021st Commercial Credit
- 3,800+clients funded
- $5B+funded
- Direct fundernot a broker
- Every costin writing before you sign
1st Commercial Credit figures from its website, read October 29, 2026.
Who it's for
- Creditworthy buyers that depend on vital suppliers, in the U.S. or abroad.
- Companies that want longer payment terms without straining the supplier relationship.
- Buyers whose suppliers offer a discount for paying early, often 2% or 3%.
- Importers that today need letters of credit to pay overseas suppliers.
It's the mirror image of factoring. In factoring, the seller gets paid early on what its customers owe. Here, the buyer gets more time on what it owes its suppliers, and the suppliers still get paid on time.
How trade payable financing works
Set up the account
A 2-page application. The account is ready in 3 to 5 days, with minimal paperwork.
Tell it whom to pay
You send the vendors and invoices you want paid. 1st Commercial Credit pays the suppliers on your behalf.
Pay back later
You repay 1st Commercial Credit on the extended terms you agreed. Your suppliers don't have to be legally involved.
What 1st Commercial Credit offers
The program
- Credit of up to $10 million, with a $100,000 minimum spend.
- Any vendor can be accepted, including international suppliers.
- No API or software integration, and a free vendor portal.
- It works alongside your bank line of credit and doesn't interfere with your lender.
- It's designed to eliminate the need for letters of credit.
The early-payment math
Many suppliers that need faster payment offer 2% or 3% off to be paid early. 1st Commercial Credit pays rebates to buyers on the program. Compare that discount and the rebate against the cost of the program, both in writing, before you decide.
Source: 1st Commercial Credit's trade payable financing page, read October 29, 2026. Terms are confirmed in writing before you sign.
When it's not the right tool
- Your problem is customers that pay you slowly. That's invoice factoring.
- You need to fund a specific order from a customer. That's purchase order financing.
- Your purchases are well below a $100,000 minimum spend.
- Your company's own credit is weak. Here the buyer's credit is what's reviewed.
Questions buyers ask me
Do my suppliers have to sign up?
No. They don't have to be legally involved. They just get paid.
Will it conflict with my bank?
It's designed to work alongside your bank line of credit without interfering with your lender.
How fast can I start?
With a 2-page application, the account is usually set up in 3 to 5 days.
Who are your key suppliers?
Tell me what you buy, from whom and on what terms today. I'll tell you if trade payable financing makes sense, and what it would cost.
Also read: export and import financing · factoring for distributors · all financing options