If you’re a supplier in the B2B space, chances are you’ve dealt with the same issues over and over again: late payments, slow processing, and inefficient systems that eat up valuable time and resources. The 2025 Mastercard report, The State of Commercial Card Acceptance, surveyed over 1,000 senior financial decision makers and revealed that suppliers are facing some persistent and costly pain points — many of which could be eased by simply improving how they accept payments.

Here are three major supplier challenges you can solve by rethinking your payment systems.

1. Late payments and buyer friction

One of the most frustrating parts of B2B transactions is getting paid on time. Nearly one in three suppliers say they receive late payments because they don’t offer a buyer’s preferred payment method. And two-thirds (66%) report that they regularly fall short of meeting buyer expectations for payment experience.

This matters more than just hurting your cash flow. For a supplier, offering a subpar payment experience can jeopardize long-term relationships. Buyers expect fast, digital, card-based options, and when those aren’t available, it creates unnecessary delays.

On the other hand, suppliers that accept commercial cards report stronger buyer satisfaction and better retention. In fact, 34% say card acceptance strengthens relationships with existing buyers, and 33% say it helps attract new ones. That’s a powerful win-win when the switch to card payments can not only fix late payment issues but also boost customer satisfaction.

2. Working capital strain

It’s no surprise that working capital is a top concern—71% of B2B suppliers say they struggle with it. Payment delays, manual reconciliation, and slow settlement cycles all contribute to tightening cash positions.

Here’s where card acceptance stands out. Suppliers that accept cards are 14 percentage points more likely to say their business is efficient at maximizing working capital, and 12 points less likely to say they often face challenges with it.

Part of this is due to the nature of card payments, which often come with set payment timeframes and faster processing. That predictability helps you better manage receivables and forecast cash flow, especially when payment terms are clearly established.

3. Manual processes and lack of visibility

Around 7 in 10 suppliers report ongoing struggles with process inefficiencies like lack of payment visibility, high processing costs, and manual workflows. For industries like manufacturing and healthcare, these issues are even more pronounced due to legacy systems and paper-based transactions.

But suppliers that accept cards report significant operational improvements:

• 32% cite greater visibility into payments
• 30% report faster processing times
• 24% see reduced processing costs 

And for suppliers that pair card acceptance with automation tools like invoice matching or real-time reporting, the benefits increase even more. Those using automated transaction processing are more likely to report improved visibility than those who don’t (36% vs. 27%).

Digitizing payments doesn’t have to mean a total system overhaul. Even small steps, like integrating commercial cards into your current payment flow, can improve visibility, cut down on reconciliation issues, and free up your AP/AR teams for more strategic work.

Why this matters

If your business is struggling with late payments, cash flow bottlenecks, or outdated manual processes, the fix might be as simple as accepting commercial cards. With nearly half (48%) of suppliers expecting more buyers to ask to pay by card in the next five years, now’s the time to prepare your business for what’s coming.

For more insights and updates on corporate payments, check out:

• Your guide to virtual card rebates
• 2025 payment trends
• Accounts payables: Terms you need to know

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The information in this blog post is for educational purposes only. It is not legal, tax or investment advice. For legal, tax or investment advice, you should consult your own legal counsel, tax, and investment advisers.

Source:
Mastercard