What is Marmalade?
Marmalade is an invoice payments platform that empowers businesses to take complete control of their cash-flow. Marmalade enables its customers to cost-effectively access their money as soon as they invoice with speed, simplicity and total transparency to deliver operational improvements and accelerated growth.
Marmalade enables you to get paid for your eligible, unpaid invoices. You have the flexibility to manage your cash-flow on your terms, and your customers have a seamless payment experience.
You will never be charged interest or any other fees, you never incur any liability or debt and you are not applying for a loan or line of credit when you sign up to Marmalade.
How does Marmalade work?
If you require early payment urgently or immediately, Marmalade is not the right solution for your business.
Early payment first gets unlocked only after you’ve issued your first invoice with Marmalade. Your eligibility increases the more you invoice and at 30 days you can expect approximately 30% of your outstanding invoices to be eligible for early payment. After 90 days of consistent invoicing and payments by your customers you can expect approximately 80% of your invoices to be eligible for early payment.
Marmalade determines which invoices are eligible to be paid early on an individual basis as they’re issued. In order to be considered an invoice must be:
Issued with your Marmalade provided payment details only
Issued to an Australian registered business with a valid ABN
Issued to an existing customer
Fully due and payable and not overdue. This means your service or product has been fully delivered and there will be no further changes to the invoice prior to the payment due date.
Is my business eligible for Marmalade?
Marmalade is not appropriate for every business. Your business is eligible for Marmalade if you meet all the following criteria. Please make sure you check off each one before proceeding:
I use Xero, Quickbooks or MYOB for all my invoicing and have been doing so for at least 90 days
I provide net payments terms to my customers up to but not exceeding 60 days
I mostly invoice other Australian businesses, not consumers or individuals
I have more than 5 regular customers that I invoice at least monthly
I Invoice more than $50,000 per month consistently
I am able and prepared to switch to using Marmalade as the exclusive payment method on all my invoices for all customers
How do I sign up with Marmalade?
Signing up for a Marmalade account is quick and easy.
- Sign up instantly online, connect your accounting software and update your invoices with Marmalade as your new payment method.
- Keep issuing invoices to your customers as usual with the same payment terms.
- Marmalade processes all your invoice payments for free and you can get paid early whenever you choose for a small one-off fee.
Our customer service team will guide you through this process once you begin the signup.
How much does Marmalade cost?
Marmalade does not charge you to process bank transfer or direct debit payments. If your customer pays by card we charge a processing fee of 1.75%.
For early payment our fee ranges between 3-5% and that fee is transparent prior to you when selecting early payment. Marmalade processes early payments as a net settlement meaning we will transfer 100% of the invoice value to you less our fee. You will receive those funds immediately.
There are no lock-in contracts to use Marmalade, no minimum requirements, no loans or interest and we never withhold any percentage of any invoice payment.
How is the early payment fee calculated?
The Marmalade pricing engine assesses the fee for each invoice individually and considers factors including but not limited to:
- Your customer’s payment history
- The invoice due dates
- Whether or not you are including Marmalade account details on all of your customers’ invoices
- Plus many more
Importantly, we will always aim to provide you with the lowest possible fee we can.
What can I do to reduce the early payment fee?
As we get to know you and your customers better, your early payment fees will generally get lower over time. Additionally you can take actions to reduce fees, such as updating your customer's contact information and reminding your customers to pay overdue invoices.
The more invoices you create with Marmalade payment details on them and the more regular payments we see from your customers, the better it is for you.
How much can I get paid early?
Your initial early payment limit is calculated relative to the size of your business. It is designed to enable usage of the Marmalade product while we get to know each other. As we better understand your cash-in needs over time, your limit will be regularly reviewed to ensure we support your business fully.
The best way to find out how much will be available to you when you first sign up is to immediately connect your Xero account during registration. Your Marmalade Account Manager will then be able to provide you with your initial early payment availability.
Can I request a higher early payment limit?
Yes. Early payment limit increases can be requested via your Account Manager at [email protected]. Although we can't guarantee limit increase requests will be approved, we will do our best to support you if your early payment needs are higher than your current limit and we determine it is possible to increase that limit. Our team will assess your history with Marmalade, your customer payment behaviour and your business structure and needs in determining any limit increases.
How soon are invoices available to receive early payment?
When you issue a new invoice in Xero, Marmalade will immediately assess that invoice and determine if it’s eligible for early payment. This usually happens within a few minutes of the invoice being sent to your customer. If the invoice is available for early payment you’ll see it listed in the early payment page of your Marmalade account almost immediately.
How does invoice eligibility work?
When you first start using Marmalade not all of your invoices will be eligible for early payment. Often, only some of your invoices will initially be eligible for early payment. The more consistently you use Marmalade across your customers and follow our guidelines below, the more invoices will become eligible for early payment over time.
In order for you to use Marmalade effectively and ensure invoices are eligible for cash-in, it is important you follow these guidelines for issuing invoices:
- Start issuing your invoices with Marmalade details immediately, as soon as your account is approved
- Include Marmalade details on all of your customers’ invoices. Standard payment processing with Marmalade is free, to make this easier for you. If you only put Marmalade details on a small number of customers’ invoices to begin with, we will only be able to support this for a limited time and you will then need to place Marmalade payment details on all invoices to continue using the service.
- Once you put Marmalade payment details on a customer’s invoices, do not change them again. Make sure every invoice issued to that customer has Marmalade payment details on it.
- Communicate to your customers clearly and consistently.
Why is an invoice not eligible for early payment?
Invoices may not be eligible for early payment for a number of reasons, including but not limited to:
- The invoice was issued without Marmalade payment details
- Your customer did not pay with Marmalade for the last invoice payment
- Your account requires additional verification, including AML/KYC
- The invoice has been priced above the maximum fee threshold and is too expensive for early payment
- The invoice has already been paid
- The invoice has already been paid early
- The invoice amount exceeds your available balance
How does Marmalade ensure invoices get paid after they’ve been paid early?
Marmalade sends regular statements to your customers reminding them of any outstanding payments. Sometimes we will contact a customer directly if an invoice is extremely overdue or if there is a pending dispute. You always have visibility into which invoices are overdue by visiting your dashboard, and we will work with you as needed to co-ordinate communications with your customers.
We are always respectful of your relationship with your customers and Marmalade never works with third parties or debt collection agencies to recover outstanding payments.