PencilPay automates wholesale onboarding, credit-risk checks, payment terms, billing and reconciliation in one AI-driven platform without the manual backlog.
Product Category
Financial Services & Payment Processing
Product Subcategory
AI Functions
- Pencil Score Predictive Risk Assessment: AI-powered credit scoring system analyzes customer financial data to recommend optimal credit limits and payment terms based on predicted risk profiles
- Intelligent Payment Reminder Automation: Machine learning optimizes timing and channel selection for payment reminders based on customer behavior patterns and historical response rates
- Automated Credit Application Processing: AI validates and verifies company information, cross-references trade references, and auto-approves low-risk applications without manual review
Product Core Functions
PencilPay is a cloud-based B2B payment and credit management platform designed for wholesalers, manufacturers, and distributors who extend trade credit to business customers. The system digitizes the entire customer lifecycle from initial credit application through ongoing payment collection and accounts receivable reconciliation.
The platform replaces manual, paper-based credit applications with branded digital forms that capture company verification, director details, trade references, personal guarantees, and most critically—stored payment methods (bank account or credit card). New wholesale customers complete applications in approximately 90 seconds, with the system performing integrated credit checks through Equifax and automatically recommending appropriate credit limits and payment terms.
Once approved, customer accounts sync automatically with connected accounting software (QuickBooks, Xero, NetSuite) and inventory systems (Cin7, Unleashed). When invoices generate, PencilPay auto-charges stored payment methods on due dates, processes deposit payments for quotes, and enables payment-before-dispatch for phone/email orders. The platform handles multi-invoice payment plans, partial payments, and automated reminder workflows. All payments reconcile in a single click through grouped disbursement features that match payments to invoices across integrated systems.
Key Features
- Digital Credit Application Forms: Branded, embeddable applications capturing company verification, trade references, and stored payment methods with 90-second completion time
- Automated Payment Collection: Auto-charge customer accounts on invoice due dates using stored bank account or credit card details without manual intervention
- Integrated Credit Checks: Real-time credit assessments through Equifax partnership with AI-powered recommendations for credit limits and payment terms
- Multi-System Reconciliation: One-click grouped disbursement matching payments to invoices across QuickBooks, Xero, NetSuite, and inventory management platforms
- Deposit & Pre-Payment Processing: Accept deposit percentages on quotes and process payment-before-dispatch for phone/email orders from stored billing methods
- Payment Plan Management: Create custom multi-invoice payment plans with automated installment processing and reminder workflows
- 24/7 Customer Portal: Self-service portal where wholesale customers check balances, pay outstanding invoices, and manage payment methods
Ease Of Use
Setup: Implementation takes 20-30 minutes via guided Zoom call with PencilPay specialists who configure trading terms, credit limits, and system integrations. Users connect accounting software (QuickBooks, Xero, NetSuite, MYOB) and inventory systems (Cin7, Unleashed, WooCommerce) through pre-built integrations requiring API authentication. The platform generates embeddable HTML code for credit application forms that customers add to websites. PencilPay provides industry-specific terms and conditions templates eliminating legal drafting needs. Most businesses process their first payment within the initial setup session.
Daily Usability: The platform operates largely autonomously after configuration. Accounts teams primarily review credit applications requiring manual approval, process ad-hoc payments for phone orders, and monitor the dashboard for overdue accounts. The intuitive interface requires minimal training with users reporting straightforward navigation. Automated workflows handle recurring tasks like payment collection, reminder emails, and reconciliation. Sales teams access the platform to generate quotes with deposit requirements and check customer credit limits before accepting large orders.
Team Onboarding: New staff become operational within 1-2 hours. PencilPay offers free Zoom training sessions, phone support, live chat, and comprehensive knowledge base documentation. Customer reviews consistently praise responsive support with fast issue resolution. The platform’s design accommodates accounts staff, sales representatives, and operations personnel with role-based access controls.
Integration: Native connectors support QuickBooks, Xero, NetSuite, MYOB (Business and Acumatica), Cin7 Core, Unleashed, WooCommerce, and Pepperi. Integration setup ranges from 15-30 minutes for standard accounting platforms. The system bidirectionally syncs customer contacts, invoices, payments, and credit terms eliminating duplicate data entry. Equifax integration provides real-time credit bureau access. Most integrations use OAuth authentication requiring admin credentials from connected systems.
Ongoing Administration: Daily maintenance is minimal as automation handles payment processing and reminders. Administrators spend 2-4 hours weekly reviewing new applications, managing exceptions for failed payments, and analyzing cash flow reports. The platform includes automated reconciliation significantly reducing month-end close workload. Customer case studies report 35% reduction in overdue accounts and improved cash reserves within 90 days of implementation.
Use Cases
- Wholesale distributors and manufacturers selling inventory-based products on trade credit (30, 60, or 90-day payment terms) who manually process credit applications and chase overdue payments
- Building materials suppliers extending credit to contractors, builders, and trade professionals who need secured payment methods and structured onboarding for high-value orders
- Food and beverage distributors supplying restaurants, bottle shops, and convenience stores requiring fast account setup with automatic direct debit for perishable goods turnover
- CFOs and accounts receivable managers at B2B companies struggling with high debtor days, manual payment reconciliation, and insufficient cash flow visibility across wholesale accounts
- Growing wholesalers (10-500 accounts) outgrowing spreadsheet-based credit management seeking scalable systems before investing in enterprise ERP solutions