Blog | Resolve

Faire Net 60: How Faire's Payment Terms Work for Retailers and Brands

Written by Resolve Team | Jul 30, 2026, 9:58:39 AM

 

Faire offers eligible retailers Net 60 payment terms, allowing them to order wholesale inventory and pay up to 60 days later while brands receive payment according to their selected payout schedule. This structure separates retailer payment timing from brand payouts and can help retailers align inventory costs with sales. For brands evaluating marketplace terms or considering similar flexibility through their direct channels, understanding Faire's model also highlights how a platform such as Resolve Pay can support B2B net terms, faster access to cash, credit decisions, accounts receivable automation, and direct buyer relationships.

Key Takeaways

  • Retailers receive more payment flexibility: Eligible retailers can purchase inventory with Net 60 terms and pay after they have had time to sell the products.
  • Brand payouts follow a separate schedule: Brands can select from available payout schedules instead of waiting for the retailer's invoice due date.
  • Eligibility and limits can change: Access to payment terms and available purchasing capacity depends on Faire's approval process and the retailer's account history.
  • Extended terms require working capital planning: Brands offering payment terms directly must manage the gap between shipping an order and collecting payment.
  • Automated credit and AR workflows reduce manual work: Credit checks, invoicing, reminders, collections, and reconciliation can be coordinated through one system.
  • Direct terms support stronger buyer relationships: Resolve Pay helps brands offer flexible terms while maintaining control over customer data, communication, and payment experiences.

Understanding Net 60 Payment Terms in Wholesale

Net 60 payment terms generally give a buyer 60 days to pay an invoice. In wholesale commerce, these terms help retailers acquire products without paying the entire invoice immediately.

A retailer may order seasonal products before demand peaks, stock its shelves, and generate sales before the wholesale invoice becomes due. This can support inventory planning, but the retailer must still ensure that enough cash is available on the due date.

For sellers, extended terms create a different challenge. Products may be manufactured, packed, and shipped long before the related payment arrives. The seller must continue paying suppliers, employees, freight providers, and other operating expenses during that period.

The U.S. Small Business Administration recommends monitoring money coming into and leaving a business as part of responsible financial management. This becomes especially important when receivables remain outstanding for several weeks.

What Are Net Payment Terms?

Payment terms establish when a buyer must pay for goods or services. Common arrangements include:

  • Net 30: Payment is due 30 days after the date specified by the invoice or agreement.
  • Net 45: Payment is due after 45 days.
  • Net 60: Payment is due after 60 days.
  • Net 90: Payment is due after 90 days.
  • Due upon receipt: Payment is expected when the invoice is received.
  • Payment on shipment: The buyer's payment method is charged when the order ships.

The starting point for a payment period can vary. Depending on the agreement, the period may begin on the order date, invoice date, shipment date, or delivery date. Buyers and sellers should confirm the applicable trigger rather than assuming that every Net 60 arrangement works the same way.

How Faire's Structure Differs From Direct Net Terms

Under a traditional direct arrangement, the brand manages the complete credit-to-cash process. This may include:

  • Reviewing credit applications
  • Setting buyer credit limits
  • Approving or declining orders
  • Issuing invoices
  • Tracking due dates
  • Sending payment reminders
  • Reconciling incoming payments
  • Managing overdue accounts
  • Absorbing eligible bad-debt losses

Faire places the marketplace between the retailer and brand. Eligible retailers receive payment terms through Faire, while brands receive payouts according to the payout option they select. Faire's current brand terms describe next-day, 30-day, and 60-day payout options, although availability and conditions can depend on the brand's account and location.

For brands selling through their own websites, sales teams, or ecommerce stores, net terms management can provide a similar separation between buyer terms and seller cash flow without moving the customer relationship to a wholesale marketplace.

How Faire's Payment System Works

Faire's Net 60 model coordinates retailer purchasing, brand fulfillment, brand payout, and later retailer payment through one marketplace workflow.

The Order Lifecycle on Faire

A typical Net 60 order follows these stages:

  1. The retailer places an order: The retailer chooses eligible products and selects an available payment option at checkout.
  2. Faire checks available terms: The order must fit within the retailer's available purchasing capacity.
  3. The brand receives the order: The brand reviews the order and prepares it for fulfillment.
  4. The brand ships the products: Shipment information is recorded through the platform.
  5. The payout is processed: The brand is paid according to its selected payout schedule and the conditions attached to that option.
  6. The invoice reaches its due date: For qualifying Net 60 orders, the due date is generally calculated from the order date. Faire states that the date may adjust when an order takes longer than 14 days to ship.
  7. The retailer pays Faire: Payment restores purchasing capacity according to Faire's account rules.

This structure means that the retailer's due date and the brand's payout date are not necessarily the same.

How Retailers Manage Payments

Retailers can review invoices, payment methods, due dates, and available terms through their Faire accounts. Depending on account settings, payments may be collected automatically or managed by the retailer through the platform.

Retailers should monitor upcoming due dates and avoid treating available payment terms as additional revenue. Net terms postpone the cash outflow, but they do not reduce the amount owed.

Payment history can also affect future access to terms. Late or failed payments may lead to a reduction in available purchasing capacity, restrictions on future orders, or a requirement to use another payment option.

Benefits of Net 60 for Retailers and Brands

Extended terms can support both sides of a wholesale transaction when payment obligations, credit limits, and cash flow are managed carefully.

Benefits for Retailers

Cash flow alignment: Retailers can order inventory before making payment, giving them time to stock, market, and sell the products.

Seasonal purchasing: Stores often need to order holiday, spring, summer, or event-based merchandise before customer demand begins.

Product testing: Terms can make it easier to introduce a new product category without using as much cash at the time of purchase.

Inventory availability: Retailers can keep important products in stock while balancing rent, payroll, utilities, and other operating costs.

Centralized invoice management: Marketplace invoices and due dates can be reviewed from one account rather than managed separately across many brands.

These advantages still require disciplined planning. A product may not sell before the invoice becomes due, so retailers should base order quantities on realistic sales expectations.

Benefits for Brands

Retailer discovery: A wholesale marketplace can introduce brands to retailers that may not have found them through direct outreach.

Separated payment timing: Brands do not necessarily have to wait until the retailer's Net 60 due date to receive a payout.

Centralized order workflows: Orders, shipment information, invoices, and retailer communications can be managed through a common platform.

Credit administration: Faire manages eligibility and payment-term access for transactions completed through its marketplace.

Lower internal workload: Brands do not need to build a separate credit and collections process for every marketplace order.

Brands should still assess how marketplace sales fit into their broader channel strategy, inventory plan, customer ownership model, and working capital needs.

The Working Capital Challenge With Extended Payment Terms

Extended terms can improve the buyer experience, but they create a timing gap for sellers. A brand may recognize a sale and incur the related costs before receiving the cash.

The gap may include:

  • Product manufacturing costs
  • Supplier invoices
  • Packaging and fulfillment expenses
  • Freight and warehousing
  • Employee wages
  • Marketing expenses
  • Returns and allowances
  • General operating overhead

Rapid growth can make this challenge more pronounced. A profitable business can still experience cash pressure when more money is tied up in inventory and unpaid invoices.

The Federal Reserve has identified uneven cash flow and difficulty paying operating expenses among the financial challenges experienced by small businesses. For brands extending terms, growth plans should therefore consider both sales volume and the timing of cash collection.

Ways to Manage the Timing Gap

Brands commonly use a combination of the following approaches:

  • Operating reserves: Cash retained to cover recurring expenses while invoices remain unpaid.
  • Supplier negotiations: Terms from suppliers that more closely match customer payment cycles.
  • Bank credit: A line of credit used to manage short-term operating needs.
  • Invoice financing: Funding based on eligible unpaid invoices.
  • Non-recourse advances: Upfront payment on approved invoices, with specified credit risk transferred to the provider.
  • Faster collections: Automated reminders and convenient payment methods that reduce avoidable delays.

The SBA notes that receivables financing can help businesses access cash tied up in unpaid invoices. Resolve Pay extends this concept through an integrated platform that combines credit decisions, net terms, payment workflows, and AR automation.

Optimizing Accounts Receivable With Net 60 Terms

Offering Net 60 directly requires more than adding a due date to an invoice. Brands need a repeatable process covering credit approval, billing, payment collection, and reconciliation.

Automating Invoicing and Collections

Manual receivables processes become harder to manage as invoice volume increases. Finance teams may spend significant time generating invoices, updating spreadsheets, sending reminders, matching payments, and reviewing overdue balances.

Resolve Pay's accounts receivable automation supports:

  • Credit checks and credit decisions
  • Invoice and payment workflows
  • Automated payment reminders
  • Collections sequences
  • Payment reconciliation
  • Receivables dashboards
  • ERP and accounting synchronization

Centralizing these activities helps reduce disconnected records and gives teams a clearer view of each buyer's status.

Using Proactive Collections Workflows

Collections should begin before an invoice becomes seriously overdue. A structured process may include:

  • Confirmation when an invoice is issued
  • A reminder before the due date
  • A notice on the due date
  • Follow-up after a missed payment
  • Escalation based on account risk
  • Quick review of disputes or delivery issues

Resolve Pay's agentic collections workflows help automate outreach and escalation while preserving a professional buyer experience.

Monitoring Days Sales Outstanding

Days Sales Outstanding, or DSO, estimates how long a business takes to collect its receivables. Businesses offering Net 60 should interpret DSO in relation to their actual payment terms, customer mix, and invoice timing.

A rising DSO may indicate:

  • More overdue invoices
  • Billing delays
  • Unresolved disputes
  • Weak reminder processes
  • Credit limits that need review
  • Payment methods that create friction

DSO should be reviewed alongside aging reports, overdue balances, collection rates, and customer-level payment behavior.

Maintaining Direct Brand Control

Faire can support marketplace discovery and wholesale ordering, while direct channels give brands greater control over the buyer relationship.

The Marketplace and Direct-Sales Models

A marketplace coordinates discovery, ordering, and payment within its own environment. This can simplify operations, but customer activity remains connected to the marketplace account and workflow.

Direct sales allow the brand to control:

  • Buyer onboarding
  • Customer communication
  • Product presentation
  • Order approval
  • Payment experiences
  • Account history
  • Sales and receivables data
  • Long-term relationship management

Many brands use more than one channel. Marketplace sales may support discovery, while direct ecommerce, sales representatives, and account-based ordering support established buyer relationships.

Creating a Branded Payment Experience

Resolve Pay's B2B payment portal helps merchants provide a branded environment where approved buyers can review invoices and complete payments.

Supported payment workflows may include:

  • ACH
  • Wire transfer
  • Credit card
  • Check
  • Net terms for approved buyers
  • Custom invoice and payment processes

The goal is to give buyers flexibility while keeping the merchant's brand visible throughout the transaction.

Connecting Payment Workflows to Existing Systems

Resolve Pay offers financial system integrations for accounting, ERP, and ecommerce environments. Supported systems include platforms such as QuickBooks Online, Xero, NetSuite, Sage Intacct, Shopify, BigCommerce, Magento, and WooCommerce.

Custom businesses can also use Resolve's API to connect customer, order, invoice, payment, and reconciliation data with their existing systems.

Managing Credit Risk With Net Terms

Net terms are a form of trade credit. The seller delivers goods before receiving full payment, making buyer assessment an important part of the process.

Assessing Buyer Creditworthiness

A credit review may consider:

  • Business identity and operating history
  • Payment history
  • Existing obligations
  • Public records
  • Financial information
  • Bank or cash flow data
  • Order size
  • Industry conditions
  • Previous behavior with the seller

The Federal Reserve has discussed the use of cash flow data as a potentially useful input in small-business underwriting when applied with appropriate controls.

Resolve Pay's business credit checks combine automated analysis, behavioral signals, and credit expertise to support faster decisions. Approval and credit limits remain subject to buyer verification and Resolve's underwriting discretion.

Reducing Default Exposure

Brands can manage credit exposure through:

  • Buyer-specific credit limits
  • Shorter initial terms for new accounts
  • Gradual limit increases
  • Review of payment history
  • Order-level approval controls
  • Portfolio diversification
  • Automated collections
  • Non-recourse funding on approved invoices

Credit policies should be reviewed regularly rather than treated as one-time decisions. A buyer's financial position and payment behavior can change over time.

Why Brands Use Resolve Pay for Direct Net Terms

Resolve Pay helps manufacturers, wholesalers, distributors, and other B2B merchants offer payment flexibility through their own sales channels.

Its platform brings together:

  • Flexible net terms for qualified buyers
  • AI-supported credit decisions
  • Non-recourse advances on approved invoices
  • Automated invoicing and reminders
  • Collections workflows
  • Branded payment experiences
  • Payment reconciliation
  • ERP, accounting, and ecommerce integrations
  • Receivables and credit visibility

Brands can offer Net 30, Net 45, Net 60, or Net 90 options based on approved workflows while receiving faster access to cash on qualifying invoices. Advance amounts, credit limits, and approvals depend on underwriting and buyer verification.

Resolve Pay also supports transactions that occur online, offline, through sales representatives, or through embedded checkout. This allows merchants to apply a consistent credit and payment process across multiple sales channels.

Conclusion

Faire's Net 60 model demonstrates why flexible payment terms are valuable in wholesale commerce. Retailers gain time to sell inventory before paying, while brands can use a separate payout schedule instead of matching the retailer's due date.

Brands building their own B2B sales channels need the same core capabilities: buyer credit assessment, flexible terms, faster cash access, invoicing, collections, reconciliation, and a straightforward payment experience.

Resolve Pay brings these functions together in one embedded B2B payments platform. It enables merchants to offer approved buyers more purchasing flexibility while protecting cash flow, reducing credit risk, automating receivables work, and maintaining direct control over customer relationships.

Frequently Asked Questions

How Does Resolve Pay Help Brands Offer Net 60 Terms?

Resolve Pay evaluates business buyers, recommends or assigns credit capacity based on approved underwriting, and supports Net 60 and other payment terms. For approved invoices, Resolve can provide a non-recourse advance so the merchant receives cash before the buyer's due date.

Does Resolve Pay Take Over the Customer Relationship?

No. Resolve Pay provides branded and embedded payment workflows that allow the merchant to remain the primary customer-facing business. Buyers can apply for terms, review invoices, and make payments through experiences connected to the merchant's brand.

What Payment Methods Does Resolve Pay Support?

Resolve Pay supports B2B payment workflows involving ACH, wire transfers, credit cards, and checks. Available methods and configurations depend on the merchant's implementation and buyer workflow.

Can Resolve Pay Integrate With Existing Ecommerce and Accounting Systems?

Yes. Resolve Pay supports integrations with ecommerce, ERP, and accounting platforms, including QuickBooks Online, Xero, NetSuite, Sage Intacct, Shopify, BigCommerce, Magento, and WooCommerce. Flexible APIs are also available for custom implementations.

Is Resolve Pay's Invoice Funding Non-Recourse?

Resolve Pay describes its advances on approved invoices as non-recourse. This means the merchant generally does not have to repay the advance solely because an approved buyer later defaults, subject to the applicable agreement, invoice eligibility, verification requirements, and merchant obligations.

This post is to be used for informational purposes only and does not constitute formal legal, business, or tax advice. Each person should consult his or her own attorney, business advisor, or tax advisor with respect to matters referenced in this post. Resolve assumes no liability for actions taken in reliance upon the information contained herein.