Interview with Zachary Held of Boost Payment Solutions, Inc.
by Pushpendra Mehta, Executive Writer, CTMfile
Pushpendra Mehta, Executive Writer at CTMfile.com and Host of the OpenTreasury Podcast, interviewed Zachary Held, Head of Product and Commercialization at Boost Payment Solutions, Inc.*
The interview has been lightly edited for clarity and length.
The combination of elevated interest rates and economic uncertainty of recent years has propelled commercial cards to the forefront of finance teams' priorities, enhancing their appeal for business-to-business (B2B) transactions. This interview explores how commercial cards create a win-win for buyers and suppliers, how Boost Payment Solutions buyer-focused platform Boost 100®, helps businesses optimize working capital and secure early payment discounts using commercial cards, and examples of sectors that have benefited from adopting commercial cards—insights that would be particularly relevant to treasury teams.
Zachary (Zach) Held is responsible for managing Boost’s product and commercial organization. Zach brings 15 years of product and strategy experience across financial services, with a specific focus on lending and payments. Prior to joining Boost, Zach led Goldman Sachs’ proprietary point-of-sale lending business, MarcusPay. Zach previously held leadership roles in product, partnerships, and strategy at various financial institutions, including Bank of America and HSBC. Zach also ran the Product and Design organization for XUP Payments, a merchant acquiring solutions company, where he helped grow the organization and prepare for its eventual acquisition in 2021.
Mr. Held, the elevated interest rate environment, and economic uncertainty of recent years have brought commercial cards to the forefront of finance teams' priorities, amplifying their appeal for business-to-business (B2B) transactions. How can organizations leverage them as an effective working capital optimization tool for B2B payments?
High interest rates and economic uncertainty have pushed finance teams to look for smarter ways to manage their working capital. Along with higher borrowing costs, traditional credit facilities have become less attractive and profit margins are being squeezed. For many CFOs, this means exploring new strategies to optimize cash flow, and commercial cards have become an effective tool to combat financial challenges.
Commercial cards offer a way to extend Days Payable Outstanding (DPO), which frees up short-term working capital without the burden of high interest payments. Additionally, buyers can leverage these cards to take advantage of early payment discounts from suppliers. In a lot of cases, commercial cards offer a win-win for buyers: extend DPO and pay less. It’s a really compelling option for organizations looking to optimize their working capital in today’s environment.
You touched on early payment discounts earlier, which sounds like a fascinating opportunity. Could you dive deeper into how buyers can benefit from this approach? Are there any additional advantages to paying suppliers early?
Many suppliers offer early payment discounts when buyers pay within a certain window—usually 10 to 15 days of invoice receipt—which can save 2-5% on a buyer’s expense. It’s a great way to cut costs and build strong supplier relationships, but there’s the catch: paying early means cash leaves a buyer’s account faster, which can put a strain on working capital.
That’s where commercial cards can really make a difference. By paying with a credit card, buyers can grab those early payment discounts while still extending their Days Payable Outstanding (DPO). The card’s grace period—often 40 to 60 days—gives buyers extra time before the payment comes out of their account and acts as a short-term financing vehicle.
It’s worth noting that some suppliers may hesitate to accept cards due to the associated processing fees and might not offer discounts if they do. However, in many cases, these fees are significantly lower than the savings achieved through early payment discounts. This is where the concept of what we at Boost call early payment discount arbitrage comes into play. By covering the processing fees, buyers can still secure the discount—saving money on invoices, strengthening supplier relationships, and extending working capital simultaneously. It’s a strategic approach that delivers value for both parties while optimizing cash flow.
On top of that, many buyers use cards strategically to hit higher rebate tiers with their issuers. In fact, many are willing to cover transaction fees for certain suppliers if it means qualifying for a higher rebate. When the math works, the savings and benefits can far outweigh the costs. At Boost, we’ve seen a lot of buyers turn to our Boost 100 product for this exact reason.
Commercial cards seem like they could really enhance supplier relationships and cash flow efficiency, but you mentioned previously that there can be supplier reluctancy to accept them. What would you say are the main challenges that might make suppliers hesitant to accept?
While the working capital benefits for buyers are clear, suppliers often face challenges when accepting commercial cards. These include high transaction fee costs and the manual processing of virtual card payments. However, with the right tools in place to enable straight-through processing and optimize transaction costs, commercial cards can shift from being a hassle to a preferred form of payment.
Suppliers can benefit from reasonable pricing, automated processing, robust reporting, a highly secure payment method, and quicker access to funds. By pairing the right incentives with the right technology, what once felt like walking a tightrope becomes a walk in the park for both buyers and suppliers.
With solutions like Boost Intercept®, suppliers can realize all of these outlined benefits, streamlining their payment processes and eliminating costly manual tasks.
Is there any other attribute of commercial cards you would like to highlight that could help businesses use their working capital more strategically?
We think the industry will move towards a shared fee model for commercial card transactions. In this model, transaction costs are shared between buyers and suppliers, creating a mutually beneficial arrangement that encourages the broader adoption of commercial cards. This level of customization ensures that both parties can agree on terms that work for them, while also maximizing the value of commercial cards. Boost has been a leader in bringing this concept to market. Our solutions, like Boost 100®, provide flexibility for businesses to decide how transaction fees are allocated and how suppliers are paid. This level of customization ensures that both parties can agree on terms that work for them, while also maximizing the value of commercial card use.
Working with the right partner that offers a wide range of payment processing options, such as shared fees, tailored to suppliers' preferences can help buyers expand their card programmes. Ultimately, this shared fee model allows businesses to use their working capital more strategically, unlocking new opportunities for growth and collaboration.
Can you illustrate examples of some sectors that have benefited from adopting commercial cards, which would be of relevance or interest to treasury teams?
Great question! There are several sectors where adopting commercial cards has made a significant impact for treasury teams.
First, industries where timely payments have historically been a challenge, such as professional services and advertising, have seen great value in commercial cards. These tools help simplify the payment process and ensure transactions are completed promptly, improving efficiency and fostering stronger relationships with suppliers.
Second, industries with inherent complexity—like freight and logistics, healthcare, and manufacturing, including industrial manufacturing—have also greatly benefited. These sectors often involve multiple intermediaries, complex supply chains, or operate under strict regulatory constraints. Commercial cards help streamline and expedite payments, making operations more manageable and efficient.
Lastly are cross-border payments. With the increasing demand for international payment solutions, commercial cards have become essential. Boost 100XB® gives businesses the flexibility to shop globally for the best suppliers, regardless of their payment preferences. This allows companies to maximize card spend overseas, access potential cost savings through lower pricing, and maintain full control over how and when payments are made—even if suppliers are hesitant to accept cards directly.
These are just a few examples that show how commercial cards can simplify operations, optimize cash flow, and open up new opportunities for treasury teams across various industries.
Zach, thank you for taking the time to share your insightful perspectives with us.
*About Boost Payment Solutions
Boost Payment Solutions is the global leader in B2B payments with a technology platform that seamlessly serves the needs of today’s commercial trading partners. Our proprietary solutions eliminate friction and deliver process efficiency, data insights and revenue optimization. Boost was founded in 2009 and operates in 180+ countries.
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