• Pay suppliers on time without draining liquidity. 
  • Lower bank fees without impacting operations.
  • Gain a holistic view with a production-aligned payables calendar.

Many manufacturers know what to pay, but struggle with when to pay. Yet, proper timing is the key to supporting production without tying up working capital. What financial tools can you use to align inflows and payables with your production rhythm, so that you can pay suppliers on time, secure early-pay discounts, and reduce your bank fees?

You may be able to achieve quick wins, like moving to electronic rails and aligning cutoff times to supplier expectations, through simple changes. Let's explore how to leverage a business checking (or deposit) account as your operating hub to improve vendor relationships and turn payables timing into a competitive advantage.

Leverage Deposit Accounts To Achieve Just-in- Time Payables Without Cash Strain

Here's how to use a business checking account to match cash outflows to your production pace to preserve liquidity:

Stagger ACH Batches

Schedule payments across the week to level daily balances, even out cash demand, and reduce peak-day pressure. For example, you may pay raw-material suppliers on Tuesdays and maintenance, repair, and operations (MRO) vendors on Fridays.

Capture Early-Pay Discounts

Identify which suppliers offer early-pay terms and route eligible invoices to earlier batches whenever the cash forecast supports it to capture discounts without impacting operational liquidity.

Separate Freight and Utilities

Set up separate daily or weekly "fast lane" batches for variable freight and predictable utilities. Also, align cutoff times with production and carrier schedules to avoid overnight surprises.

Streamline Risk Controls

Implement dual approvals based on dollar thresholds, ACH blocks and filters for high-risk categories, and real-time alerts for first-time beneficiaries or large debits to protect your business checking account without adding friction.

Lower Fees With Analyzed Checking and Earnings Credits

High transaction volumes don't have to mean high bank fees. Here's how to save on costs without impacting your operations:

  • Offset service charges with Earnings Credits based on your business checking account's average balances through an analyzed checking structure.
  • Right-size your target balances by keeping just enough operating cash to earn credits while sweeping the excess to interest-bearing accounts.
  • Review your account analysis statement monthly to understand Accounts Payable (AP) volumes and credits. Then, adjust batch timing and targets to reduce net fees.

Include Payables on Your Production Calendar

A production-aligned payables calendar provides AP and plant operations with a holistic view to ensure cash flow supports scheduled runs.

Build a One-Page, Plant-Friendly Calendar

This simple layout serves as a baseline rhythm for your business checking account. It should include raw material cycles (e.g., by SKU or family), vendor terms, freight cutoffs, carrier payment windows, utilities billing cycles and rate peaks, payroll, and tax remittances.

Layer in Bank Cutoff Times

Add banking deadlines for ACH initiation, same-day window, and wire transfers to help AP fund payments at the right time without triggering rush fees or same-day drains on the business checking account.

Enhance Planning With Forward Visibility

Increase visibility by pairing the calendar with a 13-week cash forecast and treasury reporting to align cash needs with production schedules and ensure payables land at the optimal time.

Pro Tip: Centralize Without Losing Visibility

Use subaccounts or zero-balance accounts (ZBAs) for individual lines or plants, sweeping them to the business checking account at the end of each day to centralize control while maintaining local-level operational visibility.

Turn Payables Timing into a Competitive Advantage

Your business checking account is more than an operating account. When you align payables with production, it becomes a lever for liquidity, predictability, and stronger supplier relationships. With the right strategy, you may be able to smooth daily cash needs, reduce net fees, and pay suppliers at the optimal time without rush charges, idle balances, or last-minute fire drills.

A trusted banking partner with experience in the manufacturing sector may help you build a deposit account structure to support your production cycles with the right mix of accounts, sweeps, and controls. Schedule an appointment with a PNC business banker to set a solid foundation for financial success.