Settlements

What is a Settlement?

Settlement is when Sprinque pays out to the merchants for the invoices and credit notes, shared with them, at an agreed frequency. When the contract is signed between Sprinque and the merchants, the default settlement frequency and the pricing are decided, and fixed.

Merchants receive the settlement after a fixed number of days from the day the invoice is shared with Sprinque.
Settlement frequency is of the format T + x, Example - T+1, T+3, T+20. 'T' indicates the date of the Capture API or the day the invoice has been shared with Sprinque. '+ x' indicates the number of days after capture when the merchant would like to receive the settlement amount.

Let's understand this with an example:
Let's say the settlement frequency is set to T+3, and the invoice is shared on Monday, 17th October 2022, then, 'T' is Monday, 17th October 2022. Calculating '+3' days ahead is Thursday, 20th October 2022. The settlement of all invoices shared on 17th October 2022 to Sprinque, across all buyers, will be paid out to the merchant on 20th October 2022.

Note - All payouts to be made on Saturday and Sunday will be paid out on the Monday following them.

What is a Dynamic Settlement?

We also offer dynamic settlements - thanks to this feature, merchants can decide to select the preferred settlement date, per each invoice. Merchants will always have a default settlement frequency, and fixed pricing; optionally, they can select a different settlement date than the default one, per invoice, therefore the settlement frequency for that invoice would change.

In this case, it would change the Sprinque fee as well. This is because the fee is dynamic and is calculated based on the number of days we financed. The number of days we financed are the days between when we settle to the merchant, and when the buyer pays us back, for a specific invoice. There are no additional costs for this feature.

Let's understand this with an example:
Let's say the default settlement frequency is set to T+7, and the invoice is shared on Monday, 17th October 2022. Calculating '+7' days ahead, the default settlement date is Monday, 24th October 2022.
The merchant decides to select a different settlement date, that is Wednesday, 26th October 2022. The Sprinque fee will be lower than the default one, as the number of days we finance is lower.

What's included in a Settlement file?

To help you identify which invoices and credit notes have been taken into account for a particular settlement, Sprinque generates settlement files. These files contain all relevant information about the invoices and credit notes which have been paid out. 1 file is generated per day across invoices of all buyers.

Sprinque deducts its fee and VAT from the settlement amount. Hence, settlements are not the actual invoice amounts. All calculations are included in the settlement files.

Where can I find my Settlement file?

Settlement files can be found in 3 ways:

Settlement APIs For more information on how to use the settlement APIs, check it out here.

Email - One dedicated email can be set up to receive the settlement files.

Settlement Tab in MCC