Cloud Cuckoo Cocktails, a Melbourne-based beverage company, specializes in producing and supplying pre-batched cocktails, kegs, canned drinks, and bottled spirits to the hospitality and retail industries. Serving venues from bottle shops and bars to large-scale events and festivals, the business needed a more secure and automated way to manage credit applications and accounts receivables. To streamline their operations and ensure they got paid on time, they turned to PencilPay.

The Challenge

Before using PencilPay, Cloud Cuckoo Cocktails faced challenges with credit processing and payment collections. A few customers failed to pay their invoices, exposing gaps in their credit approval process and cash flow management. Payments were often delayed by 30-40 days, requiring time-consuming follow-ups. The business needed a solution to secure credit terms, automate collections, and improve cash flow predictability.

The Solution

PencilPay provided Cloud Cuckoo Cocktails with an automated, secure, and seamless payment solution by:

Automating Credit Applications: Instead of manually managing customer credit approvals, PencilPay allows Cloud Cuckoo Cocktails to send a simple link for customers to complete their application, ensuring all necessary legal information is collected upfront.

Ensuring On-Time Payments: Payments are automatically processed on the agreed due date, eliminating the need for manual follow-ups.

Flexible Credit Limits: New customers typically start with 14-day terms and a $1,000-$2,000 credit limit, with the ability to increase based on trading history or professional guarantees.

Accelerating Cash Flow: With payments now arriving on time, the business can confidently negotiate early payment deals with suppliers, strengthening supplier relationships and improving financial stability.

The Results

Faster Payments: Average debtor days dropped from 30-40 days to just 14 days.

Payment Success: Since implementing PencilPay, every new customer has paid on time.

Zero Follow-Ups Needed: Payment automation has eliminated the need for chasing invoices, freeing up time for business growth.

The Future of B2B Payments

By integrating PencilPay into its operations, Cloud Cuckoo Cocktails has transformed its credit management and accounts receivable processes. With automated credit approvals, secure payments, and faster cash flow, the business now operates with confidence, knowing payments will arrive on time.

For any B2B business offering direct accounts, PencilPay makes the payment process seamless and stress-free—ensuring you always get paid.