The verdict in three sentences
For a Berlin wholesaler of hotel supplies, offering 30 or 60-day payment terms online raises the average basket of professional buyers, as long as you do not carry the bad debt risk alone. B2B buy now, pay later providers charge 1.5 to 4% per transaction and take the risk, while trade credit insurance costs 0.1 to 0.3% of revenue but leaves credit management with you. Integrating it into the B2B webshop costs 3,000 to 8,000 EUR excluding VAT with a Berlin agency (market estimate), with a 4-week timeline.
Four ways to sell on credit online
German law, implementing the EU Late Payment Directive, sets B2B payment terms at 60 days maximum unless expressly agreed otherwise and not grossly unfair, with default interest of 9 points above the base rate and a 40 EUR flat fee per late invoice. Within this framework, four set-ups coexist.
| Solution (2026 order of magnitude) | Cost to the seller | Who carries the risk | When the seller is paid |
|---|---|---|---|
| In-house trade credit, uninsured | No direct fee, bad debt 1 to 2% of revenue | The seller, 100% | On the due date, 30 to 60 days |
| Trade credit insurance | 0.1 to 0.3% of insured revenue | The insurer, 85 to 95% indemnity | On the due date |
| Factoring | 0.5 to 2% fee + financing cost | The factor if non-recourse | Day 1 to 3 after assignment |
| B2B pay later at checkout | 1.5 to 4% per transaction | The provider, 100% | Day 1 to 3 |
| Prepayment or letter of credit | 0 to 0.5% | The buyer advances the funds | At order |
Pay later at checkout stands out for its credit decision in seconds: the buyer enters their company registration or VAT number, the provider grants a limit and the order goes through. It is the lever that converts new accounts best, because they no longer wait for a customer account to be opened.
Cost of each option on 1M EUR of online sales
Assumption: 1,000,000 EUR net annual sales on the B2B webshop, 40% sold on terms, average basket of 1,800 EUR, historical bad debt of 1.5% on uninsured credit sales.
| Set-up | Calculation | Estimated annual cost |
|---|---|---|
| In-house credit, uninsured | 400,000 × 1.5% bad debt + 0.5 FTE for dunning | 6,000 + 20,000 = 26,000 EUR |
| Trade credit insurance only | 0.2% × 1,000,000 + deductible and uninsured share | 2,000 + 900 = 2,900 EUR, dunning still in-house |
| Non-recourse factoring | 1% fee + 1% financing on 400,000 | 8,000 EUR |
| B2B pay later for everyone | 2.5% × 400,000 | 10,000 EUR, no dunning |
| Mix: pay later for new accounts, insurance for repeat customers | 2.5% × 120,000 + 0.2% × 880,000 | 3,000 + 1,760 = 4,760 EUR |
The mix often wins: new accounts, the riskiest and slowest to qualify, go through the pay later provider, while hotels that have been customers for years stay on in-house credit covered by the insurer. The webshop picks the method automatically based on account age and outstanding balance.
What the integration must cover
The integration is more than a payment button. It covers conditional display of payment terms by customer profile, syncing credit limits with the ERP, pushing back invoice statuses and accounting reconciliation. A Berlin agency charges 3,000 to 8,000 EUR net in 2026 for this scope (market estimate). On the Kolonell grid, a module of this kind falls under simple applications, 2,500,000 to 4,000,000 FCFA (3,810 to 6,100 EUR net), delivered in 4 weeks.
Mini case study
Illustrative example: Jonas, CFO of a hotel supplies wholesaler in Berlin, does 1,000,000 EUR net on his B2B webshop. Today, 40% of sales go out on 45-day terms with no cover: 6,000 EUR of bad debt a year and an assistant spending half her time on dunning, about 20,000 EUR fully loaded.
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- With the proposed mix: 4,760 EUR in annual fees.
- Dunning time drops to 0.15 FTE, about 6,000 EUR.
- Total cost: 10,760 EUR versus 26,000 EUR, so 15,240 EUR saved per year.
- Integration at 5,000 EUR net: paid back in 4 months, before counting the effect on new account conversion.
FAQ
What is the maximum B2B payment term in Germany?
The default ceiling is 60 days unless expressly agreed otherwise and not grossly unfair to the creditor. Beyond the due date, default interest of 9 points above the base rate and a 40 EUR flat fee per invoice apply.
How much does a B2B buy now, pay later provider cost?
Expect 1.5 to 4% of each transaction depending on the term granted and the buyer profile. A 30-day term usually costs less than 60 or 90 days.
Is trade credit insurance enough to remove the risk?
It covers 85 to 95% of the receivable on customers approved by the insurer, for 0.1 to 0.3% of revenue. Dunning and limit management remain your job.
How long does it take to add pay later to our B2B webshop?
About 4 weeks for an existing webshop, end-to-end testing included. The budget is 3,000 to 8,000 EUR net with a Berlin agency (market estimate).
Can we offer payment terms to some customers only?
Yes, and it is recommended: the webshop shows the option based on account age, outstanding balance and basket value, for instance from 500 EUR net. This keeps fees on the sales where terms really make the difference.
Let's scope your project. Share your online revenue, the share sold on terms and your current platform: we will price the integration in the 2,500,000 to 4,000,000 FCFA range (3,810 to 6,100 EUR net), delivered in 4 weeks. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
