Sales discounts where a company offers to give a discount on price if the customer pays earlier are usually given in following types of transactions:

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Sales discounts offered on early payment are more common in B2B transactions, where there is often a longer payment cycle and the supplier may request faster payment in order to improve cash flow. Retail customers and long/frequent customers may also receive discounts, but these are usually based on loyalty programs or seasonal promotions rather than early payment.

Sales Discounts Where a Company Offers to Give a Discount