Easing supply chain finance woes
Calyn Yap | 09 Nov 2018 00:30
In recent years, financial technology (fintech) has dominated the conversation in the financial services industry, with many banks and various institutions trying to adapt to the fast-changing scenario.
For businesses, this has heralded an increased ease in undertaking financial matters, especially when it comes to access to financing, which has traditionally been a recurring issue.
One such development in the industry is in the space of supply chain financing, where Bay Group Holdings Sdn Bhd (CapitalBay) is said to be a key player.
The start-up enables businesses to draw down against their outstanding receivables, commonly known as invoices, from their customers automatically, through integration to enterprise resource planning (ERP) and accounting systems.
It does so through its multibank supply chain finance platform, through which its bank partners leverage the technology, offering invoice financing solution to its customers. Essentially, this means that suppliers would be able to get their funds upfront – without having to wait out the payment term – while buyers would still be able to pay later when the payment is due.
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