Supply Chain Financing
Alternate Text
Supply Chain Financing

Product Name

Supply Chain Financing

Financial Institution

IFS Capital Limited Group

Category

Supply Chain Financing

Needs

Cash Flow, Yield Generation

Description:

Supply chain financing programme is initiated by an Anchor Buyer to help its suppliers to finance their invoices, which otherwise may be challenging under a Financial Institution's lending criteria.

This financing is made available to all suppliers for approved invoices and can be drawn when required. In addition to receiving early payment, suppliers have more visibility into invoice approval and payments. That means fewer surprises and errors in the payment cycle and improved cash flow forecasting.

Benefits:

For Anchor buyers:
a) Improved buyer-supplier relationships
b) Extended payment terms - improved cash flow
c) Integrated to existing ERP platform
d) Generate greater yield, risk-free, via Dynamic Discounting

Suppliers:
a) Availability of financing with no additional collaterals
b) Improved cash conversion cycle (receive payment earlier)
c) Flexibility to draw funds only when required
d) Efficient reconciliation of credit and collection process

Notes:

a) Suitable for companies with a large number of suppliers in their value supply chain
b) Favourable rates and charges due to managed risk profile