Tag: e-invoicing
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Banks finally readying to crash the fintech party?
There’s no shortage of opinions on how the banking industry will be reshaped. Quite popular, are predictions of banks relegated to boring (regulated) infrastructure & verification services, augmented by a multitude of slick UX, machine-learned fintech players delighting impatient, ‘fed-up-with-the mediocre’ consumers. In a previous post asking how we want to ‘Uberize’ (disrupt) banking, I…
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The Low-Down on SMB Lending
Earlier this month, the Federal Reserve Bank of Cleveland released research suggesting that SMB lending had more than one thing affecting it. A supply and demand problem. Policy Analyst Anne Marie Wiersh and Professor Scott Shane summed it up in the following paragraph: “Since the Great Recession, bank lending to small businesses has fallen significantly,…
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When You Should Order Invoice Finance on the Funding Menu–Part 1
Money comes at a price. The more willing your lender is to take risks, the higher the return expected. That translates to your borrowing costs and what you have to bring to the table. Practically speaking, if your business does not have the trading history or serious collateral needed by a lender, invoices and orders…
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Why e-Invoicing Helps Late Payment to Smaller Suppliers More Than Regulation
This week, the European Directive 2011/7/EU on Combating Late Payment in Commercial Transactions comes into force. To summarise, it’s looking to cap payment terms at 60 days unless agreed otherwise, ‘provided such extension is not grossly unfair’ to the supplier. It also sets a maximum period of acceptance/verification to 30 days unless agreed otherwise and…
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Connecting To Cash: Keys To Unlock Working Capital
Life as an entrepreneur trying to reshape commercial lending is far from boring. Trying to understand what will make commercial lenders finance a business. Figuring out why a business waits until they have a critical cash need before acting. Or for that matter, what about their previous lending experience discouraged the businesses from talking to…
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Turning e-Invoicing Into A Key To Liquidity
Policy makers recognise that any means to inject liquidity into the Small and Mid-Size Business (SMB) sector needs to be pursued. The BIS task force in the UK identified Supply Chain Finance (SCF) or Reverse Factoring as one of the ways to increase cash flow availability to SMB supplier base. Unfortunately, credit capacity is a…