Infor Nexus partners with DBS Bank to enable pre-shipment finance for SMEs

US-based supply chain management company Infor Nexus said it has partnered with DBS Bank to launch pre-shipment financing for small and medium-sized enterprises (SME) suppliers in its supply chain ecosystem.

In order to bolster pre-shipment financing, The company said the trade financing solution will utilise historical data from the Infor Nexus platform to provide data-based lending solutions, which will further help suppliers meet their working capital requirements.

The company said until now, the partnership was primarily focused on availing early payments to the suppliers on a post-shipment basis.

The latest trade financing solution completes the entire pre-shipment and post-shipment financing cycle. The Bank will use alternative supply chain data, such as historical and real-time milestone information on the physical movement of goods from the Infor Nexus platform, the company said.

The trade financing solution will now be available for SMEs, primarily in the apparel, footwear and textile industries. As part of the Infor Nexus ecosystem, DBS Bank will underwrite the trade financing facility applications of prospective SME suppliers. 

The analytics-based data will act as the primary means to assess the risk and creditworthiness of suppliers instead of traditional documentation, which often results in many suppliers being underfunded or facing challenges in accessing necessary working capital. By obtaining financing for pending orders, even before invoices are confirmed, suppliers can mitigate cashflow needs that occur between shipment, delivery and when the payment is received.

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