The Challenge
Amid a high inflation, low growth environment, IT distributor Redington needed a funding partner to help extend payment terms for its many resellers. NBF was a willing partner, but both parties needed a centralised technology platform to help scale and execute a programme of this scale and complexity.
The Solution
Both Redington and NBF implemented FinverityOS, a single, unified system that lets banks digitally manage all open account trade finance & SCF products, and corporates easily monitor any programmes they’re participating in.
The system lets NBF customise funding parameters, workflow processes, and the level of checks and balances within the programme. Unlike traditional platforms, the bank can go deeper in the supply chain, providing financing for different tiers of distributor.
By automating complex, manual processes, NBF and Redington reduce errors, streamline the sharing/processing of trade documents, and the overall transaction timeline. Real-time visibility also gives both sides the confidence all is running smoothly – and total transparency when it isn’t.
Since implementing the programme, NBF has transformed its working relationship with Redington, from ad-hoc transactions with capped revenue potential to a trusted partnership at the core of a growing distributor programme.
The programme also scored NBF Best Innovation in Trade Finance at the MEA Finance Banking Technology Awards 2023.
For Redington, this embedded financing means channel partners can profit from extended payment terms to comfortably turn stock into cash. This unlocks additional working capital to purchase even more stock from Redington and meet that growing demand for technology in the region.
What they said
“We’ve been scouting for a platform to work with for some time, but none were worth the implementation or onboarding effort. Finverity is different. Beyond the technology offering, they provide deal origination and structuring, alongside the experience to roll-out and scale deals smoothly.”
Venki Ramsubramoni
Head of Equipment & Technology Finance at NBF
?
What’s next?
Redington expects to add $300m in revenue over the next 12 months as a result of the programme, while NBF expects to expand its supply chain finance capabilities now it has accelerated its credit approvals process.
Only leading banks can offer a programme of this depth and complexity.
Are you among the majority (70%) of local and regional banks turning down opportunities due to operational limitations? If yes, Finverity can help in as little as 30 days!
The only system that supports all open account trade finance & SCF products
FinverityOS is a single, unified system designed for banks & NBFIs to streamline and digitise open account trade finance & SCF operations. Upgrade from fragmented, outdated systems and effortlessly expand into new products and markets, today and in the future.
Book a call to digitise your operations > OS@finverity.com
