Supply Chain Finance through Reverse Factoring allows the bank’s corporate clients (buyers) to facilitate early payment of invoices for their suppliers through the Housing Bank. Under this arrangement, both the buyer & supplier will benefit through the following:
Benefits for the Buyer
- Strengthening the relationship with suppliers by enabling them to collect their receivables faster
- Improving payment terms and gaining the ability to negotiate longer payment periods with suppliers
- Enhancing the buyer’s overall supply chain efficiency
Benefits for the Supplier
- Improving cash flow without having to wait for long payment cycles
- Reducing reliance on traditional financing methods
- Access to lower-cost financing given the bank’s reliance on the buyer’s creditworthiness
For more information, please contact your Relationship Manager or visit the nearest branch.