Supplier Finance
Financing suppliers who have no account with the Bank
Financing suppliers who have no account with the Bank
Cooperation with a group of suppliers who provide goods or services is an intrinsic component of trade or manufacturing activities. In a highly competitive market, an established chain of suppliers and good mutual relationships create considerable advantage for a company and may be one of its key success factors.
However, circumstances may often emerge which can hinder efficient cooperation and further growth. Time to payment for goods or services can become a primary issue in the course of such cooperation. The supplier wants the amounts receivable be paid as soon as possible after an invoice is issued, while the buyer’s interest is quite the opposite – the longer payment date, the more efficient liquidity management.
In order to eliminate such obstacles and to ensure that both buyer and suppliers can maintain liquidity, Bank Handlowy w Warszawie S.A., operating under the Citi Handlowy brand, has developed a Supplier Finance Program. It enables suppliers selected by the buyer to use financing provided by the Bank as without-recourse Factoring. A supplier may receive the amounts receivable immediately after the buyer has accepted relevant goods or services, verified them and confirmed the invoices (i.e. payment dates and amounts due) as correct, while the buyer can pay the amounts due for the purchased goods or services at his convenience.
The Supplier Finance Program eliminates the inherent conflict of payment dates. This solution also enables the buyer to create an effective loyalty program for his suppliers and, thus, to reinforce the trade relationships between the buyer and his suppliers.
Under the Program we offer financing to:
- Buyers who have a current account and a credit line with the Bank
- Suppliers, whether or not they have a current account and a credit line with the Bank
Are you interested in our offer?
Please contact your Relationship Manager. Detailed information can be also obtained from:
The cost of the call depends on your local service provider.
Advantages:
The Supplier Finance Program is advantageous both to buyers and suppliers.
Buyer (Program Organizer)
- strengthened relationships with suppliers
- more loyal suppliers
- costs reduced due to more efficient cash management
- Bank administers settlements with suppliers
Suppliers
- the program is available whether or not they have a current account with the Bank
- improved liquidity and stronger financial condition
- access to attractive minimum-formalities financing
- access to all payment details, allowing effective cash flow planning, regardless of the sector and seasonal fluctuations
The detailed requirements, the terms and conditions of the product and the risks it may generate will be presented to the Client at the sales stage.