How do Suppliers and Buyers Profit from Supply Chain Finance

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How do Suppliers and Buyers Profit from Supply Chain Finance

In a study conducted amongst 500 entrepreneurs globally, it was seen that more than 63% suffer from anxiety induced by cash flow concerns. The other rampant issue is the depletion of the working capital. Now, there are various reasons why this might happen, notably if your cash flow is disrupted by supply chain inadequacies. It’s a common cash flow issue highlighted by several Aussie business owners. Nevertheless, you can fix it with supply chain finance. It’s a business financing that benefits both the suppliers and the buyers. How? Let’s explore. (Source: https://www.forbes.com/sites/moiravetter/2019/02/28/newkabbage-study-shows-the-harsh-reality-of-cash-flow-management-onowners/?sh=334193d73842) Define Supply Chain Finance Supply chain finance is a popular form of business loan that helps an enterprise to release its capital tied up due to supply chain issues. Businesses leveraging supply chain finance have the potential to stimulate the global economy and release working capital worth more than $2 trillion. Here’s a brief rundown of how supply chain finance works.


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