Working capital finance provider LSQ and supply chain platform Infor Nexus have announced a partnership to provide suppliers with access to early payments through an LSQ FastTrack® supply chain finance programme.
As part of the strategic partnership, LSQ is providing funding, payments automation, credit management and a range of financial insights for effective working capital management. These will sit on Infor Nexus’ platform, so that suppliers can access early payments instantly.
The partnership is currently being piloted by international suppliers of United Legwear, an existing LSQ supply chain finance customer. Other buyers are in the early stages of integration to enable global suppliers to join their supply chain finance program.
The partnership will make it easier for global suppliers to access supply chain finance programmes, according to LSQ Chief Revenue Officer Vikas Shah.
"The agreement opens up a world of opportunity for global suppliers to seize the advantages of LSQ's supply chain finance program and improve their working capital - all within a system they already use with their buyers," he said.
"We know traditionally, supply chain finance programs - especially those in the retail space - are difficult for non-U.S. suppliers to access. With this new partnership, we are removing the barriers created by inventory-in-transit, cross-border payments, and international procurement processes.
"Traditionally, international suppliers encumber their accounts receivable by factoring their invoices or standing up cumbersome lines of credits with their local banks," said Shah. "All of that friction and paperwork is now eliminated with a seamless procurement, payments, and finance solution provided through a single, unified user experience."
Ted Barba, Vice President of Global Supply Chain Finance Solutions at Infor Nexus said "Providing efficient early payments through a supply chain finance program to support cash flow has been one of the largest needs of both U.S.-based companies and their international suppliers for some time.
"Supply chain issues, higher inflationary pressure and increased interest rates have greatly exacerbated the problem. By partnering with LSQ, we have created an easy-to-use solution that will strengthen global supply chains and support growth."
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