Market Opportunity

Diamond-images05

 

Market Opportunity

  • Newly established SMEs struggle to obtain reasonable credit terms from their larger suppliers until a track record is established. Debtors are slow paying and suppliers are fast receiving – resulting in a cashflow mismatch.
  • Unless these SMEs have a ‘big brother’ or ‘anchor funder’ to ease this squeeze, they cannot survive cashflow constraints for prolonged periods.
  • Traditional bank funding is not generally accessible or falls short of meeting SMME’s specific funding requirements, given the lack of formal track-record, accurate financial history and/or security in these businesses.

There is therefore a gap which can be filled by the private sector and particularly this platform in partnership with investors.