Info-tech

Industrybuying to offer loans to businesses on its platform

Priyanka Pani Mumbai | Updated on January 16, 2018 Published on September 02, 2016

B2B e-commerce platform has tied up with digital lending platform Capital Float

B2B e-commerce platform Industrybuying will soon offer credit solutions to businesses on its platform to help them procure products online.

Called Pay Later, the loan/credit is being offered through a tie-up with Capital Float, a digital lending platform. The solution will solve the problem of working capital management of SMEs as more and more of these players are buying products online, the company said.

The Kalaari Capital- and SAIF Partners-backed company has over 5,000 registered sellers and more than 75,000 registered businesses, procuring online from its platform.

According to experts, with the advent of e-commerce, many small businesses are now willing to eliminate the need for large logistical spaces and stored inventory altogether and focus on just trading online which also makes them more profitable. However, conventional and traditional banking organisations are not very keen on providing finance to these businesses, which is why several start-ups such as Capital Float, Lendingkart, InnoVen Capital have come up to provide small-ticket and hassle-free loans to these SMEs.

Swati Gupta, co-founder and CEO, Industrybuying said: “Working capital management is a huge problem faced by most SMEs/SMBs. Along with solving this problem for existing businesses, the loans can help numerous entrepreneurs lead the establishment of various SMEs and SMBs in Tier II and Tier III cities, where the real bulk of India’s bustling industrial sector lies.”

Businesses on Industrybuying’s platform will be eligible for online credit of up to ₹25 lakh instantaneously without any paperwork. The businesses only have to register themselves on the Industrybuying website and the latter then shares customer details with Capital Float for processing. Post verification done by Capital Float, the credit line will be set up on Industrybuying and ready for use within 72 hours.

Industrybuying, which offers over 1.5 million products across 45 categories ranging from safety, security, electrical, lighting, power, solar and MRO supplies, had last year partnered with Innoviti to offer integrated EMI features at flexible interest rates to its customers.

Published on September 02, 2016
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