Be the First to Know

lanka matrimony

Supply Chain Financing scheme from HNB Finance to uplift businesses

0 112

The powerful scheme leads the market in the exceptional amount of value it is able to deliver to businesses, as it is a revolving facility designed to optimize and sustain an uninterrupted supply chain process and cash flow for both buyers and suppliers.

The financing scheme enables manufacturers to purchase from suppliers at a higher discount as payment for material is immediately settled by HNB FINANCE. The company will step in to absorb the credit period and pay the supplier immediately. This enables suppliers to maintain and enhance their liquidity, while customers are thereafter given a generous credit period of up to 120 days with minimal interest to pay off their costs to HNB Finance. This affords them the rare opportunity to manufacture, sell and obtain the cash they can use to repay the loan.

“As an organization that has always strived hard to innovate to meet the demands of the rapidly evolving market. This new facility is therefore aimed at easing the working capital requirement of businesses feeling the dire implications of a pandemic-stricken market. The beginning of the pandemic forced suppliers to limit their offerings to organizations who are able to pay cash at the time of purchasing raw materials, leaving many businesses who depend on these suppliers to limit their operations,” said HNB Finance Chief Executive Officer and Managing Director Chaminda Prabhath.

Once an invoice is raised, suppliers are able to receive payment within 24 hours and are no longer subjected to lengthy payment terms that are usually imposed upon credit customers. This enables customers to recover the interest rate paid to HNB Finance, indirectly in the form of a discount.

HNB Finance was established in the year 2000 and is licensed as a registered Finance Company by the Monetary Board of the Central Bank of Sri Lanka.

Leave A Reply

Your email address will not be published.