Challenges in extending credit terms to your SME customers during COVID-19
The COVID-19 lockdown has had a detrimental impact on the financial position of most small businesses. The possibility of an extended recession will have an adverse impact on most small businesses’ profitability and liquidity, increasing their credit risk.
Continued extension of credit terms to SMEs may lead to a higher risk of bad debts for your business. However, limiting the extension of credit terms will result in lower sales to both your SME customers and distribution partners.
Why take on credit risk when we can do it for you?
As a dedicated SME lender, Bright On Capital provides revolving working capital facilities to your SME customers, enabling them to make purchases from your business on a cash basis. Refer your SME customers to us, and we’ll take the risk off your hands.
How we work
SME Funding Facilities
Recurring Funding and Payment Process
What’s in it for you?
Make sales without worrying about whether SME’s will be able to pay you. Pass on the credit risk to us, keep cash coming in to your business.
What’s in it for your SME customer?
Your SME customers get immediate access to working capital facilities. They get flexibility to finance what they need, when they need it. We provide full transparency to them on payments to you, through their individual clearing account. Loans are repaid as soon as their customers pay them. Loan pricing is clear and transparent.
Our SME funding criteria
Your SME customers must meet the minimum criteria:
- 12-month trading history
- At least R500k in annual turnover
- Track record of supplying goods and services to corporate and public sector entities.
Become a Supplier Partner
Call us now, and let us take the credit risk off your hands so that you can give your business the focus it deserves.
Some of our Funding Partners
- Once the facility has been initiated, you can access funds online within 4 hours on a recurring basis from your pre-approved loan (credit) facility.
Bright On Capital is (Pty) LTD is an Authorised Financial Services and Registered Credit Provider – NCRCP7586
If you have 12-months trading history, annual revenues of R500 000 or more and supply corporate or public sector entities, then you are eligible to apply for a 12-month revolving working capital facility and have immediate access to invoice finance, purchase order finance and contract finance. Find out more about our Working Capital Finance.