HomeBlog – Insights by CredAbleBlogLeading Television Broadcasting Group in India

Leading Television Broadcasting Group in India

Published on 06 Jul,2020

Assisted the client enable a reverse factoring program anchored around client offering early payments to suppliers in partnership with banking partner.

Case Overview:

CredAble's digitally enabled Early Payment Program for Suppliers post-invoice vendor financing program. Our focus is to make it easy for large enterprises to facilitate on-demand working capital for their suppliers, using our trade finance expertise, user friendly technology platform and partnerships with 3rd party capital. CredAble's post-invoice early payment platform provides all suppliers to get early payments against their invoices in exchange for a discount and saves the enterprise client from the hassle 1-on-1 negotiations with individual suppliers with its rate discovery tool. We are looking to unlock capital and create opportunities within an enterprise's trade payable. This is a live case study with one of CredAble's clients in the Media & Entertainment industry.

About the Client:

  • Subsidiary of global media conglomerate with FY18 revenues of ~INR 64bn
  • Diverse and fragmented supplier base operating in content development and ancillary services sectors which are largely unorganized
  • Contractual credit periods of 60-75 days; Client requires ~50% of this period for invoice processing
  • Client interested in enabling early payments to suppliers in partnership with banking partners

CredAble Solution:

  • CredAble partnered with a leading Indian private bank to enable early payments
  • CredAble’s engagement specialists’ onboard suppliers and provide guidance to the client on optimal target discount rates for each supplier based on a proprietary risk model
  • Funding was off-balance sheet for vendors and did not change the trade payable nature of an invoice for the Client
  • Fixed rates for short-tail suppliers with specific time periods to drive recurring business and provide rate certainty to suppliers 
  • Collateral-free financing provided to vendors in an industry where most of the long-tail vendor base is deemed un-bankable
  • Transaction level documentation is digitally generated and distributed through platform

Impact Created:

  • Average invoice acceleration of 30-35 days
  • Vendors discount rates range from 13% – 15%
  • Average arbitrage savings of ~6% p.a.
  • Faster invoice approval process thereby enabling vendors to accelerate payment to dates closer to their invoice dates

CredAble understands supplier nuances within the media sector and can engage with vendors at scale thereby creating program level efficiencies for the Enterprise client and vendors.

For more information on the program, or to learn more about CredAble, please visit https://www.credable.biz/credable-home/credable-solutions/early-working-capital/

Stay updated with the latest BaaS trends & new revenue opportunities.

Subscribe to our newsletter

    Our Offices:
    Singapore
    4 Shenton Way, #14-02,
    SGX Centre, Singapore 068807
    India
    Mumbai, Maharashtra
    5th Floor, Satyam Tower, Off Govandi Station Rd.,
    Near Wasan Motors, Deonar,
    Mumbai – 400088
    Gurgaon, Haryana
    Wework, 5th Floor, Platina Building, M.G Road,
    Near Sikandarpur Metro station,
    Sector 28, Gurgaon – 122001
    Bengaluru, Karnataka
    Esares Building, 1st Floor,Urban Vault,
    Koramangala, 80 feet road, Opp to Starbucks,
    Bengaluru (Bangalore) Urban – 560043
    Noida, Uttar Pradesh

    Smartworks WTT, Sector-16, Block-B,
    Lower Ground Floor, Near Sector 16
    Metro Station, Noida – 201301

    Chandigarh

    4th Floor, SCO 54-55-56,
    Sector – 17 A,
    Chandigarh – 160017

    Kolkata, West Bengal

    4th-7th Floor, 50 Chowringhee,
    Camac Street,
    Kolkata – 700071

    Other Locations:
    Australia, Indonesia, US, UK, Philippines
    CredAble is the tradename for Equentia SCF Technologies Private Limited and its wholly owned subsidiary, Equentia Financial Service Private Limited, a non-deposit taking Non-Banking Financial Company (NBFC) licensed by the Reserve Bank of India (RBI) bearing registration No. 13.02344.
    © 2024 CredAble
    Please view in portrait mode