CIMB Bank Berhad, Singapore branch (“CIMB”) announced in November its collaboration with SESAMi Holding and Capital Match, to finance the SESAMi trading community’s invoices digitally under an automated workflow.
SESAMi Holding, an e-procurement platform in Singapore acquired Capital Match, an invoice financing marketplace with operations in Singapore and Hong Kong.
Mr Ong Teck Soon, Chairman and Group CEO of SESAMi Holding said, “SESAMi’s integrated procure-to-pay and supply chain financing allows the suppliers to access lower cost of funds by leveraging on large corporate buyers’ good credit rating.” Suppliers on SESAMi will be paid immediately on their outstanding invoices on the platform within two business days as soon as they are on-boarded on to the supply-chain financing program.
According to Mr Victor Lee, Deputy CEO of CIMB Singapore and CEO of CIMB Group Commercial Banking, the SESAMi-Captial Match collaboration was another avenue to digitize and improve service to their banking clients. “This is aligned with the government’s framework for e-invoices and call for companies to keep up with innovation,” he added
Capital Match, the e-financing arm leading this initiative will be reaching out to the supplier community to initiate this program. Mr Sharath Singh, Commercial Director of Capital Match, explained that the funding process will be expedited by leveraging on their Early Payment System (EPS) launched earlier this year for the SESAMi supplier community.
“With the supply-chain financing, suppliers only need to submit minimal documents to be on-boarded under the program and this will facilitate a smooth and simple process for the suppliers,” he added.
The process of onboarding onto this supply chain financing program is simplified, with no need to submit invoices as the e-invoices can be selected for financing via the SESAMi platform.
Added Ms Lai Ven Li, Head of Corporate Banking of CIMB Singapore, “Once the account is set up under the e-supply chain financing program, technology enables working capital funding to be promptly transferred to our customers.”
“Our objective is to ensure a cost-efficient solution and non-recourse working capital funding option that supports our customers’ growth,” she concluded.