‘Launched in partnership with Demica, a leading global provider of supply chain finance technology, this new offering empowers Mastercard partners to provide their business customers with access to affordable working capital. Mastercard Track, an open-loop network, can now connect providers of B2B payments and their respective buyer and supplier customers to working capital…
A lack of scalable solutions in the market has put supply chain financing out of reach for many businesses. As a result, only the largest suppliers can access working capital solutions, while trillions of dollars are tied up in accounts receivable each year.’
We have reviewed various SCF providers in past member research and Demica’s market platform has a full range of alternative financing solutions available to potential funders. We were able to chat with Mastercard’s David Trecker, senior vice president of commercial & B2B solutions, who says, “Our partnership with Demica brings together Mastercard’s scale and network with Demica’s technology platform. We’re excited about the expanded ability of Track BPS to empower more businesses with the working capital they need to grow.” As we have seen in the pandemic era, the importance of working capital has been consistently reinforced, particularly in the SME space, where credit and financing opportunities are less accessible. So here is another innovative solution to improve liquidity options for business entities.
‘By launching this first of its kind, embedded working capital capability in Mastercard’s Track Business Payment Service multi-rail platform, Mastercard is doubling down on its commitment to empower every business to get the working capital they need to thrive. This solution enables payment partners to extend the reach of buyer programs to more of their supply chain partners, strengthening supplier relationships. Suppliers gain improved access to competitively priced early payments and enjoy enhanced user experiences, such as one-time enrollment, standard agreements, and easy implementation leveraging their partner connections.’
Overview by Steve Murphy, Director, Commercial and Enterprise Payments Advisory Service at Mercator Advisory Group