Related Services

Supply-Chain Financing

Free up working capital in your supply chain

Free up valuable cash trapped in the supply chain with DBS Supply-Chain Financing (SCF). This innovative working capital solution benefits all parties involved by leveraging our relationship with a corporate anchor to inject liquidity into the supply chain.

 

Supplier Finance

We finance sales to corporate buyers by accessing invoice information directly from buyers who have signed an agreement with us:

  • As the supplier, you deliver the goods and invoice to your buyer
  • On a pre-agreed date, your buyer sends us his/her payables listings (invoices and credit/debit notes)
  • We then pay you early
  • We collect payment from your buyer on the invoice due date

 

Benefits to you as the supplier

  • Improves working capital
  • Receive financing of up to 100% of the invoice value
  • Enjoy competitive interest rates
  • No additional security required

 

Why choose DBS Supply-Chain Financing?

  • Benefit from DBS’ experience as a pioneer in supply-chain solutions. We established the first supplier-finance structure for the Singapore retail industry. This was named Best Trade Finance Deal in Singapore at The Asset Triple A Transaction Banking Awards 2012.
  • Reduce paper transactions with automated processing

FAQs

How does it work?

Major retailers may use large-scale Supplier-Financing structures to ensure the viability of their supply chain. They allow suppliers to leverage their credit rating in order to provide them with greater liquidity, ensuring they can meet demand.

During the global financial crisis, Supplier-Finance structures helped many companies stay afloat when other bilateral loan facilities were cancelled.

Is this a new type of financing?

Relatively speaking, yes. Supplier-Finance structures originated in North America and Europe, and are becoming increasingly prevalent in Asia as a result of trade links with the West. In Asia, DBS launched an award-winning pioneer deal for the Singapore retail sector. Focused on assisting both large corporations and SMEs, DBS makes an ideal provider for SCF solutions.

How will SCF affect my transaction processes?

Payment patterns and processes differ between companies, however our product specialists tailor the programme to suit existing invoicing and payment processes. As such, your underlying transactions require minimal change.

What kind of sales/purchases qualify for this type of financing?

Trade transactions must be on open account terms and occur on a recurring basis in order to qualify. Hence, one-off sales or purchases do not qualify.

 

How do I apply?

SCF structures are led by a corporate client, known as an anchor. As such, we approach suppliers only once we have negotiated an agreement with a suitable anchor. Please call our DBS Indonesia Customer Centre at 1500 327 or 69 327 (if using a mobile phone) for more information or to discuss a customised SCF structure for your business.

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Awards
Best Trade Finance Deal in Singapore, 2012

Best Trade Finance Deal in Singapore, 2012, The Asset Triple A Transaction Banking Awards

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