Vendor Prepay is an offering under Supplier Financing Programme “targeted at Big buyer Small seller relationships”; most often evidenced by high volume of small to medium value transactions. The Bank will purchase such receivables from the vendor and prepay them on a without recourse basis. The Bank retains the right to decide which receivables it would like to purchase and 100% financing of the assigned receivable is possible. The primary obligor under this arrangement would continue to be the Buyer and this would mean predicating risk on the payment ability of the Buyer.
For Anchor –
The underlying Anchor needs satisfied by this product are:
For Spoke -
The underlying Supplier needs are: