Selling goods in the international market opens up a great set of opportunities for exporters. But the biggest challenge most exporters face are long payment cycles from buyers. While large and established businesses face few challenges in accessing funds from banks, small and medium enterprises have difficulty accessing working capital. Banks (and other similar institutions) require SMEs to periodically submit proofs of hard collateral and organised financial statements, which many lack. For an SME exporter to grow, access to a steady flow of working capital is essential at every stage in business, from procurement of raw materials to produce the goods to shipping the finished products to an importer overseas. Drip Capital’s Export Finance solution helps bridge this credit gap between small and large enterprises by making it easier for an SME to gain access to export finance without the need of any hard collateral or business financials. Our invoice factoring service is tailormade for SMEs to inject additional working capital into their business and finance future export orders. At the click of a button, you can submit invoices online, get upto 80% of the invoice value, and leave the collection of invoices to Drip Capital.
Have you extended a credit period to your foreign buyers? Do you often wait for buyer payments? Is your bank’s restricted credit facility limiting the growth of your export business? Do you want a financial solution that is fast, paperless, reliable, transparent and collateral-free? If you have answered yes to any of the above questions, you need export finance to get that competitive advantage. Here’s how our solution can help you grow your business.
of Trade Financed
Learn about how we’ve 10xed exporters
Exporter of Plastic products from Maharashtra
We started factoring our export invoices with Drip in FY17-18 and by 18-19 we were getting almost 25% of our invoices financed by them. With the boost in working capital and increased competitiveness in foreign markets because of better terms of sale, our turnover has shown a substantial increase.
Exporter of frozen foods from Andhra Pradesh
As an exporter you may have a great offering, but without easy access to short-term finance, you face challenges in scaling and have to let go of many opportunities. Drip Capital’s easy and efficient export finance solution has helped us ensure there is continuous cash flow in our business. Now we can convert possibilities which we otherwise would have passed on. The result has been a 220% jump in sales in FY19.
Exporter of Red chillies from Andhra Pradesh
When we started our business in 2017, traditional lending institutes could not keep up with the increasing orders from our buyers. With Drip capital fulfilling our working capital requirement, in FY 19 our business reported massive growth as compared to the previous year, over 50% of those export invoices were financed by Drip.
Exporter of Basmati Rice from Punjab
Drip’s factoring service has ensured that our liquidity doesn’t remain tied up in invoices for a long time. Since the start of our collaboration, we have been able to cater to more buyers and our export turnover has increased 4x between FY17-18 and FY18-19.