To support the minority and women-owned businesses that are facing challenges during Covid-19, Facebook launches The Facebook Receivables Financing Program.
The social media giant has taken this pilot initiative for US-based suppliers. According to a Facebook update, this one-year financial program will help women, minorities, veterans, LGBTQ, and disability-owned companies that have been directly paid by Facebook from 2019 to 2020. They are going to have their invoices paid now instead of in the 60 to 120 day period. That means suppliers won’t have to wait for 30, 60, or 120 days to get paid by the customers. They can upload eligible invoices to the Receivables Financing platform and get funded in a few days.
Facebook is partnered with Supplier Success, which is a minority-owned business with extensive experience providing receivables financing. To administer Facebook’s Receivable Financing platform and collaborated with Crowdz.io to operate a seamless and secure platform to buy receivables safely. Crowdz.io and Supplier Successwill collect the suppliers’ invoices from their customers, and Facebook will reinvest the collected receivables to purchase additional invoices.
According to them, Facebook Receivables Financing Program will allow eligible people to sell their outstanding invoices to improve their cash flow instantly. People can avail of a flat rate of 0.5% on their invoices.
