The pioneering buy-now-pay-later financing facility on SOLV’s platform helps MSMEs with-

  • Instant invoice financing for as low as Rs. 3,000 and a flexible credit period from 15 - 60 days
  • With the alternate data on its platform, SOLV provides segment analysis to match financier and borrower requirements
  • SOLV targets INR 100 crore of BNPL credit in 2021

Bengaluru, January 18th, 2021:  SOLV, a B2B e-commerce platform for micro, small and medium enterprises (MSME), today announced the launch of a Buy-Now-Pay-Later (BNPL) product for MSME buyers and sellers on its platform. BNPL as a concept has already made big inroads into the consumer retail sector and seen significant success there, especially in the last year. SOLV, in one of the first such moves in the B2B space, now brings the convenience of BNPL to the MSME sector.


In the first phase of the launch, new age fintechs and NBFCs that are a part of SOLV’s extensive network of financial service providers, have started offering invoice financing through BNPL to small businesses on SOLV’s B2B commerce platform, giving them a shot in the arm in this period of COVID19-induced crisis, when many small retailers are running low on capital and cash to finance their needs. With the flexibility of BNPL available to them, small businesses can now service their immediate requirements without feeling severe financial strain, with more time at their disposal to make payments.


Speaking about this new offering, Jiten Arora, Venture Lead, SOLV said, “SOLV is at the forefront of leading digital transformation for the MSME sector and bringing this large, underserved category into the formal financing fold. Our newest offering is another step towards this goal. The application of BNPL in the B2B segment has been welcomed by our buyers and sellers. This product provides both convenience and financial flexibility to them, which results in growth, even in these challenging times. Going by the trend, every one out of three MSMEs will avail this product by the end of 2021. BNPL is expected to contribute to SOLV more than INR 100 crore worth of business in 2021.”


BNPL is helping SOLV further reinforce trust on the platform as it meets the needs of both parties – sellers who want to be paid upfront and buyers who want credit for financing their inventory. For the partnering fintechs and NBFCs, the BNPL offering helps them increase their volumes of loan disbursal, as well as gives them a way to evaluate a customer's credit behaviour without incurring a big risk, as the financing is for the underlying business transactions. SOLV’s technology platform enables lending partners to lower cost to serve and thereby finance invoices as small as INR 3,000. It is therefore a win-win for both small businesses as well as the lending partners.


At a time when traditional lenders have turned largely risk averse due to a weak economy, SOLV’s hassle-free BNPL scheme provides a convenient and viable way to service the daily operational requirements of small businesses. New-age digital lenders have been at the forefront of this concept. SOLV has partnered with three leading new-age lenders – Indifi, ePayLater and Davinta– for this initiative.


Speaking on the new initiative, Alok Mittal, CEO, Indifi Technologies, said, “We are firm believers in the need for financial solutions to be embedded into SME’s everyday life and are delighted to extend our buyer financing solutions to power BNPL. Not only will this association accelerate the recovery process of affected SMEs, but it will also help us understand their underlying transactions and accordingly formalize credit for this critical part of the Indian business ecosystem. With a bundle of convenience and cost-effectiveness for a full cycle of B2B transactions, we look forward to playing our part in helping SMEs win.”


Talking about this development, Akshat Saxena, co-founder, ePayLater said, “Retail trade in India is growing at a very fast pace. We are delighted with our association with SOLV, a leading B2B marketplace in India. The collaboration will empower retailers and SMEs across India to avail the benefit of instant digital credit as they build their business on SOLV. We look forward to co-creating the best marketplace and payments experience, and help customers transition seamlessly into the world of hassle-free digital credit payments.”


Commenting on the partnership, Ravi Garikipati, CEO and Co-Founder of Davinta said “At Davinta we believe accessible and affordable financial services is key to unlocking the potential of the millions of small businesses in India. We launched our micro enterprise focused buy-now-pay-later credit solution Vyaapaar Shakti to bring on-demand, anytime, anywhere credit to small business while also filling a massive gap in the SMB market today. We are excited to partner with SOLV as we bring the power of Davinta’s technology and SOLV’s platform to tens of thousands of retailers across the country and give them a never before access to credit.”


Bolstering SOLV’s financial services offering for MSMEs is its proprietary alternate credit score, SOLV SCORE which uses AI and ML to create a comprehensive score card for MSMEs with their traditional and alternate data. SOLV SCORE is aimed at augmenting and fast-tracking financial services offerings like BNPL on SOLV’s platform and making credit flow to the MSME sector more efficient and effective.

About SOLV:
SOLV is a B2B marketplace for MSMEs. The SOLV platform facilitates commerce in a trusted environment, while easing access to finance and business services through one seamless digital experience for customers. SOLV, registered as Standard Chartered Research & Technology India Pvt. Ltd. is a fully-owned entity of the Standard Chartered Group, headquartered in London. https://www.solvezy.com/