More dukas buying on credit. Less money stuck in arrears.
Your growth is capped by working capital on the retailer side, not by demand. The shops want more stock. What is missing is a way to know which shops can carry it.
What we see in FMCG credit books
- Limits set by the sales rep, not by the shop's record
- Credit managed in the ERP, orders taken on WhatsApp or a rep app, and the two never meet
- Bank transfers that cannot be matched to an invoice
- New retailers stuck on cash for years
What changes
- Your rep sees the shop's available limit when taking the order
- Every shop pays through its own reference, so payments match themselves
- New shops start on a small limit and move up after three on-time cycles
- Shops that are slipping show up on a watchlist before they miss a payment
- The best shops can be offered working capital by a licensed lender, paid straight to you against the invoice