Tue, 27 Apr 2021 14:49:00 GMT
Today Wayflyer, a revenue-based financing platform has joined forces with Adobe to launch a financial solution for businesses on Adobe’s industry-leading eCommerce platform. This partnership solves a significant problem in the eCommerce industry by providing businesses with the competitive working capital they need to scale and grow.
The partnership will provide eCommerce businesses on Adobe Commerce, powered by Magento and Magento Open Source with access to revenue-based financing, an affordable alternative to traditional sources of funds tailored to the needs of scaling eCommerce businesses. Instead of interest fees, dilutive equity stakes or personal guarantees, eCommerce merchants will be charged a single fixed fee, and remittances as a percentage of their daily sales.
The eCommerce industry is uniquely challenging for businesses to operate in due to its punitive payment terms. Merchants need to pay for their inventory in full upfront, 30% of inventory payment on the stock due date, and the remaining 70% on the shipment date, massively depleting their cash balances before any of the inventory has even been received. Through access to funds from Wayflyer, merchants will be able to afford larger inventory purchases to meet heightened product demand more easily, especially around busy holiday periods. The funding can also be used by legacy Magento 1 businesses to upgrade to the latest Magento platform, or to modernize their brand experience by working with one of Adobe’s many Solution Partners.
To further optimise sales, Adobe merchants will have unlimited access to Wayflyer’s complimentary analytics offering and marketing dashboard, designed to provide tailored advice on how to improve marketing inefficiencies. Ultimately, this access to capital financing facilitates higher investment into stock, inventory and analytics, and drives accelerated growth for businesses.
The new channel for Wayflyer will significantly amplify its already rapid growth. Since its launch in April 2020, the fintech company has provided over $130m in funding to eCommerce businesses in North America, Europe and Australia.
Aidan Corbett, Wayflyer CEO and Co-Founder comments: “With demand for online retail at an all-time high, we’re excited to be at the forefront of creating a unique solution to help businesses scale up and meet the rapidly rising demand for eCommerce. Together with Adobe, we are able to offer merchants a fresh way to tackle the working capital problem they face, allowing them to fully focus on optimizing their businesses and accelerating growth. Partnering with Adobe has provided an excellent opportunity for us to supercharge the reach of our offering - through the established Adobe platform, we can break down funding barriers for online retailers at scale, thereby boosting the eCommerce industry and ultimately helping to fuel an economic recovery.”
Justin Merickel, Adobe vice president of business development comments: “Ecommerce became a make-or-break capability in the past year by helping businesses stay connected with their best customers. We are excited to offer Adobe merchants access to a tailored financing product to help improve and scale their online businesses.”
Wayflyer financing support for Adobe merchants will be fully operational by the end of the summer, and available to customers in the USA, Canada, Ireland, UK, Spain, the Netherlands, Belgium, Denmark, Sweden & Australia in the first instance, with further regions to be unveiled in time.view more - Hires, Wins & BusinessAdobe, Tue, 27 Apr 2021 14:49:00 GMT