News release originally issued by HSBC UK – 28 February
28 February 2019
- Proactis, the global spend management and B2B eCommerce company, has secured £20 million in funding from HSBC UK to bring to market new technology to tackle the liquidity squeeze felt by SMEs.
The global eCommerce business says the funding will allow it to roll out proprietary technology that will deliver “frictionless cash flow” between businesses. It both accelerates and incentivises payments, helping SMEs in particular to invest in growth through improved liquidity.
The technology will also help larger businesses to manage their supply chains, easing the impact on working capital and improving their relationships with suppliers.
Anthony Persse, Financial Solutions Director at Proactis, said: “There is a disconnect in the current payment culture that benefits neither buyers nor suppliers. It stymies investment as well as working capital.
"We have been exploring technologies that can improve access to working capital by accelerating payments to suppliers. Our approach will disrupt traditional funding solutions that are not addressing the real needs of businesses. Through our accelerated payment technology, we will re-establish positive business practices through effective collaboration and simple access to cash."
The HSBC UK funding represents a vital milestone in the delivery of the Proactis technology. The business has been validating a funding solution that will deal with the cash flow disconnect felt by buyers and suppliers and has received widespread praise for this. The new funds will enable Proactis to support early adopters of the technology.
Wayne Shadlock, Global Relationship Director at HSBC UK, said: “We began working with Proactis over 15 years ago and this is yet another example of its innovative thinking. We have a keen understanding of the benefits of accelerating payments through the supply chain and the new technology is both scalable and unique to Proactis. The business is well positioned to drive widespread access to liquidity for SMEs, which will ultimately boost cash flow and support economic growth.”
Proactis will launch their Accelerated Payment Facility later this year.
About HSBC UK:
HSBC UK serves around 14.5 million customers across the UK, supported by 32,000 colleagues. HSBC UK offers a complete range of retail banking and wealth management to personal and private banking customers, as well as commercial banking for small to medium businesses and large corporates.
HSBC UK Bank plc is a wholly owned subsidiary of HSBC Holdings plc, which is part of the HSBC Group – one of the world’s largest banking and financial services groups with assets of US$2,603bn at 30 September 2018. Linked by advanced technology, the HSBC Group serves customers worldwide from around 3,800 offices in 66 countries and territories in Europe, Asia, North and Latin America, and the Middle East and North Africa.