by SHAFIQQUL ALIFF / pic by TMR FILE
FINTECH start-up Pantas has partnered with Funding Societies, South-East Asia’s largest small and medium enterprises (SMEs) digital financing platform, to launch an industry leading pre-approved automated invoice financing facility for SMEs in Malaysia.
“Every business deserves to have a financial safety net for the rainy days. The pre-approved financing will provide SMEs with seamless access to working capital and alleviate cashflow constraints.
“Businesses that utilise Pantas’ free software to digitise their billing, invoicing and payment process will automatically gain access to the pre-approved financing facility. The partnership with Funding Societies enables us to extend our reach to the underserved SMEs who could benefit greatly from these solutions,” Pantas co-founder and CEO Max Lee said in a statement yesterday.
Meanwhile, Funding Societies Malaysia co-founder and CEO Wong Kah Meng (picture) said the partnership with Pantas would enhance both the choices and the speed at which financing solutions will be offered to underserved SMEs.
The partnership aims to provide SMEs with an easily accessible financial safety net. Leveraging on Pantas’ and Funding Societies’ proprietary data and algorithms, SMEs are automatically pre-approved for invoice financing facility via Pantas’ free e-invoicing software.
The pre-approved financing is there for the SMEs when they need it, but they are under no obligation to use it.
The solution will reduce the time spent on the end-to-end invoice financing process (from facility approval to money in the bank account) to as little as two business days compared to the industry standard of several weeks while offering competitive interest rates.
In addition, SMEs can also obtain a higher pre-approved limit by transacting more on Pantas.
“As the lead digital economy agency in Malaysia, Malaysia Digital Economy Corp (MDEC) lauds this partnership between Pantas and Funding Societies. The pre-approved financing will further drive digital adoption among SMEs and propel Malaysia as a leading digital nation,” said MDEC CEO Mahadhir Aziz in the same statement.
Pantas has also partnered with MDEC to be a part of their flagship SME Digital Accelerator programme. The programme was created to assist Malaysian SMEs by providing a structured approach to adopting digitalisation.
“While 98.5% of all businesses in Malaysia are SMEs, World Bank states that digital adoption among them is still lagging compared to larger enterprises and MDEC, along with partners like Pantas, will continue to step up to ensure Malaysia stays a globally competitive digital nation,” added Mahadhir.