PrimeRevenue Accelerates $53 Billion in Global Early Payments During First Half of 2020
PrimeRevenue, Inc., the leading platform for working capital finance solutions, facilitated cash flow improvements on $53 billion in global supply chain payments during the first half of 2020. Amid the global crisis, cash flow gains of this magnitude have been essential to companies of all sizes in securing financial operations and protecting countless jobs around the world.
Trade data across PrimeRevenue’s platform highlights suppliers’ growing appetite for liquidity resulting from the economic impact of COVID-19. Between March 1 and June 30, customers introduced 25% more suppliers across 43 countries to PrimeRevenue’s early payment solution compared to 2019. These suppliers, who represent $4 billion in annual receivables in 16 currencies, join the thousands of suppliers who accelerated payment on 80% of invoices during the first half of the year, with a peak of 93% in March.
Following coronavirus-related troughs in February and April, data on the PrimeRevenue platform indicates trade activity is on a positive path toward recovery. The consumer staples sector, particularly in the U.S., has remained relatively stable all year. Arguably more telling, however, is data related to the consumer discretionary sector as it is a strong indicator of broader economic health.
There have been encouraging, albeit irregular, signs of improvement within this sector, which the company expects to continue in H2. Consumer discretionary activity in EMEA is now at 85% of 2019 levels, up from their lowest point in April. Even more promising is the U.S. consumer discretionary sector, which rebounded to +9% over 2019 volumes in June.
“Giving suppliers access to early payment has helped our clients strengthen their supply chain, guard the health of their suppliers, and improve their cash flow during a time of unprecedented disruption,” said PJ Bain, CEO of PrimeRevenue. “Now, as trade begins to show promising improvement, we look forward to supporting our clients as they embark on a journey to recovery.”
PrimeRevenue’s supply chain finance (reverse factoring) solutions help organizations in 80+ countries optimize their working capital to efficiently fund strategic initiatives, gain a competitive advantage and strengthen relationships throughout the supply chain. As the leading provider of working capital financial technology solutions, PrimeRevenue’s diverse multi-funder platform processes more than $250 billion USD in payment transactions per year. The company is headquartered in Atlanta, with offices in London, Prague, Hong Kong and Melbourne. Additional information about PrimeRevenue can be found at www.primerevenue.com | Twitter: @primerevenue | LinkedIn: www.linkedin.com/company/primerevenue.