Global financial service platform Kabbage announced on Monday it is now powering the Pay Later Financing option for U.S. customers of Alibaba.com. According to Kabbage, Alibaba Group’s (NYSE: BABA) online platform for global B2B trade and the Pay Later option allows millions of U.S. small businesses on Alibaba.com to obtain up to $150,000 of financing for their orders. Pay Later also improves cash flow and makes global commerce more accessible for small businesses.
“Financing at the point of sale requires a fully automated solution that can handle the immense volume of daily transactions that occur on Alibaba.com. We are incredibly impressed with the service and value that Alibaba.com delivers to American businesses and want to do all we can to support their important mission. The collaboration with Aliababa.com has already delivered millions of dollars of purchasing opportunity to U.S. small businesses and showcases the adaptability of our technology.”
John Caplan, Head of Alibaba B2B in North America, also commented:
“We recognized an opportunity to give our customers a convenient financing solution that allows them to improve their cash flow at competitive rates, so they can have the cash they need to grow their businesses. We are delighted to be working with Kabbage to empower our SMB customers to source at greater volumes or improve their cash flow to invest in other areas of their businesses.”
Kabbage went on to add that since its beta launch in June 2018, Pay Later has simplified and strengthened payments for small businesses using Alibaba.com. Polling nearly 1,000 Pay Later customers, 81 percent indicated it is easier to apply with Pay Later than other business financing options, and 68 percent said Pay Later has allowed them to increase order sizes on the site