The vendor financing business just got a bit more competitive as eCommerce leader Amazon announced Tuesday (Nov. 1) that it is launching a new merchant cash advance option it says is simple and flexible with repayment options that are tailored to the ebb and flow of sales.
The program, which will be administered by Parafin, marks the latest offering of this kind, tying secured credit to sales at a time when the cost of borrowing is going up and the availability of credit is tightening amid growing economic uncertainty and rising interest rates.
The new merchant cash advance joins other Amazon seller financing options, such as the invite-only Amazon Lending program, but is open to all eligible sellers and offers credit plans ranging from $500 up to $10 million in working capital.
Source: Pymnts
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