Purchase Order Funding

ZuronPurchase Order Funding

All new ways of Pre- shipment finance

An all-new and efficient solution to provide funds to the sellers during the initial manufacturing process is Purchase Order Funding. Sellers do not need to wait to deliver the finished products and completion of the payment cycle to get the payment, receive funds as soon as you receive the Purchase Order from the buyer.

This financial mechanism is highly beneficial for sellers to manage fund crises. Suppliers can utilize the funds to procure raw materials and make investments to manufacture the products as soon as they receive the PO from the buyer. With this excellent source of working capital, sellers can work on business expenses without incurring higher operation expenses and hampering their financial condition.

Process Flow:

  1. 1The buyer raises a purchase order and sends it to the supplier for acceptance
  2. 2The seller then accepts the Purchase Order and selects for auto finance option or manual financing based on its choice
  3. 3As Zuron’s Supply Chain Financing platform is integrated with the buyer's ERP system, it fetches the accepted order details directly without any manual interference
  4. 4After checking the sanction terms and conditions, the intelligent system automatically shares the Purchase Order details with the financial institutions where the final disbursement amount is auto calculated
  5. 5With the pre-verified details of the seller and buyer available on the system, the financial institution quickly releases funds to the seller
  6. 6Seller immediately receives the funds, manufacture the goods and delivers them to the buyer within the defined delivery terms, and raises an invoice to the buyer against the PO
  7. 7In case the seller wants to do with the invoice discounting facility, the PO amount is configured in the system, the mount is settled upon invoice generation, and a fresh loan is generated with an outstanding against the invoice
  8. 8In another case where the seller does not avail of the invoice discounting facility, the seller pays the due amount against the PO, and it is settled through Zuron’s supply chain finance platform
  9. 9In case of payment delay from the due date, penal interest charges are levied according to the sanctioned terms and conditions of the financial institution

Distinctive Features

Automate your way

Customize the level of automation as per your requirement- from a range of semi- automated alternatives to fully automated models.

Intuitive User interfaces

Simple and user-friendly interface backed by a logical process flow makes it easy to enter and execute transactions.

Multi-device compatibility

Multi-device compatible application offers easy access to suppliers and customers to access and operate Zuron’s platform and transact swiftly from any device and anywhere

Dynamic solution

Easily configurable to automate all business aspects of the transaction – Processing fees, pre and post-paid interest collection, profit sharing between buyer and seller, and more

Set limits at your convenience

Set limits as per sanctioned terms and conditions with high flexibility – Combined limit of Buyer-Seller, Individual limit on the seller or buyer

Automate repetitive activities

Improve efficiency by automating repetitive, rule-based tasks like payment delay notifications, penal interest charges triggering, auto debits, and escalation matrix.