VTB launches multifactor fintech platform for Russian SMEs
VTB Factoring and Venture Engineering Lab have launched GetFinance, the first end-to-end multifactor digital platform developed specifically for supply chain finance, reports Jane Connolly.
The first of its kind in Russia, the platform enables companies to digitise the entire cycle of processing and financing factoring transactions. The technology is particularly aimed at SMEs in the public procurement segment.
VTB Factoring will act as the backbone factoring company for GetFinance, with the aim of creating a commercial online financing marketplace.
Suppliers can enter into factoring contracts remotely and receive early financing for completed stages or fully completed contracts.
Customers and buyers will benefit from access to an unlimited number of approved vendors and a debt management possibility. There is also no minimum transaction amount.
“We expect our involvement in the launch of the GetFinance fintech platform to promote further development of convenient and reliable financial services on the Russian market,” says Anton Musatov, CEO of VTB Factoring.
“With the GetFinance platform, companies will get paid for completed contracts quickly and in a convenient online format, improving their working capital and reducing the risk of cash flow gaps. It will also help deal with many difficulties in the mutual settlement between all parties in commercial transactions.”
Yegor Gazetin, CEO of GetFinance, adds: “Our platform automates factoring and offers it as a fully remote product, accelerating and simplifying the provision of funding. Having a major market player, VTB Factoring, as a partner will give the project security and financial stability, as well as a potential customer base.”
Yegor states that the public procurement segment has an estimated 500,000 participants, with potential commercial online financing worth RUB 1 trillion ($15.75 billion) per year.