Credit insurance company Allianz Trade has joined forces with French payment startup Pledg to develop a deferred payment solution for B2B ecommerce sites and marketplaces.
The companies said that the new solution will allow B2B sellers to give their customers the option to instantly defer or split payments, without being exposed to non-payment risks.
The application programming interface (API)-based solution will club the buy now pay later (BNPL) solution of Pledg with Allianz Trade’s information systems, which deliver real-time credit decisions.
Pledg managing director Jacques-Olivier Schatz said: “By modernising the practice of factoring, we make it possible to benefit from the operational habits of the business world — payment at 30 or 60 days, online and in-store — without risk, simply.”
The companies explained that when a buyer fianlises his purchase on any B2B ecommerce sites and opt for the BNPL option, Allianz Trade’s systems will analyse the buyer’s paying capacity, algorithms will confirm the deferred payment and payment will be made by Pledg.
Allianz Trade head of digital acceleration in France Mickaël De Sa said: “Everything happens in a fraction of a second, without the end user even realising it.
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“Thanks to this mechanism, [eCommerce] sites can now offer their customers a fast and optimised payment experience.”
In case a buyer doesn’t pay, it will be the responsibility of Allianz Trade to recover the amount for Pledg or compensate it.
Pledg chief product officer Adrien Bonhomme said: “The solution proposed by Pledg and Allianz Trade makes it possible to remove concerns around the risk of non-payment, with the seller’s cash flow being preserved in all cases. “This service will also allow B2B buyers to maintain their payment habits within 30 or 60 days of their invoices within a modern web experience. We are convinced that it will release strong growth potential for our partners.”