Finance app Flexbase has introduced a buy now pay later (BNPL) solution, known as Flexbase Pay, to serve B2B merchants and businesses operating in various sectors.
Flexbase Pay is designed to enable merchants to receive their payments immediately while helping businesses get 60 days of interest-free financing.
This option allows businesses to buy products and receive them immediately. However, they have the option to pay for their purchases after 60 days.
Online equipment rental marketplace DOZR has become the first merchant to provide Flexbase Pay.
Flexbase CEO Zaid Rahman said: “Most merchants, such as those in construction and home improvement like DOZR, are not in the business of managing credit and customer payment collections.
“And yet, the businesses buying from them demand net-60 payment terms. This is where Flexbase Pay comes in.
“Merchants can get funds immediately while businesses get net-60 days of interest-free credit for payments. This ultimately helps merchants sell more products while giving businesses much needed flexibility on their cash flow.”
BNPL gained ground during the Covid-19 pandemic as the number of consumers adopting online shopping spiked.
Consumers can easily access the option, but businesses face a more complex underwriting process while opting for BNPL.
With Flexbase Pay, a business can receive credit in less than five minutes.
Rahman added: “We enable B2B merchants to experience all the benefits of BNPL, including increasing their revenues significantly and increasing business customer loyalty, while taking the task of underwriting and credit collections off their plates.”
In May last year, Flexbase raised $2.5m in a pre-seed funding round, which saw the participation of several investors including Hustle Fund, Suffolk Technologies, Equipment Share, Romulus Capital, Chapter One, among others.