Drip Capital, Inc., a leading cross-border digital trade finance platform, today announced a collaboration with TradeLens, a blockchain-enabled digital platform, to provide easy access to credit for small and medium businesses (SMBs) across the world.
International trade is the backbone of the global economy. However, it continues to work with inefficient paper-intensive processes. Even today, most of the cross-border documents are exchanged physically, delaying the transaction by weeks. Lack of digital records also limits SMBs' access to formal finance, restricting their growth trajectory.
Drip Capital provides collateral-free financing to SMBs engaging in cross-border trade. The company partners with operators across the global supply chain to increase access to finance for SMBs and aims to build a trade facilitation platform to help ease their pain points.
This collaboration will assist Drip in its mission to simplify global trade. TradeLens, through its network of connected carriers, issues electronic bills of lading (eBL), which eliminates paper-based BLs that are a key feature of all international trade transactions. Drip hopes to use these blockchain-enabled documents to provide SMBs with financing faster and in a more secure manner.
Elaborating on the collaboration, Pushkar Mukewar, Co-founder and CEO of Drip Capital, said, "We at Drip are committed to making global trade easy and accessible for small businesses. Many stakeholders in the global supply chain support TradeLens, and we are thrilled to collaborate with them. Their blockchain-enabled solutions will allow us to offer enhanced customer experience through digital, secure and efficient processes."
For TradeLens, the alliance opens new opportunities to scale their business and connect with various stakeholders to digitally transform the global supply chain.
Daniel Wilson, Head of Strategy and Operations, GTD Solutions and TradeLens platform, shared, "Simplifying trade for SMBs is a shared objective for TradeLens and Drip Capital, and we are excited to have a leading-edge solution join our ecosystem. The TradeLens eBL can help Drip Capital drive for greater efficiency in trade finance for all involved parties."
"Drip Capital has enhanced the export/import finance business for the SMBs," said Bimal Kanal, Director of Network for South Asia, GTD Solution, and the TradeLens platform. "Collaborating with TradeLens as a network partner opens new opportunities for shippers as well as Drip Capital for digitizing documentation and ownership of the cargo. With more and more partners joining the TradeLens network, we are steadily moving towards strengthening the network that will benefit more stakeholders and rapidly digitize the global supply chains."
Drip Capital is a market leader in the global trade finance space. The company offers trade financing solutions in the US and developing markets like India and Mexico by giving their clients access to working capital quickly. Drip works with over 3500 sellers and buyers spread across 80+ countries.
The Fintech firm has financed over $2 billion of international trade since its inception in 2016. Drip has raised about $520 million through venture capital and debt since 2016, including over $85 million in equity capital through investors such as TI platform, Irongrey, Accel Partners, Sequoia Capital, Wing VC, and Y Combinator. Drip Capital was honored as a CB Insight's Top 250 Global Fintech Companies in 2020.
Read more about the company here:
TradeLens is an open and neutral industry platform underpinned by blockchain technology, supported by major players across the global shipping industry. The platform promotes the efficient, transparent, and secure exchange of information to foster greater collaboration and trust across the global supply chain.
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( With inputs from ANI )
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