Money Forward Launches Early Receivables Financing Service for SMEs

Early Receivables Financing by Money Forward

Money Forward has officially announced the launch of its new early receivables financing service, known as 'Money Forward Early Receivables.' This innovative service is designed to aid small and medium-sized enterprises (SMEs) by improving cash flow and supporting business growth. With the integration of AI technology for credit assessments, this service aims to strengthen its compatibility with 'Money Forward Cloud,' showcasing a significant advancement in financial services for businesses.

Access to sufficient funds at critical moments is a challenging endeavor for many SMEs. Traditional methods, such as loans from financial institutions, often involve lengthy approval processes, leading to potential delays of several months before funds are available. Additionally, even with strong sales figures, the time lag between generating revenue and actually receiving payments can create temporary cash shortages, ultimately exacerbating cash flow issues. To address these challenges, Money Forward has been offering an early receivables financing service since 2019, which continued to evolve into the 'SHIKIN+' service tailored for SMEs starting in 2021.

Building on its 'SaaS × Fintech' strategy, 'SHIKIN+' has progressively enhanced its collaboration with 'Money Forward Cloud Accounting.' This allows real-time credit evaluations based on accounting data without the need for submitted financial statements, helping businesses understand how much they can secure at a glance through the accounting software.

The newly rebranded 'Money Forward Early Receivables' service not only enhances ties with 'Money Forward Cloud' but also aims to support a larger user base by utilizing AI for more precise credit assessments, making it easier for SMEs to manage their cash flow needs effectively.

About Money Forward Early Receivables

'Money Forward Early Receivables' allows businesses to sell their receivables (invoices) for rapid cash conversion, often on the same day they apply. This gives companies flexibility to procure capital as needed, addressing urgent cash demands and stabilizing their cash flow. The service facilitates smooth credit checks through data integration with 'Money Forward Cloud Accounting,' allowing businesses to verify potential financing amounts directly on the cloud platform.

Key Features:

1. Non-Face-to-Face and Fully Online: Customers can utilize the service without notifying their business partners, ensuring privacy and security in their transactions.
2. AI Credit Assessment: The proprietary AI assessment model enables quick funding, utilizing unique data to streamline the process.
3. Integration with Money Forward Cloud: By leveraging inflow and outflow data from 'Money Forward Cloud,' businesses achieve seamless access to funding solutions.

SaaS × Fintech Strategy

Money Forward's vision extends beyond back-office operations, aiming to create a world where finance, including payments and funding, can be executed fluidly leveraging the data accrued from 'Money Forward Cloud' services. The continued integration between SaaS and fintech innovation promises to ease the financial landscape for SMEs.

About Money Forward Kessai Co., Ltd.

- Name: Money Forward Kessai Co., Ltd.
- Location: 3-1-21 Shibaura, Minato-ku, Tokyo, Japan, 21F msb Tamachi
- CEO: Naomichi Tomiyama
- Business Description: Development and provision of financial services.
- Services Offered:

- Late Payment Service 'Money Forward Kakebarai'
- Fintech Service 'Money Forward Pay for Business'
- Invoice Card Payment Service 'Money Forward Invoice Card Payment'
- Early Receivables Financing Service 'Money Forward Early Receivables'