Mangopay, the provider of payment infrastructure for marketplaces and platforms, has partnered with London-based fintech innovator Storfund. This alliance aims to enable marketplace sellers to receive payment immediately upon selling, contrary to the standard wait time of 10-30 days. This revolutionary initiative aims to significantly improve cash flow for businesses operating on marketplaces.
This partnership comes at a time when late payment times reached a three-year high in September 2023. According to a report, 24% of small business owners confessed that delayed payments made them incapable of settling company expenses and overheads. As a consequence, approximately 13% had to re-negotiate terms of payment with suppliers. By offering sellers on their platform instant cash recovery, Mangopay aims to free businesses from such constraints and foster business acceleration and innovation.
Mangopay's collaboration with Storfund appears to be a timely solution to an industry-wide problem. This partnership is seen as an opportunity for sellers to expand their businesses, increase their turnover, and rapidly improve their cash flow. This service updates the traditional cash flow model at a time when many marketplace operators still hold fast to the standard payment waiting period.
Storfund, introduced in 2018, was devised to augment cash flow for sellers, especially during peak shopping periods like the last quarter of the year. Since its launch, it has seen widespread adoption in over 30 countries as the marketplace industry and the volume of business sellers continues to expand.
Expressing his optimism regarding the collaboration, George Brintalos, Founder and CEO at Storfund, said: "Storfund and Mangopay are two companies which are driving new innovations that are helping to fuel the growth of the platform economy. We are excited to open up these growth opportunities to more marketplaces through our new partnership with Mangopay."
Mangopay, established in 2013, has been providing its modular payment structure to marketplaces with an ethos of flexibility at its core. Speaking about the partnership, Romain Mazeries, CEO at Mangopay asserted, "We have a relentless focus on innovating on behalf of our customers. By introducing immediate payments and an answer to cash flow challenges, Storfund is the latest partner solution in our ecosystem that has the ability to help our marketplace clients and their seller businesses to scale."
This partnership between Mangopay and Storfund aims to break the norm of the industry-standard wait time for sellers. Concentrated on driving business growth and expansion, the alliance is poised to effectively support the growth of the marketplace sector and the platform economy.