Hong Kong’s leading supply chain finance platform Qupital, strengthens its ecommerce finance services

 Qupital
Qupital

Hong Kong, 3 October 2018 – Cross-border ecommerce is blooming with great potential for growth. AliResearch*, a subsidiary of Alibaba, has estimated in a report that the size of Mainland China’s cross-border ecommerce transactions will reach RMB 12 trillion in 2020 (with a compound annual growth rate of as high as 20.1%).  Qupital, Hong Kong’s leading supply chain finance platform, announced today its entrance to the cross-border ecommerce market. Its new system is now officially in operation, providing suppliers across leading e-commerce platforms such as Amazon, eBay, TMall, Koala and JD.com with quick and quality supply chain finance services. Qupital is using big data, platform integration, innovative risk management models and more to make cross-border ecommerce finance more efficient and precise.

Cross-border ecommerce is a type of international commercial activity.  It refers to a situation where a consumer and a seller are in different places, and they complete transactions as well as logistics and other procedures through networks (government websites, ecommerce platforms and so on).

Qupital’s new service strengthens cooperation with ecommerce and logistics service companies

Qupital has created its international finance service with a focus on cross-border ecommerce.  A simple and one-step registration leads users to a system that can be managed completely online. Qupital’s platform also simplifies the processes for loans and advances and can finance loan amount up to HK$40 million.  This will significantly increase funding liquidity in cross-border ecommerce and maximize business opportunities, for example, sales on the coming Singles’ Day, as well as during peak shopping seasons.

Cross-border ecommerce merchants can choose to provide Qupital with their performance figures – such as business performance data, cargo value, the speed of sales and more – to be used as the basis of an assessment.  The information can originate from three kinds of sources, including ecommerce platforms (such as Tmall), payment channels (such as Alipay) and logistic services (such as Cainiao).  Base on the provided information, Qupital can have a better understanding of the business performance of the merchants, thus, be able to make more accurate risk assessments and shorten approval times, making the whole process more secure and transparent.

New service targets a gap in the market

Cross-border ecommerce remains a relatively new concept in Hong Kong and Mainland Chinese markets. The cross-border ecommerce companies mostly have short experience in their ecommerce business and do not have enough mortgage assets. In addition, the traditional financial institutions are not familiar with the ecommerce model. As a result, there has not been enough financing support in the market.

For an application, all that Qupital required from a cross-border ecommerce company are that they have a company registration in Hong Kong, a Hong Kong bank account, more than 12 months operations of a continuous basis and an annual turnover of HK$2 million or up.

“As a rapidly growing start-up company, Qupital is very excited to collaborate with the large-scale Mainland logistics firm Cainiao and to connect with cross-border ecommerce platforms such as Tmall, following our recent collaboration with Alibaba.com.” said Mr. Tang Kwan-yung, the Manager of Qupital Cross-border ecommerce service, “Besides, showing that Qupital has received recognition and support from the industry, this expands the target customer base from Hong Kong’s SMEs to cross-border ecommerce companies, which have great potential. The cooperative new service helps Qupital develop its business in Hong Kong and Mainland strategically. We believe that with this new collaboration, the Qupital’s gross merchandize volume (GMV) will continue to increase by over 20% monthly. With the new customer base, we expect to reach a  turnover of HK$800 million and with over 100 company clients in the fourth quarter of 2018.”

New service performs brilliantly

Qupital and Cainiao’s partnership has already put to test in mid-2018. Qupital has already financed multiple ecommerce clients, including a cross-border online cosmetics company established seven years ago, and a company trading in designers watches. After the official launch of the partnership, the potential client base through this channel will increase to over 1,000. The number of clients is expected to increase to over 100 in the coming 12 to 18 months, with financing volumes of up to HK$1.5 billion.

Qupital has already provided over HK$1 billion supply chain finance to SMEs across the greater China area, with more than 5,000 transactions. Qupital will continue to provide supply chain finance services and develop new products to provide the market with more advance financing options.

SHARE THIS STORY

Share on facebook
Share on twitter
Share on linkedin
Share on email

RELATED POSTS

How To Tap into YouTube As A Small Business Owner

How To Tap into YouTube As A Small Business Owner

Business owners often struggle with boosting website traffic, lowering their bounce rate and converting followers into paying customers. However, many are unaware of the great potential offered by YouTube. Since its launch in 2005, YouTube has established itself as a world-renowned platform for modern media. As per Alexa’s global ranking, YouTube is the second most trafficked website in the world.

Smart Home Gadgets You Need to Try in 2023

Smart Home Gadgets You Need to Try in 2023

Revolutionize the way you live with smart home devices! The smart home industry is booming and for good reason. With the advancements in technology, there are now numerous gadgets and devices available to make your home not only smarter and more convenient but also safer and more energy-efficient.

What-Led-to-Balenciaga’s-Recent-Scandal

What Led to Balenciaga’s Recent Scandal?

If you are attuned to the fashion world, you would have heard that Balenciaga has been canceled. This was a result of the problematic advertisements they released in November 2022. These ads featured imagery related to child sexual abuse, showed BDSM motifs in ads featuring children and a whole lot more.

Top 5 Clothing Items That Are Contributing to Skims’ Net Worth

Top 5 Clothing Items That Are Contributing to Skims’ Net Worth

In 2022, American media personality Kim Kardashian’s shapewear brand Skims reached a market capitalization of US$3.2 billion. This massive net worth is a byproduct of a lot of factors, such as Kim’s popularity, the brand’s inclusive size range and adaptability (as we saw during the pandemic) to name a few.

5 Companies That Have Already Announced Job Cuts This Year

Layoffs in 2023: 5 Companies That Have Already Announced Job Cuts This Year

The layoff spree at tech giants is bleeding into a new year. It has been just three weeks since we entered 2023, yet the media is buzzing with disturbing numbers about people being laid off by tech companies: At least 104 tech companies let go more than 26,000 employees. This means, more than 1,600 tech employees were dismissed per day in the past couple of weeks. Let’s take a look at the top tech companies that are laying off aggressively.

Goblin Mode

Decoding the World’s Obsession with “Goblin Mode”

Do you find yourself struggling to maintain a positive and productive attitude at work? Are you becoming increasingly irritable or disengaged from constantly feeling overwhelmed and stressed? If so, you’re not alone. Many people experience this state of mind, and some turn on their ‌ “goblin mode” to cope with it. The term “goblin mode” gained popularity in February 2022