Payability: Quick and Streamlined Financing for Marketplace Sellers

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Keith Smith, Co-Founder & CEO
The growth of e-commerce marketplaces, and the seemingly unlimited consumer demand that has followed, has created a new entrepreneur - the marketplace seller. These ecommerce entrepreneurs face unique challenges in growing their businesses, including access to capital. While consumers purchase goods from a marketplace in a few clicks (or by simply asking Alexa or Siri), the sales proceeds are paid out to the seller on more traditional 15 - 30 day payment terms. On marketplaces where staying competitive requires sellers to constantly reinvest in inventory, these payment terms can cause a cash flow crunch for marketplace sellers who are often undercapitalized and underserved by traditional financial institutions. Realizing this snag, Payability comes into the domain with its novel solutions that employ automated and seamless capital delivery to sellers, daily.

Payability’s significant impact in the e-commerce seller ecosphere is evident from a study conducted by an e-commerce data analytics firm, Marketplace Pulse that showed a stark contrast between sellers in the Amazon marketplace who partnered with Payability and others that have not. The former had achieved an increase in their Marketplace Pulse rank (an indicator of seller performance) by 26.4%, as compared to the latter. The product catalog growth of Payability customers was also enhanced by 49.3% along with an escalated positive feedback rating by 25.1%.

It is evident that Payability is taking the e-commerce marketplace arena by storm, with its leading financing platform that provides consistent capital to marketplace sellers. The company majorly focuses on the speed at which their customers are financed. Keith Smith, Payability’s CEO, and co-founder says that most small and medium-sized businesses (SMBs) are not identified in the mainstream market and fail to acquire capital investment they require.
Payability recognizes these marketplace sellers and provides specialized financing solutions to best suit the needs of e-commerce sellers. Payability’s automated systems advance funds to marketplace seller customers each day from their prior day’s sales. This daily cash flow can be easily accessed through the Payability dashboard and used to purchase inventories and sell them, to ultimately generate revenue. Payability also provides a unique offering where marketplace sellers can receive growth capital based on their previous sales. SMBs can repeat this process several times annually, creating an inventory cycle for faster paybacks and larger investments.

Payability’s flagship product offering is Instant Access; the platform allows sellers to easily connect their marketplace accounts with Payability, and determine approval without considering their traditional credit history. By evaluating the volume and quality of their sales, Payability conducts a risk assessment and decides on the capital to be extended to them. The clients also have faster access to payments through their Payability accounts and can qualify to receive instant advance for investment. Payability’s other solution, Instant Advance provides growth financing for future marketplace receivables and enables sellers to buy more inventory and launch new products.

The two value-bound offerings enable Payability to provide the right kind of financing solutions, evaluate risk factors in the market, and receive easy paybacks directly from the marketplace, based on standard payment terms. The company has recently launched the Payability Seller Card that provides up to 2% cashback on all purchases made by the sellers, along with additional cashback on several partner services. The flexibility of the financing solutions and its easy adaptability has made Payability a fond financier to thousands of sellers, and the figures continue to rise. Talking about the company’s aim to step-up their financing edge, Smith concludes, “We expect to get to a point where we can serve all significant e-commerce marketplaces in the U.S. and then expand beyond.”

Payability News

Payability Launches New Card Program to Give eCommerce Sellers Faster Access to Marketplace Revenue

NEW YORK: Payability, the leading provider of financing options for eCommerce marketplace sellers, announced the launch of its Payability Seller Visa Card, the first card that gives eCommerce sellers even faster access to their marketplace payouts. Having delivered over $1 billion in capital to customers since 2016, Payability provides digital sellers with the cash flow they need to expand their operations. And as the proclivity for financing services to support online marketplace growth continues to rise, the new card product, powered by open-API platform Marqeta, allows sellers to easily tap their cash flow, reinvest in their businesses and accelerate growth all with the convenience and ease-of-use of an everyday payment card.

With more than $1.5 trillion spent globally on the top 75 online marketplaces in 2017, according to research from Internet Retailer, consumers have fully embraced marketplace platforms like Amazon and Jet.com. Given their penchant for online shopping, they've come to expect online transactions at lightning speed. However, the marketplace sellers that provide those goods typically don't receive payouts from the marketplace for up to two weeks or longer, which can negatively impact business growth. With the Payability Seller Visa Card, marketplace payouts are available for use more quickly than ever before, finally catching up to broader industry standards. From restocking inventory, to spending on advertising, to capitalizing on the next great buying opportunity, the Payability Seller Visa Card allows merchants to conduct business with zero lag time.

"Reliable access to capital is a challenge for most marketplace sellers. Most are small businesses that aren't operating with huge amounts of working capital to draw on, and a weeks-long delay in getting payment can be crippling. Early payouts give sellers the cash flow they need to stay well stocked with inventory and keep up with increasing demand," said Keith Smith, CEO of Payability. "Our customers rely on us to help them get their money faster, and the Seller Card is the next step in meeting the evolving needs of these digital merchants who are continually shaping the face of eCommerce."

"Since using Payability, we're never left wondering when our next payment will clear, or when we'll be able to replenish inventory. It's been a game changer for the business," said Kim Shanahan, owner at Gifts Fulfilled. "Even just a few months into our working relationship with Payability, we were able to better keep up with inventory demands that in turn allowed us to grow the business by nearly 600 percent. The Seller Card will take Payability's benefits one step further by letting us access cash from sales right away, giving us even more opportunity to grow our business."

In addition to providing access to cash on a daily basis, the Payability Seller Visa Card rewards marketplace sellers with up to 2 percent cash back on purchases made on their pre-funded card which can be used online or in-person wherever Visa is accepted. Payability has also negotiated exclusive cash back deals of up to 20 percent off from companies that can help sellers grow their eCommerce businesses.

"Marqeta takes great pride in supporting Payability so they can meet the needs of sellers in marketplaces with our completely open API issuing platform," said Jason Gardner, founder and CEO of Marqeta, the leader in modern card issuing powering Payability's Seller Visa Card. "Payability is a leading-edge financial services company with a clear and specific vision for the experience they want to provide to their customers. We are thrilled to deliver the infrastructure and tools to bring modern card issuing to life for the world's innovators, like Payability."

Payability's financing platform has provided more than $1 billion in accelerated payments to startups since 2016. When these online businesses begin selling to a wide customer base, they often lack the capital to fulfill larger purchase orders. The growing demand can overwhelm a startup's finances, resulting in out-of-stock items and lost sales. Payability's friction-free financing options provide startups the daily funding they need to sustain their growth. To date, Payability has advanced $1 billion to online sellers. With better cash flow, customers have seen their monthly sales grow an average of 86 percent in the first six months of using the platform.

"Injecting more than $1 billion worth of capital into our sellers' businesses is a huge milestone for Payability. More importantly, though, it means we've made it possible for tens of thousands of small businesses to quickly scale, purchase more inventory, drive customer acquisition and, ultimately, turn their hard work into hard-earned success," said Smith.

Because of the incredible success that its Amazon seller customers have achieved with accelerated payments, Payability has made its services available to sellers on other eCommerce marketplaces including Newegg, Tophatter, Walmart and Jet.com. As the eCommerce industry continues to grow, Payability is rapidly expanding to offer its services to sellers on numerous marketplaces.

To learn more about Payability and its advance payment options, visit www.payability.com.

Payability Expands Financing to More Marketplace Sellers

Payability, the leading provider of friction-free financing for eCommerce marketplace sellers, announced the availability of its Instant Advance financing offering. Payability is making it easier for customers to grow their businesses with access to future receivables they can put to use across multiple marketplaces and fuel continued growth. Additionally, Payability is expanding its offerings to sellers on online marketplaces Newegg, Tophatter, Walmart and Jet.com.

Instead of bank loans that rely on personal credit scores, a seller can qualify for Payability’s Instant Advance based on their marketplace sales history and performance metrics. Unlike traditional loans that charge early payment penalties, if Payability collects the total future receivables sooner than expected, the seller will receive an early payment rebate. Additionally, there are no origination fees, application fees or interest applied to an Instant Advance. Working seamlessly alongside other financing options, Payability’s Instant Advance is a simple, fast and transparent way for businesses to get the lump sum capital they need to buy more inventory, launch new products, negotiate better deals from suppliers and take advantage of one-time buying opportunities.

“At Payability we aim to support our customer’s growth however we can, both today, and as they grow into the future. With the launch of Instant Advance and additional marketplaces, we’re able to provide not only significant growth opportunities to our sellers, but also give them access to financing options that span across their marketplace channels in addition to Amazon,” said Keith Smith, CEO of Payability. “Tophatter shares our mission of supporting seller growth, which is why we’re especially excited about our partnership with the fast-growing eCommerce marketplace and advancing payments to their sellers.”

“Over the last few years, our discovery shopping platform has grown significantly,” said Sree Menon, Head of Strategy and Global Sales Operations at Tophatter. “Businesses can move inventory very quickly on Tophatter, so when trying to meet demand they can run into capital constraints that can slow down their growth. By partnering with Payability to offer its smart financing options, our sellers can make more strategic business decisions, faster. Because ultimately, their success is our success.”

While Amazon accounts for nearly 44 percent of eCommerce in the U.S., the most successful sellers know they must be active across multiple marketplaces to reach more consumers and stay competitive. By giving sellers access to advanced receivables across multiple marketplaces, Payability is meeting this new demand and giving sellers more opportunities to proactively invest in inventory and growth.

The addition of Instant Advance is a complement to Payability’s flagship product, Instant Access, which provides sellers with daily, next-day payouts on marketplaces that typically hold funds for 2-4 weeks. Payability’s customers who sell on multiple marketplaces like Amazon and Tophatter are benefiting from daily payouts of sales from many marketplaces versus only one. And with help from the Payability dashboard, they save time by not juggling payment dates and can easily keep track of all sales across multiple marketplaces.

To learn more about Payability, Instant Advance, and its multiple marketplace support, visit Payability.com.

Company
Payability

Headquarters
New York, NY

Management
Keith Smith, Co-Founder & CEO

Description
Payability is a fast-evolving Fintech company providing financial solutions to small businesses in the digital marketplace

Payability