B2B Payments

Hire Ground Turns To SMBs To Diversify Supply Chains

SaaS solution for SMBs

Software-as-a-Service firm Hire Ground is launching a new component of its supply chain diversity initiative aimed at enabling small and medium-sized businesses to connect to more business customers, and at helping those business customers diversify their supply chains.

In a press release issued Tuesday (Sept. 24), Hire Ground said it is rolling out the Supplier side of its supply chain diversity offering, focusing on SMBs as suppliers to connect them to Fortune 500 business clients in search of more diverse supply chains. Hire Ground’s platform also aims to work with certification groups and associations to facilitate those buyer-supplier connections.

“We launched the Supplier side of our platform to the Supplier Diversity community to provide an easier way for enterprise and small-to-medium-sized businesses to connect,” said Hire Ground CEO Cloe Guidry-Reed in a statement. “We now have an easy way for entrepreneurs and small diverse business owners to get warm introductions to new business prospects, scale their business and report on their growth all within one system.”

Large corporates can mitigate supply chain risks by diversifying their supply chains, but small and medium-sized businesses have an array of challenges that can limit their ability to launch into new supply chains.

In addition to finding new corporate customers, SMBs can struggle to operate across borders and operate on a global scale. Further, smaller suppliers often lack negotiating power and are forced to manage long payment terms from their clients and make sales on credit, often squeezing their cash flows.

Earlier this year, Brian Shanahan, founder of working capital advisory form Informita and founder of supplier payment term database Termscheck, spoke with PYMNTS about this struggle between buyer and supplier.

Solutions must be “beneficial to both sides” when it comes to establishing sustainable payment terms, he said. “The buying company wants longer payment terms, but the seller wants to make sure they’re paid on time. Otherwise, customers are not reliable, and it endangers the financial investment they’re making in the relationship long term.”

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NEW PYMNTS DATA: HOW WE SHOP – SEPTEMBER 2020 

The How We Shop Report, a PYMNTS collaboration with PayPal, aims to understand how consumers of all ages and incomes are shifting to shopping and paying online in the midst of the COVID-19 pandemic. Our research builds on a series of studies conducted since March, surveying more than 16,000 consumers on how their shopping habits and payments preferences are changing as the crisis continues. This report focuses on our latest survey of 2,163 respondents and examines how their increased appetite for online commerce and digital touchless methods, such as QR codes, contactless cards and digital wallets, is poised to shape the post-pandemic economy.

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