velera How Credit Union Innovation Can Drive Gen Z Engagement May 2024 Banner

Balance, Hokodo Partner on B2B BNPL in North America, Europe

Balance, a United States-based company, and Hokodo, headquartered in Europe, joined forces to establish a one-stop shop for flexible payment terms across North America and Europe.

The partnership aims to create new opportunities for B2B buyers and sellers by helping global B2B firms offer flexible payment terms across multiple regions, the companies said in a Monday (Oct. 23) press release.

Offering favorable payment terms has become a strategic approach for merchants looking to prioritize growth and attract more customers, according to the release. The collaboration addresses this need, providing a unified payment terms solution.

The global financing solution brings several benefits to buyers and sellers in the B2B marketplace, the release said. Firstly, it enables swift and adaptable payment terms comparable to buy now, pay later (BNPL) solutions commonly seen in B2C transactions.

Leveraging the technological foundations of both companies, the partnership also ensures speed, compliance and reliability in assessing buyer profiles, per the release.

By using an application programming interface (API)-first approach, the collaboration offers flexible and modular solutions tailored to the needs of merchants and marketplaces, according to the release. It integrates with existing platforms and software, making it accessible for businesses.

One of the first beneficiaries of this transatlantic payment terms solution is FoodoMarket, a France-based food marketplace for restaurants and caterers. FoodoMarket CEO Eric Nivoix said in the release that the solution has helped the firm overcome the challenges faced when offering payment terms to buyers in new regions.

“The unique relationship between Hokodo and Balance means that global marketplaces like ours can take our operations across the world without impacting the customer experience,” Nivoix said.

PYMNTS Intelligence found that BNPL for B2B payments offers many of the same benefits as it does for individual consumers, but on a larger scale. Splitting large payments into smaller installments can help corporates navigate the pressures of acquiring inventory and raw materials to keep their businesses viable and manage costs, according to a PYMNTS and Splitit report, “Is BNPL the Next Driver for B2B Growth?

For all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.