Credlix Expands Supply-Chain Financing Offering to Mexico

Supply-chain financing solutions provider Credlix says it is expanding into Mexico.

The company announced the expansion — bolstered by a $50 million investment from B2B eCommerce brand Moglix — last week, saying it is in line with Credlix’s goal of helping exporters in developing markets to meet the rising import demand from American businesses “for diverse, high-quality products.”

“The U.S. market relies heavily on imports from developing economies to meet its consumer and industrial needs,” Credlix said in a news release.

“However, exporters in these regions often face challenges such as limited access to financing, high costs, and extended payment cycles, which restrict their growth. Credlix’s expansion into Mexico aims to address these obstacles by providing swift, collateral-free financing that enhances cash flow, reduces financial strain, and supports business growth.”

According to the release, Credlix gives exporters immediate access to working capital, offering up to 90% of their invoice value upon shipment. This lets exporters to focus on expansion without the constraints of traditional funding.

This summer brought reports that several major companies — in response to rising interest rates — had chosen to shrink their supply-chain finance programs.

This financing option, which lets companies extend payment terms with vendors, gained popularity during the pandemic, letting buyers retain cash for longer periods while helping companies avoid adding debt to their balance sheets.

But as a report by The Wall Street Journal noted, companies such as AT&T have been scaling back their program to counteract the impact of higher interest rates.

In other news from the world of working capital, PYMNTS wrote last week about solutions such as embedded lending, which help small and medium-sized businesses (SMBs) manage cash flow, invest in growth, and bolster their overall financial health.

“Embedded lending allows SMBs to access credit directly within the platforms they already use, such as eCommerce platforms, accounting software or payment processing systems,” that report said “This eliminates the need for separate applications to banks or other financial institutions, saving time and reducing friction in the borrowing process.”

Jennifer Marriner, EVP, Global Acceptance Solutions at Mastercard, told PYMNTS that SMBs are a major focus within the embedded finance landscape. She noted that these companies are particularly drawn to embedded finance as it provides a straightforward way to access financial services through the platforms they’re already using for other operations, such as accounting and inventory management.