6 Followers
·
Follow

Chike Mogo

Image for post
Image for post

We have witnessed a range of payment challenges among our customers and our trade network over the last year. Three main categories have emerged. Below we will talk about the challenges that we commonly see among small and mid-sized buyers and sellers as well as proven best practices to address these crippling issues.

1. Prepayments to Suppliers

We often see buyer prepayments change hands and nearly as often we hear of buyer prepayments vanishing. This has been true across commodity sectors, although it is particularly common in agricultural transactions.

The story is often the same. A seller says “if I could only get some cash, I could secure more high quality supply upstream, scale up, secure more warehouse space, etc.” Buyers eager to scale up reliable relationships offer cash advances, presumably buying exclusivity in a competitive market space and ensuring that cash constraints will not derail supply growth. The problem is that in many cases, the cash is mismanaged and simply disappears. …


Chike Mogo

Image for post
Image for post

We have witnessed a range of payment challenges among our customers and our trade network over the last year. Three main categories have emerged. Below we will talk about the challenges that we commonly see among small and mid-sized buyers and sellers as well as proven best practices to address these crippling issues.

1. Prepayments to Suppliers

We often see buyer prepayments change hands and nearly as often we hear of buyer prepayments vanishing. This has been true across commodity sectors, although it is particularly common in agricultural transactions.

The story is often the same. A seller says “if I could only get some cash, I could secure more high quality supply upstream, scale up, secure more warehouse space, etc.” Buyers eager to scale up reliable relationships offer cash advances, presumably buying exclusivity in a competitive market space and ensuring that cash constraints will not derail supply growth. The problem is that in many cases, the cash is mismanaged and simply disappears. …


Comflo Team

Image for post
Image for post

A recent deal emphasized the importance of secure central communication. …

About

Comflo

Blockchain software providing verified buyers/sellers, secure transaction management, and best-in-class risk practices for the commodity trading industry.

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store