Amitruck inks deal with IMFact for SME financing
Amitruck, Africa’s digital trucking logistics company has partnered with IMFact, a Smart Financealternative to traditional bank lending for Kenyan SMEs in supply chain businesses.
The partnership will enable Amitruck to increase its financial stability and optimise its working capital.
This is set to eliminate constraints related to overhead costs and long payment cycles.
IMFact Commercial Director Derrick Lwatati said the company will use a factoring method which will convert their clients’ debtor portfolio into their businesses to purchase more goods or optimize payments to their suppliers.
““As IMFact clients access cash immediately they are able to extend favourable payment terms to their clients or even offer upfront credit as a strategy to secure new business which ensures they generate more sales,” Lwatati said.
Lwatati stated that pan-African, non-deposit taking financial institution was affiliated with Amitruck because of their innovative approach to solving the inefficiencies in the logistics sector.
“We are honored to be part of this ecosystem alongside other SMEs in the logistics sector that have been given the opportunity to scale, hence impact Africa’s economy through efficient logistics solutions.”
At the same time, Amitruck CEO and Founder, Mark Mwangi said the company has been able to realise financing with IMFact at attractive commercial flexibility terms it offers.
This means that the company can use exactly the amount of financing needed without any additional costs as bank financing would have.
“Amitruck is going across borders, and this has been made possible through partnerships like this where Growth Africa through its accelerator program offers mentorship and advisory support then brings on board IMFact to plug in the much-needed financial resources,”
This follows challenges Trucking logistics companies face in allocating funds to fuel trucks, pay drivers and maintain quality professional standards.