Ramp, the finance automation platform and corporate card designed to help businesses spend less, has expanded its platform that enables businesses to finance all of their bills in one place. Bill Pay, its accounts payable automation product, will now offer businesses the option to make payments on flexible terms through its new Flex solution.
Bill Pay will also support companies with multiple entities and integrate with all major accounting software providers. Ramp helps eliminate the need for businesses to secure additional credit to finance critical operating expenses (e.g inventory), which are not widely available and require separate management, or hold excess cash, which is expensive and inefficient.
The announcement significantly widens the total addressable market for Ramp. There are currently $120trillion in global B2B payments processed annually, of which only $1.5trillion are on cards. Building upon its flagship product, the first corporate card designed to help companies spend less, Ramp is now reinventing how businesses move their money. Bill Pay’s expansion fulfills overwhelming demand from Ramp customers – particularly in industries such as e-commerce, construction, and manufacturing – for a way to pay all of their vendors when and how they want. Ramp has the unique ability to see across all business spend, from ACH to checks to cards, and help customers decide when to pay certain bills, how to simplify their workflow, and where to cut wasteful spend. By using Ramp, businesses can pay expenses in ways that maximise their profitability and efficiency.
“Ramp’s Bill Pay platform has had extraordinary customer adoption. Within six months of its public launch, customers were using Ramp to power over $1billion in annualised volume. It’s our fastest growing product, exceeding the growth of even our corporate card, which is the fastest growing in the US,” said Eric Glyman, co-founder and CEO, Ramp. “Our customers’ vendors are now on Ramp, so we can see when bills are coming up, and how and when our customers should pay them. We’re using everything we know about our customers to improve their financial management – especially important in times of volatility – by providing a platform where they can move money more easily and with more flexibility on working capital cycles, too.”
Flex is now available to select customers as a part of its Early Access Program with general access forthcoming. With Flex, Ramp pays its customers’ vendors upfront and customers can choose to pay Ramp back in 30, 60, or 90 days for a small fee. Non-tech businesses that rely on working capital will find particular value in Flex, which is designed to minimise their cash conversion cycle and optimise cash flow. With Flex, businesses will no longer have to navigate a convoluted web of terms, conditions, fees, and limits from vendors, banking partners, and their own customers.
“With Ramp, I can process my invoices and access extended payment terms on the same platform. We can smooth out our cash burn with precision by balancing a high cash-in month with cash outflows,” said Matteo Franceschetti, CEO, Eight Sleep. “When Eight Sleep launched our Pod 3.0 product, the length of our cash conversion cycle, coupled with pandemic related supply chain delays, limited our ability to make inventory purchases and efficiently pay for shipping upfront. Ramp Flex helped our business succeed and meaningfully improve our working capital cycles.”
Image and article originally from thefintechtimes.com. Read the original article here.