JAKARTA - Today, digital freight forwarder Andalin announced a partnership with fintech lending pioneer Investree to offer access to customs and tax financing for Andalin clients. This collaboration aims to help ease the client's cost so that they do not have to incur large initial costs so that the company's cash flow management can be optimized. Instead, the client can allocate these funds for other needs in advance such as increasing production capacity and output.
This collaboration between Andalin and Investree is the first breakthrough in the supply chain sector in Indonesia and focuses on digital utilization. It is estimated that the potential for customs and tax financing will reach IDR 86 billion (US$ 6 million), mainly because until now there are not many financial technology companies (fintech) engaged in supply chain financing.
"As a company that has expertise in export and import, we really understand the market potential and the great need to introduce fintech products to business players engaged in international trade. Andalin and Investree collaborate, where Investree products can be an alternative financing for export and import needs. Andalin itself acts as executor of international shipments and verifier of these international trade transactions, "said Rifki Pratomo, CEO of Andalin
In cooperation between Investree and Andalin, Investree implements a PayLater scheme that can be used by Andalin clients to finance customs clearance and third party invoices. The financing product used is Buyer Financing in which Andalin validates the amount of financing to be paid and Investree disburses funds to Andalin to then be forwarded to the financing needs of SMEs.
Investree and Andalin continue to explore the high potential of a sector that has never been touched by other financial institutions. Going forward, Andalin and Investree will continue to innovate to design and provide new financial products, especially for export and import players in Indonesia. The two companies also hope to expand their reach to the mid-range freight forwarder network. (LM)