Traditionally suppliers have had an advantage over their buyers when it comes to financing a sales transaction as they have something to offer to secured lenders whereas buyers generally do not. This is because traditional secured lenders consider the supplier’s “accounts receivable” arising from the transaction as an asset that can be lent against.
Octet, however, approaches the lending process differently to most traditional lenders. This is because we focus primarily on the ability of the business to service a loan rather than on potentially having to recover the amount through a default process. Prevention is better than cure. For this reason we are able to offer a facility, which assists buyers at the time that goods or services are being purchased.
This is the essence of the Octet Business Transaction Facility, which is effectively an unsecured, interest-free line of credit to buyers which provides the funds you need to negotiate the best price from your suppliers.
You utilise your Business Transaction Facility by accessing Octet's online portal. The portal verifies your identity via an encrypted (smart chip) Octet Trading Card supplied when you first enroll.
We arrange to set up your approved suppliers as Octet members too. As your supplier is assured of payment by Octet, this gives you more power to trade. When you are ready to transact, you simply log onto the Octet portal to connect with your supplier and then place your order.
Octet is designed to be a supplementary facility and does not interfere or replace any secured funding already in place. Octet actually complements the security that the bank or other secured lenders hold as all inventories purchased using Octet is captured within the security held by the Bank.
Octet makes it easy for Buyers and Sellers to apply online and guiding applicants through the information required to obtain a facility.