Textile And Garment Industry Meets Supply Chain Finance

Supply chain finance, as the name implies, is a set of solutions provided by the specific financial organizer in the supply chain for the supply chain capital flow management. Its typical operation mode mainly includes the logistics enterprise pilot mode, the core enterprise pilot mode, and the bank service mode. It provides financial services with the depth of the supply chain, which can effectively solve the financing difficulties of SMEs in the supply chain, and optimize the resource allocation of the core enterprises and promote the whole business.

Healthy development.

Is it necessary and feasible for textile and apparel enterprises to develop supply chain finance?

With the continuous improvement of consumption level and the change of consumption concept in China, textile and clothing industry is still a promising industry for people's livelihood, but at the same time, how to deal with and improve the financing difficulties of SMEs and the disorder of supply chain management is a common problem faced by garment enterprises. With the increasing strength of textile and clothing leading enterprises, it has already been able to provide supply chain financial services for upstream and downstream enterprises. At the same time, the process of enterprise informatization and Internet has largely offset the information asymmetry and reduced the risk of financial business.

Lay the foundation for the development.

However, the first person to eat crabs is always courageous. Now there are pioneers exploring the supply chain financial services. Let's take a few examples to feel:

As a company that has been focusing on supply chain management for many years, Yi Ya Tong has always been leading the development direction of traditional channel supply chain. Its business form includes four broad categories: supply chain, deep supply chain, product integration, supply chain finance, etc. financial service is the effective starting point for the company to manage the entire supply chain, and also the main source of profit.

At present, many enterprises in the textile and garment enterprises, including Jiaxin silk, Haining leather city and Meng Jie home textiles, have launched the supply chain finance business.

For textile and garment enterprises, the supply chain Financial Services Company can be established through cooperation with the banks and the third party payment institutions to achieve the participation in the supply chain finance business. Among them, the self built or joint stock supply chain finance companies provide financial services for upstream and downstream enterprises with their own funds, which is more conducive to enhancing the cohesion of the upstream and downstream of the supply chain, enhancing the efficiency of capital turnover and increasing the related revenue.

As the leading brand in the field of men's wear in China, it has occupied the position of the core enterprise of the supply chain, and has abundant funds and credit data accumulation, and there is the anticipation of entering the supply chain finance. In the future, more textile and garment enterprises will enter the field of supply chain finance and start a new journey of strategic upgrading.