Products · 7min read

Food Financing with foodcircle

Grow your food and beverage business with the industry’s leading provider for digital OPEX financing

At foodcircle, we’re committed to facilitating efficiency and sustainability along the entire food supply chain. We believe that to be robust and resilient, the food systems of tomorrow need to become more accessible and provide better digital experiences. Especially to help startups penetrate new markets and allow small-medium enterprises (SMEs) to thrive. And we’re not the only ones. And we’re proud to be part of an ecosystem of fintech solutions that’s helping revolutionise food through finance.

But while food financing forms the core of what we do, our vision is to grow and connect every reliable company in the food supply chain. Below, we provide a comprehensive view of how we can help your F&B business secure the financing it needs to operate smartly, smoothly and efficiently.

A brief comparison with banks

Our Sales Team is frequently asked how the services we provide compare to the financing offered by banks. In truth, comparing us to banks is like comparing apples and oranges. Traditionally, a bank’s role is to provide you with long-term financing. This means you’ll need to enter a long-term business commitment.

Now it’s pretty likely that for so-called capital expenditures (CAPEX) — machinery, office space or vehicles – you will want to go to a bank and secure this type of long-term financing. The sums of money involved and the length of time you’ll need to pay them off are well worth the effort. 

But for your operational expenditures (OPEX) — such as your regular ingredient or packaging purchases — banks’ one to six-month lead times, extensive due diligence vetting schemes, analogue processes and lengthy wait times between steps can be, not only tedious, but also detrimental to your business. 

And that’s where precisely foodcircle comes in. We offer highly flexible, short-term OPEX financing. We help F&B businesses increase their working capital and thus maintain a positive cash flow, whilst giving you access to an ever-growing network of food producers, logistics companies and other relevant industry players. Below we expand on some of the benefits of financing with us further.

Secure financing in hours, not months

When we say hours, we mean hours — 1 to 48 hours, to be exact. Thanks to our speedy and straightforward screening processes, your ingredients will be on their way to you in no time. All we require from you is a VAT Nr and a registered business EU address, et voilà! 

Technology-fuelled, human-driven

With our state-of-the-art digital platform, stacks of tedious analogue paperwork is a thing of the past. As such, you can collect all your enquiries and orders online, bundle all your invoices and certificates in one place, and communicate with your suppliers seamlessly. Likewise, our online credit checks are designed to make securing the financing you need virtually an effortless experience — you won’t be subjected to any gruelling due diligence processes.

And because we’re firm believers in the strength of building relationships, our friendly and enthusiastic team of food industry professionals is here to guide you every step of the way. By partnering with us, you receive tailored financing based entirely on your business’s needs — your business size, frequency of purchase, required loan, purchasing power… you name it! 

You save cash down the line

The math is simple: by paying later, you are able to buy more today, which allows you to harness the power of economies of scale. For example: rather than purchasing 1,000 kg of cocoa powder every month, we lend you the money to buy 3,000 kg of cocoa every quarter, quickly bringing your purchase price down by 5-6%. This translates directly to cash in your pocket.

Stability in times of instability

With global food uncertainty on the rise — particularly with the ongoing war in Ukraine and the global Covid-19 pandemic — food security is more prioritised than ever. By financing your OPEX with foodcircle, you have the unique opportunity to buy the ingredients and packing you need in advance. You can drastically reduce the risk of financial losses due to delayed goods. Plus, you have foodcircle’s entire operational support and planning dashboard for every order. 

foodcircle, your one-stop-shop for food industry transformation

To sum it up, like you, we’re passionate about propelling the food industry forward. And by making it that much easier for you to finance your ingredients and packaging, we get that much closer to making the entire food industry easier to navigate, more transparent, and more sustainable for all.  

Start your digital food financing journey with foodcircle today!

Imagery: (1) Daniel Thomas & Micheile Com via unsplash.com