Introduction

Lending in recent years appears a challenge because banks and financiers are, for various reasons, less willing or able to provide loans. The tendency is to shorten the balance sheet; deleveraging and reducing risks by lending exclusively based on the borrower’s assets. Collateral are real estate and personal property that have a high degree of predictive value on the second hand market, should liquidation be necessary. To date Accounts Receivable and Inventories are not assets that provide a high degree of certainty for financiers. Through application of the IHF-credit © this situation has changed as the highest possible degree of loan security is obtained.

Platform and services go hand in hand to facilitate the IHF-Credit©. Community organisations and platform collaborate to extend credit lines. Locally based Communities (Local community /YCS JV subsidiaries) will be able to contribute significantly to the performance of SME companies in their area by extending pre-financing on the basis of the Accounts Receivable, a generally untapped source of company’s assets.

Based on current digital possibilities, automation and an ingenious structure, ABPaymentflows © introduces the IHF-credit ©. The name IHF-credit © is derived from its descriptive meaning: “In-house Financing”. With its innovative IHF-credit ©, ABPaymentflows © facilitates a new notion:

“Financing by and through Fintech and Community for Entrepreneurs“

… a form of co-creation that allows the financing of small businesses with relatively low risk exposure for the financiers and at acceptable cost for the borrower.