Qupital, a trade financing platform, revealed today that it will partner with eBay as one of its formally suggested Hong Kong funding service providers. In today’s statement, Qupital stated it will supply offshore financing services, consisting of working capital, to eBay sellers in China through QiaoYiDai, its primary item.
The contract with eBay methods Qupital will be able to monitor the real-time data of eBay sellers who look for their services, which the fintech start-up says will allow it to assess credit applications within 3 days, on average, and settle drawdown requests in less than a day.
Founded in 2016 and based in Hong Kong, Qupital raised a$15 million Series A last year led by strategic financier CreditEase FinTech Investment Fund, with involvement from Alibaba Hong Kong Business Owners Fund and MindWorks Ventures.
Qupital is one of a growing roster of fintech companies in Asia– Aspire and Very first Circle are a couple other examples– that offer loans, credit lines and services to online sellers, SMBs and other businesses who often have trouble getting working capital from standard lending institutions like banks.
Rather of relying on monetary declarations, these business utilize data analytics to evaluate credit reliability. In QiaoYiDai’s case, this suggests looking at “e-commerce stats and huge data, including the trustworthiness of [candidates’] online shops, historic transaction data, ranking information, refund and exchange rates of products, among a myriad of other information points,” Qupital stated in its announcement.
On average, Qiaoyidai offers a typical credit limit of $150,000, with a maximum credit limit of up to $1.5 million for qualifying sellers.
More e-commerce vendors in China are turning to social media as their primary channels for reaching buyers ( for example, Alibaba has collaborations with Weibo and Douyin and rival JD.com just recently struck a strategic partnership with Kuaishou, while TikTok started checking social commerce last year), and having quick, integrated access to funding tools might persuade vendors to stick with tradition e-commerce platforms like eBay, especially for cross-border sellers.
Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.