British windscreen wiper manufacturer, DuroWipers, has alleviated cash flow problems with the help of URICA, a global online payments network that eliminates much of the risk associated with financial transactions between supplier and client.
Prior to using URICA, DuroWipers was dependent on pro-forma payments to fulfill orders but felt that opportunities were being missed.
“When I told customers it was pro forma, that put people off, especially clients in another country. They would have to hand over a lot of money without getting anything for it immediately,” said Noel Gould, owner of DuroWipers.
“We’ve lost orders in the past like that,” he added.
URICA, founded in 2012 in response to the frustrations of small and medium enterprises (SMEs) like DuroWipers, is a way for manufacturers to bring the gap between taking an order and payment.
The process provides SMEs with early cash payment of their invoices without any need for debt, security or personal guarantees. Customers are given up to 90 days credit and URICA takes on all of the risk of non-payment together with the responsibility of chasing and collecting debt.
“The banks are not necessarily geared up to understand our problems,” said Mr Gould.
“They’re too slow and cumbersome and this is where URICA comes in. They do a credit check straight away and from our point of view they fund the order, and that means we’ve got funds to facilitate it.
“I see URICA as a guiding light to solving the problems of British manufacturers because we’ve all got the same problems. I see this as a major advance in finance,” he added.
URICA is financed via the British Business Bank, insurance provider RSA and trade credit insurance and accounts receivable management consultant, Euler Hermes.
By Rebecca Strong
