November 1, 2019
Win Finance and KyoPay join hands to target the unmet financial needs of SMEs
October 30, 2019 - KyoPay Technologies and Win Finance entered into an agreement to support and solve the cash flow difficulties of small and medium enterprises in Myanmar. Win Finance is one of the pioneer organizations to officially partner with KyoPay to support the financing of invoices and receivables in an institutional level. According to this agreement, Win Finance would finance receivable invoices as a form of alternative investment and as their way of extending their support to improve the cash liquidity of SMEs, through KyoPay. The funding capacity of Win Finance will further aid KyoPay’s goal in increasing its reach and capacity to service more companies and businesses in Myanmar.
In Myanmar, MSMEs stands as the most important sector for the development of Myanmar’s economy. Moreover, one of the biggest challenges for MSMEs is access to capital and cash. Compared to its neighboring countries, Myanmar ranks below Thailand and Vietnam in relation to access to financing for SMEs. According to the updated figures from the Ministry of Industry, out of 73,000 registered SMEs only 2,200 SMEs have access to formal financing.
KyoPay is looking to collaborate with companies on a corporate level to accelerate SME access to working capital and fulfill their cash requirements in a timely manner. KyoPay is still open to partnerships with Institutional Funders who are interested to benefit from potential earnings from buying invoice receivables as an alternative investment.
One of UMG’s diversified business units, Win Finance is the first multi-finance services company to offer comprehensive financial solutions. Win Finance provides financial services that include Hire-Purchase programs for heavy equipment, trucks, buses and agricultural vehicles and equipment. In the near future, Win Finance will expand its services to offer other consumer products such as housing and automotive loans as well as business loans to Small and Medium Enterprises. In addition to the multi-finance and lending areas, Win Finance also provides Foreign Exchange Risk Management Services.
KyoPay Technologies is an invoice discounting platform which connects SMEs and investors. SMEs can sell their receivable invoices on the one hand and the investors can buy those receivables at a discount on the other hand. Those who buy invoices in KyoPay can earn 2% - 3% on a monthly basis. KyoPay was founded early 2018 and during the one year operations period, KyoPay has already transacted over 1.6 billion MMK worth of receivable invoices from SMEs in Yangon.