Funding Societies enters strategic partnership with SGeBIZ to raise embedded finance solutions for SMEs in Singapore, Industry News

The Partnership: Integrating Embedded Finance into Procurement

Funding Societies and SGeBIZ have joined forces to embed digital financing capabilities directly into the EzyProcure platform, a cloud-based procurement solution widely used by over 2,000 companies in Singapore, predominantly SMEs in the food and beverage industry and their suppliers. This integration enables users to access personalized financing solutions underwritten by Funding Societies, facilitating smoother cash flow management.

One of the key features introduced is the Buy Now, Pay Later (BNPL) option, which allows businesses to defer payments while continuing to procure necessary goods and services. This embedded finance (EmFi) approach streamlines the purchasing and payment process, reducing reliance on traditional credit lines and manual financial management.

Simon Xie, Singapore Country Head of Funding Societies, emphasized the holistic approach to supporting SMEs through this partnership, highlighting nearly a decade of experience in serving Singaporean businesses. The collaboration aims to synergize both companies’ value propositions to reach underserved SMEs and enhance their financial resilience.

Understanding Embedded Finance and Its Growing Importance in Asia Pacific

Embedded finance refers to the seamless integration of financial services into non-financial platforms or processes, enabling users to access credit, payments, insurance, or investment products without leaving their primary digital environment. In the context of B2B commerce, embedded finance solutions like BNPL are becoming increasingly vital as they address liquidity constraints and improve operational efficiency.

The Asia Pacific region is poised to be a global leader in embedded finance, with projections estimating a market revenue potential of US$306 billion, accounting for more than half of the global market estimated at US$606 billion. This growth is fueled by the rapid expansion of B2B e-commerce, which is already six times larger than B2C e-commerce in the region and expected to grow at a compound annual growth rate (CAGR) of 22% until 2030.

Despite the high demand—95% of B2B online buyers prefer paying on credit terms similar to offline transactions—less than 10% of merchants currently offer such options. This gap presents significant opportunities for embedded finance providers to innovate and meet SMEs’ evolving payment needs.

EzyProcure: Streamlining Procurement for Food and Beverage SMEs

Launched in 2016, EzyProcure is a cloud-based platform designed to automate procurement, invoice reconciliation, and payment processes for food and beverage companies and their suppliers. By digitizing these traditionally manual and time-consuming tasks, EzyProcure enhances operational efficiency and transparency within the supply chain.

The platform’s integration with Funding Societies’ financing solutions adds a critical liquidity component, enabling SMEs to allocate more resources toward growth initiatives rather than managing cash flow challenges. This is particularly important in today’s economic climate, where rising costs related to food, labor, rent, and utilities place additional pressure on SMEs.

Edmund Louis Nathan, CEO of SGeBIZ, noted that the partnership aligns with the company’s mission to support SMEs by providing essential liquidity solutions. The BNPL feature complements EzyProcure’s existing capabilities, offering a timely and practical solution to the financial uncertainties faced by many businesses.

Funding Societies’ Regional Impact and Strategic Positioning

Since its inception in 2015, Funding Societies has emerged as Southeast Asia’s largest unified SME digital finance platform, operating across five markets: Singapore, Indonesia, Malaysia, Thailand, and Vietnam. The platform has disbursed approximately SGD 5 billion (about USD 3.67 billion) in business financing through over 5 million transactions, positively impacting more than 100,000 SMEs.

Funding Societies’ strategic milestones include acquiring CardUp, a regional digital payments platform, and co-investing in Bank Index in Indonesia, reinforcing its commitment to expanding digital financial services in the region. The company is backed by prominent investors such as SoftBank Vision Fund 2, Khazanah Nasional Berhad, and Sequoia Capital India, among others.

Its consistent recognition through awards like the MAS FinTech Award and Global SME Finance Awards underscores its leadership and innovation in SME financing.

SGeBIZ’s Role as a FinTech Enabler for SMEs

Singapore E-Industry Pte Ltd (SGeBIZ) is a fintech enabler specializing in digital procurement, invoicing, payment, and collection solutions for SMEs in Southeast Asia. Serving over 3,000 companies in Singapore and Malaysia, SGeBIZ leverages strong partnerships with financial institutions and proprietary technology to deliver real-time data and analytics, improving operational efficiency.

SGeBIZ’s platforms are supported by government grants and have built a reputation as trusted financial intermediaries, helping SMEs navigate complex procurement and payment processes. The company’s decade-long industry experience positions it well to drive embedded finance adoption and enhance SME access to liquidity.

By integrating Funding Societies’ financing solutions, SGeBIZ enhances its value proposition, enabling SMEs to better manage working capital and invest in growth opportunities.

What this means

The strategic partnership between Funding Societies and SGeBIZ marks a significant advancement in embedded finance solutions tailored for Singapore’s SME sector. By integrating financing options such as Buy Now, Pay Later within the EzyProcure platform, SMEs—especially those in the food and beverage industry—gain vital access to liquidity that supports cash flow management and business growth. This collaboration exemplifies how fintech innovation and digital procurement can converge to address longstanding SME challenges in a rapidly evolving economic landscape. As embedded finance continues to expand across Asia Pacific, such partnerships will play a crucial role in empowering SMEs to thrive amid uncertainty and capitalize on emerging opportunities.