5 Ways Food & Beverage Companies are Using Supply Chain Finance to Fund the Future
By 3 minute read
• Published January 28, 2019 •As rapidly evolving consumer tastes and digital transformation disrupt the food and beverage (F&B) industry, its business leaders face a critical obstacle – liquidity. The scale and pace of these changes are forcing F&B manufacturers, retailers and suppliers to make costly changes to their businesses.
“How will we fund the strategic business initiatives that will allow us to grow and compete in today’s business climate?” It’s a question that weighs heavily on even the largest, most profitable F&B companies and especially on suppliers that lack access to investment-grade funding. With corporate debt levels and interest rates risings, many companies are in need of funding alternatives that go beyond commercial lending.
For many businesses, the answer is supply chain finance. From the world’s largest F&B brands to niche suppliers, an increasing number of F&B companies are using supply chain finance to fund the changes and transformations that will power their future.
In this white paper, we review real-world examples of how today’s F&B companies are using supply chain finance to:
- Align the business with changing consumer preferences
- Accelerate R&D and innovation
- Fund strategic merger and acquisition transactions to increase market share, tap into new market segments and diversify product portfolios
- Increase financial agility to navigate change and market volatility
- Increase enterprise value and return on capital
5 Ways Food & Beverage Companies are Using Supply Chain Finance to Fund the Future