It’s a unique and pioneering global partnership between an insurer, a bank and a fintech.

A new global B2B Buy Now Pay Later (BNPL) solution is being developed by a three-way collaboration between Allianz Trade, a global leader in trade credit insurance, Two, the business-to-business (B2B) e-commerce payments platform, and Santander CIB (BME: SAN), one of the top trade finance banks in the banking sector. (Allianz Trade)

The BNPL product is being tailored for large multinational corporations by a first-of-its-kind partnership that reflects the strengths of each participant. Two is taking care of the payment technology, Santander CIB is financing upfront payment to seller and credit to buyers and Allianz Trade is protecting the whole value chain against non-payment risk – all this with a single API integration.

How it works – in a fraction of a second

On the origination of a BNPL request, Allianz makes a credit appraisal instantly through an API and accesses its commercial, financial and strategic information about more than 80 million corporates worldwide. The output enables Santander to make an immediate financing decision. This process takes place near instantaneously using Two’s BNPL technology.

“We’re very proud to join forces with Two and Santander CIB to provide a complete deferred payment solution for B2B e-commerce. Our solution will be distributed worldwide and aims to allow large corporates to develop their online sales by offering deferred payments to existing and new customers, without being exposed to non-payment risks, while benefiting from immediate and guaranteed payments. It is a turnkey solution combining the very best of our three firms, easy to set up and improving both seller revenue and user experience”, explains François Burtin, Global Head of e-commerce at Allianz Trade.

“The fact that buyers have to use personal or corporate credit cards is still hindering B2B transactions. Enabling businesses to maintain their payment habits within 30 or 60 days of their invoices, in an e-commerce environment will be a big differentiator for sellers, while adding a major game changer: all concerns about non-payment risk are now removed, and their cash flow is preserved at all times. Additionally, the solution is instant and seamless which makes it really powerful for a firm dealing with huge sales volumes across different countries. Thanks to the service we’ve created along with Allianz Trade, Two and Marsh Spain, large corporates will now be able to enjoy the BNPL product to grow their online activity safely and globally,” adds Ignacio Frutos Lopez, Global Head Receivables at Santander CIB.

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