Visa, Doxa, and UOB collaborate to provide faster access to operating capital for contractors in Asia Pacific, transforming payment processes.
The pioneer in digital payments, Visa, has teamed up with Singapore-based fintech company Doxa and United Overseas Bank Limited (UOB) to enable contractors to get payments more quickly and easily through deep-tier financing.
As the first-of-its-kind use case in Asia Pacific, the partnership between Visa, UOB, and Doxa aims to facilitate contractors’ quicker access to operating capital.
Contractors have historically had protracted payment cycles as a result of difficult claim filing, drawn-out approvals, and payment procedures. This is especially true for those farther down the supply chain. This frequently lasts between 35 and 100 days, which puts a pressure on these contractors’ working capital.
The Doxa Connex technology speeds up job certification to get contractors paid faster. Doxa’s embedded financial capabilities with Visa have been greatly improved. UOB virtual cards can be used to pay subcontractors before the invoice due date if developers or primary contractors verify the project claim.
Moreover the first two businesses involved in the initiative are Kimly Construction and JTC Corporation. They plan to test their payment process on the Doxa Connex platform by simulating it with their previous initiatives.
“Our collaboration with Doxa to develop this new solution as part of the Visa Accelerator program has resulted in an exciting step forward for the construction industry,” stated Adeline Kim, Visa’s country manager for Singapore and Brunei.
“UOB is the first issuer we are collaborating with to provide its clients the ability to use this embedded financing solution, enabled by virtual cards, to pay suppliers more quickly and effectively. We are eager to collaborate with additional partners to increase the effectiveness of contractor payments and provide them with better working capital so they can concentrate on operating their businesses.
“Digital payments for corporates” should be simplified
The system’s effectiveness was further elucidated by Doxa CEO Edmund Ng, who said, “With our flagship product, Doxa Connex, Doxa has pioneered digital advancements in procurement and trade financing.” Doxa Connex is an efficient, quick, and safe trade platform that links financiers, suppliers, and buyers.
“We have always sought to tackle these issues head-on, and by forming this relationship, we are elevating the caliber of our answer. All businesses in this sector will be able to run their operations more efficiently thanks to this automated approach, which is intended to enable more prompt payments.
“At UOB, we have consistently worked towards staying at the forefront of innovative solutions that address the needs of industry,” said Philip Lim, regional head of commercial solutions at UOB.
“Our collaboration with Visa and Doxa is a testament to our commitment to use digital technology to improve and expedite digital payments for enterprises, particularly in industries like construction and real estate where payment procedures are still laborious and ineffective. We think that everyone concerned will benefit from this initiative’s positive contributions to efficiency and transparency.
