Today ZIM Integrated Shipping Services Ltd (NYSE: ZIM) announced it is enhancing its partnership with cross-border trade finance platform 40Seas, integrating 40Seas’ flexible digital financing solution via ZIM’s website and Ship4wd’s, the digital shipping subsidiary that enables customers to manage their import and export business easily and efficiently, with 24/7 expert support throughout the process.
In a press release, the carrier announced that expanding the partnership demonstrates ZIM’s commitment to transforming traditional shipping procedures into the digital age and improving customer choice by providing a seamless digital experience to enable customers faster and cheaper access to capital and meet their credit needs. It points out that this new service will be implemented gradually from the United States, Canada, the United Kingdom, France, Germany, Italy, Belgium, the Netherlands and Australia, with further countries added over time.
“We are pleased to expand our partnership with 40Seas,” said ZIM president & CEO Eli Glickman. “ZIM and 40Seas are firmly aligned on championing digital innovation in the shipping industry.”
According to Glickman, with 40Seas’ flexible digital financing solution integrated into ZIM and Ship4wd, clients will be able to defer payment of freight charges for up to 90 days from the invoice date, as well as take advantage of the 40Seas credit line to finance the shipment.
Zim’s press release explains that in a scenario of macroeconomic volatility and rising capital costs, SMEs engaged in global trade are struggling to protect cash flow and increase profits. ZIM and 40Seas aim to support SME importers and exporters to bridge this financial gap.
By introducing the ‘Ship Now, Pay Later’ concept, 40Seas will enable exporters to be paid immediately after shipment, providing importers with deferred payment options that allow them to increase business growth during the sales cycle without tying up available credit lines.
At the beginning of the year, ZIM took part in 40Seas’ initial $11 million financing round and also provided 40Seas with a credit line of up to $100 million to expand its business to exporters and importers.
Translation by Giles Foster
