The White House's SupplierPay initiative aims to gain support among large corporations who are committed to giving their suppliers quick and affordable access to capital. Minority entrepreneurs continue to be significantly under-capitalized when compared to non-minority counterparts. Particularly in high growth and technology sectors, the lack of diversity continues to be a major challenge.
Why diverse suppliers need a cash flow solution:
They face cash shortages due to restrictive bank lending practices and lengthy payment terms.
- Limited, affordable access to capital is the main issue preventing them from scaling up operations.
- Diverse businesses are relying on credit cards and high-interest bank loans to survive.