Fujian Children'S Shoes Branch Won 130 Million Credit Line Of Minsheng Bank

By reviewing the trading status and the credit strength of the children's shoes industry, based on the trust in the development prospects of China's children's shoes industry chain, recently, the footwear association of Fujian footwear industry association and the China Minsheng Bank Quanzhou branch put forward the "industrial chain financing plan" for the development of children's shoes industry channels, and formally reached a cooperation agreement. The children's shoes Association of the Fujian footwear industry association won the credit line of 130 million Minsheng Bank, and this financing will benefit more than 60 enterprises.

It is reported that this is the most trusted industry in the domestic children's products industry. The Chinese children's shoes industry has attracted the attention of all sectors of the society due to its rapid development momentum.

According to the Secretary General of the children's shoes, Xie Jia said that many children's shoes enterprises expressed strong interest in the scheme. At present, 2 or 3 enterprises are discussing cooperation.

In the past, many enterprises owed debts may exist in a single way, and they had to wait for the agreed time before they could be converted into cash; and the introduction of industrial chain financing, because of the intervention of banks, could immediately be converted into cash. Although enterprises might have to pay more interest at a fixed rate, the enterprises had saved the waiting time due to timely cash flow, thus winning the chance of survival and continuous production.

Expert opinion:

Xie Jiasheng, Secretary General of the shoes Association of Fujian footwear industry association, said that the main objects of the industry chain financing are agents and distributors, loans from agents and dealers, factory guarantees, loans used for the two major purposes of agents and distributors, such as channel construction and payment of manufacturers' arrears.

Industrial chain financing can be closely related to shoe material suppliers upstream of the industrial chain, while strengthening links with downstream dealers and even end retailers. After linking, industrial clusters will increase the overall core competitiveness and enhance the ability to resist external economic fluctuation risks.

Chen Shuqing, the director of the China children's supplies research center and the general manager of the new Liuhe marketing planning Co., Ltd., said that enterprises often face such an awkward situation, and the deferred payment of the agent's money causes the enterprises to be unable to operate normally because of the shortage of funds.

The introduction of this industry chain financing, on the one hand, is conducive to solving the problem of capital turnover of enterprises, and maximizes the amount of funds owned by local enterprises, so as to create more cash flow for enterprises and enhance capital mobility, which is of great significance to the survival and development of children's shoes enterprises.

On the other hand, it can also solve the worries behind the expansion of agents' channels.