Pedaling to Success: Bicycle Manufacturers Switch Gears to Trade Credit
The bicycle manufacturing market in the U.S. is worth over $1 billion and is dominated by a small number of well-capitalized manufacturers. These companies have sufficient available cash flow to manufacture a set number of bicycles to place into retailers’ shops without asking for immediate payment. For retailers, this is a helpful arrangement as they welcome the chance to display and sell the bikes before having to pay the manufacturer.
However, specialist cycle manufacturers face a real challenge to achieving an in-store presence and growing sales because they can’t manufacture enough bikes to ship to retailers for display before payment.
The challenge: Smaller cycle brands need more access to capital to grow and compete against larger manufacturers.
The solution: Leveraging TreviPay’s trade credit program to allow smaller brands to be more competitive.