Payplant is Now Approved as a Qualified Purchaser to the Illinois Vendor Payment Program

By Jyothi Shanbhag
TMCnet Contributor

Payplant has been providing financing for entrepreneurs at very attractive rates and the company’s Pay Me Now digital invoice-financing service helps businesses when their customers pay too slowly. Recently, the company announced that its digital Pay Me Now invoicing-financing service has been accepted as a Qualified Purchaser to the Illinois Vendor.

The State of Illinois has started the Vendor Payment Program to address the issue of delayed payments to its vendors. It is a voluntary program designed to expedite the time frame of payments to State vendors and service providers. Participation is simple, secure, and vendors receive 100 percent value of their receivables free of cost.

What this means is that Payplant is now eligible to give vendors the cash they are payable at no cost and the State actually pays the interest due to Payplant per the State's Prompt Payment Act. Payplant Associated alternatives fund will be utilized as the capital to purchase the invoices.

Neerav Berry, co-CEO and founder, Payplant said that they are excited to be selected to help hardworking businesses get back on their feet after the frustrating wait on payments from the State.

“We think this an excellent example of how Payplant can help Governments and large Enterprises get payments to their vendors faster without changing their payment cycles or processes," said Neerav Berry, co-CEO and founder, Payplant.

As per the process prescribed by stated the State of Illinois, all the vendor will have to submit their Illinois invoice to Payplant through its all electronic process. After this, the vendor gets the first 90 percent  upfront, wired directly to their account, with the remainder when the State pays, totaling 100 percent.

As noted, there are no fees or interest attached with the process and Payplant makes its money from the penalty owed by the State. This whole program will support vendors and provide accelerated payments to the State's vendors at no cost to the vendor.