Alibaba.com & Balance: Instant Credit for US Supply Chains
As global supply chains face pressure from economic uncertainty and growing buyer expectations, a new embedded finance tool promises to ease the payment burden for small and medium-sized enterprises (SMEs).
Alibaba.com teams up with financial infrastructure platform Balance to launch "Pay Later for Business", a tool designed to give US-based businesses more choice over how and when they pay for goods sourced on the platform.
Balance, an AI-powered financial platform for B2B transactions, now powers the embedded Buy Now Pay Later (BNPL) solution on Alibaba.com, allowing eligible US buyers to access instant credit directly at checkout. The solution targets SMEs, a group often underserved by traditional financing providers, giving them a way to fund transactions without upfront cash or credit cards.
With Balance’s AI technology at the core, the system evaluates credit risk in real time, enabling fast approvals without placing the operational burden or credit exposure on sellers. This kind of flexibility is especially useful in cross-border supply chains, where longer lead times and currency conversion issues often require upfront capital that smaller businesses don’t always have to hand.
Bar Geron, CEO and Co-Founder of Balance, says the current climate adds urgency to the need for financing: “In tight economic conditions, and especially with the added strain of tariffs, access to financing can make the difference between surviving and thriving.
“We’re proud to partner with Alibaba.com and power a solution that helps its US users grow their businesses with confidence.”
Balance’s broader infrastructure enables businesses to manage payments, offer net terms - meaning customers can pay invoices over a set period after delivery - and automate accounts receivable. These functions reduce payment costs, improve cash flow and simplify the collection process, especially in sectors reliant on regular orders and large volume procurement.
Yiran Li, Head of Customer Retention Strategy at Alibaba.com US, highlights the value of making payment options flexible: “Flexible B2B payments are essential for business customers who want to grow.
"By embedding Balance directly into our checkout, we’re making it easy for customers to buy on their terms, without being limited by cash flow constraints.”
Expanding the BNPL model in B2B
The solution continues Balance’s expansion into B2B commerce, following its earlier partnership with Instacart Business. There, it powers embedded invoicing and net terms, giving business customers more predictable and manageable payment schedules. With the addition of Alibaba.com, Balance now operates across a wider network of platforms seeking to offer seamless invoice-to-cash journeys.
Unlike traditional lending, Balance’s AI system uses multiple data points to make instant decisions, which helps improve approval rates for SMEs often excluded by older financial models. Sellers on Alibaba.com benefit too; by outsourcing risk assessment and collection to Balance, they can offer credit to more buyers without absorbing the uncertainty.
For supply chain managers and SME owners, this means fewer barriers to importing goods and negotiating better payment terms with manufacturers. It also means buyers can respond faster to demand changes without pausing production or missing out on procurement opportunities.
CoCreate brings SMEs centre stage
The launch of Pay Later for Business comes as Alibaba.com also rolls out CoCreate Pitch—a global competition aimed at helping SMEs bring new products to market. Coinciding with World Micro, Small and Medium Enterprises Day on 27 June, the contest offers nearly £750,000 (US$1m) in prizes and access to Alibaba.com’s sourcing tools.
UK and European SMEs are now invited to submit product ideas, with two Grand Champions, one each from Las Vegas and London, set to win approximately £150,000 (US$205,806). Twenty more global winners can receive up to £30,000 (US$41,161). All entrants get complimentary access to Alibaba.com's supplier network, making product development and sourcing more accessible.
The competition concludes live at Alibaba.com’s CoCreate events, with finalists pitching to industry leaders and investors. These events, held in Las Vegas and London, bring thousands of SMEs together to exchange ideas, build supply partnerships and identify growth opportunities.
Kuo Zhang, President of Alibaba.com, explains CoCreate Pitch offers something new this year: “The pitching competition has always been a highlight of CoCreate, and it’s great to see the entrepreneurial energy and passion SMEs bring to developing their innovative product ideas.
"This year, we’re thrilled to open this opportunity to entrepreneurs in Europe and the US, and look forward to seeing the product dreams of the brightest SMEs and entrepreneurs coming to life on stage.”
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