Debenhams Group has introduced a new cash flow solution designed to give its network of more than 30,000 brand partners faster access to sales revenue, helping businesses manage stock, improve liquidity and respond to customer demand.
The retail group, which operates Debenhams, Karen Millen, boohoo, MAN and PrettyLittleThing, has partnered with financial technology provider Storfund to integrate its Daily Advance service directly into the Debenhams marketplace.
The service is now live ahead of the Christmas trading period, allowing eligible sellers to receive a significant proportion of their sales revenue as soon as orders are shipped, rather than waiting for the marketplace’s usual payment schedule.
Helping Retail Partners Manage Cash Flow
For brands selling through online marketplaces, the delay between fulfilling an order and receiving payment can create challenges, particularly during periods of increased demand.
By providing earlier access to revenue, the new arrangement is intended to help sellers replenish stock, manage working capital and invest in business growth without having to wait for their regular marketplace settlements.
The initiative could also benefit consumers by enabling participating brands to maintain product availability, introduce greater choice and respond more quickly to changing shopping trends.
Dan Finley, CEO of Debenhams Group, said:
“Our marketplace-led strategy is built on creating an ecosystem where great brands can scale with us. As we grow our marketplaces, we want to make Debenhams Group the partner of choice for brands looking to reach millions of customers and accelerate their growth.
“Giving sellers faster access to their sales revenue gives them greater flexibility to reinvest in their businesses when they need it most – particularly as we head into peak Christmas trading. It’s another example of how we’re supporting our 30,000+ brands and making it easier to do business with Debenhams Group.”
How the Daily Advance Service Works
Under the arrangement, Storfund can advance up to 80% of the value of eligible shipped sales each day.
When Debenhams Group subsequently processes its standard marketplace payment, the funds are transferred to an account nominated by Storfund. The remaining 20% is then released to the seller, less any applicable fees.
Participation is voluntary and subject to eligibility requirements set by Storfund. There are no subscription or set-up charges, and sellers are not required to commit to a minimum contract term.
Eligible partners can access the service for sales generated across Debenhams Group marketplaces, including Debenhams, boohoo and PrettyLittleThing, without additional administrative processes.
The integration follows growing demand for Storfund’s Daily Advance solution among marketplace sellers, including brands already using the service independently.
Bringing the facility directly into the Debenhams marketplace is intended to simplify access and make faster settlement a more convenient option for participating businesses.
Justin Hanna, Director of Platform Partnerships at Storfund, said:
“Marketplaces have spent the last decade building better shopping, advertising, fulfilment and settlement experiences. Liquidity is the next frontier. When businesses have cash on hand to respond to demand, buy stock and invest in growth, that benefits the entire marketplace. Embedding Daily Advance within Debenhams gives sellers greater control over their cash flow at a crucial point in their growth.”
Marketplace Expansion Continues
The development forms part of Debenhams Group’s wider transition towards a marketplace-led retail business, with third-party brands playing an increasingly important role in its commercial strategy.
Marketplace activity now represents 38.9% of the Group’s gross merchandise value (GMV), compared with 32.7% during the corresponding period last year.
As the business continues to expand its marketplace operations, initiatives that improve the experience for third-party sellers are becoming central to its efforts to attract and retain brands.
The introduction of faster payments also reflects a broader focus across digital retail on providing sellers with financial flexibility alongside access to customers, marketing services and fulfilment infrastructure.
With the Christmas shopping period approaching, earlier access to sales revenue could provide participating brands with additional flexibility to manage inventory, meet seasonal demand and support future growth.