Spenda platform debuts for Carpet Court stores, signs five-year agreement to provide lending services

ASX-listed spend announced that the CC Spenda platform has been successfully introduced into the Carpet Court store network and concurrently, the parties have entered into a five-year exclusive agreement to provide loan services to the store network.

Following the successful completion of a pilot program that involved the integration of the platform into the operating environment of select Carpet Court stores using a specific iteration of the Spenda platform, Spenda and Carpet Court have successfully completed the roll-out of the platform. Carpet Court’s entire franchise network, comprising approximately 205 member stores across Australia.

This phase of the program is in line with the company’s node-to-spoke execution strategy through roll-out of services across Carpet Court’s NSCs (‘Nodes’) and its 205 connected stores (‘Spokes’). Business competencies through software and payment services.

Installing this software infrastructure enables even more spend Providing loan services to the entire Carpet Court network. In this regard and concurrent to the successful rollout, the parties have executed a five year special relationship framework deed to offer working capital finance (extended credit) to all stores.

Under the terms of the agreement, Spenda will act as the lender and Carpet Court will act as the business partner with an initial period of five years. The parties will provide working capital finance to the stores in Carpet Court over a period of 30 days for a fixed funding fee, which will be calculated on a percentage of the funds given to the store.

The amount of revenue the company could generate under this agreement cannot be determined at this stage, although Spenda’s potential revenue is up to $30,000 per store, per year.

Commenting on the agreement and the parties’ associated partnership, Mark Hogan, Chief Financial Officer, Carpet Court, said, “The Spenda platform is providing efficient end-to-end payment services for NSCs and members. The Extended Terms feature continues our digital transformation and provides a flexible funding solution for members. We look forward to taking these initiatives forward with the SOE pilot in the coming months.”

Adrian Floet, Managing Director of Spenda, said, “Spenda solutions are rich in functionality and as such it can often be difficult to showcase the full capabilities of our software in a way that our investors can easily digest. The Carpet Court roll out has allowed us to show how we plan to phase out the implementation and monetize Spenda’s services in clear steps, from acquiring a node and providing initial services to the connected spoke network, And now to further enhance Spokes with working capital financing solutions, retail software and additional payment infrastructure.”