What is the difference between supply chain financing and traditional credit business?

As a new financing mode, supply chain financing is developed on the basis of traditional credit business, but it is obviously different from traditional credit business. Its main features are as follows: 1. The traditional credit business pays attention to the operating conditions of the enterprises applying for credit, and pays attention to examining the production, operation and market conditions of the enterprises applying for credit. Banks provide credit support to enterprises according to their inventory, advance payment, accounts receivable and other assets in commodity trading; In addition to retaining the characteristics of traditional credit business, banks deal not only with a single enterprise, but with all enterprises in the whole supply chain, paying more attention to the closeness and stability of the cooperative relationship between the core enterprises of the supply chain and the upstream and downstream enterprises. Because banks pay more attention to the trade risk of the whole supply chain, even if a single enterprise fails to meet some risk control standards of the bank, as long as the business between this enterprise and the core enterprise is stable, the bank can not only conduct independent risk assessment on the financial situation of this enterprise, but also conduct independent risk assessment on this business. The evaluation of supply chain finance on overall trade will bring more SMEs into the service scope of banks, solve the financing problems of SMEs and promote their development. 2. The repayment source of traditional credit business depends on the comprehensive income of the enterprise, not just the corresponding single transaction. The form and scale of borrowers' current assets are constantly changing with the business activities of enterprises, so it is difficult for banks to effectively monitor them. Supply chain finance borrows, orders and pays back. The information flow, logistics and capital flow in the transaction process are relatively closed, and the repayment comes from compensation, so the bank can track and manage, and truly realize the closed management of funds. 3. The risk characteristics of traditional bank credit business are different. The traditional credit business is mainly manifested in the operating risk of the financing subject itself, and the risk is relatively simple. The financing risk of supply chain comes from the core enterprise and the whole chain risk. According to the different internal operation modes of supply chain, this risk is amplified to some extent and becomes more complicated.