Biggest issue I see for CRO at the present moment .....and one should not look at this problem so much as a lost opportunity over the Christmas Period - but more a logistical problem which is entirely out of their control.
And not just because they are already embroiled in the bedding down of their own acquisition at the same time as they are trying to ' build out ' their growth in gross transactional revenues through the obtaining of ' new Customers ' ..... is the simple fact that delivery times for corporate's , wholesalers , retailers , and ALL companies for that matter - particularly those who are reliant on ' delivering ' their product to their own customers in order to get paid will be the fact that these customers will be more focused on the logistics of getting their product to their clients ' On Time ' in order to get paid.
So on the one hand if Cirralto were to be able through the Visa agreement to offer ALL customers a $10,000 line of BNPL style debtor finance , this credit line would only be as good to Cirralto Customers as it is to the end client of Cirralto's customers being able to ' receive ' the supplied product on time , and in the quality expected to be sighted on delivery. So what happens if the product doesn't arrive until after Christmas but was needed by Christmas. My point here is that Customers of Cirralto will be more concerned right now about getting their logistics right and not necessarily embracing a ' Bolt On ' to their accounting systems.
The other possibility is that Cirallto offers a $10,000 line of credit to Customers who take up and adopt their new ' Spenda ' systems between now and whenever , and so they can pay it off over time and perhaps after receiving Government funding back on their purchase. Now whilst this might also sound great , the practical reality is that it does not provide an immediate boost to numbers , and is contingent on Customers perhaps waiting for ecommerce grants or rebates which in turn could even leave Cirralto holding the can with Visa under a scenario such as this.
Either way , I don't see the increased volumes of business over the Christmas period being a windfall for Cirralto because most businesses would be simply ' hanging on ' and more focused on their logistics in order to get paid..... and NOT being paid without ' Guaranteed ' deliveries
So In any other situation where you had logistical capacity running at normal levels of expectation , you would say to yourselves - O.K this is potentially great for business because ' On Time ' delivery has always gone hand in hand with being paid. But these aren't normal times . And you only have to look at the performance ' stresses ' being felt by Australia Post. On top of that , you have CRO who so far does not ' appear ' to have established Customers that we would or should have seen these pre- Christmas volumes coming through already.
And...where are the October .....or even November Numbers.......
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