Invoice Financing is a popular business function in small and medium businesses which are in an urgent need of cash. Invoice financing, for those who may not be aware, is a process which involves businesses selling off their invoices to third party financers in exchange for instant cash. These invoices are sold off to financers at a discounted price which they can later cash with the debtors to get the full value.
For instance – you run a business which is to be paid $10,000 from it’s debtors, but the date of payment is about two weeks away and you need urgent cash to buy a new machine. You can sell off the $10,000 worth of invoices to a financer for an instant $9,500 in cash. The financer can later claim the entire sum of $10,000 from the debtor. Both the parties are in a win-win situation with this.
Invoice Financing is popular in the US and European Union. However, one of the biggest challenges that this business function faces is that of transparency and communication. Often, due to miscommunication and lack of transparency, issues such as delayed payments and payment frauds tend to take place. However, this changes with Invox Finance!
What is Invox Finance?
Businesses have witnessed a number of changes over the years. With technology progressing at a rapid speed – there are a number of changes which are coming to modern-day business operations as well. Among various other innovations in the business sector, blockchain technology is one which is redefining the way we know markets to be. Invox Finance is a blockchain based Invoice lending platform which aims at bringing buyers, sellers and investors closer when it comes to invoice financing.
The Invox Finance platform helps bring transparency into the invoice financing system. It achieves so by using the blockchain technology to store all records of transactions between the buyer, seller and the debtors. Basically, it reduces the odds of fraud dramatically as data stored on the blockchain technology is on a distributed, public ledger and cannot be altered without a consensus from all the parties involved.
Invox Finance allows buyers to distribute their risk by buying invoices in chunks. A buyer could buy off a portion worth $3000 from an invoice worth $10,000. Multiple such chunks from multiple businesses could be bought. This ensures that the buyers distribute risk of bad debt among various businesses while businesses get cash depending upon the purchase made by the buyer.
The Token Sale
Invox brings about a major change in the way we know invoice financing to be. Not only does it bring transparency, it gives buyers a good investment option while the sellers can easily liquidate their invoices. All transactions on the Invox platform take place using the Invox cryptocurrency token – which can also be used to purchase the yearly membership to the platform, after which all the trading can take place. For more details on the Invox Finance platform and the Invox Token Sale, log on to: https://invoxfinance.io
This is a sponsored press release and does not necessarily reflect the opinions or views held by any employees of The CoinCryptoz. This is not investment, trading, or gambling advice. Always conduct your own independent research.