The Invoice Financing industry is worth 2.78 Trillion USD, and it’s growing at a fastening rate. The reason for the growth was because it was a great solution. However, the increase in some markets is stagnant because of trust issues. Invox Finance is an invoice lending system which solves the trust issues by bringing transparency to the system.
If you’re new to Invoice financing, It is a setup in which Businesses sell their due invoices to the Financiers (Investors) for a discounted price. These financiers provide the amount to the businesses instantly and collect the full amount from the customers (buyers) once the credit period expires. It is majorly done to bring cash-flow into the Business for daily activities.
Although, the market is growing at a fast rate, in some places the market is still stagnant, and some places like China, Japan haven’t adopted this in their system yet. It’s all because of no transparency and the fear of fraudulent. Invox Finance is a decentralized (peer-to-peer) platform which solves the problem by bringing clarity to the system. Let’s check the fantastic features to know more.
- Decentralized: Being decentralized, it brings all the parties involved in the transaction to interact, share, distribute and connect directly. Bringing everyone in direct connection brings not only transparency but also reduces the time taken to perform things.
- Better Investment Opportunities: The platform also allows individual investors to buy the invoices from business, it also helps them choose the business they want to purchase invoices. Not only that, the investors also get better ROI.
- Diversification of funds: Investors are allowed to diversify their funds. Instead of buying an entire invoice from a single business, they are allowed to buy fragments of the invoice. This way, they divide their money into multiple businesses.
- Reduced Risks: The investor’s funds are diversified, so if a single buyer runs away with the money or declares himself insolvent, it won’t be a significant loss for the investor. This condition applies only if he has diversified his funds. Although, this doesn’t guarantee “No losses,” but it does reduce the risks.
- Dynamic Invoices: In the traditional invoice financing system, once the invoice is sold to the investor, the business and other parties are out. But with Invox, all these are in direct touch and can view the updated invoice. This feature uses the Ethereum smart contract, thus making the invoices being updated in real-time and accessible to everyone.
The Invox Token and ICO
The company also is launching its token. It’ll be called INVOX. The token would be rewarded to the buyers and sellers for invoice verification. Additionally, the sellers might need the token to pay for the yearly subscription of the platform.
Invox Finance Pvt Ltd. is also launching the ICO where the interested parties can get the coins for a meager price. However, the ICO intends to sell platform memberships through the sale of tokens. If you’re interested in investing your money, you shall check their website: https://invoxfinance.io