What is Invox Finance Project?

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What is Invox Finance Project?

Invox Finance Pty Ltd is a successful invoice financing company based in Indonesia, Australia.

Many businesses, especially small businesses, involved in the supply of goods and services struggle to stay afloat due to cash-flow problems. They are unable to meet day-to-day expenses and commitments as there is a lack of cash being generated on a regular basis.

Invoice financing is a type of financing where a company sells its invoices to a third party, which provides them with immediate cash. This is essentially similar to a payday loan – but for companies rather than individuals.

Invoice financing is a large market, measured in the trillions of dollars, but it still has plenty of risks and challenges. Clients of a business may become insolvent and unable to pay an invoice. Companies may issue fraudulent invoices for services or products which were not delivered. Interest rates can be very high.

Invox addresses these issues through a distributed peer-to-peer lending system which connects individual investors who want to make money on interest, with businesses which need immediate cash, as well as the client companies of those businesses. The platform connects invoice sellers, buyers and individual investors, allowing for better transparency and lower costs.

System users

Investors are looking for higher returns and diversified investment portfolios.

Sellers that have invoices they want to sell to accelerate their cash flow.

Buyers who will receive an invoice payment period are renewed and rewarded for verifying the invoice.

Traditional Invoicing Financing Works

Other Financing Options for Sellers

– Bank overdraft

– Peer-to-Peer

– Unsecured business loan from a non-banking financier

– Populous

The Invox Finance Model

We plan to disrupt and revolutionise the traditional invoice finance industry by implementing a global distributed peer-to-peer lending platform called the Invox Finance Platform. This platform will completely eliminate the need for a financier’s involvement by connecting businesses that wish to accelerate their cash-flow through selling their invoices (“sellers”), directly with investors who wish to finance these invoices.

Invox Finance’s differences

– Decentralised Platform

– Direct Access to Investors

– Lower Rates for Sellers

– A new way for Investors to Diversify

Who will use Invox?

Invox is targeting small and midsize enterprises as buyers and sellers and non-retail investors as the purchasers of invoices.

Buyers and sellers will be motivated to move to Invox because of lower fees, increased security and possibility of rewards.

Initially the platform will only allow non-retail investors to participate in the investment platform. These include large businesses, individuals that invest more than $500,000 AUD, or those investors with net assets of at least $2.5m AUD or with gross incomes of at least $250k AUD. This is a much different approach than a similarly focused project (Traxia) that allows any investor to purchase invoices.

Over time INVOX will allow retail investors to participate in funding.

What is the revenue model for Invox?

The Invox Finance Platform will generate revenue by charging fees to the sellers and investors. Buyers are not charged for using or accessing the Invox Finance Platform, nor are third parties who provide value to the Invox Finance Platform.

Sellers will pay a 1.1% fee (in INVOX) to list invoices for sale. Of this fee, .1% will return to Invox Finance and 1% will be returned as rewards.
Investors will be charged a 1.1% fee to purchase invoices.

The Platform Overview