Invoice Lending Platform - Invox

For proper and smooth running operation of businesses and organizations, it is widely necessary to maintain a steady cash flow throughout the whole period. Uneven cash flows can cause the business with complexities regarding period based operation such as salaries and other expenses. Many businesses especially in the IT sector have to tackle the issues with periodic cash flow crisis. Invoice financing is a method through which these whole process can be run smoothly and efficiently.

It is very important to understand the motive behind the different entities of this financing system to categorize the problem. In business, the primary objective of a seller is to manage the best possible and promising price for the product and services that they are offering and after the deal they would want the business transaction to be on appropriate time avoid the irregular cash-flow issues. Delay in issuing payments on multiple deliveries can cause discontinuity in their business which is really harmful for the company.

On the other hand, the buyers are looking for the least price for the products that they are trying to acquire or the service they want obtain. But problems can arise if they do not have the capital to pay on delivery.

For investors, the problems they deal with is that their interaction is with the sellers only. Which does not enable them of the proper view of the invoice financing or the other form of transactions occurring during the process. As the investor has to solely rely on the information provided by the seller, there always remains a risk of information manipulation.