The Investment market is and has always been big. Normally, an invoice seller looks for a invoice buyer in order to get short term cash flow, whereas the invoice buyer will get some interest back from loaning his money. Basically invoice factoring is a form of funding businesses, that helps you get credit in order to produce and sell your goods faster and therefor expand your business.
Imagine you are a business that sells goods to stores where they are sold. Now, you won't get your money straight away, because your goods has to be sold first, which can take a while. So you go and tell Investors about your business, so they might loan you money, which you will pay back, once your goods are sold, and give the Investor some interest. To find investors, businesses had to go to a bank in order to find Investors. The banks would charge outrageous fees for this business.
So what does Populous do?
Populous is the first invoice factoring company based on the blockchain technology. It is an alternative financial marketplace where invoice sellers and invoice buyers can directly work and communicate together, without any third party involved. As a invoice buyer, can see the businesses and bid on the onces they want to support. And you as a invoice seller (business) can choose which invoice payer you want to choose. Through a token called Poken, Invesments and loans can be made instantly peer to peer, without any geographical or institutional limitations.
Bottomline: a fair, open and peer to peer financial market is created, where invoice factoring finally helps both, the seller and the buyer! You as a business get to choose from investors, you as an Investor get to choose real prices from businesses and get the actual interest you gain! And all that without the horrendous fees from invoice providers of now a days.
How is populous approaching this market?
Through a peer to peer invoice pool based on the blockchain technology businesses can present themselves on an open market to investors to get credits and investors can bid on businesses to gain interests. The investor can choose from all kinds of businesses, the business can choose from the most lucrative investor. No fraud is possible, as all invoices are stored on the blockchain! No fees because the platform is the new "banker".