Waiting for invoices to be paid can be a pain – especially in the world of client-based companies, where for many, cash-flow can involve a long waiting game. After graduating with a degree in Economics from the University of Warwick, Aamar Aslam experienced the problem head-on during his time managing a chauffeured car service.
When some clients didn’t pay his drivers for up to 60 days, Aslam conceived a revolutionary business idea that would offer a solution to late invoice payments: link your clients with a network of professional investors, who can ‘purchase’ outstanding invoices. Funding Invoice was born, creating a payment system in which investors can provide up to 90% of an invoice’s value immediately. To protect client companies’ relationships with their largest customers, Aslam’s FinTech brainchild leaves the collection of payments to the client business themselves.
What is truly compelling about Aslam’s business model, however, is that Funding Invoice makes revenue by charging a commission to the investor, as opposed to the SME. To some, finance and such complex payment systems can be a mind-boggling concept. For this young entrepreneur, however, Funding Invoice represents a challenge to big businesses who hold financially unjust power over their suppliers.
This former boxer turned FinTech prodigy saw his business launched in the University of Warwick’s Software Incubator, meaning, in his own words, that he “probably spent more time on Funding Invoice than his studies” in his final year at university in 2015.