The worth of money in sheer volume systematically varies according to the financial status of the organisation that employs it. The internal mechanics that is at the core of all organisations dictate the plausible uses for income that is generated at a certain point in time. These plausible uses can be inherently different for companies that work with different scales of economic range. Case in point would be the manner in which smaller companies tend to use their profits as opposed to bigger ones. Small scale undertakings tend to incorporate their profits into overhead costs and infrastructure building. Bigger institutions or corporates who enjoy a significantly larger share of monetary incentive, however, are not bound by these factors and tend to hoard their surplus capital which has no use at the particular time. KredX Early is a financial mechanism that is meant to provide these big firms with the option of employing their unused surplus into a risk free profit creation model.
If It Ain’t Broke, It is Swimming in Cash
In 2016, it was valuated that American corporations had unused cash resources worth over 1.9 trillion. In the Indian context, since the 2008 financial crash that shook the world, investments have been seen as a risk. A 2014 study indicates that around 16,15,480 crore have been hoarded by the BSE 500 companies (Top companies listed on the BSE sensex).
The normal modes of cash employment can vary from, money market accounts, stocks or treasury securities. These are traditional means of getting rid of excess cash for the sake of future profits. The problem is, these methods are not as productive as they used to be. From the volatility of the stock market to the tiny rates of interest that are attached to treasury securities, optimum use of excess cash is a conundrum that needed a more hybrid solution than what was currently available. KredX Early markets itself to be that solution. India being the last untapped market, the business solutions available in this country and the cash flows that come attached with effective business enterprising can be staggering. This rate of money retention requires a profit production mechanism that is seamless and hassle free. KredX Early is a cash based solution for any corporate treasury that is struggling to cope with excess cash that cannot be meaningfully invested.
The question in itself primarily boils down to CSR. Especially in a developing space such as India, the struggles small businesses have to undergo for everyday survival are often brutal in nature. Corporate Social Responsibility is a notable social upliftment method that has a track record for transforming struggling communities. By endeavouring to allocate funds for KredX Early, the immediate result as opposed to eventual profits would be that small businesses will benefit from early payments. The difference such early payments can make for the operations
cost of a growing business is simply substantial. KredX Early model is set up with this standard of capital injection in mind.
The secondary reason is credibility. Potential investors can perceive a big hoarding of cash reserves in multiple ways. This depends entirely on the schools of financial thought they might follow. It is certainly not against the law to keep liquid cash that can cover your interests, capital expenditures and interests. The prudency of saving enough for a financial emergency that might come for your organisation tomorrow is also a wise step that can save your company. However, capital accumulation that is way beyond your appropriate cash level, can often seem irresponsible to your investors. KredX Early can be a recyclable financial mechanism that any corporate with extra amounts of immobile cash can use for the purpose of profit production. From a corporate standpoint, there is a lot to be achieved from employing the unused liquidity for future security.
KredX Early is an online market platform designed for corporate clients. The aim is to provide a stutter free experience that is smooth and innovative at every step. The incentive, other than short term profits are tied up proactively with multiple features like, vendor onboarding and packaged relationship management. Engagement with our services will provide you with an elite service package that specialises in a hassle free capital creation formula.
Corporate sustainability depends on a healthy economic index that negates risks and encourages profits. KredX Early succeeds in emulating these factors into a service package that generates cash growth. Ours is a financial mechanism that effectively offsets the volatile nature of market forces in favour of a stable investment ecosystem. Its an inventive system of balance and checks that makes sure that your final cheque is as balanced as it is lucrative.