Hiveterminal: New Strategic Approach as Answer to COVID-19 Pandemic
By: Domen Ursic
Tags: Crypto, Cryptocurrency, Factoring, Hvn

In lengthy discussions with our Swiss VC, we came to the conclusion that a new strategic approach is needed to meet anticipated changes in the global economy. The management board, which includes Swiss VC representatives, Ugur, and I have been working closely with our development firm Kalmia to bring our vision to reality. Not only did we come up with a whole new service for large corporations, but we are also working on an additional set of changes to the platform. These changes will bring a better UX with more information for invoice buyers and a clearer overview of invoice rating.

Tentative sales discussions and the first trial run we held with managers of large companies have helped us understand the huge potential early payment discounting has. We are looking forward to seeing it in action as we believe it will solve the most crucial problems platform users face.

What Is Early Payment Discounting and How Will Hiveterminal Benefit Large Corporations?

Early payment discounting is a way for companies to obtain a discount on a supplier’s invoice in exchange for paying the supplier early. In other words, a company pays less than the full amount due while the supplier receives payment earlier than they would under standard payment terms. The market is huge and getting bigger (as a result of the pandemic) every day as small companies seek liquidity and large corporations look for high returns without risking anything.

Let’s say a corporation offers its supply chain a 2% discount for paying an invoice in 10 days. Otherwise, the full amount would be due in 30 days. This commonly used discount is known as 2/10 net 30. It will bring the corporation a 2% return over 20 days, which is pretty impressive. It works out to a 37% return when annualized, making Hiveterminal one of the best investment opportunities for large companies!

Dev Work and New Releases: Platform, Website, and Sales Materials

In order to provide our service to corporations and their supply chains, we had to develop a whole new set of functionalities. At the moment, we are finalizing the testing on them.

We needed to add fixed discounting for different periods, as we want to provide large corporations with flexibility and enable them to set the terms of early payment for their partners’ invoices and ensure high returns without any risk! We are happy to provide a full service, as Hiveterminal offers everything from discount calculation, communicating with partners’ suppliers, training for their suppliers and employees, and taking care of legal documentation.

In addition to saving large companies employee time and huge sums of money, we also offer them a personalized landing page where they can present the benefits of early payments to suppliers!

This is part of a complete website, sales tools, and marketing materials overhaul. Our marketing and sales team — headed by Eva — is working hard to bring it all to reality. The team will publish a sneak peek into the new look and feel of the website before the release date! We are adding new languages to the website as well, with German launching on the release date!

Monetization

We are also changing the way we monetize Hiveterminal, as there will be a fixed fee for large companies alongside the percentage paid in HVN fees. Companies will be able to pay the fixed fees in HVN as well. We currently have the first trial company using Hiveterminal with a selected few invoice sellers and we are happy with the results.

What Else Can You Expect in the New Releases?

We have also been working with our development team to provide some much-needed improvements to the platform. These changes include making the debtor visible prior to the invoice purchase. We also improved the way we provide invoice rating.

In order to open new EU markets (i.e., Germany), some additions needed to be made in light of the way HVN is being held. We will get rid of the HVN withdrawal feature as German legislation is not favorable to companies holding users’ e-money. Invoice buyers and corporations will still need HVNs to use Hiveterminal (to view the market and pay the fees) — and they will be able to load them to the platform — but the token will need to be used on the platform to pay for fees! Gal will provide more info on this in the days ahead!

What Does the Future Hold?

As you may have guessed considering the steps we have been taking, we are heavily honing in on the DACH region and are in the process of making sure we have everything ready to release our product there.

New releases will be rolled out in the next 50 days as well, with our focus being on the sales side. Adding big companies to Hiveterminal is a number one priority right now and the volume is only KPI!