{"id":3547,"date":"2019-07-22T13:20:12","date_gmt":"2019-07-22T13:20:12","guid":{"rendered":"https:\/\/blog.kredx.com\/?p=3547"},"modified":"2023-10-26T06:00:16","modified_gmt":"2023-10-26T06:00:16","slug":"tracing-indias-advertisement-giants-journey-with-kredx","status":"publish","type":"post","link":"https:\/\/www.kredx.com\/blog\/tracing-indias-advertisement-giants-journey-with-kredx\/","title":{"rendered":"Tracing India\u2019s Advertisement Giant&#8217;s Journey With KredX"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Founded in 2008 with headquarters in Bangalore, this advertising giant is a pioneer in the classified advertisement sector. It aims to empower every person in the country to independently connect with buyers and sellers online. The company wants to continue working towards building the future of trading and e-commerce and wants to add something that is game-changing and worthwhile to the experience of its users.<\/span><\/p>\n<h2><b>Snapshot of the company<\/b><\/h2>\n<p><b>Product:<\/b><span style=\"font-weight: 400;\"> Classified Advertisement<\/span><\/p>\n<p><b>On The KredX Platform Since<\/b><span style=\"font-weight: 400;\"> 23 January 2019<\/span><\/p>\n<p><b>Invoice Amount Discounted Till Date: <\/b><span style=\"font-weight: 400;\">\u20b930 Cr<\/span><\/p>\n<h2><b>A Quick Glimpse Of Their Journey So Far With KredX<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Being a pioneer in the classified advertisements segment, the company has a huge and diversified clientele on a daily basis. In such cases, the payment cycle can be spread over a few weeks. To accelerate the growth of any business, it is critical to deal with large vendors whose payment timelines may vary, ultimately impacting their liquidity.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The company approached various financial institutions in search of solutions that could help address their needs but there were several challenges with the offerings, primarily the time involved in the process. Some other added drawbacks were:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Lower funding limit as per existing norms and procedures<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The company was required to furnish collaterals and financial history to avail traditional offerings<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Other forms of short term and long term borrowing were expensive<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Challenges availing funds for liquidity and growth<\/span><b>&nbsp;<\/b><\/li>\n<\/ul>\n<h2><b>The KredX Offering<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">To secure growth prospects the company with the help of KredX, effectively repurpose their capital needs for better allocation of liquidity. KredX offered sourcing credit without any added debt responsibility in a way which assisted them to operate seamlessly.&nbsp;<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Vendors raise invoices against the company payable within 60 days<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Discounted invoices are listed on KredX\u2019s platform for 90 days, thereby giving the company liquidity of 60 + 90 days, i.e., 5 months<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">KredX\u2019s investors buy the invoices at a pre-decided rate as per the terms and conditions and the funds are disbursed to the vendors within 24-72 hours<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">At the end of 90 days, the company pays the amount back to KredX Investors<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Recourse is on the company<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">With KredX, the company was able to accelerate its growth and expansion with an increase in liquidity and effectively repurposing their capital to better suit the requirement. The business found the solutions of sourcing credit without an added debt responsibility attached to the proposition feasible.&nbsp;&nbsp;<\/span><\/p>\n<h2><b>How We Helped<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The business witnessed exponential growth in the market. Our platform assisted the company in accelerating their payment cycles and subsequently increase<\/span><span style=\"font-weight: 400;\"> its <\/span><span style=\"font-weight: 400;\">bottom line. The number of enterprises dealing with the company also grew manyfold within this timeframe.&nbsp;<\/span><\/p>\n<p><span style=\"font-weight: 400;\">KredX assisted in increasing the opportunities from a revenue perspective as the service providers could bear overhead costs. Substantial growth parameters are laid down due to timely retention of revenue leading to meeting the goals and objectives of the company, further enhancing the growth.<\/span><\/p>\n<h2><b>How the Investor Benefits<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">By investing in deals raised to this company, the investors on the KredX platform were able to&nbsp;<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Strengthen their portfolio with maximum returns within 90 days<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Make above-market returns at 12-20% IRR<\/span><\/li>\n<li style=\"font-weight: 400;\"><a href=\"https:\/\/www.kredx.com\/investor\"><span style=\"font-weight: 400;\">Earn higher returns in 30-90 days at low risk<\/span><\/a><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">This not only leads to better investment opportunities but also gave investors a chance to be involved directly in the growth of the advertising company and its vendors.<\/span><\/p>\n<p>Also read:&nbsp;<a href=\"https:\/\/kredx.com\/blog\/tracing-the-story-of-a-leading-steel-producer-with-kredx\/\" target=\"_blank\" rel=\"noopener\">Tracing The Journey Of India&#8217;s Leading Steel Producer With KredX<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Founded in 2008 with headquarters in Bangalore, this advertising giant is a pioneer in the classified advertisement sector. It aims to empower every person in the country to independently connect with buyers and sellers online. The company wants to continue working towards building the future of trading and e-commerce and wants to add something that [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":6012,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[94,363],"tags":[800,658,801,802,100,37,415,803,38],"class_list":["post-3547","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-investor","category-newsletter","tag-advertisement","tag-enterprise","tag-investment-opportunities","tag-investor-benefits","tag-investors","tag-invoice-discounting","tag-kredx-offering","tag-payables","tag-working-capital"],"_links":{"self":[{"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/posts\/3547","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/comments?post=3547"}],"version-history":[{"count":1,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/posts\/3547\/revisions"}],"predecessor-version":[{"id":13840,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/posts\/3547\/revisions\/13840"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/media\/6012"}],"wp:attachment":[{"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/media?parent=3547"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/categories?post=3547"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.kredx.com\/blog\/wp-json\/wp\/v2\/tags?post=3547"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}