Reasons why SMEs need Debitum Network

Debitum Network is a platform designed to unite investors, document validators, insures and borrowers. Companies and individuals working in alternative finance space can connect-in to the platform and begin to facilitate cross-border deals immediately. The network is built as a hybrid platform in that all the actions are processed through the Ethereum blockchain, and this makes the platform secure and incorruptible. It is made of a family of smart contracts facilitated by one internal means of payment.

Importance of investors

Now that we have found out that Debitum Network helps to unite investors to businesses, it is time to look at how investors benefit businesses. A business that has no funding will flounder under the weight of its debt. A business runs on funding. In fact, funding is like fuel to a business. A business can take different paths to secure funding depending on the desire of the business to be in dept, how solvent the owners of the business are at the time the business needs funding and the amount of money the business needs to launch and maintain itself.

Seed money

Office supplies, materials, equipment, business cards and a website all need money, and it has to come from somewhere. The money can be raised from an investor to get the small business started.

Cash flow

Business owners and workers need to have a salary to survive. There are utilities that need to be paid, insurance to buy and a laundry list of many other expenses that need to be paid for the business to survive. When a business is starting, profits are normally low, and this needs some funding to allow cash flow to meet all the expenses until when the business picks up and starts generating profits.

Expansion

When a business has outgrown its current location, or when there is more demand for new services or goods, the business needs to expand. The business will need a new location, marketing and product research, additional staff and new services. Sometimes the business cannot fund itself when expanding and it will need investors.

Repairs

Accidents are inevitable. Floods, fires, tornadoes, and hurricanes can cause havoc on the business. Insurance may cover most of the damages, but there will be a need for money to keep the business running when repairs are being done. Less disastrous events may call for large cash outlay. Sometimes when the equipment becomes outdated and needs to be replaced, sponsors can come handy to cater for the costs when the business is not able to maintain itself.

When financing is concerned, businesses can explore several options. Small business can attain traditional bank loans at high-interest rates. Getting a bank loan is not very easy. Debitum Network is here to save small business and connect them to investors. Interested investors may have a look at your request and offer you a loan at lower interests. The platform is going to reduce the barriers and control imposed to businesses by banks and financial institutions.

Network website: https://debitum.network/

Whitepaper link: https://debitum.network/whitepaper

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