Tallysticks is a software that leverages distributed ledger technology to make invoicing, invoice financing and invoice securitisation more seamless and efficient. The software does this by integrating with ERP/accounting systems to create a shared (yet permissioned) ledger of immutable invoice records and related payment confirmations. Using the smart contracts functionality of distributed ledger technology also enables auto-reconciliation of payments to corresponding invoices.

With an immutable ledger of invoice records, trusted invoice records (signed by both parties) can be more readily submitted for financing to an integrated lender. And with an integrated solution like Tallysticks, the lender is assured of receiving a digitally signed and agreed invoice record, thereby increasing transaction transparency which reduces the risk of operational fraud and error.

When the buyer/debtor eventually pays a financed invoice, Tallysticks routes the payment directly to the lender's bank...
Tallysticks is a software that leverages distributed ledger technology to make invoicing, invoice financing and invoice securitisation more seamless and efficient. The software does this by integrating with ERP/accounting systems to create a shared (yet permissioned) ledger of immutable invoice records and related payment confirmations. Using the smart contracts functionality of distributed ledger technology also enables auto-reconciliation of payments to corresponding invoices.

With an immutable ledger of invoice records, trusted invoice records (signed by both parties) can be more readily submitted for financing to an integrated lender. And with an integrated solution like Tallysticks, the lender is assured of receiving a digitally signed and agreed invoice record, thereby increasing transaction transparency which reduces the risk of operational fraud and error.

When the buyer/debtor eventually pays a financed invoice, Tallysticks routes the payment directly to the lender's bank account instead of the borrower's bank account. So, there is no longer the need to set up a trust/escrow account, and the supplier no longer needs to inconvenience it's buyers about changing payment instructions, which can be a very difficult task. Ultimately, this removes the need for a number of lender imposed mandates that inhibits borrowers from accepting invoice financing.

Beyond financing, a lender can securitise financed invoices using the Tallysticks securitisation module. Of course, by selling tranched invoices into a secondary market, lenders can reduce balance sheet risk while increasing balance sheet liquidity. And because smart contracts are used for origination, the custodial and settlement process associated with securitisation underwriting and agency management are largely automated.

For more information about Tallysticks, please visit this link (vimeo.com/165885141/a575488e11). The video describes the challenges of invoice financing, how Tallysticks addresses those challenges and the long-term ambition of the company.

On a final note, much of the process flow associated with invoice financing and securitisation is also applicable to leasing and associated securitisation. Therefore, we see two paths for product commercialisation.
More information

Investors

Admin
Barclays Accelerator FinTech Accelerator

Join the team

Recommendations

Chris Adelsbach

Tallysticks is one of the most exciting blockchain companies we have unearthed. Unearthed is probably a poor choice of words as Kush and Adi are flying high - using appropriate technology to solve real-world problems for literally, hundreds of thousands of businesses globally. When I travel and speak to VC's, thought leaders and CTO's - many of them have already identified Tallysticks as a company they NEED to meet and those that haven't readily accept an introduction to them. I'm so excited that I've been a part of their journey to date and am bullish about their future success.

Angus McLean Partner at Simmons & Simmons

In an environment where everybody is talking about the potential of blockchain but very few people have yet demonstrated a killer use case, the concept behind Tallysticks stands out. I consider Tallysticks to be one of, if not the, most exciting new FinTech businesses I have seen in the last 12-18 months. Kush and Adi's solution is simple, scalable and has the potential to significantly improve a process and pain point for thousands of businesses. I am very excited about their prospects for the future.

sebastian luparia

When Kush approached me about investing in Tallysticks in late September, I wasn't completely convinced about his idea, largely because I wasn't sure about blockchain technology. However, after working with Kush and Adi as an (unpaid) advisor since mid-October, I now realise that Kush and Adi's vision for leveraging blockchain functionality to improve the supply chain processes is fantastic. In response, I not only invested in Tallysticks, but corralled a group of sophisticated investors to help the venture raise capital as well as engage senior corporate contacts. As I am an advisor to Tallysticks, I have the luxury of being directly aware of Kush and Adi's ability. Indeed, part of Kush and Adi's success is attributed to the interest in blockchain technology, but a healthy portion of interest in Tallysticks is due to the extraordinary design and efficient development of Tallysticks as well as the pair’s ability to communicate the venture and their ideas in a coherent context.

Fernand Lendoye Group Integration and Transformation Strategy Director at Aviva

Over the past few weeks, I had the opportunity to get to know Kush and Adi. The duo offers a great blend of tech and commercial savvy. They’ve shown a knack for drawing out ideas from others, building on them and ultimately articulating potential blockchain enabled commercial opportunities. I was really impressed by their insights and deep knowledge of blockchain, especially their ability to distil the intricacies of blockchain and provide clarity around some of its key benefits – immutable record keeping, anonymity and smart contracts – and how the technology could upend existing business models.
I believe Tallystics provides a scalable business solution that harnesses the disruptive power of blockchain and could form the kernel to develop blockchain enabled enterprise technology solutions. They would be a great addition to the roster of start-ups that are part of the F6S community.