Frequently Asked Questions

You’ve got questions? We’ve got answers!

FUNDER’S FAQs

Is Acudeen registered by any government body?

Yes, Acudeen is a SEC-registered corporation as a technology platform.

What are the basic qualifications to become an Acudeen 'Funder'?

For Individuals

  • You need to be at least 18 years old to participate. Both Filipino and Foreign nationals are eligible.

 

For Institutions

  • Both local and foreign financing, asset management or investment firm are eligible to participate.

How does Acudeen assess its Sellers and Payors?

There are two sides of the assessment and evaluation:

 

Payor Payment Score

  • Payors, which pertain to the clients of the Invoice Sellers, are the focus of the assessment. Acudeen partnered with selected Credit Bureaus to use their historical data as part of its vetting framework, combined with the risk of delay and default of a transaction based on the experiences of the Payor and the Seller.

 

Seller Reputation Score

  • This is gained from initial registration to actual platform participation of invoice sellers ensuring the integrity and quality of the companies joining the Acudeen platform.

How much do Funders earn from buying receivables?

The Acudeen online marketplace allows Funders to bid for specific invoices of their choice, all of which has been verified by Acudeen. The average earnings of our Funders are between 15-25% per annum.

APPLICATION

How do I sign up as a Funder?

  • Sign up for the Acudeen platform.
  • Verify your email.
  • Complete your ‘Know-Your-Customer’ (KYC) requirements/documents.
  • Fill in and verify your bank details.
  • To activate your account, you have to deposit a minimum of 50,000.00 PHP to your e-wallet. Please note that the minimum deposit requirement is only for the initial deposit. There is no minimum amount for the subsequent deposits.

What are the KYC requirements?

Corporate Funder

  • Personal Information
  • Business Information
  • Character References (Personal / Business)
  • At least two (2) valid IDs
    • Passport
    • Driver’s License
    • Company ID / Certificate of Employment (if employed)
    • Etc. (TIN ID, PRC ID, NBI Clearance, Postal ID, Voter’s ID, GSIS E-Card, SSS ID, Senior Citizen Card, OWWA ID, OFW ID, AFP ID, HDMF ID, NCWPD ID, DSWD Certification, Integrated Bar of the Philippines ID, Immigrant Certificate of Registration, Unified Multi-Purpose ID, Working Permit)
  • At least one (1) latest Billing Statement (personal / business address)
    • Utility Bills (i.e. Electric, Water, etc.)
    • Bank/Credit Card Statements
  • At least these Business Documents
    • SEC / DTI Registration (required)
    • BIR Permit (required)
    • Business Permit (Mayor or Barangay Permit, Business TIN, Articles of Incorporation, FATCA Form, GIS)

 

*We only accept JPEG, PNG, and PDF file type with a maximum of 5MB per file.

 

Individual Funder

  • Personal Information
  • At least two (2) valid IDs
    • Passport
    • Driver’s License
    • Company ID / Certificate of Employment (if employed)
    • Etc. (TIN ID, PRC ID, NBI Clearance, Postal ID, Voter’s ID, GSIS E-Card, SSS ID, Senior Citizen Card, OWWA ID, OFW ID, AFP ID, HDMF ID, NCWPD ID, DSWD Certification, Integrated Bar of the Philippines ID, Immigrant Certificate of Registration, Unified Multi-Purpose ID)
  • At least one (1) latest Billing Statement
    • Utility Bills (i.e. Electric, Water, etc.)
      • If the billing is addressed to a different person, you must request an authorization letter validating that you are a resident of your current address.
    • Bank/Credit Card Statements

 

*We only accept JPEG, PNG, and PDF file type with a maximum of 5MB per file.

How can I fund my account/wallet?

Depositing your funds is easy. Simply follow these steps:

 

  1. Proceed to the nearest Unionbank branch in your area or transfer your funds thru online banking.
  2. For over-the-counter transactions, fill out a Bills Payment Slip. Deposit your desired amount to the following details:
    • “Payment For” input “Acudeen Technologies Inc” or 0000-10121936″
    • Reference Number” simply write the word “Invest”.
  3. Make sure to segregate Cash and Check payments.
  4. After depositing, login to our platform.
  5. Click the “Deposit” menu on your sidebar.
  6. Fill up the fields shown in the “Add Fund” tab and upload the deposit slip.
  7. Then within 24 hours (working days), Acudeen will verify and process your deposit.

 

Please be advised that there will be a minimal fee of ₱10.00 for over-the-counter(OTC) transactions when depositing your funds. For Unionbank online banking transactions, it is free of charge. Simply use the same information as above.

 

Online transfer is possible with other banks as well. Though, process may differ depending on the bank you use and so we highly suggest contacting your bank itself for the correct steps on sending your funds to Acudeen’s Unionbank account.

 

If remittance channel will be used, these additional information may be needed:

 

Unionbank Makati Branch Address: SSS Building Ayala Avenue corner V.A., V.A. Rufino St, Makati, Metro Manila

 

Swift Code: UBPHPHMM

 

Note: Funding through remittances, depending on the country of origin and remittance channel used, verification may take 5 to 7 days.

BUYING RECEIVABLES

How do I begin Buying?

  • First, you must log in to your account.
  • Once you have funded your account (a minimum of PHP 50,000 during your initial deposit), you can start participating in the auction. You can browse for the receivables for sale in the “Marketplace” menu on the sidebar of your dashboard. We will constantly remind you via email at least two (2) days before the next auction, so you have enough time to deposit funds in your account.
  • To bid, your e-wallet balance should be equal to or more than the face value of the invoice you are bidding for. So if you are bidding for a receivables worth PHP 100,000.00, your e-wallet balance should be equal to or more than this amount. Otherwise, you will not be able to bid for that particular receivable.
  • The exciting part of the auction is the competition. Remember that you are competing with other Funders during the auction, and someone may also be eyeing to outbid your current bid.
  • Once you have placed a bid on a receivable, an amount equal to half of the invoice value will be held (meaning, you cannot use that amount to bid for other receivables) until the auction is done or someone outbids you.
  • In case you win the auction, Acudeen will take the full amount from your e-wallet and the awarded invoice will be assigned to you (a Deed of Assignment will be sent to your email after the auction). If you are unsuccessful in the auction, the amount held from you will be given back to your e-wallet, so you can participate in the next bidding. You can bid as many invoices as you want as long as you have enough balance in your e-wallet.

As Funders, what are we buying?

As corporate/individual Funder in our platform, you will be funding invoices of SMEs that are in need of additional working capital to grow their business.

 

This practice, commonly known as factoring/invoice discounting is a financing option for SMEs with a lot of receivables for their services or products because they have to wait for 30-90 days before they get paid by their clients (this is the standard in terms of payment across many industries in the Philippines).

 

By buying receivables, you will be a catalyst for the growth of SMEs so they do not have to wait for them to get paid. This will help them grow the business faster; an alternative investment platform.

What happened & how long is the bidding/auction of the receivables?

Funders will bid out for the invoice and the winner with the closest bid to the X% (of invoice value) ceiling price wins. The bidding starts at 9:00 AM and ends at 3:30 PM (GMT +08:00) every Monday to Friday.

How much is the average value per invoice?

The invoices are sold as one is to one, which means one invoice will be sold to only one Funder. Invoice value in the marketplace ranges from 10,000 PHP – 5,000,000 PHP. Average invoice amount is between 250,000 – 500,000 PHP.

How are discount rates determined?

Acudeen determines the floor price for the bidding of the invoices, which varies depending on the delay and default risk of an invoice. The higher the risk of the invoice, the higher discount rates, higher returns and of course, low risk means low discount rates, low returns.

Why does the Face Value of the invoice differ from the Invoice Amount in the physical invoice copy?

These are just the common reasons for this:

 

  1. Withholding Tax and/or VAT is already deducted from the Invoice Amount.
  2. Invoice Sellers subtract all other applicable fees/deductions to the invoice value (i.e. promotion fees, marketing fees, etc.)

May I know the details of the Seller before I buy the receivables?

Before and during the auction, we can disclose the name of the SME’s client(s). Rest assured, the company’s public data will be provided to you. In addition, their risk scores of delay or default payment will be included. You may also email us and request for a Payor x Seller report to get additional information about the company.

What are the fees associated with buying invoices?

25% (service fee) of your gross earnings will be deducted as part of Acudeen’s service fee.

 

*Exclusive of the 12% VAT of the 25% service fee.

Is the gain on purchase of invoice I earned taxable?

Yes, the gain on purchase of invoice is taxable and can be considered as another source of income (assuming that the FUNDER has a main source of income).  Your earnings will be booked under  Other Income and are subject to normal tax to the BIR. It will be your responsibility to declare your earnings and income from transacting in the Acudeen Platform.

 

*Foreign Funders are still subjected to VAT of Acudeen’s service fee.

Can I cancel an invoice that I have already bought?

Once you have bought an invoice, you cannot cancel it. This is to be fair with the SMEs, as an attempt to back out from such agreement would disrupt the whole business process. With this, we highly suggest that you properly review all available invoices for auction/sale before confirming.

How can I withdraw my profit?

First is to add and verify your bank account:

 

  • Login your account to the Acudeen platform.
  • On the upper right corner of your dashboard, click the user profile icon. On the drop-down menu, click ‘Bank Information’.
  • In the Bank Information page, click the ‘Add Bank’ button and supply all the required bank details.
  • Once the new bank account is added to your bank list, click the “Send Verification” button. Acudeen will deposit a randomly generated amount to your newly added account.
  • Check if you received the generated amount in your bank account.
  • Note the generated amount you received. Then, go to the Bank Information page again.
  • Click the ‘verify’ button to the newly added account. Then, input the exact generated amount.
  • If successful, a prompt will confirm that your bank account is verified.

 

*Please avoid making use of special characters such as ‘-‘,’.’, etc.

*Refer to the Annex A for the format for each bank.

 

Second is to request for withdrawal of funds:

 

  • In your sidebar, click ‘Withdraw’ menu
  • Fill in the necessary details
  • Click ‘Continue’ button
  • A confirmation will prompt you that the request is successful.

 

*The maximum amount for withdrawal is 500,000.00 PHP. For withdrawal requests more than 500,000.00 PHP, you can make a separate ticket. You can add up to 3 bank accounts and once added you can just repeat the process of withdrawal of funds.

 

*Depending on the bank, you can get the amount in as fast as real-time (UB accounts) 2 to 3 banking days (other banks).

Which banks are accepted for withdrawal?

ASIA UNITED BANK MAYBANK PHILS.,INC.
AUSTRALIA & NEW ZEALAND BANK MEGA INTL COMML BANK CO. LTD
BANCO DE ORO UNIBANK, INC. METROPOLITAN BANK AND TRUST CO
BANGKOK BANK PUBLIC CO., LTD. MIZUHO BANK,LTD.
BANK OF AMERICA, NAT’L. ASS’N. MUFG BANK, LTD
BANK OF CHINA PHIL. BANK OF COMMUNICATIONS
BANK OF COMMERCE PHILIPPINE NATIONAL BANK
BANK OF THE PHILIPPINE ISLANDS PHILIPPINE SAVINGS BANK
CHINA BANK SAVINGS PHILIPPINE TRUST COMPANY
CHINA BANKING CORPORATION PHILIPPINE VETERANS BANK
CITIBANK, N. A. RIZAL COMMERCIAL BANKING CORP.
CTBC BANK (PHILIPPINES) CORP. ROBINSONS BANK CORPORATION
DEUTSCHE BANK SECURITY BANK CORPORATION
DEVT. BANK OF THE PHILIPPINES SHINHAN BANK
EAST-WEST BANKING CORPORATION STERLING BANK OF ASIA
EQUICOM SAVINGS BANK, INC. SUMITOMO MITSUI BANKING CORP
FIRST CONSOLIDATED BANK THE STANDARD CHARTERED BANK
HK AND SHANGHAI BANKING CORP. TONG YANG SAVINGS BANK,INC.
INDUSTRIAL BANK OF KOREA – MANILA UNION BANK OF THE PHILIPPINES
JPMORGAN CHASE BANK UNITED COCONUT PLANTERS BANK
JPMORGAN CHASE BANK UNITED COCONUT PLANTERS BANK
KEB HANA BANK UNITED OVERSEAS BANK PHILS.
LAND BANK OF THE PHILIPPINES

How do I minimize the risk?

Like any other investment, we encourage our Funders to diversify your investments in different invoices. If you plan to buy in a low scored invoice, we highly suggest you also back it up with conservative invoices to even the odds.

When is the repayment made?

Repayment is made after a clearing period once the invoice falls due. Acudeen has a prescribed number of business days to clear the payment.

 

  • Check Payments from Client/Payor – 5 business day clearing
  • Wire Transfer Payments from Client/Payor – 2 business day clearing

Who handles the collection?

  • Acudeen collects from the Payor on behalf of the Seller for the Funder.
  • From the collection.

What is the default rate?

Currently, our default rate is 0.01% for 2018

 

We are not accepting invoices that have risks of default. It is very important for us to make sure that our default rates in the platform are within banking/financing standards.

What happens if the invoice repayment defaults?

In the rare event of a default, Acudeen is on standby to pursue fund collection. If it fails, we would assist our Funders in taking legal action to exercise the rights on the invoice. As the Funder you have the legal and collection recourse from the Seller, being the owner of the invoice.

 

Based on Acudeen’s standard procedure our Collection Team will start following up the Payor and update you as well thru email for the payment of the invoice 10 days before the original due date until It reaches the expected due date.

 

The Seller of the receivable signs an undertaking and assume total and absolute responsibility for the non-payment of the Payor or for whatever deficiency in payment, regardless of the cause or basis of such deficiency. The Seller is also required to submit PDCs equivalent to the amount of invoices sold in the platform.

Who are your Legal Team?

  1. Telan, Hipe, Flores, Telan and Associates Co. (Telan Law) – for collections & litigations
  2. EMSSAVVIL – is our Legal counsel

What legalities have you set to be able to ensure the invoice subrogation and payment?

The seller is bound by their contract with Acudeen to transfer the collection and economic rights of the invoice to the Funder of the invoice. Also the Seller and Payor are now bound by the newly signed Personal Property Security Act (PPSA) wherein Acudeen will now be able to perfect a transaction thru registration or possession of the assets, for this instance – receivables.