The Paygevity, Incorporated offering is now closed and is no longer accepting investments.

Paygevity, Incorporated

A Supply Chain, FinTech Payment Company

Regulation Crowdfunding
New York, NY
Business to Business
Accepting International Investment
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An Investment in Paygevity is an Investment in the Future of America's Supply Chain Community

For the last 50 years, large corporations all over the world have been paying their suppliers in 45, 60, 90 and even 120 days (McKinsey&Company).  If you have ever supplied a good or service to a large corporation, you know exactly how painful this long waiting period is to your business (and your family). Our findings show that large corporations are late payors to their suppliers, but it is not because they don't have the cash.  It's just the opposite.  Some of the largest corporations in the U.S.A. that are late payors have billions of dollars of cash on their balance sheets (McKinsey&Company).  Corporations are late payors to their suppliers because they would rather use their cash in ways that maximize their shareholder value rather than paying their suppliers on time.  For example, corporations typically use their hoards of cash for capital expenditures, research & development, investment in new business units, acquisitions, share buybacks, raising their dividends, etc.  These uses of cash contribute directly to maximizing a corporation's shareholder value.  

Paying suppliers on time can be described as an "ethical and noble" business practice; however, it does nothing to maximize a corporation's shareholder value.


Who suffers because of these late payment cycles?  The (small business) supplier suffers!


How can a small business supplier wait 90 days to get paid from their large corporate customer?  They can't!  Suppliers have to make payroll to their employees every 14 days, buy inventory, keep the lights on and run their operations on a daily basis.  Where do suppliers go in order to carry them (or float them) during these long payment cycles?  Suppliers have gone to various commercial bank branches and requested a working capital loan.  Unfortunately, these loans, called "Factoring Loans" or "Working Capital Loans," carry "crippling" terms and conditions on the supplier's business -- (1) high interest rates, (2) high fees, (3) personal guarantees required (i.e. pledging one's house as additional collateral), and (4) very low Loan-to-Value ("LTV") advance rates (typically 70% - 80% of the invoice/account receivable amount).

Solving an efficient supply chain problem, decades in the making, is hard to fix overnight.  We need your help to rebuild the backbone of this country -- small business! 


The inspiration behind Paygevity is to help small businesses get paid immediately on their invoices and disrupt the "vulture-like" commercial banking industry.  The company name originates from a core financial principle: paying businesses promptly leads directly to the longevity of a business.  Paygevity is able to transform the supply chain industry through financial and technological innovation.  With the explosive growth of Paygevity's fintech payment platform, PromptPay, a small business supplier no longer has to wait 45, 60, 90 or 120 days to get paid on their invoices.  Such suppliers no longer have to take out a "crippling" working capital loan to survive.  Paygevity, through the help (and capital) of its 3rd-Party Funding Partners on Wall Street, is able to pay ALL suppliers IMMEDIATELY on their invoices at slight discounts. 

The Offering

Convertible Note Il Minimum $500.00 (US)

Note converts to Series CF Preferred Stock when the company raises $1,000,000.00 or more in a priced round.

Maturity Date: 12/31/2020

$11MM Valuation Cap 

17.5% Discount Rate 

4.00% Interest Rate*

*Annual Interest Rate subject to adjustment of 10% bonus for StartEngine shareholders. See 10% Bonus below.


What is a Convertible Note?

A convertible note offers you the right to receive Series CF Preferred Stock in Paygevity Inc.. The amount of Series CF Preferred Stock you will receive in the future will be determined at the next equity round in which the Company raises at least $1,000,000.00 in a qualified equity financing. The highest conversion price per security is set based on a $11,000,000.00  Valuation Cap or if less, then you will receive a 17.5% discount on the price the new investors are paying.  You also receive 4.0% interest per year added to your investment.  When the maturity date is reached, if the note has not converted then you are entitled to receive Series CF Preferred Stock equal to your investment and interest back at a price per security determined by dividing the Valuation Cap by the aggregate number of outstanding equity securities of the Company as of immediately prior (on a fully diluted basis).


See the Offering Document below for additional rights and preferences of the Preferred Stock these notes will convert into.

Solving an Inefficient Supply Chain Problem, Decades in the Making, is Hard to Fix Overnight

Your investment capital is going to fix this problem and rebuild the backbone of America -- small business! Here is a list of some of the progress we have made to date: 


  • Paygevity has completed the development of its proprietary PromptPay workflow product/platform.  
  • PromptPay has launched, is "live," and is in Minimum Viable Product (MVP) status.  
  • Paygevity has 4 "live" mandates from 4 different clients (large corporations/buyers) to join its platform.
  • 2 clients are publicly-traded, and 2 clients are owned by Private Equity Funds.
  • Revenue capture is expected to start in January 2019.
  • Paygevity has already raised over $1.5 million in its first Convertible Note.


For the table above: We expect our cost of producing such revenues to be around 50%.


Paygevity PromptPay

Paygevity's PromptPay Technology Platform "Collapses the Window of Time" between a Corporation's Approval Date of an Invoice and the Actual Payment Date to that Supplier

There's a "supply chain fact" that is not known by most people.  The fact is that most corporations approve invoices from their suppliers immediately; however, they do not pay their suppliers for 45, 60, 90 or 120 days.  This is a lengthy "window of time" to wait in order to get paid.  Through Paygevity's technological innovation, this window of time collapses.  In other words, as soon as a corporation automatically notifies Paygevity's technology platform that it approved an invoice (i.e. the supplier's goods or services are satisfactory to the corporation), the supplier gets paid instantaneously.

Paygevity is selling working capital flexibility to both the supplier and the corporation.  Suppliers get paid immediately on their invoices at very slight discounts, and corporations are able to further extend their Days Payable Outstanding ("DPO") to 120 days and beyond. In addition, financial institutions gain access to a new credit-based asset class.  It's a Win-Win-Win business model! 

What Makes Paygevity Unique?


  • Disruptive to existing commercial banking and factoring sectors 
  • Industry receptive to innovation 
  • Highly scalable business model  
  • High-margin technology business model  
  • 3rd-Party Funding Partners on Wall Street provide the capital for payments to suppliers 
  • Win-Win-Win Business Model--Working Capital Flexibility to suppliers and corporations 
    • Corporations can extend their Days Payable Outstanding at NO COST
    • Suppliers get paid immediately at very low discounts to their invoices without ever posting collateral  
    • Financial Institutions get access to and earn recurring revenue from a new and large asset class 

A $2.0 Trillion Market

McKinsey Report, October 2015


We Need Your Help to Rebuild the Backbone of this Country -- Small Business

What is most compelling for investors?  It's that Paygevity: 

  • Has the ability to scale very quickly. 
  • Has a recurring revenue business model.
  • Will demonstrate high margins.

In the Press

WeWork Labs Selects Paygevity for its Incubator Program
April 19, 2018

WeWork Labs Selects Paygevity for its Incubator Program. Paygevity Moving its Headquarters to Midtown Manhattan’s “Billionaires Row” — Next to Carnegie Hall

Offering Summary


Company

:

Paygevity Inc.

Corporate Address

:

142 West 57th Street, 7th Floor, New York, NY 10019

Offering Minimum

:

$10,000.00

Offering Maximum

:

$101,434.19

Minimum Investment Amount

(per investor)

:

$500.00











Terms


Offering Type

:

Convertible Promissory Notes

Type of Equity Converted Into

:

Series CF Preferred Stock

Conversion Trigger

:

$1,000,000.00

Maturity Date

:

December 31, 2020

Valuation Cap

:

$11,000,000.00

Discount Rate

:

17.5%

Annual Interest Rate

:

4.0%
















What is a Convertible Note?

A convertible note offers you the right to receive Series CF Preferred Stock in Paygevity Inc.. The amount of Series CF Preferred Stock you will receive in the future will be determined at the next equity round in which the Company raises at least $1,000,000.00 in a qualified equity financing. The highest conversion price per security is set based on a $11,000,000.00  Valuation Cap or if less, then you will receive a 17.5% discount on the price the new investors are paying.  You also receive 4.0% interest per year added to your investment.  When the maturity date is reached, if the note has not converted then you are entitled to receive Series CF Preferred Stock equal to your investment and interest back at a price per security determined by dividing the Valuation Cap by the aggregate number of outstanding equity securities of the Company as of immediately prior (on a fully diluted basis).



*Annual Interest Rate subject to adjustment of 10% bonus for StartEngine shareholders. See 10% Bonus below

The 10% Bonus for StartEngine Shareholders

Paygevity will offer 10% additional bonus interest for all investments that are committed, within 24 hours of this offering going live, by StartEngine Crowdfunding Inc. shareholders who invested over $1,000 in the StartEngine Reg A offering which closed earlier this year.

StartEngine shareholders who have invested $1,000+ in the StartEngine Reg A+ campaign will receive a 10% increase in the annual interest rate on Convertible Promissory Notes in this Offering if they invest within a 24-hour window of their campaign launch date. For example, if invest in the first 24 hours, your annual interest rate will be 4.4% instead of 4%.   

This 10% Bonus is only valid for one year from the time StartEngine Crowdfunding Inc. investors receive their countersigned StartEngine Crowdfunding Inc. subscription agreement.

Irregular Use of Proceeds

The Company will not incur any irregular use of proceeds.

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Risks

A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment. In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document. The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature. These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.


Updates

Today is the Last Chance to Invest in Paygevity -- Our Campaign Closes Today (Tuesday, April 30th)

5 months ago

My contact info is below.  Please reach out to me at anytime.


Thank you,


Neil Rothenberg

CEO

Paygevity

142 West 57th Street, 11th Floor

New York, NY 10019

NR@paygevity.com

www.paygevity.com


Paygevity Surpasses $1.6 Million of Money Directly Raised from Investors (Away from StartEngine) -- Invest Right Now -- Campaign Closes Tomorrow (Tuesday, April 30th)

5 months ago

Paygevity surpasses $1.6 Million of money directly raised from investors (away from StartEngine).  Don't miss out.  Join our supply chain revolution.  This campaign closes tomorrow, Tuesday, April 30th.  

The Time to Invest is Right Now -- Paygevity's Campaign Closes Tomorrow (Tuesday, April 30th)

5 months ago

Please reach out to me at anytime.


Thank you,


Neil Rothenberg

CEO

Paygevity

NR@paygevity.com



Amazon Web Services -- Paygevity's Development and Deployment -- Invest Now -- Campaign Closes in 2 Business Days

5 months ago

With Only 3 Days Left to Invest Before Our Campaign Closes Paygevity Provides a Look Into its Tech Development

5 months ago

Paygevity Selected to Present to VentureCrush -- Invest Now -- Time is Running Out -- Campaign Closes in 4 Days

5 months ago

VentureCrushFGX is an invite-only, unique opportunity for VCs and Angels to see the best startups emerging on the New York City venture scene and beyond.  

Join our Paygevity Team of 80+ Worldwide Investors -- Time is Running Out -- Campaign Closes in 4 Days -- Ask Your Questions Now

5 months ago

Join the Revolution of Supply Chain Finance -- Time is Running Out to Invest -- 5 Days Left to Invest

5 months ago

Paygevity "Unleashes" a new $2.0 Trillion Working Capital Asset Class -- Time is Running Out to Invest -- 6 Days Left to Invest

5 months ago

To Date, Paygevity Has Raised North of $1.7 Million from Over 80 Different Investors All Over the World -- Campaign Closes in 7 Days

5 months ago

Time is running out to invest.  Our campaign closes on April 30th.  Join our journey with 80 other investors to revolutionize the supply chain finance industry!  Help us make the world a better place for "mom & pop" suppliers.

Invest Right Now in Paygevity, a Highly Scalable and Revenue Recurring Business -- Time is Running Out -- Campaign is Closing in 8 Days

5 months ago

Our corporate client, a food manufacturer (Buyer), has asked Paygevity to reach out to hundreds of its suppliers to see if each one wants to get paid immediately on its invoices at a slight Discount.  Paygevity generates its monthly recurring revenue from the Discount, on each and every one of these suppliers that elect to get paid immediately. 

Invest Now!  Time is Running Out!  Campaign is Closing in 8 Days!


IBM Blockchain Partnership will Accelerate Paygevity's Growth -- Invest Now -- April Closing

5 months ago

PRESS RELEASE: IBM SELECTS PAYGEVITY FOR ITS BLOCKCHAIN DIGITAL MENTORSHIP PROGRAM -- INVEST NOW -- CAMPAIGN IS CLOSING

5 months ago

A Food Manufacturing Client of Paygevity -- Time is Running Out -- Join our Journey and Invest Now!

5 months ago

Our client in the food manufacturing sector has decided to "unleash" working capital cash "trapped" within its supply chain by becoming a client of Paygevity.  At the same time, and with the capital provided by one of Paygevity's many financial institutional partners, ALL of the suppliers to this food manufacturing client have the option to get paid IMMEDIATELY on their invoices.


Invest now and join our race to win the supply chain finance marketplace!

Paygevity Surpasses its Minimum Funding Goal -- Invest Now Before You Miss Out!

5 months ago

Your investment in Paygevity will bring B2C Simplicity to the B2B Marketplace!



Paygevity is Driven by a Purpose to Make the World a Better Place for "Mom & Pop" Suppliers -- Invest Now -- Time is Running Out

5 months ago

Don't miss out on the opportunity to invest in Paygevity -- thereby "democratizing" access to early payments on your invoices.   

Testimonial From an Investor in Paygevity -- Invest Soon Before Paygevity Closes its Campaign!

5 months ago

"As an Investor in Paygevity (and Supplier of services and benefits to many small and medium-sized businesses) I am a big proponent of supply chain sustainability.  Many of my clients serve as the “bank” for their large corporate clients and have to wait 90 to 120 days to get paid.  Paygevity solves this systemic problem with its PromptPay platform in an innovative way that is beneficial to all parties."


Craig Scurato , Founder DPC-XCHANGE


The Paygevity Team is Driven by a Purpose to Change the Status Quo -- It's a Fun Journey -- 20 Days Left to Invest

5 months ago

Come Join our Race to Win the Supply Chain Finance Marketplace -- The Race Has Just Begun -- 21 Days Left to Invest in Paygevity

6 months ago

Using a Laptop or Cellphone, the C-Suite will be Able to "Unleash" Working Capital Cash from their Balance Sheets -- Join the Revolution!

6 months ago

Major Stakeholders Praise Paygevity's Platform, PromptPay -- Invest in the Revolution of Supply Chain Finance -- 23 Days Left

6 months ago

Institutional Investors, Financial Institutions, Buyers and Suppliers Speak Highly of Paygevity's Platform, PromptPay.   


Paygevity Accelerates Value Creation and Sales with Technology -- Wisdom Begins with Wonder!

6 months ago

Our rich set of proprietary algorithms will end the tug-of-war that exists between Buyers and their Suppliers.   

The Carlyle Group's David Rubenstein Talks to Paygevity -- Join Our Journey to Revolutionize the Supply Chain Finance Industry

6 months ago

David Rubenstein, Co-Founder of The Carlyle Group, talks about the future of finance to Louis Young, Co-Founder and President of Paygevity.


The Carlyle Group is one of the world's largest and most successful investment firms.  It has over $216.0 Billion of assets under management and operates all over the world.


Your individual investment in Paygevity will help us revolutionize the Supply Chain Finance (SCF) industry!  



  

 

Paygevity Speaks at the NY Institute of Finance -- How to Revolutionize the Supply Chain Finance Industry

6 months ago

Investors in Paygevity are joining our journey to end the tug-of-war that exists between Buyer organizations and their Suppliers!

Paygevity Posts a Sample Supply Chain Finance Term Sheet -- Please Share it with 1, 2, or 3 Investor Contacts

6 months ago

Paygevity Seeks to Expand its Network of Financial Institutions -- Please Share Our Campaign with 1, 2, or 3 of Your FinTech Contacts

6 months ago

Paygevity Lists the Names of a Few Financial Institutions in its Supply Chain Syndicate

6 months ago

An investment in Paygevity is an investment in the future of America's supply chain community!

Please share our campaign with 1, 2 or 3 of your friends/investor contacts and let's CHANGE THE SUPPLY CHAIN WORLD -- TOGETHER!


The Mayor of the City of Ithaca, NY Discusses Pilot Program with Paygevity

6 months ago

Article on Paygevity from Baltimore Business Journal -- Page 2

6 months ago

Article on Paygevity from Baltimore Business Journal

6 months ago

Paygevity Launches on StartEngine!

6 months ago

Paygevity is re-defining supply chain finance and payments in a digitized world!

Can you imagine a world where corporate Treasurers and CFOs can free-up over $100.0 Million+ of its working capital cash from anywhere in the world with a click of a mouse?  Can you imagine that same world where suppliers to these corporations never have to wait 45, 60, 90, or 120+ days to get paid on their invoices?

Paygevity, with the help of all of its current investors, is already transforming the timing of supplier payments.  ....just ask a supplier how happy he/she is when he/she gets paid immediately on all of their invoices.

Through financial and technological (FinTech) innovation, Paygevity is solving an inefficient supply chain payment problem that has existed for the last half century!

An investment in Paygevity is an investment in the future of America's supply chain community!

Please share our campaign with 1, 2 or 3 of your friends/investor contacts and let's CHANGE THE SUPPLY CHAIN WORLD -- TOGETHER!

  


Paygevity Adds Blackstone Launchpad to its Growing List of Institutional Partners and Advisors

6 months ago

WeWork Labs Selects Paygevity for its Incubator Program

6 months ago

Paygevity Adds Blackstone Launchpad to Its Growing List of Institutional Partners & Advisors

6 months ago

Latest Addition Boosts Ability to Generate Long-term Value for PE-backed Portfolio Companies

At a Brown Advisory conference in Washington, D.C., Louis A. Young II, President of Paygevity, stated that “Private equity firms often move aggressively and successfully to improve the working capital management (WCM) when they take-over a company. Blackstone is definitely one of the best out there with over $300 Billion in assets under management (AUM).  Having Blackstone Launchpad advise [Paygevity] will only bolster our ability to generate long-term value for the PE-backed portfolio companies that we serve.”



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