How CashSouk works
CashSouk is a marketplace where businesses finance invoices and investors fund those opportunities after CashSouk review.
Who uses CashSouk
Issuers are businesses that apply for financing against invoices. An invoice is a request for payment the issuer has sent to its customer.
Investors are people or companies that add cash and, if they choose, commit that cash to a listed financing opportunity.
The CashSouk team reviews organisations, applications and listings, and administers funding, disbursement and settlement. Review and funding are not automatic and are not guaranteed.
Facilities, invoices and notes
A facility is an approved financing limit. After a facility is approved, the issuer can usually apply to finance further invoices under that limit (a drawdown), subject to the terms shown in the portal.
An issuer can also apply for standalone invoice financing without a facility.
A note is the financing opportunity listed for investors. Each note is tied to an approved invoice. Investors see the listing in the marketplace. Issuers see listing progress such as Pending listing, In progress, Funded and Active. Funded means the listing closed. Disbursement follows activation; it is not the same step.
Tenure is how long the financing runs. It is normally counted from disbursement, not from the day you apply.
Short definitions of these words are in Key terms explained.
Who pays whom
Investors first add their own cash. Confirming an investment reserves that cash against the listing. If the listing does not reach its minimum funding threshold by the deadline, reserved cash is released back to available cash. If funding succeeds, reserved cash becomes a confirmed investment.
After successful funding and the required checks, a trustee (an independent party) is instructed to pay the disbursement to the issuer. An unsuccessful listing does not proceed to disbursement.
The paymaster is the issuer’s customer responsible for paying the invoice. The issuer can also pay on the paymaster’s behalf. The issuer reports payment in the portal with a reference and proof. The CashSouk team verifies receipts before settlement.
At settlement, repayment is allocated. Investors receive returned principal plus net profit and any applicable Ta'widh (late-payment compensation). A service fee is taken from gross profit, not from principal. Money left after investors, fees and applicable charges is the residual. The trustee is instructed to make the relevant payouts.
Profit is the investor’s earnings. CashSouk does not call this interest.
Shariah structure
The note prospectus names the Shariah principle Bai' Al-Dayn Bi Al-Sila'. The legal documents you accept, and the prospectus on each note, set out the terms that apply to you.
This article is a plain overview only. It is not legal advice, a Shariah ruling, or an investment recommendation. It does not promise returns, approval, funding or timelines.
What you will see
Issuers start from Apply for financing after onboarding. Investors start by adding cash with Add cash, then browse listings. Both sides use references such as APP-, CON-, INV-, NOTE- and WDL- when talking to support.
Common questions
Does CashSouk lend its own money?
No. Investors fund notes with their own cash. CashSouk reviews and administers the process. The trustee is instructed to make relevant payouts.
What happens if a listing does not reach its minimum?
Reserved cash is released back to available cash. The listing does not proceed to disbursement.
Who pays investors back?
Repayment comes from the invoice payment — usually the paymaster, or the issuer paying on the paymaster’s behalf. After the CashSouk team verifies receipts, settlement allocates amounts to investors and any other parties named in the terms.
Is every application or investment approved?
No. The CashSouk team reviews organisations and applications. Listings may or may not reach the minimum funding threshold. The portal shows the live status for your record.