Global Payout Inc (OTCMKTS:GOHE) Needs to Prove Itself

Global Payout Inc (OTCMKTS:GOHE) has not had much popularity in the last year. The sudden spike in its price in December to $0.11 last year was quickly followed by a massive fall back to the $0.025. In this piece, we cover the details relating to the firm and recent developments in the last month.Here is the stock’s price movement over the last year: GOHE Daily ChartCompany ProfileGlobal Payout, Inc. was established in July 2009 and is headquartered in San Diego, California.The firm is a software technology company providing solutions to modernize the emerging Fintech market. It also engages in the provision of payment processing services. It offers payment system consulting and merchant processing services, customized payment and mobile banking solutions, foreign exchange and overall network management and global remittance network. For nearly a decade, the firm has been the foremost provider of complete and personalized prepaid payment platforms for local as well as global institutions allocating funds worldwide. Four years ago, Global Payout Inc. introduced its first online payment solution to be known as Consolidated Payment Gateway (CPG), which enabled its enterprise clientele to send money to prepaid card accounts, mobile accounts, and international bank accounts.The creation of this platform turned out to be the foundation for the introduction of its new, ultramodern FINTECH payment solution by 2016, for both mobile and online applications to enable account holders to maximize an extended suite of financial services and optimize operational costs. The firm plans to continue to offer its FINTECH payment platform to as many vertical markets for support of digital currency exchange and foreign currency, which includes ongoing support of the banking sector and international governments.For more information on the company, visit our post here.Recent DevelopmentsThe firm’s subsidiary SecurCapital Corp announced that it had received an official Letter of Intent from a global contractor in Virginia for it to provide the client with supply chain financial services internationally all through a two-year appointment.Chief Executive Officer, Stephen Russel outlined that due diligence had been concluded and was a sign of a possible funding opportunity by the end of February when transactions were expected to commence. He mentioned that there was added significance about the revenue event as a result of the fact that it is a function of a ground-breaking method for creating secured leverage of huge value and alluring credit quality.He further added that more opportunities of such financing scale and quality with the client and other business partners within the vertical market are forthcoming and management was very pleased to have received the Letter of Intent which the firm into a highly lucrative market.Chief Executive Officer of Global Payout Inc., James Hancock explained that the company is mainly focused on both traditional and non-traditional fintech original solutions for its clients as this conforms to Global Payout's strategic focus on underserviced financial markets.The SecurCloud Platform which was developed by SecurCapital is a fully configurable, "banking-in-a-box" cloud-based customer solution offering trade receivable securitization, structured non-traditional financing, global payments, foreign exchange processing, enhanced security, advisory supply chain services, M&A, insurance and strategic global partnerships.SecurCapital is a Fintech firm which supports businesses and individuals in the business processes using its supply chain finance offerings. The firm prides itself on its use of advanced technology solutions to ease payments and exchange of funds.In the same month, the firm also announced that it had appointed as its new President and Executive Vice President of Sales, Bill Rochfort over its newly set up logistics subsidiary, SecurCapital Corp. which has its head office in Los Angeles, a prominent global commerce hub. Through its unique "one-click solution", the subsidiary is to operate SecurCapital’s logistics supply chain finance services by providing Blockchain and Fintech services in the lucrative logistics market.Financial PerformanceBased on the firm’s statement of comprehensive income, it failed to grow its revenues in 2016, which dropped by 9% from 2013 and falling from $0.14 million to $0.12 million. The thin income statement and balance sheet quickly reveal that the company still is in the development phase. It also continued its trend of gross and operating losses. At the end of the year, the firm had a net loss of $2.9 million, continuing another trend.The firm is not too highly leveraged with debt-equity ratio just above 1 Its dangerously low liquidity of 0.07 may be seen a worrying indicator of a new capital raise except shareholders can find a way to inject fresh capital into the business.ConclusionGOHE is a player in a market that has remained under heavy scrutiny since the advent of cryptocurrencies. However, with its reliable management, Global Payout is widely expected to remain on the right track in the days to come.We will be updating our subscribers as soon as we know more. For the latest updates on GOHE, sign up below!Disclosure: We have no position in GOHE and have not been compensated for this article.