Payver Limited

Executive Summary

February 2020 payver.eu

Introduction

PAYVER Limited (www.payver.eu) is the UK based company, which is FinTech

Advisory Office and registered small E- money Institution with FCA (UK) .

The company is powered by the founder and the director Mr. Dmitry Kozelkin,
who has been working with Financial Services companies of all sizes by
helping them develop practical, winning strategies for a dynamic market for
over 15 years.

PAYVER LIMITED FCA (UK) registration (license) : Payver Limited FRN 901016

1
The Team
▸ IT and Core Banking ▸ Internal AuditLegal
ADVAPAY OU Kyte Global ® Limited (Malta, UK)
▸ KYC/KYB/AML ▸ Accounting
Canopus Epaysuite platform Gibson Booth - Chartered Accountants (UK)
▸ Transaction Monitoring ▸ Legal
Computime Software Ltd (Malta) - Charles Russell Speechlys LLP (UK)
AXON Transaction Monitoring
▸ HR
▸ Compliance & Risk Management Boston Link (UK)
Franco Falzon & Associates (Malta)

2
 SMS
 ForEx
 Money transfer

Black lists providers Rates providers systems
Agents Merchants
Card 
 Payment gates &

POS-terminals SWIFT providers Bank & PSP systems

architecture Gates to external systems

SOAP API (including Agent API)

Agent Web App

Merchant API
Platform
Database interface

Workflow Workflow engine

Operator App
Mobile App
Types of documents
 Scenarios

(Meta-data) B siness processes)
( u

Rates & other data in real time Core

Accounts Tariffs Reporting
WebBank App

Client Balances imits

Admin App
L

Rates Posting

3
GUI (Adaptive WEB Desktop Interface)
Login screen

Accounts

4
GUI (Adaptive WEB Desktop Interface)
Transaction
history

Currency
exchange

5
GUI (Mobile, Native application Android & iOS)
Start screen Profile Accounts Transactions Payments

6
Current General Status
Legal Status

1. Approved and registered by FCA as small e-money institution including:

▸
to generate average outstanding e-money that does not exceed €5 million

▸ to generate average payment transactions turnover that does not exceed €3 million per month


(€36 million per annum)

2. Company’s trademark registered and brand-named protected for EEA

7
Current General Status
Business status

1. Business account opened with 4.


In progress Payment Facilitator Agreement with Wirecard 

Bank AG

▸ Bank of Ireland – (EUR), ▸ LPB, Latvia – (EUR)

5.


 Union Pay debit card program pre-approved. Pre-contracts 

2. Two safeguarding clients account for e-money issuing 
 with principal member, card processor, and card print & 

and payment services opened with post are in place.

▸ LPB, Latvia (EUR) 6. Contracts with internal auditors, compliance and risk 

management service provider, transaction monitoring, and 

3. In progress: clients safeguarding accounts with HR service providers are in place

▸ Bank of Ireland (EUR, GBP)

▸ Wirecard Bank AG (EUR)

8
Current General Status
IT status

1. Canopus IT platform ePaySuite at prelaunch stage including all gateways and cryptomodule

2. Branded GUI for web and mobile introduce

8
Payver’s Platform and gateways set-up (options)
Option 1 Option 2
Project acquisition (Licensed legal entity)
✓
✓

Core Banking with internal API for integration with Web and Mob app
✓
✓

AML Module
✓
✓

KYC Module (Client On-boarding and Management)

✓
✓

Exchange currency rates

✓
✓

Bank rates sources

✓
✓

SMS providers
✓ ✓

WEB Bank - front end application

✓

AML providers
✓

KYC Providers (Veriff)

✓

Mobile Bank - front end application (iOS &Android)

✓

Card Module (Issuing)

✓

Mobile OTP/MAC generator (mobile token)

✓

Card Acquiring (Card2Account payments)

✓

Card Deposit (Account2Card payments) ✓

GATEWAYS (Banks and Payment Systems)

SWIFT Alliance Lite 2

€ 10,000

Skrill (ex. Moneybooker)

€ 5,000

RietumuBank
€ 10,000

Bank of Lithuania
€ 10,000

Handelsbank
€ 5,000

ING Bank (Czech Republic)

€ 5,000

ING Bank (Poland)

€ 5,000

Currency Cloud
€ 10,000

WesterUnion € 10,000

OFFER € 250,000 € 350,000 9

SLA (prepaid annualy) € 40,000 € 40,000
Proposed Operating Cost: 12 months
(approximate evaluation)

Operating Cost Monthly, EUR* Annually, EUR*

Staffing (min 3 for EMI)

€ 15,000

* please note that all

UK Taxes (40%)
€ 10,000

Office & Utilities

€ 1,600
indicated values must be

Travel
€ 1,600
converted to GBP
Accommodation
€ 800

UK VAT (20%) € 1000

Total: € 30,000 € 360,000

Outsource services

Internal Auditor
€ 7,000

Compliance and Risk Management

€ 25,000

Accounting & Payroll

€ 10,000

Regulatory supervsion
€ 1,500

Advapay

a.
Consulting 100 EUR/h
€ 250

€ 25,000

b.
IT (SLA)
€ 40,000

c. IT development 60 EUR/h € 250 € 15,000

Total: € 123,500

Optional expenses

HR € 10,000 10
Proposed Development, Part 1
Road map Cost Assumed Timing
Stage 1 To obtain small Emoney License from FCA
Q1, 2020
The recruitment of key personnel (CEO, MLRO/Risk Manager, CFO/COO)
Inclusive (1-2 Option)

New Head Office establishment

Inclusive (1-2 Option)

Formal establishment of relationships (signing agreements) with partners (gateways and acquirers). € 5,000

Corresponding accounts opening per bank (safeguarding account)

monthly (min)
€ 1,000

Stage 2 Joining SWIFT (Swift Alliance Lite 2)

Q1,2020 - Q1, 2021
Registration fees
€ 2,000

Annual fee
€ 3,500

Sort Code registration



Contracting: Bacs Payment Schemes Limited, Faster Payments Scheme Limited (UK)
€ 20,000

Legal and Registration for IBAN, SEPA

€ 10,000
Deploying the standard configuration of CANOPUS EpaySuite and testing

Inclusive (1-2 Option)

Redesign, adjustment of tariffs, business processes, limits, AML, interaction with banks

Stage 3 Acquisition of Veriff services (remote ID Verification and Authentication Platform)

€ 5,000 Q2 - Q3, 2020
Integration of Veriff and SAGE with the CANOPUS EpaySuite

Inclusive (2nd Option)

MVP

11
Proposed Development, Part 2
Road map Cost Assumed Timing
Application to FCA to become regular EMI
€ 350,000
Q2 - Q4, 2020

Stage 4 optional Application to another EU jurisdictions (Ireland, Holland, Lithuania) to become regulated EMI
€ 350,000
Q2, 2020 - Q1, 2021

Advapay Consalting
€ 50,000
Q2, 2020 - Q1, 2022
optional Principal membership project

IPS: Card Program (Union Pay, VISA, Mastercard), issuing

UP (including one off 50K payment)

€ 150,000

VISA (including EUR 100K deposit)

€ 300,000
Q2, 2020 - Q1, 2021
MC (including EUR 100K deposit)
€ 300,000

Monthly (universal)
€ 6,000

Stage 5 Transaction fees (average)

1.00%

Interchange fees (average)

0.75%
optional Program Manager

Principal Member (UK)

Set-up
€ 30,000

Monthly € 8,000 Q2, 2020

12
Proposed Development, Part 2
Road map Cost Assumed Timing
Card Processor (UK)

Set-Up
€ 30,000

Monthly
€ 8,000
Q2, 2020
Stage 5 Card Production, personalisation, print and post

Set-up
€ 3,000

One Plastic Card

€ 3.50

Postage
€ 10.00

Transaction fees
1.00%

Interchange fees
0.75%
IT Developments

Development of gateways with acquirers

Inclusive with
Stage 6 Development of gateways with card processor
IT development Q2, 2020 - Q2, 2021
Development of gateways with correspondent banks

Features, functions and services customisation

Strategic alliances conclusion with messaging platforms, money remittance companies, and social Inclusive with Office
Stage 7 Q4, 2020 - Q4, 2021
networks for the distribution of the product operating cost

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Summary. Business Offer
Business Offer 1 Business Offer 2
Basic Option

1.
Licensed (Registered) sEMI
1.
Licensed (Registered sEMI)

2.
Basic Core Banking Platform (see Option1, page 9)
2.

Fully Flagged Banking Platform - ePaySuite (see Option2, page 9) with all 

3.
Approved professional Executive Director approved by FCA UK (current UBO)
gateways provided by Advapay for business development

4.
Transfer of ownership and directorship to be discussed
3.
Approved professional Executive Director approved by FCA UK (current UBO)

5.
Approval of the new UBO and Executives (6-12 months with FCA)
4.
Transfer of ownership and directorship to be discussed

6.
No extension to EMI (status remains sEMI)
5.
Approval of the new UBO and Executives (6-12 months)

7.
Required Investment: EUR 250K
6.
Extension to EMI

8. OPEX : EUR 12K/month 7. Required Investment:

1.
No Operation (no transactions),
1.
EUR 350K – EMI Capital requirements (must be kept on business account)

2.
No IT development,
2.
EUR 350K – company + approved director (UBO)+ ePaySuite

3. and limited IT support 3. EUR 70K – all gateways (optional)

8. OPEX: EUR 40K/month
1.
Operations (transactions & monitoring, AML/KYC)

Business Offer 3 2.
Full IT support,

Combination of the 1st and 2nd Offer

3. IT development

14
Proposed project acquisition flow
1. To choose the “platform setup package” (see page 9) and gateways set, which must be settled by following payment terms:
Stage 1 1. 50% advance payment after signing Advapay OU - Investor cooperation agreement
2. 50% payment of remained balance within 30 days after advance payment is collected (point 1)
Deadline 31.03.2020

1. To negotiate and sign “Trust Agreement” between Director and Investor

Comment: For frictionless continuity of the business development this is strongly advised to keep
Stage 2 formal ownership structure and directorship of Payver Limited remains unchanged for 9-12 months.
2. To provide payments for software sales and consulting services in agreed amount
Deadline 30.04.2020

To receive payments from Investor via Advapay OU against invoicing for consulting and commissions paid for software sales

Stage 3 Planned value: depending on equities acquisition, which will be capitalized into the fixed assets.
Deadline: 01.06.2020

15
IMPORTANT
Being an electronic money institution
SEMI is required to notify FCA of certain events in respect of your business, these include, but
are not limited to:

▸ Changes to your legal status;

▸ Changes to your standing data;

▸ Changes to the services you wish to offer;

▸ Changes to your directors or those responsible for the management of your EMI;

▸ Significant changes to your programme of operations or business plan;

▸ Changes to your safeguarding arrangements;

▸ Changes to your EMD Agent(s) (where applicable)

More details can be found in Chapters 4 & 5 of our E-money Approach Document and the respective forms can be found on the ‘electronic
money institutions’ part of our website: https://www.fca.org.uk/firms/electronic-money-institutions

16
Thank you for attention!

Dmitry Kozelkin M: +44 (78) 3198 55 40

M: + 36 (30) 610 98 71

Founder & Director [email protected]

Small EMI, FCA Ref. No.: 901016

Company No: 11692215

VAT No: 328300430

Registered Address: New Court, Abbey Road North, Shepley, Huddersfield, HD8 8BJ, United Kingdom payver.eu