lohncontrol.com — another business model

by Catalin Iordache, blockchain concept manager at Lohncontrol

Why lohncontrol.com ?

The lohn has been present in the world for over 60 years, especially in the textile industry and has worked and operates in the following way; a large fashion company, the owner of a renowned brand, comes with its own materials, accessories and labels to a manufacturer of confections that manufacture the product according to the technical specifications received. The company that gives the order gets a competitive cost price and the company that executes the order puts its investment in production logistics and the skills of its own employees cashing out a price of negotiated manual labor.

In recent years the lohn is present very strongly in the IT industry, any outsourcing project being the result of a lohn contract.

The connection with the blockchain is that all the clauses imposed in the lohn contract are subject to the smart condition of the IF/THEN contracts, i.e. more simply expressed: if you do your job (IF) then you receive your money (THEN). This is basically the reliable protocol that the blockchain brings, no need for a third party to guarantee the transaction between the parties.

The platform that the project will build and will be called lohncontract.com is addressed to small and medium-sized companies primarily responsible for the global 60% of GDP (Gross Domestic Product) eliminating virtually geographic and cultural barriers. Thus, a small company will have the opportunity to manufacture products with a manufacturer from Vietnam or Bangladesh or from China.

I’ll give you another relevant example: Selling products on Amazon, which represents the business of the moment on the internet , it involves the identification on one side of some easily marketable products and on the other hand the finding of a manufacturer from China or another emerging economy to manufacture them at a competitive price. Imagine how easy it will be to identify a suitable manufacturer for your products with a platform like lohncontract.com where you launch a fabrication order that is offered by dozens of manufacturers around the world thus obtaining the best price possible.