KOFFi Introduction
KOFFi is India’s First Business Fund Parking Platform.
KOFFi is SEBI-registered which helps businesses park their short-term investments (even for just a week) and earn 7–8% p.a. returns through government-backed fixed-income securities.
Most companies keep their business funds at 0% bank account, losing its value to inflation. KOFFi helps businesses to park these funds into safe, liquid fixed-income mutual funds which invest in short-term securities like treasury bills and AAA-rated securities. Offering better returns in short-term without any lock-ins.
Benefits of KOFFi
KOFFi simplifies short term investing for modern businesses — with safety, flexibility, and better returns.
Higher Returns
Earn 7-8% on daily balances (as compared to low return bank alternative)
Better Liquidity
Your funds, Your Flexibility. Withdraw any amount, anytime.
Safe Investments
Funds are invested in low-risk short-term fixed income mutual funds.
Park Directly
Fund goes directly to our partner- Tata Mutual Funds.
Regulated Platform
We’re SEBI-registered. Member of BSE.
Options Available with KOFFi
Based on your preferences and business needs, we provide curated recommendations of low risk fixed income mutual funds which belong to following categories. Each option helps you match your cash flow needs with the right kind of short term investment with full liquidity and control.
Debt Funds
- Ideal for investments even for a few days.
- Options include Overnight Funds, Liquid Funds, and others.
- These funds invest in short-term instruments like government treasury bills and high-quality AA+ rated corporate bonds.
Hybrid Funds
(Arbitrage Funds)
- Ideal for investments of 30 days or more.
- Enjoy lower fixed taxation (20%) on short-term gains.
- These funds earn returns by capitalizing on price differences across stock markets.
Short-Term
Money Market Funds
- Best suited for short-term investments of 90 days and above.
- Options include short-term and ultra short-term mutual funds.
- These funds invest in a mix of money market instruments like commercial papers (CPs) and certificates of deposit (CDs).
How KOFFi Helps with Short-Term Funds
Most businesses may not have surplus cash, but they often have idle funds for short periods in situations like followings:
- Payroll disbursal
- Vendor payments
- GST and tax deadlines
- Project expenses
This idle money earns almost nothing. KOFFi helps turn it into a smart short term investment.
What KOFFi Does:
- Lets you invest short term funds in safe, low-duration mutual funds
- Match your fund parking duration (say 5, 15, or 60 days) with the most suitable mutual fund options.
- Ensures daily liquidity, so you can withdraw anytime
- Allows scheduled withdrawals for planned payments (like payroll)
- Keeps the process simple and transparent
KOFFi makes sure your money is never just sitting- even for a few days, it’s working for you.
How it Works
Risk Factors and Considerations
Even safe short term investments come with some level of considerations. KOFFi helps reduce those risks, but it’s important to understand them.
What to Consider:
- Returns aren’t fixed
Even short-duration funds can show minor day-to-day NAV changes. - Interest Rate Risk
When interest rates change, bond prices react. In short-duration funds, this impact is small, but not zero. Sudden rate changes can slightly affect returns. - Fund Type Matters
Risk depends on which fund you choose. Overnight and liquid funds are the safest. Arbitrage and ultra short funds carry slightly more risk but offer higher returns. - Market Liquidity Risk
Rare, but in very volatile market conditions, liquidity could be delayed. - Taxation
Debt funds are taxed as per debt fund rules. Arbitrage funds, if held over 3 months, can offer better post-tax returns.
What KOFFi helps you mitigate this risk:
We focus only on safe short term investment options, not market bets.
- Suggests only low-risk, business-friendly funds
- Avoids long-duration or high-volatility products
- Keeps your money liquid and accessible
Who Should Use KOFFi
KOFFi is built for businesses that want to make the most of their idle funds through short term investments — without taking big risks or locking money away.
SMEs
Small and mid-sized businesses usually keep some cash aside for operational needs. That money doesn’t have to stay idle — it can earn better returns while still staying accessible.
IT Companies
Often have funds lying idle between vendor payouts and payroll. Instead of letting that money sit in a 0% account, it can be put to work, even if just for a few days.
Startups
Startups can stretch their runway by parking excess funds — whether it’s from a recent raise or incoming revenue in safe, short-term options until needed.
Service Providers
Companies that collect AMC payments or advance fees can make better use of those inflows by parking them smartly before they’re deployed.
Trust and NGO
Trusts and NGOs often hold funds earmarked for specific programs or disbursals. Instead of leaving them idle, those funds can be parked safely in short-term options
Construction & Infrastructure Firms
Often receive milestone-based payments from clients or government bodies. These funds can be parked until the next phase begins or material orders are made.
Educational Institutions
Schools, colleges, and edtech firms often collect fees upfront (quarterly or annually). Instead of letting the money sit idle, they can park it smartly until it’s needed for salaries, expenses, or infrastructure.
E-commerce & D2C Brands
Brands holding daily cash inflows from sales or seasonal peaks (like festive periods) can park those balances while managing vendor payouts or inventory cycles
Logistics & Fleet Operators
These businesses often maintain fuel reserves or short-term operational buffers. That cash can be parked between billing cycles or large spends like maintenance or fleet upgrades.
Tips for Short-Term Investing
Smart short term investment is not about chasing high returns — it’s about balancing safety, liquidity, and timing.
Keep These Tips in Mind:
- Match Duration with Fund Type
Only park for 1 day? Use overnight funds. Need it in 15 days? Liquid or money market funds work better. - Don’t Chase Returns
Higher returns often come with higher risk. Stick to safe instruments for short durations. - Know Your Exit Date
Plan ahead. If you know when you’ll need the money back, choose a fund accordingly. - Use Goal-Based Parking
Label funds as “payroll,” “GST,” or “vendor payment” to organize your funds and meet your business objectives. - Stay Liquid
Avoid locking money in long-term FDs or instruments with penalties. KOFFi helps you stay flexible. - Diversify if Needed
If you’re parking larger amounts, you can split across different short-term funds. - Use a Regulated Platform
Always invest through SEBI-registered platforms like KOFFi for full safety and transparency.
A disciplined approach to short term investing helps businesses earn more without risking operational cash.
Our Short-Term Investment Strategies
At KOFFi, we follow a clear strategy to make short term investment simple, safe, and effective for businesses.
Our Approach:
- Only Low-Risk Funds
We pick funds that invest in treasury bills, AAA-rated bonds, and money market instruments. No high-risk bets. - Duration-Based Matching
Our system matches your investment timeline with the right fund, whether it’s 1 day, 15 days, or 3 months. - AI Based Recommendation
You don’t need to choose. KOFFi recommends the best short-term option based on your cash flow needs. - Tools
Our tools like calculators show you potential earnings based on fund type and duration, before you invest. - Scheduled Fund Transfer
Set up auto-withdrawals for payrolls or vendor payments. Funds land back in your account on time. - Fully Regulated Framework
All transactions happen via BSE Star MF. Your money never touches KOFFi’s accounts.
Our strategy is simple: help your idle business funds earn more — without losing safety, liquidity, or control.
Frequently Asked Questions (FAQs)
Q1. What is a short term investment?
A short term investment is when you park your money for a few days to a few months in low-risk instruments. It’s ideal for idle business funds like payroll, GST, or vendor payments that don’t need to sit idle in a 0% interest bank account.
Q2. Why should businesses consider short term investments?
Short term investments help businesses earn better returns on idle funds without locking them in. It keeps your money accessible while still working for you.
Q3. Is short term investment through KOFFi safe?
Yes. KOFFi only lists low-risk, high-liquidity funds. All transactions are routed via BSE Star MF and your funds are invested in regulated debt instruments.
Q4. How quickly can I withdraw my short term investment?
Most redemptions are processed within 1 business day. You can withdraw your short term investments anytime without penalties or lock-ins.
Q5. How is KOFFi different from a bank FD for short term investment?
Bank FDs come with fixed lock-in periods and penalties on early withdrawal. KOFFi offers flexible short term investments with no lock-in, higher liquidity, and better returns.
Ask us Anything!