Invoice Discounting
Short Term Cash Flow!
Enjoy quick access to funds with our bill discounting service. Receive customised solutions that match your business needs with our dedicated trade finance set-up, and benefit from our network of financial institutions and correspondent banks.
Get Collateral Free Limits
*T&C Apply | Rate of Interest Linked with Repo Rate and subject to changes as per RBI circulars
Know More about INVOICE DISCOUNTING
The following people are eligible to apply for a Term Loan:
~ proprietors, partnership firms, private or public companies, retailers, traders or any other business owner engaged in the business of service, manufacturing products, or trading sectors.
~ The borrower should be a minimum of 21 years of age when applying for the loan and should be no older than 65 years on maturity of the loan.
The following documents are required to apply for Invoice Discounting:
~ FY-23 Provisional financial
~ Last three year audited financials (FY-22, & FY-21, FY-20) ITR and Computation, Balance sheet, Profit & loss a/c Schedule, Tax Audit Report -Form 3cb, 3cd
~ Form 26 AS if any
~ Sanction Letter of all loans along with the schedules.
~ Last 12 months bank statements of all banks.
~ Address proof (Telephone bill or electricity bill)-Latest within 60 days
~ Udyam registration certificate
~ 2 Trade reference contact details along with the volumes for last two years and 2 personal references (Friends and relatives)
~ GST Certificate, GST- Return since April 22 to till date
~ Profile of the company (History, Product, and Operation)
~ Group Company Financials & Sanction Letters
~ MSA (Master Service Agreement)
~ Top 10 company Sales Ledger Apr’22 to till date
~ PO, Invoice copy
~ Invoice Mapping and Debtors aging April 22 to till date
Proprietor & Co-Applicant Documents
~ KYC – PAN Card, Aadhar Card
~ Photographs of each individual
The following documents are required to apply for Invoice Discounting:
~ FY23 Provisional financial
~ Last three year audited financials FY-22, & FY-21, & FY-20 ) ITR and Computation, Balance sheet, Profit & loss a/c Schedule, Tax Audit Report -Form 3cb, 3cd
~ Form 26AS If any
~ Sanction Letter of all loans i.e. cash credit, term loans, car loans, Loan against property, Machinery loans along with Schedules
~ Last 12 months bank statements of all banks.
~ Business Incorporation date proof- PAN Card
~ Partnership deed.
~ Udyam registration certificate
~ Address proofs (Telephone bill or electricity bill)-Latest (within 60 days)
~ Trade References 5 Buyers and 5 Suppliers contact details along with the volumes for last two years and 2 personal references (Friends and relatives)
~ GST Certificate and GST Returns since April 22 to Till Date
~ Stock, Debtors & Creditors statement April 22 to till date
~ Month wise sale list April 22 to till date
~ Projections / CMA
~ Profile of the company (History, Product, Business)
~ Sample agreement / Order copies of leading customers.
~ Group Company financial and Sanction Letter.
~ Top 10 Company Sale Ledgers
~ PO. Invoice Copy
~ MSA (Master Service Agreement)
~ Valuation & Legal Technical Cheque.
~ Invoice Mapping and Debtors aging April 22 to till date
~ Property Papers – (Front and Back).
-Sale Deed Including
-Map of Sanction Plan.
-Property Tax Chillan.
Partners or Individual Documents
~ ITR with computation for the last 3 years, Form 26 AS (if any)
~ Loan Sanction Letter If any.
~ Last 12 months Bank Statement savings account
~ KYC – PAN Card, Aadhar Card
~ Photographs of each individual
The following documents are required to apply for Invoice Discounting:
~ FY-23= Provisional financial
~ Last three year audited financials (FY-22, & FY-21, & FY-20), ITR and Computation, Independent auditor’s report, Balance sheet, Profit & loss a/c Schedule, Tax Audit Report -Form 3ca, 3cd
~ Form 26 AS if any
~ Sanction Letter of all loans along with the schedules.
~ Last 12 months bank statements all banks.
~ Business Incorporation date proof- PAN Card
~ MOA (Memorandum of association) and AOA (Articles of Association) + Certificate of Incorporation.
~ Address proof (Telephone bill or electricity bill)-Latest within 60 days
~ Udyam registration certificate
~ CA Certified Latest share holding pattern + List of directors on the company letterhead
~ CA certified Net worth statement of Directors and Shareholders.
~ 2 Trade reference contact details along with the volumes for last two years and 2 personal references (Friends and relatives)
~ GST Certificate and GST- Return since April 22 to till date
~ Profile of the company (History, Product, and Operation)
~ Group Company Financials & Sanction Letters
~ MSA (Master Service Agreement)
~ Top 10 company Sales Ledger Apr’22 to till date
~ PO, Invoice copy
~ Invoice Mapping and Debtors ageing April’22 to till date
Directors & Shareholders & Spouse Documents
~ KYC – PAN Card, Aadhar Card
~ Photographs of each individual.
~ 9.80% to 25% per annum
0.5% to 2% one time on the sanctioned loan amount.
The processing fee depends on the credit decision of Financial Institution providing the sanction. At no given point does BazaarMoney / its employees / partners solicit Processing Fee to be paid to our own account. This fee is directly payable to the Financial institution.
Frequently Asked Questions about INVOICE DISCOUNTING
Invoice discounting is the practice of using company’s unpaid invoices to raise working capital & fulfil its financial needs. Traditionally, financial institutions including banks and NBFCs have been discounting invoices for MSMEs. Invoice discounting involves transfer of rights on an asset (invoice) from the seller (i.e. business) to the financier (i.e. investor) at an agreed value.
Maximum tenure is 90 days. However in certain cases tenure can be taken up to 120 days, at the discretion of the Discounting Lender.
Export finance helps exporters to offer credit to their buyers. This means that they can offer “ship now, pay later” terms to buyers – and this is what buyers want. Export finance is provided by a lender:
~ Lender pays you, the exporter, in cash when you ship the goods.
~ The buyer, somewhere else in the world, pays the Lender later.
~ Lender takes the buyer credit risk, and you do not have to wait for the money.
~ This improves your cash flow, reduces your risk, and allows you to win bigger orders from your buyers.
Maximum tenure is 90 to 120 days. However in certain cases tenure can be taken up to 150 days, at the discretion of the Discounting Lender.
It takes 24 to 48 hours for Invoice to be discounted and credited in the account. However, this is not accounting for any Invoices raised during weekends and on National Holidays.
Discounting limits can both be secured by collateral or unsecured stand-alone limits.
With a collateral/security backed working capital setup, invoice discounting can be clubbed in the approved products/limits
Alternatively stand-alone unsecured limits can be arranged.
Discount up to 150 Debtor days
*T&C Apply | Rate of Interest Linked with Repo Rate and subject to changes as per RBI circulars
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Discount CAD/DP Export Invoices
*T&C Apply | Rate of Interest Linked with Repo Rate and subject to changes as per RBI circulars