Bill discounting gives NBFCs a product to monetise verified trade invoices before the buyer’s payment date, converting locked receivables into working capital for MSME sellers and a short-duration, self-liquidating asset for the lender. Finezza’s lending lifecycle management platform maps each stage of the bill discounting workflow into the LOS and LMS, so the manual steps […]
Is Your Invoice Financing Workflow Ready for RBI’s TReDS Rules?
When a lender discounts an invoice on a Trade Receivables Discounting System (TReDS) platform, the money moves within a day or two. Confirmation that the same invoice hasn’t been financed somewhere else doesn’t always move at the same speed. A seller short on working capital uploads the same receivable to two platforms in the same […]
Bill Discounting vs Invoice Discounting: LMS Configuration Guide
The terms are used interchangeably so often that even experienced lenders stop questioning them. Bill discounting, invoice discounting, trade finance, receivables financing: these get bundled into the same category as if the underlying product structure, and therefore the Loan Management System (LMS) configuration, were identical. But they are not. For a lending operations team building […]
4 Supply Chain Financing Gaps NBFCs Overlook
Supply chain financing (SCF) looks attractive on paper. Short tenures, anchor-backed risk, invoice-level visibility, and a borrower base that often lacks access to other credit channels. For NBFCs looking to expand their working capital portfolio, it ticks several boxes. The challenge is that SCF operates by a different set of mechanics than term lending, and […]
Boosting Supply Chain Financing: The Impact of Blockchain
Supply chain financing (SCF) is a financing solution that brings buyers, sellers and lenders together. This arrangement helps clear and unlock the working capital locked in the supply chain. It helps businesses improve liquidity, build stronger supplier relations, and reduce supply chain risks. Despite the many benefits this arrangement offers to all stakeholders, it has […]
Loan Against Invoices: Advantages and Disadvantages for Lenders
Small and medium-sized enterprises (SMEs) and business-to-business (B2B) firms have embraced the necessity of maintaining consistent cash flow or credit lines to clear dues and support their day-to-day operations. SMEs and B2B firms constantly look for funding options that suit their needs, ensuring consistent cash flow. As a result, loan against invoices or loan invoicing […]