🔑 Key Features of Invoice Financing
| Feature | Description |
|---|---|
| Type of Loan | Short-term, working capital financing |
| Advance Rate | 80%–90% of invoice value |
| Tenure | Typically 30 to 90 days |
| Collateral | Invoice itself acts as security |
| Eligibility | B2B businesses with creditworthy clients |
| Speed | Quick disbursal, often within 24–72 hours |
🧾 How It Works
Your business sells goods/services and issues an invoice to a customer (with payment due in 30–90 days).
You submit that invoice to a lender or invoice financing company.
The lender gives you an advance—usually 80% to 90% of the invoice value.
Once your customer pays the invoice, the lender gives you the remaining amount (minus a small fee).
Apply Loan
📋 Basic Documents Required
Company PAN, GST, and registration
KYC of promoters
Sales invoices
Bank statements (6–12 months)
Debtor ledger
Business financials (optional)
✅ Benefits
🏦 Instant access to cash from pending invoices
🔄 Improves working capital and cash flow
❌ No need for other collateral or assets
👁️ Keeps ownership in business (non-dilutive funding)
📈 Scales with your business sales (more invoices = more capital)
🏦 Popular Lenders and Platforms in India
Lender/Platform Features KredX Fast invoice discounting with digital onboarding Drip Capital Invoice financing for exporters Indifi, FlexiLoans Fintech lenders with low paperwork SIDBI & NBFCs Government support for MSMEs Banks (ICICI, HDFC, SBI) Traditional invoice financing to creditworthy businesses