Invoice discounting
Don't wait 30-90 days for payments! Get up to 95% of your invoice value immediately with BigMudra's Invoice Discounting service. Keep your business running smoothly with instant cash flow.
Invoice discounting is a smart way to get immediate cash against your unpaid invoices. Instead of waiting weeks or months for customers to pay, you can get money right away to keep your business operations smooth. It's like getting an advance on money that's already yours - simple, fast, and without any hassle.
Get Maximum Cash Flow with Invoice Discounting
Invoice discounting is perfect for businesses that want to unlock cash stuck in unpaid invoices. By using your genuine invoices as security, you can access:
Higher Funding Limits: Get up to 95% of your total invoice value instantly, allowing you to fund large orders or expand operations without waiting for payments.
Lower Interest Rates: Enjoy competitive rates since your invoices provide security to lenders, making it cheaper than unsecured business loans.
Flexible Repayment: Repay when your customers pay you, or choose flexible repayment options that match your cash flow cycle.
Who Should Consider Invoice Discounting?
Invoice discounting is perfect for established businesses with regular B2B sales, long payment cycles, and creditworthy customers looking to improve cash flow without taking traditional loans.
Quick Access to Working Capital
Our invoice discounting service provides fast access to funds using your unpaid invoices. Ideal for businesses of all sizes, this solution allows you to:
No Additional Collateral: Your invoices are the security - no need to pledge property or equipment.
Fast Processing: Get funds within 24-48 hours of invoice verification and approval.
Maintain Customer Relations: Your customers don't know about the financing, you collect payments as usual.
Flexible Usage: Use funds for inventory, salaries, expansion, or any business need.
Who Should Consider Invoice Discounting?
Invoice discounting is ideal for businesses with regular sales, established customer base, and invoices from creditworthy companies seeking immediate working capital.
Key Features:
Flexible Usage: Use funds for inventory, payroll, expansion, or any immediate business needs.
Funding Amount: Get up to 95% of invoice value with limits based on your business turnover.
Security: Your genuine invoices act as collateral - no additional security needed.
Repayment: Flexible repayment aligned with your customer payment cycles.
Quick Processing: Fast verification and fund disbursal within 1-2 working days.
Interest Rates: Competitive rates lower than unsecured business loans.
Why Choose BigMudra For Invoice Discounting?
Customized Solutions: We tailor our invoice discounting to match your business cash flow needs.
Transparent Process: No hidden charges, just clear terms and straightforward pricing.
Expert Support: Our financial experts guide you through the entire invoice discounting process.
Fast Funding: Get the cash you need when you need it most - within 24-48 hours.
Eligibility Criteria for Invoice Discounting
To qualify for BigMudra invoice discounting, you typically need to meet the following eligibility criteria:
Business Age: Minimum 2 years of operations
Annual Turnover: ₹50 lakhs to ₹100+ crore
Credit Score: Business and promoter score of 650 or above
Invoice Requirements: Genuine invoices from creditworthy customers
Customer Profile: Invoices should be from established companies with good payment history
Eligible entities include private limited companies, LLPs, partnerships, proprietorships, and other business entities with regular B2B transactions.p>
Documents Required
Prepare the following documents for a smooth invoice discounting application:
| Category | Documents Required |
|---|---|
| Business Documents | Business registration certificate, GST registration, PAN card (business) |
| Financial Documents | Last 12 months bank statements, ITR for last 2 years, Balance sheet & P&L |
| Invoice Documents | Original invoices to be discounted, Delivery challans/proof, Customer acknowledgment |
| Promoter Documents | KYC documents, Address proof |
| Photographs | Recent passport-size photographs |
How to Calculate Invoice Discounting Charges
Invoice discounting charges are calculated based on the discounted amount, interest rate, and the number of days until payment. Use our online calculator to get instant estimates of your costs and net amount receivable.
Quick Calculation: For example, if you discount an invoice of ₹1,00,000 at 18% annual rate for 60 days, your interest cost would be approximately ₹3,000, giving you immediate access to ₹80,000 (assuming 80% advance).
Simple Application Process
Experience seamless invoice discounting with BigMudra. Our experts verify your invoices and ensure instant fund transfer to your bank account.
Apply Online: Click "Apply Now" and create your account with basic business details.
Upload Invoices: Submit your unpaid invoices and required business documents.
Quick Verification: Our team verifies your invoices and customer creditworthiness.
Get Instant Funds: Receive up to 95% of invoice value in your bank account within 24-48 hours.
Charges and Fees
| Particulars | Charges |
|---|---|
| Interest Rate | 14% to 24% p.a. |
| Processing Fees | 1% to 3% of discounted amount |
| Documentation Charges | ₹500 to ₹2000 per application |
| Verification Charges | ₹300 to ₹800 per invoice |
| Overdue Charges | 2% to 3% per month |
| Stamp Duty | As per state law |
Ready to improve your cash flow?
Don't let unpaid invoices slow down your business growth. Get instant access to working capital with BigMudra's invoice discounting service. Apply now and get funds within 24-48 hours!
Frequently Asked Questions
What is invoice discounting?
Invoice discounting is a financing solution where you get immediate cash against your unpaid invoices. Instead of waiting for customers to pay, you receive up to 95% of the invoice value upfront, helping you maintain smooth cash flow for your business operations.Can I get invoice discounting without collateral?
Yes! Your genuine invoices act as security for invoice discounting. No additional collateral like property or equipment is neededAm I eligible for invoice discounting?
You are eligible if you have a registered business with regular B2B sales, unpaid invoices from creditworthy customers, and meet our minimum turnover requirements. Final approval depends on document verification and our internal credit policies.How quickly can I get funds through invoice discounting?
Once your invoices are verified and approved, funds are typically disbursed within 24-48 hours directly to your bank account./p>How much can I get against my invoices?
You can typically get 80-95% of your invoice value immediately. The exact percentage depends on your customer's creditworthiness and payment history.What is the maximum amount I can get through invoice discounting?
The maximum amount depends on your business turnover and invoice portfolio. We can finance individual invoices up to ₹50 lakhs or provide credit lines up to ₹5 crores for regular customers.When do I need to repay the discounted amount?
Repayment is typically due when your customer pays the invoice, usually within 30-90 days. We also offer flexible repayment options based on your cash flow requirements.Will my customers know about the invoice discounting?
No, invoice discounting is confidential. Your customers will continue to pay you directly, and they won't know about the financing arrangement. This helps maintain your business relationships.
