FAQS
Invoice Discounting
Invoice Discounting helps businesses access cash tied up in their sales invoices before customers pay, or helps pay suppliers early using financing against purchase invoices.
What is Invoice Discounting?
It's a method of short-term borrowing where a business uses its unpaid sales invoices (accounts receivable) as collateral for a loan. It provides immediate access to cash, improving working capital and cash flow.
What is Sales Invoice Discounting?
What is Sales Invoice Discounting? This is the most common form. Your business sells goods or services and issues an invoice. Instead of waiting 30, 60, or 90 days for your customer to pay, we advance you a significant percentage of the invoice value immediately. Once your customer pays, you receive the remainder, minus our fee.
What is Purchase Invoice Discounting?
What is Purchase Invoice Discounting? This service helps you pay your suppliers earlier to secure discounts or better terms. We finance the payment of your purchase invoices to your supplier, and you repay the finance later, typically when the inventory is sold or production cycle is complete.
How is it different from factoring?
With factoring, the finance provider manages your sales ledger and is responsible for collecting the debt. With discounting, your business retains control of its sales ledger and collections process, maintaining confidentiality with your customers.
Debt Syndication
Debt Syndication is the process of involving a group of lenders (a syndicate) in funding a large loan, which is too complex or too large for any single lender to handle. We structure and arrange these facilities for you.
Working Capital Finance
Debt arranged to cover a company's day-to-day operational needs, such as inventory funding, accounts receivable, and other short-term expenses. This ensures smooth business operations.
Term Loan
A loan provided for a specific period (term) with a fixed repayment schedule. Typically used for significant capital expenditures or business expansion that requires longer-term funding.
Project Finance
Financing for large-scale, long-term infrastructure, industrial projects, or public services based on the projected cash flow of the project itself, rather than the balance sheets of the sponsors.
Acquisition Funding
Acquisition Funding Debt arranged specifically to finance the purchase of another company (a merger or acquisition). This can be structured as bridge loans, term loans, or mezzanine finance.
Promoter Funding
Loans provided to the main shareholders (promoters) of a company, often using their shares in the company as collateral, for purposes such as injecting equity, buying more shares, or meeting personal financial needs.
Capex (Capital Expenditure) Funding
Financing dedicated to the purchase, improvement, or maintenance of long-term assets such as buildings, machinery, equipment, or land, which are critical for the business's future growth.
General Questions
Which service is right for my business?
This depends entirely on your needs. If you need quick cash flow from existing sales, Invoice Discounting is best. If you require large-scale, structured funding for growth, expansion, or asset purchase, Debt Syndication is the solution. We offer a consultation to assess your specific requirements.
How long does the application process take?
The timeline varies. Invoice Discounting can often be set up quickly (sometimes in days) for rapid access to funds. Debt Syndication timelines depend on the complexity and size of the transaction, and the number of lenders involved.