Sales Invoice Discounting and Purchase Invoice Discounting are financing approaches that may help eligible businesses manage working capital around their invoice and trade cycles.
Businesses can often experience a timing gap between raising invoices, making supplier payments and receiving customer collections. Appropriate invoice financing may help manage these gaps and improve short-term liquidity.
KratuFin helps businesses understand whether SID or PID may be relevant to their requirement and explore applicable financing possibilities based on their business profile, transactions and eligibility.
Suitable invoice-based financing may help eligible businesses manage the period between commercial transactions and actual cash realization.
Discuss Your RequirementBoth approaches are connected to business invoices and transaction cycles, but address different sides of the commercial relationship.
Sales Invoice Discounting may help eligible businesses access working capital against qualifying sales invoices before the customer payment becomes due, subject to the applicable financing structure.
Purchase Invoice Discounting may help eligible businesses address working capital requirements associated with qualifying purchase invoices and supplier transactions.
Depending on the transaction structure and eligibility, invoice-based financing may help businesses manage liquidity and working capital more effectively.
Access to appropriate financing may help eligible businesses manage temporary cash flow gaps created by invoice payment cycles.
Businesses may be able to manage longer customer payment cycles more efficiently through suitable invoice-based financing arrangements.
Appropriate funding may help businesses maintain operational liquidity while waiting for eligible invoice payments.
Invoice-based financing can support the financial movement between sales, purchases and settlement cycles.
Better working capital visibility can help eligible businesses manage increasing transaction volumes more effectively.
Suitable financing structures may help align business cash inflows and outflows more efficiently.
SID and PID may be relevant for businesses with identifiable commercial transactions and appropriate invoice documentation.
The suitability of the financing depends on factors including transaction quality, business profile, financial position, documentation, debtor or supplier relationships and the applicable criteria of the financing institution.
Businesses with regular sales or purchase transactions and identifiable commercial cycles.
Businesses maintaining appropriate invoices and supporting transaction documentation.
Businesses operating with identifiable customer or supplier payment timelines.
Businesses looking to manage liquidity around their regular invoice cycles.
We begin by understanding the transaction and business requirement before exploring relevant financing possibilities.
Understand the business, invoices and underlying commercial transaction.
Consider the transaction, financial profile, documentation and applicable requirements.
Explore relevant SID or PID financing possibilities based on the requirement.
Move forward with the applicable institution's assessment and approval process.
Share your business requirement with Kratu Financial Services and explore whether invoice-based financing may be relevant to your business.
SID & PID financing is subject to applicable eligibility criteria, documentation, transaction structure, credit assessment and terms of the respective financing institution. Availability, pricing, tenure and approval may vary based on the applicant, transaction and other applicable factors.