What is Invoice Financing? Features & Benefits of Invoice Finance

Invoice Financing

Invoice financing is a method with which businesses can borrow funds using their high-value unpaid invoices as collateral. With the help of an invoice financing loan, you can now reinvest in your business growth, improve cash flow, make payments to your employees or suppliers at your convenience without waiting for your account receivables to come.

Invoice Finance: Features and Benefits
High-value financing

Pay all your creditors on time and manage your cash flow better with loans up to Rs.45 lakh.
Hassle-free loans approved within 24 hours*

Get your invoice loan approved in just 24 hours* and meet all your urgent needs.
Flexible repayment tenor

Repay your business invoice financing with ease over a flexible tenor - till you receive payments from your debtors or your inventory gets sold.
Pre-approved offers

Existing customers enjoy exclusive pre-approved offers on the invoice financing loan. You can get access to instant funds without lengthy paperwork, queues and long wait time.
Check your special offer here.
Track your loan online

Log in to our online customer portal - Experia and track your loan details from anywhere, anytime.
Invoice Financing Loan: Eligibility Criteria and Required Documents

Enjoy the benefits of invoice financing from Bajaj Finserv by fulfilling simple eligibility criteria and providing some basic documents. Click here to know more.
Invoice Finance: Rates and Charges

Bajaj Finserv ‘s SME invoice financing comes with nominal fees and charges, so that you can run your business smoothly with affordable capital.
Invoice Finance: How to Apply

Fill out a quick application form and apply for your invoice loan today.

FAQs

Which is the best invoice financing company to apply for invoice loans?

With the help of invoice financing, you can secure funds up to Rs.45 lakh against your unpaid invoices. For a hassle-free invoice financing process, choose an invoice loan from Bajaj Finserv and get quick approval in 24 hours* with the option of a flexible repayment tenor.

What is an invoice financing loan?

Invoice financing loan is a financial solution offered by lenders to small businesses to borrow funds against the amount pending from their customers. These funds can be used to meet short-term liquidity requirements of your business such as raw material purchase, salaries of your staff, and other operational spends.

Bajaj Finserv offers hassle-free invoice finance up to Rs.45 lakh with quick approval in 24 hours*. This instant high-value financing can help you to meet your business urgent needs and allows you to repay the loan over a convenient tenor - till you get your due payments, or your inventory gets sold.

What is the eligibility and requirements for an invoice financing loan?

Invoice finance loan that comes with easy-to-fulfil eligibility criteria and requires minimum documents. You can get urgent funds for your business by fulfilling the easy parameters given below:

Indian residing citizen of age 24 to 70 years*
(*Age should be 70 years at loan maturity.)
Running a business for 3 years
CIBIL score of 685 or higher

If you fit the eligibility, all you have to do is to give a few documents for quick approval on your loan:

PAN card, Aadhar card, driving license, etc.
Passport, electricity bill, rent agreement, etc.
6 months bank account statement
Balance sheet and Profit & Loss statement for last 2 year audited by a CA
Business ownership proof documents

Is invoice financing a good idea?

Cash flow is crucial for the survival of the business, however, sometimes it becomes difficult to maintain the cash flow in your business or continue with the routine expenses such as raw materials purchase or even paying salaries to your employees. It is when an invoice financing loan can come as a rescue offering you instant funds to meet any of these business needs.

Invoice financing offers instant cash generation that can help small businesses get ready capital to maintain the cash flow and bring economic mobility. Since you are using your unpaid invoice as collateral, you are not required to keep any other asset as a security. However, it can be used only as a source of short-term requirement and not for your long-term expenditure.

How much does invoice financing cost?

Outstanding invoices from the customers often cause problems in the cash flow of the business which results in halting of business operations such as raw material purchase, staff payment, etc. In such cases, invoice financing not only helps in meeting your business daily expenses but also help you provide funds in any unforeseen situation to help your business grow.

Bajaj Finserv offers you a hassle-free invoice financing loan at the lowest rates of interest of 17% p.a. onwards and up to 2% of the loan is charged as processing fees. It comes with quick approval and requires minimum paperwork. In addition to this, Bajaj Finserv also offers a flexible tenor to repay the loan and you can also reduce your EMIs with Flexi term loan by paying interest only EMI’s for the initial part of the tenor.

How does invoice financing work for a company?

The pending dues from customers often create a roadblock for business operations such as raw material purchase, equipment purchase or even employees’ salaries. However, in such cases invoice financing can help you by providing quick funds for your company. One of the striking features of invoice financing is that you are no longer dependent on your account receivables for your business expenditure but can get a loan against these unpaid invoices.