TRADE RECEIVEABLE DISCOUNTING SYSTEM - Business

Eligible Participants:

• Buyers: Buys goods from sellers and has to pay at the end of the credit period

• Sellers: Provides goods and services to large buyers and raises the invoice on the buyer for payment after credit period.

• Financiers: Buys seller’s invoices and assumes ownership of receivables to be paid by buyer on due date.

• Exchange Platform: Entities operating TReDS Platforms in India

Key Benefits to participants:

a. Key Benefits to all participants

• Easy and quick access to all the funds.
• End-to-end digital platform and payments
• Competitive discount rates through an auction mechanism
• System driven and transparent.
• Paperless and hassle-free process
• Minimal administrative cost
• Added benefits to existing SBI customers.

b. Benefits to Buyers:

• Efficient risk management.
• Reduced operational cost.

c. Benefits to Sellers:

• Timely payment of receivables
• Efficient risk management.
• Reduced operational cost.
• Better liquidity management.