PURCHASE INVOICE FINANCE
Eligible Funding for Procurement and Supplier Payments
Explore suitable financing arrangements for genuine eligible purchase invoices and approved supplier-payment requirements.
- Transaction: Purchase-Side Invoice
- Purpose: Procurement / Supplier Payment
- Basis: Verified Underlying Transaction
- Structure: Financier-Specific
Overview
Finance for Eligible Business Purchases
Capital Yono assists eligible business buyers in exploring invoice-related funding arrangements for approved procurement and supplier obligations. The proposed structure depends on the buyer, supplier, underlying transaction, invoice validity, payment terms, credit assessment and the selected financier’s documentation.
Relevant Requirements
- Eligible purchase invoices for stock or raw materials.
- Approved equipment or business procurement invoices where supported by the financier.
- Supplier-payment requirements arising from documented transactions.
This page concerns purchase-side financing. It must not be marketed as seller-side domestic factoring or imply buyer-led reverse factoring unless that specific structure is selected and approved.
Preliminary Screening
Financing institutions may examine the buyer’s business profile, cash flows, procurement pattern, supplier authenticity, purchase contract, invoice amount, due date, delivery or goods status and repayment capacity.
Documents to Keep Ready
- Buyer KYC and constitution; supplier details; purchase order and supplier invoice; supporting delivery/receipt evidence where applicable; GST and financial records; banking and borrowing details; payment terms and transaction purpose.
FAQs
What is financed under Purchase Invoice Finance?
The proposed facility is evaluated against eligible purchase-side invoices or supplier-payment obligations and the accepted financing structure.
Is it the same as seller-side factoring?
No. Seller-side factoring is linked to a seller’s receivable. Purchase Invoice Finance concerns an eligible buyer’s procurement or supplier-payment requirement.
Is a buyer turnover above ₹250 crore required?
The above-₹250-crore threshold is a separate preliminary criterion for Domestic Seller-Side Invoice Discounting / Factoring; it is not a universal criterion for Purchase Invoice Finance.
Will every purchase invoice qualify?
No. The underlying transaction, supplier, invoice, eligibility and credit assessment must be acceptable to the selected financier.
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Discuss Your Purchase Invoice Funding Requirement
Share your procurement purpose, supplier and purchase invoice details for preliminary review.
Funding is subject to eligibility, appraisal, due diligence, approval and final terms from the relevant funding provider.