REVERSE FACTORING & SUPPLIER FINANCE
Finance Against Eligible Approved Supplier Payables
Explore buyer-led supply chain financing arrangements involving eligible accepted supplier invoices and approved payment obligations.
- Structure: Buyer-Led / Approved Payables
- Participants: Eligible Buyer & Supplier
- Evidence: Approved Invoice / Payable
- Funding: Financier-Specific
Overview
Support for Eligible Buyer–Supplier Ecosystems
Capital Yono assists eligible businesses in exploring reverse factoring and supplier-finance structures based on a suitable buyer’s confirmed payable or accepted supplier invoice. The financing mechanism, buyer participation, supplier onboarding, payment obligations and commercial terms are determined by the selected financier and underlying programme.
Appropriate Uses
- Approved supplier payables under eligible buyer-led programmes.
- Working capital support for participating eligible suppliers.
- Eligible recurring procurement relationships with verified invoices.
A buyer-led structure may require the buyer’s explicit programme participation and payable approval; seller participation alone may not be sufficient.
Preliminary Screening
Review may involve buyer and supplier constitution, business profiles, procurement relationship, payment history, accepted invoices, approvals, bank/programme arrangements, required authorisations and applicable credit/compliance checks.
Documents to Keep Ready
- Buyer/supplier identification; underlying contract/PO; accepted supplier invoices; buyer-approved payable evidence; bank and GST details; relevant financials; programme participation or authorisation documents as required.
FAQs
How does reverse factoring differ from seller-side factoring?
Reverse factoring generally follows an eligible buyer-led or approved-payables programme, whereas seller-side factoring is initiated against the seller’s eligible receivable. The exact structures vary by financier.
Must the buyer participate?
A buyer-led programme typically requires buyer approval or participation according to its operating rules.
Is the domestic seller-factoring ₹250 crore threshold mandatory here?
No. This product has its own programme-specific buyer, supplier and transaction eligibility.
Is funding guaranteed after invoice approval?
No. The financier’s programme rules, available limit, invoice eligibility, verification and final approval continue to apply.
CTA, SEO & FORM
Explore Buyer-Led Supplier Finance
Share the buyer, supplier and approved-payables arrangement for a preliminary programme review.
Funding is subject to eligibility, appraisal, due diligence, approval and final terms from the relevant funding provider.