Invoice Discounting

SME INVOICE DISCOUNTING

Indebank provides bridging Finance through an invoice discounting facility to SME suppliers against documents evidencing that a bona fide trade transaction has taken place between the SME supplier and the approved buyer.

How it works

* The supplier must irrevocably assign the expected payment proceeds to Indebank with the buyer duly acknowledging the assignment.

* The bank prepays the approved buyers' short-term obligations where there is satisfactory evidence that the buyers have agreed to settle their obligations to the beneficiary SME suppliers at a future date, maximum 90 days.

* The beneficiary SME must open an active current account in our books.

Benefits

* The product provides financing to SME suppliers of services and products with the view to empowering them and promoting their growth.

* This product aims at empowering the Malawian SME suppliers and promoting them through providing finance against bank approved confirmed invoices.

Other Features

* The invoice must have a maximum tenor of 30 days or part thereof

* Pricing is between 5% and 8% per month or part thereof of total facility amount, depending on the suppliers perceived credit risk, track record and tenor.

Indebank is a Licensed Commercial Bank that is "Growing, with SMEs in mind".