Gurgaon based Indifi Technologies is a technology platform that gathers and analyses data of businesses from various sources and draws insights to judge their credit worthiness, their past and current performance in context of the industry they are operating in and help them grow.

Cash or Working Capital is the life blood of any business be it a small shop or a large enterprise. However, while larger enterprises have the requisite capacity and people to manage their working capital, SMEs often face a challenge as they are unable to raise enough cash to support growth,nor do they have sufficient bandwidth for managing working capital.

Traditional Lenders like Banks require SMEs to furnish fixed assets and financial projections which is challenging for most SME businesses.

Invoice discounting is a great solution for SMEs which enables them to raise cash against unpaid invoices and thus, taking care of the working capital need.

Invoice discounting despite being a safe product has seen some resistance from lenders due to issues like presentation of duplicate or fake invoices, with limited mechanisms to verify them.

Today, the scenario looks better with more automation across financial processes, and with GST providing the much needed transparency. Invoice Discounting today is one of the safest modes of raising working capital.

“The new developments like Invoice Discounting and digital enablement by tools like Aadhar and GST are some of the exciting developments are set to revolutionise the Credit Market in India”

For example,Indifi using its digital fintech platform is helping SMEs across the country to get instant access to working capital via Invoice Discounting. Customers just need to submit their unpaid invoices raised against B2B clients and get access to instant cash up to 80% of the invoice amount.

Monocept is one of the customers utilising this facility with Indifi. They specialise in solving complex business problems using technology. The Senior Technology Leadership comprises of several Ex-Microsoft Engineers who are deeply passionate about Architecting Solid Future Ready Solutions. At Monocept, they want to create a niche in the tech world by inspiring and creating more problem solvers. Monocept client spans Financial Services, Insurance, Media and e-commerce.

Working capital has suddenly become important in the IT space. Domestic clients usually ask for credit periods, but payments are getting delayed even further now. Additionally, because Monocept’s domestic business is growing fast, the need for working capital has increased. Not only do the extended payment timelines stress their working capital, it also prevents them from adding new clients. There's an extended period where they needed to invest before the first payment comes, and then every client takes a few months to settle into a payment routine.

The new developments like Invoice Discounting and digital enablement by tools like Aadhar and GST are some of the exciting developments are set to revolutionise the Credit Market in India and help the SME/ MSME businesses by getting the much needed access to credit solutions.