Mumbai, April 23, 2018: Leading Digital Invoice Discounting platform Invoicemart announced execution of the first factoring transaction by DBS Bank India. This partnership further opens up new modes of financing which have come in the form of online digital invoice discounting.
On this occasion, Mr. Kalyan Basu, CEO & MD of A. TREDS Ltd. (owner & operator of Invoicemart), said, “With addition of DBS, we are adding an internationally reputed financial institution to our already growing list of Financiers. DBS is a reputed foreign bank which understands the dynamics of the factoring business. We are excited to have them as a partner and look forward to a long and fruitful association.”
Globally, factoring is a USD 3 trillion industry and India’s participation in it is minuscule. The initiative of RBI in providing an alternate source of finance to MSMEs is not only commendable but also a big boon to the cash starved MSMEs, the backbone of the economy. Financiers play the crucial role of providing liquidity to MSMEs and their commitment is crucial for the success of the TReDS model.
Roshan Mathew, Head- Transaction Banking, DBS Bank, said, “Throughout the world, banking is seeing a tech enabled transformation. DBS is at the forefront of challenging the way banking has operated traditionally and worked towards doing things differently using technology innovatively. Similarly platforms like Invoicemart are changing the age old business models with online factoring. This platform will provide transparent, competitively priced and speedier trade financing access to Indian companies especially SMEs, helping them improve their cash flows by monetizing their receivables.”
Harsha Saksena, Head Treasury, Future Retail Limited, said, “TReDS is a clear win-win model for us and our MSME suppliers, it allows our suppliers to get their payments instantly. Along with automation of the payment process, it results in significant savings in the form of interest costs. Our country is at an inflection point and corporate India needs to contribute towards strengthening the economy. At Future Group we are committed to adding more and more of our supplier base to the platform.”
Invoicemart along with other TReDS exchanges had recently implemented the first ever enterprise blockchain solution. This solution has ensured that duplicate financing is prevented, while ensuring confidentiality of client information.
Mr. Kalyan Basu added, “As the platform is growing at a rapid pace, we are constantly taking feedback and enhancing its capabilities, apart from the blockchain implementation which is aimed at preventing frauds. In this financial year we will integrate with GSTN which will allow MSMEs to build credit history through an alternate source. All these initiatives work towards building customer credibility and trust in TReDS.”
Invoicemart, a TReDS (Trade Receivable Discounting System) platform is a digital invoice discounting marketplace by A. TREDS Ltd, a joint venture between Axis Bank Ltd and B2B e-commerce company mjunction services ltd. It is a platform which connects MSME suppliers (sellers) and their corporate buyers to multiple financiers. This platform enables discounting of invoices of the MSME sellers raised on large buyers, through a transparent bidding mechanism that ensures financing of receivables at competitive market rates.
The platform allows MSME suppliers to avail finance quickly and at competitive interest rates which in turn helps increase their working capital efficiency without impacting their relationship with buyers.
DBS is a leading financial services group in Asia, with over 280 branches across 18 markets. Headquartered and listed in Singapore, DBS has a growing presence in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
DBS is at the forefront of leveraging digital technology to shape the future of banking, and has been named “World’s Best Digital Bank” by Euromoney. The bank has also been recognised for its leadership in the region, having been named “Asia’s Best Bank” by several publications including The Banker, Global Finance, IFR Asia and Euromoney since 2012. In addition, the bank has been named “Safest Bank in Asia” by Global Finance for nine consecutive years from 2009 to 2017.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, and positively impacting communities through supporting social enterprises, as it banks the Asian way. It has also established a SGD 50 million foundation to strengthen its corporate social responsibility efforts in Singapore and across Asia.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. The bank acknowledges the passion, commitment and can-do spirit in all of our 24,000 staff, representing over 40 nationalities. For more information, please visit www.dbs.com