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Other MSME

TReDS — get your invoices paid early (RXIL / M1xchange / Invoicemart)

Sell your unpaid invoice to a bank on TReDS and get cash in 2–3 days; CPSEs must now pay MSMEs through it

Maximum benefit
Invoice cash in 2–3 days at bank rates, no collateral
Typical processing
Registration in a few days; each invoice funded in 2–3 working days
Apply on official portal

About this scheme

TReDS (Trade Receivables Discounting System) is an RBI-regulated online platform where an MSME uploads an invoice raised on a large buyer, banks bid to buy it, and the MSME receives the money in 2–3 working days instead of waiting 45–90 days. The MSMED (Amendment) Act 2026 (passed 7 Aug 2026) makes it mandatory for every Central PSU to settle all MSME invoices on TReDS, and Budget 2026-27 added CGTMSE guarantee cover on TReDS discounting and integration with GeM.

What you get

  • Money in 2–3 working days against an accepted invoice
  • Financing is against the buyer's credit, so rates are lower than an MSME loan
  • No collateral; the discounted invoice is the security
  • CPSE buyers are now obliged to settle MSME invoices on TReDS (MSMED Amendment Act 2026)
  • CGTMSE guarantee on TReDS discounting (Budget 2026-27) — more banks will bid

Who qualifies

All industries qualify (no NIC restriction).

Business types
ProprietorshipsPartnershipsPrivate LimitedLLPsOne Person Companies

Available across India (central scheme).

How to apply

  1. 1Register your MSME on RXIL, M1xchange or Invoicemart (free)
  2. 2Ask your buyer to onboard (CPSEs must)
  3. 3Upload the invoice; buyer accepts it on the platform
  4. 4Banks bid; accept a bid and receive funds in 2–3 days
  5. 5Buyer pays the bank on the due date

Key terms and conditions

  • Three licensed platforms: RXIL, M1xchange, Invoicemart — register on the one your buyer uses
  • Buyer must accept the invoice on the platform before banks bid
  • Discount rate is set by auction; typically bank MCLR-linked
  • Companies with turnover above ₹250 crore and all CPSEs are required to onboard as buyers

What disqualifies you

  • Works only for B2B invoices on onboarded buyers
  • Not a loan — you cannot draw more than the invoice value

Documents typically required

  • Udyam registration
  • GSTIN
  • Bank account
  • KYC of authorised signatory
  • Buyer onboarded on the same TReDS platform

The content above is compiled from public information published by the scheme authority. Eligibility, benefits, and procedures are subject to change. Confirm details directly with the official portal before applying. BharatSeal does not process scheme applications.