Corporate Bill Discounting

Optimise Your Working Capital with South Indian Bank

South Indian Bank’s Corporate Bill Discounting Program provides a seamless financing solution for businesses looking to improve liquidity, manage cash flow, and optimise working capital. Designed for corporates across diverse industries, this facility helps in financing purchases from vendors and managing sales receivables, ensuring smooth business operations without disruptions.

Key Features and Benefits

Wide Industry Coverage

Suitable for businesses in FMCG, automobile, healthcare, retail, e-commerce, and more.

High Loan Quantum

Financing limits from Rs5 Crores to Rs50 Crores, ensuring ample working capital.

No Additional Collateral Required

Bills and invoices serve as the primary security.

Flexible Repayment Period

Maximum usance period of 90 days for greater flexibility.

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What is Corporate Bill Discounting?

South Indian Bank’s Corporate Bill Discounting facility is designed for corporates engaged in manufacturing, retail, e-commerce, EPC, and other industries, offering a seamless way to optimise working capital. This financing solution is available in two categories: CBD-Payable, which facilitates purchases from vendors, and CBD-Receivable, which helps businesses manage their sales receivables efficiently. Financing limits from Rs. 5 Crores to Rs. 50 Crores, ensuring ample working capital. To ensure financial stability, applicants must have a minimum external credit rating of ‘A’. Additionally, the facility does not require any collateral, as it is secured by accepted invoices or bills, making it a convenient solution for businesses looking to enhance cash flow.

Here are the key benefits of the Corporate Bill Discount facility:

High Credit Limits – Avail working capital assistance from Rs. 5 Crore up to Rs. 50 Crore for smooth business operations
Dual Financing Options – Choose between CBD–Receivable (To finance the corporate against its sales receivables) and CBD–Payable (To finance the corporate for the purchases from vendors) as per business need
Collateral-Free Credit – Financing is backed by trade documents like invoices/delivery challan and Bills of Exchange/ Demand bills with no additional security requiement
Flexible Credit Period – Usance period of up to 90 days allows better cash flow planning and extended payment cycles
Designed for Large Corporates – Tailored for entities with Rs. 500 - Rs. 1,000 Crore turnover and “A” or higher external credit rating

Criteria	Requirement
Quantum Of Finance	Minimum – Rs. 5.00 Crores Maximum – Rs. 50.00 Crores
Annual Turnover	Rs.500 Crores for CBD-Payable, Rs.1000 Crores for CBD-Receivable
Cheque Return History	No cheque returns marked "Funds Insufficient" in the last 6 months
SMA Classification	No SMA-1 or SMA-2 classification in the last 12 months
Security	Primary Security: Accepted invoice & delivery challan. Accepted Bills of Exchange/ Demand bills, if available.
Collateral security	Nil
Eligible list of Industries	FMCG & Consumer Durables Automobile & Ancillary Industry Healthcare & Pharmaceutical Industry Electronics & Engineering Industry Electrical & Light fittings, Fluorescent/ LED/ LCD lighting devices & lamps. Paints & Pigments Industry Metal & Metal Products Industry Food & Agro Industries Chemical & Beverages Industries Garment Industries Retail Chain Companies E – Commerce Industries Oil & Gas

Document Type	Required Documents
For the Principal Borrower	Previous 3 Year’s audited financials & Un-audited quarterly results. Estimated balance sheet & profit or loss account for the current year. Projected balance sheet & profit or loss account for the next year. All necessary KYC Documents. Past 12 months Bank Account Statement. List of approved Vendors, whose bills have to be discounted.

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Additional Charges

Processing Fee - 1% of the sanctioned limit

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Online Application:
- Enter your details here and our representative will connect with you.

Offline Application:
- Visit Your Nearest Branch – Discuss your business needs with our loan officer. Branch locator
- Complete the Application Process – Submit the necessary paperwork for verification.
- Approval & Disbursal – Once approved, funds are made available quickly.

Frequently Asked Questions

Get answers to your queries

This facility is available for corporates engaged in manufacturing, retail, e-commerce, or trade of domestically manufactured goods, with an annual turnover of at least Rs. 500 Crores (CBD-Payable) or Rs. 1000 Crores (CBD-Receivable).

Financing ranges from Rs. 5 Crores to Rs. 50 Crores, depending on eligibility.

The maximum usance period is 90 days, providing flexibility in cash flow management.

The primary security includes accepted invoices, delivery challans, or accepted bills of exchange/demand bills. No additional collateral security is required.

Corporates with cheque returns marked as ‘Funds Insufficient’ in the last six months or classified under SMA-1/SMA-2 in the last 12 months are not eligible for this facility.

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