Invoice Discounting
The process involves buying outstanding invoices at a discount from SME, pays the SME
immediately and collects payment from the debtors when the invoices are due. Invoices can be discounted at 10% over a maximum period of 30 days or 15% over a period of 60 days.
Facility Conditions
- Products or service must be delivered before processing the facility.
- Debtor must be happy with products or services.
- Debtor must be Central Government, Regional Councils, Local Authorities (town councils/municipalities), State-owned Enterprises (SOEs) or a Reputable Private Company.
- Invoice must be issued.
- Maximum Loan repayment period of 60 days (2 months).
- Loan facility can cover up to 90% of invoice value.
- Cession Agreement (invoiced amount to be paid into Bellatrix’s bank account).
Application Process
- MSME submits invoice after supplying material or rendering a service.
- MSME applies for invoice discounting facility with Bellatrix.
- MSME , Bellatrix and the Debtor to sign a cession agreement for the invoice amount to be paid into Bellatrix’s bank account.
- MSME signs a contract with Bellatrix to acknowledge receipt of loan facility.
- Bellatrix pays up to 90% of the invoice value to MSME .
- 100% of invoice value paid into Bellatrix’s bank account upon due date.