TReDS (Trade Receivables Discounting Systems) are electronic platform designed for the financing and discounting of trade receivables for Micro, Small, and Medium Enterprises (MSMEs). They offer a streamlined and hassle-free process for MSMEs to obtain financing at competitive rates from multiple listed financiers.
These platforms involves three key participants: sellers, buyers, and the financiers.
Benefits to MSMEs
Easy Access to Funds
Complete Digital Process
Low interest rates for MSMEs
Large pool of financiers with highly competitve rates
Regulated by the Reserve Bank of India
Who can Register on TReDS?
Sellers on TReDS
MSMEs
Buyers on TReDs
Corporates
Government Departments
Public Sector Undertaking (PSUs)
Any other Entities
Financers on TReDs
Banks
NBFC-Factors like 121 Finance Pvt. Ltd
Other Financial Institutions authorised by the Reserve Bank of India