BILL DISCOUNTING

Unlock Funds Tied Up For Improved Business Growth

Bills and Invoice Discounting Service

Invoice Discounting or Invoice Bill Discounting is a method to arrange working capital by a business in which the Invoice is sold to the lender at a reduced price than the one quoted on the bill. In this arrangement, the seller receives the funds much before the due date of the bill and can invest that amount for his business.

AL QASR Bills and Invoice Discounting

Al Qasr Invoice discounting is product is designed for suppliers of supermarkets, private hospitals, private schools, insurance companies, hotels and other reputable companies. We provide instant access to cash that is tied up in outstanding invoices.

Features

Maximum Loan – 80% of value of invoice up to a maximum of Ksh.1,000,000
Minimum loan – Ksh.10,000,000
Maximum Term –3 months
Availability – Facility limit will be available for a stipulated period upon which the limit will be reviewed for renewal and extension where applicable

Applying for an invoice discounting loan is extremely simple. Please call our offices during working hours on +254 708 591 225 or fill out the online application below.

Bill Discounting FAQS

Who can avail Invoice Discounting?

Business to Business Services
Manufacturers
Distributors

What is the difference between Factoring and Invoice Finance?

Invoice Finance is confidential as details of customers or buyers are retained with the seller and the customers are not aware of the discounting agreement. In Factoring, the lender or the factor contacts the buyer for payments and payments are made directly to the bank. No confidentiality of customer information is maintained.

Is any security required if I take Invoice Finance with you?

Invoice Discounting does not require any property security as collateral. Your debtors or your Accounts receivable ledger for which you seek finance will be your collateral.

How will I know if Invoice Discounting is good for me?

Invoice Discounting will work for you if you have:

Less bad debts
Customers who make timely payments
Customers have a minimum 30 day credit period
You meet the minimum turnover criteria

What are the advantages of Invoice Discounting?

A quick release of the funds
Paperless online process
No security or pledging of assets required

How much loan can I avail of?

The amount of loan sanctioned to you depends upon your financial requirement, credit assessment. We can grant up to 90% of the invoice value depending upon conditions.

Documents required for Invoice Discounting

KYC documents of the applicant/co-applicant- ID card copy, Address proof
TAX/VAT registration certificate and TAX returns
Audited financials of the business
Copy of company certificate of incorporation/ Business Registration certificate
PIN certificate of the Company/ Business
Company CR12
ID copy and PIN certificate copy of the director(s)/ owner(s)
Six months certified bank statement for the company/ business
Duly filed and signed business loan application form
Duly filed and signed loan agreement
Particular invoices, delivery notes and also where applicable, credit notes
Collateral will exist in the form of letters of undertaking/assignment from the procurement entities

Loan Term

Repayment period ranges from one (1) to three (3) months

Apply for invoice discounting below:

Bills Discounting Loan Application

Your Name *

First

Middle

Last

Your Email *

Company Email address preferred

Your Mobile Number *

Company Business Name *

Type of Entity: (Tick as applicable) *

Sole Proprietorship
Partnership
Limited Company

Registered Company type

BRIEF DESCRIPTION OF BUSINESS and location: *

Type of goods and services sold and trade sector they are sold to

PARTICULARS OF THE CREDIT LIMIT

Duration Applied for in Months *

Number of Years in Business *

Gross average monthly revenue (turnover) Ksh* *

Number of customers who you provide credit *

Average credit terms provided to customers *

Average no. of days taken by customers to process claims *

Average projected monthly volume for invoice discounting *

Average amount of debtors outstanding at any given time *

Are your receivables encumbered to another lender? *

Details of Customers you wish to discount invoices

Please provide: Company Name, No. of Years doing Business with the Company, Avg. Invoice Amount, Avg. Debtor Amount Outstanding, Credit Limit Required

Message

More Information:

How Invoice Discounting Works?

When suppliers sell goods to buyers on a large scale, they send out an Invoice or a Bill with the number of goods and the payment due date to the buyer or the wholesale dealer.
These goods are sold on credit i.e. immediate payment is not made by the buyer.
The buyer wishes to delay the credit period while the seller will seek immediate payments.
This causes an amount locked for the supplier which otherwise could be used in the business.
To retrieve funds, suppliers can sell the Bill to an Invoice Discounting Company.
The Company gives out an immediate amount to the buyer based on that bill, but which is slightly less than the Bill amount.
The difference in the value of the bill and the amount paid to the supplier after discounting goes to the company as discounting fees.
The buyer can now utilize these funds as working capital.
On the due date of the bill, the supplier or the lender will collect the money from the buyer.

Overview:

*Value*	Up to 90% of Invoice Amount
*Availability of Funds*	Immediate
*Cost of Finance*	Service Charge+ Discount Charge as per agreement
*Collateral required*	NO

Benefits

Invoice Discounting is confidential process-customer information is not shared.
It is a suitable business finance option for small businesses that find it difficult to secure a loan.
Funds are released from the unpaid invoices.
Instant access to cash held up in invoices
More flexible than a loan or an overdraft
Payment collection is under control of the supplier
Invoice financing bad credit options can be used in case of Discounting without Recourse.

Small Business Invoice Loans

Small businesses that have not been into existence for long, find it difficult to get loans from the bank. They also do not possess sufficient assets and income in the initial years. Due to a lack of business contacts, they are also not able to attract investors to invest in their business. All these challenges put impediments in their path to success. As an alternative solution to obtain cash without acquiring new debt, Invoice Business Loans or Market Invoice Business loans can be used.

Features of Loan against Invoice Kenya

Bill Discounting is an invoice business loan.
It helps small businesses to obtain funds almost immediately based on invoices which are already present as collateral.
The invoice can be sold at up to 90% of the invoice value to the discounting agency and cash can be obtained.

Methods of Invoice Discounting

*With Recourse*	*Without Recourse*
Document checks are done by the seller’s bank	No document checks done by the seller’s bank
The seller or supplier is liable for debts not paid by the customers	Non-payment of debts is liability of bank/lender

Factors on which Invoice Discounting depends:

Your business financial requirement
Your monthly turnover for your business
Your business visibility
Active clients in your business
Invoices outstanding amount

ABOUT US

Al Qasr Investments is a ground-breaking online lender, offering Kenyan consumers small, short-term cash advances with unparalleled speed, convenience and flexibility. The company is transforming the huge Kenyan credit market by providing a responsible and short-term alternative to traditional sources of credit.

We are a non-deposit taking Micro-finance company. We provide short term pre-approved unsecured credit facilities from one week to one year mainly to employees of corporates. The loans can be accessed through our Website and WebApp on mobiles.