Who it covers
Companies with annual turnover above ₹250 crore and all CPSEs must register on a TReDS platform — down from the earlier ₹500 crore threshold (2018).
Mandated on TReDS? Make it a strategy, not a tick-box.
TReDS, Registration, Platforms & the ₹250 Cr Mandate
TReDS is the RBI-licensed marketplace where your MSME vendors discount approved invoices at auction — collateral-free and without recourse, at your credit rating. If your turnover crosses ₹250 crore (or you are a CPSE) you must onboard by 31 March 2025. We are platform-agnostic — we help you choose across all four platforms, register, onboard vendors and turn the mandate into real working-capital advantage. Part of Finnova’s ₹4,250 Cr+ mobilised across 100+ corporate-finance mandates since 2011.
RBI-licensed Platform-agnostic Without recourse to MSME
Finnova’s corporate-finance track record since 2011, in numbers
₹4,250 Cr+
Capital mobilised across sectors4
RBI-licensed TReDS platforms₹250 Cr
Turnover mandate threshold (7 Nov 2024)~48 hrs
Typical vendor payment, non-recourseSince 2011
CA / ex-banker, senior on every fileTReDS (Trade Receivables Discounting System) is an RBI-regulated marketplace, set up under the Payment & Settlement Systems Act, where MSME suppliers get approved invoices financed through competitive bidding — collateral-free, without recourse to the seller, priced on the buyer’s credit. It is one of three SCF rails (alongside bank and NBFC programmes), not a synonym for supply chain finance. Indicative discounting rates run ~6.5–9% p.a., auction-discovered. See the full supply chain finance practice.
Finnova Advisory is an advisory firm — we help you select and onboard platforms and financiers; the bank, NBFC or TReDS financier sanctions and disburses. We are not affiliated with any single platform.
The ₹250 Cr onboarding mandate
Who must onboard TReDS — and by when
The MSME Ministry notification S.O. 4845(E), dated 7 November 2024, lowered the TReDS onboarding threshold from ₹500 crore to ₹250 crore and brought all Central Public Sector Enterprises into scope. It links up to our full supply chain finance practice.
By when
The notification set an onboarding deadline of 31 March 2025. If you crossed the threshold, registration is no longer optional.
Why it helps you
Onboarding also helps you pay registered micro & small suppliers inside the 45-day rule — protecting your Section 43B(h) tax deduction while a financier funds the early payment.
The four RBI-licensed platforms
RXIL vs M1xchange vs Invoicemart vs C2treds
All four are RBI-licensed and work the same way; the real difference is which financiers participate, sector reach and onboarding support — which is why the right choice (or running more than one) is a per-anchor decision, not a ranking.
| Platform | Promoter | Live since | In brief |
|---|---|---|---|
| PlatformRXIL | PromoterSIDBI & NSE (RXIL) | Live since2017 (first licensed) | In briefLargest by cumulative throughput; strong PSU & public-sector financier participation. |
| PlatformM1xchange | PromoterMynd Solutions | Live since2017 | In briefBroad private-bank & NBFC financier base; active content and onboarding support. |
| PlatformInvoicemart (A.TREDS) | PromoterAxis Bank & mjunction | Live since2017 | In briefAxis-anchored network; deep reach across corporate anchors. |
| PlatformC2treds | PromoterC2FO Factoring Solutions | Live sinceMay 2024 (4th platform) | In briefNewest licensee; SBI was first financier, Dabur first anchor. |
A fifth platform — KredX’s DTX — has received in-principle approval and is the next entrant. Platform participation and financier appetite change; we benchmark the live picture for your case. Read more on how TReDS invoice financing works.
How to register on TReDS
From registration to first discounted invoice
The mechanics are standardised across platforms. Where Finnova adds value is choosing the right platform(s), getting financiers to participate, and onboarding your vendor base at scale.
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Choose the platform(s)
advisoryWe map your financier relationships, sector and vendor base to the platform(s) most likely to give your vendors the best auction rates — one or more of the four.
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Register & KYC
1–2 weeksCorporate registration, board resolution, KYC and authorised-signatory documents go to the platform; the buyer entity is onboarded.
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Onboard financiers & vendors
2–4 weeksWe link your banks and NBFCs as financiers and onboard your MSME vendors with digital KYC — the step that decides whether the programme actually scales.
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Discount & settle
~48 hrs / invoiceVendors upload approved invoices, you accept, financiers bid, and the best rate is discovered. The vendor is paid without recourse; you repay the financier on the due date.
Why Finnova for TReDS
Platform-agnostic, and we run the whole rail mix
A platform sells you its exchange; a bank sells you its line. We sit on your side of the table — choosing the right rail, getting financiers to compete, and onboarding your ecosystem.
What we do for you
CA- and ex-banker-led, Pune & Mumbai-based, serving anchors pan-India.
What we’ll need to get you live
- Last 2 years’ audited financials of the anchor
- GST returns (anchor and counterparties)
- Board resolution & authorised signatories
- KYC of anchor, vendors and signatories
- Vendor master & sample invoices / POs
- External credit rating of the anchor (if available)
Indicative — varies by platform and financier. See the full SCF programme design approach.
Consultation
Onboarding TReDS? Let’s make it count
One conversation tells you which platform(s) fit, how to get financiers competing for your vendors’ invoices, and how to meet the ₹250 Cr mandate while actually freeing working capital. No platform pitch — a straight read from people who design these programmes.
Thank you — your enquiry has been submitted
We’ve received your details. A senior member of our team will review them and get back to you within one business day. Everything you’ve shared stays strictly confidential.
FAQ
TReDS, answered
Yes if your company turnover exceeds ₹250 crore, or you are a Central Public Sector Enterprise. The MSME Ministry notification S.O. 4845(E) dated 7 November 2024 lowered the threshold from ₹500 crore and set an onboarding deadline of 31 March 2025. Companies below the threshold can still join voluntarily as buyers.
There is no single best platform — fit depends on your financier relationships, sector, vendor base and the rates your name discovers at auction. Each is RBI-licensed and works the same way; the difference is financier participation and onboarding support. We are platform-agnostic and help you choose (or run more than one) on the merits.
The rate is discovered by competitive auction among financiers, so it is not a fixed number — indicatively around 6.5–9% per annum for a well-rated anchor, with platform fees that are nominal. A stronger anchor rating pulls a lower rate. Finnova gets you auction-ready and benchmarks the rate per case.
On TReDS the financing is without recourse to the MSME seller once the buyer accepts the invoice — the financier carries the buyer-default risk. This is what lets a small supplier draw at the anchor buyer’s credit rating rather than its own.
TReDS lets a buyer pay its registered micro and small suppliers within the 45-day limit (protecting its income-tax deduction under Section 43B(h)) while the financier funds the early payment — so the buyer keeps its own payable terms. It turns a compliance obligation into a working-capital tool.