Top 13 Factoring Companies in India - Leading Factoring Companies at a Glance

Jigisha Verified

Content Researcher   |   Updated 2026-07-10

Reviewed by ViewGates Editorial Team

Getting paid on time is a real struggle for many businesses in India. You deliver the goods, raise the invoice, and then wait — sometimes 60 or 90 days — before the money actually arrives. Factoring is a straightforward solution to this problem. You hand over your unpaid invoices to a factoring company, and they give you most of the money upfront. No waiting, no loans, no collateral. Companies like Drip Capital, SBI Factors, Tata Capital, rank among the top 13 factoring companies in India. They are making this service easy to access for exporters, small manufacturers, and growing businesses that simply cannot afford to wait on payments.

Comparing the Top 13 Factoring Companies in India

These ratings reflect ViewGates independent expert evaluation across weighted factors (service quality, support, market presence). They are not user-submitted scores.

Detailed Profile of the Top 13 Factoring Companies in India

Here are the full details of the top 13 factoring companies in India:

1. Axis Bank

Axis Bank is an Indian private sector bank offering retail, corporate, SME, and treasury banking services. Its portfolio includes working capital finance, trade finance, supply chain finance, invoice financing, cash management, and digital banking solutions for businesses. The bank serves individuals, enterprises, financial institutions, and government organizations through an extensive branch network and digital platforms. Within supply chain and receivables finance, Axis Bank supports buyers and suppliers with structured financing solutions integrated into corporate banking services. Its broad domestic network and international offices enable it to serve customers engaged in both domestic and cross-border business.

2. Tata Capital

Tata Capital is a non-banking financial company (NBFC) that provides financing solutions to retail customers, SMEs, and corporate enterprises. Its offerings include business loans, working capital finance, supply chain finance, equipment finance, commercial vehicle finance, housing finance, and wealth services. The company serves businesses across manufacturing, infrastructure, healthcare, retail, and services. Within receivables financing, Tata Capital supports enterprises with structured working capital and supply chain finance solutions. Its operations are supported by a nationwide branch network and digital lending platforms.

3. SBI Global Factors Ltd.

SBI Global Factors Ltd. (formerly SBI Factors & Commercial Services Pvt. Ltd.) is a subsidiary of the State Bank of India specializing in factoring and receivables finance. The company offers domestic factoring, export factoring, import factoring, reverse factoring, and invoice discounting solutions to improve business cash flow. It primarily serves SMEs, exporters, importers, and large corporates requiring trade receivables management. As a member of international factoring networks, it also supports cross-border trade finance, enabling businesses to access financing against receivables in multiple markets.

4. Receivables Exchange of India Ltd. (RXIL)

Receivables Exchange of India Ltd. (RXIL) operates a Trade Receivables Discounting System (TReDS) platform regulated by the Reserve Bank of India. The platform enables MSMEs to upload invoices accepted by corporate buyers or public sector entities and receive competitive financing from banks and financial institutions through an electronic auction process. RXIL supports digital receivables financing while improving liquidity for suppliers and enhancing transparency in invoice discounting. Its users include MSMEs, corporates, government enterprises, banks, and NBFCs.

5. M1xchange

M1xchange operates an RBI-authorized TReDS platform that facilitates invoice discounting and receivables financing for MSMEs. The platform connects suppliers, buyers, banks, and financial institutions through a digital marketplace where approved invoices are financed via competitive bidding. Its services are designed to improve working capital availability and reduce payment cycles for small and medium enterprises. M1xchange serves businesses across manufacturing, automotive, pharmaceuticals, FMCG, engineering, and other industrial sectors while supporting both private and public sector buyers.

6. Oxyzo

Oxyzo Financial Services is an Indian fintech NBFC that provides secured working capital solutions to SMEs and mid-sized businesses. Its offerings include supply chain finance, invoice financing, purchase financing, machinery loans, and business loans delivered through digital processes. The company primarily serves manufacturing, infrastructure, engineering, chemicals, pharmaceuticals, and allied industrial sectors. Oxyzo combines technology-enabled credit assessment with customized financing structures to address short-term liquidity requirements for growing enterprises and has expanded its presence across major industrial regions in India.

7. Drip Capital

Drip Capital is a fintech company that provides digital trade finance solutions for exporters and importers, with a primary focus on small and medium-sized enterprises (SMEs). Its platform offers invoice financing, export financing, import financing, and working capital solutions that simplify access to cross-border trade credit through automated underwriting and digital onboarding. The company serves businesses across industries such as textiles, food processing, chemicals, engineering, and consumer goods. By leveraging technology and data-driven credit assessment, Drip Capital supports businesses engaged in international trade across multiple global markets.

8. Credlix

Credlix is a fintech company specializing in digital supply chain and cross-border trade finance solutions. It provides invoice financing, export factoring, purchase order financing, and working capital solutions through a technology-enabled platform. The company primarily serves exporters, manufacturers, and SMEs seeking improved liquidity and streamlined access to trade finance. Credlix integrates digital documentation, automated underwriting, and risk assessment to facilitate financing for businesses engaged in global commerce across various industrial sectors.

9. Invoicemart

Invoicemart is a Trade Receivables Discounting System (TReDS) platform authorized by the Reserve Bank of India. Operated by A.TReDS Ltd., the platform enables MSMEs to obtain early payment against approved invoices by connecting buyers, sellers, and financiers in a digital marketplace. It facilitates transparent invoice discounting through competitive bidding by banks and financial institutions. The platform supports improved working capital management for suppliers while helping corporate buyers strengthen supply chain financing processes across multiple industries.

10. Canbank Factors Ltd.

Canbank Factors Ltd. is a subsidiary of Canara Bank engaged in factoring and receivables financing services. The company provides domestic factoring, export factoring, invoice discounting, and receivables management solutions to businesses seeking improved working capital efficiency. Its customer base includes SMEs, corporate enterprises, and exporters operating across manufacturing, trading, and service industries. The company also offers collection and credit administration services to support receivables management and business cash flow optimization.

11. IFCI Factors Ltd.

IFCI Factors Ltd. is a financial services company specializing in factoring and receivables financing solutions for businesses. The company offers domestic factoring, export factoring, bill discounting, and receivables management services designed to improve liquidity and working capital. It primarily serves MSMEs, corporate enterprises, and exporters across manufacturing, engineering, textiles, and trading sectors. IFCI Factors operates as part of the IFCI Group and supports businesses through structured receivables financing and collection services.

12. Kapitalkart

Kapitalkart is an Indian fintech platform focused on providing working capital and business financing solutions to micro, small, and medium-sized enterprises (MSMEs). The company facilitates access to unsecured business loans, invoice financing, supply chain finance, and revenue-based financing through a digital application process. It works with businesses across sectors including manufacturing, wholesale trade, retail, logistics, and services. Its technology-driven lending approach aims to simplify credit access for enterprises with varying financing requirements.

13. Pincap

Pincap is an India-based non-banking financial company (NBFC) that provides secured lending and working capital solutions to MSMEs and commercial enterprises. Its financing portfolio includes business loans, supply chain finance, invoice financing, and loan products tailored to small and medium-sized businesses. The company serves enterprises across manufacturing, trading, distribution, and service sectors by supporting their short-term and medium-term funding requirements. Pincap utilizes a combination of branch operations and digital processes to deliver credit solutions.

Key Evaluation Factors We Assess

This table exhibits few factors that are used to evaluate the top factoring companies:

Why Selecting the Right Factoring Company Is Important for Business Growth

Every factoring company works in different way — and picking the wrong one can quietly affect your business. Some charge fees that look small upfront but add up fast. Others take too long to release funds, which completely defeats the purpose. A few businesses have signed contracts without reading the fine print and ended up paying more than expected or staying locked in terms that did not suit them. The right factoring partner releases funds quickly, keeps fees transparent, and actually supports you when a buyer delays or disputes an invoice. Whether you go with a fintech platform like Drip Capital or a bank-backed option like Axis Bank or Tata Capital, what matters most is that the service fits how your business actually works.

How to Select the Right Factoring Companies for Cash Flow Stability

The following are some important factors to ponder while choosing a factoring company:

• You should verify that the company provides processing in less time and funding turnaround time.
• Also compare the discount rates, processing fees, and hidden charges for total cost clarity.
• Check credit risk coverage (recourse vs non-recourse factoring) before selection.
• Platform reliability, digital onboarding and ease of invoice submission.
• Opt for companies with proven MSME or sector-specific expertise.

Factoring Trends in India: What You Should Know

There are several important trends influencing the factoring market:

Invoice and Receivables Intelligence

The structure and presentation of the invoices have a bearing on the speed with which the factoring companies will disburse funds. Companies specifying the payment terms, verifying their buyers and maintaining GST-compliant records will be able to enjoy more rapid approvals and less red tape. Clean receivables records are not just sound accounting – they’re a business imperative.

Demand Patterns

Demand for factoring services is growing steadily across manufacturing, export, and MSME sectors, where long payment cycles are a constant operational challenge. Platforms like M1xchange and Invoicemart are seeing strong participation from smaller suppliers who earlier had no access to formal invoice discounting. The demand is especially strong in manufacturing, textiles, and export sectors where payment delays are simply part of how the industry operates.

Pricing Overview

Invoice factoring services in India charge between one and three percent of the invoice value as their fee. The cost of factoring services depends on your buyer's payment history, your industry, and how regularly you use the service. Businesses that factor invoices frequently and have reliable buyers usually get better rates over time.

Types of Factoring Available

Recourse factoring is the more affordable option — you take on the risk if your buyer does not pay. Non-recourse factoring costs a little more but the factoring company absorbs the loss if a buyer defaults. For companies with clients abroad, export factoring through Drip Capital or Credlix, for instance, takes care of the added complexity of currency and cross-border compliance.

Technology and Digital Shift

Platforms like RXIL, Pincap and M1xchange have made factoring much simpler – you upload your invoices, get verified and receive the funds without needing to visit a branch or fill out mountains of paperwork. The entire process that once took days now often completes within 24 to 48 hours on good platforms. This digital shift has been the single biggest reason more small businesses are finally giving factoring a serious look.

Market Overview

India's factoring market is still growing and there is a lot of room for expansion compared to more mature markets globally. Both established bank-backed institutions like SBI Factors, Canbank Factors, and IFCI Factors and newer fintech players like Oxyzo, Kapitalkart, and Pincap are actively bringing more businesses into the system. Government frameworks like TReDS have added trust and structure that make the whole ecosystem more reliable for everyone involved.

Where to Access Factoring Services

If you are an exporter, companies like Drip Capital and India Factoring are built specifically for cross-border invoice needs. Domestic small businesses often find TReDS platforms like RXIL or M1xchange the easiest place to start. Larger companies with high invoice volumes usually work directly with bank-backed providers like Tata Capital or Axis Bank for higher limits and more personalized service.

How ViewGates evaluates and rates these companies

Our evaluations are conducted independently by the ViewGates Editorial & Research Team. To build a complete picture of each company, our analysts aggregate public sentiment and data from multiple external sources — including community and trade forums, survey data, verified reviews across the web, and direct industry inquiries — and combine this with our internal database and proprietary scoring criteria such as service quality, support, pricing, and overall market presence.

User sentiment is one input among many; final ratings reflect ViewGates' independent expert assessment and are not based on direct user submissions on this platform. We follow a structured, consistent methodology to ensure fair comparisons across companies. Learn more on our Methodology page. To suggest a correction, contact us at support@viewgates.com.