PO Funding is an effective solution to fund sellers right from the start of the manufacturing process, as soon as they receive a PO from their buyers.
An instrument devised by bankers to help fund sellers procure raw-materials and invest in manufacturing the goods pre-shipment, PO Funding is an excellent source of working capital for sellers who want to scale their businesses without incurring higher operational expenses.

Process flow
- Buyer raises a PO which is sent to the seller for acceptance
- Seller accepts the PO and can choose financing manually, if not on Autofinance
- Veefin SCF pulls accepted PO details after integration with Buyer’s ERP systems
- System automatically sends the PO details to the financial institution with the final disbursement amount auto-calculated as per sanction terms
- Seller receives funds immediately, delivers goods on the due date and raises an invoice against the PO
- If the seller wishes to avail invoice discounting facility, amount against PO is configured in the system to be knocked out upon generation of invoice and a new loan is created with an outstanding against the invoice
- If not, seller makes the payment of the amount due against the PO and Veefin SCF settles the outstanding.
- In case of a delay beyond the due date, penal interest charges are levied as per financial institution’s sanction terms.
Distinctive Features
Automate to your comfort
Personalize the extent of automation required from a range of semi-automated alternatives to fully automated models.
Efficient User Interfaces
Intuitive interfaces backed with logical workflows allow ease in onboarding and execution of transactions.
Access on Mobile
Mobile applications for suppliers and corporates to access Veefin and perform transactions swiftly from any location.
Dynamic workflows and solution
Easily configured to automate all commercial aspects of the transaction – Processing Fees, Interest Collection (Upfront/rear-ended), Interest Sharing (Between Buyer and Seller)
Limit-Setting Convenience
Sanctioned terms and approved limits can be uploaded as per requirements (Buyer-Seller combination limits, limit on the seller or buyer individually)
Automate redundant tasks
Trigger for penal interest charges, auto debits, and escalation matrix to alert financial Institutions on potential collection issues can be automated using Veefin