Bank of India Joins 'C2treds' to Support Small Businesses

MUMBAI:  Bank of India (BOI) has taken a major step toward supporting small businesses by partnering with 'C2treds', a digital platform owned by C2FO. This partnership allows the bank to provide fast, tech-driven financing to Micro, Small, and Medium Enterprises (MSMEs), helping them overcome cash flow shortages.

The agreement was signed by Shri Ravi Shankar (General Manager, BOI) and Ms. Neha Bahadur (Managing Director, C2treds) in the presence of Shri Rajneesh Karnatak, MD & CEO of Bank of India, along with other top executives.

Key Partnership Highlights

This collaboration focuses on using the TReDS (Trade Receivables Discounting System) to make lending more efficient and transparent for small entrepreneurs.

• Digital Financing: MSMEs can now get their unpaid bills (invoices) cleared quickly through a digital auction process on the C2treds platform.

• Faster Cash Flow: The partnership ensures that businesses get access to working capital within 24 hours of their invoices being approved, rather than waiting months for payments.

• Technology Driven: By using C2treds' advanced platform, Bank of India can reach more small businesses across the country without the need for traditional paperwork.

Impact on Small Businesses and the Region

The move is expected to strengthen the backbone of India's economy by ensuring that money keeps moving through the MSME sector.

• Boosting Liquidity: Small businesses can pay their staff and buy raw materials on time because their money isn't stuck in "pending payments."

• Collateral-Free Help: Since the financing is based on confirmed invoices from large buyers, MSMEs don't need to provide extra security or property as collateral.

• Stronger Industry Links: This system encourages large corporate buyers to work more closely with small suppliers, creating a healthier business environment.