RoDTEP & Duty Drawback Consultant | Recover Unclaimed Export Incentives — Export Import Leadership Institute by Viral Shah

Government Export Benefits › Alternative trade finance

Government of India · EPM | Official name: Alternative Trade Instruments

Get paid now — don't wait months for the buyer.

Q: What's recourse vs non-recourse?

In recourse factoring you stay responsible if the buyer doesn't pay; in non-recourse the factoring company absorbs that loss. Non-recourse costs a little more for the extra safety.

Export factoring turns your export invoices into cash upfront, and the Government subsidises up to 2.75% of the cost.

Buyer ની રાહ જોયા વગર અત્યારે પૈસા મેળવો — factoring થી. 🔄

Check if you're eligible Get a free Benefit Check

Illustrative

The benefit

2.75% subvention

on your export factoring cost

Maximum benefit₹50 lakh / IEC

TypesRecourse & non-recourse

Who it's forMSME exporters

Runs throughRegistered factoring NBFCs

Watch

Alternative trade finance, explained in 2 minutes

Your 2-minute explainer goes here Shoot a horizontal (16:9) video and paste the YouTube embed in this slot.

What this benefit is

When you ship on credit terms, your money is stuck in the invoice for weeks or months. Export factoring lets you sell that invoice to a registered factoring company and get most of the cash immediately — and under the Export Promotion Mission, the Government subsidises up to 2.75% of the factoring cost.

It comes in two forms: recourse (you remain responsible if the buyer doesn't pay) and non-recourse (the factoring company absorbs the non-payment risk). The subvention is capped at ₹50 lakh per IEC.

સાદી ભાષામાં: invoice ના પૈસા અત્યારે, અને સરકાર cost માં ભાગ આપે. 🔄

Factoring = selling your unpaid export invoice to get cash now. All figures are as per current DGFT guidelines and should be verified before you act.

✅ Who can get it

You are an MSME exporter (with Udyam).
You have a valid IEC.
Your product's 6-digit HSN code is on the notified list.
You sell on credit terms and want cash sooner.

We confirm your eligibility in the Benefit Check.

📋 What you'll need

IEC & Udyam
Product HSN code
Export invoices
Buyer details
Factoring agreement (we help)

આટલું તૈયાર હોય તો process ઝડપી બને.

⏱️

File your Intent before you factor the invoice

File your Intent on the DGFT portal and get your UIN before availing the factoring, then share it as required. A fresh UIN is needed each financial year.

factoring से पहले DGFT पर Intent और UIN लें। हर साल नया UIN बनाएँ।

A simple illustration

What factoring can look like

Illustrative only — not a quote or a promise

Export invoice value	₹40,00,000
Cash you receive upfront (illustrative)	a large part of it
Govt subvention on cost (up to 2.75%)	lowers your financing cost

Illustration only. How much cash you get upfront depends on the factoring company and your buyer; the subvention is up to 2.75%, capped at ₹50 lakh per IEC, subject to current guidelines. We never promise a figure.

Viral Shah's guidanceવિરલ શાહનું માર્ગદર્શન

"Paisa invoice mein atka rehta hai aur aap naya order nahi le paate — yahi dikkat factoring solve karti hai. Invoice bech kar cash lijiye, aur sarkar 2.75% tak cost mein madad karti hai."

"Recourse ya non-recourse — kaunsa aapke liye theek hai hum batayenge, aur registered factoring company tak le jaayenge."

How we help

We help you turn invoices into cash — correctly

Benefit Check

We confirm eligibility and your HSN.

Intent & UIN

We guide the Intent and your UIN.

Factoring NBFC

We connect you to a registered factoring company.

Follow-up

We help track the subvention claim.

Check if you're eligible

Common questions

Alternative trade finance — answered

What's recourse vs non-recourse?

In recourse factoring you stay responsible if the buyer doesn't pay; in non-recourse the factoring company absorbs that loss. Non-recourse costs a little more for the extra safety.

How much cash do I get upfront?

Depends on the factoring company and your buyer — typically a large part of the invoice. We can't promise a figure.

What does the Government cover?

Up to 2.75% subvention on the factoring cost, capped at ₹50 lakh per IEC, as per current guidelines.

Do I file an Intent?

Yes — before availing the factoring, with a fresh UIN each year.

You may also be eligible for

Benefits that often go together

💸

Cheaper export loans

Up to 2.75% lower interest on export credit.

See how → 🏦

Export loans without collateral

Borrow without pledging property — up to 85% cover.

See how → 🛒

Credit for e-commerce exporters

Collateral-light credit + subvention for online exporters.

See how →

Free EPM Benefit Check

See if export factoring fits you — in 15 minutes

Share a few details and we'll tell you honestly where you stand and the exact next step. No obligation.

15 મિનિટમાં જાણો — તમારા માટે શું શક્ય છે. કોઈ obligation નહીં. 📋

Alternative trade finance — enquiryNo cost · no obligation · we reply on WhatsApp

All EPM benefits

Explore the other 9 benefits

01Cheaper export loans
Interest Subvention→ 02Export loans without collateral
Collateral Support→ 03Safer payments from risky markets
Emerging Export Opportunities→ 04Alternative trade finance
Alternative Trade Instruments · you're here● 05Credit for e-commerce exporters
E-Commerce Credit Assistance→ 06Get back 60% of certification cost
TRACE→ 07Get 30% of your freight back
LIFT→ 08Overseas warehousing support
FLOW · access→ 09Trade fair & market access
Market Access Support · access→ 10Capacity building & trade intelligence
INSIGHT · access→

← Back to all benefits

Important: Benefits are subject to DGFT / bank eligibility and current guidelines. EILI (Export Import Leadership Institute by Viral Shah) is an independent consultant and not a government body; we cannot approve claims, influence decisions, or guarantee any benefit, amount or timeline. Scheme figures shown are as per current DGFT guidelines and — because the Export Promotion Mission is being rolled out and rates are reviewed periodically — should be verified against the latest official notices before you act.