{"id":55012,"date":"2022-01-19T18:18:12","date_gmt":"2022-01-19T12:48:12","guid":{"rendered":"https:\/\/enterslice.com\/learning\/?page_id=55012"},"modified":"2022-09-13T18:04:36","modified_gmt":"2022-09-13T12:34:36","slug":"rbi-notifies-norms-for-registration-of-companies-proposing-to-do-factoring-business","status":"publish","type":"page","link":"https:\/\/enterslice.com\/learning\/whitepapers\/rbi-notifies-norms-for-registration-of-companies-proposing-to-do-factoring-business\/","title":{"rendered":"RBI notifies norms for registration of companies proposing to do factoring business"},"content":{"rendered":"<p>On 14th January RBI notified guidelines for the grant of certification to register companies that plan to conduct factoring business. The companies which want to get registered as an <a class=\"glossaryLink\"  aria-describedby=\"tt\"  data-cmtooltip=\"&lt;div class=glossaryItemTitle&gt;NBFC&lt;\/div&gt;&lt;div class=glossaryItemBody&gt;Non-Banking Financial Companies (NBFC) operate similarly to banks but do not possess the legal status of a bank. Registered under the Companies Act 2013 and governed by the RBI Act&amp;#039;s section(...)&lt;\/div&gt;\"  href=\"https:\/\/enterslice.com\/learning\/terms\/nbfc\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'>NBFC<\/a>-Factor need to have a minimum of Rs. 5 crores of the net owned fund. A company must ensure compliance with principal business criteria (PBC) in order to obtain its certificate of registration<\/p>\n\n\n\n<p>In the factoring transaction, a business entity will sell the due receivable from a corporate to NBFC\/Banks in return for some immediate funds. This process is carried out through an online portal created by the RBI known as TReds (Trade Receivables Discounting System). The portal&rsquo; s purpose is to assist the businesses to receive finance by connecting them through various financiers.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>On 14th January RBI notified guidelines for the grant of certification to register companies that plan to conduct factoring business. The companies which want to get registered as an NBFC-Factor need to have a minimum of Rs. 5 crores of the net owned fund. A company must ensure compliance with principal business criteria (PBC) in [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":55014,"parent":15144,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"download-newsletter.php","meta":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v14.6.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>RBI notifies norms for registration of companies proposing to do factoring business-Enterslice<\/title>\n<meta name=\"description\" content=\"On 14th January RBI notified guidelines for the grant of certification to register companies that plan to conduct factoring business.\" \/>\n<meta name=\"robots\" content=\"index, follow\" \/>\n<meta name=\"googlebot\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta name=\"bingbot\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterslice.com\/learning\/whitepapers\/rbi-notifies-norms-for-registration-of-companies-proposing-to-do-factoring-business\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"RBI notifies norms for registration of companies proposing to do factoring business-Enterslice\" \/>\n<meta property=\"og:description\" content=\"On 14th January RBI notified guidelines for the grant of certification to register companies that plan to conduct factoring business.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterslice.com\/learning\/whitepapers\/rbi-notifies-norms-for-registration-of-companies-proposing-to-do-factoring-business\/\" \/>\n<meta property=\"og:site_name\" content=\"Enterslice\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/enterslice\" \/>\n<meta property=\"article:author\" content=\"enterslice\" \/>\n<meta property=\"article:modified_time\" content=\"2022-09-13T12:34:36+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/enterslice.com\/learning\/wp-content\/uploads\/2022\/01\/RBI-notifies-norms-for-registration-of-companies-proposing-to-do-factoring-business.png\" \/>\n\t<meta property=\"og:image:width\" content=\"670\" \/>\n\t<meta property=\"og:image:height\" content=\"352\" \/>\n<meta name=\"twitter:card\" content=\"summary\" \/>\n<meta name=\"twitter:creator\" content=\"@enterslice\" \/>\n<meta name=\"twitter:site\" content=\"@enterslice\" \/>\n<!-- \/ Yoast SEO plugin. -->","_links":{"self":[{"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/pages\/55012"}],"collection":[{"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/comments?post=55012"}],"version-history":[{"count":0,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/pages\/55012\/revisions"}],"up":[{"embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/pages\/15144"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/media\/55014"}],"wp:attachment":[{"href":"https:\/\/enterslice.com\/learning\/wp-json\/wp\/v2\/media?parent=55012"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}