Celebrate Freedom with 20% OFF on CAclubindia Pro Subscription. Use Code: FREEDOM20

How to generate purchase bills to investor for bill discounting website

A/c entries 78 views 2 replies

Amit Khapandi

3 Points Joined April 2021

Hello everyone

I have a bill discounting website where 4 parties are involves

1) buyer

2) seller

3) website

4) investor

Sellers comes to website and upload unpaid "purchase bills" that they want to discount. Investors buys that bill and pay discounted amount to website. Next day website gives that discounted amount to sellers. Now seller roles end here. He gets his discounted amount. Now investor waits for maturity day to get his returns(interest). Buyers pays website actual bill amount money to website on maturity day and than website transfer that amount to investors. All incoming payments are done through razorpay payment gateway. Razorpay people have put hold of my money asking me to give invoice of transaction. My query is how to prepare bill for investors. Anything i can do like flipkart "sold to ship to" or any other format. Please help as it is a startup if i dont solve this issue early i will get negative and startup will be closed.

Thankyou

Replies (2)

Rama chary Rachakonda

Master in Accounts & high court Advocate

8979 Points Joined December 2011

Let's break down the billing requirements for your bill discounting platform:

Billing Requirements for Investors -

*Invoice Format*: You'll need to create invoices for the investors, detailing the transactions and amounts involved.

A format similar to "Sold to" and "Ship to" might not be directly applicable, as it's more relevant to e-commerce shipping. -

*Transaction Details*: Your invoice should include essential details such as: - Investor's name and contact information - Bill details (e.g., bill number, buyer name, maturity date) - Discounted amount paid to the seller - Interest earned by the investor - Maturity date and payment details Possible Invoice Format -

*Bill Discounting Transaction Invoice*: You can design an invoice format that includes the following sections: -

Transaction Details: Bill number, buyer name, seller name, maturity date, and discounted amount -

Investor Details: Investor's name, contact information, and payment details -

Payment Terms: Details on how the investor will receive their returns (interest) on maturity - Maturity Date and Payment: Specify the date when the buyer will pay the website, and the website will transfer the amount to the investor Additional Considerations -

*Tax Compliance*: Ensure you're complying with tax regulations and including necessary tax details in your invoices. -

*Transparency and Clarity*: Make sure your invoices are clear, concise, and provide all necessary information to avoid any confusion or disputes.

Next Steps - *Consult with Razorpay*: Reach out to Razorpay's support team and provide them with the invoice format you've designed. They may have specific requirements or guidelines to follow. -

*Seek Professional Advice*: Consider consulting with a financial or legal expert to ensure your invoice format and billing process comply with relevant regulations and industry standards. By creating a suitable invoice format and addressing Razorpay's concerns, you should be able to resolve the issue and get your startup back on track.

Amit Khapandi

3 Points Joined April 2021

CAN YOU HELP PREPARING INVOICING. I CAN PAY YOU THE CHARGES. IF YES PLEASE CONNECT ON AMIT.KHAPANDI @ GMAIL.COM

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register

Recent Threads

More recent discussions | Post

Related Threads