Corporate Channel Finance Facilitation
The trusted bridge between distributors and dealers
Digital invoice confirmation, one platform credit limit, automatic late-charge tracking and security-cheque management — every clause of the Trade Setu agreement, enforced by software.
Invoice
INV-2026-00042
₹2,00,000
Due in 15 days
- Day 0
Invoice issued
Dealer notified instantly
- +24 h
Confirmed
Or deemed accepted — clause 3.3
- Day 1–15
Commission-free credit
Pay any time, no charges
- Day 16+
Overdue
15% p.a. from invoice date · supply blocked
- Due + 46
Administrative fee
₹100 per lakh per day
Key terms at a glance
The agreement, in six numbers
Each one is enforced automatically on the platform.
24 hrs
to confirm or object to an invoice
Clause 3.3
15 days
commission-free credit period
Clause 4.1
15% p.a.
late-payment commission
Clause 5.1
₹100
per lakh per day after 45 days overdue
Clause 7.1
3
signed security cheques per dealer
Clause 8.1
1
credit limit across all distributors
Clause 10.1
Principal-to-principal
Three parties, one bridge
Trade Setu sits in the middle; the two principals deal with each other directly.
Distributor
First party
Supplies goods and manages credit. Raises invoices on the platform, records receipts and holds the dealer's security cheques.
Trade Setu
Facilitator
A commission-based technology facilitator — payment facilitation and credit monitoring only. Not a bank, lender or NBFC.
Dealer
Second party
Buys the goods and is bound to pay on time. Confirms invoices digitally and pays only through NEFT, RTGS, IMPS or UPI.
How it works
From KYC to collection
Six steps, every one tracked on the platform.
- 1
Onboarding & KYC
Dealer fills the Schedule-A form — shop and owner details, GST, PAN, guarantor, bank details, 3 shop photos and bank-registered signature. Trade Setu verifies it.
- 2
Tripartite agreement
Distributor, dealer and Trade Setu sign digitally with signature and stamp. The agreement PDF with Schedule-A is generated automatically.
- 3
Invoice & consent
The distributor raises an invoice within the dealer's limit. The dealer taps CONFIRM — or it is deemed accepted after 24 hours with no objection.
- 4
Digital payment
Payment is due within the credit period. Receipts are recorded and verified; direct payments to the distributor must be reported within 24 hours.
- 5
Charges & supply block
Late payments attract 15% p.a. commission from the invoice date, plus an admin fee after 45 days. Any overdue invoice blocks new supply.
- 6
Cheques & recovery
Security cheques can be presented, cleared or marked bounced. Bounces start the Section 138 NI Act timeline with a generated legal notice.
Transparent charges
What does paying late cost?
Move the sliders to see the exact platform commission and administrative fee on one invoice — same formula the platform uses.
Total platform charges
₹2,465.75
1.23% of the invoice amount
Late-payment commission
15% p.a. × 30 days from invoice date (5.2)
₹2,465.75
Administrative fee
Starts only after 45 days past due
₹0.00
While any invoice is overdue the dealer's supply is blocked automatically (clause 7.2).
Illustration only. Actual charges use the terms frozen in your signed agreement and any force-majeure pause.
Who it's for
One platform, a workspace for every party
For distributors
First party
- Onboard dealers and track their KYC
- Raise invoices with a live credit-limit and supply-block check
- Record receipts and verify dealer-reported payments
- Resolve invoice objections
- Present, clear or bounce cheques; Section 138 notices
- Ageing, collections and charges reports
For dealers
Second party
- Fill Schedule-A KYC with photos, signature and cheques
- Sign the agreement and amendments digitally
- Confirm or object to invoices within 24 hours
- Report payments and pay platform charges
- See your credit limit, dues and full statement
- Reminders before every due date
For Trade Setu staff
Facilitator
- Review KYC and set the single credit limit
- Create, sign as facilitator and terminate agreements
- Verify payments, waive charges, force-majeure pause
- Dispute and arbitration register
- Registered-post notice register with tracking
- Users, settings, audit log and automation jobs
Built on the agreement
Every clause, enforced
How the platform implements the Corporate Channel Finance Facilitation Agreement (2026), clause by clause.
Legally grounded
Arbitration under the Arbitration & Conciliation Act, 1996 · Exclusive jurisdiction: Jaunpur, Uttar Pradesh.
Invoice verification & consent
CONFIRM button, objection window, automatic deemed acceptance
Credit period & payment
Due date = invoice date + credit period (max 15 days)
Platform commission
15% p.a. from invoice date on late amounts, recalculated every 6 hours
Cashless mandate
Only NEFT / RTGS / IMPS / UPI accepted — cash is rejected
Default & damages
Admin fee after 45 days overdue; automatic supply block
Security cheques & Sec. 138
Cheque register, bounce tracking, legal-notice PDF and deadlines
Direct payment
Direct payments reported after 24 hours are flagged
Single credit limit
One platform limit per dealer; only Trade Setu can change it
Arbitration & jurisdiction
Dispute register with arbitrator and hearings — seat Jaunpur, U.P.
Force majeure
Per-dealer pause window excluded from all charge day counts
Termination
All open dues become immediately payable
Confidentiality & audit
Strict data scoping, account statement and full audit log
Notices
In-app, official email and registered-post register
Amendments
Take effect only after all three parties sign
Cashless only
Every rupee moves through NEFT, RTGS, IMPS or UPI — fully traceable.
Nothing missed
Due-date reminders, overdue alerts and official notices on every channel.
Audit-ready
Signatures with IP and time, statements in PDF/CSV and a complete audit log.
FAQ
Common questions
Everything dealers and distributors usually ask before they start.
Need an account?
Dealers sign up in two minutes under their distributor. Distributors sign up too — Trade Setu verifies the business and approves the account.
Is Trade Setu a bank or a lender?+
No. Trade Setu is only a technology facilitator. It does not lend money, accept deposits or do direct lending; payments move directly between the dealer's and distributor's bank accounts (clause 1.3).
What happens if I don't respond to an invoice?+
If the dealer raises no written or system objection within 24 hours of receiving the invoice, it is treated as deemed accepted (clause 3.3). You can object from the invoice page with a reason.
How is the late commission calculated?+
Paying within the credit period costs nothing. If you pay after the due date, commission of 15% per annum is charged for every day from the invoice date — not just the late days (clauses 5.1 and 5.2). Try the calculator above.
Can I pay in cash?+
No. Every payment must be made through NEFT, RTGS, IMPS or UPI. Cash payments are not valid under the agreement (clause 6.1).
Why is my supply blocked?+
While any invoice is overdue beyond its due date, new sales and services are stopped automatically (clause 7.2). The block lifts as soon as the overdue amount is cleared and verified.
Can my distributor give me a separate credit limit?+
No. The dealer's credit limit runs only on the Trade Setu platform and is shared across all distributors. A distributor cannot run a parallel credit line or ledger account (clause 10.1).
How do I get an account?+
Dealers can sign up themselves: choose your distributor, enter your shop details and set a password, then complete the Schedule-A KYC. Your distributor can also add you. Distributors can sign up too; Trade Setu verifies the business and approves the account, after which they can onboard dealers and verify their KYC. You can sign in with your email or mobile number. If you were given a temporary password, you must change it at your first sign-in.
Already part of Trade Setu?
Sign in to confirm invoices, record payments and track your credit — all in one place.