My dashboardTurn unpaid invoices into immediate cash instead of waiting months to be paid
At a glance
A government-backed factoring scheme run through the Industrial Finance Corporation of Mauritius that converts your unpaid credit-sales invoices into immediate cash. A Rs 100,000,000 line of credit backs the scheme, with interest around 3.9%, and it is open to enterprises with annual turnover up to Rs 50,000,000. It directly targets the late-paying-client problem that chokes SME cash flow.
The Government Factoring Scheme, delivered through the Industrial Finance Corporation of Mauritius (IFCM), fixes one of the most painful problems in Mauritian business: clients who take 60, 90 or 120 days to pay. Instead of waiting on your invoices, you hand them to the scheme and receive most of the cash straight away, with the balance settled when your client finally pays. Your sales keep funding your operations instead of sitting in someone else's payables.
The scheme is backed by a Rs 100,000,000 line of credit, and the interest cost is around 3.9%, which is low for this type of facility. Commercial factoring, where it exists at all, usually costs considerably more, so if you sell on credit terms this is one of the cheapest ways in Mauritius to unlock the cash trapped in your debtor book.
It is open to enterprises in Mauritius, run by citizens or residents, with an annual turnover of up to Rs 50,000,000. The key practical requirement is that you sell on credit, meaning you invoice business clients and get paid later. If your clients pay you cash on the spot, factoring has nothing to unlock for you.
To apply, start from the financing mechanism section of the EDB Business Support Portal at business-support-portal.edbmauritius.org, or contact IFCM directly. Have your business registration, recent financial statements and a clear picture of your debtor book ready: who owes you, how much and on what payment terms. IFCM will assess both your business and the quality of the clients whose invoices you want to factor.
Watch out for this
Watch out for the details before you count on the 3.9% figure, as the rate and the scheme's exact mechanics should be reconfirmed with IFCM since published information is thin. Also understand what happens if your client never pays: ask whether the factoring is with recourse, meaning the debt comes back to you, and factor that risk into which invoices you submit. Factoring solves timing problems, not bad-debtor problems.
Start from the financing mechanism page on the EDB Business Support Portal or contact IFCM directly, with your business registration, recent financials and a list of the credit-sales invoices or debtors you want to factor.
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