📝 One-liners · 66 cards

MSME Receivable Management: TReDS Initiative

What is the single most common cause of working-capital stress in MSMEs?
Delayed payment is the single most common cause of working-capital stress in MSMEs. Suppliers often wait 60, 90, or even 180 days to be paid after shipping goods.
How many challenges in trade receivables are identified for MSMEs in the MSME Receivable Management framework?
Eight challenges
Under Section 15 of the MSMED Act, 2006, what is the maximum payment period if there is a written agreement between buyer and MSME?
If there is a written agreement specifying a credit period, the buyer must pay the MSME supplier within 45 days.
What is the typical payment cycle (in days) that MSMEs face from large buyers, far exceeding agreed terms?
90 to 120 days
🔒

Unlock 66 revision one-liners

Interactive flashcard deck — flip every card to drill questions and answers, mark the ones you got wrong, and revise smarter for MSME Receivable Management: TReDS Initiative.

🪙
Unlock cost
300 coins
30-day access · re-unlocks free for 30 days
Sign in to unlock