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Working Capital for IT Services Companies
Receivable finance, unsecured growth capital and office capex for IT services, product and staffing companies.
How We Serve the IT Companies Sector
IT services companies are asset-light and receivable-heavy: payroll leaves the bank on the 1st while client payments arrive on day 45–90, and traditional lenders struggle to lend without hard collateral.
LOANYARD CAPITAL arranges invoice discounting against domestic and export client receivables, unsecured working capital sized on contracted revenue, and term funding for delivery-centre buildouts — from lenders that underwrite cash flow, not collateral.
Funding Challenges We Solve
Funding Solutions for IT Companies
Case Study
IT services firm (US clients), Bengaluru
₹6 Crore payroll-cycle funding
The Challenge
A 400-person services firm with Fortune-500 clients faced a monthly ₹4 Cr payroll against 60-day receivables. Banks declined citing zero collateral; the promoter was funding gaps personally.
Our Solution
We set up export invoice discounting against the US client receivables at 85% advance, plus a ₹1.5 Cr unsecured flexi line for intra-month timing — both priced on client covenant quality.
Business Impact
- Payroll funded predictably; promoter loans repaid
- Effective cost 10.2% vs 18%+ unsecured alternatives
- Headcount grew 35% with no cash stress