Question

Define bill discounting in business studies 1

Answer 1

Bill discounting, or invoice discounting is the act of sourcing working capital from future payables. ... Bill discounting can be defined as the advance selling of a bill to an intermediary (an invoice discounting business) before it is due to be paid. This results in less administrative charges, fees and interest.

Answer 2

Bill Discounting. Bill Discounting is a discount/fee which a bank takes from a seller to release funds before the credit period ends. ...Bill Discounting is mostly applicable in scenarios when a buyer buys goods from the seller and the payment is to be made through letter of credit.