I. Description
Commercial draft discounting refers to the business act of ICBC discounting acceptance institutions purchasing, by full endorsement, undue commercial drafts with true transactions and legitimately acquired by corporate bearers or other organizations.

II. Target Customers
Business entities and other organizations holding commercial drafts and with short-term financing needs.

III. Features and Advantages
i. Commercial draft discounting can reduce an enterprise’s bills receivable, instantly convert them into cash assets, enhance the asset liquidity, and optimize the structure of financial statements;
ii. Compared with traditional loans, commercial draft discounting can speed up capital turnover, thus enhancing the efficiency of capital utilization;
iii. It can vitalize an enterprise’s existing assets, reduce related financial expenses such as interest expense, enhance the assets utilization ratio, and reduce the financing costs;
iv. Easy procedures, and practical and efficient financing meet the enterprises’ demands for quick availability of funds.

IV. Conditions
i. The original and a photocopy of the applicant’s business license; for enterprises whose business license, organization code certificate and tax registration certificate are not incorporated into one, the original and a photocopy of tax registration certificate shall be provided additionally;
ii. The original of the handler’s identification card, and the photocopies of the handler’s and the legal representative’s identification cards;
iii. A power of attorney authorizing the handler to handle the business (stamped with the official seal and signed/stamped by the handler);
iv. The original of the commercial draft and a photocopy of its both sides;
v. The original and a photocopy of the trade contract;
vi. The original and a photocopy of the related tax invoice;
vii. Discounting voucher (stamped with the official seal or finance stamp consistent with the previously affixed seal);
viii. Discount Agreement in the prescribed form (completely filled out, affixed with official seal or contract seal, the personal seal or signature of the legal representative or the authorized agent);
ix. Other documents required by ICBC discounting acceptance institutions.

Note: The information on the page is for reference only. Specific businesses are subject to announcements and regulations of local outlets.