When you run a business in India, you often have to deal with cash flow problems and always look for ways to get the most out of extra money. It may seem safe to put money in a traditional savings account or a fixed deposit, but they don’t usually pay out much interest. That’s where exploring high return investments for businesses becomes essential.
Businesses today can invest in a wider range of asset classes for better short- and long-term returns thanks to fintech innovation, regulated platforms, and other investment options. In this blog, we’ll talk about the top 10 investment platforms in India that give businesses the best returns. We’ll also talk about their strengths and how to pick the right one.
Why businesses need to invest in things that give them a high return
Keeping cash in low-yield accounts that aren’t being used slows growth. Smart businesses look for: Higher ROI than regular deposits
- Cash flow to meet working capital needs
- Diversifying to lower the risk of loss
- Safe platforms that are regulated and clear
Reports from the industry say that Indian businesses miss out on big chances when they leave money unallocated for a long time. Using extra money wisely makes your finances more stable.
The 10 best investment platforms for businesses in India that give high returns
1. Finworks360: Financing for invoices and receivables
Finworks360 gives businesses access to discounted invoices, which can earn them up to 12–15% a year. It links businesses that need money with investors who want short-term, high-yield investments.
2. M1xchange: The TReDS Platform
M1xchange is a Trade Receivables Discounting System that is licensed by the RBI. It lets businesses buy discounted trade receivables from big companies. It is regulated, open, and perfect for businesses that want stable returns that are higher than those on deposits.
3. Clear Invest (ClearTax)
Clear has grown to offer corporate financing options like invoice discounting and supply chain financing. Businesses can use their money to make good returns while helping vendors and supply chains by paying them early.
4. Indifi—Digital Lending Participation
Indifi lets businesses and institutions invest in small and medium-sized businesses. It offers higher yields, but with a little more risk than bank deposits, because it uses technology to underwrite.
5. Cashflo—Financing for the Supply Chain
Cashflo helps businesses set up early payment programs for vendors. On the platform, businesses can act as lenders, getting higher and more predictable returns, while corporations make sure that the supply chain has enough cash flow.
6. Oxyzo: Smart Business Loans
Oxyzo gives businesses the chance to take part in structured debt instruments and invoice financing. It is made for higher returns with controlled risks, thanks to data-driven risk assessment.
7. Vivriti Capital: A Place to Buy and Sell Debt
Vivriti focuses on businesses in the middle of the market and offers corporate debt and receivables as investment options. With the right amount of research, businesses can get returns in the double digits.
8. KredX: Discounting Invoices
KredX is a top marketplace for invoice discounting, where businesses can buy invoices from other businesses. It provides MSMEs with liquidity and short-term, high-yield returns. Returns usually range from 10% to 15% a year, depending on how risky the investment is.
9. ICASPER: Business Loans Without Collateral
ICASPER brings together small and medium-sized businesses (SMEs) that need unsecured financing and connects them with investors. Companies that are willing to take risks can put money here for competitive returns based on the growth of small and medium-sized businesses.
10. AIFs, or Alternative Investment Funds
AIFs give businesses with bigger surpluses a chance to invest in private equity, venture debt, or high-yield bonds. These are riskier, but they can give much bigger returns than regular options, which makes them popular with businesses that can handle more risk.
Key Insights from the Market
- Reports say that corporate treasuries in India only make 4–6% a year on bank deposits that aren’t being used.
- Invoice discounting and supply chain financing platforms now offer returns of 10% to 15%, depending on how good the buyer’s credit is.
- Many fintech platforms say they can get money to businesses in 24 to 48 hours. This lets businesses make money faster and keeps their cash flow steady.
How to Pick the Right Platform
- How Much Risk Are You Willing to Take? Businesses that are more conservative might like regulated TReDS platforms better. Businesses that are more willing to take risks can look into fintech invoice discounting or AIFs.
- If you need to be able to change your working capital quickly, short-term loans like invoice discounting are more beneficial.
- Always check for approvals from the RBI, SEBI, or other regulatory bodies.
- Return vs. Reliability: Higher returns usually mean higher risks. For long-term growth, you need to find a balance between the two.
- Diversification means putting money into a lot of different places to lower the risk of losing it.
Things to think about when it comes to risks
- Risk of default if invoices are late or disputed
- Changes in the market for alternative investments
- Platform credibility—always check the company’s history and compliance.
- AIFs and other long-term investments have liquidity problems.
In the end
Banks and fixed deposits are no longer the only places where Indian businesses can find high-return investment platforms. There are a lot of opportunities out there, and they are only getting bigger. These include regulated TReDS platforms like M1xchange and fintech companies like KredX, Oxyzo, and Cashflo.
The most important thing is to find the right platform that fits your business’s risk profile, liquidity needs, and growth strategy. Not only do these investments make you more money, but they also make your money more stable.
Questions and Answers
1. What is the safest way for high return investment for businesses?
TReDS platforms like M1xchange and Invoicemart that are regulated by the RBI are some of the safest. They give steady returns and are open about how they do business.
2. What kind of returns can businesses expect from invoice discounting?
Returns are usually between 10% and 15% a year, depending on how good the buyer’s credit is and the terms of the invoice.
3. Can you trust fintech platforms to make good business investments?
A lot of fintechs, like KredX and Oxyzo, have strong investors and follow the rules. Before you invest, always read the risk disclosures.
4. Can small businesses also put money into these platforms?
Yes, some platforms let you buy smaller tickets, while others are better for businesses or institutional investors.
5. How can companies lower the risks of investments that pay off well?
By spreading your investments across different platforms, choosing regulated marketplaces, and checking the creditworthiness of buyers before investing.
