Business Studies · MSME Financing
What is a key feature of invoice financing for MSMEs?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1It allows businesses to borrow money based strictly on their credit rating
- 2It enables businesses to access cash by selling or pledging outstanding invoices to a third party✓
- 3It offers long-term financing restricted to large businesses only
- 4It provides financing for working capital needs based on equity dilution
Correct answer
It enables businesses to access cash by selling or pledging outstanding invoices to a third party
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Business Studies?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice MSME Financing MCQs →Want more practice questions on MSME Financing?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Business Studies · MSME Financing