What the documentation formalities for Channel Financing?
As India does not have a proper legal framework regarding transactions through the Internet, we will have to fallback on the Indian Contract Act. This is to safeguard both, the company and the Bank. The channel partners will have to accept the offer from ICICI Bank and also enter into relevant agreements. If overdraft facility is to the dealer, the dealer can either operate the account on his own or can give a Power of Attorney or Letter of Mandate to the company for operating the Overdraft account.
