Your Business and FWBL’s SME Finance – Teamed for Success!
SMALL ENTERPRISE
As per Prudential Regulations of SME, Small Enterprise (SE) should meet the following parameters:
- No.of Employees: Up to 50 (including contract employees)
- Annual Sales Turnover: Upto Rs.150M
Maximum Exposure to Small Enterprise:
- Rs. 25 million from a single bank/DFI or from all banks/DFIs
MEDIUM ENTERPRISE
Medium Enterprises are required to meet the following parameters:
-
No.of Employees: 51-250 for Manufacturing and Service
ME 51-100 for Trading ME - Annual Sales Turnover: Above Rs.150M and upto Rs.800M for all types of ME
Maximum per party exposure limit for ME:
-
Rs.200M (including leased assets) from single or all banks, (subject to
fulfillment of prevalent SBP and Bank’s credit policies).
PURPOSE
MAJOR TYPES OF FACILITIES
FWBL provides all standardized SME Loan facilities such as Fund Based Demand Finance, Running Finance, Export Refinance, and Non-Fund Based Letter of Guarantee / Letter of Credit and so on, to business entities in accordance with the Bank’s Charter.
COLLATERAL
Any acceptable securities, such as any mix of cash collateral, mortgage of property, pledge / hypothecation / charge of stocks / receivables, hypothecation / charge on plant and machinery, etc.
PRICING
Pricing of Credit Proposals is based on floating rates i.e.KIBOR as quoted by SBP on daily basis and reviewed periodically by the management.
TENOR
Short Term (upto one year) and Medium term (upto 3 years), normally, according to loan structure and customer’s specific needs and repayment plan.
RF : Time to time adjustment and required turnover during over the term and quarterly payment of Mark-up
DF : Monthly / quarterly instalments as may be requested by borrower
There is no penalty on premature adjustments or repayments of finance; however, a penal markup may be charged as per the bank’s credit policies in the event of delayed payments resulting in defaults.
DOCUMENTATION
The following basic documents are required:
- Limit Application
- Borrowers profile
- Business Financials & Expected Cash flows with proper assumptions
- Others as may be as per requirement by Bank
-
Collateral - Any acceptable securities such as any
mix of Cash Collateral, Mortgage of property , Pledge
/Hypothecation/charge of stocks/receivables, Hypothecation/Charge on plant and machinery etc
- BBFS on SBP format
- ECIB Report
- Collateral Documents
- Documentary Evidences of sources of income
- All small and medium-sized business concerns capable of starting or running a business on a profitable basis.
installments will be just
