The financing facility against cash and quasi-cash securities is designed to meet the business needs of those business entities / individuals who do not wish to settle the deposits / bonds / savings certificates available with them. Financing can be allowed against cash near cash instruments that are even issued / held in the name of a person other than the loan applicant.
The near-cash ease of financing comes with added benefits like fast processing time, lower processing fee, less paperwork / documentation, low interest rate, etc. The near-cash versus cash financing facility can be used to purchase shares, fixed assets, and meet the company’s working capital requirements.
Financing Against Cash Near Cash Products Features
1. Existing / new business entities with the status of (sole proprietorship or partnership, private limited partnership, or corporate entities) are eligible to make use of this type of service.
2. The near-cash cash financing mechanism will be available as either fund-based or non-fund-based.
3. Have a financing service of up to Rs 200 million.
4. Markup Rate for Running Finance
5. 2% on the deposit fee that is paid on the deposit held with SME Bank Limited. Cash close to cash values other than the SME bank deposit (6-month KIBOR + 2.5% per annum).
6. Markup Rate for Term Finance
7. 1.5% on the deposit rate paid on the deposit held with SME Bank Ltd. Cash close to cash values other than the SME Bank deposit (6 months KIBOR + 2% per annum).
8. The term of the installation in the case of RFF is one year and for financing with a term of 1 to 7 years, as defined in the respective products.
9. In the case of RFF / TFWC / SBRFF, there is no grace period; In the case of TFFA, a grace period of up to one year.
10. Sponsor / partner / directors personal guarantees. Third-party warranty (optional).
How to apply For SME Bank Financing Against Cash Near Cash
To apply for SME Bank Financing Against Cash Near Cash, visit to the nearest SME bank branch for application: https://smebank.org/our-network/
SME Bank Contact Information:
Address: 56-F, Nazim-ud-din Road, F-6/1, Blue Area, P.O Box 1587, Islamabad.
Phone: (+92-51) 9217000
Fax: (+92-51) 9217001