Invoice Discounting
A term loan is a monetary loan that is repaid in regular payments over a set period of time. Term loans usually last between one and ten years.
Features
- Interest: MPR + Margin
- Arrangement Fee: 1% Min ZMW 500
- Commitment Fee: 1% Min ZMW 500
- Interest above the Limit: MPR +10%
- Tenor: 120 days
- Collateral: Counter party Confirmed Invoices
- Repayment: Contract performance/discharge
Benefits
- Access to Funds for working Capital
Requirements
- Clients must be Suppliers to bank approved counter-parties
- Brief Business Profile
- Credit Facility Application Letter
- Audited Accounts for the last three years
- Latest Management accounts if audit Accounts older than six months
- Budget/Cash Flow projections for the duration of the facility as well as underlying assumptions
- Aged Debtors and Creditors Analysis
- Description of Property being pledged as collateral as well as approximate value
- If to be secured through third party mortgage, attach consent documents for the use of the security
- Bank Statements for the last 12 months if not a UBA customer
- Brief Profiles of Directors and Top 4 Key Management Staff
- Board Resolution to Borrow
FAQs
14 days, with all documents and required information in place.
Yes: provided the invoice value is still within the approved credit line.