Product designed to entrepreneurs with a registered business in need of a working capital to boost their businesses, clients in need of this product should possess a collateral and ready to provide a guarantor. Maximum up to legal ,imit.
Activity in trading
Identification card
36
Project finance, Agriculture Finance and Equipment loan
Facility enables customers to execute purchase orders or contracts. The bank finances up to 70% of the cost of the order/contract, excluding advance payments where applicable.
Existing business with signed contract to supply goods and services
To accept the payment of contract services into the customer’s designated account in Cogebanque
Application letter
Copy of original contract to supply goods or services,
To finance fully fluctuating working assets of a business, mainly stocks and trade debtors and not intended to finance permanent working capital, business expenses nor any form of long term assets.
Verifiable net operating cash flow (averaged over 2 years) equal to or greater than (4) times the size of the proposed overdraft limit.
Tangible and readily realizable security in one or more of the following forms: a. Charge over the operating assets of the business for the full amount of the limit; b. Goods in transit being shipped to the order of the bank (bills of lading made out to the order of the Bank); c. Pledge of specific stocks under the control of the bank in a bonded warehouse; d. A full set of Bills of Lading with BPR endorsed as consignee; e. A registered mortgage over residential or commercial property with a forced sale value (FSV) by an approved valuer of 125% of the limit
Fixed charge over fixed assets
Set off on deposits held with the Bank
Bank guarantees
Negotiable instruments with acceptable liquidity such as Bonds, Repos etc.
All security is required to be fully insured in sufficient amount to repay BPR, with BPR as the named loss payee. Current insurance policies from acceptable insurers to be held.
Overdrafts are high risk credit products and their use should be restricted to situations where other short term credit products are inappropriate or unworkable
Businesses that demonstrate good current account credit turnover (banking) or businesses that hold relatively high levels of stocks and debtors evidenced by periodic reports. In all cases, the account must record fluctuation of at least 50% of the facility amount per quarter.
A minimum of Rwf 5 Mio should be allowed.
Facility letter signed by the customer to confirm his acceptance of the terms of the bank’s offer
Signature by the borrower to the Bank’s Standard Terms and Conditions for Credit Facilities
Overdraft agreement on the bank’s standard form setting out the conditions for conduct of the overdraft.
For a company:
Copy of the company’s certified statutes and Copy of the certificate of registration.
Resolution by the Board of the company authorizing the company to borrow from the bank We should check for any negative covenants
For partnerships:
All documents must be aligned with partners’ deed and signed in accordance with the powers stated in the partnership deed.
For sole traders:
Copy of the certificate of registration must be obtained.
Tax clearance certificates
Adequate Insurance
Security documentation appropriate for the security concerned as per the Credit Policy checklist.
A copy of latest tax clearance certificates otherwise the current account with RRA.
List and ageing of debtors and creditors (if applicable)
Fully secured seasonal agriculture loan granted to the potato farmers
Have an account in UB - Having potato farming experience - Owning or renting the land
Potato farming project (customer needs statement) - Application letter
POTATO LOAN 23: - RCA Certificate for cooperative/ID copy of the applicant and his guarantor - Legal status certificate - Valuation report of collateral (done by a valuer, which has a partnership with UNGUKA Bank Ltd) - Collateral title (land, factory, car etc) and movable security documents - Act of lending property if the collateral doesn’t belong to the borrower - Life insurance is mandatory for individuals - Potato insurance is an option - Notified Board resolution for cooperative
This product targets mainly active clients particularly women and youth. These are clients who are graduated from the community bank to join the Solidarity group after finishing a certain number of cycles for them to access a high loan amount
The Financing Gateway provides you with a free listing of the many financing instruments available for MSMEs. It enables you to filter the instruments that match your needs and click through to the –financing provider’s Internet pages or Contact agent details to find out more and apply.
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