In today’s competitive business environment you need a bank that fully understands the nature of your business and offers solutions that support your unique needs. We pride of having a good understanding of the banking requirements of Small and Medium Enterprises (SMEs), and with our wide range of SME products tied up to a host of benefits and value-adds, we are confident of being your right business partner.
ABC Capital Bank offers the following services to SMEs:-
Bills Discounting >>>
This is done when sales are on credit and secured by accepted Bills of Exchange. The seller may use these bills to improve their cash flow by discounting the same. ABC Bank provides funds to the customer and waits for reimbursement from the drawee (buyer) of the bill at maturity
Invoice Discounting >>>
This happens when sales are on credit. The seller uses these invoices to improve their cash flow by discounting the same. ABC Bank provides funds to the customer and waits for reimbursement from the buyer of the invoice at maturity.
Letter of Guarantee >>>
It is a non-cancelable financial commitment by the bank which is given towards the timely payment of a fixed amount up to a maturity date, subject to terms and conditions.
The types of bonds include Bid, Performance, Transit and Shipping bonds, which are issued by the bank on behalf of the customer. They allow for the specified no-funded transaction to take place.
Letter of Credit (L/C) >>>
This is an unconditional undertaking issued by the bank on behalf of the buyer (applicant), favoring the seller (beneficiary) that provided the stipulated documents. They are presented confirming that terms and conditions of the L/C have been complied with, and then payment is done. The L/C assures the buyer that the seller will perform before being paid and the sellers are assured that payment will be received, provided that terms and conditions are compiled with. ABC Bank offers international and local L/C products.
Pre-shipment Finance >>>
This facility enables the exporter to access funds that will help in preparing the goods for export. It is normally supported by confirmed export order.
Post Export finance >>>
This facility enables an exporter to access funds against proceeds expected from goods that have been exported.
Documentary Collections >>>
The seller may develop a level of trust with the buyer to the extent that goods will be shipped to the buyer even before payment has been made. Documents (including transport documents) will then be sent through the banking system. The seller’s bank will instruct the buyer’s bank to release the documents on fulfillment of some conditions. Documentary collections help the seller to control documents and title to goods while assuring the buyer that the goods have been shipped.