Bank Of Maldives has initiated a new loan scheme aimed at small or medium enterprises or business in order to assist them in proper financial backings.
BML states that customers – ostensibly small or medium businesses or owners – will receive financial support or capital through and as loans for proper investment in the business.
The newly introduced loan scheme will assist in small or medium businesses to purchase relevant goods or equipment in a short period of time in order for the entrepreneurs to get their businesses started.
“The Retailers’ Loan is part of the Bank’s commitment to increase support for businesses and to help fuel the growth of local MSMEs. Business owners will be attracted by the fact that the only requirement to qualify is to have a BML point-of-sale machine with reasonable turnover. No collateral is required and the application process is fast – ten working days maximum.” CEO and Managing Director of BML Mr. Andrew Healy said.
While the loan scheme is based to attract small or medium entrepreneurship، conditions apply and they are;
It is also possible to borrow up to 5 times the monthly POS sales volume، according to BML.
While the loan scheme does not require any initial deposit at the bank، BML would also be assisting and providing with US Dollars in order to prepare the Letter of Credit or BML’s Swift Transfer which is used to procure equipment or goods from foreign.
Under the new scheme، financial backing will be provided as loan or overdraft for businesses، while “the innovative BML Retailers’ Loan does not require security* for amounts borrowed up to MVR 500،000”، however a security is required if the amount exceeds above MVR 500،000.
The press release of the Bank read; “Loans will be processed in just 10 working days، and businesses have the option of choosing financing as either a loan or an overdraft facility. A rate of interest of 12 per cent per annum will apply،” which comes along with a further if condition of “Loans over MVR 500،000 will be priced at 11.75 per cent interest per annum and will require collateral. Loans will be repayable over a 4 year period while for overdrafts، the repayment period is 1 year.”
Customers can attain application forms to apply for the loan scheme from any of the BML branches operating in Maldives.