Purpose

To purchase equipment/materials, to repair existing equipment, to purchase tools/spares, to acquire/repair/renovate business premises, to use as working capital.

Eligibility

Any adult citizen of Bangladesh, who completed a degree/diploma/certificate course, aided or recognised by the Government, or have proven experience record in relevant field, or who, in the opinion of the bank are already involved in such business or are technically qualified/skilled in the field.

Documents Required

àValid trade licence from competent authority and all other documents on identification of the entrepreneur.

àBusiness planning alongwith projection of investment to be submitted by the applicant.

Loan Category

Term Loan, Cash Credit.

Amount

Tk. 10,000.00 – Tk. 20.00 Lac.

Margin

 25% of initial projected investment.

Rate of Interest

09.00% p.a. or as changed by the Bank Management from time to time.

Security

àHypothecation/Mortgage of the goods purchased/created with the amount of loan.

àCollateral security by way of immovable properties or acceptable third party guarantee.

àPersonal guarantee of spouse (s), parents, income generating adult son/daughter, brother/sister (minimum two).

Repayment Period

Term Loan= Maximum 3 years (Subject to estimation of payback period).

Cash Credit= 1 year (renewable).

Penalty

In case of delayed payment, penalty of 2% on the overdue amount for the overdue period shall be charged.

Approval Authority

Head Office Management/Concerned Division.