SME’s Loans

Small and Medium Enterprise Financing.

We offer new and simplified procedures to finance small and medium enterprises (SMEs) that would generate income but lacs the needed funds. We provide the finance required for expanding existing enterprises, investing operating capital, purchasing equipment, fixed assets, and machines, which help increase the productivity of the ventures that seek to expand and have prominent marketing prospects. 

SME’s Loans Features

  1. A Financing amount of up to JOD 1,500,000 is in line with the needs and income of the enterprise.
  2. A Flexible payment period of up to 7 years, including a grace period consistent with the flow of returns.
  3. Several suitable credit facility options based on the situation of the applicant:

Direct Credit facilities

  1. Direct cash facilities can be used to fund clients to cover their working and investment capital needs for a short-, medium- or long-term period. 
  2. Determining the appropriate form of finance required depends on the nature of the business and the purpose of the finance:

The Bank offers an overdraft account up to a certain amount for a designated period, renewable with the consent of the clients and the Bank. The client is allowed to withdraw from the overdraft account after signing the facilities contract.

Granting the client an overdraft account for their businesses with ongoing cash flows to increase the business, industrial, or service according to the limits and specific guarantees agreed between them and the Bank. The advantages of an Overdraft are that a client may deposit funds into the account to reduce the balance and the interest incurred on it.

The account should be renewed annually by mutual consent, based on the client’s activity and the account. The interest should be calculated based on the highest daily debit balance and charged to the client’s account every month.

Revolving loans for financing working capitals (raw materials and operating expenses).

The Bank offers letters of credit to clients to finance their costs for imported goods. Under letters of credit or bills of collection, payments can be made in installments over a specified period.

The Bank offers loans to clients to finance their exports of manufactured goods in Jordan. These loans are usually offset by import letters of credit from clients. They can be given in local or foreign currency as required or instructed by the Central Bank of Jordan.

Loans are granted to multiple targets to develop real estate, commercial and housing projects, or purchase land. The usual terms of these loans are for a medium-or long-term period between 3-7 years.

At the client’s request, loans are given to contractors or suppliers responsible for the construction, maintenance, or supply of equipment and services.

Finances are given to clients looking to grow their assets related to work, such as cars, equipment, and production lines for their factories. These loans hold a maximum term of 7 years with an appropriate grace period.

  • In cooperation with the Central Bank of Jordan and third parties, Cairo Amman Bank supports different sectors by providing them with funding at flexible interest rates and competitive terms.
  • Cairo Amman Bank provides guarantees for the facilities it offers under agreements signed by each of the following companies under certain conditions:
    1. Jordan Loan Guarantee Corporation
      Whereby revolving loans and one-time loans are guaranteed for the productive and industrial sectors as well as start-ups. The guaranteed rate reaches up to 85%
    2. The Overseas Private Investment Corporation (OPIC)
      Whereby all types of loans, except current debt, are guaranteed. The guaranteed rate reaches up to 75%
  • Subject to the agreements’ terms and conditions

Indirect facilities

Indirect facilities such as letters of credit and guarantees are implemented with the clients based on the nature of their job titles.
  • Providing full ongoing consultancy to small and medium entrepreneur clients.
  • Providing SME courses and training sessions.
  • Around-the-clock support.
  1. If the applicant is a company or establishment, the following documents are required:
    • An up-to-date certificate of registration showing the names of partners and people authorized to sign on the company’s behalf, which indicates that the company has the right to take loans from the banks with copies of their identity cards.
    • A copy of the memorandum of incorporation.
    • A copy of the internal regulations of the company must also be provided.
  2. Whereas, if the applicant is an individual, a valid license for practicing a profession or craft, issued by the Chamber of Commerce and/or the Municipality, with a copy of the applicant’s identity card must be produced.
  3. Both applicants should provide a bank account statement for the last six months.
  4. All Documents should prove the availability of funds for repayment: Financial statements for at least the last two years (audited financial statements, unaudited budget, sales tax report, and the enterprise books for review).

Applicants must provide one of the following collaterals which are accepted by CAB such as:

  • Cash
  • Mortgage
  • Negotiable security
  • Equipment
  • Personal or corporate guarantees accepted by the Bank

All these guarantees are subject to the terms and conditions of the Bank.

Account managers in the SMEs Department are prepared to come to a client’s place of work to help organize the papers and statements required by the Managers of Credit Relations.

For more information, please contact this number: 065007700

smes loans-image