Working Capital Loan

Corporate Banking
IFIC Bank is providing a wide range of financial services, offering specialist advice and
products to corporate clients to meet diverse demands of changing market scenario. We have
expertise to customize products & services to meet specific requirements of our clients. We
are committed to serve our customer with extensive branch net work all over the country to
expedite our client's business growth. We facilitate your business to face the challenges and
realize opportunities, now and in the future. Our main focus is relationship based banking and
understanding corporate & institutional business environments.
Our experienced Relationship Managers & their team can respond to and anticipate your
needs and give you competitive business advantages. Products and services for commercial
and business customers include: Working Capital Finance, Project Finance, Term Finance,
Trade Finance, Lease Finance, Syndication Loan etc.

Working Capital Loan

Managing working capital is one of the most important components of any business. Keeping
this in mind, IFIC offers you a wide range of banking products and services which are
customized to meet your business's working capital requirements. A working capital loan is
used to finance everyday operations of a company. IFIC working capital facilities would help
you to meet your company's short-term cash flow needs. IFIC working capital loans are
issued to meet customers' short term financing needs during the process of production and
operation. Business Enterprises (other than public limited company) engaged in
manufacturing/ trading business are eligible to avail Working Capital Loan to meet day to day
expenses for processing of manufacturing and selling product.

Features
As an efficient and practical means of financing, working capital loan is one of the most
popular credit products, characterized by the short loan term, simple procedures, stronger
turnover, and lower financing costs.

Common Uses
Businesses day-to-day financial requirements such as:
Meet payroll and other payment obligations

Working Capital Loan

Marketing costs
Restocking inventory and supplies
Minor renovation, expansion and remodeling
Increasing sales growth or seasonal growth.
Closing cash flow gaps.
Taking advantage of discounts on purchases from vendors.
Reduced cash reserves because of recent operating losses.

Category
Terms of working capital loans can be divided into short-term (less than one year) and under
extra-ordinary circumstances medium-term loans (one to three-year) may be granted;
Loan can be secured or non-secured dependent on the credit quality of the customer.
Interest Rate
14.00% p.a. with quarterly rest or as revised from time to time.
Loan Processing Fees
Tk. 2000/Service Charge
@ 0.25% on Loan amount Min: Tk. 5,000/Penal Interest
Additional 2.00% p.a on the overdue amount, if any.
Required Documents
1(one) copy passport size photograph of intending borrower(s) as well as
guarantors(s).
Valid Trade License
TIN certificate
Bank statement for last 6 (six) months
Financial statement.
Original title deed
Bia deed
CS, SA, RS & Hal Parcha
Mutation with DCR
Upto date rent receipt
Site Map/Municipal tax receipt
Non-encumbrance certificate

Working Capital Loan

CIB report of the borrower
Partnership Deed (in case of partnership firm)
Memorandum & Articles of Association with certificate of incorporation duly
certified by RJSC (in case of private limited co.
Certified copy of upto date list of directors duly certified by RJSC (Form XII).

Process
The applicant contacts Corporate Banking Department of MEB to submit the loan
application and provide the above mentioned list of documents;
MEB conducts the due diligence and credit rating process to evaluate the operational,
financial and structural risk analysis of the application.
After approved borrower's two parties sign the MEB Working Capital Loan Agreement
and other related text of the agreement (such as guarantee contracts, mortgage contracts
and pledge contracts, etc.);
For new to bank clients, the borrower open an accounts in one of the MEB branches or
alternatively the existing client its account to withdraw the loan.