Andrew Morgan

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Managing Director & Publisher

Islamic Finance Products for Business and SME Banking

+603 2162 7801 +601 2207 9201 +603 2162 7800 +603 2162 7820 Andrew.Morgan@REDmoneygroup.com

Expert Course Director Muhammad Zahid Abdul Aziz

Islamic Finance Principles and Products for the Business and SME Sector Using Musharakah for Business and SME Financing Managing Risk and Collateral Classifying Business and SME Business and Effectively Matching Financing Methods

4th - 6thJune 2012, ABU DHABI

Visit www.IslamicFinanceTraining.com today or call +603 2162 7800 for more information

Course Objectives
To understand Islamic finance principles for business and SME financing and the state of play for SME financing in Southeast Asia To examine legal documents for business and SME financing To design a suite of products for a Musharakah bank to deliver dedicated financing for SME banking

Who Should Attend

This program is designed for those with exposure to Islamic finance in the SME sector. The course will begin with a refresher of key principles, so will be suitable for those with a limited understanding of Islamic finance, but will quickly gather pace and address more complex products therefore benefiting those with more experience.

Expert Course Director

Muhammad Zahid Abdul Aziz holds a Bachelors Degree in Economics from University of Exeter, United Kingdom. After graduation he joined an international accounting firm in London. He returned to Malaysia in 1982 and joined Arab Malaysian Merchant Bank Kuala Lumpur. He then joined Bank Islam Malaysia in 1990 where he pioneered and helped develop Islamic Corporate Banking specializing in Islamic Syndications and Sukuk Issuance. Whilst at Bank Islam Zahid worked as part of the team that transacted the KLIA RM4.4 billion Malaysian Sukuk in 1996, a benchmark issue. Zahid left Bank Islam in September 2000 to form a financial and Shariah consultancy, based in Kuala Lumpur. Between July 2006 and March 2009 Zahid was based in Riyadh as head of investment banking & Sukuk origination for Al Bilad Investment Company Ltd, a CMA licensed wholly owned subsidiary of Saudi Arabias Bank Al Bilad. In April 2009 he returned to Malaysia to resume his position as a financial consultant.

Course Agenda Day 1

Islamic Financing Principles For SME Financing Definition of SME State of play for SME financing in South East Asia Current facilities extended by Islamic banks Working capital financing o Murabahah o Tawarruq o LC-Wakalah o LC-Musharakah o LC-Murabahah o Kafalah Machinery and vehicle purchase o Ijarah o Ijarah Muntahiah bil Tamlik o Ijarah Thumma Bai o Ijarah Wa Iqtina o Murabahah o Bai Muajjal Project financing o Mudarabah o Musharakah o Musharakah Mutannaqissa Factory construction o Istisna o Istisna-Ijarah o Ijarah Ain Mousuffah Bilthimmah Case studies and overview facility legal documents Club deals and syndication Can microfinance models be adapted for SME financing

Day 2
Designing a Musharakah bank to deliver dedicated Financing for SMEs Pre case study briefing by course leader o What are the problem with SMEs when it comes to financing o No collateral o Inadequate paid up capital o Poor records What are Islamic financing principles? o Debt financing o Equity financing How to extend equity financing to SMEs o What kind of organisation? o Can existing banks extend equity financing? o A new banking institution for SME financing Musharakah bank o How is it to be funded? o Deposits - Wadiah, Mudarabah? o Venture capital? o Shareholders o Funds

Visit www.IslamicFinanceTraining.com today or call +603 2162 7800 for more information

 Type of financing to extend to SMEs o Combination of equity and debt o Start with equity first Human resources of Musharakah banks specially trained o What skills do they need? o How are they to be deployed? Musharakah banks are Musharakah partners in the SMEs o How do we process the applications? o What information is required from customers? o How do we monitor the businesses? o How involved are the officers?

o o o o o

What is the legal basis of the investment? How to ensure no fraud and willful default? Take collateral against fraud and willful default Distribution of Musharakah profit how often? How to structure return of capital?

Worked out case study: how to design a Musharakah term sheet and calculate Musharakah profit sharing ratios for a Musharakah facility offered to an SME client Interactive session break into groups and deliver a presentation on how to set up a Musharakah bank to finance SMEs including business plan, form of bank, constituent documents, staffing and training

Day 3
SME Classification Micro business o Working capital for purchase of raw materials, and overheads Murabahah, Tawarruq o Asset acquisition Murabahah, Ijarah, Tawarruq, Ijarah Muntahia bil Tamlik, Ijarah Thumma Bai o Advisory services - how to prepare bankable business, book keeping, & cash flow management o Special micro programmes Small businesses o Working capital for purchase of raw materials, overheads, and pre operating cost Murabahah, Tawarruq o Revolving working capital for contract financingrevolving Murabahah, Tawarruq o Asset acquisition - Murabahah, Ijarah, Tawarruq, Ijarah Muntahia bil Tamlik, Ijarah Thumma Bai o Factory and buildings Istisna, Istisna Thumma Ijarah, Ijarah Ain Mousuffah bilThimmah o Bank guarantee Kafalah Medium sized businesses o Working capital for purchase of raw materials, overheads, and pre operating cost Murabahah, Tawarruq o Revolving working capital for contract financingrevolving Murabahah, Tawarruq o Asset acquisition - Murabahah, Ijarah, Tawarruq, Ijarah Muntahia bil Tamlik, Ijarah Thumma Bai o Factory and buildings Istisna, Istisna Thumma Ijarah, Ijarah Ain Mousuffah bilThimmah o Bank guarantee Kafalah SME Start ups and Franchise o Eligibility criteria o o o o Matching to available funds Islamic financing facilities Support services Business advisory, entrepreneurial development, knowledge sharing

SME Professional o Profile and eligibility o Service network o Special fund o Islamic financing facilities o Support services o Business advisory, entrepreneurial development, knowledge sharing SME Procurement o Profile and eligibility o Service network o Special fund o Islamic financing facilities o Support services o Business advisory, entrepreneurial development, knowledge sharing SME Global o Profile and eligibility o Service network o Special fund o Islamic financing facilities o Support services o Business advisory, knowledge sharing SME Bank Guarantee to other commercial banks Public Transport Development Fund Entrepreneur Premises Complex Business premises financing scheme

CIFA Guide to Foundations of Islamic Banking & Finance

published by REDmoney and SHAPE Financial Corp The Certified Islamic Financial Analyst (CIFA) Guide is a self-contained, 50 page companion to the first level of the CIFA qualification program. The Guide is a detailed and comprehensive self-study reference tool that provides examples and in-depth descriptions of key Islamic financial products and concepts. It is an essential reference point for those new to the Islamic finance sector or who wish to update their knowledge and understanding of Shariah-compliant products. The CIFA Guide is available to delegates of REDmoney training for US$50.

Visit www.IslamicFinanceTraining.com today or call +603 2162 7800 for more information

Islamic Finance Products for Business and SME Banking

4th 6th June 2012, Abu Dhabi
BOOKING DETAILS
I am booking: Register on or before 10th April, 2012 Register on or before 8th May, 2012 Register after 8th May, 2012 The pricing for this course is as follows: Pricing US$2,550 US$2,700 US$2,850

Please also tick the box below if you would like to receive the CIFA Guide to Foundations of Islamic Banking & Finance: CIFA Guide to Foundations of Islamic Banking & Finance (US$ 50) Please note: A late booking fee of US$150 will be imposed on registration received within 14 days of the course start date. Fees include training materials, refreshments and lunch. Accommodation is not included.

DELEGATE DETAILS
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Please tell us who we should invoice. It is also helpful for us to have the name of an administrator with whom we can liaise directly. Contact person for invoicing: ...................... Job Title: ....................................................................................... Email: ................................................ Tel: .................................... Fax: ........................... Contact person to send administration details: ...................................................................................................................................................................................... Job Title: ........................................................ Email: ........................................... Tel: ....................... Payment can be made by cheque or bank transfer. A notification will be sent to you once payment has been received. I wish to pay by: Cheque/bankers draft Telegraphic transfer Credit Card Please note all telegraphic transfer fees are to be borne by the sponsoring organization. Payment made by foreign cheque will be charged additional bank fees of 1% of the invoice amount.

APPROVING MANAGER
To process your registration we require the name and signature of a manager who is authorized by your organization to approve training expenditure. Name: ...................... Job Title: ................................................ Organization name: .......................... Email: ...................................... Tel: ............... Authorizing signature.(mandatory) Yes, I have read and understood the booking and cancellation policy below.

SEND US YOUR REGISTRATION!

By email: info@islamicfinancetraining.com By fax: +603 2162 7810 You may also book online at http://www.islamicfinancetraining.com Please call us on: +603 2162 7800 or +603 2162 7802 if you require assistance. Our address is: REDmoney, 21/F, Menara Park, 12 Jalan Yap Kwan Seng, Kuala Lumpur, 50450, Malaysia Booking and Cancellation Policy important, please read carefully By completing and sending us this registration form you are confirming delegate places on the course. If delegates cannot attend the course replacement participants are always welcome. Otherwise delegates must request in writing (letter, fax or email) to cancel registration/s or transfer to a different course at least 21 days before the course start date to be eligible for a refund, less a 5% administration fee. Delegates who cancel within 21 days of the course start date, or who do not attend, are liable to pay the full course fee and no refunds will be given. Instead fees will be converted to an Islamic Finance Training course voucher equivalent to the original fee, less a 15% administration charge. This voucher is transferable within your organization and must be redeemed within one year of issue or become void. If a course is postponed for whatever reason delegate bookings will be automatically transferred to the new course date. Delegates who wish to transfer to a different course will be subject to the same terms as above and charged the difference in course fees. No refunds or course vouchers will be issued for a no-show. Islamic Finance Training reserves the right to amend the published program or speaker. In the event of course cancellation by Islamic Finance Training due to unforeseen circumstances, Islamic Finance Training is liable only to refund the cost of the course. Course Venue: Full details of the venue will be sent to you upon registration. IFT1220/P