Purpose

To finance a new project or increase your working capital need or finance the purchase of equipment, renovation of the working place.

Type of Facilities

Term loan repaid over 7 years maximum, through equally monthly installments, grace period varying between 6 to 12 months

Business profile

Small and medium businesses – that is, not exceeding 40 employees- in the following sectors are entitled to Kafalat loan: industry, agriculture, tourism, handcrafts and specialized skills.

Loan amount

Kafalat Basic: up to 300,000,000 LBP or equivalent in USD, Kafalat s.a.l guarantees up to 75% of the value of the loan granted by MEAB s.a.l.

Kafalat Plus: up to 600,000,000 LBP or equivalent in USD, Kafalat s.a.l. guarantees up to 85% of the value of the loan granted by MEAB s.a.l.

Kafalat Innovative: up to 30,000,000 LBP or equivalent in USD Kafalat s.a.l. guarantees up to 90% of the value of the loan granted by MEAB s.a.l.

Kafalat commission: 2.5% of the guaranteed loan balance

Interest Rate

Interest Rate for loans in LBP: 40% of Lebanese Treasury Bills (1 year) + 3% or the equivalent rate in foreign currencies

Kafalat loan could benefit from interest rate subsidized by the Central Bank of Lebanon up a maximum of 7%  

Main required guarantees

Personal guarantee

Life & fire insurance

Additional guarantees are determined on case by case basis

Required Documents

Feasibility study with cash flow projection for the duration of the loan

Pro forma invoices for equipment or goods to be purchased with the funds borrowed

Permit or initial approval from official authorities that authorize applicant to execute his business activity

All the other required documents for a credit file, mainly audited balance sheets  and income statements for the last 3 years, statements of account from other banks for at least 12 months, supporting documents for the balance sheet and income statement and list of net worth.

For more information, please visit one of our branches or log on to www.meabank.com