Helps to ensure that customers are able to acquire assets to improve on their welfare or business logistics.
- It is a bank undertaking hence must be secured
- Usually advanced for 36 months and on exceptional cases for 24-48-60 months.
- Customer/bank contribution is usually 30/70.
- The bank earns interest income on it.
- Lasts longer, simple requirements
- Client obtains credit hence easing increase in liquidity and non-current assets
- There must be an existing legal business with an operative bank account
- Application for the facility with a clear purpose supported by documentation such as invoices, order, etc
- Financial information