FIRST BANK OF NIGERIA SME PRODUCT FINANCING

IMPORT FINANCE

The product is targeted at First Bank customers who are involved in the importation of raw materials or finished goods.

Features        

• Credit facilities are made available via Letters of Credits, Bills for Collections etc.
• Short tenor facilities, collaterized by Lien on shipping documents.
• Equity contribution is required.

Benefits

• Ease of access to credit facilities for importation.
• Customer can take advantage of volume discounts and enlarged sales.

Required Documents

1. KYC documentation in place.
2. Form M.
3. Proforma Invoice.
5. Risk Assessment Report (RAR).

OIL AND GAS CONTRACT FINANCE

The product is designed to meet the funding requirements of indigenous oil and gas companies who are either customers or prospects of First Bank.

Features

• It is self-liquidating: The facility is contingent upon receipt of contract proceeds after successful completion of milestone.
• The facility is short tenured: The facility tenure is mostly between 90-360 days depending on the contract being executed.
• The bank provides up to 70% of cost of contract execution and not cost of contract value.
• The product has essentially domiciliation of contract proceeds as the sole comfort except where facility is in excess of N50million for Project Finance which must be secured with tangible collateral.

Benefits

• Increased profitability.

Required Documents

1. Contract Documents.
2. Financial statement (audited).
3. Evidence of past job(s) executed (copies of payment advice).
4. Customer’s application Letter.

CEMENT DISTRIBUTION FINANCE

The product provides flexible short term facility to meet working capital needs of the Distributors of Major Manufacturing Cement Companies in the First Bank’s approved list of companies.

Features

• Competitive pricing.
• Flexible collateral structure.
• Flexible tenor.

Benefits

• Opportunity to increase volume of business as well as margins and rebates.

Required Documents

1. KYC documentation in place.
2. Account opening requirements.
3. Loan processing forms and documentations.

INVOICE DISCOUNTING FINANCE

The product is targeted at contractors who have supplied goods/services or executed contracts for which invoices have been duly accepted for payment by reputable organizations that are acceptable to the bank.

Features

• Credit Facilities made available via invoices that have been duly accepted for payments.

Benefits

• To provide immediate short term working capital requirements.

Required Documents

1. Tripartite Domiciliation Agreement.

BONDS AND GUARANTEE

The product is targeted at First Bank customers who are contractors to major companies that require guarantees (i.e. comfort / security) from a Bank on their contractors.

Features

• Contract for which the Guarantee is being given must be legitimate.
• Lien if placed on Advance Payment Sum.
• Tenor of Guarantee does not exceed one year.

Benefits

• Improved profitability from the award of more contracts.

Required Documents

1. Contract / Term sheet.
2. Draft Guarantee document.
3. KYC documentation on Account openings.

TELECOMS AND DISTRIBUTORSHIP FINANCE

This product is designed to provide finance for Telecoms Distributors to enhance distribution and sale of merchandise goods. Distributors are broken down into GSM and CDMA categories.

Features

• Competitive Pricing.
• Flexible Collateral.
• Flexible tenor.

Benefits

• Provides liquidity to increase volume of business with Telecom Operators for higher earnings.

PETROLEUM DEALERSHIP FINANCE

This product provides finance for stock of white petroleum products (PMS, AGO and DPK) to existing or new customers who are registered members of IPMAN and authorized dealers of Major Oil Marketing Companies such as Oando Plc, Forte Oil, 11 Plc, Conoil, MRS Oil, Total Nigeria Plc etc.

Features

• Competitive Pricing
• Flexible collateral structure
• Flexible tenor

Benefits

• Provides opportunity to increase volume of business as well as margins through consistent growth in turnover through credit financing.

FAST MOVING CONSUMER GOODS (FMCG) KEY DISTRIBUTORSHIP FINANCE

This product is designed to provide a structured finance to distributors of FMCG principals to meet working capital needs.

Features

• Competitive Pricing
• Flexible Collateral Structure
• Flexible Tenor

Benefits

• Opportunity to increase volume of business and meet targets set by principals.

Required Documents

1. KYC documentation
2. Account opening requirements
3. Loan processing forms and documentations
4. Valid distributorship letter

To apply for any of these loans, simply walk into any First Bank Branch and speak with their Retail or Corporate teams.