NBAD offers Rent Financing to SMEs

The National Bank of Abu Dhabi (NBAD), the Number One Bank in the UAE, has launched a Business Rent Finance, which offers short term loan to small- and medium-sized enterprises (SME) to cover their rent.

“NBAD is fully aware that SME is an engine of growth and we also understand the challenges faced by this very important sector; we have tailored this special product to help this critical segment address cash flow issues,” says Haitham AlRefaie, the Head of Business Banking Group at NBAD. “The Business Rent Finance is a unique and exceptional solution designed by NBAD’s Business Banking Group to allow the nation’s SMEs access to quick funds to allow them to prosper and grow.”

The loan avails to SMEs up to AED500,000, which can be repaid over a period up to one year with minimum fees. This is available to UAE nationals and expatriates.

“Rent is a fixed and often one of the highest expenses that SMEs have in running their business. Meeting the cost can either hinder an entrepreneur’s ability to grow the business or even stay afloat. This is why we tailored this product to meet an essential need,” Mr. AlRefaie says.  

NBAD’s Business Banking Group has initiated several programmes and services aimed for the SME sector. NBAD has launched Visa Business Credit Card, which has no annual fee and its other special features include up to 50 days interest-fee grace period, travel insurance up to US$150,000, pre-set limits on individual cards, access to cash, consolidated payments as well as special offers and discounts. The card can offer credit limit from AED20,000 to AED500,000.

The Bank began also launched dedicated business banking centers in Abu Dhabi’s Industrial City (ICAD), Al Ain, and Jebel Ali with plans to open 11 more business banking centers all over the UAE in 2011. It also became the administrator of Khalifa Fund and signed a memorandum of understanding (MoU) with Mohammed Bin Rashid Establishment for SME Development (MBRE), which provides for the two organisations to collaborate and cooperate on extending services to SMEs.

“Enabling SMEs to invest in their business contributes to a healthy market generally and benefits all players,” Mr. AlRefaie says. “NBAD’s Business Banking Group is committed to supporting and nourishing the spirit of entrepreneurship and this is why we continue to bring to the market products and services that meet this segment’s demands and needs.”