Working Capital Loans

The collateral can take the form of:

  • Blocked cash resources
  • Treasury Securities
  • Corporate securities
  • Mutual funds
  • Property Mortgage
  • Ship Mortgage
  • Long-term material assets
  • Short-term material assets
  • Equity shares in companies
  • Entire companies
  • Precious stones and precious metals
  • Additional collateral – receipts, future agricultural production, promissory note, warranty, insurance.

Note: A collateral insurance issued by an insurance company that partners with the bank is required in all cases.

1. Standard working capital loan: short-term loan to finance the needs of working capital. The loan ensures a lump financing of the creditee for the purchasing of raw materials, goods, or for covering other current expenses, as the loan pay-back is ensured by the monthly sales revenues.

2. Mortgage loan for working capital: short-term loan for financing working capital needs, as property mortgage is used as a collateral. The loan ensures a lump financing of the creditee for the purchasing of raw materials, goods, or for covering other current expenses, as the loan pay-back is ensured by the monthly sales revenues.

3. Overdraft: loan for financing current needs with specified limit and term. Utilization is performed directly from the разплащателната account, as presentation of expenditure-proving documents is not required.

4. Revolving loan: loan for financing working capital needs with pre-determined purpose. The loan serves the financing of transactions and activities with cyclic character and periodic payments due, neutralization of unfavorable for the creditee discrepancies between the average duration of collection of receivables and period for payments due, as this discrepancy should not be a result of company weakness. The loan can be utilized numerous times during a specified period. The loan pay-back can be performed either by decreasing plafon or by a single pay-back of the entire amount due, depending on the finalized transaction.

5. Credit Facility : Banks offer their clients the possibility for a certain period of time to use loan engagements chosen in advance – Overdraft, Revolving Loan, Usloven Kredit. Separate loan engagements are utilized and paid back in accordance to the specified parameters and terms for each one of them.