Business Financing

When it comes to securing business finance, it’s always important to make sound business decisions. That’s why our Team of experts are here to help you do just that. We provide your business with the financing you need. Our committed staff are dedicated to help you find the right funding solutions to support your specific business needs, bring your vision to fruition and help manage your cash flow. Our wide range of business financing options cover the following:

This short-term loan facility is used by companies to cover day-to-day operational expenses. The working capital loan is a good fit for business that are in early stages of growth looking at new ways to generate revenue whilst moving in the right direction.

We offer term loans to help finance your business needs. This loan is paid in regular payments over a set period of time mostly between one to ten years. We offer flexible repayment options to help ease the burden on our clients.

Our Structured trade and commodity finance offers a comprehensive range of commodity and trade financing solutions for importers, exporters and traders.

We work together with other banks to provide syndicated loans to a single borrower. The borrower could be a corporation, a large project, or sovereignty (such as a government). The loan may involve fixed amounts, a credit line, or a combination of the two. Interest rates can be fixed for the term of the loan or floating.

Whether its capital equipment such as cars, land, machinery, equipment etc, we provide you with the finances to enable you finance the purchase of these assets for your business. Unlock your company’s full potential with our asset finance.

International and domestic trade is highly complex and involves a web of intricate risks. CalBank’s network and in-depth local experience makes us a reliable partner in this business. We assist our corporate clients with various international trade financing support. This is achieved through the delivery of a seamless service to their benefit. Our innovative tailored short, medium and long-term trade finance solutions enable us to meet our corporate and financial institutions clients‘ global import and export needs in a timely, efficient, risk averse manner.

We offer a comprehensive suite of International Trade Finance Services at CalBank, including the establishment of Letters of Credit on behalf of the exporter, providing for payment upon presentation of agreed documents between our client and the overseas exporter.

Other International Trade Finance services offered include:

  1. Documentary Credit (Exports & Imports)

We assist our corporate clients to establish different types of documentary letters of credit depending on our client’s negotiations with its foreign partners. All LC’s are established in accordance with the terms and conditions agreed between our Client and the offshore suppliers. We also provide advisory services to protect customers’ interests when dealing in imports or international transactions.

The types of Letters of Credits include:

  • Confirmed Credits: This is a type of credit where the issuing bank and country risks are absorbed by a third party.
  • Revolving Credits: A type of LC in which each amount of LC established under the approved limit will be reinstated after it has been drawn and payment has been made.
  • Transferable Credits: A type of LC in which the beneficiary bank is allowed to transfer part or whole of the LC amount to a new beneficiary upon the instruction of the client.
  • Back to Back Credits: This is an LC that is established on the strength of an existing LC established in favour of the client.
  • Standby Credits: A type of Bank Guarantee issued up to a specified amount upon presentation of a demand letter from the supplier.
  • Red Clause Letters of Credits: A type of facility that allows the beneficiary of the LC to access part of the LC amount before the stated obligation is performed.
  1. Documentary Collections

These types of documentary collections are dependent on the agreement between our corporate clients and their overseas supplier. Our corporate clients are briefed on the best options before negotiations with their foreign suppliers.

The types of Documentary collections include:

  • Open/Clean Collections : These are the financial documents used for obtaining the payment of money i.e. cheques and drafts on Banks.
  • Documents against Payment : Commercial documents released against payment.
  • Documents against Acceptance : Commercial documents released against the acceptance of Bills of Exchange.
  1. Guarantees

We issue different options of Bank Guarantees to our clients subject to meeting the terms and conditions of the facility.

The various options of Guarantees provided include:

  1. Bid Bonds: These guarantees are issued in favour of the clients to enable them tender for contracts.
  2. Performance Bonds: These are guarantees issued with regards to the client’s ability to perform under specified contracts.
  3. Advance Payment: This allows clients to access funds before undertaking projects.
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