Al Rajhi Bank's SMEs Sector launched the Sharia-compliant POS financing product, designed to suit the needs of small businesses.
The product is a collateral-free financing program relying on ongoing cash from POS machines, so that the capital flow of the product gives the project a chance to develop and grow.
The product will be used to meet working capital requirements and business expansion with a financing period of up to 24 months and a financing amount of up to 1.5 million SAR, to be paid in fixed monthly installments, with quick approval and completion of the financing procedures.
The financing available for Al Rajhi Bank's Point of Sale customers can be obtained from the nearest Al Rajhi Bank branch, or through customer service, e-mail or the bank's website.
In addition to filling out and submitting the documents to obtain the funding, you need to submit a credit report from "SAMA" free from default commitments, to have three years of experience in the field from the start date of the activity, and two years of internal use of POS machines for Al Rajhi Bank customers.
Al Rajhi Bank gives great importance to the SMEs sector as one of the most important pillars of its business and development strategy, with a clear vision, Sharia-compliant banking solutions and long-term business plans. The implementation and development phase started in 2006, when the bank created a separate department for the SMEs sector, which succeeded in achieving a number of concrete accomplishments.
Al Rajhi Bank aims at increasing the scope of services for these establishments and to expand the horizons of cooperation with them, as they are of utmost importance in the development of the economic cycle. The Bank also believes in expanding the base of beneficiaries of its services and products from these establishments, which it considers extremely important in creating suitable job opportunities and implementing the ideas and aspirations of young people. The Bank's interest in this sector comes in line with the Saudi Vision that requires “an increase of the contribution of small and medium-sized enterprises to GDP from 20% to 35% by 2030".
Al Rajhi Bank for SMEs offers integrated banking solutions, including financing and non-financing solutions, all of which comply with the international standards and the Islamic Sharia law. Among the most important solutions are the financing products, which include sale for profit, partnership, real estate and supply. As well as trade finance products and services, which include documentary collections for export and import, documentary credits for export and import, letters of guarantee, documentary credits by participation or profit.
Al Rajhi Bank services also include cash management, cash transfer, salary transfer or cards, companies’ direct electronic services, profit distribution, point of sale, direct debit cards, alert messages, user checks and encryption devices.