The bank performs short-term crediting of legal entities and entrepreneurs under favourable conditions.
Prerequisites for submitting loan request:
- Loan applicant must be appropriately registered for performing the activity;
- Loan applicant must be client of the Bank;
- Loan applicant must achieve a positive result with appropriate financial indicators.
Types of short-term loans
Short-term crediting implies repayment period up to12 months, and depending on the purpose of the funds there are several types of investment loans:
- Liquidity loan – is granted to temporary overcome lack of liquid funds; they are repaid monthly or by the final deadline with the monthly interest repayment;
- Revolving loan – implies multiple withdrawal and return of the funds in parts in accordance with the client’s needs up to the in advance determined amount within the defined time period, with the monthly interest repayment;
- Framework loan – is granted for a specific amount withdrawn successively by the client, according to their needs.
Basic conditions of crediting:
- Repayment period – 12 months;
- Purpose – for maintaining liquidity for a short time, financing season needs, import etc.
- Use – one-off or successively;
- Repayment method - in equal monthly repayments, by the deadline established or according to otherwise determined dynamics, with the monthly interest repayment;
- Security instruments – authorizations with the promissory note collection order, deposit, warrants of business banks or other legal entities, mortgage, fiduciary transfer of a property right on real estate, lease of movables or securities etc.
- Other conditions are defined for every particular case.
- Documents required for the financial analysis and assessment of the applicant’s solvency for the short-term loan include the following:
- Status documentation (registration decision, statistical excerpt and CS form, Articles of Association, decision on the tax identification number (TIN) issued by the Directory of Public Procurement of the Republic of Montenegro;
- Request for granting the loan – (with the applicant’s basic information, short description of the business activity, amount, and type of the loan requested, deadline for repayment and dynamics of the repayment;
- A decision on the Debit Responsibility issued by the administration authority (according to the Statute).
- Balance sheet for the previous year and quarterly financial statements with the business report for the last quarter of the current year (balance sheet, income statement, balance of the cash flows and gross balance);
- Confirmation of the credit responsibility in business banks as well as the confirmation of the current account flow in the previous and current year;
- Documentation on the offered instruments for securing the orderly repayment of the loan, real estate sheet without burden or restrictions with the value of the real estate estimated by either Real Estate Administration or expert witness while the Bank also has the right to assess itself the value of things or instruments given as a security for the repayment;
- Documentation for the justification of the loan (contracts, invoice).
- Analysis of the repayment sources, projection of cash flows for the period of the use of the loan;
- The statement about legally connected persons of the company and the founder.
If necessary, the Bank may request additional documents relevant for the assessment of the applicant’s creditworthiness.
Usually, the bank responds to the request within 48 hours, provided that the documentation is complete and that the offered security instruments are adequate.
After the loan had been granted, the Bank will inform the client by telephone and then the process of concluding the contract can begin.