Performance bond for Micro, Small and Medium Enterprises
Alinma Bank allows our Business customers to issue final LG with a cash coverage not exceeding 50% with a fast processing and without the need to submit financial statements.
- Up to SAR 1 million value of LG.
- Up to 5 years warranty period
- Competitive rates and fees.
- No financial statements required.
- Fast processing LG in case of documents completed and submitted to the bank.
- Wide list of accredited governmental and semi-governmental entities.
- Helping small and medium-sized enterprise SME contractors to provide the necessary liquidity to finance good implementation guarantees for government and semi-government agencies.
- The possibility of using the product for the facility or one of its branches.
- Completing the product grant study in a short period of time.
- Flexible and simplified terms for granting the product.
- The maximum financing limit is one million Saudi Riyals, which is equivalent to a project or group of projects with a size of 20 million Saudi Riyals.
- One-time limit.
Terms and requirements:
- 3 years operations is a minimum requirement (from the issue date of CR).
- Only accredited list governmental and semi-governmental projects are accepted.
- Certificate of completion is required for at least two governmental or semi-governmental projects for the last two years.
- Assignment and endorsement of the legitimate assignment of the letter of guarantee.
- Completed forms and product documents is required.
- No negative SIMAH indicators for the facility or its owners.
Maximum of 5 years
Product Expiry Method:
Through the release of the LG after the end of the project and handing it over to the owner and the end of its purpose, and returning the percentage of participation from the customer in his current account with Alinma Bank.
Prices & Fees:
Depends on the nature of the project, creditworthiness and the customer’s relationship with the bank.