DHABI-- FGB, one of the leading banks in the UAE,
has said that it has become the first bank in the country to offer a one-stop
financing solution for UAE start-ups.
The bank’s new Startup Proposition
offers new businesses a range of financial solutions from business current
accounts and business credit cards, to start-up loans, overdrafts and
trade/working capital facilities, with no collateral required.
The start-up package is designed to
support new businesses in the initial stages of their business venture. New
businesses can access a 'no minimum balance' current account and Platinum Visa
business credit card in the first six months of operation, along with an
overdraft or a start-up loan after six months. Business ventures within the
first 18 to 24 months of operation have a combination of cash loans and trade
facilities available to them.
There are over 350,000 SMEs operating
within the UAE, which represent almost 92 percent of the total number of UAE
companies and provide more than 86 percent of jobs in the private sector. They
also account for over 60 percent of the country’s GDP, but only around 4
percent of total lending in the country. Facilitating access to finance for
SMEs is considered essential for fostering economic growth in the UAE and
supporting these businesses is currently a top priority for both the government
and business community.
Hana Al Rostamani, Head of Consumer
Banking at FGB, said, "Starting any new business requires funding, however
SMEs often find it difficult to access the financial support they need to get
up and running, and start operating efficiently. With the launch of our new
Startup Proposition, we want to meet businesses’ immediate requirements and
cater to their needs at each stage, without collaterals required. As part of
our efforts to further develop the SME segment in the UAE, we’re looking to
build long-term partnerships with local businesses and support them throughout
their business journey."