SME Loan

Small and Medium Enterprises (SMEs) are companies whose headcount, capital or turnover falls below certain limits. Globally, SMEs contribute significantly to GDP. In Nepal, there is huge potential for SMEs to play a pivotal role in driving the economic growth of the country. Ace encourages such entrepreneurship by providing loans for establishing SMEs.

Who can apply?
The loan can be provided to a company duly registered in Nepal having a valid registration certificate. The company should provide a report outlining the need for the loan and the purpose of the financing.

Tenure
The tenure of the loan can be adjusted taking into consideration the purpose of the loan. A working capital loan is extended to cover the short term need (1 year or less) so the tenure is set accordingly. The tenure of loan for other purposes depends on the nature of the business.

Security
The client should provide collateral in the form of land and/or building or other fixed assets with adequate value to cover the loan requirement. Other forms of security may be accepted upon terms and conditions. Ace can request for the additional personal guarantee of share holder and/or directors as required.

Transaction size
Minimum loan amount is Rs. 2,00,000

Interest rate
9% - 14% per annum, conditions apply
Interest rates will be periodically reviewed to be in line with the market.