Short-Term Finance

SUPPORTED FACILITIES-    Purchase Order Finance, Invoice Discounting and Working Capital

TARGETED NUMBER OF MSMEs

The general objective of this loan product is to improve access to finance for MSMEs and Cooperatives trading in Zambia and empower 3,000 MSMEs and Cooperatives across all sectors in Zambia.

MAXIMUM LOAN AMOUNT – This is an affordable, competitive, easily accessible product with a flexible repayment plan. Under this product, the Commission will be offering Short-Term Financing for Purchase Orders , Invoice Discounting and/or Working Capital up to K2, 000,000.00 to existing and start up MSMEs and Cooperatives.

LOAN INTEREST AND TENOR

The facilities will attract Twelve (12) percent interest per annum and the maximum tenure of the facility shall be twelve (12) months.

COLLATERAL REQUIREMENT

 All Loans shall be secured using movable and immovable assets (e.g Accounts Receivables, Equipment ,Purchase Orders and/or Invoice Discounts).

 ELIGIBILITY

• Already established MSMEs and Cooperatives as well as startup MSMEs /Cooperatives in all sectors
• Must be Zambian with a green national registration card(NRC)
• Formally registered entity (must be a registered business name, company or cooperative with relevant authorities)
• Must have a ZRA Tax Payer Identification Number (TPIN)
• Submit a valid/verified purchase order/supply contract to the CEEC.
• Sufficient Collateral to cover the facility (applicable to Working Capital loans).

APPLICATION PROCESS

MSMEs and Cooperatives who meet the above criteria are encouraged to submit complete Project applications with the correct attachments on the Online Portal and take NOTE that the application window is throughout the year.