1. What type of SME loan facility is available for entrepreneurs?

o Cash Credit (CC)
o Term Loan (TL)
o Property Loan “Janala”
o Demand Loan (Festival Loan)

2. Which purposes are allowed for availing SME loan?

o Cash Credit Loan (CC) is provided for meet the working capital requirement of the business.
o Term Loan (TL) is provided for procurement of machinery, other fixed asset or any other valid business purposes.
o Demand Loan (Festival Loan) is provided for meet up seasonal requirement of business.

3. Have any loan product for women entrepreneurs?

Yes, we have two products [DBBL Women Entrepreneurs Financing (Term Loan) “Uthsaho” & DBBL Women Entrepreneurs Financing (Cash Credit) “Shofolota”) for women entrepreneurs with the following special feature:
o This loan is only offered to businesses run by women entrepreneurs.
o Financing up to Tk.5,000,000/-
o Competitive Interest Rate (7.50% p.a.)

4. Have any loan facility under SMEDP-2 project of Bangladesh Bank?

Yes, DBBL signed agreement with Bangladesh Bank to participate in loan disbursement under SMEDP-2 project and offers two products. The special features of the products [Term Loan – “DBBL Unnoyan” & Cash Credit – “DBBL Utpadon”] under SMEDP-2 project are:
o Interest Rate 6.00% p.a.
o Business located outside Dhaka & Chattogram Metropolitan areas
o Maximum Tenor of Term Loan is 5 years
o Maximum loan amount Tk. 50,000,000/-
o Not applicable for Takeover Amount

5. What business purpose can be met by availing property loan “Janala”?

Requirement of fund for the following purposes:
o To purchase new or old house/ flat/commercial space
o To construct/ extend of house/ apartment/ commercial space
o To renovate/ alteration of existing house/ flat/ commercial space
o Taking over of the existing housing loan from other bank/ Financial Institutions

6. Who are eligible for availing SME loan?

Eligible entities for availing SME loan from DBBL are:
o Sole Proprietorship Business,
o Partnership Business &
o Private Limited Company.

7. Which type of collateral/security is required for availing the loan?

For availing SME loan it is required to mortgage collateral/security having at least 1.50 times market value of loan amount.

8. What should be the minimum age of the business for availing SME loan?

An enterprise must have at least 3 (Three) months business experience supported by valid trade license.

9. What should be the age range of an entrepreneur for availing SME loan?

Cash Credit Loan (CC): The age limit for sole proprietor is 21 to 65 years. For renewal purpose maximum age may be considered up to 70 years. Term Loan (TL): Minimum 21 years and Maximum 70 years (Including the tenure of the facility).

10. How much minimum income required for eligible applicants of property loan “Janala”?

Minimum income required to apply property loan “Janala” is Tk.30,000/- per month.

11. What is the maximum amount of SME loan?

Type of Industry	Nature of Enterprise	Maximum Loan Limit in Tk.
Cottage	Manufacturing	1,500,000/-
Micro	Manufacturing	10,000,000/-
	Service	2,500,000/-
	Trading	5,000,000/-
Small	Manufacturing	200,000,000/-
	Service	50,000,000/-
	Trading	50,000,000/-
Medium	Manufacturing	750,000,000/-
	Service	500,000,000/-

12. What is the interest rate for SME loan?

o Competitive Interest Rate
o Lowest interest rate in the market
o Interest rate is 7.00% p.a. for takeover loan customers &
o Interest rate is 7.50% p.a. for new customer.

13. What tenor is offered for SME loan?

o Cash Credit Loan (CC): 1 year and renewable after 1 year.
o Term Loan (TL): Equal Monthly Installment from 12 to 120 months.

14. How can this loan be repaid?

o Cash Credit Loan (CC): Customer will deposit sales proceeds in the account from time to time and finally in full on or before expiry from business income or client’s own source.
o Term Loan (TL): Through equated monthly Installment.
o Demand Loan (Festival Loan): Bullet payment on or before expiry.

15. Is there any processing fee for this loan?

No, there is no processing fee for availing SME loan.

16. What is the early settlement fee?

Early settlement fee @2% + VAT on principle outstanding or minimum Tk.1,000/-.

17. What is the partial settlement fee?

Partial settlement fee @1% + VAT on principle outstanding or minimum Tk.1,000/-.

18. Is there any insurance policy required to avail this loan?

Yes. Have to obtain an insurance policy covering minimum risks of fire & RSD on entire hypothecated assets.

19. Requirement of guarantor is mandatory to avail this loan?

Yes. One guarantor (blood related or business related) is required to avail this loan.

20. What are the documents to be submitted to apply for this loan?

The following documents must be submitted to apply for this loan:
• Loan application duly signed by the client
• CIB Report
• Trade license (up to date)
• TIN certificate (if loan amount is more than Tk.500,000/-)
• Acceptance of the terms and conditions of sanction advice before disbursement.
• Audited financial statement (If total exposure is above Tk.4,000,000/-)
• Estimated cost of project/ construction for commercial complex from competent authority.
• Land related documents (Title Deed; Bia Deed; CS, SA, RS, BS Khatians; Mutation Khatian; DCR; Up to date ground rent paid receipt; Non- encumbrance Certificate; Mouza Map; Legal Opinion)
• No objection certificate / mortgage permission from RAJUK / MoWorks / Cantonment Board or from appropriate authority in case of leasehold property.
• Certified copy of irrevocable general power of attorney to sell the mortgaged property without the intervention of the court with duly endorsed deed delivery receipt.

• In case of partnership firm –
o Registered Partnership Deed
o List of Current Partners
o Partner’s Resolution for availing loan from Dutch-Bangla Bank PLC.br>
• In case of private limited company –
o Certificate of Incorporation
o Memorandum and Articles of Association
o Board Resolution for availing loan from Dutch-Bangla Bank PLC.br> o Certificate of registration of charges over the fixed and floating assets of the company duly issued by RJSC.
o Passport / Voter ID Card / Nationality Certificate issued by competent authority with photograph of the entrepreneur/guarantor.