Stanbic bank now offers collateral-free lending service for SMEs

Stanbic Bank Ghana recently launched a banking product which will allow for Small and Medium-scale Enterprises (SMEs) to access loans from the bank without providing any form of collateral.

According to the bank, this is in line with the recognition of SMEs as better placed in gratifying various socio-economic objectives of the country.

Known as Stanbic Enterprise Banking, the bank says the product is an enhanced form of service and dedication to its clients in the SME’s sector.

The Head of Personal and Business Banking at Stanbic Bank Ghana Ltd., Nana Dwemoh Benneh said, “We have identified presenting collateral by way of access to loans from a bank as one of the challenges deterring businesses from borrowing from banks to finance their operations; it is in this regard that we have launched the Stanbic Smart loan as one of the services under our Enterprise banking proposition.”

He added, “Under this scheme, we provide ‘unsecured’ lending to SMEs ranging from as low as GH¢40,000 to as high as GH¢160,000 and by so doing, we only monitor the cash flow of the SME business and that would determine the eligibility of your application for support.”

The bank says it hopes to increase its over 20,000 SME database before the end of the year through the initiative.

Stanbic Bank has expressed its continued support to the SME sector. Under its Enterprise Banking are some services like the Enterprise Direct Proposition which allows for clients to receive services via the telephone; the Enterprise Online which allows SMEs access to their accounts and the Enterprise Smart Loan which provides businesses with funding.