services-bank-draft

Bank Drafts

Bank drafts offer a convenient and secure means of payment, and are more easily negotiated than postal money orders and are less vulnerable than cash to loss or theft.

SME LokalBoost a scheme specially designed for Small and Medium Entrepreneurs, both individuals and companies, operating either in Mauritius and/or Rodrigues.

It comes with a panoply of products, namely Term Loans, Leasing and Working Capital for businesses operating in all sectors, at concessionary interest rates and flexible terms.

SME LokalBoost Campaign is valid from 17 July to 31 October 2024 close of business, both dates inclusive (’Campaign Period’).

For the duration of the campaign, the scheme will carry Zero Processing Fees for all credit applications taken, and 1 year issuance fee waived for Credit Cards applied for.

The following terms and conditions (‘Terms and Conditions’) will apply solely to the MauBank SME LokalBoost scheme.

1. Details of the scheme

The scheme consists of the following different products:

  • Working capital facilities:
    • Import Loan limit (MUR/FCY) of up to MUR 5M
    • Bills discounting limit of up to MUR 1M
    • Revolving Loan limit of up to MUR 3M
    • Overdraft limit of up to MUR 1M
  • Business Loan of up to MUR 10M
  • Finance Lease facility of up to MUR 5M for financing a Vehicle or Equipment.

2. Eligibility

a. The Scheme is applicable to:

  • Small and Medium Entrepreneurs who already have an established business.
  • Businesses being operation for a min of 12 months.
  • SMEs Individuals, self-employed Professionals and Companies.
  • MauBank customers and non MauBank Customers.

b. It is applicable for business purposes only.

c. A past track record inclusive of but not limited to MCIB, Search Report and Bank Statement are required.

 

3. Main Features of the SME LOKALBOOST scheme are as follows:

3.1 Working Capital Facilities

Type of facility

Working Capital facility

Import Loan

  • Up to MUR 5,000,000/- (Rupees Five Million only)
  • Repayment up to 12 months
  • In MUR & Foreign Currency

Bill Discounting

  • Up to MUR 1,000,000/- (Rupees One Million only)
  • Repayment up to a maximum period of 90 days
  • 90% of invoice
  • Interest payable upfront for each bill discounted

Revolving Loan
  • Up to MUR 3,000,000/- (Rupees Three Million only)
  • Repayment up to 12 months
  • Interest payable monthly & capital at maturity

Overdraft

  • Up to MUR 1,000,000/- (Rupees One Million only)
  • Repayment up to 12 months
  • Interest payable monthly & capital at maturity

Interest rate

8.30% p.a

PLR+0.5%

(PLR=7.8% p.a.)

Purpose of facility

For working capital requirement

Processing fee

  • 1% on facility amount. (Zero processing fee during campaign period)

Security
  • For individuals: Fixed & Floating charge on assets of the borrower or any other security acceptable to the Bank.
  • For Companies: Fixed & Floating charge on assets of the borrower or Guarantor of a company.
  • Or any other security acceptable to the Bank.

 

3.2 Business Loan

Type of facility

Business Loan

Amount

Up to MUR 10,000,000/- (Rupees Ten Million only) depending on projects

 

Interest rate

8.30% p.a

PLR+0.5%

(PLR=7.8% p.a.)

 

Moratorium period

Up to 12 months moratorium depending on nature of project

 

Repayment period/Tenor

Up to 10 years including moratorium period

Purpose of facility

Business purposes

Financial assistance to SMEs to expand their business.

Processing fee

1% on facility amount. (Zero processing fee during campaign period)

Security
  • For individuals: Fixed & Floating charge on assets of the borrower or any other security acceptable to the Bank.
  • For Companies: Fixed & Floating charge on assets of the borrower or Guarantor of a company.

Or any other security acceptable to the Bank.


*APR: 8.78%

3.3 Asset Financing

Type of facility

Finance Lease

Amount

Vehicle - Up to a maximum of MUR 5,000,000/- (Rupees Five Million only)

Equipment- Up to a maximum of MUR 5,000,000/- (Rupees Five Million only)

Interest rate

Fixed interest rate of 5.50% for first 2 yrs,

Fixed Interest rate of 7.50% for remaining period

 

Period of lease
  • Up to 8 years for new vehicle
  • Up to 5 years for equipment
  • Up to 5 years for reconditioned/second hand vehicles and equipment.

Residual Value

  • MUR 1,000 for each lease contract

Purpose of facility

To finance the following: -

  • Purchase of brand new/second hand/reconditioned vehicle for business purpose only.
  • Purchase of brand new/second hand equipment in line with business activity of borrower.

Financing
  • 100% Financing (excl VAT) for new/reconditioned vehicles and new equipment.
  • 85% Financing (excl VAT) for second-hand equipment.

Security
  • Ownership of leased assets
  • However, floating charge on all assets of the borrower may be requested on case-to-case basis
  • The facility to be drawn from the import line shall be secured against a floating charge on all assets of the borrower. The Bank may also request for the Personal Guarantee of the directors where applicable.
  • Any other collateral acceptable to the Bank.

Registration Fees
  • As per government fees

Processing Fee
  • 1% of facility amount (zero processing fee during campaign period)


*APR: 5 years: 6.24% | 8 years: 6.65%

3.4 Credit Card

A Corporate Credit Card will be issued.

  • Minimum MUR 25,000/-
  • First year issuance fee waived*

 

4. Exclusions

  • The scheme will NOT be applicable for startups.