Starting Business in Bangladesh: Documents you need to get SME loan from Banks/Financial Institutions

by RUHUL KADER on Feb 22, 2012 10:48 am 1 Comment

Getting SME loan or any kind of Bank loan is, in a word, complicated. In a sense its okay to be complicated because giving money is not a good feeling for anyone but banks. Wherever you go to a bank for loan they just behave like they are not willing to give you loan but in hindsight they actually love to give loan but they love documents more. I doubt whether bankers love anything more than papers named by documents! In Bangladesh its more than true that you need a bunch of documents to get loan. To take SME loan from any Bank or financial institution you need numbers of document that many of SME loan seekers dont know. Hope this post will come to a help to them. Here goes a checklist of documents you need to get SME loan from a bank or Financial Institution:
1. 2. 3. 4. Trade license Bank Account (Current Account) in the name of Business National ID card Drug License (only for drug business) BSTI certificate (For food producing companies) Permission from DC (for Diesel and Acid Business) PetroBangla Certificate (for Diesel and Octane Business) Last 1-3 years bank statement (demand can vary based on bank) Agreement of shop or house

5.
6. 7. 8. 9.

10. Position Document

11. TIN certificate

12. VAT certificate (only in applicable case) 13. Electricity Bill 14. Telephone Bill 15. Educational qualification certificate 16. Names of employees, salary, post and monthly salary sheet 17. IRC (Import Registration Certificate) and IRE certificate ( for Export & import business) 18. Stored/Stocked products and price of that products 19. List and total price of fixed asset 20. List of creditors 21. List of debtors 22. Description of present loan from anywhere (if any)

23. CIB (Credit Information Bureau) report of Bangladesh Bank, here it has to be mentioned that, the
particular bank provides CIB form to the entrepreneur to fill up and to give it back to the bank and the bank manage the other arrangements to get CIB report from Bangladesh Bank

24. Passport size picture of Loan applicant and guarantor, here its mentionable that, financial Organization can take more than one guarantor if they want 25. Trade License and CIB report of guarantor if guarantor is a businessman 26. One year sales report and profit account of the business 27. Certificate of incorporation and Memorandum of Articles (for private limited company) 28. Resolution of loan taking decision (for private limited company) 29. Audited Financial Statement, Balance sheet, Profit-loss account, Cash flow statement, trade account (for limited company) 30. Current customers/clients list (for limited company) 31. Registered from Joint Stock Company and Notarized partnership deed from Notary club (for partnership business) 32. Resolution of partners for loan taking

Above mentioned documents are almost common documents for all kinds of bank loan. Depending on banks documents requirement it can vary.
Tags: Bank Account, Bank loan, BSTI certificate, CIB report, SME, SME loan, Starting business in Bangladesh, TIN