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Local Purchase Orders Finance
Fund supply orders, never run out of stock and meet your customers’ orders on time with this loan facility.
Loan Information
Description
Features
Benefits
Required Documents
Who Can Apply
How to Apply?
Description
Fund supply orders, never run out of stock and meet your customers’ orders on time with this loan facility.
Meet all your customers’ orders in time and never run out of stock with the Local Purchase Order Finance. This loan facility is designed to provide short term financing to small and medium scale retail customers with annual turnover of N500 million and below facility to carry out supply orders.
Features
- LPO finance is subject to a maximum tenor of 90 days with the option of 60 days renewal after the expiry of the facility.
- Loan Amount does not exceed 70% of cost of supply.
- Irrevocable Tripartite domiciliation of agreement in respect of Contract proceeds executed by beneficiary company, FirstBank and the employer company.
- The employing company must be on the FirstBank list of Principals.
Benefits
- Access to finance to finance for smooth contract execution.
Required Documents
- Contract Papers issued by the company awarding the contract.
- Bill of Quantity for the contract to be executed.
- Evidence of previous similar contract(s) executed by Contractor.
- Evidence of relevant government agency approval for contract.
- Any other documents that may be required by the bank.
Who Can Apply
SMEs with annual turnover up to N3billion.
How to Apply?
To Apply for a Contract Finance ,
- Download the Retail Loan Application Form
- Complete the form and submit to the Retail Team at the nearest FirstBank branch
FAQs
No, it has to be from an approved Principal of FirstBank.
Yes, domiciliation of business proceeds to the bank.
