Contract Finance

This is designed to offer finance for the execution of contracts from HFC- approved list of companies for up to 12 months or below (1 year).

Requirements

1. Application form completed                                            
2. Board of Directors resolution to open accounts                                      
3. Certificate of incorporation/registration        
4. Company PIN & VAT                      
5. ID & PIN copies of all directors 
6. Copy of Annual Returns/CR 12 
7. Utility Bill                                        
8. Proposal for borrowing indicating: amount being borrowed, purpose, type of facility required, proposed repayment period and any other relevant information
9. Audited accounts for the last three years
10. Current management accounts

Fees & Rates

Interest rate is Central Bank Rare (Currently 9%) plus a margin of 4%p.a. i.e. 13%p.a. or 10%p.a. for USD loans.

*For USD loan 2% commitment fee

Features

• Obligor must be the principal contractor or Nominated Sub-contractor having secured contract (s) from HFC approved awarding parties
• Maximum facility tenor of 6 months, with an option of renewal over a maximum of 3 months
• Facilities above Kes. 1M or equivalent will require additional HFC acceptable securities
• Loan amount not to exceed 70% of estimated total cost of executing the contract, 30% of which must be evidenced as customer's contribution
  
  

Benefits

•  Access to finance for smooth contract execution