Guarantees for Loans to Small and Medium Enterprises

How to Apply

Step 1 - Prepare your file

A complete application is processed faster!

All Kafalat programmes require a common set of documents to be provided. The main documents Kafalat requires are:

1-  Feasibility study or business plan, presenting the project and a cash flow projection for the duration of the loan.

2-  Pro-forma invoices.

3-  Rent contract and/or a recent real estate certificate for the business premise.

4-  Financial statements for the last three years.

5-  Permits or initial approvals from official authorities, if required.

6-  Borrower ID, Commercial Register, and Bylaws of the company (showing borrowing power) if applicable.

In addition, some programme specific documents may be required. For a complete list of required documents, please check the Documents Required page of each Programme on our website or ask your Bank.

Step 2 - Apply at the Bank

The Loan can be obtained from any bank operating in Lebanon. You may approach one or several banks, present your project to be financed, and ask for a Kafalat Loan. You will have to fill and sign a Kafalat application form. The bank may ask for additional documents.

Step 3 - Get Approved

Get the approval of both the Bank and Kafalat, and sign the loan contract.

Step 4 - Start Executing Your Project

You may only proceed and start executing your Project, after your file has been approved by both the Bank and Kafalat.


How is My Application Processed


Stage 1 - Application is received by Bank

The bank verifies the documents you provide, gives you the appropriate application form to fill and sign, and may require some missing and/or additional documents. Only when all documents are complete, is your Kafalat Loan application file underway.

Stage 2 - Bank Assesses Your Project

Each bank has a different procedure and policy for credit assessment. Kafalat does not interfere in the decision making for loan approval at the bank. If a bank rejects your project, you may reapply at another bank. When a bank accepts your project, it transfers your application to Kafalat.

Stage 3 - Kafalat Assesses Your Project

Kafalat’s decision to either accept or reject your application is based on the feasibility study/business plan of the project and its viability. Kafalat may set conditions to its approval. Kafalat is committed to issue its decision within 3 weeks of receiving the application from the bank, provided it is complete, and all additional conditions met.

Stage 4 - Bank Disburses the Loan

Once Kafalat approves the project, and additional conditions are met by the Client, the bank receives a letter of guarantee from Kafalat. Only then, can the bank disburse the money for the purpose mentioned in the file.