Trade Finance

At Jamii Bora Bank, we look to support Medium enterprises by providing financial services that cover their business the through the entire trade finance cycle. We have redesigned the products in the Trade Finance segment in order to meet the need of entrepreneurs and owners of medium enterprises.

The Jamii Bora Bank provides an end-to-end Trade Finance Cycle, thereby providing medium enterprises, the youth, women and people with disabilities; with a favourable and enabling environment from which to operate.

Advance Payment Guarantee

advance payment

This is a guarantee issued by the Bank that enables the buyer/procurement entity to recover an advance payment made under contract or order if the client fails to fulfill their Contractual obligations.

Key Features

  • Only issued to those client who have won a contract with a provision of advance payment
  • Flexible collateral
Bid/Tender Bonds

tender bonds

Tender Bonds also known as Bid Bonds are undertakings issued by commercial banks to support tenders (Contractors, suppliers) bidding for the work.

Jamii Bora Bank will undertake to pay the sum of money stated should the third party (our client) fail to perform works as per the terms of the contract.

Key Features

  • No security required for facility of up to Ksh3M.
  • Turn Around within an hour
  • Competitive pricing
  • Can be issued at any Jamii Bora Bank Branch.
Bora Customs Duty Facility

customs

This is a facility available to traders who are in goods importation. It creates a faster way of settlement of duty charges to Kenya Revenue Authority (KRA) and avoids penalties. Jamii Bora Bank finances 100% of all that the customer would need to pay for before their goods are cleared including; calculated duties, taxes as per KRA guidelines and clearing charges.

Benefits

Avoidance of port, storage and demurrage charges,

Avoiding auction by KRA and container freights stations

Key Features

  • Short term facility
  • Competitive pricing.
  • Fast turnaround time to avoid demurrage accruals
Letters of Credit

letter of credit

This is a written undertaking by Jamii Bora Bank at the request of its customer typically the applicant, in which Jamii Bora Bank obligates itself to pay a supplier (beneficially) up to a stated amount within a prescribed time frame, upon presentation of documents that conform to ALL the terms and conditions requested by the applicant.

 

Benefits

Gives a secure mode of payment for local and International trade.

Jamii Bora Bank customers are accorded a period of credit before paying for imports

Key Features

Flexible collateral

Fast turnaround time

Competitive pricing

Short term undertakings with 90day tenure.

Performance Bond Guarantee

performance guarantee

This is a guarantee issued to assure due and proper performance of contractual obligations in an underlying contract after the award of the tender and is required before the parties sign the contract.

Jamii Bora Bank will undertake to pay the sum of money stated should their client fail to undertake proper performance of the contract

Key Features

  • Competitive pricing
  • Flexible collateral
Insurance Premium Financing

insurance financing

This is a facility that enables customers to pay their insurance premium in installments rather than one lump sum, to preserve cash flow or for other economic considerations, while getting an insurance cover immediately. JBB disburses the facility directly to the insurance company.

Loan Term: Maximum period of 10 months

Security/Collateral

  • Guarantee and Indemnity by the Insurance Company
  • Signed IPF tri-partite agreement
  • One current cheque and PD Cheques
Overdraft Facility

overdraft

One must be a customer of JBB for more than 3 months and should demonstrate the ability to pay.

Loan Term: 12 Months but repayable on demand

Security/Collateral: Fully secured with either cash, title deed, log book and any other tangible security

Invoice Discounting Facility

invoice

This is a form of short-term borrowing often used to improve a company's working capital and cash flow position. It entails Jamii Bora Bank discounting of invoices or promissory notes from a supplier’s selected customers. It’s a short term loan with tenure of 120 days or less.

Key Features

  • Discounting margin of 80% of the Bill/Invoice value
  • Unsecured for invoices from reputable companies
  • Competitive pricing
Local Purchase Order (LPO) Financing

LPO financing

This is a facility designed for contractors and vendors of reputable organizations to enable them execute work and local purchase orders from the respective employers. The facility enables the suppliers to meet their orders at ease. The discounting margin is at 70% of LPO value.

Key Features

  • Fast turnaround time
  • Flexible collaterals
  • Competitive pricing
  • Short term facility with 120 months tenure or less