OREANDA-NEWS. October 22, 2010. Sviaz-Bank offers new programs to give loans to small businesses – Loan with Movable Property Purchase as Security and Loan with Immovable Property Purchase as Security – in all of the Bank’s offices in Russia, reported the press-centre of Sviaz-Bank.

Loan with Movable Property Purchase as Security is a program designed to finance the purchase of motor vehicles or equipment by small businesses and individual entrepreneurs. Loans are made for a term of up to five years and can reach 80% of the price of the property purchase, but only up to 15 million rubles for individual entrepreneurs and up to 60 million rubles for small businesses.

Loan with Immovable Property Purchase as Security is a program designed to finance the purchase of immovable property by small businesses and individual entrepreneurs for commercial purposes (with the exception of housing and land plots for building private housing). Loans are made for a term of up to seven years and can reach 70% of the price of the property purchase, but only up to 15 million rubles for individual entrepreneurs and up to 60 million rubles for small businesses.

The Bank also continues issuing loans to small businesses and individual entrepreneurs under its two current programs – Capital for Growth and Working Capital.

Capital for Growth is a program developed to finance a borrower’s fixed assets (purchase of property, property repair costs, and so on) for a term of up to three years. Loans made under the Working Capital program are intended to build up a borrower’s working capital for various purposes, including payment of arrears in taxes and levies, wages, etc., for a term of up to 18 months. The maximum amount loaned under these programs is 15 million rubles for individual entrepreneurs and 60 million rubles for small businesses. To take out loans, borrowers are to provide liquid property assets as principal security for loan repayment.

Loan interest rates are calculated on a case by case basis using the Bank’s own methodologies.