OREANDA-NEWS. The Bank of Moscow has launched a new credit product under the title "Prospects for Business" intended for small enterprises with annual revenues of up to 300 million roubles. The loans are extended for refinancing current debt to banks, while some of the funds borrowed within the scope of the product may be used for business development.

The loans are issued in sums between 3 and 150 million roubles for a maximum term of 60 months. They may take the form of a one-time loan or a credit facility with a drawn-down limit or a credit facility with a debt limit, this making it possible to redeem a refinanced loan and use the funds for business development purposes. The application for a Prospects for Business" loan will be considered within just two days.

The main advantage of the new product is a flexible opportunity to use the loan: refinancing is possible not only of the principal but also interest/commission required for its redemption. A limit may be sent on the loan that exceeds the loan refinancing debt: the part of the limit in excess of the balance on the refinanced loan may be used for the purposes of the enterprise’s current business: to replenish circulating assets or invest in fixed assets.

The security of a Prospects for Business" loan may consist in any property owned by the pledger. The loan may be extended against pledge of the property securing the refinanced loan. The loan may be partly secured by guarantees from regional structures for supporting small and medium-sized businesses.

"The new loan "Prospects for Business" is intended specially for companies that need additional borrowings to develop the enterprise but all their assets are pledged against current loans or for enterprises that are not satisfied with the current crediting terms", commented Ekaterina Orlova, Director of the Bank of Moscow Small Business Department, "In developing the new product, the Bank endeavoured to take all businessmen’s requirements into consideration. We are expanding the opportunities for our clients and developing products that are most beneficial and interesting."