Corporate loans

Corporate Loans - Flexible Solutions for Sustainable Business Growth

Corporate loans are a financial instrument designed for companies with an annual turnover of more than BGN 3 000 000 that are looking for effective solutions to manage their financial needs. With its adaptability to the specific requirements of corporate clients, this type of lending provides individual terms tailored to the scale and objectives of the business.

What are corporate loans?

Corporate loans are designed to support large companies and organizations in their operational and strategic objectives. They provide the capital needed to manage running costs, implement investment projects, expand operations or overcome temporary financial difficulties.

Types of corporate loans

Corporate loans comprise various types of financing targeted at the specific needs of corporate customers:

1. Investment loans

These are aimed at the acquisition of tangible and intangible fixed assets that are key to the expansion and modernization of the business. They include funds for:

• Purchase of machinery and equipment;
• Acquisition of real estate for business needs - office buildings, warehouses, industrial premises;
• Financing of construction projects, including extension or reconstruction of existing facilities.

These loans enable businesses to implement large-scale projects that require significant resources and long-term financing.

2. Working capital loans

Provide the necessary funds to cover running costs and stabilize cash flow. They can be granted in the form of:

• Lines of Credit: Funds are available within a pre-approved limit and time period, and can be drawn down repeatedly as needed.
• Overdrafts: Allow businesses to exceed their current account balance, providing quick access to funds for unexpected expenses.

3. Credit lines for bank guarantees and letters of credit

This type of corporate credit is intended for companies involved in international trade or carrying out significant projects. These credit lines provide collateral for:

• Bank guarantees for advance payments: guarantee that the funds received will be used for the agreed purposes;
• Bank guarantees for good performance: Used for construction projects, public procurement or projects that require proof of reliability;
• Letters of Credit: Secure payments in import-export transactions by guaranteeing that payment will be made when certain conditions are met.

These lines of credit assist companies in dealing with partners and investors by providing confidence and stability in business relationships.

4. Lease limits

Designed to finance movable assets that are important for business efficiency and modernization. Examples of such assets are specialized equipment for production or construction activities, as well as vehicles intended for logistics or service needs.

5. Factoring limits

Factoring provides companies with the opportunity to gain immediate access to funds based on their trade receivables. This improves liquidity and reduces the risk of non-payment. Factoring limits can be:

• With recourse: In this option, the risk of non-payment of debts remains with the company, making it suitable for companies working with reliable customers and confident in their solvency;
• Without recourse: the risk is transferred to the bank, providing greater certainty for the business. Suitable for companies looking to minimize the financial risks associated with non-payment, especially if they are working with new or risky customers.

Factoring is particularly useful for companies working with long-term contracts or facing longer deferred payments that would disrupt their cash inflow.

Why trust FinTim?

FinTim is a licensed credit counselor that provides personalized assistance through the preparation of individual contracts. These include pre-agreed terms and pricing for services between FinTim and the corporate client. The team is always on hand to analyse the needs of the business and provide the most appropriate solution, providing full support throughout the lending process.

With FinTim, you not only get access to the best lending solutions for your business, but also a partner that works with you to achieve your long-term goals. Whether it's an investment project, working capital financing or specific underwriting needs, we're here to help grow and sustain your business. Contact us to discuss corporate financing options that fit your needs.