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The "Kafalah" program continues its distinguished role in supporting small and medium enterprises in the Kingdom of Saudi Arabia. This program plays a crucial part in serving and developing businesses, expanding the beneficiary base, and creating new job opportunities that contribute to reducing unemployment rates in the Kingdom. Aljazira Bank was one of the first banks to sign a partnership agreement with the "Kafalah" program, aiming to encourage small and medium enterprises that possess the potential for success but lack the necessary guarantees or accounting records to secure financing.


Program Objectives  

  • Assist SMEs in obtaining necessary financing for development and expansion.
  • Encourage financial institutions to engage with the SME sector.
  • Attract new SME owners who have not previously interacted with financiers.
  • Enhance the development of the SMEs sector to fulfill its vital role in the national economy.
  • Contribute to the creation of new job opportunities.
  • Promote economic development in provinces that are least active economically.

The interest rate is determined based on pricing approved by the Credit Committee as required.


Required Documents
  • A copy of the national ID/residence permit
  • A copy of the business license
  • A copy of the commercial registration
  • A copy of the company’s articles of incorporation (if applicable)
  • A copy of the lease or ownership document for the business premises
  • A feasibility study for the business (for new projects)
  • A copy of the audited financial statements for the last three years (for existing projects)
  • A funding application form
  • A copy of ownership documents (properties, vehicles, etc.)
  • Any other documents requested by the bank.


Steps to take
  • The enterprise applies for financing to the financial entities cooperating with the Program directly, or to apply through the finance portal supervised by the SME Bank.
  • Request for funding and if the funding provider needs guarantees to cover the risks, it is transferred to the Program to study the request for Kafalah.
  • Kafalah Program studies the request and if approved by the Program, Kafalah is issued in favor of the financier.

How to Apply

 

 

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