Business Loan in UAE
Your details are safe and secured
Thank you for providing your details.
Business Loans Interest Rates in UAE
Minimum Salary
Interest Rate
Loan Amount
Reducing Rate
Select Bank
Annual Turn Over
Tenure In Months
Interest/Profit Rate
Other Filters
CLEAR
Flat Rate
Minimum Loan
Reducing Rate
Early Settlement Fee
Min Annual Turnover
Time In Business
Approval Time
Processing FeeBenefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Features
- The reduction rate and the flat rate is 20% and 11.03%. This denotes that the computation done was a division of the reduction rate by 1.813
- Provides maximum finance amount of up to AED 250,000
- Early settlement fee is 3% of the finance amount
- Processing fee is 2% of the loan amount
- Repayment period is up to 48 months
- Provides minimum finance amount of up to AED 50,000
- 2 years minimum length of business is required to qualify for this finance
- No maximum annual sales turnover is there to apply for this finance
- Minimum annual sales turnover of AED 2,500,000 is needed to apply for this finance
- You need not have a bank account with Gulf Finance bank to apply for this finance
- After successful submission of documents, within next 2 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
- Documentation process is simple and easy
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Features
- The reduction rate and the flat rate is 12% and 6.62%. This denotes that the computation done was a division of the reduction rate by 1.814
- Provides maximum finance amount of up to AED 15,000,000
- Early settlement fee is 1.5% of the finance amount
- Processing fee is 2% of the loan amount
- Repayment period is up to 60 months
- Provides minimum finance amount of up to AED 2,000,000
- 2 years minimum length of business is required to qualify for this finance
- There is no maximum annual turnover limit to be eligible for this finance
- Minimum annual sales turnover of AED 20,000,000 is needed to apply for this finance
- You need to have a bank account with CBI to apply for this finance
- After successful submission of documents, within next 20 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
- Documentation process is simple and easy
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Features
- The reduction rate and the flat rate is 8% and 4.41%. This denotes that the computation done was a division of the reduction rate by 1.814
- There is no limit to the maximum loan amount
- Early settlement fee is AED 0 to apply for this finance
- Processing fee is 2% of the loan amount
- Repayment period is up to 36 months
- Provides minimum finance amount of up to AED 100,000
- 2 years minimum length of business is required
- There is no maximum annual turnover limit to apply for this finance
- Minimum annual sales turnover of AED 2,500,000 is needed to apply for this finance
- No need to have a bank account with Beehive to apply for this finance
- After successful submission of documents, within next 5 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
- Documentation process is simple and easy
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Features
- The reduction rate and the flat rate is 8% and 4.41%. This denotes that the computation done was a division of the reduction rate by 1.814
- For the maximum loan amount there is no limit
- Early settlement fee is AED 0 to apply for this finance
- Processing fee is 2% of the loan amount
- Repayment period is up to 36 months
- Provides minimum finance amount of up to AED 100,000
- 2 years minimum length of business is required
- There is no maximum annual turnover limit to apply for this finance
- Minimum annual sales turnover of AED 2,500,000 is needed to apply for this finance
- No need to have a bank account with Beehive to apply for this finance
- After successful submission of documents, within next 5 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
- Documentation process is simple and easy
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- Cash locked up in receivables can be accessed fast
Features
- The reduction rate and the flat rate is 14% and 7.72%. This denotes that the computation done was a division of the reduction rate by 1.813
- Provides maximum finance amount of up to AED 5,000,000
- Early settlement fee is 3% of the finance amount
- Processing fee is 1% of the loan amount
- Repayment period is up to 6 months
- Provides minimum finance amount of up to AED 250,000
- 2 years minimum length of business is required to qualify for this finance
- No maximum annual sales turnover is there to apply for this finance
- Minimum annual sales turnover of AED 5,000,000 is needed to apply for this finance
- You need not have a bank account with Gulf Finance bank to apply for this finance
- After successful submission of documents, within next 3 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- Cash locked up in receivables can be accessed fast
- Documentation process is simple and easy
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Features
- The reduction rate and the flat rate is 16% and 8.82%. This denotes that the computation done was a division of the reduction rate by 1.812
- Provides maximum finance amount of up to AED 1,500,000
- Early settlement fee is 5% of the finance amount
- Processing fee is 2% of the loan amount
- Repayment period is up to 36 months
- Provides minimum finance amount of up to AED 250,000
- 2 years minimum length of business is required to qualify for this finance
- The maximum annual turnover limit to be eligible for this finance is AED 600,000,000
- Minimum annual sales turnover of AED 3,000,000 is needed to apply for this finance
- Provided with pre-approved credit card free for life
- You need to have a bank account with United Arab Bank to apply for this finance
- After successful submission of documents, within next 10 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
- Documentation process is simple and easy
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- Along with this scheme free Keyman Takaful protection is provided
Features
- The reduction rate and the flat rate is 21% and 11.58%. This denotes that the computation done was a division of the reduction rate by 1.813
- Provides maximum finance amount of up to AED 2,500,000
- Processing fee is 2% of the loan amount
- Repayment period is up to 60 months
- Provides minimum finance amount of up to AED 100,000
- Minimum annual sales turnover of AED 900,000 is needed to apply for this finance
- After successful submission of documents, within next 2 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- Along with this scheme free Keyman Takaful protection is provided
- Documentation process is simple and easy
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Features
- The reduction rate and the flat rate is 11% and 6.06%. This denotes that the computation done was a division of the reduction rate by 1.815
- Provides maximum finance amount of up to AED 3,000,000
- Early settlement fee is 1.5% of the finance amount
- Processing fee is 2% of the loan amount
- Repayment period is up to 120 days
- Provides minimum finance amount of up to AED 100,000
- 2 years minimum length of business is required to qualify for this finance
- The maximum annual turnover limit to be eligible for this finance is AED 40,000,000
- Minimum annual sales turnover of AED 2,000,000 is needed to apply for this finance
- You need to have a bank account with CBD to apply for this finance
- After successful submission of documents, within next 5 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
- Documentation process is simple and easy
- Provides business credit cards for loan amount up to AED 3,000,000
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Features
- The reduction rate and the flat rate is 18% and 9.92%. This denotes that the computation done was a division of the reduction rate by 1.814
- Provides maximum finance amount of up to AED 1,500,000
- Early settlement fee is 5% of the finance amount
- Processing fee is 2% of the loan amount
- Repayment period is up to 48 months
- Provides minimum finance amount of up to AED 50,000
- 1 years minimum length of business is required to qualify for this finance
- Minimum annual sales turnover of AED 1,200,000 is needed to apply for this finance
- You need not have a bank account with Emirates Money bank to apply for this finance
- After successful submission of documents, within next 3 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
Features
- The reduction rate and the flat rate is 13% and 7.17%. This denotes that the computation done was a division of the reduction rate by 1.813
- Provides maximum finance amount of up to AED 3,000,000
- Early settlement fee is 1.5% of the finance amount
- Processing fee is 2% of the loan amount
- Repayment period is up to 48 months
- Provides minimum finance amount of up to AED 100,000
- 2 years minimum length of business is required
- The maximum annual turnover limit to be eligible for this finance is AED 40,000,000
- Minimum annual sales turnover of AED 2,000,000 is needed to apply for this finance
- You need to have a bank account with CBD to apply for this finance
- After successful submission of documents, within next 5 working days the bank will approve the loan
Benefits
- Finance amount is high
- Long and flexible repayment period is provided by bank
- A dedicated relationship manager guides you throughout the process
- Documentation process is simple and easy
- Provides business credit cards for loan amount up to AED 3,000,000
What is a Business Loan?
In today’s times, businesses have the constant need to be at the top of their game. Whether it is adopting a new technology, mergers, acquisitions or opening the gates for imports and exports, they need to have it all. This has led to a regular need of funds at the disposal of the business owners
UAE, which ranks among the top 30 countries in the World Bank’s Report on the ease of doing business, recognized this need and offers business loans to customers to help them meet their business requirements. There are many banks and financial institutions offering business finance today.
A business loan is usually an unsecured loan provided to businesses to meet their small financial needs. The loan must be paid back in instalments with interest over the agreed tenure.
Features of a Business Loan
As a business owner, you must be careful in choosing a business finance provider. Here is a look at some salient features of business loans in UAE:
- Most banks do not require a security against the loan. However, you must check with the bank before applying.
- Customers having a current account are usually offered preferential rates and other benefits when they apply for home loans.
- Some banks offer top-up or loan extension facility if you meet their requirements.
- Business loans under the Shariah laws of Islamic Banking are also available in UAE.
- Some banks offer free credit cards and insurance cover along with the business loan.
- The loan amount usually varies from AED 100,000 to AED 2 million.
- Many banks put in a lot of effort to ensure that you have seamless experience. Relationship Managers are assigned to majority business loan customers for query handling.
- Some banks may set a minimum balance requirement to offer business loans.
- You have an option to choose between flat and reducing interest rates.
How can I use the Business Loan?
Business owners have a constant requirement of finance for some or most of these reasons:
- Working capital
- Expansion of operations
- Inventory purchase
- Launching a sister/support company
- Logistics
- Mergers
- Acquisitions
Regardless of the reason behind applying for a business loan, most banks in UAE are welcoming the possibility of a mutually beneficial borrower-lender partnership with business owners.
Eligibility for Business Loan in UAE
Every bank has its own eligibility criteria which needs to be checked individually. However, some basic requirements are as follows:
- The business should be at least 1 year in operation.
- Minimum annual turnover upwards of AED 1 million
- Entities eligible to apply for a business loan usually are:
- Limited Liability Company (LLC)
- Sole Proprietorship
- Partnership
- Free Zone companies
- Branches/Subsidiaries of offshore organizations
Documents required for Business Loan in UAE
As is the case with eligibility, every bank can have its own requirement of documents to process your loan application. Apart from the application form, some basic documents needed are:
- Memorandum and articles of association / Partnership agreement / Power of Attorney (POA)
- Passport copy
- Copy of the trade license
- Bank statements
If you already have an account with the bank, then the number of documents needed might reduce. Please ensure that you arrange all the documents before submitting your application.
Business Loan Fees and Charges
There are different kinds of fees and charges associated with business loans and they can vary with each bank. These may include an arrangement fee which usually is a small percentage of the loan amount, processing fees of around 1.2-2% and early settlement fee of around 1% of the outstanding amount. While most of these charges would be standard across banks, it would be in your best interest to go through the detailed schedule of charges thoroughly before applying.
Use our EMI Loan Calculator to Calculate your Business Loan Installments.
Business Loans offered by majority banks
Banks are slowly recognizing the need for business loans in the market and are continuously improving their products. Some leading banks offering business loans are:
- Mashreq Bank – Small business loan
- Abu Dhabi Islamic Bank – business finance
- Dubai Islamic Bank – business finance
Remember, a business loan can go a long way in expanding and improving your current business. However, ensure that you research well as this will be a long-term financial association and you wouldn’t want to find yourself at the shorter end of the stick. Consult a business/financial advisor, if need be.
Frequently Asked Questions
⭐ What is LOB?
A. LOB is an abbreviation for Length of Business. Every bank has a specific requirement about the time for which the trade license is functional. The authorized signatory, as evidenced by the Memorandum of Articles, should be at least one year in business (can vary from bank to bank). It is advisable to talk to your bank to get a better understanding of the same.
⭐ Can I do partial payment of my loan?
A. The answer to this question depends on the bank through which you have availed the loan. Usually, banks dissuade partial payments of business loans. However, you may talk to your bank regarding the same.
⭐ My bank is asking for a collateral for a Business Loan?
A. While majority banks provide business loans with collaterals, some banks may choose to demand the same. You may approach other banks with no such conditions. Remember, to check all terms and conditions and schedule of charges before signing the dotted line.
⭐ What is flat and reducing rate of interest?
A. Here is an explanation for both the rates:
Flat rate of interest: Interest is charged on the amount borrowed at the agreed rate of interest throughout the tenure of the loan.
Reducing rate of interest: In these loans, the first instalment is charged on the entire amount and from there the principal component keeps reducing and so does the interest.