• No business plan required (Bank discretion applies),
• Flexible system of selection and assessment of collateral (security),
• In case of pledging real estate as collateral, collateral agreements are signed for 10 years, which means that the customer can obtain multiple loans at the Bank during this time without having to undergo cumbersome collateral registration procedures. A third party (legal entity(ies) or individual(s)) can also act as provider of collateral.

• Business loans are provided to legal entities and sole proprietors with uninterrupted business activity of at least last 12 months for construction, 6 months for manufacturing, 3 months for trade and services companies,
• Business loans are provided in AMD and foreign currency (amount is transferred to current account and can be cashed)
• The maturity of the loans is 60 months; however, based on the purpose of the loan and satisfactory results of financial analysis, longer maturities are negotiable,
• Maximum or minimum amount of the loan - not defined,
• The business loans can be disbursed with fixed or variable interest rate,
• Annual fixed interest rates for the loan are 12-19% for AMD and 10-18% for foreign currency, with lower rates negotiable in specific cases, Business loans with variable interest rate are disbursed only in AMD and Euro.
• Business loans up to 12 months can be disbursed: AMD - 9.5-12.5%, USD - 6.5-9.5%, Euro - 5.5-8.5%, RUR - 9-12%

• The interest rate of the Business loans with variable interest rates is defined by adding LIBOR interest rate (London average interbank interest rate in the loan currency). Moreover, the change in the annual interest rate can be made every month following the semester on the day defined as the customer’s payment day. The LIBOR interest rate changes every year on January 1^st and July 1^st. Every calendar year from the 1^st of January the LIBOR interest rate registered on the second working day following the 1^st of January at 11:00 London time is taken into consideration, and from the 1^st of July the LIBOR interest rate registered on the second working day following the 1^st of July at 11:00. If during the current working day it is a non-working day in London, the LIBOR interest rate registered on the previous working day is being taken into account.

• The LIBOR interest rate is defined based on the information published by “Reuters” media company. If the LIBOR interest rate has not been published for some reason the last LIBOR interest rate published by “Reuters” is being taken into consideration. LIBOR interest rate is rounded to two digits.

• The repayment of the loan lump sum and the interest amounts shall be made in monthly equal installments. In case of loans with variable interest rate the interest amount accumulated for up till the day defined on the schedule is added to the main repayment amount. Depending on the business type, it is possible to specify another schedule for the repayment of the interest amount and the lump sum of the loan,
• The interest amount shall be calculated against the reducible balance of the loan,
• Loan collateral can be real estate, vehicle (car), agricultural equipment, other equipment, funds, gold, other material values, as well as guarantees, if required,
• The sum of the lump sum of the loan and the interests of 12 months shall not exceed 83.33% of the assessed value of the collateral.

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Loans commissions, fees and other applicable charges

• Personal identification documents of the executive officer (director) and the chief accountant,
• Certificates of ownership (lease contracts),
• Decision of the authorized management body (general assembly of the company) to apply for the loan,
• Licenses, if applicable,
• Reports last submitted electronically to tax authorities, as well as notification of receipt of the reports thereby¹
• Statement from tax authorities about tax obligations,
• Proof of ownership of property pledged as collateral
• Copy of the charter, copy of the state registration certificate of legal entities (with insets) or copy of the reference, copy of TIN (if required),²
• Copy of the state registry of legal entities,^{3 and 5}
• Reference from registry, in case of a joint stock company (if required).^{4 and 5}
  
• In case of not having an account with the Bank, it is required to submit also the documents (originals), required to open an account with ACBA-CREDIT AGRICOLE BANK CJSC.
  
  

1 The note “Identical with the original” shall be made on the reports, they shall be signed and shall contain the date. If the customer is a legal entity, the specified reports shall be signed by the director of the legal entity or the authorized person, as well as they shall bear the seal of the legal entity.

2 The documents are required, if the data or documents are missing or are incorrect in the database of the RA Ministry of Justice.

3 The reference may be received from the Bank or from the agency of the RA Ministry of Justice.

4 The reference from the registry is not required, if the shares of the joint stock company are pledged in the Bank or the holding and maintenance of the register of the shares is performed by the Bank.

5 It can be submitted after the positive decision on provision of the loan, made by the Bank.

• Decisions to provide a loan or reject the provision thereof are based on assessments of the customer’s credit capacity/creditworthiness,
• Loan applications are processed within 20 banking days after receipt of the application and all supporting documents,
• The decision is communicated to the customer within 1 banking day,
• The loan is disbursed within three working days after receipt of all necessary documents and completion of collateral registration procedures,
• For foreign currency loans, changes in currency conversion rates may affect the amounts of loan repayment,
• The loan can be repaid before the agreement due date, in which case the customer pays the interest amount calculated for the actual loan period, as well as the 0-3% of the principal amount paid before the due date.

• In case of fluctuations of the interest rates of the funds, attracted or placed by the Bank in the financial market and/or change of the financing interest rate and/or availability of such preconditions and/or use of the loan by the Borrower not for the purpose, the Bank may unilaterally change the interest rates and commission fees, specified by the agreement, by notifying the Borrower 30 calendar days in advance.

Read more:

• Penalties applicable in case of delinquencies against obligations of borrowers
• Independent appraisal companies cooperating with the Bank

Appropriation of collateral

PROPERTY PLEDGED AS COLLATERAL MAY BE SEIZED / APPROPRIATED IN CASE OF FAILURE BY THE BORROWER TO MAKE TIMELY REPAYMENTS OF LOAN AND INTEREST. WHERE COLLATERAL IS INSUFFICIENT TO MEET ALL RELEVANT OBLIGATIONS, RECOURSE MAY BE MADE TO OTHER PROPERTY OWNED BY THE BORROWER.

Information provided to the credit registry

IN CASE OF FAILURE BY THE BORROWER TO PAY INTEREST ON THE LOAN AND PRINCIPAL THEREOF IN ACCORDANCE WITH THE REPAYMENT SCHEDULE, INFORMATION ABOUT THE BORROWER WILL BE SUBMITTED TO THE CREDIT REGISTRY.

“BAD” CREDIT HISTORY MAY IMPAIR YOUR ABILITY TO OBTAIN LOANS / CREDITS IN THE FUTURE.