Name of the Organization : Saudi Industrial Development Fund
Type of Facility : Loan Inquiry
Country: Saudi Arabia
Official Website : https://www.sidf.gov.sa/ar/Pages/Home.aspx
Loan Inquiry :
For Inquiry, You have to login by entering your User name and Password in the link given below.
Related : Saudi Arabia Industrial Development Fund Apply For Loan : www.statusin.org/5351.html
Login Here : https://sidf.gov.sa/en/ServicesforInvestors/E-Services/Pages/OnlineServices.aspx
Who is eligible to apply for a loan from the Fund?:
Any Saudi or foreign registered company or establishment with a license to engage in manufacturing industry within the Kingdom. A few types of industry no longer qualify.
What is the principal criteria that must be available in the project?:
The project must be viable from a marketing, technical and financial point of view.
Is the company still eligible if there is a foreign shareholding?:
Yes, the Fund will finance any Registered Company in Saudi Arabia even if it is a 100 % non-Saudi as long as it meets SIDF financing criterion.
Will the Fund make grants as well as loans?:
No, all Fund financing is in the form of medium & long term loans repayable in accordance with an agreed maturity schedule.
How long will it take to process an application?:
That depends upon how complete the information provided by the applicant to the Fund. As a guide, it should take less than four months if full information is provided at the beginning.
How long will the loan term be?:
The grace period, repayment installment amounts and maturity dates are determined on the basis of the results reached through the study of the project’s potential cash flow, taking into consideration that the maximum term of a loan is fifteen years in the major cities. However, it might exceed to reach twenty years in the less developed cities and regions.
What is the maximum loan that SIDF grants?:
The maximum loan that SIDF grants is SR 1,2 billion but that is granted only to Joint Stock Companies , Closed Joint Stock or limited Liability Companies in which a minimum of 20% of its shares are owned by a Local Joint Stock Company or a foreign partner with strong financial /technical resources. on condition that it will be implemented in the less developed areas from the third category.
What Security will the Fund require?:
The Fund will require:
** a mortgage on the project fixed assets.
** personal or corporate guarantees from the shareholders of limited liability companies.
** possibly outside security in the case of a more risky project.
What will the Fund require once the loan is drawn down?:
The Fund will require:
** Audited financial statements to be presented to the Fund within 3 months after the end of each Financial Year.
** Unaudited quarterly statements to be presented to the Fund within 30 days after the end of each quarter.
** Insurance documents to be presented once a year. SIDF must be noted as loss beneficiary and the insurance amoun must be acceptable to the Fund.
** A Fund representative will visit the factory from time to time, on average twice a year.
** Principal and fees to be repaid on the due dates.
Will the fund provide other assistance besides loans?:
SIDF will provide assistance to financed projects on request to help resolve problems in managerial, technical, marketing, financial and accounting matters. (Please refer to SIDF Consulting Services Guide).
Does SIDF charge interest on its loan?:
The Fund will charge a pre-determined evaluation charge to cover its costs of studying and evaluating the application, and follow-up costs as billed by the Fund once every six months during the relationship with the project.
Will the Fund finance future capital expenditures of an existing project?:
Yes, provided that they are feasible. A loan request will be treated in the normal manner but the procedure will be simpler since the sponsor has already submitted the majority of the information when the original loan was approved.
Why does the Fund require the sponsor to provide so much information?:
In order for the sponsor to take a rational decision first, sufficient information should be assembled before presenting the loan application to the Fund. Accordingly, requesting such information will contribute to a more complete acquaintance of the sponsor with his project at an early stage which in turn should enhance his planning capability and future prospects of the project.