Leasing gives you the opportunity to upgrade technologies and ensure the progress of your business.
The main advantage of leasing is that collateral is not required.
The organization provides:
- Vehicle leasing
- Agricultural equipment leasing
- Industrial equipment leasing
- Food processing equipment leasing
Agroleasing provides production and agricultural equipment leasing to legal entities, which have at least 3 month consecutive months experience in entrepreneurial activities.
Main Terms of Leasing
|The cost of leasing object
||From AMD 300,000 to AMD 30 million (or equivalent foreign currency)
||12 – 60 months
|Annual nominal interest rate
||9% – 18%
||0% – 50%
|Other expenses of lessee
Leasing provision fee: 1%
||The lease object. Additional security might be required by the contract.
|Leasing Application fee
For overdue principal amount – 0,1% per day
For overdue interest amount – 0,1% per day
|The term of the lease application review and decision-making**
||Up to 5 working days
*Also interest rate will be calculated in respect of the overdue amount to the tune of banking estimated percent.
**In case the borrower submits the necessary documents on time.
Repayments of the leasing and interests
|Lease repayment schedule
||Monthly in equal amounts. Based on seasonality and specifics of business opportunity to repay principal amount by a flexible schedule
||In case of lease contract completion within first year, the lessee is obligated to pay interest amount till intended date set by schedule. After first year no fines and penalties for early repayment are applicable.
||Annual nominal interest rate calculated on the outstanding lease amount for a 365-day year
|Prepayment/ Loan amount
Third party service fees
|Property appraisal costs
|Property insurance fee
||0.16-1.5% of lease amount
|Collateral notarization fee
|Collateral registration state fee
Regardless of the rates set forth in these Terms, the fees for third-party services may vary by third parties.
Criteria of the lease disbursement approval or denial:
Criteria for a positive decision on lease granting
- Steady income
- High liquidity of lease object
- Positive credit history
Criteria for a negative decision on lease granting
- Insufficient income to pay the credit off
- Customer’s income source can’t be verified or presented income is undocumented
- Bad credit history, with number of overdue days and classifications or customer’s loan history is overloaded
- Low liquidity f lease object
List of required documents
- Charter(re-registered version)
- State registration certificate (with insets)
- Tax code
- Reference from registry about founders and director (LLC)
- Copy of passports and social cards (director, founders)
- Balance sheet, financial statements
- References from tax authorities and social security service
- Decision of general assembly of the company to apply for the machine or equipment leasing or pledging.
- Copy of passport and social card of director
- License (for the licensed activity),
- Reference of debts of organization(including credits, other loans)
- List of core funds of company
- Income and expenses (monthly), product range, cost prices and selling prices
- Information about required leasing object (supplier, technical requirements)
- Preliminary invoice f leasing object (if required)
- Other documents (if required)
- Ownership certificates, bases for ownership amendment (Sale agreement , Decision of the executive body)
- Passport copies of the property owners
- Certificate about absence of restrictions of the collateral
- Report on appraisal of real estate
- If married – marriage certificate and spouse’s copies of passport and social card.
- Copies of passport and social card of guarantees (for individuals) or
Charter, State registration certificate, passport and social card of director (for entities)
- Documents on guarantee’s income base
- Documents on guarantee’s ownership base
- IF YOU FAIL TO REPAY THE LOAN AND THE INTEREST IN TIME, THE PLEDGED PROPERTY MAY BE REPOSSESSED. IF THE VALUE OF THE COLLATERAL IS NOT SUFFICIENT TO COLLECT THE DEBT, OTHER ASSETS MAY BE REPOSSESSED TOO.
- IF THE BORROWER DOES NOT PAY THE INTEREST AND LOAN PRINCIPAL AMOUNTS IN TIME, INFORMATION ABOUT CREDIT HISTORY WILL BE SUBMITTED TO THE CENTRAL BANK OF ARMENIA CREDIT REGISTER AND ACRA CREDIT REPORTING CJSC.
INTEREST RATE IS CALCULATED BASED ON THE NOMINAL INTEREST RATE, WHEREAS THE ANNUAL EFFECTIVE INTEREST RATE INDICATES HOW MUCH LOAN WOULD COST
INTEREST RATE CALCULATION EXAMPLE (PDF)
“Finance for everyone” www.abcfinance.am web page’s “Financial helper” system