Frequently asked questions

What is the difference between Capex Financing and Afaq Financing?

• Capex Financing: Specifically designed to fund business expansions and operational assets only.

• Afaq Financing: Provides the client with the flexibility to fund both expansion assets and the operational cycle (working capital).

Can Capex Financing be obtained without a Commercial Registration (CR)?

No, a valid Commercial Registration is mandatory to qualify for the Capex Financing product.

What are the minimum and maximum financing limits for Capex Financing?

• Micro Enterprises: From SAR 150,000 up to SAR 2 Million.
• Small Enterprises: From SAR 500,000 up to SAR 10 Million.
• Non-Profit Sector: From SAR 250,000 up to SAR 10 Million.

What is the repayment period for Capex Financing?

The tenure starts from 1 year and extends up to a maximum of 5 years.

What collateral/guarantees are required for Capex Financing?

All forms of collateral are accepted. However, a Joint & Several Guarantee (Partners’ Guarantee) is mandatory, meaning the business owner or one of the partners must personally guarantee the facility. Additional guarantees may be added, provided the Partners' Guarantee is included.