Bank Facilities

Bank facilities register gives a comprehensive view of all the bank facilities of the entity (or entities).

Creating a bank facility

Step 1: Go to Cash Management module, select Bank facilities tab and click the + icon on top right. 

Step 2: Fill in the information on the Information tab. Add details on Covenants and Comments tabs for additional details - these fields are optional. 

The Covenant tab includes the specifications of the covenant. Under the General covenant and Financial covenant fields are free text fields so they can be used for any kind of notes or extra information that is needed. 

The Comments tab is for the notes regarding the covenant and if you need more space for the text, just click down the left button of the mouse on top of the small icon in the bottom right corner of the field in question and pull it down. The other fields will adjust accordingly in case the extra space is needed for the Financial covenant or General covenant so the fields will not overlap each other.

Click 'Save'.

Step 3: From register view select the facility you just created, click the three dots at the end of the row and select 'Edit'.

Step 6: Add facility type details

1) Go to the Details tab. Click the + icon on the top right to add the details.

2) Fill in the details. 

Facility type and currency are obligatory fields. The other fields you can fill based on your needed level of information.

There are several facility types:

LC Acceptances: 

A type of letter of credit that is paid by a time draft authorizing payment on or after a specific date, if the terms of the letter of credit have been complied with. 

Bill Receivable: 

Formal agreement of a customer to pay at some future date (the maturity date).

Clean Import Loan: 

The advance is made on presentation of supplier invoices and evidence of shipment only.

Credit Card:

A payment card, usually issued by a bank, allowing its users to purchase goods or services or withdraw cash on credit.

Deferred Payment Bill:

Agreement to pay at later date. Not a loan and does not charge interest.

Deferred Payment Credit:

A commercial letter of credit that provides that the beneficiary will be paid, not at the time the beneficiary makes a complying presentation, but at a later, specified, maturity date.

Demand Loan:

A lending option where the repayment tenor is not fixed but usually comes with a shorter period.

Foreign Exchange (FX):

The conversion of one country's currency into another.

Import Loan: 

When an importer needs capital to procure materials for goods not backed by a PO, it is classified as an import loan. The good being imported acts as the collateral.

Letter of Credit: 

A financial institution assures payments and completion of obligations between the applicant (buyer) and beneficiary (seller).

Letter of Guarantees:

A contract issued by a bank on behalf of a customer who has entered into a contract to buy goods from a supplier, that the supplier will be paid even if the customer of the bank defaults.

Overdraft:

Even if the account has insufficient funds, the bank will cover the shortfall so that the transaction goes through.

Payment Guarantee:

Secures the payer's ability to fulfil its payment obligations to the seller.

Advance Payment Guarantee:

Secures the payer's ability to fulfill its payment obligations to the seller.

Performance Guarantee:

An enforceable commitment by a corporate entity to supply the necessary resources to a prospective contractor and to assume all contractual obligations of the prospective contractor.

Tender Guarantee:

Secures that the company submitting a bid/tender will abide by its offer.

Revolving Loan: 

Company can borrow and repay funds on an ongoing basis within a specified amount and tenor. Interest accrues and is capitalized. 

Shared Credit Limit:

The Credit Limit which you have elected to be shared by all cardmembers.

Short Term Loan: 

A loan that matures within one year.

Standby Letter of Credit (SBLC):

The Credit Limit which you have elected to be shared by all Cardmembers.

Term Loan: 

A commercial loan with set interest rate and maturity date. Intermediate-term loans are under three years and are repaid monthly, possibly with balloon payments. Long-term loans can be up to 20 years and are backed by collateral.

Trust Receipt (TR/LTR):

The Credit Limit which you have elected to be shared by all Cardmembers.

Audit Trail

In the audit trail, you can see all the changes made into the agreement on a very detailed level.

Approval Flow:

If there is an approval flow related to the bank facility, it will show here as a link to the Dashboard Approval Flows.

Attachments:

Attach documents (Excel, PDF, JPG, JPEG, PNG) up to 5MB. Use only alphanumeric characters and hyphens/underscores in file names.