Business Banking

As the provider of Commercial Banking Products and Services, the experience and knowledge we acquired over 28 years of business engagement enables us to provide the best possible solutions to our customers’ specific objectives. Our team of banking professionals specializes in solutions and services tailored to meet the financial needs of our diverse business clients. Our financial strength allows us to provide the valuable tools, services, and meaningful benefits our customers need to meet their business’s banking and investment needs. The following are the major business areas of the bank where we can deliver financial services to our customers.

Business Banking is a targeted bank offering that provides special type of tailored solution of banking and financial services having a number of products in bundle to various businesses and markets. Business Banking seeks to meet the financial needs of multiple business sectors such as trade, agriculture and industry, playing an important role in meeting their commercial and economic requirements when establishing, managing and growing their business. It covers several financial functions such as deposits, loans and credit, money transfers, merchant banking facilities, rent payments, foreign exchange transactions and securities trading and the like to fulfill the financial needs of various business sectors.

1.           Account Management

We provide you with opening and managing ETB Bank Account. With full business banking packages including cheque-book issuance, bank transfers, providing statements, AIB is proven in providing excellent customer services in maintaining banks accounts to its customers. The service package provided in this area of operation includes:

A) Deposits

          We furnish you a checking account into which you can transact your funds through issuing cheque. We will collect and deposit cash transactions immediately and collect, clear and deposit cheques at the soonest possible time.

          In case where the deposit amount is big enough, Awash Bank shall collect the sales/service deposits by its own from your office.

          The bank shall provide off-working hour deposit services whenever the need arise.

B) Statements

          Awash Bank shall issue monthly Bank Statements showing the overall transactions made through the bank along with advice and all other documentation. The bank shall issue weekly and annual statement as deemed necessary.

C) Assignment of personnel

          The Bank shall identify personnel in both the nearby branch and main office who are available during normal working hours to answer questions pertaining to transactions which require more detailed explanation.

D) Priority service

          Should the need arise, provision will be made for priority servicing of your deposits and related banking business, such that your personnel will not need to wait in line to make deposits and will be able to perform all banking business at one work station.

Some of the local currency denominated deposit accounts for business customers is stated here below:

          Savings Account

We offer 5% interest on saving deposits compounded monthly.

          Current Account

This account does not generate interest income and operated by cheque.

          Special Saving Accounts

It is a deposit account having the features of both savings and current accounts. Like savings account it generates interest income and like current account it is operated by cheque. The funds maintained in this account shall bear the prevailing interest rate (5%) on saving

          Provident Fund Solution Account (PFSA)

PFSA is designated to benefit different organizations and their staff with attractive interest rate along with loan features. The prevailing interest rate (5%) plus 0.5% bonus will be calculated on individual PF accounts. Moreover, attractive interest rate will be provided depending upon the amount and duration of the provident fund kept at our bank.

          Cheque Payments Solution Scheme (CPSS)

CPSS is a special type of account that links savings and current accounts of the same customer as a means of attracting customers for keeping their money in the bank and facilitate the fund transfer process. The current account portion has no interest while the savings account portion gets the prevailing interest rate (5%) plus a bonus of 0.25%.

          Time Deposits

Awash Bank’s interest rate on fixed deposits is the most attractive in the industry and ranges from 6% to 12% based on the amount of fund deposited and the duration of time.

If the organization has an accumulated provident fund, Awash Bank can pay attractive interest rate based on the amount and duration of the fund. The rate can be negotiated between the bank and your esteemed organization.

 

2.  International Banking/ Trade Services
We have established a strong financial link with reputable international banks spreading throughout the world. Accordingly, we have correspondent relations and SWIFT arrangements with more than 300 banks all over the world, which will allow us to handle fund transfer from any corner of the world in a shortest possible time.

2.1. Forex Bureau Services

We can serve you at your office with in an agreed time interval to cash/convert your staff foreign currency or any other convertible currency cheques in exchange of ETB at prevailing exchange rate. Moreover, we will provide you all kinds of foreign exchange services as per your desire.

2.2. Foreign Currency Account Management

We manage foreign currency account so that any type of foreign currency transfers through Bank-to-Bank arrangement (SWIFT) from different corners of the world can be directly channeled to this account within a shortest time or converted to Birr and directly credited to your ETB account.

You can use your foreign currency account to make payment in currencies other than ETB via bank drafts and other commercially accepted payment methods, like cheque, telegraphic transfer etc.

2.3. Services for Import Businesses

• Letter of credit issuance,
• Documentary collection service such as inward bill collection, Shipping Guarantee, Air Waybill Endorsement and others, to quickly take delivery of cargo to avoid costly demurrage charges.
• Import financing/financing the purchase of goods and take ownership earlier.

2.4. Service for export businesses

          Letter of credit advising (Verify the authenticity of Letter of Credit)

          Letter of credit confirmation (to eliminate credit and country risks associated with Letter of Credit).

          Letter of Credit Negotiation/Discounting (to convert receivables to cash immediately)

          Letter of credit (purchase goods quickly and easily by transferring export letter of credit).

          Outward bills collection (Collecting payments easily and efficiently)

          Export bills financing

          They export Pre-shipment financing (working capital for purchase of items to be exported against sales contract or Letter of Credit)

          They need export open account Post-shipment Financing

2.5. Remittance

          Incoming Transfer through Swift

          Incoming transfer (remittance) through money transfer agents like Western Union, MoneyGram, Transfast, Xpress money, RIA, Ezremit, Doha Bank, Dubai Remit, Asgori, Alante, Money Trans, T &Y money Transfer, Dahabshil

          Outgoing transfer through Swift.

          Outgoing Transfer through Demand draft

 

3.  Funds Transfer Services
The bank shall provide automated local transfer facilities through our state of the art core banking system that allow your company to conduct outgoing transfers and receive data on incoming fund transfers.

Account to account transfer shall bear no fees and charges and credit and debit notices shall be reported at the time the transfer is made and included in the monthly statement.

All incoming transfers will be communicated through popup SMS message immediately at the time transaction is made.

4.  Electronic Banking Services
Online services such as account balance information, transfers between accounts, deposit transaction details, and payment transaction details shall be provided through our online banking (Internet banking) services.

5.  Payroll Administration Services
We provide payroll-handling services to your staff through opening a salary account at our Bank by debiting your company’s account as per your written instruction and crediting the salary account of each staff free of charge. So that, your employees can withdraw the money from our ATM at any hours of the day using the ATM card or personally appearing at one of our nearby branches during working hours.

6.   Credit services
we provide short, medium and long term loans and overdraft facilities and specialized tailor made credit products to each types of designated economic sector where the business client is engaged in.

 

6.1. Investment/ Project Financing: Project Finance for Expansion, Relocations and Diversification

In case where there is a need for additional investment, renovation of the existing business, expansion or any other program that entails fixed investment, the banks shall provide medium and long term financing.

          Medium / long-term loans for newly incorporated enterprise (the entity undertaking the project).

          Medium / long-term loans for existing and actively operating enterprise for procurement of new capital assets and working capital

6.2. Working Capital

          Medium / short-term loans given to an existing and actively operating enterprise to finance working capital requirements such as for the purchase of raw materials and to cover overheads and pre-operating costs.

          Short-term financing given in the form of overdrafts, and revolving/non revolving short term loans for start-ups and established enterprises, to finance short-term funding gaps.

6.3. Loan products available for business clients

A.    Overdraft

• Regular Overdraft facility (renewable every year based on performance)
• Special Overdraft for Exporters
• Temporary Overdraft Facility (exceptional)
• Overdraw from Overdraft or Current Accounts

B.    Merchandise Loan

• Revolving merchandise loan
• One time merchandise loan
• Merchandise loan against warehouse receipts
• Merchandize loan against import documents

C.    Import Letters of Credit

• Revolving Import Letter of Credit
• One-Time Import Letter of Credit
• Advance Against Import Bills

D.   Export Financing

• Pre- Shipment Export Credit
• Post- Shipment Export Credit/ Advance Against Export Bills/
• Export Finance under Export Credit Guarantee Schemes

E.     Letters of Guarantee

• Bid Bond Guarantee
• Advance Payment Guarantee
• Performance Bond Guarantee
• Customs Bond Guarantee
• Retention Money Guarantee.
• Customs Duty Guarantee
• Suppliers’ Credit Guarantees

F.    Term Loan

• Short Term Loan
• Medium Term Loan
• Long Term Loan

 

6.4. Loans by Purpose: Awash bank offers loan to the following economic sectors

6.4.1 Agriculture Sector Loans

6.4.2 Manufacturing Loan

6.4.3 Domestic Trade and Service Loan

• Domestic Trade (Wholesaler and Retailers)
• Hotel and Tourism
• Machinery rental service
• Education
• Health
• Works of Art

6.4.4 Loans for International Trade

• Export Trade
• Import Trade

6.4.5 Construction and Real Estate Loan

6.4.6 Transport Loan

6.4.7 Loan for Financial Institutions

6.4.8 Syndicate Financing

6.4.9 Loan for Purchase of Privatized Properties

6.4.10 Consumer Loan

6.4.11 Loan Buy-Out

6.4.12 Loans for Sale of Foreclosed and Acquired Properties

7.    Managing payment of per-diem and travel allowances
This product is tailored to NGOs, Large Corporations and bi-lateral organizations. We manage per-diem and other payments to participants of trainings/workshops organized by your good office by assigning our tellers/cashiers from our nearby branch. For events organized within the city where our branch exists, no charge is involved for the service we render. On the other hand, for events organized in a city where we don’t have a branch, an agreed upon (reasonable) charge will be levied on just to cover our expenses.

8.    Non-Financial Products and Service
Apart from the basic financial products and services, Business clients may needs non-financial products and services.

8.1 Mentorship, counseling and Advisory services: on the preparation of bankable business plan, suggestion for financial solutions and loan administration through direct interactions with knowledgeable sources to gain insights and expertise.

• Training: designed to facilitate the learning and development of new and existing skills and improve performance. This can be done through:

 

• Workshop/seminar
• Training referrals to training institutions, information technology firms, nonprofits, universities, and others.

Business support services for start-up enterprises: Non-financial services tailored to the needs of startup businesses under the business client

• Dedicated personnel to support Business client at branches,
• Relationship Manager, responsible for providing counsel to customers and streamlining processes to ensure ease of banking.
• Branches open for longer hours
• 24/7 access through online banking platforms.