Business News of 2014-02-02

Factors Chain to grant loans to SMEs

Factors Chain International (FCI), a multinational organisation based in Europe and America, has opened a branch in Ghana to do business with small and medium-scale enterprises (SMEs).

Under the initiative, FCI will give soft loans to SMEs to assist their businesses. It will also give financial assistance to banks and other corporate bodies who may need their support.

Speaking at the launch in Accra, the Chairman of FCI, Ms Daniela Bonzanini, said the organisation would work closely with Activa International Insurance, an insurance company in Ghana, to help finance businesses to grow without going for loans from the bank.

She observed that SMEs in the country usually found it difficult to access loans from the banks to do their businesses partly because of the high interest rates attached to the loans, adding that FCI would help ease this burden.

Ms Bonzanini said her outfit, which is in the country for the first time, would open its doors to do business with Ghanaians to help boost the economy. She urged all corporate bodies to access their services and said, “We have come for you to grow.”

How FCI operates

When an SME sells a large quantity of products to its clients and the payment delays, the Chairman indicated, FCI could intervene and give assistance to the SME, to enable it to make payment at a later date so that it does not run at a loss.

Ms Bonzanini said the only way SMEs, banks or other organisations could access their services was by selling products in large quantities to other businesses, and inviting FCI’s assistance if their moneys could not be paid on time.

Reasons for choosing Ghana

Explaining why Ghana was the only African country that had been selected so far, Ms Bonzanini said Ghana was a fast-growing economy, and that was a convincing factor for many companies to invest in the country.

She said the country also offered huge investment opportunities, which according to her, was enough reason for businesses to thrive in the country.

For his part, the Managing Director of Activa International, Mr Stephen Kyerematen, called on SMEs and other businesses in the country that had challenges with financing their businesses to access the FCI to help grow their businesses.

He said SMEs were very key to the growth of the national economy, and called on them to create more opportunities for upcoming businesses to thrive in the country.

Source: graphic.com
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