Zero collateral

Unlike many other banks in Tanzania, EFTA does not require you to put down any collateral. Other banks will ask you for assets such as property or vehicles as a security against their loan.

This is because EFTA offers you lease financing meaning the equipment can act as EFTA’s security. The benefits are that you still have collateral left over for a further working capital loan to grow your business.

It also means that you do not have to waste time and energy obtaining land rights documentation which can often be a lengthy and difficult process.

Long repayment term

At EFTA, we understand that working capital can be tight at the start of an investment. As our customer, you are granted a two month grace period when you receive your equipment to establish your operations and receive payments from customers. Only after sixty days will EFTA then seek its first payment.

Beyond this, a 36 month repayment period means that repayments are broken into small, manageable sizes which allow your business to expand. With many banks, you will have had to repay the bank before the investment has even started to make profit. With EFTA, you will have the best chance to make a success of your investment.

Competitive Interest Rates

EFTA’s standard product interest rates are comparable to other banks. However if you factor in the fact that you do not have to pay anything until activation of their lease, this results in EFTA’s product offering even better value for money.

With most banks, you start repaying your loan the day you walk out of the bank.

No need for audited accounts and business plans

At EFTA, we realise that preparing audited accounts and business plans can be costly and time-consuming for an entrepreneur.

However it is also imperative that we understand the mechanics of your business. This is why, during the application phase, EFTA will need to analyse your business’s cash flows and profitability.
Usually, this requires a detailed review of your sales records, as well as an onsite visit where we review your premises, meet with your customers and employees. While audited accounts are welcome, we seek other ways to get to know your business.

Transparency

Unlike some banks, EFTA has no hidden fees such as costly application fees or processing fees. With EFTA, it is free to apply and you will not need to make any payments until you receive a letter informing you of your approval. The only fee is a Tsh10,000 fee to attend our seminar where you will receive food and drink and advice too about your business.