Finance company supports SME development with new Shariah-compliant service

Abu Dhabi, 02 July, 2014: In support of the government and local business community's efforts to promote SME development across the UAE, leading Shariah-compliant finance company, Aseel Islamic Finance, has launched a new Business Finance solution for small and medium-sized enterprises.

The new product, which has been launched as part of Aseel Islamic Finance's ongoing strategy to diversify its services and meet the high demand for more Shariah-compliant products in the UAE, will support small businesses in managing their cash flow efficiently and give them the freedom to take advantage of new opportunities as and when they arise.

Javed Afzal, CEO of Aseel Islamic Finance, said: "Good cash-flow management and fluid working capital is the heartbeat of any business. This new Shariah-compliant Business Finance service from Aseel Islamic Finance will take care of customers' cash-flow requirements, enabling them to operate efficiently and prosper using a service which reflects their values and principles."

According to statistics from Dun and Bradstreet (D&B), SMEs represent almost 92% of the total number of companies in the UAE and provide over 86% of private-sector jobs. Given the integral role that SMEs play in the sustainable development of the economy, the UAE is making considerable efforts to support these businesses and tackle the difficulties they face in securing financing.

Allowing SMEs to take advantage of increased solvency and liquidity, Aseel Islamic Finance's Business Finance solution enables companies to ensure they have funds available to pay bills on time and maintain good relationships with their suppliers, whilst waiting for invoices to be paid. Customers can also access cash for daily expenses such as utilities, maintenance and repairs, covering their business when costly, unforeseen circumstances arise.

The new Business Finance solution gives companies the opportunity to make quick cash payments to get the best prices on business purchases and relieve additional stress on their business cycles.  Free takaful for the company owner is also offered as part of the Business Finance service, allowing SMEs to protect their business in the case of any unexpected incidents.

Hana Al Rostamani, Chairperson of Aseel Islamic Finance, said: "Accounting for 60% of the UAE's non-oil GDP, SMEs are vital to the country's growth and we are keen to support the government and the local business community in driving SME development and entrepreneurship with innovative products which will make a demonstrable difference to businesses across the UAE. SMEs are paving the way for economic growth and job creation in the UAE and we are committed to providing them with the support they need to succeed and meet their objectives."

Aseel Islamic Finance has also recently launched a number of other products designed to support SMEs by taking care of their capital expenditure, including medical and general equipment finance, raw material finance, office equipment finance and education equipment finance. Additionally, the company is preparing to launch a new business credit card which will offer SME customers significant benefits such as cash backs, cash flow management, unique expense reporting mechanisms, business cost savings and more.

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About Aseel Islamic Finance
Established in August 2006 and headquartered in the UAE capital, Abu Dhabi, Aseel Islamic Finance has built a leading market position for itself in the UAE's Islamic Real Estate market.

Aseel is owned by FGB, which announced it had obtained full ownership of the finance company in October 2013 in line with its dynamic growth plans. Aseel is now FGB's Islamic banking and finance arm, offering innovative Shariah-compliant solutions for customers and businesses. 

Before FGB's full acquisition of the company, Aseel's operations were centered around mortgage products and home financing options for individual customers. Going forward, as part of the bank's growth plans, Aseel will diversify its offering through a unique and innovative product mix for a wide range of customers including the SME segment, for which it is developing a wide range of Shariah-compliant Murabaha and Ijarah products to meet their specific financing needs.

Currently, Aseel's Total Assets are at AED 1.5Bn, Capital at AED 0.8Bn and Total Shareholders' Equity at AED 0.9Bn.

Hiba Haddad
Weber Shandwick MENA
Phone: + 971 56 1679577
Fax: + 971 2 449 4833
Email:  hhaddad@webershandwick.com

© Press Release 2014