JSC Belagroprombank assists its corporate clients (legal entities) on a contractual basis with receiving payments for goods (products) shipped, works performed, services provided to resident business entities by performing factoring transactions under the factoring agreement.

The term of financing against the assignment of a monetary claim (factoring) is determined in accordance with the law of the Republic of Belarus. The terms of factoring are determined based on payment due dates for the goods stipulated in the supply agreement and(or) on the dates of receipt of the proceeds for the goods shipped.

The factoring rate is stipulated in the factoring agreement in the form of a discount. The discount is calculated on the basis of the interest rate which is determined based on the cost of the recourses attracted by the bank, the bank’s fee for the record-keeping of payments of monetary claims, margin, credibility of buyers (payers) and competitive environment on the factoring market.

To apply for a factoring arrangement, the following documents shall be submitted to the bank:

• A standard application form; 
• A copy of the document confirming the appointment to the position of the manager, signed by the creditor (an order, a resolution of the owner, participants, contract etc.), and the authorities of other officials to sign factoring agreements and pledge agreements; 
• Copies of documents confirming the right to perform the respective type of activity; 
• Information on the products(works, services) offered by the creditor: product type and range, market conditions, competitiveness of the product (works, services); 
• A copy of the annual balance sheet with all appendices thereto for the preceding year with a breakdown by items; a copy of the annual balance sheet as of the latest quarterly date with a breakdown by items (an auditors’ report if a legal entity is subject to mandatory audit as required by the legislation of the Republic of); a copy of the profit & loss statement as of the latest quarterly date;  
• Detailed breakdown of accounts receivable, goods shipped as of the latest quarterly date stating the name of the debtor, amount of debt, and the date of debt creation; for the debtors against whom the monetary claims are assigned – the turnover balance statement for the last three months, information on the numbers and dates of the agreements, shipping date, payment due dates under the agreement, actual payment date, discipline in making payments for the previous deliveries, the presence of unpaid monetary claims, payment options used, relationship with the creditor etc.; 
• Detailed breakdown of accounts payable as of the latest quarterly date containing the names of the creditors, amount of debt and the date of its creation; 
• Statement on credits indebtedness (other credit operations) in other banks as of the first day of the accounting month (and on the date of the factoring transaction), signed by the manager and the chief accountant of the creditor and affixed with a seal of the creditor; 
• Copies of agreements (contracts) between the creditor and debtors, reviewed against the original and certified by the signature of the credit department officer; 
• Shipment (performance of works, provision of services) confirming documents for factoring, reviewed against the original and certified by the signature of the credit department officer (consignment notes, invoices, shipping specification, customs declaration etc.); 
• Documents, settlements, other information confirming the grounds for the financing limit when signing the master factoring agreement; 
• Documents securing the fulfillment of obligations under the factoring agreement; 
• The application for the acceptance of payment instructions; 
• The bank may request the client to provide additional information, including the documents demonstrating the financial state of the legal entity and its debtors, the actuality of the assigned monetary claim, as well as the information on the proposed collateral.

Creditors who are clients of other banks, shall provide the following additional documents:

• A copy (not notarized) of the Articles (Incorporation Agreement – for a commercial organization acting only on the basis of the Incorporation Agreement) bearing a stamp indicative of state registration - for a legal entity; 
• Cash flow statements (as per the bank’s form), a certificate of availability of the card file to the off-balance sheet account “Outstanding payment documents”, signed by the manager (authorized official), the chief accountant and affixed with the creditor’s seal, or cash flow statements provided by other bank(s) and a certificate of availability of the card file to the off-balance sheet account “Outstanding payment documents” provided by other banks;