Frequently Asked Questions for Legal Entities

Business entities that have registered their activity in the relevant registry (resident and non-resident business entities), state authorities and institutions, funds and other organisations.

1. Short-term loans, from the Bank’s funds, with a maturity of up to one year:
   1. overdraft loans
   2. revolving loans
   3. loans for other working capital needs (annuity repayment, a single repayment, unequal instalments with corresponding interest)
2. Long-term loans, from the Bank’s funds, with a maturity of up to seven years:
   1. loans for permanent working capital
   2. loans for the purchase of fixed assets
   3. loans for expansion of business capacities (production, service, etc.)
   4. loans for the developing of the tourism and hospitality industry
   5. loans for refinancing obligations
   6. investment loans – investment implementation/project financing
   7. loans for financing the implementation of measures to improve energy efficiency and increase the production of energy from renewable sources – UCB EKO loan for legal entities
   8. green-electric vehicle loans
   9. loan line "Women in Focus"

The Bank approves receivables purchase – factoring with a maturity of up to five years, namely:

1. domestic factoring - purchase of receivables with recourse
2. domestic factoring - purchase of receivables without recourse
3. international factoring - purchase of receivables with recourse
4. international factoring - purchase of receivables without recourse
5. reverse factoring – purchase of receivables

The Bank contracts short-term or long-term multipurpose loan limits for clients, with a maximum maturity of up to five years. The limit agreement represents an arrangement with the client of a specified maximum value, within which all types of short-term and long-term products may be approved, up to a maturity of five years, in accordance with the Bank’s current Decision on products.

Loans to legal entities may be intended for investments in fixed assets – tangible assets (e.g. construction facilities, equipment and devices, establishment of perennial plantations, small inventory), intangible assets (e.g. product or service development, patents, licenses, concessions, copyrights, franchises), as well as for financing working capital.

The maximum loan repayment period from the Bank’s funds is seven years.

You can apply for a loan for legal entities by sending a request to the email address: corporate@ucbank.me

Along with a duly completed loan application, it is necessary to submit:

1. consent for access to data from the Credit Registry for the legal entity, related legal entities (if any) and founders – natural persons
2. statement on related parties
3. incorporation certificate (CRPS), TIN certificate, CRPS extract, Articles of Association for the legal entity and related legal entities (if any)
4. complete financial documentation for the previous three years (certified by the competent authority), with a trial balance for the legal entity, and related legal entities (if any)
5. customer and supplier analytics for the previous three years for the legal entity, and related legal entities (if any)
6. preliminary financial statements for the current year, with the trial balance and customer and supplier analytics for the legal entity, and related legal entities (if any)
7. latest audit report (for those companies required by law)
8. for the guarantor – corporate documentation, consent for access to data from the Credit Registry for the guarantor and founders, complete financial documentation for the previous three years, with trial balance, customer and supplier analytics, preliminary financial, statements for the current year with trial balance and customer and supplier analytics, certificate of settled tax obligations (not older than one month)
9. title deed in which the real estate offered as collateral is registered, not older than seven days
10. proof of ownership of movable property (if offered as collateral)
11. valuation of real estate/movable property offered as collateral (if collateral is real estate/equipment, machinery, vehicles), not older than three months
12. insurance policy assigned in favour of the Bank
13. project–business plan for investment loans/balance sheet, and income statement projections for the loan term
14. project documentation (construction application and accompanying documentation) for project financing
15. certificate of settled tax obligations, not older than one month, for the legal entity and the mortgage debtor
16. copies of agreements on business cooperation/construction contracts/sales contracts documenting the primary sources of loan repayment
17. decision of the legal entity’s body on borrowing under this basis and pledging assets (if movable or immovable property is collateral)
18. documentation justifying the purpose of the loan (copies of contracts/invoices/financial statements, and others) and other documentation

The Bank grants loans at a fixed interest rate to legal entities. When the interest rate is fixed, it remains unchanged throughout the entire loan repayment period.

Collateral consists of tangible and intangible assets that the client provides to the Bank as instruments securing its receivables before the loan is granted – promissory notes, collection authorisations, guarantees from other legal entities, land, buildings and various equipment, financial instruments (e.g. shares, equity, bonds), cash deposit, etc. The value of collateral must, as a rule, be higher than the value of the requested loan

A loan may be repaid early, partially or in full, at any time, by submitting a written request to the Bank.

A grace period is a period in which the client fulfils obligations to the Bank only in terms of settling accrued interest, according to the repayment plan. The interest accrued during the grace period is called interim interest. A grace period for long-term loans, from the Bank’s funds, may be approved for up to 12 months.

The repayment method is the model of repayment of the approved loan and the related interest, which is agreed before the loan is granted and may be daily, weekly, monthly, quarterly, semi-annual, annual, seasonal or non-standard. Repayment of accrued interest

may be agreed as daily, weekly, monthly, quarterly, semi-annual or annual repayment

The nominal interest rate is the rate at which interest on the loan is calculated, while the effective interest rate shows all expenses you pay in addition to interest (e.g. fees, promissory notes).

The Bank grants loans for refinancing current loan liabilities.

The Bank grants long-term loans for financing the implementation of measures to improve energy efficiency and increase the production of energy from renewable sources. The Bank also grants long-term loans for financing the purchase of fixed assets, i.e. new

or used electric and hybrid vehicles.

The Bank grants loans to legal entities that have been awarded the ŽIG Women’s Business, i.e. legal entities managed or owned by women. The loans are intended for investments in fixed assets – tangible assets (e.g. construction facilities, equipment and devices, establishment of perennial plantations, small inventory), intangible assets (e.g. product or service development, patents, licenses, concessions, copyrights, franchises) and working capital.