eBusiness Weekly
BH24 Reporter
HARARE – Financial services provider, NMB Bank says small-to-medium enterprises can take advantage of the advisory and financial services offered by its Small to Medium Enterprises (SME) Banking Unit to help grow their enterprises.
The unit is situated at the bank’s Plymouth Road branch in Southerton, Harare,
NMB SME Banking Unit head Erasmus Bhunu says the unit offers advice and promotes partnerships and value chain activities, in addition to offering banking and financing facilities.
“The NMB vision is to go beyond banking, we want to support the development and growth of SMEs,” he said.
Mr Bhunu said the unit was able to link up SMEs with some of the bank’s large corporate customers that might benefit from their services and to facilitate off-take arrangements.
It also has a dedicated women’s desk where women business owners or managers can seek financial advice and support.
The unit has conducted SME clinics in a number of centres, at which the bank, an accounting firm and representatives of an SME association have offered information and advice on banking and financing products, keeping of financial records and how to succeed in business.
“Advice on solving financial challenges is one of the main things that our business clinics help
SMEs with. They also assist them with market identification so that SMEs target the best market segment depending on their line of business,” he said.
Mr Bhunu said NMB Bank offers a wide range of solutions that promote the development of SMEs.
These include financing working capital, assets and capital expenditure, as well as investment options.
Financing possibilities include loans, overdrafts, invoice discounting, leasing, order finance, contract farming, toll manufacturing, guarantees and bonds.
“Order finance schemes are backed by promissory notes or letters of undertaking from corporate
off-takers of an SME’s products.
“We discuss with our SME clients what services would best meet their needs or financing requirements. Where an SME is unable to meet the bank’s financing requirements, advice is offered on alternative means of financing its operations or on what could be done to meet the bank’s requirements.
“We also help informal SMEs with advice on how to formalise their operations and point out to them the benefits of doing so,” said Mr Bhunu.
“We have found over the years that SMEs want a strong relationship with a bank that offers more than just money. We see ourselves as a partner with our SME clients in their growth.”
He said his unit is keen to help create market and value chain opportunities for SMEs.
Linking SMEs with larger organisations was generally beneficial for both parties as it helps the SME expand its market, while the larger corporate also benefits from the services provided by the smaller enterprise.
“At NMB we encourage SMEs to network with each other so that they share ideas as well as form groups and build muscle to compete with larger corporates,” he said.
He added that the bank encourages SMEs to make use of NMB’s interactive facilities such as Facebook.
