Top 6 Saudi Banks Offering POS Financing System

The point of sale financing system is one of the appropriate financing solutions for grocery stores and supermarkets to expand their business or cover operating expenses. In this article, we will learn about the terms and features of the best Saudi banks that offer this financing product.

What is meant by point of sale financing?

Banks offer various financing products to merchants, one of which is the point of sale financing system. It is a system dedicated to financing small and medium enterprises, such as grocery stores and supermarkets, whether for the purpose of expanding capital work or covering the project's operational needs or any other reason related to the project.

The merchant obtains financing by submitting a request to a bank, and the financing amount is determined based on the project's sales for the last 12 months through the point of sale device. The loan value is paid in daily or monthly installments, or a percentage is deducted from each sale on point of sale devices according to the bank's terms, until the financing amount is paid in full, including the bank's profits and administrative fees.

Which Saudi banks offer the point of sale financing system?

Each bank provides a set of different conditions and features to obtain POS financing. Below, we will learn about the most prominent Saudi banks that offer this financing product:

1. Al Rajhi Bank

Al Rajhi Bank offers a POS financing system to the bank's customers and new customers, with specific conditions and multiple features, which are:

Features of the POS financing system

• Financing limits start from 50 thousand riyals, up to 10 million riyals.

• Profit margin starts from 6% annually on a fixed basis.

• Financing period may reach 60 months.

Al Rajhi Bank conditions

• Fill out the customer's application form, and the national ID of the owner or owners.

• Official papers for the commercial activity are submitted, including a copy of the commercial register, a license to practice the activity, specifying the location of the commercial activity and clear photos of the activity, the company's incorporation contract, and a range report.

• A statement of accounts for the last 12 months for POS (only for customers of other banks).

How to apply for a financing request

You can apply by submitting an electronic application after filling in your personal data and your business activity data, or by calling the Micro and Small Enterprises Department within the bank on the following number: 920018799.

2. Social Development Bank SDB

The Social Development Bank offers a point-of-sale financing system for point-of-sale devices and electronic applications for establishments whose annual revenues do not exceed 40 million riyals. The following are the features of the financing product and the conditions for obtaining it:

Features of the point-of-sale financing system

• Financing limits start from 180 thousand riyals and reach 10 million riyals.

• A comfortable repayment period of up to 5 years.

• Administrative fees are 7% (fixed and one-time), while a service fee of 7% is deducted annually and collected on a monthly basis.

Social Development Bank Conditions

• The activity must not be less than two years old, and the use of point-of-sale devices must not be less than one full year.

• An audited budget for the last 12 months is required if the financing amount is higher than 5 million riyals.

• Submit the applicant's national ID, in addition to copies of the national ID of both partners and sponsors.

• Submit official documents for the commercial activity, including the articles of association, commercial register, national address, Nitaqat report, tax return for the last 12 months, and point of sale account statement for the last 12 months.

How to apply for a financing request

You can apply for a financing request by contacting the Social Development Bank customer service directly.

3. Saudi National Bank (SNB)

Saudi National Bank provides a POS financing program only for the bank's customers with acceptable features and specific conditions, as follows:

Features of the POS financing system

• Financing limits of up to 7.5 million riyals.

• A convenient payment plan through equal monthly installments for a period ranging from 12 to 60 months.

Conditions of the Saudi National Bank

• Your business activity must be at least 12 months old.

• Owning POS devices from Saudi National Bank only for a period of no less than 12 months.

• Having a clean credit record free of any negative comments or having approved financial evaluations.

How to apply for a financing request

You can apply for POS financing through Saudi National Bank by submitting a request through the bank's website.

 

4. Alinma Bank

Alinma Bank offers a POS financing program for the bank's customers only with flexible financing solutions and specific conditions, as follows:

Features of the POS financing program

• Financing limits range from 50 thousand riyals to 7.5 million riyals.

• Profit margin starting from 6.5% at an annual rate of 11.96% for a financing amount not exceeding 2.5 million riyals.

• Easy repayment plan in monthly installments for up to 60 months.

• Competitive administrative fees.

Alinma Bank Terms

Owning POS devices from Alinma Bank only for a period of not less than 12 months, with a total cash flow of not less than 200 thousand riyals during the same period.

How to apply for a financing request

You can apply for a financing request through Alinma Bank by logging in to the Business Internet, then choosing POS financing and filling out an application.

5. Riyad Bank

Riyad Bank offers a short-term POS financing program for the bank's current customers who own companies and individual institutions with an annual income ranging from 1 to 200 million riyals. The following are the program's features and the conditions for obtaining financing:

Features of the POS financing program

• Huge financing of up to 15 million riyals.

• Suitable repayment period, starting from 6 months, up to 5 years.

• The financing amount is deducted by deducting from the total daily POS revenues.

• Financing program for amounts less than one million riyals

Riyadh Bank conditions

• The facility does not currently enjoy any facilities with Riyad Bank.

• The facility owns a POS device from Riyad Bank only for a period of not less than 3 months.

How to apply for a financing request

You can submit an electronic application to obtain the financing program from Riyad Bank, by filling in your personal data and your business activity data, and a bank representative will contact you.

6. SABB First Bank (Saudi First Bank SAB)

SABB First Bank provides short to medium-term financing options against the cash flows of POS devices with unique features and specific conditions, as follows:

Features of the POS financing program

• Financing limits reach up to 18.75 million riyals.

• Monthly plan to pay loan installments for a period of up to 60 months.

• Additional financing can be requested after paying a portion of the facility's existing financing.

SABB First Bank conditions

SABB First Bank does not clarify on its official website its conditions for obtaining POS financing. Therefore, you need to communicate directly with the bank or submit a financing request.

How to submit a financing request

You can submit an electronic application to obtain the financing program from SABB First Bank, you will only need to fill in your personal data and your business activity data, and one of the bank's customer service representatives will contact you.

Finally, in order to fully devote yourself to managing the financing amount in your expansion or operational activities, make sure you have the Grocsale program for managing grocery and supermarkets, to automate sales processes, sales, inventory and supplier management, and other features that we will leave you to discover for yourself with the free package, or the basic package that gives you additional features.