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A note from ADCB Business Banking

We take pride in being associated with the success stories of businesses like yourselves that have proved resilient and adaptive to ever-changing headwinds.

The Quarterly Newsletter designed especially to serve a bigger list of your growing requirements.

You may also contact your Relationship Manager or call our 24 hour Business Banking Contact Centre, toll-free on 800-SME-800 (800-763-800 within UAE) or +971 4 4273951 (outside UAE), to find out how ADCB can help you with the best banking solutions for your business.

Appreciate if you could take a few moments to send us your feedback and suggestions atbbd@adcb.com.

Greetings from ADCB! As part of our continued drive toward service excellence, we’d like to connect with you to discuss ways to support your business further. While the global economy is witnessing its share of upheavals, we at ADCB remain committed to working with our business partners.

Economic trends and Industry highlights specific to the UAE businesshttp://www.adcb.com/about/news/economic-research.aspx

The Week Ahead: Brexit to impact region via financial market volatility and heightened global economic risk; oil and USD the main routes

Global: Brexit raises global financial and economic risks

The UK’s Brexit vote came as an enormous surprise to markets, leading to a sharp rise in risk aversion and steep movements in asset classes. The GBP and EUR have fallen sharply, alongside global equity markets. Markets will remain volatile as the ramifications of the Brexit vote for the road ahead are digested. The referendum result will likely push the UK into recession over the coming year or two and reignite questions about the stability of the Eurozone. The tightening of global financial conditions will likely to be an additional drag on the already tepid global recovery. We see significant risks of a short recession in the Eurozone and Japan in the aftermath of Brexit.

GCC: Stronger USD to impact UAE’s non-oil sectors

Within the GCC, we expect the UAE to see the greatest impact of the sharply weaker outlook for the GBP and EUR. The UAE has been the most affected by the recent strengthening in the USD given its greater diversification. This has impacted key sectors such as tourism (a vital driver of consumption) and real estate. UK and European visitors are an important source of tourism. In Q1 2016, Western Europe was the second-largest source of tourists to Dubai by region, accounting for 23%, led by the UK (8% of the total) and Germany (3%). The general upward USD trend will also impact tourism from other non-USD linked economies. The sharply weaker RUB has already resulted in substantially fewer visits and lower spending by Russians, a key source of tourism before the oil price collapse in Q4 2014. Meanwhile, the number

of Chinese visitors fell by 13% y-o-y in Q1 2016 following the weakening of the CNY since August 2015 and softer economic outlook. The strong USD has also contributed to the fall in Dubai’s property prices by reducing affordability for foreigners. We see a weaker private consumption and investment outlook in the UAE following Brexit.

GCC: Greater downside pressure on oil, US rate hikes off table

The weakening in the oil price has been contained so far. However, we see downside risks as the ramifications of Brexit evolve. This will require a tighter GCC fiscal stance to limit the widening of the deficits and impact sentiment, which had recently risen with oil moving to the USD50/bbl level. Moreover, with the fall in oil prices and elevated global market uncertainties, foreign borrowing

rates for GCC entities will likely increase. This will place more pressure on domestic borrowing and potentially push up interbank rates further.

So far, Saudi Arabia and Qatar have seen the greatest tightening in liquidity, with the Saudi squeeze coming from fiscal deficit funding and Qatar’s from the still-strong investment programme. Bahrain and Oman also have large deficit funding requirements, while external borrowing is important for Dubai’s investment programme. However, we now think a Fed rate hike is off the table until there is global market stability and signs that the US economy has weathered the storm. This will remove upside pressure linked to a US rate hike on GCC interbank rates.

Key highlights / changes in the UAE regulatory / economic trendsTrade License Update:

UAE Central Bank requires banks to obtain all necessary information and documents on juridical persons especially the trade license and must diarize for renewals in order to keep a copy of the valid license on Bank's files at all times. ADCB clients are required as per regulation to maintain and provide updated valid Trade copies to their banks on regular frequency. Request your support with timely submissions of the same to your relationship managers.

Products & Services in focusNew services launched on ProCash –ADCB’s online commercial banking system:

At ADCB, now you can register for ADCB ProCash* and boost your productivity using the new features:

*To register for ProCash or more information on the same, please contact your Relationship Manager or alternatively call our 24/7 Business Banking Contact Centre at 800 SME 800 (800 763 800, toll-free within UAE) or +971 4 427 3951 (from outside UAE) or visit any ADCB Branch.

Credit Facility Summary giving users a 360 view of their product portfolio with:

Service Request Module facilitating users to submit requests like:

Consolidated Statement Download for the last 6 months

Cheque Book Delivery giving you the convenience of requesting and having the cheque book delivered at your doorstep

• Full Account Summary

• Loan and Facility information (Instalment Amount,

Interest Rate, Next Due Date, etc.)

• Contact Details Update

• Trade License Update

• Duplicate Statement

• Balance Confirmation Letter and much more . . .

ADCB has customised loan solutions for clinics, medical centres, hospitals for the purchase of medical equipment. These financial packages cover for the purchase of a range of medical equipment – radiology, ophthalmology, dermatology, oncology, diagnostic and analysis equipment’s.

Every clinic, diagnostic centre and hospital needs state-of-the-art equipment to deliver on its promises of excellence in medical care. To help you achieve that, we offer the Medical Equipment Loan, a specialised medical equipment finance package that will make your medical equipment procurement quick, easy and efficient - just like the care and service you want to provide to your customers. Features of the medical equipment loans package:

• Loan amounts upto 80% of equipment cost

• Loan amount upto AED 25 Mn

• Flexible loan tenors upto 60 months

• Attractive interest rates

• New / used / refurbished equipment covered

• Shariah compliant products available

ADCB’s Professional Equipment Finance Customized loans for professional printers, contractors & manufacturers.

Commercial printers, compressors, generators,

man lifts, boilers, chillers, CNC machines, drilling &

piling machines, fabricating machines, tower cranes

& overhead cranes, industrial crushers, packaging

machines. The features of professional equipment

loans are :

• Loan amounts upto 80% of equipment cost

• funding across a wide range of equipment

and brands

• Loan amount upto AED 10 Mn

• Flexible loan tenors upto 48 months

• Attractive interest rates

• New / used / refurbished equipment’s covered

• Shariah compliant products available

ADCB and Khalifa Fund for Enterprise Development

ADCB & Khalifa Fund have an alliance, whereby Khalifa Fund issues business start up loans and ADCB is the credit administrator for these loans. This financing program is owned and managed by the policies of Khalifa Fund for Enterprise Development. Whereby small business start ups can receive funding for their new business concepts. Financing under this program is available for UAE national owned and run businesses only, in the UAE this initiative is probably the sole alternative to support new businesses and start ups. In case you are interested in this program, you could reach out to your Relationship Manager who will arrange a discussion with Khalifa Fund representatives.

Cheque Book Courier Delivery Option - Now At Your Fingertips:

All ProCash users can place online request for additional SME cheque books with the option to have them shipped directly to your doorstep or to a designated third party through our dedicated Aramex delivery service partner. This facility will not only add convenience in your everyday banking experience with ADCB, but also save you both time and money.

Please note the courier delivery of your cheque books is a complimentary service offered by ADCB Business Banking to all our loyal Current Account holders. For additional information, please get in touch with your Relationship Manager or call our Contact Centre on 800-SME-800 (800-763-800).

ADCB’s Medical Equiment Finance Customized loans for clinics, hospitals, medical centers for purchase of medical equipment

ADCB’s Professional Equipment Finance Customized loans for professional printers, contractors & manufacturers

1. How many years do I need to be in business to be eligible for credit from ADCB?

It depends on the nature of the facility you’re

applying for - conventional loan, line of credit,

Asset Backed funding, Real Estate, 100% cash

backed facility, or Unsecured Business Loan.

• ADCB prefers that businesses be at least three

years old for most conventional loans and lines of

credit, while in some cases and facilities two years

is considered.

• ADCB’s 100% cash backed facility has nil Length of

Business requirement (LOB).

• Our rental discounting loans are available to

entities and UAE nationals, obviously this (LOB) is

not applicable for UAE nationals.

FAQs for small business owners seeking to learn more about how to successfully apply for finance facilities

ADCB is dedicated to helping you achieve your financial goals. The more you know about how to obtain and build business credit, the better your chances of securing the financing you need for your business. Below are some FAQs for SME owners seeking to learn more about how to successfully apply for a finance facility.

2. What kind of information do lenders typically ask for during the credit application process?

For conventional loans and lines of credit,

borrowers will need to complete a loan application.

Documentation requirements vary depending

on the specific credit product and whether it’s

secured (backed by collateral) or unsecured, the

quantum of loan also decides the information

required.

Potential borrowers will need to complete a loan

application and provide business financial statements,

bank statements, cash flow projections, as well

as a trade licence or certificate of doing business.

Borrowers will also need to provide organizational

documents, such as MOA / AOA / POA, business plan, etc.....

3. How important is my personal credit history?

Your personal credit history is very important. Lenders

will want to know what kind of borrower you’ll be, and

will check both your personal credit history and that

of your business to see how well you’ve managed

your debt in the past. A strong credit history lets

lenders know you have the discipline to repay debts.

Lenders will also want to understand your business

experience and work history.

4. Do I need to have a business plan?

A business plan is required when applying for a

working capital facility, due to its nature and usage.

It’s important to understand that while a business plan

may not be required for some types of credit, it’s a

critical management tool for growing any successful

business.

5. Does my business need to beprofitable?

Yes, your business must be profitable before you apply

for a facility. Achieving profitability when starting and

growing a business depends on numerous factors,

from the quality of your product or service, to your

marketing ability, to how well you manage cash flow.

6. Will I have to provide collateral in order to receive a loan?

ADCB offers both unsecured and secured credit

products. Secured credit products are repaid out of

the general assets of the business, but in addition

may be repaid out of collateral (assets) pledged to the

lender to secure the loan, while unsecured credits are

repaid only out of the general assets of the business

available at the time of collection.

• ADCB’s unsecured term loans require nil collaterals,

these loan usually are for tenors of 48 months, and

upto AED 2 Mn.

• Equipment loans are secured by the equipment or

vehicles being purchased with loan proceeds.

• Commercial real estate loans and lines of credit

are secured by the equity in the property being

purchased or financed as well as the mortgage in

favor of the bank and the assignment of rentals.

• Working capital facilities are partly collateralized by

real estate, cash collaterals, assignment of cash

flows, etc.

Summarized, five healthy credit practice tips:

1. Separate your business and personal finances.

2. Keep your business and personal credit clean, review your business, and personal credit reports annually.

3. Maintain positive cash flow.

4. Develop a banking relationship.

5. Build a strong business credit profile.

6. Maintain good housekeeping with essential documents like audited financials, business plan, succession plan,

projections, order copies, completed contracts and project status.

Channel in focus

Abu Dhabi & Al Ain

• Abu Dhabi Mall Branch• Bawadi Mall Branch - Al Ain• Baynunah Branch• Ghayathi Branch• Hamdan Street Branch• ICAD Branch• Khalidya Mall Branch• Khalifa Street Branch - Al Ain• Ruwais Branch• Salam Street Branch• The Galleria Mall Branch• Yas Mall Branch

Dubai

• Al Karama Branch • Al Rigga Branch• Khalid Bin Al Waleed Branch• Mall of the Emirates Branch• Sheikh Zayed Road Branch

Sharjah

• Al Majaz Branch• Sharjah Industrial Area Branch

Deposit cash or cheques 24/7, print a mini-statement or request a cheque book / statement anytime, with our new Cash/Cheque Deposit Machines (CDMs). You don’t even need a debit card when depositing, just use your account number. You will receive an SMS confirming the deposit or transaction, along with a printed receipt immediately.

We are happy to announce the launch of automated cheque clearing facility at some of our CDMs. A cheque deposited through the CDM where this facility is enabled gets scanned directly to our processing system. If the cheque is deposited before the processing cut-off time, you will get your deposit amount credited to your account on the same day.

Visit adcb.com/sme for location map and directions.

We hope you find our new CDMs convenient for your business.

Automated cheque clearing facility is now available at the following branches:

ADCB’s Cash Deposit Machines (CDMs)

Customer corner(feedback / quotes / interview / suggestion / awards etc.)

ADCB recognized by Euromoney Award for Excellence 2016 - ADCB wins Best Transaction Service Bank in the Middle East

Abu Dhabi, 12 June 2016: Abu Dhabi Commercial Bank (ADCB) today announced that it has been recognized by the prestigious annual Euromoney Award for Excellence 2016. ADCB won the “Best Transaction Service Bank in the Middle East” award, which was bestowed to the Bank in acknowledgement for its excellence in Transaction Banking across the Middle East.

The Transaction Banking business in ADCB has been one of the most successful product based businesses in the wholesale bank supporting over 40,000 corporate and SME clients in the UAE across all client segments. Besides focusing on the cash management and trade management business, it has a very unique client services proposition that has been one of its key successes.

Commenting on the award, Isaac Thomas, Transaction Banking Head said: “We are privileged to have been awarded the ‘Best Transaction Service Bank in the Middle East’, which reflects our ambitions and our continuous efforts to provide our customers with the best transaction banking business, that goes beyond Cash Management or Trade Finance. The award is yet another reminder that motivates us to continue developing the existing services and innovate new ones that tailor to our customers’ needs and requirements.”

Customer corner(feedback / quotes / interview / suggestion / awards etc.)

Abu Dhabi, 30 May 2016 - Abu Dhabi Commercial Bank (ADCB) has received two of the financial services industries most prestigious awards - the Asian Banker Leadership Achievement Awards. Group CEO and Executive Director, Ala’a Eraiqat, was honoured with the Asian Banker CEO Leadership Achievement Award for the UAE, while ADCB was also recognised as The Best Managed Bank in the UAE at a ceremony hosted recently in Hanoi, Vietnam.

Established in 2001, the Asian Banker Leadership Achievement Awards recognise individual and institutional excellence in the areas of leadership, governance and sustainability. The award plays an important role in cultivating a culture of excellence amongst executives in leadership positions and is the highest award for individual achievement in the banking industry in the Asia Pacific, Middle East and Africa regions today.

Euromoney Awards for Excellence cover more than 20 global product categories, best-in-class awards in all regions and the best banks in close to 100 countries around the world. The awards are truly meaningful to the Bank, particularly as it is common for UAE clients to bank with several major institutions for their transactional banking requirements.

ADCB celebrates success at Asian Banker LeadershipAchievement Awards 2016

Customer corner(feedback / quotes / interview / suggestion / awards etc.)

Ala’a Eraiqat said: “It is an honour that ADCB’s long-term focus on the creation of a sustainable banking platform that is built on the solid foundations of our customer relationships in our core retail banking and SME markets has been recognised by the industry and our peers. The banking industry has evolved greatly in the UAE and we take very seriously our leadership platform, which is underpinned by strong frameworks around leadership, governance, values, skills, vision and sustainability. This award recognises the energy and commitment of our team in placing such high value on ensuring and consistently delivering excellent customer experiences in every aspect of their daily work.”

The Asian Banker Leadership Achievement Awards is widely acknowledged by the financial services industry as the highest possible accolade available to professionals in the industry as recognised in the Asia Pacific and Gulf regions today. Its stringent evaluation process takes stock of the financial performance of the shortlisted organisation over a three-year period, measuring the stated vision and strategy against actual achievements, the feedback of staff, customers, investors and the industry through various surveys, a study of the organisation’s management team and the validation of an experienced council of advisors. Being able to demonstrate the ability to translate strategy into execution is one of the core criteria required from the successful candidates put forward for the awards.

ADCB’s success at the Asian Banker Leadership Achievement Awards is an addition to a string of wins in 2015 including “Best Retail Bank in the Middle East” by The Asian Banker, “Best Corporate Governance Award” from World Finance, and “Best Trade Finance Provider in the UAE” from Euromoney, “Best Cash Management” and “Best Trade Finance Offering” from Banker Middle East.

http://www.adcb.com/about/index.aspx

Save up to 70% on remittance fees with ProCash (online banking service).

Call 800-SME-800 (800-763-800) to know more.

يمكنــك توفيــر حتــى ٧٠٪ مــن رســـوم الحــواالت عنــد استخدامـــكمنصة برو كاش االلكترونية لتحويل األموال.

يرجي األتصال بالرقم ٨٠٠ ٧٦٣ ٨٠٠ لمزيد من المعلومات.

Outward remittance charge (India / GCC) at branch teller is AED 100 per transaction, while the same can be executed through ProCash for as low as AED 30 per transaction – a saving of 70%! For additional details, please get in touch with your Relationship Manager or speak to one of our Contact Centre Agents at 800-SME-800 (800-763-800).

ADCB Business Banking Solutions & Services: www.adcb.com/sme

Terms & Conditions: www.adcb.com/general/termcondition/termsconditions.asp

Charges & Fees: www.adcb.com/businessbanking/smebanking/quick-links/charges-fees.asp

Forms: www.adcb.com/businessbanking/smebanking/quick-links/BB_applicationforms.asp

ATM / CDM / Branch Locations: www.adcb.com/waystobank/branches/atm_branches.asp

Feedback & Suggestion: BBD@adcb.com

Trade Services: TFO_Servicedesk@adcb.com

ProCash Helpdesk: ProCash.Implementation@adcb.com

24/7 Business Banking Contact Centre: 800 SME 800 (800 763 800)

Quick Links

Offers - ProCashSave up to 70 % charges for online remittances

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