Gulf Finance Corporation, a wholly owned subsidiary of SHUAA Capital and a UAE-based boutique finance company focusing entirely on the needs of SMEs, has commended the UAE’s Cabinet approval of a law pertaining to SMEs.
The law stipulated that all institutions, companies and agencies that the government holds a 50 per cent stake in (or more) “shall allocate five per cent of their budget for goods and services to SMEs that are offering competitive pricing and quality”.
Steve Williams, group chief executive officer, Gulf Finance, said, “Private SMEs typically account for more than 95 per cent of all businesses. They also constitute a major source of employment and generate significant domestic and export earnings in transition and developing countries. Improved SME competitiveness could obviously contribute to economic and social development. This timely law will help hone the entrepreneurial skills of the country’s local talent and support the growth and nationalisation of the private sector in the UAE.
“The UAE’s SME market requires more than Dhs 6bn worth of new credit in 2013. We at Gulf Finance aim to fulfil more than 10 per cent of that requirement. We have lent more than a billion dirhams to the UAE’s SMEs during the past three years, and we aim to grow that amount three fold in the next three years.
“Gulf Finance is able to deploy funding that we obtain from Shuaa Capital and our banking partners who share our interest in developing the SME economy, and we do that effectively due to our focus on sustainable sectors that contribute significantly to the growth and development of the UAE. “
“The credit division, with Gulf Finance at the heart of it, will establish SHUAA’s position as a leader in the regional credit arena for both regional and global clients. The three main pillars for our newly established credit division are: commercial lending offering liquidity for SMEs; a new credit fund that will allow investors to participate in the UAE’s economic growth story; and debt advisory for SMEs, family businesses and large family-owned conglomerates on the restructuring of their balance sheets and providing advisory on long term funding strategies.
“GFC is a multiple award-winning finance company that has been recognised throughout the years for its unique credit product offerings, its ability to finance conventional and unconventional assets and its quick responses to our customers’ financing needs. This is all a result of our deep understanding of the SME sector and the customers’ business needs, and most importantly for having the right people who are fully dedicated to this mission.”