Conditions for Circulating Fund Credit

·	Borrowers should be enterprises, institutions and other economic organizations approved and registered, and annually checked up by industrial and commercial administrative authorities (or their superior competent departments);
·	Borrowers' nature of business and investment purposes are in line with state development policies;
·	With complete financial system, capable of providing valid and trustworthy financial documents;
·	Having opened settlement accounts at the China Merchants Bank;
·	Capable of repay principal and due interest on time;
·	With legal assets for hypothecation or third-party guaranty;
·	For limited liability companies and share-holding companies, their accumulated external equity capital investment should not exceed 50 percent of their respective net assets; expect for situations permitted by the State Council;
·	With valid "Borrowing Certificate";
·	Other conditions deemed as necessary by the Bank.

Compulsory Documents Needed for Circulating Fund Loans Application

·	Loan Application in writing and Board of Directors resolution permitting the loan application (if applicable);
·	Corporate Charter, Business License and proof from corporate representative;
·	Corporate financial statements;
·	Documents proving the purpose of loans (such as trade contracts);
·	Pertinent documents on guaranty and hypothecation;
·	"Borrowing Certificate"
·	Other documents deemed as necessary by the China Merchants Bank.

Advantages of Circulating Fund Loans offered by China Merchants Bank

·	Many currencies to choose from. Loans in RMB and foreign exchanges are available;
·	Flexible repayment period; including short-time loans within 12 months and medium-term loans ranging from 1 year to 3 years;
·	The CMB encourages and gives priority to loans with legally possessed RMB or foreign exchanges assets as hypothecation.