Nedbank

Nedbank Group is a financial services provider incorporated in South Africa and listed on both the JSE and Namibian Stock Exchange.

It has a significant presence in South Africa, where it operates through its clusters, such as Nedbank Corporate and Investment Banking. They offer various financial services encompassing banking, insurance, asset and wealth management products.

Nedbank Group's commitment to positive impact and its ambitious goals

Through its financial expertise, Nedbank Group is firmly committed to positively impacting individuals, families, businesses, and society. Its goal is to become Africa's most admired financial services provider by its staff, clients, shareholders, regulators, and society. To achieve this, it has set ambitious targets.

The bank's values include integrity, respect, accountability, and people-centeredness, and it invests in its employees to empower them to excel in creating value and delightful experiences for its clients.

Strategies for achieving goals at Nedbank Group

Nedbank Group has several targets and value drivers to achieve its goals, including growth, productivity, risk, and capital management. The bank focuses on improving its operational efficiency, leveraging technology platforms, and delivering market-leading solutions to improve client satisfaction and gain a significant market share.

Total Assets, headline earnings, and more

Nedbank Group's financial performance is impressive, with total assets of R1.3 trillion, assets under management of R393 billion, headline earnings of R14.0 billion, CET1 ratio of 14.0%, 624 outlets, 4,531 ATMs, 25,924 permanent employees, and 7.0 million clients as of 31 December 2022.

The bank is committed to the environment, with carbon-neutral operations and a goal of zero exposure to fossil-fuel-related activities by 2045. Its BBBEE contributor status is Level 1, which it has maintained for five consecutive years, and its MSCI ESG Rating is AAA.

Nedbank provides a range of term loan services that can assist businesses of all sizes to fulfil their financing needs. As your business expands, you’ll require different types of funding for various purposes. Nedbank can assist you in finding the appropriate financing solution that best suits your needs.

The bank employs a team of specialist business managers who familiarise themselves with your business and industry to provide the most suitable financing solutions. Nedbank's offerings encompass short-term finance, medium-term finance, and long-term finance.

Flexible financing options

The bank offers short-term working capital solutions, such as standard overdrafts and solutions that enable you to receive up to 80% value on your outstanding local or overseas debtors. This financing solution can help you meet your immediate cash flow needs and manage your working capital requirements.

They also offer medium-term loans (MTLs) that can benefit businesses that require term loans. These loans serve multiple purposes, such as injecting capital into a business or financing opportunities for growth.

Benefits of medium-term loans over overdrafts

Unlike an overdraft designed for short-term working capital requirements, medium-term loans are payable in equal monthly payments for 12 to 60 months. This type of loan provides businesses with a solution for significant capital projects, as capital and interest are paid over a medium term. Additionally, the bank's interest charged is eligible for tax deductions, which can reduce the tax payable.

Debtor management services

Moreover, the bank provides debtor management services, where a team of experts can assist you in freeing up funds locked in your debtors' books, whether local or international. The bank can offer you up to 80% of the funds and even manage your debtors. This financing solution can improve your cash flow and provide easier access to funds.

Finally, Nedbank offers stock finance as a trade finance solution, and its Customised Trade Solutions (CTS) team assists with the facility's structuring and ongoing deal management.

Meeting your working capital requirements with stock finance

The bank's solution finances up to 80% of the cost of goods, depending on the risk associated, which is determined by factors such as the price volatility of the stock being financed, the nature of the stock, strength of the offtake agreements/orders, and strength of the off-taker as well as the strength of the payment instrument. This financing solution can help you manage your inventory and meet your working capital requirements.