Business Loans

Alfalah Milkiat Finance

If you are looking to expand your business property then Alfalah Milkiat Finance offers you comprehensive and flexible financing packages with affordable installment plans to cater to the purchase, renovation and expansion of your business premises.


Feature and benefits

  • Financing available for purchase of rented property, construction on owned plot, purchase of constructed property and renovation of owned property.
  • Financing available from PKR 0.5M to PKR 30M.
  • Repayment tenure from 2 years to 15 years depending upon the nature of the financing on monthly installments.
  • Affordable markup rates.
  • Quick processing and loan disbursal.
  • Minimal processing charges.
  • No additional security required



  • Applicant must be a Pakistani National Identity Card Holder
  • He/she should be between 23 and 65 years of age at the time of maturity of the loan, subject to maximum age of 60 maturity of finance.
  • He/she must be running a business for at least 3 years with a satisfactory track record.
  • The security against finance should be the mortgage of urban commercial/industrial property (ies) and in the name of Bank Alfalah.
  • You shall make 30% of equity participation for financing for purchase and construction of property. No equity participation is required for construction on owned plot or for  renovation of property.
  • The financing amount is at least PKR.0.5M or above and not more than PKR. 30M. In case of renovation of property, the financing amount cannot be more than PKR. 3.5M.

Frequently Asked Questions

What does AMF stand for?

Alfalah Milkiat Finance

What kind of financing facility does the Bank provide under AMF?

AMF is a long term finance facility offered to the customers for the following purposes:

  • AMF-1: Acquisition of rented commercial/industrial property by present tenant.
  • AMF-2: Construction on owned and possessed commercial/ industrial premises/ plot.
  • AMF-3: Purchase of constructed commercial/ industrial property/land.
  • AMF-4: Renovation of owned and possessed commercial / industrial property.Please note that all the four facilities shall be provided solely to help SMEs improve and build business infrastructure. AMF shall not be provided for personal asset building or for purchase or renovation / construction for onward sale or rent purpose. The property shall be in the name of the borrower.

How is it different from similar products offered by other commercial banks?

With the introduction of AMF, Bank Alfalah has become the only bank providing long term financing facility to SMEs for infrastructure capacity building.

Is there an age restriction for availing AMF?

The maximum age of the borrower is 65 years at the time of the maturity of the loan.

What is the amount of financing offered under AMF?

AMF-1, 2 and 3 can be availed by the customer within the range of PKR.0.50M to PKR.30.00M, whereas AMF-4 can be availed within the range of PKR.0.50M to PKR.3.50M.

How much equity participation shall be required by the borrower?

For AMF 1 and 3 minimum 30% equity participation is required whereas no equity is required for AMF 2 and 4. The value of land / property owned by the borrower shall be counted towards his / her equity.

What shall be the tenure of AMF?

Minimum and maximum tenor for AMF 1, 2 and 3 shall be 2-15 years. Loans under AMF 4 shall be repaid within 2-4 years.

What is the frequency & mode of repayment?

AMF shall be repaid through equal monthly installments. Bank will obtain post dated checks for the entire facility tenure at the time of disbursement of the loan.

What is the mark-up rate?

Mark-up is linked with 1 year KIBOR.

Is there a grace period for repayment?

Under AMF-1, AMF-2 and AMF-3 a grace period can be allowed for a period not exceeding 3 months, 9 months and 6 months respectively inclusive for the total tenor of facility. Monthly mark-up shall, however, be serviced during the grace period.

What is the security that I will have to offer to avail AMF?

The property being financed shall be mortgaged in favor of the bank along with personal guarantee of the proprietor/ partners / directors.

How long is the processing time?

The loan shall be disbursed approximately within one month after completion of documentary requirements by the customer.

Is there an early repayment option available? Is there a penalty charge?

Full and final repayment from your own sources shall not attract any penalty. Once a year partial repayment shall be allowed without any penalty. However, in case the outstanding liability is swapped by another bank, 5% of the outstanding principal balance shall be charged.

Can I simultaneously avail more than one type of facility under AMF?

Yes, if you fulfill the criteria for each facility and the total financing under AMF does not exceed PKR 30.0M, then you can avail more than one type of facility.

Can I avail AMF for purchase of land?

AMF-3 has now been allowed for purchase of commercial/industrial land subject to the condition that within six months of the loan disbursement, the customer will also avail AMF-2 for construction on the same land.

How many times will I have to visit Bank Alfalah to get the facility?

Approximately three times for the following:(i) To hand over the required documents(ii) To sign the agreements(iii) For disbursement

What are the Insurance Requirements under AMF?

The bank will undertake two types of insurance under AMF. Firstly, the property mortgaged under AMF shall be insured and secondly, in case of an individual/sole proprietor, life insurance of the borrower shall be obtained with the Bank as loss payee in both cases. Insurance premium shall be built into the installment amount. The first year insurance premium shall be received upfront before disbursement of the loan facility.

Why should I opt for a personal insurance?

This facility is being offered at a concessional rate to secure the client’s interest in case of any unfortunate event. It will help ease debt burden on the legal heirs of the client.

Is there any restriction on geographical location of the property for availing AMF?

All urban commercial/industrial properties which are acceptable to the Bank’s approved legal advisor(s)

 Can I avail AMF to acquire business premises for my new product line?

It will depend on the Bank’s evaluation and satisfaction regarding the borrower’s prior experience and expertise in the respective line of business.

I do not maintain proper books of accounts nor do I prepare financial statements of my business. Does that make me ineligible for AMF?

No, even if you keep an informal record of your business transactions for the last one year, the Bank will arrange the preparation of formal financial statements.

I do not have the legal documents of my commercial / industrial plot. I want to avail AMF for construction. Will the Bank accept my residential or another commercial property as collateral?

Such an arrangement will not be possible.

I have no credit history with any bank. Does it make me ineligible for AMF?

No, you can still avail AMF if you fulfill the other eligibility criteria.

I have recently purchased/constructed a commercial property from my own sources. Now I am short of cash to invest in my business. Can I avail AMF against such property recently purchased or constructed?

With Alfalah Karobar Finance (AKF) you can finance your working capital needs.

Can I avail AMF to own a commercial property and rent it out to repay the installment?

AMF is being offered for capacity building of SME’s in their existing lines of business. Renting out the property acquired through AMF shall only be allowed in exceptional cases subject to the condition that the rent is assigned in favour of the Bank

Processing fee (up-front with LAF): Minimum of  PKR 5,000 or 0.1% of the loan amount, whichever is higher.

Documentation charges: Actual cost of revenue and special adhesive stamps.

Legal charges: Actual and approved charges of lawyers on the Bank’s approved panel.

Valuation charges: Actual and approved charges of valuators on the Bank’s approved panel.

Business and financial appraisal charges: Approx. PKR. 5,000

24/7 Customer Support

For details about our Products & Services call our Phone Banking Service at 111-225-111