Financial institutions of Armenia : business project

Abstract

This work is a guide for Armenian residents and non-residents searching for funds in the most appropriate way to finance their businesses. Having gone through the Soviet period when getting loans from banks were connected with non-business issues, today’s businesspersons have difficulties in adapting themselves to a new environment. They may become disoriented and discouraged among the variety of credit/loan organizations and bank/loan programs. It is sometimes a problem to get information about competing loan programs in order to compare their advantages and disadvantages. Another new feature for Armenian economy is equity financing. Equity financing requires Armenian companies to transfer partial ownership (equity) to the investor. Several international equity-financing organizations have entered the Armenian market. Businesspersons need to understand the equity alternative to debt. We have tried to design our guide to be as user friendly as possible. First, international loan programs are described, including information about the local banking partners. Next, we provide a guide to equity financing. Finally, loan program information for each bank is presented in a common format.