JEDDAH, 30 May 2004 — The 29 male and female entrepreneurs who completed a four-week course about establishing small and medium enterprises (SMEs) at the Jeddah Chamber of Commerce and Industry (JCCI) are at the top of the list of applicants for loans for their projects, according to Dr. Sahl S. Gazzaz, general director of the SMEs center at JCCI.

Gazzaz said under an agreement signed last week between the Abdul Lateef Jamil (ALJ) Fund for Social Development and the JCCI, interest-free loans would be available for setting up SMEs. The ALJ Fund which has a capital of SR100 million is the only such fund in the Kingdom.

According to Gazzaz, in order to qualify for a loan whose ceiling is SR150,000, the entrepreneur must identify a viable business opportunity and also present market, business, and finance plans outlining projected profit, loss and cash flow for the three years. The final decision will be made by a four-member committee composed of representatives of both ALJ and JCCI. “It will evaluate the project to make sure of the person’s seriousness and his ability to do the work and not get it done by others,” he added.

The loans must be repaid within three years with a six-month grace period depending on the nature of the business.

Gazzaz elaborated, “If the business is industrial they are entitled to a six-month grace period; if it is trade or service, then the grace period is three months.”

Ahmed Mohammad Halabi, 29, a geology graduate, who started his computer and technology project in Jeddah while undergoing training at JCCI’s SME Center said he was looking for a loan to expand and go into providing complete solutions.

Ahmed Shatta, 25, who studied computer science in the United States, wants to establish a computer maintenance company providing home service in Jeddah. He hopes to start early next year.

Mohammad Asiri, 33, who has diplomas in computers and management, is negotiating for a training franchise from a Canadian company — Academy of Learning to teach computers and basic business management, in Makkah. “There is business potential and less competition in Makkah,” he said, adding, “We will use the ILS system of training — Integrated Learning System. I expect 50 students for a two-year part-time diploma course beginning next year.”