to oblige buyers to submit as many cheques as necessary to cover the monthly finance payments. This is because to bounce a cheque in the UAE is a criminal offence, and the criminal court is quite a deterrent!
The BCB’s incubator service gives you up to two years of protected, low cost & low risk market entry in the UAE, with the provision of a trade licence and corporate real estate. This means there will be little need for your company to borrow as it starts out here. There may come a time however that you need to take a loan.
The agreement referenced above is one taken by UAE banks NOT to prosecute SMEs if they bounce cheques. The full story can be to note that this is not a change in the law. If your company bounces a cheque, either on a bank repayment or to a supplier, it can still be held criminally responsible. But, this agreement is certainly a step in the right direction with the banks themselves taking a pragmatic view of the situation.