Funding Societies Business Financing

What is SME Micro Financing by Funding Societies Malaysia?

SME Micro Financing is a type of business loan designed for small and medium-sized enterprises in Malaysia. Offered by Funding Societies, it provides quick access to working capital with minimal paperwork, fast approval, and flexible repayment terms to support business growth.

How can Funding Societies Malaysia's SME micro financing empower your business growth?

Funding Societies offers micro financing for quick, hassle-free capital access, bypassing traditional banking delays. Their flexible solutions meet diverse needs like inventory purchases and equipment upgrades, ensuring operational efficiency. Understanding SME challenges, they offer a streamlined application process with less paperwork and faster approval, while transparent terms and competitive rates enable confident financial planning.

Why should small and medium enterprises consider Funding Societies Malaysia over traditional banks for financing needs?

SMEs need agile financial solutions, and Funding Societies offers a strong alternative to traditional banks by providing a streamlined application process that speeds up access to funds through technology, reducing delays. It ensures transparency with clear terms and competitive rates without hidden fees. It delivers efficient service, competitive rates, flexible options, and transparent terms—an unmatched option for SME financing needs.

Frequently Asked Questions (FAQs) about SME Micro Financing by Funding Societies Malaysia

• How much funding can my business receive?

  Funding Societies offers financing amounts ranging from RM3,000 to RM200,000 for eligible SMEs. The amount approved will depend on your business's financial health and creditworthiness.

• What are the repayment terms and interest rates of Funding Societies SME Micro Financing?

  Repayment terms range from 6 to 18 months, giving you flexibility based on your business cash flow. Interest rates are competitive and personalized based on risk assessment, typically starting from 0.8% - 1.5% per month.

• Who is eligible to apply for Funding Societies SME Micro Financing?

  Eligible businesses must be:

  • Businesses registered with SSM in Malaysia (sole proprietorships, partnerships, or Sdn Bhd)
  • Operational for at least 6 months
  • Have a minimum annual revenue of RM60,000
  • Should also have a minimum 30% local shareholding by Malaysians

• Is collateral required to apply for microfinancing?

  No, SME Micro Financing by Funding Societies is unsecured, meaning no collateral or guarantor is required. This makes it easier and faster for small businesses to obtain much-needed funds.

• What documents are required for the application?

  You’ll need the following documents for your application:

  • Company’s registration documents (SSM)
  • Business bank statements (last 6 months)
  • Front and back NRIC of the applicant 
  • Front and back NRIC of all of the additional directors
  • Additional documents may be requested depending on your business type

• How long does it take to get approved and receive the funds?

  Approval can be as fast as 24 hours once all required documents are submitted. Upon approval, funds are typically disbursed to your business bank account within 5 working days.

• Are there any fees and charges?

  Just like any other financing product, the following fees/charges will be applicable: 

  1. Utilisation Fee: 5% of the approved financing amount, deducted upon disbursement. 

  2. Guarantee Fee: 5% of the approved financing amount, deducted upon disbursement.
      

  No fee will be deducted if the offer is declined. The above terms are updated as of 15/3/2021, if you wish to opt for our previous product terms, please inform the key account manager during the application process. 

• What if I cant make my payments on time?

  If you are late in making your repayments, the following fees/charges will be imposed:

  • Late Penalty Fee: RM500 per repayment cycle
  • Late Interest Fee: 0.1% per day (non-compounded) on the amount in arrears

• Can I make an early settlement?

  Early repayments are always encouraged, as SMEs are able to save more on interest. 

  Early repayments are subjected to a 2% early repayment fee on the remaining principal amount to partially compensate our investors on the loss of their residual interest.  

• Can startups apply for this financing?

  Startups must have at least 6 months of operating history to be eligible. If your startup is too new, you may need to consider alternative financing options or wait until your business is more established.

• Will applying for financing affect my credit score?

  Yes, Funding Societies may perform a credit check as part of the application process. However, a soft inquiry is usually done first, and responsible borrowing can help improve your credit profile over time.

• Is my data safe with Funding Societies?

  Yes. The platform is regulated by the Securities Commission Malaysia and uses advanced encryption for data security.

• What makes Funding Societies Malaysia a reliable choice for SME micro financing?

  Funding Societies Malaysia is a reliable SME microfinancing option, offering accessible and efficient financial solutions. The streamlined application process speeds up funding, enabling quick opportunity access. Competitive interest rates and flexible repayment options support cash flow management, while transparency and strong customer support build trust. This makes Funding Societies Malaysia an essential partner in business success through microfinancing.

• What else would suit me?

  Apart from Funding Societies Business Financing, you can also apply for these business loans,

  1. Alliance Digital SME Business Loan