Fast Approval Instant Business Loan for SME in Singapore (2020)
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Get extra funds to help your business scale and operate most efficiently with better cash flow.
Business Loan Amount Up To S$100,000
The easy SME loan that lets you get financing to fund your business as much as S$100,000 with loan repayment over up to 5 years.
No obligation! Leave your details and we will contact you within an hour.
Business Loan is a bundled loan facilities which combines SPRING’s SME Working Capital Loan, SME Micro Loan and Business Term Loan.
The Business Loan aims to help SMEs expand their business and gain access to working capital financing to support their day-to-day business operations.
The Business Loan is most suited for businesses looking to expand their business and therefore require additional funds in their daily operations. SMEs with the need to automate or upgrade their factories and equipment can also benefit from this loan.
SME Micro Loan and SME Working Capital Loan are Enterprise Singapore initiatives to help local small businesses gain unsecured working capital financing under the Local Enterprise Finance Scheme (LEFS).
From the Enterprise Singapore SME Micro Loan and SME Working Capital Loan, local enterprises can get a total of up to $400,000 loan if they meet the following criteria:
- Company registered and operating in Singapore
- At least 30% local shareholding
- Group annual sales of ≤ S$100m or group employment size ≤ 200^
^Annual sales turnover and employment size will be computed on a group basis (i.e. All levels up for corporate shareholders holding > 50% of total shareholding of the applicant company and any subsequent corporate parents, and subsidiaries all levels down)
- Sole Proprietor, Partnership or Private Limited Company
- Minimum 3 years in business
- At least 30% local shareholding1
- Registered and operating in Singapore
- Company’s group annual sales of not more than S$100 million OR company’s group employment size of not more than 2001 2
1Only applicable to SME Working Capital Loan or SME Micro Loan
2Annual sales turnover and employment size will be computed on a group basis (i.e. All levels up for corporate shareholders holding > 50% of total shareholding of the applicant company and any subsequent corporate parents, and subsidiaries all levels down).
To assist you in your planning, we are pleased to provide you with a loan repayment schedule for your working capital needs. For more details, please fill up the Loan Enquiry Call Back form on top. Here is the example of indicative monthly installment payment of your Business Loan:
- Loan Amount: S$100,000
- Interest rate (indicative rate at 8.5%)
- Tenure (up to 5 years)
- There would be an estimate repayment of S$2,052 per month
Learn More About Business Loan for SME in Singapore
An Instant Business Loan for SME is a short term funding that you get from a financial institution or licensed lender. They exist in various types which you can choose from. In this guide, we show you different options to explore as well as the eligibility requirements, flexibility, and tenure. Keep reading.
Types Of Business Loans
Here is a rundown of the common types of instant business loans in Singapore you can secure for your business.
1. Unsecured Business Term Loan
An unsecured business term loan is funding assistance where your bank or financial institution doesn’t need any business asset or personal asset to use as collateral for the loan. The funding usually ranges between $50, 000 to $500, 000 with 3 to 5 years installments. To qualify for these loans, you must have a good financial history, credit rating or cash-flow forecast.
2. SME Micro Loan
SME Micro Loan is a Singapore government’s initiative of helping Small, and Middle-sized businesses (SMEs) to get sufficient funds in purchasing work equipment, and to fulfill critical business needs. The maximum funding for SME Micro loan is $100, 000, and it comes with fixed monthly installments.
3. SME Working Capital Loan
SME Working Capital Loan was introduced in the Singapore government’s 2016 budget as another initiative of helping SMEs to get unsecured business loans. The maximum capital loan you may receive from this initiative is $300, 000 and is repayable at any time. It also doesn’t have any penalty or pro-rated interest rates.
4. Trade Financing
If you’re looking for quick funds to order for goods from suppliers, then this is the loan for you. It’s given out based on your credit. Therefore, your bank will give you a letter of credit to give your suppliers. After which, you can purchase your desired products until you exhaust your financing limit. You will, however, pay a percentage interest to the bank.
5. Property Loan
Property loan is a loan type that’s designed to help you get financial assistance for your business needs by using your property as collateral for the loan. Most businesses prefer it because it has more affordable interest rates.
6. Equipment Financing
In Equipment financing, you get financial aid to help you acquire goods through leasing or hire purchase. It’s a quite favorable loan option for most entrepreneurs because it doesn’t only help you expand the business but also help unlock your cash flow.
Business Loans — What Can They Be Used For?
A business loan is a financial aid from the bank or certified lenders. They have different repayment terms, periods and interest rates depending in your financier. When you get them, it’s mandatory that you repay them within the agreed time and in line with the laid down terms and conditions. Business loans can be used for purchasing goods or expanding the business.
Different loan firms and banks have varying eligibility requirements. In most cases though, you will need to have good credit ratings to qualify for the loans. Besides, your company may also need to be one year(s) old, and above to be considered eligible.
The loan tenures may also vary according to your loan financier. Nevertheless, in most cases, you will be required to repay within a duration of 1 to 4 years.
It’s upon your lender or bank to determine the optimal loan you can get at a time. The loan quantum is usually reached after a thorough assessment of your company’s strength, and creditworthiness. If you meet the stringent credit terms, your business can get loan financing ranging from $100, 000 to $500, 000.
Business loans are typically flexible to help you choose a favorable loan tenure span that will help you meet all your primary business needs.
How To Get SME Business Loans In Singapore
If you’re looking for a business loan in Singapore, there are two popular outlets you can check out.
1. Licensed Money Lender
(Fast & Easy Approval)
The licensed money lender is legal lending firm, Singapore. It can help you get quick funds to pay for wages and purchase products. The significant advantage of obtaining loans from the licensed money lender is that they won’t check your credit history instead finance you based on your income report. Besides, you don’t incur any penalty in case you reject a loan which had been approved.
In summary, to get the most out of your loans, it’s prudent that you have a clear plan beforehand. This will help you stick to your projects, so you achieve set goals in time. Before taking a loan also, be sure to understand all your financier terms and conditions.
2. Bank Loan
(Slow & Strict Approval)
You can get a working capital loan or funding from most Banks in Singapore. The working capital loan is mainly for established businesses and majorly useful in managing day-to-day business activities. These may include payment of wages and sourcing of urgent merchandise.
For funding though, you will need to show your business plan, valuation, and project report to the bank. After approval, you can get financing from Singapore programs like the SME Micro Loan and Working Capital Loan.