What happens if you do not qualify for start-up loans, micro loans or business loans? Or simply because you prefer not to be mainstream? Here are some alternatives that are worth considering!
- Incorporated in Singapore with at least 30% local shareholdings
- Business to be established for more than 1 year
- Existing business corporate account
- Active transactions in the business corporate account for the latest 6 months
- Company Profit & Loss, Balance Sheet records for the latest 1 or 2 years (compulsory)
What You Can Qualify For
- Up to 500k of unsecured loans/factoring line (customer invoices) from 1% – 5% flat interest monthly
- Processing Fee: 3% – 5% of the approved loan quantum
- Tenure: 3 months to 24 months
1. How does Capitalize work?
In the event that a business does not qualify for the typical business term loans or would like to look at a different source of financing, we would recommend these new sources of alternative financing methods. It is also dependent on the nature of your business and if you would prefer a short financing period.
2. What is the lowest interest rate I can get?
Alternative financiers undertake a higher risk as compared to banks and financial institutions. Thus, the interest rates they offer are higher, ranging from 1% to 5% per month.
3. What is the maximum quantum I can get?
As mentioned that alternative financiers have a lower risk appetite as compared to banks or financial institutions, the maximum quantum is up to 500K. A factoring line will require customer invoices as a form of collateral and can grant you up to 80% of your invoice value.
4. What is the tenure or period like?
The tenure ranges from as short as 3 months to 24 months. It is subjected to approval based on the company’s repayment ability and the quantum approved.
5. How do I apply for the loan?
Do allow our trained consultants to conduct a preliminary assessment for you based on your documents to determine the maximum quantum we can obtain for you or if the quantum you’d require is achievable. Upon receiving your documents, our consultants will schedule an appointment with you.
6. What are the documents required?
Alternative financiers would require a different set of documents:
a. Directors’ NRIC front and back
b. Directors’ Latest Credit Bureau Report
c. Directors’ Notice of Assessment (Income Tax) for the latest 2 years
d. Company Latest ACRA
e. Latest 6 months Company Bank Statements
f.. Latest 2 or 3 years Financial Reports (Profit and Loss, Balance Sheet)
g. Latest Invoices (if seeking for Factoring Line)
7. What are the processing fees I should be expecting from the alternative financing platforms?
3% to 5% of the loan quantum approved.
8. What is the timeline needed for the loan to be approved?
Upon receiving all the required documents in full, the processing time for an approval would range between 7 to 14 working days typically. However, it differs for all types of alternative financiers. Speak to us to find out more.
9. Are there any penalty charges for early repayment, be it in full or partial?
It is dependent on the type of alternative financing method that you would be taking up. Speak to us to find out more.
Type of Alternative Business Loans
Private Factoring Loan
A combination of crowd funding and private investor funding, this loan allows you to pledge your customer invoices to obtain a factoring loan/line. Chances of approval are higher for you should your customers be of an established profile (MNC/Government Projects). You may receive up to 80% of the total invoice value, subjected to approval.
How It Works
- Fill in the form for us to understand your business profile better.
- Allow us 2 working days to contact you upon receiving your form.
- Our Business Development Team will fix an appointment with you at your convenience to brief you on the entire procedure, advise you on how we can help you through our platform and lastly, obtain the necessary documents required for the application.
- Submission, *Approval and Disbursement
* It takes approximately 7 to 14 working days for approval taking into account all the necessary documents must have been received. Disbursement takes approximately 7 working days depending on which alternative financing method is adopted. We do not wish to over promise on the time frame but please be rest assured that we will most certainly do our best for you. Every client is important to us at Capitalize.