Your Trusted Corporate Loans Specialist +65 6717 8681 enquiry@capitalize.com.sg

Just like the economy, a business faces 4 phases in a business cycle. The 4 phases are: Prosperity > Recession > Depression > Recovery. Prior to the Depression period where it is usually due to an economy downturn, businesses should prepare themselves with sufficient working capital as rainy weather funds because that is when banks will minimize on lending and consumers tend to be more careful with spending, resulting in lower sales.

Businesses that have been established for 2 years are usually at the transition/expansion phase to reach the Prosperity stage whereby more capital will boost the company to reach the peak with more ease. The right amount of working capital can help you as a business owner to implement systems to increase process efficiency, take on more projects or up your human capital game!

Businesses that have been in operation for more than a decade too face an issue of being stagnant or overly comfortable. Keep in touch with new opportunities from the changing technological landscape. Be it whichever stage your business is in, let Capitalize get you the right business loan you’d need to manage or improve your business with.





Loan Amount

Type of loan

Years of Establishment

Industry

Company Yearly Sales Revenue

Company Requirements

  • Incorporated in Singapore with at least 30% local shareholdings
  • Business to be established for more than 2 years
  • 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 2 years

Personal Requirements

  • Personal Income Taxes for the latest 2 years > 30k

What You Can Qualify For

  • Up to 3 million of unsecured loans from 3.6% p.a simple interest (effective interest 6.7% p.a) onward
  • Secured Business Loans will be of a different interest rate
  • Processing Fee: From 0.8% to 2% of the loan quantum
  • Tenure: 1 – 5 years
1. How does Capitalize work?

We help our clients to obtain the business financing facilities they require from the lowest interest costs possible and at the quantum they need. According to their business nature, we’d also advise accordingly the most suitable facilities to meet our clients’ needs. We do not zoom in directly to the highest interest rates in the market but this is also subjected to approval on case to case basis depending on the company’s financial standing and profile. Should your company not be able to obtain any facilities at the current moment, we would advise you on areas for improvement so that you may qualify in future.


2. What is the lowest interest rate I can get?

As mentioned, we aim to help clients to acquire the lowest interest rate loan in the market. Pertaining to Business Term Loans, the lowest interest rate we can obtain will be at simple interest rate of 3.6% p.a. For other types of Business Loans, please contact us directly at +65 6717 8681 for loan details.


3. What is the maximum quantum I can get?

Based on the clients we have helped, the largest quantum we have gotten approved till date for a single company is SGD $2.075M. Depending on the company’s financial health and portfolio, all quantum is subjected to approval. For other types of Business Loans, please contact us directly at +65 6717 8681 for loan details.


4. What is the tenure or period like?

The tenure is typically between 1 to 5 years for Business Term Loans. 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?

The basic documents required for a preliminary assessment are:
a. Directors’ NRIC front and back
b. Directors’ Notice of Assessment (Income Tax) for the latest 2 years
c. Latest 6 months Company Bank Statements
d. Latest 2 years Financial Reports (Profit and Loss, Balance Sheet)


7. What are the processing fees I should be expecting from the banks/financial institutions?

Every bank or financial institution has different charges. The processing fee for Business Term Loans is 0.8% to 2% of the quantum approved. For other types of Business Loans, please contact us directly at +65 6717 8681 for loan details.


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 for Business Term Loans would range between 2 weeks to 4 weeks and an additional of up to 10 working days for account opening and loan disbursement. For other types of Business Loans, please contact us directly at +65 6717 8681 for loan details.


9. Are there any penalty charges for early repayment, be it in full or partial?

Yes. It typically ranges from 1.5% to 2% of the outstanding amount for Business Term Loans. A written notice of at least 1 month in advance is also required for any early repayment. For other types of Business Loans, please contact us directly at +65 6717 8681 for loan details.

Types of Business Loans

Business Term Loan

Working exactly the same way as an instalment loan, it serves a similar purpose to a micro loan in providing businesses with additional working capital. The only best difference it has to a micro loan is that it allows you to utilise it for more purposes and you can qualify for a larger amount as compared to the maximum quantum of $100K for a SME for the MLP programme. And most certainly, you’ll need more capital if you’re dreaming big!


Business Professionals Loan

As the name suggests, this loan helps professionals such as doctors, lawyers, dentists, architects, and accountants etc. to obtain capital for the start-up of their new firm. With only your professional license, past professional experience and track record, Capitalize can help you get a large quantum and relatively low interest rates ranging from 2.5% to 3.2% simple interest p.a. as a professional body.



Business Overdrafts

Overdrafts work in the same way as your credit cards and of course, they are equally high in terms of interest rates. Nevertheless, they’re a form of revolving credit in which you only pay as you use. It’s a type of business loan that you can activate its usage as and when you require on rainy days.

P.S particularly useful for business owners that do not have the time to keep track of their incoming and ongoing cash flow and thus have bounced cheques quite constantly. Let us help make your bank statements pretty again!


Business Renovation Loan

Getting those shelves fixed up or your carpet done? Or probably a swimming pool in your restaurant? No fear about the money cause Capitalize is here. You’d most probably be preoccupied with your contractors, settling on the type of material to use or simply negotiating the price with them. Leave it to us to source the business renovation loan you’d need! You can now put your mind at ease.


Business Trade Facilities


Many businesses undertake a relatively high risk whenever their business involves any form of trading. Trade facilities are common in international transactions but they are also used in domestic transactions. Due to different languages, culture, regulations and political reasons, it poses an even high risk for importing and exporting internationally. A business that deals in trading often faces 3 types of risks: Country, Payment and Performance. Thus, Capitalize aims to help business owners minimize their risks and increase your profitability through the following facilities:


  • Invoice Financing (From your Suppliers/Accounts Payable)
    • It is a form of short-term borrowing often used by businesses. Invoice financing allows a business to draw a certain percentage of their suppliers’ invoice without having to pay their suppliers upfront. It functions like how a credit card does – a certain limit is issued to you by the banks and you’d only pay interest daily on how much you’ve utilised based on your invoices. This limit is renewable yearly and typically allows repayment to be 30-120 days to the banks. The period varies across businesses and is subjected to approval. Many SMEs have improved their working capital and cash flow through using this facility.
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  • Factoring (From your Customers/Accounts Receivable)
    • Factoring is the opposite of Invoice Financing. It allows a business to draw a certain percentage of their invoices issued to their customers. All other details work exactly like how it is in Invoice Financing except that this time round, it’s from your receivables and not your payables.
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Letter of Credit (LC)

  • A letter of credit is simply a promise to pay, issued by a bank. There are typically two types of LC: commercial LC and a standby LC. A commercial letter of credit is a contractual agreement from the issuing bank, on behalf of one of its customers, authorizing another bank, known as the advising/confirming bank, to make payment to the beneficiary. The issuing bank, on the request of its customer, opens the letter of credit. The issuing bank then makes a commitment to honour drawings made under the credit. The beneficiary is normally the provider of goods and/or services. Essentially, the issuing bank replaces its customer as the payer.

 

  • A standby LC serves a different function as compared to a commercial LC whereby the bank will issue a standby letter of credit on behalf of a customer to provide assurances of his ability to perform under the terms of a contract. The beneficiary is able to draw under the credit by presenting a draft, copies of invoices, with evidence should the customer not perform its obligation. The bank will then be obligated to make payment if the documents presented comply with the terms of the letter of credit. Standby LCs are typically issued by banks to insure the refund of advance payment, to support performance and bid obligations, and to insure the completion of a sales contract. This however helps businesses to strengthen their credit worthiness due to performance being guaranteed. The credit has an expiration date.

Trust Receipts (TR)

  • It is a type of short-term import loan that provides the buyer with financing to settle goods imported under Letter of Credit in which the title of goods is held by the bank. Under such an arrangement, the Bank retains title to the goods but allows the buyer to take possession of the goods for resale before paying the Bank on TR due date.

 

Performance Bonds/Banker’s Gaurantee

  • A bond/guarantee is typically issued by banks on behalf of exporters to favour an importer; guaranteeing that the exporter’s contractual obligations will be fulfilled. This also applies should a client wants to ensure that the supplier would perform his duties as agreed on. This helps reduce the risks of a buyer with regards to failure to perform contractual obligations or should the supplier supply faulty or inferior goods etc.

Equipment and Machinery Loans


As the name suggests, a term loan is issued based on a particular equipment that you would like to purchase for your business. The Loan to Value (LTV) granted usually ranges between 70%-90%. This will serve particularly well for SMEs that do not have sufficient funds or do not wish to pay so much upfront for their equipment purchase. Let us help you make that equipment purchase more manageable!

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 2 to 4 weeks for approval taking into account all the necessary documents must have been received. Disbursement will take another 10 working days approximately upon signing of the Letter of Offer. 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.

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