Go Halal SME Financing Program

GO HALAL for success. Position your business for a competitive edge with Go Halal SME Financing Program

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Eligibility

Microenterprises that meet all the following criteria:

  • Meets Microenterprise definition by SME Corp. Malaysia
  • Applicants aged 21 – 60 years old during application date
  • Has a business plan projecting positive cash flow sufficient to repay the financing.
  • Malaysian-owned business with at least 51% shareholding held by Malaysian residing in Malaysia
  • Minimum one (1) year in business prior to application

Malaysian SMEs that fulfil the following criteria:

  • Meets the definition of SMEs issued by SME Corporation Malaysia.
  • Registered with the Companies Commission of Malaysia (SSM).
  • Shareholding by Public Listed Companies and Government Linked Companies (if any) in the SMEs shall not exceed 20%.
  • Malaysians residing in Malaysia that hold a minimum of 51% Malaysian shareholding/ ownership in the SMEs.
  • Business in operation for:
    • At least three (3) years for Sdn. Bhd.
    • At least five (5) years for Sole-Proprietorship/Partnership.
  • Operates in one of the following eligible sectors:
    • Food & Beverage products
    • Cosmetics products
    • Food & Beverage products
    • Pharmaceuticals
    • Consumer goods
    • Logistics services
    • Medical devices

Financing Amount

  • Microenterprises:
    • Min: RM30,000
    • Max: RM100,000 per application
  • Sdn. Bhd.:
    • Min: RM100,000
    • Max: RM3.0 million
  • Sole-Proprietorship, Partnership:
    • Min: RM100,000
    • Max: RM1.0 million

Purpose of Financing

  • Halal Certification, Consultancy & Training Cost
  • Business Reducing Term Takaful (BRTT) Contribution Cost
  • Working Capital Requirement (WCR)
  • Capital Expense (CAPEX) – only for new machine and equipment.

Note:

– Inclusive of legal documentation costs and SJPP guarantee fee for the first year
– The facility cannot be utilized to refinance existing facility granted by the same or other Bank.
– *CAPEX financing is strictly for the purchase of new machinery, equipment and renovation of business premises only.
– *Vehicles are not eligible under CAPEX for this programme and must follow CMG guidelines.

Financing Rate

Attractive financing rate

Financing Tenure

Note:
*Microenterprises are only eligible for BF-i.

Guarantee Coverage

  • SME Only: Up to 80% of the financing amount is guaranteed under:
    • Working Capital Guarantee Scheme (WCGS)
    • Working Capital Guarantee Scheme–Bumiputera (WCGS-Bumi)
    • Any other SJPP guarantee schemes introduced in the future.

Guarantee Coverage

Sdn. Bhd.:

  • Joint and Several Guarantee (JSG) by the following individuals:
    • Directors of the company
    • Shareholders holding more than thirty percent (30%) of the share capital.
    • Key man / person regardless of the shareholding and directorship
  • Corporate Guarantor holding more than fifty percent (50%) of the share capital of the customer

Partnership: Letter of indemnity or undertaking, whichever applicable.

Fees & Charges

No.

Fee Type

Charges
1 Stamp Duty Actual Cost – As per Stamp Duty Act 1949 (Revised 1989):

  1. Principal Agreement – Ad Valorem of 0.5% of financing amount
  2. Secondary / Supplementary Agreement – Nominal of RM10 of each document
2 Legal Fees Actual Cost
3 Processing Fee Waived
4 Tawarruq Agency Fee RM50 (RM25 of each ABPA and ABSA)

Note: Tawarruq Agency fee costs RM50.00 for every Tawarruq transaction.
5 Late Payment Charges Late payment charges (LPC) are as per BNM’s latest Guidelines on Late Payment Charges for Islamic Banking Institutions as well as Bank Islam Ta’widh clause.
6 Guarantee Fee The Guarantee Fee is up to 1.00% per annum of the coverage amount, depending on the scheme offered by SJPP and subject to 8% Sales and Service Tax (SST). The Bank will finance only the first year of the SJPP Guarantee Fee. For subsequent years, the Guarantee Fee will be debited from the customer’s account with Bank Islam
7 Cancellation Fee Based on actual cost (if any) for the preparation and registration of security documents that has been incurred by the Bank in connection with the facility including all expenses incurred during the claim process.
Product Disclosure Sheet:
  • Click here to view Product Disclosure Sheet – English Version
  • Click here to view Product Disclosure Sheet – Bahasa Malaysia Version

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