SME FINANCING PART 1: THE ONLY CONSTANT IS GROWTH


SME (Small and Medium Enterprise) financing is about getting funds to keep your new or current business alive. The way upwards is none other than continuous growth, showered with the right SME financial investment. As business owners, you are usually torn by a myriad of financing options, each with their own pros and cons. To help you to decide on the right financial instrument, here are top five SME financing options for Malaysian entrepreneurs.

Crowdfunding

A crowdfunding site can be a quick and effective way to finance your new venture for a relatively low cost. Essentially, you set a goal on how much you want to raise and state the aim for which the funds will be raised for and this is then posted on a website. Visitors of the site then pledge money to support your cause. The drawback of this method to finance your SME is that it is often not suited for long term business dealings and it is usually used for obtaining small sums.

Venture Capitalist

Venture capitalists are a group of individuals who invest in your company in exchange of ownership or seats (also known as the board of directors). As such, this may not be for everyone as many company owners may be reluctant to give up ownership of their company.

Angel Investors

Angel investors operate on the same premise as venture capitalist except that they are usually high net worth private individuals and not actual business organisations. However, they may also want an equity or ownership of the company and thus the same woes may arise.

Government Grants

Businesses may also try and obtain government financing for SME. Such financing is usually available for sectors such as green technology and assistance for persons who are differently abled.  However, there may be an issue obtaining such grants due to stringent and rigid requirements set by the government agencies.

Bank Financing Facility

SME financing via banks is the most common way of obtaining funds for most businesses. Each bank will have different SME financing amount, rates, repayment tenures, and additional benefits, making it very flexible to suit your business needs.

CIMB SME Quick Biz Financing/-i

It is no secret that CIMB Bank has always been at the forefront of SME financing, and offers some of the best market terms. CIMB’s SME Quick Biz Financing/-i provides working capital financing without collateral to improve the company’s business cash flow. It also features a hassle-free application process with minimal documentation for a financing sum of up to RM1 million. The financing facility is open to all Malaysian owned SMEs who have been in operation for a minimum of 3 years.

How do you go about applying for this SME Quick Biz Financing/-i you ask? The good folks at CIMB Bank could not have made their application process any easier.

All you have to do is to visit their SME Quick Biz Financing/-i website and drop your details to register your interest and their friendly consultants will reach out to you. How easy is that? Simply click here to find out more.

Now you are all set to grow your business to greater heights.