Business entities that are SMEs per SME Corporation Malaysia guidelines* with at least fifty-one (51%) shareholding held and controlled by Malaysian residing in Malaysia
Business registered with either : i) Companies Commission of Malaysia either under the Registrar of Business Act (1956) or Companies Registration Act 1965 and/or the Companies Registration Act 2016 or Limited Liability Partnership Act 2012; or ii) Respective authorities or district offices in Sabah and Sarawak; or iii) Respective statutory bodies for professional services providers
Business must be in operation at least three (3) years. Key person experiences in the same industry and / or managing other company with similar business activities can be considered
Key person age must at least be 21 years old at point of application and does not exceed 65 years old upon settlement of financing that is guaranteed by CGC.
Business with good credit track record / history
CGC guarantee provides an alternative collateral solution for SMEs that lacks in collateral or unable to provide any collateral, which enables businesses to obtain financing according to the viability of the SME business.
Depending on the purpose of financing and the CGC Guarantee Scheme coverage the limit ranges from RM100,000 up to RM10 Million per SME*
*The financing limit offered is subject to CGC internal limit capping.
Depending on purpose of financing, credit facility type and the CGC Guarantee Scheme coverage percentage (%) the financing rate is up to 2.0% per annum above the Bank’s Base Lending Rate (BLR)**
Working Capital Financing
Capital Expenditure Financing
The SJPP Guarantee Schemes does not provide any guarantee coverage for refinancing of existing credit facilities applications
Fee for the CGC guarantee coverage provided ranges between 2.10% per annum up to 5.0% per annum, against the guarantee coverage amount depending on: i) The CGC Guarantee Scheme; and ii) Secured Portion (between 2.10% per annum to 3.20% per annum) and Unsecured Portion (between 2.4% per annum to 5.00% per annum) of the financing iii) Business risk profile
SME with higher risk profiles will be charged higher guarantee fees, whereas SMEs with lower risk profiles will be charged lower guarantee fees. The range observed is to match borrower's credibility in terms of risk rating with the pricing of the guarantee
Payment of guarantee fee is payable upfront prior to disbursement of financing (for the 1st year) and subsequently on annual basis.
The CGC guarantee coverage ranges from between 30% to 90% subject to the following:
Unsecured Portion - Up to 80% (a maximum cover of RM3 Million)
Secured Portion - Up to 90% (no capping imposed on secured portion)
CGC BizJamin Scheme (previously known as Credit Enhancer Scheme) For SMEs that lacks collateral and / or require alternative collateral solutions to increase financing access from the Bank.
CGC BizJamin SRF (only applicable for financing under the BNM Special Relief Facility) – Status: Fully Utilized A guarantee scheme to alleviate short-term cash flow problems faced by SMEs affected by the COVID-19 outbreak
CGC Flexi Guarantee Scheme Provides guarantees for financing granted under the BNM's Fund for SMEs- All Economic Sectors facility.
People also viewed these
Edit here to enter details for productdetail page promotion
Our Artificial Intelligence Advisor is ready to assist you