List Of Malaysia Government Grant For Small Business 2018
List of Malaysia Government Grant For SMEs in Malaysia
Having a business in Malaysia means you are striving in the competitive market, always looking for a way to help your business flourish. One of the ways of doing that is implementing financing incentives from the government. The government of Malaysia has been moderating various financial schemes and incentives to support business activities in the country. Here is a list of Malaysia government grant that might help you with starting and running your small business in Malaysia. And to know more, you may also read more information about guide on starting a business in Malaysia and SMEs in Malaysia.
Soft Loan Schemes for Services Sector (SLSSS)
The first one in our list of Malaysia government grant is Soft Loan Schemes for Services Sector (SLSSS). Under this scheme, Malaysian businesses in the services sector can get a loan of up to RM 5 million at a rate of 4% for SMEs and 5% for other companies. The Malaysian Industrial Development Finance Berhad (MIDF) implemented this scheme.
Soft Loan For SMEs (SLSME)
Malaysian Industrial Development Finance Berhad (MIDF) run this loan. This is a scheme targeted to Malaysia SMEs in the sector of manufacturing and services. The maximum financing amount, in this case, is also RM5 million at a rate of 4 per annum%.
Tabung Usahawan Siswazah (TUS)
The Tabung Usahawan Siswazah (TUS) helps Malaysian graduates from any fields with finances to help them invest in their own business, the maximum amount being RM500, 000 and the rate is 4% per annum. SME Bank implemented this scheme. The graduates must be a Malaysian citizen and should have at least a Diploma degree from a university in Malaysia.
Young Entrepreneur Fund
Another one in the list of Malaysia government grant, Young Entrepreneur Fund is for young Malaysian entrepreneurs to start or run their own business in the service sector, and to be eligible for this program, applicants must be between 18 to 30 years of age. The financing amount is between RM20,000 to RM 200,000 at a rate of 5% per annum. You can contact SME Bank for this loan.
Tabung Pembangunan Pengangkutan Awam (TPPA)
Tabung Pembangunan Pengangkutan Awam (TPPA) helps Malaysian businesses in the field of public transportation (taxis and buses). Individual, corporate or companies, all of them are eligible for the scheme and under it, the minimum financing is RM30,000 to a maximum of RM 5 million. Also, SME Bank Malaysia is the one who implemented this programme.
Bumiputera Enterprise Enhancement Programme (BEEP)
Another incentive from SME Bank, the Bumiputera Enterprise Enhancement Programme provides selected Bumiputera enterprises with financing and specialized training. It is to create and innovate more SMEs run by Bumiputera in the country, helping them reach a bigger market. Run by SME Corporation Malaysia, it is an overall development program rather than just funding.
SME Emergency Fund (SMEEF)
This is a funding program to help SMEs renovate their business premises affected by natural disasters. The SME Emergency Fund (SMEEF) can be provided as a grant or a loan, all of which depends on what work the money is being used. Based on the needs of an enterprise, they can apply to SME Corporation Malaysia (SME Corp. Malaysia) for finances up to RM 100,000.
Business Start-Up Fund
Besides, Business Start-up fund makes our list of Malaysia government grant as a supportive innovation scheme. Tech-related business startups in Malaysia are eligible for this scheme, and SME Corp runs this scheme. Malaysia. The maximum amount of financing can be RM5 million or 90% of the total business at a rate of 3.5% per annum.
TEKUN Financing has two categories, Small Loan scheme (SPK), where businesses could apply for a loan amount of RM10,000-RM50,000 and Medium Loan Scheme (SPS), where the loan amount is RM50,000-RM100,000. It’s run by TEKUN Nasional (TEKN), and only Bumiputeras are eligible under this scheme.
Tabung Pembangunan Usahaniaga Peladang (TPUP)
Tabung Pembangunan Usahaniaga Peladang (TPUP) is for farmers in Malaysia. This is a scheme providing farmers with finances to help them turn agriculture into a profit-generating business and eventually have a net income of more than RM4,000 per month, as the government’s goal Lembaga Pertubuhan Peladang (LPP) coordinates this scheme.
Paddy-I promotes rice planting and cultivation activities in Malaysia by providing farmers with a loan from RM10,000 to RM50,000 at a rate of 3.5% per season. You could approach the nearest branch of Agro Bank if you are interested in the loan.
Skim Kredit Pengeluaran Makanan
Another incentive run by Agro bank Malaysia, this is for food industry business and startups. Under this scheme, eligible enterprises can get 100% of the project funds, with the maximum threshold of RM500,000. The interest rate is 3.7% per annum, and the company should be working in any food production activity moderated by Skim Kredit Pengeluaran Makanan.
Perusahaan Kecil dan Sederhana (IKS/PKS)
Perusahaan Kecil Dan is another incentive targeted towards the agriculture business in Malaysia. You could visit the nearest outlet of Agro Bank Malaysia to know more about it.
Rural Economy Funding Scheme (SPED)
This scheme comes with an objective of increasing the number of rural Bumiputera entrepreneurs in Malaysia, making more people from rural sectors interested in the field of business. Also, it is based on Shariah concept and businesses could apply for a loan from RM 20,000 to RM 50,000. The company should be 100% owned by Bumiputera and the idea should be viable.
Skim Pembiayaan Mudah Jaya (SPiM)
Run by Majlis Amanah Rakyat (MARA, Skim Pembiayaan Mudah Jaya (SPiM) apart from itself, is also helping to denote other four loan schemes for Bumiputera entrepreneurs.
Skim Pembiayaan Mudahjaya (SPiM)
Financing ranges from RM 2, 50,000 to RM 500,000 with profit rate being set at 4%. Besides, the company can be a single partnership or Sdn Bhd and have 100% Bumiputera ownership.
Skim Pembiayaan Groom Big (SPG)
The terms are similar to the SPiM, and Bumiputera could get loan funds of 2,50,000 to RM 500,000 at a profit rate of 4%.
Skim Pembiayaan Kepada Orang Kelainan Upaya (OKU)
This one is for differently abled Bumiputera. Financing limit is RM50, 000 and it is an interest-free loan.
Skim Pembiayaan Lepasan Institut Pendidikan MARA (SEMAi)
Financing can be up to RM50, 000 with a profit rate of 4%.
Ikhtiar Financing Scheme
Ikhtiar Financing Scheme, run by Amanah Ikhtiar Malaysia (AIM) is a financing scheme which targets towards low-income households in Malaysia to help them invest in profit-generating activities. This is an interest-free loan scheme and to be eligible for the fund, the monthly family income can’t exceed RM 3,850. This incentive gives more priority to the women.
Micro Enterprise Fund (MEF)
Another one in our list of Malaysia government grant for small businesses is Micro-Enterprise Fund (MEF). Run by Bank Rakyat, it’s objective is to make it convenient for Malaysia home-based businesses to get secure funding. The loan amount can range from RM1,000 to RM 50,000 depending on the business needs, and the individual has to dedicate to the enterprise full time.
SME Scheme (Services, Manufacturing & Engineering)
As the name suggests, his scheme is for enterprises in the sector or Services, manufacturing, and engineering. Perbadanan Usahawan Nasional Berhad (PUNB) brought this incentive and it has been helping Malaysia based businesses in the relevant fields with a loan from RM 50.000 to RM 5 million, depending on the business type and viability. This scheme is only for Bumiputeras who can contribute to at least 20% of the total project cost.
PROSPER Usahawan Muda (PUMA)
The last one on our list of Malaysia Government Grant For Small Businesses is the PROSPER Usahawan Muda (PUMA). This program is to help young Bumiputeras fund their startups, and the maximum funding is RM100,000. The financing tenure is ten years at most, and it is based on the Shariah concept. The age of the applicants must be over 18 years old and can’t be more than 35 years old.
Well, here was the list of Malaysia Government Grant 2018. I hope this article helped you.