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Name of Scheme Working Capital Guarantee Scheme - Start Up
Objective To assist start up SMEs companies in all sectors to gain access to financing from participating Financial Institutions (FIs)
Scheme Limit RM200 million only
  • Must fall within the definition of SME companies
  • Start-up Malaysian owned and controlled private limited companies registered under the Companies Act 1965 and/or Companies Act 2016, Sole Proprietorship or Partnership
  • Applicable for viable business - minimum of six (6) months and maximum of two (2) years in operation
  • Mandatory for site visit to be conducted by participating FIs before approval of facilities
Purpose of Financing The facility is to be used for working capital as well as for capital expenditure (CAPEX) and cannot be used to refinance existing facility granted by the same or other participating FIs 

The participating FIs and/or SJPP will be responsible for determining the genuineness of the Borrower/Customer based on their respective credit evaluation procedures
Guarantee Coverage 70% guarantee to the financing obtained from the participating FIs (including principal and interest/profit) by the Government of Malaysia
Guarantee Fee 0.75% per annum payable upfront
Financing Limit Minimum: RM50,000.00 only;

Maximum: RM500,000.00 only
Tenure of Financing For a period of thirteen (13) years or until 31st December 2030, whichever is earlier
Interest /Profit Rate Determined by participating FIs
Type of Facility Term Loan/Term Financing, Overdraft/Cash Line-i and Trade Facility
Participating Financial Institutions Open to all Commercial Banks, Islamic Banks and Development Financial Institutions under the purview of Bank Negara Malaysia
Source of Funds From the participating FIs
Availability / Application Period Opened from 1st June 2017 and upon full utilisation of the scheme limit of up to Ringgit Malaysia Two Hundred Million (RM200 million) only or upon expiry of guarantee tenure on 31st December 2030, whichever is earlier