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SME Financing

Get Business Financing that Works for SMEs

We know it can be hard for SMEs to access traditional financing like bank loans. We offer digital business financing — fast, flexible and tailored for SMEs to support your business growth.
  • Flexible financing options
  • Seamless online application
  • Fast approval for quick capital
  • Shariah-compliant financing 

Smiling young entrepreneur using a laptop at a café, researching SME business financing and loan options.

Funding Societies is a SME Digital Financing Platform registered with the Securities Commission Malaysia. It does not fall under the jurisdiction of Bank Negara Malaysia. Therefore, the financing products offered by Funding Societies should not be construed as business loans, SME loans, micro loans, term loans, or any other form of loans offered by banks in Malaysia. These offerings are to be regarded as investment notes, as defined under the Guidelines on Recognised Markets.

SME Financing Made Simple

Which SME financing product suits your business?
We'll help you find the best financing product for your business.

Note: Added query keyword and answer.

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Business Term Financing/-i

In need of fast approval financing? Get up to RM1.5 mil with Funding Societies.

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Micro Financing/-i

Urgent business expenses? Get financing quick, up to RM200,000!

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Invoice Financing/-i

Have you got outstanding invoices? We can help keep your cashflow moving.

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Micro Credit Line

Get a flexible credit line for your emergency short-term expenses.

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Dealer Financing

Are you a used car dealer? Need capital to purchase your second-hand car inventory?

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Motorcycle Financing

Motorcycle dealer looking to grow? Want to expand your business to add more models and boost your presence?

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Property-Backed Secured Financing

Immediate funds up to RM 2 million by converting your property’s value into cash.

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Got Questions?

We are always here for you.
+603 2202 1013
info@fundingsocieties.com.my

Regulated and Recognized by

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Trusted By

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Learn More About Business Financing for SMEs

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Why SME financing is important for your Business?

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Job Creation and Opportunities

SMEs are paramount contributors to job creation, and when there is access to funds, your SME would gain the spending power to hire more employees to support the company’s growth, thereby reducing unemployment rates.

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Innovate Your Business Strategy

Financing empowers SMEs to innovate and develop new products or services. These innovations can lead to breakthroughs that benefit the industry and the market as a whole.

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Venture Into Different Markets

With financing, you can explore new markets and expand your current customer base, potentially leading to an increase in sales and revenue.

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Make Your Business Resilient

Access to funds can help your SMEs weather economic downturns, unexpected expenses or market fluctuations, enhancing your business’s resilience in the market.

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Increase Your Global Competitiveness

Well-financed SMEs can better compete on a global scale, contributing to a country's export potential and enhancing its international competitiveness.

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Strengthen Your Business Supply Chain

SME financing can support SME suppliers, leading to more robust supply chains and more stable business operations.

SME Financing Product Frequently Asked Questions
Find out the required documents, eligibility & financing amount for each of our product

  • What is SME Financing?

    SME Financing refers to a selection of funding services that are specifically designed to meet the needs of Malaysian Small and Medium Enterprises (SMEs). SME financing includes a range of options to help these smaller businesses obtain the necessary capital to start up, operate, expand, or improve their operations. Listed above are a selection of business funding options to take your SME to the next stage

  • What is the Difference Between SME Financing and SME Loan?

    SME loans are typically offered by banks and regulated by Bank Negara Malaysia. SME financing, on the other hand, is often provided by alternative or digital platforms regulated by other bodies.

    It can be faster, more flexible, and doesn’t always require collateral. A practical option for businesses that may not qualify for traditional business loans.

  • What is Business Term Financing/-i?

    Business term financing is a type of loan provided to businesses for a set amount and repayment period, often used for expansion or capital investment.

    Financing type Unsecured business financing (conventional & Islamic)
    Financing amount Up to RM500,000
    Tenure Flexible, up to 18 months
    Rates 1.0%–1.5% per month (interest/profit rate)
    Fees (conventional) 4% origination fee (deducted upfront), RM500 late penalty per cycle, 0.1%/day late interest (non-compounded)
    Fees (Islamic) 4% drawdown fee (deducted upfront), 1.0% p.a. late fee before maturity, 10.0% p.a. after maturity
    Early settlement Allowed. 2% fee on remaining principal (conventional only)
    How to apply Submit application + required documents → Await approval → Accept offer → Receive funds
    Eligibility (Islamic) Businesses involved in non-Shariah compliant activities (e.g. alcohol, gambling, pork, etc.) are not eligible

  • What is Micro Financing/-i?

    Micro Financing/-i is a form of business financing designed to support micro, small, and medium-sized enterprises with smaller funding needs. It helps business owners manage cash flow, sustain daily operations, or fund short-term growth, typically without collateral. Offered in both conventional and Shariah-compliant formats, micro financing provides accessible capital with flexible tenures and competitive rates, tailored to suit various business activities.

    Financing type Unsecured micro business financing (conventional & Islamic)
    Financing amount Up to RM200,000
    Tenure 6, 9, 12, or 18 months
    Rates 0.8%–1.5% per month (interest/profit rate)
    Fees (conventional) Utilisation Fee: 5% (upfront)Guarantee Fee: 5% (upfront)Late Penalty: RM200/cycleLate Interest: 0.1%/day (non-compounded)
    Fees (Islamic) Drawdown Fee: 5% (upfront)Guarantee Fee: 5% (upfront)Late Payment: Ta’widh at 1% p.a. + possible Gharamah up to 10% p.a.
    Early settlement Allowed. 2% fee on remaining principal (conventional only)
    How to apply Apply online in 5 mins → Submit docs (NRIC, 6-month bank statement, optional tax forms) → Await approval → Accept offer → Receive funds
    Islamic eligibility Not eligible if involved in non-Shariah compliant activities (e.g. alcohol, gambling, pork, etc.)
    Approval within 15 mins Some applications need extra review time. You’ll be notified by email once reviewed.
    Data protection Your data is safe. We comply with PDPA 2010 to ensure privacy and security.
    Instant approval impact Getting approval in 15 mins does not affect your approved financing amount. You may appeal for a higher amount with more supporting docs.
    Disclaimer Funding Societies is a SME Digital Financing Platform regulated by the Securities Commission Malaysia. It is not governed by Bank Negara Malaysia. Our financing products should not be referred to as business loan, SME loan, micro loan, term loan, or any other loan terms commonly used for bank products.

     

  • What is Invoice Financing/-i?

    Invoice Financing/-i i s a type of business financing that allows companies to unlock early cash flow by financing their unpaid sales invoices (Accounts Receivable) or purchase orders (Accounts Payable). It helps businesses access working capital without waiting for payment from buyers or customers.

    This form of financing is suitable for companies that operate on credit terms and need upfront cash to maintain smooth operations. Both conventional and Shariah-compliant (Invoice Financing-i) options are available, depending on business needs.

    Financing type Invoice-based business financing (Accounts Payable & Accounts Receivable, conventional & Islamic)
    Financing amount Based on invoice or PO value (subject to approval)
    Tenure 30, 60, 90, or 120 days
    Financing structure

    AR Financing: Seller gets early payment for sales invoices

    AP Financing: Buyer gets financing for purchases from suppliers
    Notification types

    Notified: Buyer pays Funding Societies directly

    Non-notified: Buyer pays Seller, Seller repays Funding Societies
    Platform Managed through Funding Societies’ online system, Silk Road
    Fees – AP Financing/-i

    RM50 registration per supplier

    Up to 1% facility feeUp to

    2% drawdown fee
    Fees – AR Financing/-i

    RM50 registration per debtor

    Up to 1% facility fee

    Up to 2% drawdown fee
    Late payment fees

    RM250 per 7 days

    Up to 0.1%/day late interest (non-compounded)
    Early settlement No fees or charges for early settlement
    Shariah principle (Islamic) Commodity Murabahah via Tawarruq
    Islamic eligibility Businesses must be Shariah-compliant; screening applies
    How to apply

    Submit application + docs (SSM, NRIC, 6-month bank statements, accounts)

    We’ll contact you for any further details

  • What is Micro Credit Line?

    Micro Credit Line is a flexible financing facility that provides SMEs with access to short-term working capital as and when needed. Instead of receiving a lump sum upfront, businesses are given a credit limit they can draw from multiple times during the availability period.

    Financing type Micro credit line facility (revolving, unsecured)
    Financing amount Up to RM100,000
    Tenure Availability period of 12 months; flexible repayment structure
    Rates & fees

    Interest: Up to 1.5%/month

    Processing Fee: 1% per drawdown (monthly, deducted upfront)

    Annual Fee: 1% of facility amount (one-time)
    Repayment options

    Principal Repayment: Settle full principal + interest anytime (no early settlement fee)

    Rollover: Pay interest + processing fee only; principal carried forward
    Early settlement Allowed anytime with no penalty
    Platform Managed through Silk Road digital platform
    Withdrawal requests

    Max 2 requests/month

    Min RM5,000 per withdrawal
    Late payment fees

    RM250 per 7 days late

    Up to 0.1%/day late interest (non-compounded)
    How to apply Submit application + docs (NRIC, 6-month bank statements, optional tax info) → Check email for updates → Accept offer → Use Silk Road
    What is Silk Road? A digital system to manage your credit line: submit withdrawals, track financing status, and view repayment info

  • What is Dealer Financing?

    Dealer Financing is a revolving credit facility designed for used car dealerships to finance their vehicle purchases. It helps optimise cash flow by allowing dealers to access funds quickly and only pay interest for the actual days the financing is used.

    Financing type Working capital facility for used car dealerships
    Financing amount Up to RM500,000 facility limit (revolving)
    Tenure Up to 120 days per utilisation
    Interest rate From 9% p.a., calculated daily – pay only for days used
    Platform Managed through Silk Road digital financing system
    Fees

    Facility Fee: From 2% of approved facility (one-time)

    Utilisation Fee: RM350 per vehicle
    Early settlement Allowed anytime with no fees or penalties
    Late payment fees

    RM250 per 7 days late

    Up to 0.1%/day late interest (non-compounded)

     

  • What is Property-Backed Secured Financing?

    Property-Backed Secured Financing is a business financing solution where SMEs use completed, unencumbered properties as collateral to secure funds. This type of financing allows businesses to leverage their property assets to access larger amounts of capital, with more competitive rates compared to unsecured options.

    Financing type Secured business financing using property as collateral
    Financing amount Up to RM20 million
    Interest rate From 6% per annum
    Tenure Up to 12 months, renewable annually (subject to review)
    Early settlement Allowed anytime with no early settlement fee
    Eligible properties

    Completed and unencumbered properties in Peninsular Malaysia:

    - Standard commercial, residential, industrial

    - Residential/commercial land

    - Min 60 years lease remaining (for leasehold)
    Property use Financing is for working capital; not applicable for property purchases
    Fees Fees deducted from disbursement; legal & valuation fees can be included in total financing
    Late payment fees

    RM500 per repayment cycle

    Up to 0.1%/day late interest (non-compounded)
    How to apply

    Submit application + required docs (NRIC, SSM, bank statements, consent, property title).

    Additional docs may be needed for financing above RM500K

Added accordian above, each product will have the table to feature the product info (eligibility, financing amount, documents required, how to apply...etc)