Overview

Finance the investment of domestic and overseas fixed assets, including:

Purchase of equipment and machines for automation and upgrading
Construction or purchase of government and commercial built factories and business premises

Maximum Loan Quantum	S$30 million / borrower group¹ Note: Overall loan exposure limit of S$50 million per borrower group across all areas.
Maximum Repayment Period	15 years
Risk-Share	Risk share is at 50%. Young companies² or companies operating in a challenged market³ may receive a risk share of 70%. The borrower is responsible to repay 100% of the loan amount. When defaults occur, the Participating Financial Institutions (PFIs) are obligated to follow their standard commercial recovery procedure, including the realisation of security, before they can make a claim against Enterprise Singapore for the unrecovered amount in proportion to the risk-share.
Interest Rate	Subject to PFIs’ assessment of risks involved.

¹ Borrower Group consists of the following:

a.	Borrower; and
b.	Corporate shareholders that hold more than 50% of the total shareholding of the applicant company, and any subsequent corporate parents (all levels up), and subsidiaries all levels down. (Annual sales turnover and employment size is computed on a group basis.)

²Young companies refer to firms formed within the past 5 years with at least 1 employee, and more than 50% equity owned by individuals.
³Challenged markets refer to countries with S&P rating BB+ and below, including non-rated countries.

Be a business entity⁴ that is registered and physically present in Singapore, and
At least 30% local equity held directly or indirectly by Singaporean(s) and/or Singapore PR(s), determined by the ultimate individual ownership, and
Have Group Annual Sales Turnover of not more than S$500 million
For “SME Fixed Assets”, the SME definition refers to Group revenue of up to S$100 million or maximum employment of 200 employees

⁴ACRA registered Sole Proprietorship, Partnership, Limited Liability Partnerships and Companies are eligible to apply for the scheme. Approval of the loan is subject to the PFI’s assessment.

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