Overview

SME Fixed Assets
 
Finance the investment of domestic and overseas fixed assets, including:
  • Purchase of equipment and machines for automation and upgrading, include new or resale assets
  • Construction or purchase of government and commercial built factories and business premises, include new or resale assets
Maximum Loan Quantum
 S$30 million / borrower

Note: Borrowers are subject to an overall borrower group limit of S$30 million for EFS-FA. In addition, there is an overall loan exposure limit of S$50 million per borrower group1 across all facilities.
Maximum Repayment Period
 15 years
ESG Risk-Share
 Risk share is at 50%. Young enterprises2 or enterprises 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 holding more than 50% at all levels up; and.
c. Subsidiaries where the Applicant company holds more than 50% shareholdings and subsequent subsidiaries at all levels down
d. Subsidiaries where the Applicant’s Ultimate Parent Company holds more than 50% shareholdings and their subsidiaries at all level down
2 Young enterprises refer to firms formed within the past 5 years with at least 1 employee, and more than 50% equity owned by individuals.
3 Challenged markets refer to countries with S&P rating BB+ and below, including non-rated countries.

Eligibility
 

SME should meet the following criteria:

  1. Is a business entity4, registered and physically present in Singapore
  2. Has at least 30% local equity held directly or indirectly by Singaporean(s) and/or Singapore PR(s), determined by the ultimate individual ownership
  3. Has Group Annual Sales Turnover of not more than S$500 million
  4. For “SME Fixed Assets”, the SME definition refers to Group revenue of up to S$100 million or maximum employment size of 200 employees
4 ACRA 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.
FAQ
 

Click here for frequently asked questions on EFS.