
Once you have your business idea, securing the money to fund it can be tricky. With so many different business loan and funding schemes available in Malaysia, it’s hard to know where to start.
We’ve got you covered! With this guide on the best business loans in Malaysia, you’ll be able to compare SME loans and microfinance schemes to find out which will get you the best rate with the lowest monthly payments – all in just a few clicks.
Business Loans in Malaysia
Malaysia is one of the most thriving economies in Southeast Asia, and it has been ranked 12th on this year’s Doing Business Report by The World Bank.
The report highlights the ease of doing business, including incorporating your company, electric connections, and getting building permits. These factors help you expand into new markets with little effort on your end!
This year, the Malaysian government has also implemented multiple initiatives to help small and medium enterprises (SMEs) grow. From matching grant schemes to soft loans with low-interest rates, various financing options are available for businesses of all sizes.
One of the most popular financing options for businesses in Malaysia is the SME Bank Loan. This is a loan that is specifically designed to help small and medium enterprises grow. The government-linked bank offers up to RM5 million in financing with a competitive interest rate!
Another great option for businesses in Malaysia is the microfinance loan. Microfinance loans are small, unsecured loans typically given to entrepreneurs with low incomes. These loans can be used for a variety of purposes, such as working capital, business expansion, or even to purchase new equipment.
One of the best things about microfinance loans is that they have a very low-interest rate. In fact, the average microfinance loan in Malaysia has an interest rate of just 6.5%! This makes them a great option for businesses who are looking to save on their financing costs.
How To Start A Business In Malaysia?
Starting a business in Malaysia is relatively easy, thanks to the government’s initiatives to help small businesses grow. All you need to do is follow these steps:
1) Make a Business Plan:
The first step to starting any business is to create a business plan. This document will outline your business goals, strategies, and how you plan on achieving them.
2) Review Your Financial Projections:
Once you have your business plan, reviewing your financial projections is next.
This will allows you to determine how much money you need to start your business and how much you can realistically expect to earn in the first year.
3) Choose The Right Business Structure:
The next step is to choose the right business structure for your company. This decision will be based on a number of factors, such as the size of your business, your business goals, and the amount of liability you’re willing to take on.
4) Register Your Business:
Once you’ve chosen your business structure, the next step is to register your company with the Companies Commission of Malaysia (SSM). This can be done online or in-person at any of their offices.
5) Get A Business Loan:
The final step is to get a business loan. This will give you the capital you need to start your business and help you achieve your goals. There are a variety of financing options available, so be sure to compare rates and terms before choosing one.
Conclusion
Whether you’re looking for an SME Loan or a microfinance loan, there are a variety of financing options available for businesses in Malaysia. The best way to find the right loan for your business is to compare rates and terms from multiple lenders. Be sure to review your financial projections before applying so you can be sure you’re getting the best deal possible.