What is the Minterest SME Loan?

Minterest provides funds for SMEs in Singapore as an alternative for businesses. It generally functions on a crowdfunding concept where eligible businesses can obtain funds to help kickstart or sustain their current operations.

Who is Minterest?

Minterest is part of the larger Minterest Group which is a digital financial services solutions provider. It offers services for its clients both locally and globally as well as services to their investors. Generally, the Minterest Group offers investment opportunities that are of quality and well-structured for the investors. On the other hand, it also provides financial solutions for their consumer and corporate clients. With Minterest, the group is able to deliver a digital investment platform for individuals and corporate clients.

What are the features of this product?

The most attractive feature of the Minterest platform is its flexible eligibility requirements. Every startup or business’ case will be evaluated individually since each one has its own specific needs. If you are a new business with a short history, this might be the right avenue for you to apply for funds. Among its other features include:

• Interest rate between 8 to 18% for small business loans or invoice financing.
• The processing fee is between 2 and 6%.
• Amount of financing ranges from SGD$10,000 to SGD$3,000,000 depending on the nature of your business.

However, take note that the business loans offered through Minterest do not usually go longer than 12 months. This might be a stumbling block for many startups as they would need a year or 2 at least to start building up their businesses. It must also be noted that the 6% processing fee is higher than other loan providers.

Who is eligible to apply to Minterest?

This loan is ideal for small business loan owners mainly because of its flexible requirements. If you are an SME or startup which has been finding it difficult to secure loans from banks due to the lack of historical records, this might be the right option for you. Each application is assessed individually and on a case-by-case basis.

Besides that, it is not very strict when it comes to ownership. Some moneylenders would require at least 30% Singaporean ownership in the business. Minterest does not have that requirement. That said, it is imperative that foreign-owned companies must be ACRA-registered companies or a limited liability partnership firm and they would also need a personal guarantor to process the loan.

 

How do I apply for the loan from Minterest?

The application can be made online where you submit all the relevant information required. Once you have submitted your application, Minterest will set up a meeting to further discuss the terms and evaluation of your application. If you are application is successful, the funds would usually be disbursed within the next 10 days.