What is Working Capital Loan?
A Working Capital loan is a loan that is taken to finance a company’s everyday operations. These loans are not used to buy long-term assets or investments and are, instead, used to provide the working capital that covers a company’s short-term operational needs.
The maximum amount of money can be loaned
• UOB Bank offering SMEs with bundled loan of up to S$800,000 or unsecured working capital loan of up to S$500,000, jointly offered by Enterprise Singapore
• DBS Bank allow you to borrow up to SGD $500,000
• OCBC Bank allow you to borrow up to SGD$500,000
Interest for loan
• OCBC Bank Loan Interest rate: 9.25%-11.25%
• DBS Bank Interest rate: 7.5% -8.5%
• UOB Bank Interest Rate: 7.75%
• Working Capital Loan Interest: 4.6%
• Effective Interest: 8.88%
Repayment Years
• DBS Bank – Take up to 5 years to repay and you can enjoy a flexible repayment period of 1 to 5 years.
• UOB Bank – With up to 5 years for repayment.
• OCBC Bank – With up to 5 years for repayment.
Local Oversea Bank
- Citi Bank
- HSBC
- May Bank
- Standard Chartered Bank
- RHB Bank
- CIMB Bank
Local Bank
- DBS
- OCBC
- UOB
Repayment YearsEligibility requirementsfor OCBC
• The company must be incorporated in Singapore for at least 2 years
• At least 30% owned by Singaporean or Singapore PR
• Group annual sales of up to S$100m or group employment size of not more than 200. Annual sales turnover and employment size will be computed on a
group basis
Eligibility requirements for UOB
• Sole Proprietor, Partnership, or Private Limited Company
• Registered and operating in Singapore for a minimum of 1 year
• At least 30% local shareholding
• Company’s group annual sales of not more than S$100 million OR company’s group employment size of not more than 200^*
Eligibility requirementsfor DBS
•Be registered and operating in Singapore with at least 30% local shareholdings (Singaporeans or Permanent Residents)
•Have an annual group sales below S$100 million or have a group employment size of fewer than 200
