MTIB is offering interest-free loan to Bumiputera Entrepreneurs under the Raw Material Support Programme for the procurement of raw materials in the processing of a finished product for a confirmed work contract.
2. Program Requirements
i. The minimum loan is RM20,000 for each application;
ii. The maximum loan is RM500,000 for each application;
iii. Each application submitted will be given 100% funding for the raw material costs;
iv.A service charge of is 1.5% of the value of the loan is imposed and must be paid within 7 days after the loan agreement has been signed (the service charge is not deductible from the value of the loan approved);
v. Approval is subject to the availability of the remaining loan upon submission of the application;
vi. Loan disbursements will be paid to the suppliers of the raw materials after MTIB has validated the raw materials in the suppliers’ premises/applicants’ factory;
vii. MTIB encouraged the supply of raw materials from a panel of suppliers as in APPENDIX 1. This is to assure the quality and availability of raw materials. Likewise, this will also enhance the networking as well as continuously improve the business relations between the Bumiputera entrepreneurs and suppliers of the raw materials; and
viii. MTIB has the right to amend any of the provisions in these guidelines as and where necessary from time to time.
3. Eligibility Of Applicant
i. Fully-owned Bumiputera company (100% equity);
ii. Operating the activity of manufacturing/producing of wood-based products;
iii. Has been awarded the contract work/supply and is still in force;
iv. A company which is not being wind up and a member of its Board of Directors is not a bankrupt; and
v. Has undergone an audit SCORE (SME Competitiveness Rating for Enhancement) and M-CORE (for category Micro) by MTIB or SME Corp Malaysia.
vi. Good payment record with MTIB (no outstanding debts over of 3 months) and company Board of Directors not a debtor to MTIB
vii. The Steering Committee shall consider application for appeal case by applicants with outstanding debt over 3 months after reasonable explanation being given, and is subject to the discretion of the Steering Committee
4. Conditions Of Application
Please click APPENDIX 2 for the conditions and supporting documents which should be attached to the application.
5. How To Apply
Application form can be downloaded HERE or obtained from MTIB headquarters or regional offices.