SHORT TERM LOAN FINANCING - Raw Material
MTIB is offering interest-free loan to SMEs under the Raw Material Support Programme for the procurement of raw materials to assist them in the processing of finished products for a confirmed work contract. Application form can be obtained from MTIB’s website/ from MTIB headquarters/ MTIB regional offices.
Eligibility of Applicant:
i. Loan Limit:
ii. 100% funding will be given for timber raw material costs;
iii. A service charge of 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;
iv. Approval is subject to the availability of the remaining loan upon submission of the application;
v. 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;
vi. Fully-owned Bumiputera company/ enterprise (100% equity);
vii. Wood-based products manufacturing;
viii. Has been awarded the contract work/supply and is still in force;
ix. A company which is not being wind up and a member of its Board of Directors is not bankrupt;
x. Payback period loan is 3-6 months; and
xi. Has undergone an audit SCORE/ M-CORE (SME Competitiveness Rating for Enhancement).
Conditions of Application
Please click to APPENDIX 1 for conditions and supporting documents and to be attached to the application.
How to Apply
Application form can be downloaded HERE or obtained from MTIB Headquarters or regional offices.