Business Banking
MEGS is collaboration between MARA and Bank Rakyat to offer financing facilities to viable business, whereby MARA will provide a guarantee up to 80% of the total financing given by Bank Rakyat to SMEs Company. Viable business means a business with the ability to generate cash flow from its operations to pay off its financial obligations.
Objective of MEGS
Objective of MEGS is to assist Bumiputera Small and Medium Enterprise (SME's) who has viable business but lack of collateral to obtain financing.
Eligibility
- Open to 100% Bumiputera Sole Proprietor, Partnership and Private Limited Companies that has been in operation for at least two years with profit generated in the current year
- Minimum annual sales of RM500,000
- The applicant must be classified as Small Medium Enterprise (SME's) as defined by Bank Negara Malaysia as follows:
Category Manufacturing
Category Services & Other Sectors (Primary Agriculture, Construction and Mining & Quarrying)
| Category | Sector | ||
|---|---|---|---|
| Micro | Small | Medium | |
| Manufacturing |
Sales turnover of less than RM300,000 OR Full time employees less than 5 |
Sales turnover of RM300,000 to RM15 million OR Full time employees from 5 to 75 |
Sales turnover from RM3 million to RM20 million OR Full time employees from 30 to 75 |
| Services & Other Sectors (Primary Agriculture, Construction and Mining & Quarrying) |
Sales turnover of RM300,000 to RM3 million OR Full time employees from 5 to 30 |
Sales turnover from RM3 million to RM20 million OR Full time employees from 30 to 75 |
|
- Applicant is operating Shariah compliance business
Financing Concept
Tawarruq
Eligible Financing Amount
| Type of Business Entity | Maximum Financing Amountctor |
|---|---|
| Sole Proprietor | RM 200,000 to RM 500,00 |
| Partnership | RM200,000 to RM 500,000 |
| Private company limited by shares | RM200,000 to RM2,000,000 |
Purpose and Maximum Tenure
| Purpose of the Financing Facilities | Maximum Tenure of the Financing Facilities |
|---|---|
| Working Capital | Up to five years |
| Contract Financing | Up to seven years based on contract's terms and conditions |
| Bank Guarantee | Up to seven years based on contract's terms and conditions |
| Machineries and Equipment Financing | Up to ten years |
*Tenure of guarantee is subject to MARA approval.
Guarantee Fees
The Guarantee Fees shall be calculated at the rate of 1% per anum of the guaranteed amount
Basic Required Documents
- Application letter specifying type, purpose and amount of financing required
- A copy of Company's Profile (including company background) complete profiles of Board of Directors and Management Team)
- Company Registration Forms* (i.e: M&A, Form 9, 24, 32A, 44 & 49 whichever applicable)
- Audited Financial Reports for the past two years (not more than 18 months old)*
- Latest Management Accounts (not more than three months)*
- Current Account Statements for the past six months*
- Supporting information for guarantors
- Debtors and creditors Ageing list (not more than three months old) including full name, address, contact person and contact number, credit terms and any reason for its loan outstanding
- Projected Cash Flow according to tenure of financing
*Documents submitted to be certified as true copy by Company's Secretary
*The list is not exhaustive. The Bank may require applicants to submit additional documents on case-to-case basis.
How To Apply
Application can be forwarded to any Bank Rakyat's branches throughout Malaysia or applicants may directly contact us at:
Small Medium Enterprises
26th Floor, Tower 1,
Bank Rakyat Twin Tower,
Jalan Travers,
50470 Kuala Lumpur
Tel: 03-26129600
Ext: 8794/8945/8858/8311/8890
Fax: 03-2272 2306 / 03-2272 2307
Email: sme@bankrakyat.com.my
For any enquiries, please visit the nearest bank or call the tele-Rakyat Contact Centre at 1-300-80-5454.
*Terms and conditions applied