MARA Entrepreneur Guarantee Scheme (MEGS)

Small Medium Enterprise

MARA Entrepreneur Guarantee Scheme (MEGS)

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.


  • 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)

ManufacturingSales turnover of less than RM300,000


Full time employees less than 5
Sales turnover of RM300,000 to RM15 million


Full time employees from 5 to 75
Sales turnover from RM3 million to RM20 million


Full time employees from 30 to 75
Services & Other Sectors (Primary Agriculture, Construction and Mining & Quarrying)Sales turnover of RM300,000 to RM3 million


Full time employees from 5 to 30
Sales turnover from RM3 million to RM20 million


Full time employees from 30 to 75
  • Applicant is operating Shariah compliance business

Financing Concept



To finance the initial cost and expansion of business including purchase of machineries and equipment, raw material and renovation of business premises.

Eligible Financing Amount

Type of Business EntityMaximum Financing Amountctor
Sole ProprietorRM 200,000 to RM 500,00
PartnershipRM200,000 to RM 500,000
Private company limited by sharesRM200,000 to RM2,000,000

Purpose and Maximum Tenure

Purpose of the Financing FacilitiesMaximum Tenure of the Financing Facilities
Working CapitalUp to five years
Contract FinancingUp to seven years based on contract's terms and conditions
Bank GuaranteeUp to seven years based on contract's terms and conditions
Machineries and Equipment FinancingUp 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


For further information, you may visit our nearest branches or call our tele-Rakyat Contact Centre at 1-300-80-5454

* Subject to terms and conditions

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