At Nexus Capital, we are equipped with a comprehensive connection, in-house crediting system and tailor-made solutions for every client. This approach has made us distinct from other financial services with a success rate of 90%. These are the broad range of services and tools that SME owners need to achieve their vision and optimise productivity.
BANK LOAN ADVISORY
Nexus Capital role would be the “eye” that oversees the process from A to Z of bank loans. Not only that, we also analyse and search for a suitable product or facility that fits your loan obligations and financial capability.
As stated by its name, the function would be fulfilling short-term funding requirements and potentially in providing alternative funding options without collateral needed. With this, clients that are not able to fulfill financial institutions requirements could try this approach.
It is a flexible facility that allows your company to achieve immediate cash by converting your credit sales into cash through selling your invoices to a licensed investment holding company.
Commonly associated with P2P, we collaborated with several funding platforms to quicken your application process directly and strategies your funding amount. Additionally, it is mostly used for micro-financing and it requires no collaterals too.
01. What is the maximum amount of funding I can secure?
The maximum financing amount depends on your company’s profile, which includes its revenue, cash flow, industry etc. As your company expands, you might want to secure bigger projects which require more cash flow support. However, some companies were rejected by existing financing institution as it hits the maximum limit. It is advisable to spread the risk and establish credit relationships with more financing institutions should there be potential opportunities of growth that requires additional funding. Tapping into our extensive network of banks and financial institutions, we would be able connect your company to suitable banks and commercial loan products.
02. How long does the application process take?
The typical turnaround period for loan applications for SMEs is 1 to 2 months. This is due to the unfamiliarity regarding the documents required and the application process. Thus, you may have to spend more time to have back-and-forth communication with the banker to get the financing application right.
If you’re in a situation where you required funds urgently, we can shorten the turnaround time with our familiarity on the documentations and information banks require.
03. Why did the bank reject my application?
Imagine this: You have a new large-scale project that require funds urgently. However, your SME loan application did not go through. You will either have to postpone this project or miss the opportunity. In the meantime, once your application is rejected, you might not be able to resubmit the application within the next 6 months. The most typical reasons why commercial loan applications are rejected are:
1. Approached banks which does not favour such industry
2. Business owner’s personal credit profile
3. Limits to financing with existing banks
4. High gearing, business turnover is declining over the years
04. How to know if I am getting the lowest business loan interest rate?
There are a lot of banks and financial institutions in the market providing SME loans, but you are not certain that they are the most competitive. You might not know which bank offers the lowest SME loan interest rate because the products are ever-changing. Your network might not be extensive enough so that you can have access to the various products that are available from all banks. Hence, losing out on the chance to save interest. Therefore, we are here to help you to compare and provide you the most fitting financing deal that is suitable to your business.
05. Which financing products are suitable for my company?
There are various loan products available to meet the different requirements of SMEs. The common ones are, Business Term Loan, Trade Financing, Factoring, Equipment Financing, Peer-to-Peer financing and etc. Now, you can cut through the complexity and technical jargons to get the most fitting financing solutions for your business. Through our expertise and experience in securing SME loan, we simplify the process to ensure you can reap the benefits of each facilities while empowering your business.
06. Which banks should I approach for a small business loan?
There is no definite answer to this as different banks have varying credit criteria and risk appetite. There are so many banks providing SME loan in Malaysia. However, some banks avoid certain industries whereas other banks might welcome these same industries. Most business owners are not aware which banks are more suitable for their business profile and could waste precious time approaching banks that are not the right fit. Aside from the mainstream services granted by the banks, there are also alternative financing solutions for SME business owners.
With our familiarity with the credit criteria of these financing institutions, we definitely can help you to identify the most suitable finance solution for your business profile to enhance the chances of getting loan approvals at the best terms.
07. How will a low credit rating affect my application?
All banks will refer to report from Credit Bureau Malaysia (CBM) or RAM Credit Information Sdn Bhd (RAMCI) to get customers CCRIS report which is similar to CTOS. In both the CBM and RAMCI, there is a Credit Default Scoring Assessment which calculates probability of defaulting. However, the score shown does not determine whether the application will get approved because this is just one of its criteria for loan assessment.