Business Loans for Singapore SMEs
Working capital, equipment financing, or expansion — find the right business loan for your company.
What is a Business Loan?
A business loan provides a company with a lump sum or credit facility to fund operational or growth needs. In Singapore, SME loans are offered by banks, finance companies, and government-backed schemes under Enterprise Singapore. Loan structures range from simple term loans to invoice financing, trade financing, and equipment leasing.
Working capital & cash flow
Business expansion & growth
Equipment & asset purchase
Government-assisted schemes
Multiple loan types
Working capital loans, trade financing, equipment loans, and invoice financing — all in one place.
Fast decisioning
Some lenders can approve SME loans in as little as 24 hours with the right documentation.
No collateral required
Many unsecured business loans are available for eligible SMEs without pledging assets.
Government-assisted schemes
Access loans under Enterprise Singapore's Enterprise Financing Scheme (EFS).
Up to S$500,000
Unsecured SME loan quantum typically ranges from S$50,000 to S$500,000 depending on the lender.
Flexible tenures
Loan tenures typically range from 1 to 5 years depending on the loan type and lender.
Eligibility Requirements
Most lenders assess business loans based on company financials, operating history, and director profile.
- Business registered in Singapore (Pte Ltd, Sole Proprietorship, or Partnership)
- Minimum 2 years in operation (some lenders accept 1 year)
- Minimum annual revenue of S$300,000 (varies by lender)
- Majority Singapore-ownership typically required for government-assisted schemes
- Directors / guarantors must be at least 21 years old
- No current winding-up proceedings or bankruptcy orders
Some lenders specialise in younger businesses and startups — requirements vary. Lendela helps match you with lenders whose criteria fit your profile.
Types of SME Business Loans
- Working Capital Loan — short-term funding (1–5 years) for day-to-day operations, payroll, and inventory
- Term Loan — fixed amount over a fixed period, typically used for expansion or major purchases
- Trade Financing — covers import/export transactions; includes letters of credit and banker's guarantees
- Equipment Financing — secured against the equipment being purchased, usually at lower rates
- Invoice Financing — advance on unpaid invoices to improve cash flow without waiting for debtors
Enterprise Singapore Financing Schemes
Key sub-schemes include:
- EFS-SME Working Capital Loan — up to S$500,000 for operational needs
- EFS-Trade Loan — up to S$10 million for trade financing needs
- EFS-Equipment & Factory Loan — up to S$30 million for fixed asset purchases
To qualify, your company must be registered in Singapore, have at least 30% local shareholding, and meet the SME definition (≤S$100M annual sales or ≤200 employees).
Documents Typically Required
- ACRA Business Profile (Bizfile)
- Latest 2 years of financial statements (audited or unaudited)
- Latest 6–12 months of business bank statements
- NRIC / Passport copies of all directors and substantial shareholders
- Director personal income tax Notice of Assessment (latest 2 years)
For government-assisted schemes, additional forms may be required. Lendela can guide you through document preparation.
Is a Personal Guarantee Required?
If you have collateral (property, fixed deposits), you may be able to negotiate a secured loan without a personal guarantee — typically at a lower interest rate.
Always read the guarantee terms carefully and consult a lawyer if you are unsure of the implications.