Companies can loan up to 50% of the Purchase Order Value or Up to S$1,000,000, whichever is lower.
Should businesses require additional funds aside from Purchase Order Financing, they can apply for the SME Working Capital Loan or the Temporary Bridging Loan, allowing companies to borrow also up to S$1,000,000 and S$5,000,000. This is also useful for businesses seeking additional cash flow or for business expansion.
Collateral might or might not be needed for Purchase Order Financing, and in certain situations, a confirmation that the Purchase Order has been issued might be required.
The financing amount is calculated based on an LTV (Loan-to-Value) on the Purchase Order, which can go up to 50%
The following table illustrates how much funds you can take by Purchase Order Financing.