Eligibility Criteria

Must fall within the definition of SMEs.
All Malaysian owned and controlled companies with net assets or shareholders’ funds not exceeding RM1.5 million.
The existing total credit facilities of the borrower should not exceed RM7.5 million. The borrower should not have any adverse record in respect of borrowing from any other financial institution or other agencies.
Maximum Loan Limit: RM7.5 million
Credit Facilities Covered

Term Loans
Trade Financing
Any other credit facilities determined from time to time by the Corporation.
Interest Rate
The prescribed rate of interest charged by the Financial Institutions will not exceed BLR +1.5%, while the actual cost to the borrower will be reduced through payment of subsidised interest whereby Ministry of Domestic Trade, Co-operatives and Consumerism (MDTCC) via CGC will pay the difference for the loan interest in the prescribe manner.

Guarantee Coverage
Unsecured portion: 80% and
Secured portion: 90%

Refund policy
100% refund of guarantee fees may be accommodated if the notification of cancellation is received from the Bank within three (3) months of the anniversary date/date of Letter of Guarantee (LG).

Participating Institutions
Maybank and CIMB Bank

Application Procedures

The franchisor must be registered with the Ministry of Domestic Trade, Co-operatives and Consumerism (MDTCC) before the Franchisees can apply through this scheme.
MDTCC will ensure the validity of the franschisor and legal relationship between franchisor and franchisee.
MDTCC will compile the complete loan application together with working paper and forward it to financial institution to proceed.
Upon receipt of the guarantee application from financial institution, CGC will process and issue the guarantee letter accordingly

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