www.midf.com.my

Corporate Background

02

Table of Content

01

Products

Corporate Background

4

MIDF AT GLANCE

Started business in 1960:

59 years of proven track

record

Integrated

Financial Services

provider

452Workforce

5 regional offices

15Merger &

Acquisition

deals done

9Unit Trust

Funds

Over RM2.6bfunds received

5

CUSTOMER CENTRIC

Development Finance

Asset Management

Investment Banking

Cradle to maturity – supporting you at each stage

SeedStart-Up

Mature

ExpansionEstablished

Growth

We Assist Our Clients To

Lower Their Cost Of Doing

Business

A Premium, Niche & Profitable

Boutique Investment Bank

Comprehensive Fund Management

Service Provider

MIDF-Development Finance Roles - Integral Part of MITI since inception

MIDF collaborates with MITI, MOF and other Government agencies to assist in restructuring the

economic contributions of SMEs for specific sectors / industries targeted by the Government

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FUNCTIONS

Development Finance

MINISTRY OF

INTERNATIONAL TRADE &

INDUSTRY

MINISTRY OF FINANCE

11,045 companies assistedRM14.97 billion worth

4,363 companies assistedRM6.0 billion worth

Overall

SoftLoans

Products

• Soft Loan Scheme for Automation & Modernization (SLSAM)

• Soft Loan Scheme for Small & Medium Enterprise (SLSME)

• Soft Loan Scheme for Services Sector (SLSSS)

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Conventional Islamic

Mortgage Loan Term Financing – I (Property/Factory)

Machinery Loan Term Financing –I (Machinery)

Industrial Hire Purchase (IHP) Al-Ijarah Thumma Al-Bai (AITAB)

Leasing Al-Ijarah (Leasing-i)

Sales Revolving Credit (SRC) Sales Revolving Credit – I

Purchase Revolving Credit (PRC) Purchase Revolving Credit - I

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FACILITIES AVAILABLE

Fund provider:

Soft Loan Scheme for Automation and Modernisation(SLSAM)

Amount Rate

• Maximum RM 20.0 million per each application 4% for SMEs

5% for non-SMEs

✓ To assist manufacturing companies to automate and modernise processes✓ To minimise dependence on labor and upgrade production capability and

capacity

Fund provider:

Eligible sector: Manufacturing

MINISTRY OF INTERNATIONAL TRADE & INDUSTRY

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Fund provider:Fund provider:

MINISTRY OF INTERNATIONAL TRADE & INDUSTRY

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To modernize or automate

manufacturing process

To upgrade production capability and capacity

To minimize dependence on labor

intensive activities and foreign labor

To diversify into higher value-added activities

SLSAM - Objectives

Fund provider:Fund provider:

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Term financing for

Industrial land &

building/factory/commerci

al property/ shop-lot

Term financing for

Machinery/ Equipment /

Commercial Vehicles

including:

i. Legal fees for financing legal

documentation prepared for financing

facilities provided by MIDF excluding

stamping fees, disbursement fees,

adjudication fees and others costs.

(Applicable to SMEs only)

i. consultancy fees for projects

undertaken by companies for the

purpose of business operations related

to automation (reimbursable upon

automation & modernization being

undertaken within the specified time-

from the report of the agreement date)

– Applicable to SMEs only

Purchase Revolving

Credit & Sales

Revolving Credit

Factoring Facility

Term Financing (for

purchase of Stock &

Consumables)

Term financing for IT

equipment/ Hardware/

software

MINISTRY OF INTERNATIONAL TRADE & INDUSTRY

Good News!

SLSAM – Types of financing

Fund provider:Fund provider:

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MINISTRY OF INTERNATIONAL TRADE & INDUSTRY

Type of financing Margin of financing Financing tenure

Industrial Land & Building/

Factory/ Commercial Property/

Shop-lot

Up to 90% Up to 25 years including grace

period up to 2 years.

Machinery/ Equipment/Commercial Vehicles

Up to 90% Up to 10 years (including 3 years

grace period)

IT Equipment / Hardware / Software

Up to 90%

Up to 4 years including grace

period up to 1 year.

Purchase Revolving Credit & Sales Revolving Credit

Up to 100% Up to 150 days for each drawdown

including an option to rollover for a

period not exceeding 60 days for

eligible borrowers.

Factoring Facility Up to 80% Up to 180 days for each drawdown.

(Eligible for vendors/suppliers of

goods and services to the

government and government

linked companies)

Term Financing (for purchase of

Stock & Consumables) Up to 90% Up to 3 years including grace period

up to 6 months

SLSAM – Types of financing

Fund provider:Fund provider:

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Fund provider:

At least 51% equity held by

Malaysian

In operation for at least 2

years

Up to RM 20 million per application

SME and non-SME

SLSAM – Eligibility criteria

Soft Loan Scheme for Small and Medium Enterprises (SLSME)

Amount Rate

• Project: Maximum RM5.0 million• Fixed Assets: Maximum RM5.0 million• Working Capital: Maximum RM3.0 million• IT Hardware / Software: Maximum RM 0.5 million

4%

✓ To promote the development of SMEs✓ To assist existing & newly established enterprises in project, fixed assets and

working capital financing.

Fund provider:

Eligible sector: Manufacturing, manufacturing related services and services (excluding insurance and financial services)

SLSME

Fund provider:

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Soft Loan Scheme for Services Sectors (SLSSS)

Amount Rate

• Maximum RM 5.0 million 4% for SMEs

5% for non-SMEs

✓ To assist companies and enterprises in services sectors expanding their services into higher value-added activities

✓ To improve productivity and efficiency in service delivery✓ To provide financing assistance to new start-up companies / enterprises for

the creation of new services entrepreneurs

Eligible sector: Services (excluding insurance, financial services, utilities and construction)

MINISTRY OF FINANCE

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Machinery/Equipment/Motor Vehicle

ICT Hardware/ Software

Advertising & Promotional Cost

Purchase & Sales

Term Financing-i for ICTHardware/software – up to RM1.0millimit;

Term Financing-i for Machinery/Equipment/ Motor Vehicle – up toRM5.0mil;

Revolving credit-I Purchase & Sales –Minimum RM100,000 and up tomaximum of RM3.0 million (sharinglimit basis with TF-I Advertising &Promotion Cost).

Working Capital Term Financing-i forAdvertising & Promotion cost –Minimum RM100,000 and up tomaximum RM500K (sharing limit basiswith Purchase & Sales Revolving Credit);

Guarantee Schemes for 2019 onwards

Working

Capital

Guarantee

Scheme

RM100K -

RM10

Mil.*

RM50K -

RM500K*

RM100K -

RM3 Mil.*

RM100K -

RM10

Mil.*Working

Capital

Guarantee

Scheme –

START UP

Working

Capital

Guarantee

Scheme –

BUMIPUTER

A

Automation

Process

Guarantee

Scheme

Rebate on Interest / Profit Rates for export oriented SMEs2%

RM17.5 Bil. RM3.0 Bil.

Total Revolving Guarantee of RM20.5bn (until 2035)

RM200 Mil. RM1 Bil.Non-revolving sub-limits:

Note: * A maximum of RM10.0 Mil per borrower, where multiple schemes are utilised

Start-ups: 6 months – 2 years in operations

Scheme Features and Eligibility

Salient Features Eligibility

Purpose of financing

❖ Working Capital

❖ Capital Expenditure

Guarantee Fees

1% p.a.

(payable

upfront)

Guarantee Coverage

70% of total financing facilities from

participating financial institutions

Type of facilities

Term Loan/Term Financing, Overdraft/ Cash

Line-i, Trade Facilities & Commercial Card

0.75% p.a.

WCGS, APGS

WCGS-SU, WCGS-B

SME Companies

❖ Manufacturing: <RM 50M

revenue OR 200 employees

❖ Non-Manufacturing: <RM 20M

revenue OR 75 employees

Incorporation

❖ SSM: Companies Act 1965/ 2016,

Registration of Business Act 1956,

Limited Liability Partnership Act 2012

❖ Sabah or Sarawak local authorities or

district offices

❖ Statutory bodies that provide

professional services

Ownership

❖ >51% Malaysian Owned

❖ Bumi status companies (WCGS-B only)Others

2% rebate incentive (companies with

>50% export turnover)

Others

Description

Incentive 2% Interest/Profit rate rebate for all financing with government guarantee schemes by

SJPP

Overall Financing Rebate is limited to a total accumulated funding of RM1.0 billion for a period of 5

years

Eligibility Criteria

(Additional)

SMEs which are export oriented (at least 50% of turnover are for exports)

Eligibility period ▪ Up to 5 years from the date of the first disbursement or until the facility is fully

repaid / terminated / recalled or terminated due to non-utilization of the facilities,

whichever is earlier

▪ SMEs may obtain financing for a period exceeding 5 years, however there will be

no payment of the 2% rebate beyond the expiry of the 5 years financing.

▪ Financing that turns into non-performing loans will not be eligible for the 2%

rebate. However, the 2% rebate will be reinstated in the current month where the

financing is regularised

Availability period A period of 5 years commencing 1 June 2017 or upon full utilization of the rebate

funding, whichever is earlier.

2% Interest/ Profit Rate Rebate

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5 years audited accounts / P&L and Balance Sheet for sole proprietorship / partnership / enterprise1

Latest management account together with trade debtors and creditors aging list2

Valid business / premises licenses3

Latest 6 months bank statements4

Certified True Copy – M&A, Form 24, 44, 32A and 49 and SSM – Form D & E for sole proprietorship & partnership5

Company Profile6

Quotations – machinery & equipment7

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WHY MIDF

Established in 1960, MIDF is the 1st development financial institution in Malaysia.

59 years involvement & experience in industrial development and SMEs.

Proven successful management of government funds since its introduction in

2001 with high utilization rate and low impairment ratio.

Relatively low cost of doing business allows cheaper rate of financing.

Already established in the industry for providing financing assistance to SMEs.

This offers faster and readily reach to the industries.

v

Eastern RegionKota Bharu, Kelantan

Northern RegionPenang

Central RegionKuala Lumpur

Sarawak RegionKuching, Sarawak

Sabah RegionKota Kinabalu, Sabah

Southern RegionJohor Bahru, Johor

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REGIONAL OFFICES

Regional Offices Addresses

Eastern RegionKota Bharu, Kelantan

Northern RegionPenang

HEAD OFFICE

Central RegionKuala Lumpur

Southern RegionJohor Bahru, Johor

Sarawak RegionKuching, Sarawak

Sabah RegionKota Kinabalu, Sabah

Ground Floor,

No.4, Jalan Todak 1,

Pusat Bandar Sunway

13700 Seberang Jaya, Pulau Pinang

04-383 8296

04-383 0686

penang@midf.com.my

15th Floor, Menara MIDF

No. 82, Jalan Raja Chulan

50200 Kuala Lumpur

03-2173 8888

03-2173 8877

customer@midf.com.my

Lot 15-6, Tingkat 15

Menara TH, Jalan Ayer Molek

80000 Johor Bahru, Johor

07-223 2727

07-223 5578

johor@midf.com.my

Aras 3, Wisma PERKESO

Lot 304-307, Jalan Kota Darul Naim

15538 Kota Bharu, Kelantan

09-748 3546 / 746 1679

09-747 0389

kotabharu@midf.com.my

Lot D64, Tingkat 6

Blok D, Bangunan KWSP

Jalan Karamunsing

88100 Kota Kinabalu, Sabah

088-211 633 / 211 523

088-211 940

sabah@midf.com.my

Ground Floor,

Lot 445, Section 11,

KTLD Jalan Kulas,

93400 Kuching, Sarawak

082-254 533 / 254 203

082-246 343

sarawak@midf.com.my

REGIONAL OFFICES

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FOR INQUIRIES ABOUT MIDF PRODUCTS

AND SERVICES, PLEASE CONTACT OUR

BRANCH AT 07-223 2727

H/P NO: 012-3819945

EMAIL : fariza.hanim@midf.com.my

THANK YOU