The amount of property loan or business loan funding differs among various banks and also depends on your credit profile and cash flow position etc.).

Most banks’ will grant you the maximum amount if you have a good credit score. However, it is exceedingly hard to secure the maximum amount unless you have close to perfect credit profile.

If your main bank is not able to meet your requested financing amount, you can also apply across other banks concurrently to maximize the financing amount you’re targeting.

The typical turnaround time for loan applications is 2 to 4 weeks.

The turnaround time takes this long because

1. You may not be familiar with the documents required and the application process.
2. You may have more back-and-forth communication with the banker to get the financing application right.

If you managed to secure approval after the loan application review, you’ll have to wait for about another 1 week for funds to be disbursed. So from application to receiving funds, expect a turnaround time of between 3 to 5 weeks.

Most loan applications can be rejected due to multiple reasons, such as

1. Approaching the wrong banks
2. Your personal credit profile
3. Limits to financing for existing bankers
4. Weak cash flow

It is critical that you identify the right bank to seek financing with and to be able to address the bank’s credit concerns and queries adequately, to minimize rejections.

There are more than 20+ banks and financial institution providing loans. Their interest rate are different and varies according to factors such as credit grading of applicant and the loan quantum.

It is prudent to compare widely through multiple banks to suss out the best financing deal.

Do note that the lowest rates quote that you receive might not necessarily mean it’s the best financing offer for your business. Check with the banks on their processing fees, annual fees if any and any other fee charges that could effectively increase your cost of borrowing.

Alternatively, consider engaging a loan broker to help comb through the various banks business loan products to find the lowest rates for your company.

Your loan application might be adversely affected if your personal credit rating is bad.

When you apply for a loan in Singapore, your personal credit record will usually be assessed by the relevant banks. Your personal credit record will thus affect your loan approval chances as well.

It is absolutely critical for you to keep your personal credit score acceptable. Any negative impairments on your personal credit will adversely affect your property loan and business loan applications, making it next to impossible to obtain any form of financing.

Therefore, always be conscious to protect your personal credit grading by paying all your personal credit cards, home loan, car loan etc on time. Settle any overdue payments promptly and be cautious not to over-extend your personal credit at all times.

Yes you can but options are very limited for new start ups. Most banks do not provide start up business loan for newly registered companies.

Most banks lend on track record and would require applicant company to have at least 1 to 2 years of operational business history before considering extending financing.

If your business is operational and at least 6 months old, a competent SME loan broker might still be able to help you secure business financing.

However, expect very limited financing options for a start for very young companies and also smaller financing quantum. If you manage to secure any form of business loans, ensure prompt subsequent repayments to build up a good credit record for your company.

As your business matures and coupled with a good credit record, it’ll be easier to source for financing in future from more banks, with more options.