Venture Debt Loan
Finance the growth of innovative enterprises using Venture Debt and Warrants. This form of financing is typically suited for high growth start-ups that do not have significant assets to be used as collateral under traditional bank lending. The warrants, or rights to purchase equity, is to compensate for the higher risk of loan default.
Enterprises may use the Loan to:
• Grow and expand existing capacity
• Diversify into other product lines
• Augment working capital needs
• Undertake new projects
• Undergo merger and acquisitions
Maximum Loan Amount: S$5 million / borrower group
Note: Overall loan exposure limit of S$50 million per borrower group across all areas.
Maximum Repayment Period: 5 years
Interest rate: Subject to Participating Financial Institutions’ assessments of risks involved.
• Be registered and operating in Singapore
• Have a minimum of 30% local shareholding
• Maximum Borrower Group2 revenue cap of S$500 million for all enterprises