SMES LENDING SERVICE
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During the financial tsunami, we actively participated in the Special Loan Guarantee Scheme ("SpGS") guaranteed by the HKSAR Government with the purpose to finance SMEs for meeting general business needs.


With the expiry of the SpGS on 31 December 2010, the Hong Kong Mortgage Corporation Limited ("HKMC") launched a new guarantee scheme, namely, SME Financing Guarantee Scheme (“SFGS”) on 1 January 2011. The scheme aims to assist the SMEs to obtain sustainable and flexible bank financing, to cope with their funding needs for different economic cycle.


Starting from 1 May 2018, HKMC will transfer the whole of the general insurance business carried on by HKMC in or from Hong Kong to HKMC Insurance Limited (HKMCI), a company incorporated in Hong Kong and authorized to carry on the relevant classes of insurance business in or from Hong Kong.


Currently, we continue to support these two schemes:
(1) SME Loan Guarantee Scheme ("SGS") and (2) SME Financing Guarantee Scheme ("SFGS") guaranteed by the HKSAR Government and HKMC Insurance Limited respectively.

Details of the key features of the schemes are set out as below:

  SME Loan Guarantee Scheme (SGS) SME Financing Guarantee Scheme (SFGS)
Maximum Facility Amount and Facility Types

HK$12 million

  • Non-revolving limit

HK$12 million

  • Both Non-revolving and Revolving credit facilities are eligible
  • No limitation on the proportion between two types of facilities
Purposes
  1. Acquiring business installations & equipment; and
  2. Providing general working capital for business operations
  1. Acquiring assets (e.g industrial or commercial properties, machinery & equipment) for business operations; and
  2. Providing general working capital for business operations; and
  3. Refinancing of revolving facilities guaranteed by the SpGS of the Trade and Industry Department upon expiry of such guarantee
Guarantee Provider HKSAR Government HKMC Insurance Limited (HKMCI)
Maximum Guarantee Period Maximum 5 years Maximum 5 years
Eligible Enterprise
  1. For manufacturing industry: No. of employees not more than 100; or
  2. For non-manufacturing industry: No. of employees not more than 50; and
  3. Incorporated in Hong Kong not less than 18 months
  1. Enterprise with business operation in Hong Kong and registered in Hong Kong under the Business Registration Ordinance (Chapter 310), except listed companies, lending institutions and affiliates of lending institutions; and
  2. Business operation for at least one year on the date of guarantee application; and
  3. Good loan repayment record
Guarantee Level 50% 50% / 60% / 70% 80%
Application period N/A N/A Up to 28 February 2019
Annual Guarantee Fee N/A 0.5% p.a. to 4.2% p.a. of the loan facility No minimum fee; Maximum not exceed 1.3% p.a. of the loan facility

For further information, please visit the website of SME Loan Guarantee Scheme" ("SGS") and the website of SME Financing Guarantee Scheme" ("SFGS")

 

Your Business Partner

Financial Management is important to the business development. In addition to tailor-made services such as trade finance, working capital financing and long term loans to different industries, we also provide other customized services like syndicated loan arrangement and various types of capital financing in assisting you to reach the greater success in your ever-growing business.

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Reminder: To borrow or not to borrow? Borrow only if you can repay!
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