Funding Societies, largest peer-to-peer (P2P) financing platform in Malaysia, has announced the launch of FS Bolt: a mobile microfinancing solution in the country that provides fast and collateral-free working capital financing for small and medium-sized enterprises (SMEs), with approval from Securities Commission Malaysia (SC).
FS Bolt offers up to RM50,000 in SME financing for companies incorporated in Malaysia, focusing on the micro SME segment. The app is available on both iOS and Android devices. The solution was previously launched in Singapore in 2017
FS Bolt boasts an application process that takes a mere two minutes to complete. Its automated credit assessment enables decision time in 24 hours. The process from approval to disbursement similarly only takes 24 hours – making FS Bolt among the fastest source of working capital financing in Malaysia. Besides an emphasis on speed, FS Bolt also focuses on flexibility for its users, whereby SMEs would not be charged interest on early repayments and hence lowering their interest cost.
Alternative finance providers such as P2P financing helps to address the challenges faced by unserved and underserved SMEs. For example, these SMEs typically lack credit history, collateral, and comprehensive financial documents required by traditional institutions when applying for financing. FS Bolt considers the various aspects of SME needs by incorporating automation and highly intelligent systems to include non-traditional datasets into the firm’s credit assessment processes, rather than focusing only on collateral requirements and conventional finance reports.
“We are very excited to launch our microfinancing product here at home in Malaysia. It has always been our mission to drive financial inclusion and improve the livelihoods of SMEs by helping them grow their businesses through greater access to financing. We have identified the micro SME segment to be the most underserved segment in Malaysia when it comes to access to financing as they are typically perceived to be too risky or too costly to serve by traditional institutions. Through our mobile application, micro SMEs would be able to easily and quickly apply for collateral-free financing through streamlined documentation requirements and processes,” said Mr. Wong Kah Meng, CEO of Funding Societies Malaysia.
Funding Societies also offers longer-term SME financing and invoice financing services with quantums of up to RM500,000. As Funding Societies’ most recent innovation, FS Bolt expands the company’s offerings and shows its continued commitment to serve Malaysia’s SME sector by improving access to financing.