Small and medium-sized businesses (SMEs) in Singapore can now access up to S$2 million ($1.57 million) in financing secured against residential or commercial property thanks to GXS Bank’s Monday announcement of its GXS Biz Property-backed Loan, which was created in collaboration with Funding Societies.
According to a statement from GXS Bank, the collaboration combines Funding Societies’ expertise in digital SME financing and structured lending for expanding companies in Singapore with GXS Bank’s robust balance sheet and ecosystem reach.
Grab and Singtel, two of GXS Bank’s shareholders, are a part of this ecosystem.
“SMEs are the backbone of our economy, yet financing for many of them is either not available, not affordable or not adequate to support their growth meaningfully，
“For business owners with a residential or commercial property, they can now turn this illiquid asset into up to S$2 million of liquidity to seize time-sensitive growth opportunities，” said Pei-Si Lai, Group Chief Executive Officer of GXS Bank.
According to him, this collaboration with Funding Societies further demonstrates GXS’s dedication as a bank to helping local fintech companies grow sustainably.
“With our strong balance sheet as a Bank and extensive ecosystem with Grab and Singtel, we can enhance and extend Funding Societies’ expertise in digital lending to more businesses in Singapore, especially those within our ecosystem,” he added
Many SMEs have valuable assets, but they still require financing that is timely, realistic, and tailored to their business needs, according to Kelvin Teo, co-founder and group CEO of Funding Societies.
“This collaboration with GXS Bank brings together GXS Bank’s ecosystem playbook and Funding Societies’ digital financing experience to make property-backed financing more accessible to businesses navigating an increasingly uncertain market,
“By unlocking liquidity tied up in property, SMEs can move more quickly on growth opportunities while managing cashflow with greater confidence,” he added.
The GXS Business Property-backed Loan will be introduced gradually.
At launch, the loan will be accessible to SMEs in the Grab and Singtel ecosystem as well as current GXS Bank and Funding Societies clients.
This covers companies that collaborate, use, or use Grab and Singtel.
