Criteria

To sell shares on OTC Capital, your company should have high growth potential, a strong management team, committed strategic investors and market capitalisation below $20 million.

It must also meet the following requirements :

• have a public company structure
• have no material qualification of the financial statements by the auditor for the past three years or its entire history if it was established less than three years ago
• be incorporated and based in Singapore
• have management, directors and controlling shareholders that are of sound integrity and character, and have adequate experience and qualifications
• satisfy the OTC Capital rules
• have a Corporate Advisor to prepare submission for admission to OTC Capital and ensure adherence of OTC Capital rules and disclosures thereafter
• have the services of a market maker
• have a few investors lined up
• have a viable business model with good growth prospects

Related Links & Resources

OTC Capital (www.otccapital.com)

Criteria

You may apply for the Local Enterprise Finance Scheme if your company is locally-owned, with at least 30% local equity.

How to apply?

Before you apply

1. Ensure that your business qualifies for the loan.
2. Consult your banker or one of the LEFS Participating Financial Institutions. They will be able to give you professional advice and also assist your application.
3. Prepare the supporting documents if your bank requires them :
   • a copy of your business profile from ACRA
   • audited accounts or certified financial statements
   • bank statements
   • personal income tax assessment of owners and directors
4. Meet with your banker or financial institution. Bring the supporting documents for the meeting.

Applying for LEFS

1. Obtain an Application Form from your banker or financial institution. Find out from the lender what supporting documents you need to attach.
2. Submit the Application Form with the supporting documents.
3. Wait 3 weeks for the bank or financial institution to reply. Processing of applications may be longer depending on the size of the loan and other factors.

Upon successful application

1. Receive funds from the bank or financial institution.
2. Keep proper records of repayments. Repayments start 1 month after disbursement of the loan.
3. Ensure you make repayments on time.

Participating Financial Institutions

The company may use the funds for for daily operations or for automating and upgrading factory and equipment. The loan quantum is up to a maximum of S$100,000. Interest rate applies on all loan, subject to a minimum of 5.75% for loan tenure of 4 years and below. All interest rates will be finalized by the bank upon loan approval and advised by the respective banks accordingly.

Criteria

You may apply for a Micro Loan if your company meets these criteria :

• registered or incorporated in Singapore
• employ 10 or less employees and annual sales not exceeding S$1 million
• at least 30% of your shareholding is local
• your company’s group fixed assets are below $15 million
• your company’s group has no more than 200 employees (for companies in the services sector)
• company’s Group Annual Sales of not more than S$100 million OR company’s Group Employment Size of not more than 200. Annual sales turnover and employment size will be computed on a group basis. (i.e All levels up for corporate shareholders holding >50% of total shareholding of the applicant company and any subsequent corporate parents, and subsidiaries all levels down)

Before you apply

1. Ensure that your business qualifies for the loan.
2. Consult your banker or one of the Micro Loan Participating Financial Institutions. They will be able to give you professional advice and also assist your application.
3. Prepare the supporting documents if your bank requires them :
   • a copy of your business profile from ACRA
   • audited accounts or certified financial statements
   • bank statements
   • personal income tax assessment of owners and directors
4. Meet with your banker or financial institution. Bring the supporting documents for the meeting.

Applying for Micro Loan

1. Obtain an Application Form from your banker or financial institution. Find out from the lender what supporting documents you need to attach.
2. Submit the Application Form with the supporting documents.
3. Wait 3 weeks for the bank or financial institution to reply. Processing of applications may be longer depending on the size of the loan and other factors.

Upon successful application

1. Receive funds from the bank or financial institution.
2. Keep proper records of repayments. Repayments start 1 month after disbursement of the loan.
3. Ensure you make repayments on time.

Participating Financial Institutions