I’ve attented a course months back organized by INSKEN (Institut Keusahawanan Negara) under the Skim Usahawan Siswazah to be eligible to ask for loan under tabung usahawan siswazah or called graduate entrepreneurs scheme.
So what is Tabung Usahawan Siswazah?
It’s a loan for graduates venturing into entrepreneurship be it startups or company expansion.
Who administer the fund?
It’s being administered by SME Bank. If you would like to know more about this fund, call them up at 1-300-88-3131 or visit their website: SME Bank.
What is the eligibility of applying for Tabung Usahawan Siswazah?
- Have finished the Skim Usahawan Siswazah seminar or Kursus Asas Keusahawanan Siswa or other approved seminars equivalent.
How do I apply for the seminar to be eligible for TUS?
- Previously I just applied online under the Ministry’s website. But since the ministry is disbanded, try and keep yourself updated through INSKEN website at : http://www.insken.gov.my or call them at : +603-8880 5711
What is the loan amount and interest rate?
The loan amount is from RM20,000 to RM250,000 and the interest rate of 4% (without BLR ok!)
Do I need a collateral or guarantor?
For below RM50,000 it works like micro loan where you need a guarantor with a specified income while for RM50,001 above, you need to have at a percentage of collateral and guarantor.
What are the allowable expenses for the fund?
- Fixed assets and working capital
- Maximum payback period of up to 10 years with grace period of 2 years (grace period depends upon their discretion)
What are the indsutry allowed for the funds?
All industries as long as it’s profitable and approved by the panel during your business presentation.
What is the application process? (based on my experience with my friend)
- Send your business plan for review to INSKEN
- INSKEN submit your plan to SME Bank
- SME Bank call you up for an interview
- Results would be notified after interview
Note: During the seminar I was notified that application process is around 2 months. They have a tight ISO therefore they should complete your application on time.
Please take note that I was notified by SME Bank that all applications for the fund is on hold but the funds are there for us, graduates. It’s being put on hold because the Ministry of Entrepreneur and Co-operative Development is no more and they are now under the directions of MITI (Ministry of International Trade and Industry). I hope Tok Pa and Dato’ Mukhriz speed up the process as lots of us graduates are anxious to apply for the fund:)
Tips: My friend is a wedding planner (sole proprietorship) and she applied for the fund. Given her experience in doing business and a good business plan, she managed to secure the funds and had a good interview. T0 increase your odds of getting the fund:
- Start your business in micro terms: kecil-kecilan. Ask for micro loan 1st to get experience on your business first.
- Gain working experience in the industry. Say you wanna open up an IT business, work with a company which is similar to your business idea and apply from there.
- Get a strong and experienced management team. Recruit experienced people into your team to do the business. This would lower the risk of the bank and hence easier for you to secure funding.
- Do your homework. Don’t ask silly questions, always research throughly about the fund before applying.