A business loan is money borrowed from a financial institution like CreditHub for which a particular interest amount has to be paid. As a kind of measurement to ensure safety, interest is charged by lending companies. This is done, lest any borrower defaults on repaying the loan. The maneuver of taking a business loan is a risky affair especially if the business has not been faring well. 
 
Internationalization Finance Scheme 
 
In Singapore, IF or the Internationalization Finance Scheme is in place for business owners desirous of an overseas expansion as compared to a business providing economic spinoff within the country in the form of jobs, R & D Research and Development, etc. Companies like CreditHub involved in trading should have a turnover exceeding 500 million Singapore dollars. 
 
Companies not involved in trading must have less than 300 million Singapore dollars turnover. If for purchasing assets that will be used overseas, confirmed orders are received for sale overseas, or capital is raised for secured projects overseas, or a banker’s guarantee is issued for projects overseas that have been secured, then the IF scheme is used. The Singapore money lender considers the terms of loan, requirements, and rate of interest of collateral in consideration.
 
Local Enterprise Finance Scheme
 
Also available is the LEFS or the Local Enterprise Finance Scheme. This scheme is aimed at medium and small sized business enterprises. If your company has less than two hundred staff and sales turnover per year is less than one hundred million Singapore dollars and has local shareholding anywhere between 30% and 100%, then an LEFC scheme can be considered. 
 
Equipment and factories can be upgraded, automated or purchased by the 15 million Singapore dollars obtained from LEFS. JTC Corporation properties or HDB or the Housing & Development Board sites are the kinds of factory purchases that can be made. Approximately 4.75% rate of interest is charged for loans to repay within 48 months’ time. Around 5.25% interest rate is charged for businesses that take more than four years to repay LEFS. 
CreditHub and Moneylenders with License
 
Also available is the Singapore money lender Program for business owners requiring up to 100,000 Singapore dollars to purchase, or automate or upgrade factories and equipment. If the incorporated or registered company has less than ten staff and turnover is less than one million Singapore dollars, then it qualifies for a Micro Loan. The personal Income loan Interest rate charged is around 5.75% at a minimum on the working capital loan funding. If there is difficulty in securing a bank loan, then you licensed moneylenders are also available in Singapore.
 
To stay afloat, a business loan proves to be beneficial, but the difficulty lies in repaying it. Securing a business loan in case you are in debt can be quite problematic. If credit rating is poor, then the rate of interest to be paid will be higher on securing the loan. Business loans come in various types. In Singapore, Business loan Singapore options depend upon the funding required and the company size.