CIMB, Frasers Property announces Singapore’s first ‘pay-as-you-earn’ SME loan

SINGAPORE: CIMB Singapore and Frasers Property have partnered to launch the city-state’s first “pay-as-you-earn” loan for small and medium-sized enterprises (SMEs) under a five-year agreement.

The collaboration introduces CIMB Flexipay, which provides financial support and preferential rates to more than 2,000 retailers across 12 Frasers Property malls.

CIMB Flexipay provides SMEs with flexible financing by linking repayments directly to daily revenue.

According to Frasers Property’s press release, “Businesses only repay when they earn, hence no repayment is required on days with zero revenue.”

The collaboration also includes CIMB BizGrow, a collateral-free working capital loan designed to help retail tenants manage short-term operational cash flow such as rent, payroll, and utility bills.

Participating retailers can save up to S$7,360 in the first year and approximately S$6,360 annually thereafter by linking their payment solutions to a CIMB account, which includes waived setup fees of S$1,360 for payment solutions and terminal rentals, as well as up to S$6,000 in yearly savings from preferential merchant discount rates.

Retailers will also receive a permanent waiver of monthly account fees on their CIMB SME Account for as long as they remain Frasers Property tenants. This means no initial deposit or minimum balance is required, and unlimited free PayNow, FAST and GIRO transactions.

In May, the SME Association warned some Singapore firms could enter “life support mode” amid tariff concerns, although some eligible SMEs received up to S$100,000 under the Business Adaptation Grant last month to help them with tariff challenges. /TISG

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