business

Funding Societies Group successfully disbursed RM600m to SMEs

KUALA LUMPUR: Funding Societies Group have reached a total of more than RM600 million in disbursed working capital to nearly 7,000 SME (small and medium-sized enterprises) financing in Southeast Asia since its establishment.

In a statement, Funding Societies said the RM600 million milestone was achieved in July 2018. In only six months, the company doubled its total disbursement for SMEs in Malaysia, Singapore, and Indonesia.

The platform provides a range of financing products to support SMEs, including invoice financing to address cash flow problems and micro-financing through its mobile app FS Bolt.

Since the start of 2018, Funding Societies Malaysia’s contribution to total regional disbursement increased to nearly 400 per cent.

The numbers show how Funding Societies Group significantly expanded its reach in Malaysia and Southeast Asia throughout the year. Currently, the company holds more than 50 per cent of domestic market share in Malaysia’s rapidly growing peer-to-peer (P2P) financing sector.

 Funding Societies Malaysia chief executive officer Wong Kah Meng said SMEs play a vital role in supporting the national economy and the group wants to consistently support the sector’s growth.

 “We are very proud to reach far more SMEs in Southeast Asia, including Malaysia, over the past six months.

“Increasing awareness of alternative finance, including through digital platforms like Funding Societies, have contributed to our success in meeting the economic needs of underserved local SMEs.

“We foresee the trend for alternative finance growing stronger in the months and years to come, as awareness builds further.

 “Going forward, we want to widen access to working capital financing to even more SMEs in Malaysia and Southeast Asia.

“Through our range of alternative finance solutions for SMEs, Funding Societies hopes to create more positive impact for SMEs and the Southeast Asian economy,” he said.

 Funding Societies is the first and largest P2P financing platform in Malaysia. It also operates in Singapore and Indonesia (under the local name Modalku).

Funding Societies is registered with Securities Commission. The company received the largest Series A and Series B Funding for a Southeast Asian P2P financing platform, respectively amounting to US$10 million and US$25 million.

Its Series B Funding round was announced in April 2018 and was supported by SoftBank Ventures Korea, Sequoia India, Alpha JWC Ventures Indonesia, and Golden Gate Ventures.

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