Strengthen Cash Flow, Supplier Relations, and Trade Confidence For SMEs & Corporates
Supply-Chain Finance & Factoring
Access up to S$10 million in flexible financing to pay suppliers promptly, improve liquidity, and protect your receivables. Choose between notify or non-notify factoring and recourse or non-recourse facilities—tailored to your business needs.
Widely Recognised Benefits of SCF & Factoring.
Unlock Cash Instantly
Strengthen supplier partnerships
Mitigate operating credit risks
Boost growth capacity
Customised flexibility
> Our Services > Supply-Chain Finance & Factoring
What is Supply-Chain Finance?
Supply-chain finance (also known as Reverse Factoring) provides businesses with working capital to pay suppliers promptly while maintaining liquidity. It helps improve cash flow, reduce payment risks, and strengthen long-term supplier partnerships.
What is Factoring?
Factoring allows businesses to convert receivables into cash at the discount by selling invoices to a financier. This accelerates cash inflow, reduces collection risks, and provides immediate liquidity for operations.
Loan Features of supply-chain finance & factoring At A Glance
Supply-chain financing and factoring provide businesses with practical, short-term funding solutions designed to improve cash flow and support trade cycles. By leveraging invoices and receivables, companies can pay suppliers promptly, unlock working capital, reduce credit risk, and scale operations with confidence. These facilities are tailored to match your business model, ensuring the right balance between liquidity, risk protection, and growth.
Flexible Trade Finance Tools to Strengthen Liquidity and Growth
Supply-Chain Finance
Factoring
Loan-To-Value (LTV)
Typically 70%–90% of supplier invoice value.
Tenor Period
30–180 days (linked to supplier payment cycle).
Interest Rate & Fees
Competitive short-term trade finance rates; fees based on facility size and buyer’s creditworthiness.
Purpose
Helps buyers extend payment terms while ensuring suppliers are paid early.
Best Use
Buyers who need to manage payables and preserve liquidity.
Cash Flow Benefit
Buyer maintains working capital while suppliers enjoy early settlement.
Facility Size
Generally larger (S$1M–S$10M+) for corporates and established SMEs with regular trade flows.
Visibility
Transparent; suppliers are usually aware and benefit directly.
Risk Coverage
Based on buyer’s creditworthiness; financier bears lower risk.
Loan-To-Value (LTV)
Typically 70%–80% of receivables value.
Tenor Period
30–120 days (linked to buyer’s invoice terms).
Interest Rate & Fees
Slightly higher rates than SCF; fees may apply for notify/non-notify and recourse/non-recourse options.
Purpose
Helps sellers unlock immediate cash tied up in outstanding invoices.
Best Use
Sellers who face slow customer payments and need quick cash flow.
Cash Flow Benefit
Seller improves liquidity without waiting 60–90 days for payment.
Facility Size
Flexible, from S$100k upwards, scalable depending on invoice volume.
Visibility
Can be notify (customers informed) or non-notify (customers not informed).
Risk Coverage
Recourse: seller bears risk if buyer defaults.
Non-Recourse: financier assumes risk of buyer default.
Loans Designed For Your Business Needs
Flexible financing solutions tailored to fuel growth, strengthen resilience, and support every stage of your business journey.
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Measure & Make On Needs
Fast Access to Capital
Quick approvals and funding to meet urgent project or cash flow needs.
Wide Range of Solutions
From working capital and trade loans to project, property, and green financing.
Support Beyond Financing
Advisory, compliance, and outsourced CFO services to strengthen long-term financial resilience.
Flexible Repayment Structures
Options aligned with your revenue cycle, trade terms, and business priorities.
Tailored to Your Industry
Financing designed for SMEs and MNCs in F&B, logistics, construction, trading, and more.
Trusted Partner Network
Access to banks, non-bank lenders, and institutional funds for diversified financing sources.
Best For Who?
SMEs in Manufacturing & Trade
Needing quick liquidity to cover supply chain costs.
Importers & Exporters
Managing international receivables and supplier obligations.
Corporates with Large Receivables
Looking to free up tied-up capital.
Businesses with Long Credit Terms
That struggle with 60–90 day payment cycles.
High-Growth Companies
Seeking capital to scale without traditional loan restrictions.
What You Need To Know
SMEs and Start-Ups face constant challenges in cash flow, funding, and growth. Accessing to the right financing solutions ensures stability, flexibility, and resilience to thrive in competitive markets.
Why It's Matters
Unlock liquidity instantly
Strengthen supplier partnerships
Mitigate operating credit risks
Boost growth capacity
Customised flexibility
You’re in Good Hands
With nearly 20 years of experience in corporate financing, we’ve supported countless SMEs across industries like F&B, logistics, manufacturing, and trading. Our expertise and network of financial partners ensure you receive the right trade loan solution, tailored to your needs.
Resilience Through Trade Cycles
"Help businesses stay strong through every market cycle, ensuring stability, adaptability, & sustainable growth in both opportunities & challenges"
Proven 20 Years of Track Record
"With 20 years in corporate financing, we’ve successfully supported SMEs & MNCs across multiple industries expanding growth in Singapore and beyond."
Tailored Financing Solutions
"Every business is unique. We design trade loan structures that align with your trade operating cycles, cash flow needs, & growth objectives & resiliently".
Trusted Advisory Support
"Beyond financing, we provide financial advisory and compliance guidance, helping your business stay resilient and future-ready challenges & opportunities"
Long-Term Commitment
"Dedicated to supporting your business with enduring partnerships, consistent guidance, and sustainable financial solutions for lasting success"
Let's build the success together
At SME Financial Services, we believe success is never built alone — it’s achieved through trusted partnerships, tailored financial strategies, and long-term commitment. By working closely with your business, we create the right foundation to unlock growth, strengthen resilience, and achieve sustainable success in Singapore and beyond.
2,650+ Cases
Over 2,650 entrepreneurs benefited from our specialized financial solutions.
85 Percent
Professional services yield an 85% satisfaction rate among our regular customers.
20+ Years
With two decades of expertise, we address financial challenges and add value.
> S$1,350Mil +
We arrange more than $1,350 million in business loans for our SME customers.