KONTRAK-i Financing Scheme Conditions

Published on: 22/02/2016
Updated on: 04/05/2018

Introduction

This scheme is a process to finance contracts and direct supplies obtained from the Federal Government, State Government, Government Agencies and Statutory Bodies.

Amount and Duration of Financing

  • Total financing of RM 1,000 to RM 100,000.00
  • Contract financing period does not exceed 6 months.

Management Charges

The TEKUN management charge is 1.5% per month of the financing amount until the financing period expires.

Eligibility Requirements

  • Malaysian citizen and Bumiputera
  • Aged 18 – 60 years old
  • Possess licence / permits / Business Registration (SSM) that are valid.
  • Having a specific business spot / location. Business runs full time.
  • Existing business financing must not exceed RM 100,000.
  • Business ownership is 100% bumiputera and paid up capital must not exceed RM 500,000.
  • Application letter must come from the Federal Government, State Governments, Government Agencies and Statutory Bodies.
  • Possess licences from the Ministry of Finance, Construction Industry Development Board (CIDB), Federal Treasury (PMS), Contractor Service Centre (PKK), licensing bodies or other relevant registrations that are valid.
  • The company is the main contractor appointed by the Federal Government, State Government, Government Agency and Statutory Body.

Takaful Coverage

Each financing recipient is covered by financing insurance and Life & Accident Insurance (finance recipient) set by TEKUN Nasional within the financing period. The insurance premium payments will be deducted through the financing that has been approved.

Documents Required

  • Completely filled TEKUN Loan Application Form
  • Completely filled Business Basic Information Form
  • Copies of Identification Card of Applicant & Spouse
  • Applicant’s Photograph (1 piece)
  • Valid Licence/ Permits/ Business Registration
  • 1 photograph of premise/ business spot
  • Copies of passbook/ bank statement (last 3 months)
  • A copy of premise/ house utility bill (water/ electricity/ telephone bill)
  • Loan purpose quotation
  • Authorisation letter of business partner if applicant is a company
  • Copy of Contract offer (indent) & Supply (Purchase order)
  • Copies of licences from the Ministry of Finance, Construction Industry Development Board (CIDB), Contractor Service Centre (PKK) and other relevant licences (These licences depend on the requirements of contract and supply)

Advantages of the Kontrak-i Scheme

  • No guarantor
  • Flexible financing period
  • Low management charges
  • No deposit
  • Lump sum financing method