GXS Bank, Funding Societies offer property‑backed SME financing in Singapore

New product offers up to $1.57m financing for SG SMEs using residential or commercial property as collateral.

GXS Bank has launched a property-backed SME loan product in collaboration with Funding Societies, allowing small and medium-sized enterprises in Singapore to access up to $1.57m (SGD2m) in financing against residential or commercial property.

The GXS Biz Property-backed Loan is designed to provide liquidity to SMEs by using property assets as collateral. The product will be rolled out progressively and will initially be available to existing customers of GXS Bank and Funding Societies, as well as SMEs within the Grab and Singtel ecosystem.

GXS Bank said the initiative combines its balance sheet and ecosystem reach with Funding Societies’ experience in digital SME lending and structured financing.

SMEs often face challenges in accessing financing that is sufficient or affordable, according to Pei-Si Lai, group CEO of GXS Bank.

She said the product allows business owners with property assets to convert them into liquidity for business use.

She added that the partnership also supports fintech partners within the ecosystem, combining GXS Bank’s banking capabilities with Funding Societies’ digital lending operations.

Kelvin Teo, co-founder and group chief executive officer of Funding Societies, said the collaboration aims to provide SMEs with financing structured around business needs. 

He said the product is intended to help businesses access liquidity tied to property assets to support cash flow and growth requirements.

GXS Bank is part of an ecosystem that includes shareholders Grab and Singtel.