New Year New Financial Support for Malaysian SMEs

We’ve waved goodbye to 2017, and we’re ready for all the excitement that 2018 can bring. For Malaysia’s SMEs that means hunting for those opportunities to empower the growth that makes them such a vital part of the national economy.

Government figures show that growth in Malaysian SMEs outpaced GDP in 2016. While GDP grew at 4.2%, SMEs cumulatively grew at a rate of 5.2%, helping power economic growth across the nation. Supporting these crucial businesses with the right financial foundations isn’t just a benefit to SMEs, but to the whole of the Rakyat.

Digital opportunities are of particular interest in 2018, with the recent budget highlighting the huge potential to enhance Malaysian business with the capabilities of a connected, digital world. It’s important to provide the financial support that enables that transformation.

Financial support for technology adoption in SMEs

With the increasing focus on these digital opportunities, there is also an increasing focus on offering the financing for SMEs to encourage adoption of technology. While technological readiness in Malaysian business is generally considered high, the support still needs to be in place to enable adoption of new IT in a rapidly changing landscape.

SMEs received some favourable attention in the recent budget, with an additional RM200 million assigned to SME Corporation Malaysia. This funding provides the opportunity to empower SMEs and encourage the kind of training and upskilling to nurture organisations in adopting new technologies. That can mean everything from the first steps into the simplified opportunities of e-procurement like Procurehere to the complex potential of our increasingly tech-driven world.

Further support for ICT adoption has been encouraged by the introduction of tax breaks for the purchase of ICT equipment and computer software packages. The proposed tax change will allow a capital allowance claim of 20% on initial allowance and 20% on annual allowance for relevant ICT expenditure. This measure enables businesses to invest in the infrastructure, both physical and digital, that can enable increased growth into 2018.

Accessing wider financing for SMEs

The Malaysian economy has long recognised the importance of SMEs, and there are a wide range of financial opportunities available to encourage their growth:

These are just some of the opportunities that highlight this continued commitment towards supporting SME growth. Ultimately it’s crucial that SMEs aren’t left behind when it comes to adopting new technologies.

Embracing e-procurement in SMEs

When it comes to digital opportunities, e-procurement is an area where many businesses can benefit without some of the significant exposures to risk of more expensive, infrastructure-heavy ICT adoption.

Procurehere’s cloud-based Version 7.0 offers an easily adopted e-procurement solution for businesses of any size. Our user-friendly software requires no formal training, and no significant capital expendit

ure. What’s more, it doesn’t require prohibitively expensive IT infrastructure or huge subscription fees. Our clear pricing structure is simple, and straight forward to understand.

We designed a system that would work for the SMEs that form the backbone of Malaysia’s economy. That means simple to implement, simple to use, and one that delivers real savings.

While the opportunities of a new year and new financing can help unlock the potential of technology for SMEs, we’re confident that with Procurehere, the opportunity is one that’s easier than ever to embrace.