Strategic partnership aims to help Malaysian SMEs unlock business liquidity through property-backed financing solutions designed for growth, expansion, and cash flow support.
New Partnership Targets SME Financing Gaps
Funding Societies and Boost Bank have announced a strategic partnership to expand access to property-backed business financing for Malaysian SMEs and MSMEs.
The collaboration combines Boost Bank’s digital banking capabilities with Funding Societies’ expertise in SME financing to support businesses that continue to face difficulties accessing timely and structured financing solutions.
As part of the partnership, Funding Societies will originate property-backed financing for eligible SMEs, while Boost Bank will support the initiative through balance sheet participation.
Helping Businesses Unlock Liquidity Through Property Assets
The financing solution allows business owners to leverage industrial or residential properties to secure funding for operational needs, business expansion, and working capital.
Unlike traditional mortgage lending, the financing specifically targets business-related purposes and aims to provide SMEs with more flexible access to liquidity.
Consequently, businesses with valuable assets but limited access to conventional financing channels may gain stronger financial support to sustain growth and improve cash flow management.
“Many SMEs and mid-tier companies in Malaysia have strong assets and viable growth plans but still face gaps in accessing financing that is timely and structured around their needs,” said Chai Kien Poon, Country Head of Funding Societies Malaysia.
He added that the partnership combines Funding Societies’ experience in digital SME financing with Boost Bank’s banking infrastructure to deliver more practical financing solutions for businesses across Malaysia.
Digital Banking and Fintech Collaboration on the Rise
The partnership also reflects a broader trend of collaboration between fintech platforms and digital banks as Malaysia’s financial ecosystem evolves.
According to Fozia Amanulla, Chief Executive Officer of Boost Bank, underserved MSMEs often struggle to access financing due to limited credit history, documentation issues, or financing structures that do not align with operational realities.
“This partnership reflects the role we believe digital banks can play in Malaysia’s financial ecosystem, working with fintech partners to extend reach, support responsible innovation and deliver more inclusive financing solutions to businesses,” she said.
As a result, the collaboration aims to create more accessible and scalable financing pathways for SMEs that may fall outside traditional banking requirements.
Expanding Structured Financing for SMEs
Both companies stated that the partnership will extend beyond a single financing product. In the future, Funding Societies and Boost Bank plan to explore additional financing solutions targeting different SME customer segments.
The initiative aligns with growing demand for alternative financing models that can support businesses navigating economic uncertainty, rising operational costs, and expansion opportunities.
Moreover, property-backed financing has gained traction among SMEs seeking to unlock dormant asset value without disrupting ongoing business operations.
Supporting Malaysia’s SME Growth Agenda
SMEs remain a major driver of Malaysia’s economy, contributing significantly to employment, entrepreneurship, and GDP growth. However, financing accessibility continues to be a challenge for many growing businesses.
Through this partnership, Funding Societies and Boost Bank aim to strengthen financial inclusion while supporting more sustainable business growth across the country.
Ultimately, the collaboration highlights how fintech innovation and digital banking partnerships are reshaping Malaysia’s SME financing landscape by offering more practical, flexible, and accessible funding solutions.
