- September 5, 2020
- Posted by: avantconsulting
- Category: SME Loans
SME Loan for Singapore Education Businesses – Singapore is a very strongly Asian country. Education is a very important part of the life of a person in Singapore.
Singapore places a high importance on Education and this has caused a huge tuition business in Singapore to sprout.
It is so important that according to Today, it is currently a $1.4 Billion industry in Singapore: https://www.todayonline.com/commentary/tuition-has-ballooned-s14b-industry-singapore-should-we-be-concerned
The Singapore Tuition Business is thriving with many superstar tutors coming up in recent years.
The Covid-19 pandemic has caused a slowdown in the education business because many have decided to not send their child to tuition outside of school to prevent the possible spread of the virus.
Many have also transited to lessons online. And this has caused a general fall in revenue across the industry.
The Education and Tuition business is likely to hold steady or see a slight decrease in business as the Covid-19 outbreak affects the general economy as a whole.
One of the few things that one should take note for on the topic of “SME Loan for Singapore Education Businesses”.
1. Education is likely to stay in a medium to low risk
As the education business is not the ones directly hit by the downturn, the classification will not likely move to high risk.
This means that access to capital is still possible.
The banks are willing to loan to businesses in this sector as standby or working capital to help the businesses to pull through and rebound much faster.
2. Education likely to face some challenges in the short to mid term
The education businesses that has not transited online will likely see sharp dips in sales and also student count.
As the virus is still not completely eradicated, the parents will prefer to have their children going to school and straight home without having much exposure in the public.
For those who are facing with cash flow issues, this is the time to start getting access to some loan funding
Avant Consulting is the leading SME Loan Broker in Singapore with a strong team of brokers helping many SMEs in Singapore to gain access to funding from the local Banks and Financial Institutions.
If you require consultancy and help on how to gain access to more funding in Singapore, you can speak to us so that we can work something out for you and your business to help it to grow through this downturn.
SME Loan for Singapore Education Businesses