Finance companies partner with Proton to provide financing to used car dealerships

Finance companiesSoutheast Asia’s Largest Digital Finance Platform for Small and Medium Enterprises (SMEs), Collaborates with Malaysia’s National Automaker Proton to provide credit facilities to Proton dealerships to finance the purchase of cars for floor storage.

“The demand for personal vehicles has increased since the second half of 2020. This growth is underpinned by concerns about shared transport (Covid-19 health crisis) and accommodating government policies during the pandemic,

“Through the finance companies’ revolving credit facility, PROTON dealers can take advantage of this growth by increasing their inventory for sale by increasing their inventory of used cars,” said Chai Kien Poon, national finance company manager. financing in Malaysia, in a press release.

In line with the finance companies’ mission to provide financing facilities to underserved and creditworthy SMEs, he said this revolving credit facility provides PROTON dealers with a more seamless experience.

“They can use the facility anytime and anywhere upon activation. Additionally, dealers will have access to our online supply chain finance system to manage their finance facility with us,” he added.

Funding Societies was founded in 2015 to empower SMEs in Southeast Asia by solving key challenges for small businesses to access finance, including collateral requirement, complicated and physical document submission, as well as a lengthy application process.

As SMEs are the backbone of the national economy, finance companies are committed to addressing the huge SME finance gap in Malaysia and the region.

“As the sales volume of PROTON has increased over the past few years, we have seen an increase in trade-in or trade-in transactions,

“Through the dealer financing service provided by finance companies, our dealers can finance the purchase of floor inventory to enable the trade-in transaction,” said Wan Ahmad Fadzli Wan Mustafa, General Manager, Proton Edar.

Since its inception in 2019, Proton’s Used Vehicle Management (UCM) unit has implemented operational procedures and provided training to used vehicle inspectors to manage transactions at each outlet and store. ensure that the services provided are in line with the expectations set by the brand.

Currently, the company has 35 Proton Certified Pre-Owned Vehicle (PCPO) retail outlets in the country.

“Dealers wishing to apply for financing can do so through the finance companies’ online platform. They will be able to provide financing up to 85% of the value of the transaction with repayment periods of up to 90 days,

“With this financial facility, our dealers can grow their business by raising short-term capital to manage their cash flow and even use it for new car purchases from Proton Edar as well,” concluded Wan Ahmad Fadzli.

Vehicles sold under the PCPO program undergo an extensive 201-point inspection and are guaranteed to be free of any flooding or major accidents. Customers also receive a one-year extended warranty that covers the engine and transmission as well as one-time free basic service after six months from the date of registration.

With the increasing shift to online platforms, UCM has also set up a dedicated Proton used car website to attract tech-savvy buyers.

Finance companies | Modalku is the largest digital SME finance platform in Southeast Asia. It is registered with the Securities Commission Malaysia (SC), as well as licensed in Singapore, Indonesia and Thailand, and operates in Vietnam.

The company is backed by SoftBank Vision Fund 2, SoftBank Ventures Asia, Sequoia Capital India, Alpha JWC Ventures, SMBC Bank, Samsung Ventures, BRI Ventures, Endeavour, SGInnovate, Qualgro, and Golden Gate Ventures, among others.

The FinTech company provides trade finance to SMEs, which are funded by individual and institutional investors. In seven years, he has helped fund over 5.1 million business transactions for nearly MYR 11 billion ($2.39 billion) in funding.

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