Who is Validus?

Backed by Vertex Ventures, and FMO Dutch Development Bank, Validus is a catalyst of sustainable growth for small and medium enterprises (SMEs). Our smart online lending marketplace connects SMEs to accredited and institutional investors for easier and quicker financing at affordable rates. Founded in 2015, Validus is Singapore’s leading SME financing platform and is licensed by the Monetary Authority of Singapore. Today, Validus also operates in Indonesia and Vietnam, and aims to be the #1 lending platform in ASEAN.

What currency does Validus transact in?

Validus transacts in Vietnam Dong (VND).

How is Validus different from a bank?

Validus does not hold a banking licence and does not operate as a bank. We seek to provide support to SMEs not financed by banks or financial institutions, as well as SMEs needing top-ups for growth related funding.

Unlike banks that have many requirements to apply for a loan, our loan application process is simple, with minimal documents to apply, and approval within 2 business days. All SMEs are welcome to apply for a loan regardless of the size of your business.

Does Validus itself lend money?

Validus primarily facilitates in bringing together investors & SMEs on its platform. In some cases, we may also have “skin in the game”, with the founders, management and/or Validus investing in some of the facilities

Why should investors or SMEs choose Validus?

Validus offers the opportunity for investors to earn a higher rate of interest against diversified risks. 

SMEs may also receive lower borrowing rates as compared to some non-banking financial intermediaries prevalent in the market. We don’t require collateral and loans are on average approved within 2 business days. We understand the financial needs of a growing business and specially cater to and support them through the platform. Additionally, the SMEs across our ecosystem are growing at an average of 20% y.o.y in terms of turnover/ revenue.

Who can access the platform?

Only registered SMEs, investors, and corporate partners have access to the platform.

What is your privacy and data protection policy?

Your privacy and personal data is important to us. We take the necessary effort to ensure it is secure, encrypted, and that it complies with local data regulations. You can read about our privacy policy and data protection here www.validus.vn/privacy-policy.

Is Validus regulated?

In Singapore, Validus holds a Capital Markets Services Licence under the Securities and Futures Act of Singapore, issued by the Monetary Authority of Singapore. 

In Indonesia, Validus operates under Batumbu which is registered under OJK, the regulatory authority in Indonesia. 

In Vietnam, Validus is closely aligning its operations to the standards of the State Bank of Vietnam while enabling SMEs to receive quick access to capital, and Investors access to attractive investment opportunities.

Questions?

Whether you are an accredited or institutional investor, our Investor Relations team can help. Get in touch with us to learn more about investing in alternative lending.

Contact us

About Us

Validus is a catalyst of sustainable growth for SMEs in Southeast Asia. Our smart online lending marketplace connects growing businesses to accredited investors and institutions for financing.

Learn More

What's the eligibility criteria?

You must be a registered business in Vietnam, have a Business tax ID, and preferably at least 2 (two) years of continuous operations in Vietnam.

What kind of loans can I get?

Validus offers Invoice Financing, typically up to 80% of the invoice value. We may offer other loan products in the future including Purchase Order Financing and Working Capital Financing.

How much funding can I get?

That will depend on your requirements, credit assessment and investor take-up on the facility. For Invoice Financing, you can typically get up to 80% of the invoice value up front.

What documents do I need to provide to apply for a loan?

To apply for a loan, you must first create an account on Validus.vn and submit the following documents to verify your account (please have scanned soft copies ready):

– Business registration

– Board resolution or company charter (if applicable)

– Passport or CMND of the legal representative (must be on the business registration, board resolution, or charter)

– Proof of address of the legal representative

Once your account has been verified (typically within 2 business days), you can apply for a loan. To apply for an Invoice Financing loan, you must submit a valid invoice no later than 2 months old from the date of application.

Additional documents may be required upon request.

What's the interest rate?

It can vary depending on the SME profile, credit analysis, type of facility, loan amount and tenure.

What's the facility application process?

There are 4 basic steps to apply for a loan. 

Step 1: Create an account on Validus.vn.

Step 2: Verify your company and legal representative information (see question 4 for documents required).

Step 3: Enter your company’s bank account details (this is where we will disburse the loan). 

Step 4: Apply for a loan. 

Note, only after your account has been verified can you be approved for a loan. You will see if your account has been verified when you login to the platform. We will also inform you via email when your account has been verified.

How soon do facilities get approved?

Typically within 2 business days of our team getting all required documents and information, and ascertaining that the funding application meets the credit risk criteria.

How soon can I receive funds?

Typically within 2 business days of your financing request being successfully funded on our platform, and you have signed off on required transaction documents (if applicable).

What's the repayment period?

Invoice Financing: Principal + Interest in a single repayment at the end of 30 to 120 days depending on the facility tenor.

What's the repayment mechanism?

When your account has been verified on the platform, you will receive a Virtual Account number. To make repayments, you must deposit funds into your Virtual Account and if applicable indicate the Loan ID in the remarks. You must follow this correctly to ensure you don’t incur any late fees or accrued interest.

If you intend to make repayments at your bank branch counter, please check with your bank on the number of days to initiate the actual bank transfer, so that you can make payments in advance to ensure that payment is not overdue or that no late charges will be applied. 

For online bank transfers, there is a maximum of 300 million VND for 24/7 transfers or 10 billion VND for normal transfers between 8am – 3pm on business days. These maximums may vary depending on your account type. Please check with your bank what account type you have and your transfer limits to ensure you make payments on time to avoid late charges or accrued interest. 

Repayment can be done via online bank transfers or GIRO (for working capital loans only). If you are participating in the Corporate Vendor Invoice Financing program, your Buyer must sign a Notice to Redirect Payment to Validus.

Will my business info and financials be made public?

A summary of your business, risks, strengths & other factors associated with the funding request, and other details about your business may be made available to partners (ie. risk assessment, insurers, credit bureaus, etc) and registered investors on the platform.

What if I default on a payment?

Late fees and accrued interests may apply depending on your loan. For recovery efforts, we may engage debt collectors and initiate legal proceedings. Nonetheless, we really do hope it does not come to this!

Is a security required?

We take personal guarantees from your directors. In certain cases, we may also require a security deed – charge over receivables and accounts.

Questions?

Whether you are an accredited or institutional investor, our Investor Relations team can help. Get in touch with us to learn more about investing in alternative lending.

Contact us

About Us

Validus is a catalyst of sustainable growth for SMEs in Southeast Asia. Our smart online lending marketplace connects growing businesses to accredited investors and institutions for financing.

Learn More

Who can invest with Validus?

You can be an individual or business entity (with a Business tax ID in Vietnam) to be an investor with Validus. You must have a VND Vietnamese bank account as all transactions are in VND. Please contact our Investor Relations team (ir@validus.vn) for more information.

What's the investing/lending process?

There are 4 steps to lending. 

Step 1: Create an account on Validus, select if you are an individual or business entity. 

Step 2: Verify your profile and company information (if you are registering as a business entity). 

Step 3: Once your account has been verified, you will receive a Virtual Account number. You must add funds to your Virtual Account in order to start investing on our platform. 

Step 4: Once funds are available, you may participate in live facilities after going through your own risk assessment. The minimum amount to start investing on our platform is 500 million VND and the minimum to invest per loan is 50 million VND.

What fees do investors pay to Validus?

Investment fee will be changed from time to time and notify investors before each disbursement. Please contact our Investor Relations team for more details.

What's the minimum investment amount?

You are eligible to invest on our platform if you have an annual income of 1 billion VND. 

The minimum amount to start investing on our platform is 500 million VND and the minimum to invest per loan is 50 million VND.

What is the maximum investment amount?

None. However, we request you to exercise caution and if you choose to, you may diversify your risk by spreading your investments across multiple facilities. This “fractionalization ” may offer better rates of return in the long term. This is what SME financing trends have shown over the last 5 years.

What's the minimum or maximum investment term?

Loan tenors are for typically for a period between 30 to 90 days for Invoice Financing and varies according to facilities and SMEs involved.

What interest rate will I receive?

Depending on portfolio diversification and the facilities invested in, typical net rate of return is between 13.5 – 14.5% per annum.

Is my money safe with Validus?

Validus does NOT use your money for its operations. A separate independent escrow account managed by our bank partner in Vietnam, holds investors’ monies. All SME repayments are paid into that account, and disbursals are done from there as well.

Is my money going to receive guaranteed returns?

No, although Validus thoroughly assesses the credit risk of each loan application and approves only high quality loan applications, there is always a risk in investing. You have the discretion to choose how you want to invest your money through the Validus platform. Investors should carefully consider the risks of investing and may wish to seek separate independent advice before making a commitment to invest.

What are the tax consequences of investing?

According to article 10 of 111/2013/TT-BTC, there is a 5% individual tax obligation on interests earned from lending activities. 

Will I know who the SMEs are?

The SME profile, industry, and loan application details will be available. You are legally bound not to contact SMEs directly. Any questions you have should be directed to the Validus Team. Please contact our Investor Relations team (ir@validus.vn) for more information.

How does Validus assess the credit of the SMEs?

The compliance and risk analysis team of Validus uses credit bureau reports and ratings, 3rd party bureaus (tax, business registration departments, etc), alternative data, and business provided data to assess the credit-worthiness of SMEs. However, you are reminded to perform your own assessment of SMEs.

What happens if an SME makes late repayments?

We will notify you and the reason for any delayed payments, and the SME borrower will be liable for any late charges and additional interest applied to the outstanding amount due for the duration of delay.

What happens if an SME defaults?

Validus will work with the SME Borrower to mitigate any payment issues before a default occurs. In the rare case a default occurs, we will, based on advice, proceed with the most appropriate course of action which may include facility restructuring, debt collection and/or legal action.

How do Validus prevent SME fraud?

We conduct thorough checks on the SME and its directors but please note that complete prevention of fraud is not possible.

Can I get access to my invested money before the end of a facility term?

Once the loan has been disbursed, any funds invested in the facility will be committed until repayment is made.

Is there an online transfer limit when depositing funds to invest?

You can transfer up to 300 million VND per transaction through the 24/7 channel (NAPAS), and up to 10 billion VND per transaction using normal service from 8-3PM on working days (CITAD). You may have different transfer limits depending on your bank and account type and will need to check with your bank for details.

Is there an online transfer limit when withdrawing funds to invest?

If your beneficiary bank is Sacombank, you can withdraw up to 10 billion VND per transaction. If it is another bank, you may transfer a maximum of 300 million VND per transaction through the 24/7 channel, or up to 10 billion VND per transaction through CITAD. Note, CITAD only operates Mon-Fri from 8AM – 3PM.

Questions?

Whether you are an accredited or institutional investor, our Investor Relations team can help. Get in touch with us to learn more about investing in alternative lending.

Contact us

About Us

Validus is a catalyst of sustainable growth for SMEs in Southeast Asia. Our smart online lending marketplace connects growing businesses to accredited investors and institutions for financing.

Learn More