Metal specimens were fabricated via the fused deposition of metals (FDMet) technique with a filament composed of the 316L stainless steel particles and an organic binder. This process was adopted due to its potential as a low-cost additive manufacturing process. The objective of this study is to investigate the influence of the processing conditions—layer directions and layer thicknesses—on the mechanical and shrinkage properties of the metal components. The specimens were printed in three different layer directions. The highest ultimate strength of 453 MPa and strain at break of 48% were obtained in the specimen printed with the layer direction perpendicular to the tensile direction. On the other hand, the specimen printed in the layer direction parallel to the tensile direction exhibited poor mechanical properties. The reason for the anisotropy of the properties was investigated through systematic SEM observations. The observations revealed the presence of segregated binder domains in the filaments. It was deduced that the binder domain was oriented in the direction perpendicular to that of the layer and remained as oriented voids even after sintering. The voids oriented perpendicular to the tensile direction act as defects that could cause stress concentration, thus resulting in poor mechanical properties.