MANILA, Philippines – Small Business Corporation, the financing arm of the Department of Trade and Industry has set up a lending facility for micro, small and medium enterprises (MSMEs) affected by Typhoon Carina.
In a media launch held Tuesday, SBCorp announced the opening of the Enterprise Rehabilitation Financing (ERF) program for MSMEs in areas declared under state of calamity by the National Disaster Risk Reduction and Management Council (NDRRMC).
The ERF Program is SBCorp’s special loan facility that aims to provide financing support needed by businesses to navigate thru the adverse impact of Typhoon Carina.
“We know the challenges of even just regaining the level of normal business operations after a devastating blow brought by a typhoon that broke the rainfall record of super typhoon Ondoy. This emergency fund, with concessional terms not available in the market today, is intended to finance immediate needs of MSMEs, including repair and replacement of damaged fixed assets and inventories, operational disruption, and revenue loss.” SBCorp President/CEO Robert C. Bastillo explained.
New and existing borrowers of SBCorp may borrow a maximum of P 300 thousand, payable monthly up to 3 years. A three-month grace period may also be secured should loan borrowers see the need for a reprieve from payments.
Loans are interest free for the first year, and 1% per month interest rate based on diminishing balance shall be levied for the second and third year.
MSMEs in the following areas are qualified to apply for the program: National Capital Region, Ilocos Norte, La Union, Bataan, Pampanga, Bulacan, Tarlac (Camiling), Cavite, Rizal, Laguna (Mabitac) Oriental Mindoro (Pinamalayan and Baco), Romblon (San Andres), Zamboanga (Tambulig), Davao Occidental (Jose Abad Santos and Trinidad) and Cotabato (Kabakan and Pikit).
“Our existing borrowers who are current in their loan repayments and have yet to fully utilize the P300 thousand loan cap in their loans can quickly access this facility with no other documentary submission or requirement to be asked from them.” SBCorp President/CEO Robert C. Bastillo further explained
New borrowers will only need to submit their Mayor’s Permit or Barangay Micro Business Enterprise (BMBE) Certificate for loans more than P 100 thousand; or Barangay Certification for loans up to P 100 thousand, government-issued ID, proof of bank or e-money account; and corporate documents, if applicable.
SB Corp. is accepting applications through the loan portal at https://brs.sbcorp.ph and will remain open until the end of September 2024 .