Starting August 17, the Department of Trade and Industry (DTI), through the Small Business (SB) Corp, will once again receive applications for its lending program intended for micro and small enterprises struggling for survival amidst the COVID-19 pandemic.
DTI Secretary Ramon Lopez said that they were able to secure additional funds worth P1 billion from the Landbank of the Philippines and Development Bank of the Philippines.
In a statement, DTI said that SB Corp will start receiving online applications for the COVID-19 Assistance to Restart Enterprises (CARES) program for online loan applications.
On the other hand, those applications which were earlier received are now in the final stage of processing.
Unlike the previous CARES program, the second run will require its applicants to apply through the online borrower registration system of the SB Corp.
For the applicants to qualify for the loan program, micro and small enterprises should have been operating for at least a year before March 16, 2020.
As part of the program requirements, businesses need to submit photos of the establishment’s operations and fixed assets such as business signage and alike. They also need to provide a one- to three-minute video explaining the products and services, buyers and suppliers, level of sales, and the number of employees.
Those who are requesting loans worth more than P30,000 should have a bank account under Landbank or any PESONet or InstaPay participating banks. However, for those who are borrowing less than P30,000, electronic money accounts such as GCash or PayMaya may substitute the bank account requirement.
The CARES program grants loan amounting to P10,000 to P200,000 for micro-enterprises with assets of P3 million and lower while small enterprises with assets not exceeding P15 million can avail of loans which amount to P500,000.
The said loans are interest-free but will entail a six-percent service fee, for an 18-month term loan, and eight percent, for a 30-month term loan.