By Francis Allan L. Angelo
The Small Business Corporation (SBCorp), the financing arm of the Department of Trade and Industry (DTI), has introduced the Enterprise Rehabilitation Financing (ERF) program to assist micro, small, and medium enterprises (MSMEs) severely affected by Typhoon Carina.
Launched on August 27, 2024, the program provides vital financial aid to help these businesses recover and rebuild after the devastation caused by the typhoon, which brought unprecedented rainfall surpassing even that of Super Typhoon Ondoy.
“We understand the challenges businesses face as they work to rebuild and resume normal operations after the devastating impact of this typhoon,” said SBCorp President and CEO Robert C. Bastillo in a press statement.
“This emergency fund, offering concessional terms not currently available in the market, aims to finance the immediate needs of MSMEs, including the repair and replacement of damaged fixed assets and inventories, operational disruption, and revenue loss.”
Under the ERF program, both new and existing borrowers of SBCorp can access loans of up to PHP 300,000, payable monthly over three years.
A three-month grace period is also available for those needing a reprieve from payments. Notably, the loans are interest-free for the first year, with a 1% per month interest rate on the diminishing balance applied in the second and third years.
MSMEs located in the following areas are eligible 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 reach the PHP 300,000 loan cap can quickly access this facility without needing to submit any documentary requirements,” Bastillo added.
New borrowers must provide minimal documentation, including a Mayor’s Permit or Barangay Micro Business Enterprise (BMBE) Certificate for loans over PHP 100,000, or Barangay Certification for loans up to PHP 100,000.
Additionally, all new applicants are required to submit a government-issued ID, proof of bank or e-money account, and corporate documents if applicable.
SBCorp is accepting loan applications through its loan portal at https://brs.sbcorp.ph until the end of September 2024.
