By BERNIE CAHILES-MAGKILAT
The Small Business Corporation (SB Corporation) yesterday started accepting loan applications billion for COVID-19 Assistance to Restart Enterprises (CARES) Program, which has a ₱1-billion allocation for micro, small and medium enterprises (MSMEs).
In a statement, SB Corp. said that loan applications are accepted since yesterday, May 18, in its offices for MSMEs located in areas classified under general community quarantine (GCQ).
This followed after the Inter-Agency Task Force on Emerging Infectious Diseases has announced that all provinces except National Capital Region (NCR), Laguna and Cebu City, will start to shift from ECQ to GCQ starting May 16, 2020.
The CARES Program is part of the administration’s economic relief program for micro and small enterprises affected by the COVID-19 pandemic.
Under the program, micro and small enterprises operating for at least a year prior to March 16, 2020 and assets not exceeding ₱15 million can avail of the program.
The SB Corporation, an attached agency under the Department of Trade and Industry, said the ₱1-billion loan program will help cushion the economic impact brought about by the pandemic.
The loan shall be used to help the enterprise stabilize or recover from its losses. Specifically, the following purposes are qualified: 1) Updating of loan amortizations for vehicle loans or other fixed asset loans of the business; 2) Inventory replacement for perishable stocks damaged; and 3) Working capital replacement to restart the business.
Micro enterprises with asset size of not more than ₱3 million may borrow an amount ranging from ₱10,000 to ₱200,000 while small enterprises with asset size of not more than ₱15 million may borrow loan amount not exceeding ₱500,000.
Interest rate shall be at 0.5% per month (discounted basis); and grace period of 6 months on principal payments.
Loan applicants may visit the SB Corporation’s website www.sbgfc.org.ph for the application form and submit the accomplished form and requirements to the nearest SB Corporation office or Negosyo Center in areas under GCQ and modified GCQ.
SB Corporation will practice strict workplace safety protocols. Walk-in clients are required to wear face masks and practice social distancing.