With the Bayanihan to Recover as One Act or Republic Act 11494 signed into law, a P10 billion fund has been allotted to the Small Business Corporation (SBCorp) to expand its COVID-19 assistance to Restart Enterprises (CARES) Program.
Also to be made available under this fund is the CARES for Tourism Rehabilitation and Vitalization of Enterprises and Livelihood (CARES for TRAVEL) Program which is allotted P6 billion out of the total fund.
SBCorp will start accepting applications for the Bayanihan CARES Program on 26 October 2020 to help micro, small and medium enterprises (MSMEs) recover and ensure that workers keep their jobs.
Based on the guidelines, MSMEs with BIR-filed financial statements for 2018 or 2019 with no major negative credit track record are assured of a loan under the program.
MSME applicants who cannot submit a BIR-filed FS will just submit their barangay or municipal business permits, photos or videos of business assets, and proof of sales for certain loan sizes.
The loan amount to be granted will be based on the MSME applicant’s asset size and annual sales. However, additional limits to the loan size will be observed to ensure more MSMEs will benefit from the program.
Loans will have a one-time front-end service fee ranging from 4% to 8% depending on the number of years the applicant will pay.
The loan term can be up to four years and with a grace period of up to six months. Certain industries such as tourism can be granted a longer grace period of up to 12 months.
Bayanihan CARES applications may be submitted through the SB Corp’s online loan application system at https://brs.sbgfc.org.ph starting Monday, 26 October 2020.
For more information please visit the SBCorp Website at www.sbgfc.org.ph or call 8651-3333.