20/01/2025
DTI-SBCorp opens Business Expansion loan for new MSMES
Small Business Corporation (SBCorp), the financing arm of the Department of Trade and Industry (DTI) announced today the opening of the Business Expansion loan program to support newly established businesses.
This loan program provides crucial financial assistance to emerging micro, small, and medium enterprises to address the prevalent challenges associated with capital and operating expenses that hinder successfully establishing new businesses from the ground up.
Qualified borrowers of the Business Expansion loan program are MSMEs with business operations of less than one year or those who have just recently established their businesses.
In 2023, MSMEs represented 66.97% of the nationโs total employment. The launching of the Business Expansion loan program is a strategic initiative of DTI-SBCorp that shall foster more inclusive economic developmentโa long-standing goal of the government, particularly the Department of Trade and Industry.
DTI-SBCorp provides loan amounts that range from โฑ50.0 thousand to โฑ3.0 million, with flexible payment terms of up to three years. Loan repayment comes with a 0% interest rate for the first 12 months, followed by a monthly interest rate of 1% based on a diminishing balance for the remaining months.
DTI-SBCorp acknowledge the challenges faced by newly established ventures, which is why the program includes a grace period of up to 12 months, in multiples of 3-month options. These loan program features address the lack of tailored financing solutions for Filipinos who also want to enter the current market but are unable to access the needed support.
Borrowers are required to submit their Mayor's Permit, DTI or SEC registration, government-issued ID, proof of bank account, and any relevant corporate documents, if applicable. Additionally, Business Expansion loan applicants must provide a business plan for loan assessment purposes.
SB Corp. is accepting loan applications through the Borrower Registration System (BRS) portal at https://brs.sbcorp.ph.
Established MSMEs which are venturing into new products or services, as well as businesses with strong potential for high-employment generation are encouraged to submit their applications.
