The Small Business Corporation (SB Corporation), the micro financing arm of the Department of Trade and Industry for start-up businesses in the Philippines, has launched a P100-million loan facility for repatriated Overseas Filipino Workers (OFWs) who were retrenched due to the coronavirus pandemic.
This has also been announced by President Rodrigo Duterte during his fifth State of the Nation Address on Monday, July 27.
The program called Helping the Economy Recover thru OFW Enterprise Start-ups (HEROES) aims to provide opportunity for repatriated OFWs to rebuild their lives in the country by becoming entrepreneurs.
To qualify under the loan facility, returning OFWs must present a video pitch of his/her start-up business pro¬posal outlining key components on the nature of business, product knowledge, management capability, market opportunity, competitive advantage, financial understanding and business continuity.
Loan proceeds should strictly be used for working capital to start and sustain the business operations. The loan may be used for the acquisition, production and sale of products and required inventory, necessary equipment and machinery for the business, payment of initial worth of operating costs incurred such as payroll, rent, utilities and fixed asset loans.
OFWs may borrow a minimum of P10,000 up to maximum of P100,000 free of interest and collateral. A service fee of 6% will be charged to loans with 24 months payment term and 8% for loans with 36 months payment terms (inclusive of 12 months grace period).
The application process will start with the pre-registration for the online training with the Philippine Trade Training Center (PTTC) which can be accessed using this link: bit.ly/HEROESPreReg
Upon completion of the training, qualified applicants will be given instructions on how to submit their loan applications with the following requirements:
• Accomplished Loan Application Form
• One (1) Government-issued ID with photo
• OWWA Certification or proof of being a repatriated OFW
• AVP of Business Plan
• DTI Registration
• Certificate of completion of an online training session for start-ups conducted by PTTC
• For additional information interested OFWs may visit www.sbgfc.org.ph.
HEROES is a component program of the Pondo sa Pagbabago at Pag-asenso (P3) fund under the Department of Trade and Industry (DTI).
