DTI CARES. Covid-19 affected micro and small enterprises can avail of the financing program of the Department of Trade and Industry (DTI), DTI Iloilo director Judith Degala said on Thursday (June 4, 2020). So far, the Small Business Corporation received more than 800 applications coursed through various DTI offices in Western Visayas. (PNA file photo)
ILOILO CITY – More than 800 small and micro enterprises in Western Visayas have signified their interests to avail of the financing program of the Department of Trade and Industry (DTI) amid this coronavirus disease 2019 (Covid-19) pandemic.
DTI, through Small Business (SB) Corporation - an attached lending institution - made possible the Covid-19 Assistance to Restart Enterprises (CARES) program, said Judith Degala provincial director of DTI Iloilo in a phone interview on Thursday.
“This CARES program is for Covid-19 assistance. These are for small and micro enterprises whose operations are affected by the lockdown,” she said.
The loan amount can only be used for a specific purpose such as business capitalization, payment of the amortization of the business vehicle, and food business that has stopped operations due to damaged inventory.
As of May 31, SB Corporation has received 300 applications from Iloilo; 92 from Capiz; 66 from Guimaras; 75, Negros Occidental; 91, Aklan; and 196 from Antique. These were coursed through various DTI offices in the region.
Those who can borrow are 100 percent Filipino-owned micro or small enterprises, which could either be operating as a single proprietorship, a corporation or accredited with the Department of Labor and Employment.
Moreover, they should be legitimately operating for more than a year immediately prior to March 16, 2020. They should be affected by the implementation of the enhanced community quarantine, she added.
The decline in their sale is very drastic or some even no longer operate, she added.
“For those availing of a bigger loan, their income tax return or financial statement where their capitalization minus the value of their land is indicated will serve as the basis,” she added.
The asset for micro-enterprises should not be more than PHP3 million, while it is above PHP3 million up to PHP 15 million for small enterprises excluding the value of their land.
Micro enterprises can loan from PHP10,000 to PHP50,000 which is payable up to 12 months with six months grace period.
Loans that are more than PHP50,000 up to PHP200,000 are payable up to 24 months with a grace period of six months.
For small enterprises, they can loan up to PHP500,000, which is also payable up to 24 months with a six months grace period.
“It has zero percent interest but the SB Corporation will just automatically deduct from the proceeds of the loan the service charge of six percent if the payment period is up to one year and eight percent for 24 months,” she said.
As of now, no loan amount has been released but the SB Corporation is already in the process of verifying the application, which includes site visitation.
She added that so far no deadline has been set for the application.
The program can be accessed through the Facebook account of the SB Corporation. They can also apply in various DTI offices or call DTI Iloilo at 335-0149 for further details. (PNA)
