Wholesale Lending Window For Graduating Micros And BMBEs (Small Business Corporation)

SMALL BUSINESS CORPORATION (Small Business Guarantee and Finance Corporation)
17th & 18th Floors, 139 Corporate Centre, Valero Street Salcedo Village, Makati City

Wholesale Lending Window for Graduating Micros and BMBEs (Small Business Corporation) 1

Program Title: WHOLESALE LENDING WINDOW FOR GRADUATING MICROS AND BMBEs (For All SBC Accredited Financial Institutions)

Sub-Borrower Definition:
* With asset size of not more than P3.0 Million; and
* Total loans inclusive of the PFI’s is not more than P500 Thousand.

Consideration Granted on the Sub-borrower:
* May be on clean basis in terms of collateral cover
* Any valid permit will suffice as business registration
* Financial information simply based on the certification of the PFI will suffice, in the absence of full financial statements

Terms/Requirements:

Funding:
* In the form of a one-year omnibus credit line (OCL) available for the PFI’s short-term and medium-term graduating micros portfolio. The OCL amount is based on SBC’s assessment of the PFI’s absorptive capacity and risk rate.
An increase in the OCL amount may be requested during the life of the loan facility.

* Funding may be up to 90% of the outstanding loan balance of the sub-loan but not to exceed P500,000 per sub-borrower:
* SBC offers the following funding options:
o Short-term portfolio rediscounting, where a batch of sub-loans is funded based on the earliest maturing PN
o Individual rediscounting where there is matching of terms
o Advance drawdown (for liquidation in 30 days)

Validity Period: The graduating micro may be funded by SBC under these relaxed terms for a period of not more than four years.

Documentation Requirements for Availment:

For submission to SBC prior to loan release:
* Information sheet of the sub-borrower as prepared by the PFI (SBC Form)
* PFI loan approval in favor of sub-borrower
* Sub-borrower’s PN with consent to assignment, disclosure statement and amortization schedule

Should be available at the PFI office for SBC post-release audit:
* Loan agreement between PFI and sub-borrower, if applicable
* PFI’s loan ledger on sub-borrower
* PFI’s calculation of the sub-borrower’s financials
* Sub-borrower’s business permit or certification

Miscellaneous Guidelines:
* The PFI may avail in batches of less than P500 Thousand under the window, but the loan floor of P100 Thousand per sub-borrower shall remain.
* Any micro-enterprise that complies with all the standards of SBC on collateral cover, on business registration with DTI or SEC and on the full financial statements may be funded under the regular SME Wholesale Lending Program.
* In addition to banks and to NBFIs, the Window is also open to microfinance institutions such as cooperatives and non-government organizations that have graduating micro-borrowers.

Pass-on Interest Rate – available upon request

Contact Details:
SB Corporation Head Office
17thFloor, 139 Corporate Centre Valero St., Salcedo Village, Makati City
Phone No. (632) 751.1888
Fax No.: (632) 894.1677
URL: www.sbgfc.org.ph