SBCorp’s Purchase Order Financing Program is a government-backed loan assistance initiative by the Small Business Corporation (SBCorp), the financing arm of the Department of Trade and Industry (DTI), that helps micro, small, and medium enterprises (MSMEs) fund and fulfill confirmed purchase orders from clients. It provides short-term financing of up to 80% of the purchase order value, allowing businesses to meet customer demand without cash flow problems. Applications are done online and eligible MSMEs are encouraged to apply and avail of the support it offers to sustain operations, accept bigger orders, and grow their enterprise without financial strain.
If you’re an MSME owner struggling with limited working capital, this guide will walk you through the procedures to avail of the SBCorp Purchase Order Financing Program to help with the short-term funding you need to complete purchase orders and meet your business’ growing demand.
What is the SBCorp Purchase Order Financing Program?
The SBCorp Purchase Order Financing Program is a loan assistance program designed to help MSMEs fulfill confirmed purchase orders (POs) from buyers. It allows businesses to borrow funds to buy raw materials, produce goods, or deliver services promised to their clients. Through this program, MSMEs no longer have to turn down big opportunities just because they lack immediate capital.
This program is part of SBCorp’s efforts to support local entrepreneurs and strengthen the country’s small business sector. It’s especially useful for businesses that are expanding or receiving more orders than usual but need extra funding to meet the demand without being held back by cash flow issues.
Loan Features
Here’s a quick list of what SBCorp. is offering to MSMEs under this program:
- Loan Amount: ₱30,000 to ₱20 million
- Loanable Amount: Up to 80% of Purchase Order value
- Loan Term: Minimum of 30 days, maximum of 360 days
- Interest Rate: 1% per 30-day period
- Credit Line: Can increase up to ₱20 million
- Drawdowns: Multiple drawdowns allowed against your credit limit
This short-term financing is available to MSMEs with purchase orders from local or international buyers, including:
- Top 5,000 corporations in the Philippines
- Industry anchor firms and franchisors
- Foreign companies importing from registered Philippine businesses
Benefits
Here are some of the best reasons to go apply for and avail of the benefits offered by SBCorp under their Purchase Order Financing Program:
- Accessible funding: Borrow up to 80% of your purchase order amount.
- Low interest rate: Only 1% per 30 days, making it affordable for small businesses.
- Flexible loan terms: Choose between 30 days to 360 days repayment.
- High credit limit: Credit line can increase up to ₱20 million with multiple drawdowns.
- Government-backed program: Supported by SBCorp and the DTI, giving you a safe and legitimate financing option.
Who Can Apply?
The program is open to all MSMEs in the Philippines that meet the following criteria:
- Must have been operating for at least one (1) year.
- Must have successfully completed at least three (3) purchase orders within the last two (2) years.
Documentary Requirements
When applying, make sure to prepare the following documents. Having these ready will make your application smoother and faster.
General Requirements
- Government-issued valid ID
- Mayor’s Business Permit or BMBE Certificate
- DTI or SEC Registration
- Proof of Bank Account
- Corporate documents (if applicable)
- Proof of Sales or recent Purchase Orders
Additional Requirements Based on Loan Amount
- For loans up to ₱100,000: Barangay Certification
- For loans over ₱100,000: Mayor’s Permit or BMBE Certificate
How to Apply for the SBCorp Purchase Order Financing Program
Here’s a step-by-step guide to help you through the process:
Step 1: Visit the SBCorp Application Portal
Go to www.app.sbcorp.ph using your web browser.
Step 2: Create or Log In to Your Account
- If you’re new, click “Create New Account” (green button).
- If you already have an SBCorp account, log in using your email and password.
Step 3: Apply for a Loan
Once logged in, click “Apply for a Loan” on your dashboard.
Step 4: Fill Out the Application Form
Complete the form and attach all required documents. Double-check everything for accuracy.
Step 5: Submit Your Application
After reviewing your details, click “Submit Application.”
What Happens After You Apply?
Upon submission, your loan application goes through several review steps:
1. Business Information Assessment
SBCorp validates your submitted documents and business information. If something needs correction or resubmission, you’ll receive an email notification.
2. Credit Standing Assessment
SBCorp checks your credit record and repayment history from other financial institutions.
3. Financial Performance Assessment
Your business’s financial health, sales, and repayment capacity will be reviewed to determine loan eligibility.
4. Credit Decision
The Credit Committee will either approve or deny your application based on the assessments.
How Will You Know the Status of Your Application?
You can monitor your loan status in these ways:
- Log in to your SBCorp Money App dashboard
- Check your registered email for updates
- Email: sbcorporation@sbcorp.gov.ph
- Call the SBCorp hotline: (632) 5328 1100 to 10 / 5328 1112 to 16 Local 1776
If Your Application Needs Corrections
If SBCorp notifies you about missing documents or data corrections:
Step 1. Follow the email instructions carefully.
Step 2. Log in to your SBCorp Money App account.
Step 3. Edit or upload the required files.
Step 4. Resubmit your updated information.
Note: Do not email or submit physical documents. Only documents uploaded through the system will be processed.
What Happens If You’re Approved?
Once your loan is approved:
- The Loan Releasing Team will prepare the necessary documents including your Promissory Note and Disclosure Statement.
- An SBCorp representative will contact you for signing and submission of pre-release requirements.
- After signing, your loan will be released within 3 to 5 working days.
Video: SBCorp Loan Requirements and Process
For a visual walkthrough on the loan process and requirements for each program offered to MSMEs by SBCorp., you may check out this video below:
Contact Information
For inquiries and assistance, you may contact:
Small Business Corporation (SBCorp)
- Office Address: 17th & 18th Floors, 139 Corporate Center, Valero St., Salcedo Village, Makati City 1227,
- Philippines
- Tel. No.: (632) 5328 1100 to 10 / 5328 1112 to 16 Local 177
- Email Address: sbcorporation@sbcorp.gov.ph
- Official Website: https://www.sbcorp.gov.ph