SB Corp MSME Loan Guide (Philippines)
Here is a step-by-step guide to applying for an SB Corp loan for MSMEs in the Philippines, including requirements, evaluation timelines, interest, and typical service fees.
What you’ll learn in this SB Corp MSME loan guide
This SB Corp MSME loan guide for the Philippines explains how to prepare documents, apply through the borrower portal, and understand interest, grace period, and service fees so you can choose the right financing for your business.
For related planning, you may also want to read our Business Registration and Bank Account Guide and Basic Bookkeeping and Accounting Guide.
Small Business Corporation (SB Corp) offers government-backed loans for micro, small, and medium enterprises (MSMEs) in the Philippines. Programs may change over time, but the core process and fee structure are generally similar.
Below is a simplified overview based on common SB Corp MSME loan programs. Always confirm the latest details on the official SB Corp website or branch.
Prepare Required Documents
Gather the usual requirements SB Corp asks for:
- Valid government-issued ID of the owner or authorized representative.
- Mayor’s Business Permit (or equivalent business permit from your LGU).
- DTI or SEC business registration documents.
- Proof of bank account (e.g., bank certificate or recent bank statement).
- Corporate documents such as Articles of Incorporation and By-Laws, if you are a partnership or corporation.
- A simple business plan and proof of sales or financial performance (e.g., sales summary, financial statements, or internal reports).
Create an SB Corp Borrower Account
New SB Corp borrowers must register via the SB Corp Borrower Registration System online. Existing borrowers can simply log in to their accounts.
- Go to the official SB Corp borrower portal and choose Register or Create Account.
- Provide your basic business and contact information, then verify your email and/or mobile number.
- Once registered, log in to access your borrower dashboard.
Apply for an SB Corp Loan
Choosing a loan program
From your dashboard, click Apply for a Loan and select the program that best fits your needs, such as:
- Business expansion and working capital.
- Purchase order or invoice financing.
- Sector-specific MSME programs (e.g., tourism, women entrepreneurs, OFWs).
Submitting your application
Typically you will:
- Answer the online questionnaire about your business size, years in operation, and purpose of the loan.
- Upload scanned copies of your IDs, permits, registration, bank documents, and financials.
- In some cases, submit physical copies at the nearest SB Corp office if requested. Requirements can vary by program.
Undergo Evaluation
SB Corp will conduct a combination of background checks, site visits, and financial analysis based on your documents.
- Expect the evaluation process to take about 15 to 30 days in many programs, depending on volume and completeness of requirements.
- You may be contacted for clarifications or additional documents, especially for larger loan amounts.
Loan Approval and Agreement
If approved, SB Corp will issue a loan approval notice and a loan agreement describing the terms and conditions.
- Review the interest rate, grace period, collateral (if any), and repayment schedule carefully.
- Sign the loan agreement and any related documents as instructed.
- Return the signed documents to SB Corp by the specified deadline.
Loan Disbursement
Once documentation is complete, SB Corp will release the loan proceeds to your indicated bank account.
Make sure the account details you provided are correct and active, as this will also be used for verifying your financial transactions going forward.
💰 Loan Amounts, Interest, and Service Fees
| Feature | Details (Typical) |
|---|---|
| Loan amount range | Around ₱50,000 up to ₱3 million for many MSME programs, with some specialized programs going up to about ₱20 million. |
| Interest rate | Often 0% interest for the first 12 months, then around 1% per month on the diminishing balance thereafter, depending on the program. |
| Repayment term | Up to 3 years repayment, with an option for a grace period of up to 6 months before regular amortizations start. |
| Service / front-end fees | One-time service fees typically range from about 4% to 8% of the approved loan amount, depending on the loan term length and the specific SB Corp program. |
| Monthly payments | Regular amortizations usually start after the grace period, based on your remaining principal and the applicable interest rate. |
Additional Notes and Eligibility
Business and documentation
- Some SB Corp loans require at least one year of business operation and proof of actual sales.
- The loanable amount is influenced by your business size, ability to pay, and quality of documentation.
- Keep your financial records organized to speed up evaluation and improve your chances of approval.
Targeted programs
- SB Corp has programs dedicated to women entrepreneurs, OFWs, tourism MSMEs, and other priority sectors.
- Check which program you qualify for so you can access the most favorable terms available to your sector.