Zero-Interest Loan For 13th Month Pay Offered to Micro, Small Businesses

Around 8,000 micro and small businesses are eligible to apply for 13th month pay loans from the government through its lending arm Small Business Corp. (SBCorp)

SBCorp launched its loan facility with allotted funds of PHP500 miliion, aims to aid micro-small businesses for the 13th month pay of their employees.

SBCorp is the financing arm of the Department of Trade and Industry (DTI), and the Department of Labor and Employment (DOLE).

Among the eligible companies for the 13th month pay loan are companies with the number of employees being 40 and below, and have listed with the flexible work arrangement with DOLE between the dates of January 4 to October 5 this year.

Of the 8,000 eligible firms for the loan, only 77 applied since the opening of the program on November 2 of this year.

25 of the 77 firms who applied were granted with the loan.

With the COVID-19 pandemic still wreaking havoc in the country, SBCorp said that they are open to the restructuring of loan payment plans and grace periods should companies have find difficulties in paying the loan. (GFB)