SME-Equity Ventures Program (EVP)
Program Title: SME-Equity Ventures Program (EVP)
Program Objectives: To support the financing needs of small and medium enterprises (SMEs) that are ready to develop into a higher level of marketing, technical, management and production operations.
The program shall be implemented with a private sector partner who shall put up a counterpart fund equal to the EVP fund. Equity investments in SMEs between the SB Corporation and its partner shall be on a 50:50 basis. The Small Business Corporation and its partner shall jointly manage the investment fund.
Eligible Investee Firm:
- SME Corporation or an enterprise willing to incorporate if it is a registered proprietorship/ partnership entity;
- Must have a well-defined business plan which has been developed in identifying the potential revenue/income and resource requirements needed to attain and sustain success;
- Have a track record of success in the targeted industry and technology. It must already be operating profitably, or if not, close to commercializing its products and/or services with an early indication of market acceptance;
- The products or services of the enterprise have the potential of becoming nationally, if not globally competitive;
- If using a new technology, must be able to show appropriate technology transfer arrangement of the key intellectual property rights. It must be able to present a working prototype of the technology or product application;
- Must have a capable and experienced management team with at least one (1) key senior officer with a similar record in managing similar companies; and
- The directors and officers of the SME have impeccable integrity to safeguard the interest of its stockholders, creditors, and customers.
Investment Areas:
- Industrial and manufacturing projects;
- Agri-business projects;
- Services projects;
- Tourism and environmental projects.
Purpose of Equity Venture Financing:
- Acquisition of machinery and equipment;
- Building improvement/expansion or construction of plant facilities; and
- Working capital.
Terms/Requirements:
Amount: Maximum of P20.0 Million or not more than 40% of the authorized capital of the SME, whichever is lower.
Documentary Requirements:
- Letter on intent and application form;
- Company background, history and profile;
- Business Plan/Feasibility Study;
- Business Permits and Licenses;
- Certificate of registration with the DTI, Securities and Exchange Commission (SEC), and other authorities;
- Articles of Incorporation and By-Laws together with all amendments thereon;
- Latest audited financial statements (cash flow, income statement, balance sheet including supplementary statements and schedules), and income tax return;
- Biodata of officers and Board of Directors;
- Pro-forma invoice/bill of materials and specifications, project plans and contracts; and,
- Titles, tax declarations, location plan, current tax receipts of properties.
Contact Details:
Mr. Charles G. Belgica
Special Projects Office
Phone: (02) 751-1888, Fax: (02) 813-5726
E-mail: cbelgica@sbgfc.org.ph, spo@sbgfc.org.ph
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