SME Unified Lending Opportunities for National Growth (SULONG)
Program Title: SME Unified Lending Opportunities for National Growth (SULONG)
Program Objective: To provide SSS members, belonging to the small and medium enterprises (SMEs) category, greater access to short and long-term funds through SSS accredited conduit banks/ participating financial institutions (PFIs) which will re-lend the fund to qualified SSS member-borrowers.
Loan Purposes:
- Short-Term Loan – export packing credit, and temporary working capital;
- Long-Term Loan – purchase of equipment, building or warehouse construction, purchase of lot, purchase of inventories or as permanent working capital
Eligible Borrowers:
- Existing private enterprises in all industries except trading of imported goods, liquor, cigarettes, and extractive industries like mining or quarrying;
- At least 60% Filipino owned;
- Asset size of not more than P100.0 million excluding land;
- Have positive income for the previous year (if previous year’s income is negative, the average income of the past two or three years should be positive);
- Have debt-to-equity ratio of not more than 80:20 after financing, or 70:30 if borrower is a franchisee; and
- SSS member-employers of good standing.
Terms/Requirements:
Amount:
- Short-Term Loans – Up to 70% of the value of the Letter of Credit or Purchase Order for export packing, or 70% of the working capital requirement, or maximum of P5.0 Million.
- Long-Term Loans – Up to 80% of the incremental project cost, or maximum of P5.0 Million.
Interest Rates:
- Short-Term Loans
- To PFI – Fixed rate based on prevailing 364-day T-bill Rate,
- To End-user/ Borrower – PFI’s option
- Long-Term Loans
- To PFI – Over 1-5 yr. term loan based on the prevailing T-Bond rate but not to exceed 10% p.a.
- To End-user/ Borrower – PFI’s option
Maturity / Repayment:
- Short-Term Loans – Maximum of one (1) year.
- Long-Term Loans – Maximum of five (5) years with one (1) year grace period on principal payment.
Security:
a. Short-Term Loans
- Postdated Check
- Registered/Unregistered Real Estate Mortgage (REM) or Chattel Mortgage (CM)
- Assignment of Letter of Credit (LC) or Purchase Order (PO) (for export packing credit only)
- Assignment of Life Insurance
- Guarantee Cover
- Corporate Guarantee (if franchisee; for credit line-temporary working capital only)
- Assignment of Lease Rights (if franchisee; for credit line-temporary working capital only)
b. Long-Term Loans
- Postdated check
- Registered/Unregistered REM/CM
- Assignment of Life Insurance
- Corporate Guarantee (if franchisee)
- Assignment of Lease Rights (if franchisee)
Contact Details:
Social Security System (SSS)
Institutional Loans Department (ILD)
SSS Building, East Avenue, Diliman, Quezon City
Phone: (02) 927.8249, 920-6401 locals 5115 or 5118
Email: marquezls@sss.gov.ph
Mar 17th, 2009 at 6:44 pm
I am a Self-employed SSS member.Can i avail on your loan program for SME’s ?
May 6th, 2009 at 8:44 pm
im happy to discover this website until it says it is sponsored by the DTI. its another info about our government programs for SMEs that only look good but you could only look at it. im a businessman for many many years and im very frusrated how the DTI has handled, correction mishandled, the supposed programs for SMEs. We are still in the era where you need connections to avail of benefits from government progrmas. its been some years now that ive been trying to register as a BMBE but the DTI field office in my area seems at a loss on how to go about it.they are aware of it but they could not assist in the registration, the local government knows nothing about BMBE. if you complain, then you will be considered a political opponent and city hall will make things hard for you.
This website lists more than 20 programs for financing but is there one that is real. Firstly, the government speifically the SSS claims that it has programs for SMEs but there is really none. what happens is that SSS gives its money to the bank for re-lending at a margin. i have always been wondering why the SSS would not lend the members’ money directly to the members? that way you save a little with the margin the banks would be getting plus the SSS would be sure that they are lending to those who need the money and not to those who already have it.
May 7th, 2009 at 7:41 am
Hello Mr. Carlos, SSS cannot directly lend money to SME. They were not created to to be a lending institution. They have the funds but they cannot directly release the funds to borrower SME that is why they use banks as conduits. Remember SSS is Social Security Services it protects the welfare of employees not SME’s. They lend the money to banks as a form of investement
But if you really need money for your business maybe our bank can help. please feel free to call 8450835
Jun 19th, 2009 at 6:43 pm
Hello Erwin,
We are trying to organize finance for and to date we have invested between 6 and 8 million in a Palm Oil project and some other assets. The farm is producing fruit and has quite a nice income. However, because we live in Mindanao and in a small community within that island it seems that everyone gets ‘turned off’ by this. We are truly honest and have some urgent work to do but it seems that Banks do not want to lend to people for agri businesses. I am happy to provide any info you want but without sounding ‘blunt’ we no longer have 7 months to finalize a loan which is how long we have been dealing with a local company and still have no approval or disapproval. We need 800,000 to 1,000,000 for 5 years to do this work. We try hard and employ locals in a very remote part of Mindanao but even our requests have fallen on deaf ears from banks to senators and congressman.
I understand you may not be able to help us but do you have contacts or know people who we could approach down here. There are plenty of assets available to cover the loan and for that reason I cannot see why we are having so much trouble. We have no record of bad cheques or arrears.
Thanks and all the best
Dave
Sep 6th, 2009 at 4:01 pm
any gov. agency can help us or give us an idea to finance our project in housing … one of my relative own a 2500 sqm. lot and its vacant as of this time now we are planing to buy this property to sub divide it and build our own house in this area … we are compose of 20 pilipino who are planing to buy and have this property and we are willing to settle the terms of payment in 2 to 5 years to some gov. agency who finance our project.. small comunity housing …. hope any one here can give us an idea how we canget the suficient fund to build this small comunity dream possible. this project is costing around 2 million pesos only to buy the property and sub divide it and documentation needed. your not just helping us but it also helping pilipinos home less to have their own property. more power to all goverment agency in the philippines…
CONTACT INFO: 09187981011 OR email@ buz_man_6900@yahoo.com
Nov 1st, 2009 at 6:32 pm
Dave
I can assist you in packaging your required loan amount. I am a consultant engaged in preparing feasibility studies and assisting loan packages.
Please call me at 09085946641/092777922945-DARIO QUITAN
Nov 1st, 2009 at 6:37 pm
If you want to start a business or having an existing business and you want to avail a loan. The following documents must be prepared:
* Project Feasibility Study of the proposed business or exisitng business
* Business Name, Business Permits (Mayor, Brgy, BIR, etc)
* Collateral(Real Estate)
– Title
– Tax Declaration
– Tax Reciepts
– Tax Clearance
– Location Map, Boundary Survey
* Market Contract
* Letter of Intent
I am engaged in consultancy services and I can assist you in facilitating the requirements of your loan
You can contact me at 09085946641/09277922945 Dario Quitan