Are you an overseas Filipino worker (OFW) dreaming of becoming an entrepreneur in your own country? Do you intend to run your own business and stay in the Philippines for good?
In order to provide assistance to OFWs who intend to venture into business in the Philippines, the Overseas Workers Welfare Administration (OWWA) is offering business loan under its Reintegration Loan Assistance Program. Through this program, OFWs can loan Php300,000 up to P2 million with an interest rate of 7.5% per year to launch their own small business or even expand their own existing business enterprises.
With the implementation of this program, OFWs may no longer need to keep going back abroad to generate sufficient funds to support their family.
Here are the basic requirements to avail of the loan:
- Accomplished OWWA Information Sheet
- Certificate in Entrepreneurial Development Training
- Business Plan that shows clear description of business project that can earn at least P10,000 a month
Requirements for OFWs with existing businesses:
- Mayor’s Permit
- Certificate of Registration from DTI
- Certificate of Income Tax Return for the past 3 years
- Financial Statements filed in the Bureau of Internal Revenue (BIR) for the past years
- Updated temporary financial statement
- Business’s Statement of Assets and Liabilities
Requirements and specific business plans must be submitted to any OWWA regional office, preferably in the same area where the applicant resides.
Keep in mind that eligible borrowers must be a member of the OWWA and that the loan fund must be used solely for business. You may opt to avail of short-term loans which is payable within one year or long-term loans which is payable up to seven years. A loan security or collateral, such as purchase orders of confirmed clients, machines, equipment or any assets that can be mortgaged such as land titles, may be required.
Source: OWWA, businessnews.com.ph