ILOILO City — A livelihood initiative pushed by Mayor Raisa Treñas to help small business owners and aspiring entrepreneurs gain better access to capital is moving closer to implementation following the Sangguniang Panlungsod’s approval of the UNA Credit Access for Resilient Enterprises (CAREs) Ordinance.
The program, backed by an initial P3-million fund, will provide qualified nano entrepreneurs with interest-free loans ranging from P5,000 to P100,000 to help them start, sustain, and expand their businesses.
Welcoming the passage of the measure, Treñas expressed elation over the council’s approval, saying the program fulfills her administration’s goal of providing financial assistance and business support to Ilonggos who want to establish or sustain their own livelihood.
“This is one of the initiatives I have pushed for under my administration to provide our small business owners, especially our nano entrepreneurs, with better access to capital and business support. From the start, gusto ko gid nga may programa kita nga makabulig sa aton mga Ilonggo nga may negosyo ukon gusto magsugod sang ila kaugalingon nga pangabuhian, pero limitado ang kapital,” the mayor said.
Treñas said she would sign the ordinance as soon as it reaches her office to facilitate its implementation.
She also thanked Councilor Rudolph Ganzon, author of the measure, and the members of the Sangguniang Panlungsod for supporting the initiative.
“Ang luyag ko, indi lang makasugod sang negosyo ang aton mga Ilonggo, kundi may suporta man sila halin sa city government para mapadayon kag mapadaku ini,” she added.
LOAN TERMS AND QUALIFICATIONS
Under the ordinance, qualified borrowers may avail themselves of loans from P5,000 to P100,000, payable in six to 18 months through equal monthly installments.
Although the loans carry zero interest, borrowers will pay a one-time service fee equivalent to 1.5 percent of the approved loan amount. The program also allows a grace period of up to 60 days from loan release, subject to an approved cash flow justification.
To qualify, applicants must operate a business within Iloilo City, employ no more than three workers, including the owner, and have total assets not exceeding P250,000, excluding land.
Applicants must also have a valid city business permit or simplified registration certificate, a current barangay clearance, proof of Iloilo City residency, and at least one qualified co-maker or guarantor.
The ordinance prioritizes entrepreneurs from vulnerable and underserved sectors, including women, persons with disabilities, solo parents, returning overseas Filipino workers starting businesses, informal sector workers transitioning to formal businesses, and agripreneurs.
MORE THAN FINANCIAL ASSISTANCE
Beyond providing access to capital, the UNA CAREs Program requires complementary business development services to help beneficiaries sustain and grow their enterprises.
These include entrepreneurship and business development training, financial literacy and management seminars, business mentoring and coaching, and market-linkage and networking opportunities.
The Iloilo City Local Economic Development and Investment Promotion (LEDIP) Office will serve as the implementing office, while a Loan Evaluation Committee chaired by the city mayor will oversee the evaluation of applications.
The program also establishes a revolving loan fund, with repayments and other program-generated revenues returning to the fund to finance assistance for future beneficiaries.
Through UNA CAREs, the city government aims not only to help Ilonggos start their own businesses but also to provide the financial and technical assistance needed to strengthen their livelihoods, generate employment, and improve their families’ quality of life./PN
