First Circle Philippines Business Loans

What is a Credit Line?

A Credit Line is a type of business loan that works like a credit card for your business. It provides you a credit limit from which you can withdraw a business loan from any time. This flexible access to funds acts like a free cash insurance for your business, extending your working capital to meet cash flow gaps and expansion needs.

You can use and re-use your full credit limit, borrow only a portion, or not use it at all. Your monthly interest rate will only apply to the portion of the credit line that you used. Once you've made a business loan from your First Circle Credit Line, paying it back will allow you to access your full credit limit again.

What is the difference between a credit line and a business loan?

Most business loans in the Philippines are term loans: a large lump sum loaned upfront. The borrower is expected to make monthly or quarterly repayments plus interest over their loan period, whether they used the money or not. Term loans are best for a large one-time purchase or cash flow gap.
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A credit line gives you a set amount of money that you can dip into whenever the business need arises. You only apply for a credit line once; once it is active, you can withdraw funds without submitting any more business loan requirements. The validity period of a credit line is usually 12 months. With First Circle, you also won't pay anything until you use your funds.

How is your business loan different from a bank business loan?

The biggest difference is our non-collateral loan offer. Most banks with business loans will require collateral for loan amounts beyond ₱2 million. In contrast, First Circle offers up to ₱20 million without requesting collateral.

Most bank loans for businesses are also limited to term loans. We are one of the few lending companies in the Philippines offering a credit line with high credit limits. This gives you more flexible access to funds because you don’t need to apply every time you need a business loan. You also get to save on application fees.

Lastly, our application process is faster than most banks offering business loans. If you qualify for a First Circle credit line, you’ll get our offer in just 2 business days. This offer already includes your credit limit and business loan interest rate. In contrast, banks can easily take 10 business days or more to give you an update.

What are your business loan fees and charges?

Application Fee: NONE
Maintenance Fee: NONE
Other Fees: Choose between a per-withdrawal Processing Fee of 1.99%, OR a fixed-rate Subscription Fee for unlimited withdrawals.

How is the Processing Fee different from the Subscription Fee?

Before withdrawing a business loan, you’ll be asked to choose between two types of convenience fee: a Processing Fee or Subscription Fee.

Processing Fee
Best if you don’t plan to withdraw often, or if you are using your line as an emergency fund
- 1.99% of your business loan withdrawal amount
- Only charged whenever you use your credit line

Subscription Fee
Best if you expect to withdraw a new business loan from your line frequently
- Unlimited withdrawals for the entirety of your credit line validity period
- The fee will vary depending on your chosen frequency of subscription fee repayment: Annual (3.99% of line amount), Bi-Annual (4.8% of line amount), or Quarterly (6% of line amount).

What are your application requirements?

Start your application by requesting for a free credit line assessment in our Application Page. You'll only have to provide the following information:
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1. Business owner's full name and contact details
2. Business loan amount and purpose
3. Registered business name in BIR, DTI, and/or SEC
4. Business industry and estimated monthly revenue

We will request additional documents if your assessment qualifies you for an initial offer. Please be reminded that we do not charge any fees to process our application or maintain your credit line.

What is the credit line application process?

Step 1. Apply online
See if your business is eligible for a First Circle credit line by completing our online application form. A dedicated First Circle contact person will reach out to you regarding your application in 1 business day.
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Step 2. Submit business loan requirements
If you receive an initial credit line offer, your First Circle contact will assist you in collecting the rest of your application requirements.

Step 3. Use and re-use your credit line as needed
Just reach out to your dedicated Account Manager or log in to your First Circle account whenever you need a business loan from your credit limit. We disburse funds to any bank within 1 business day.

See our Process and Requirements page for a better understanding of our processing times and application guidance.

How do I know if my application is approved?

After you complete the online application, we will reach out within 3 days to provide feedback. Should you qualify for an initial financing offer, an assigned First Circle contact person will guide you through our application process. As soon as your requirements are completed, they will also update you about our final credit line decision.

How do I withdraw a business loan from my credit limit?

As soon as your credit line is open, you can request for a business loan withdrawal. Simply contact your Dedicated Account Manager via call, text, or email; or log in to your First Circle account.
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You won't need to provide any more business loan requirements for every business loan withdrawal. Once we validate your request, we'll disburse funds within 2 days.

How do I repay a business loan from my credit line?

When you get a new business loan from your credit line, we will collect post-dated checks from you. We will simply deposit these according to your selected repayment schedule.

You will only be asked to pay for the funds that you used plus monthly interest applied to that amount. You have the choice to pay your dues monthly, bi-monthly, or one-time.

Can I open a credit line even if I don't need it right away?

Yes. You will not be charged any fees if you don't use your line. In fact, many of our clients use their credit line as free cash insurance or emergency fund for their business.

If your credit line is about to lapse, your Account Manager will reach out a few weeks before expiry to help you update your business documents. This will keep your credit line active.

Do you also offer microloans or start up business loans without collateral?

At the moment, First Circle only offers loans for small businesses up to medium enterprises. We define this as any business which has been operating for at least 6 months and with an updated annual revenue of at least ₱5 million.

You may check out our guide to government loans for small businesses in the Philippines, which covers OFW loans and other types of small business loans from our official partner, DTI.

If you are a new business owner, you may also check out our guide to business loans for startups, or other sources of funding for a startup.

What is First Circle?

First Circle is an SEC-registered fintech company in the Philippines providing affordable business loans. We do this through our Credit Line, which helps businesses fund expansion, cover cash flow gaps, and extend their working capital.

An official financing partner of DTI and the Quezon City Local Government Unit, First Circle is consistently recognized as one of the best loan providers in the Philippines. We made it to the Inquirer Growth Champions 2023 List and the Financial Times Asia-Pacific High Growth Companies 2023 List.

Learn more about us and our mission to provide fast, fair, and flexible business loans in the Philippines.

Get a business loan in 1 day

What makes our product the best in the market?

What are our rates & terms?

Business Annual Revenue

Credit Limit

Monthly Interest

Fees

Collateral requirement

Loan Period

Repayment options

Best Price Guarantee

What are our eligibility requirements?

How to apply

Step 1. Apply online

Step 2. Submit requirements

Step 3. Use your credit line

What are your documentary requirements?

Valid Government ID

Audited Financial Statement (AFS) or Income Tax Return (ITR)

Bank Statements

Trading Relationships

Proof of Ongoing or Upcoming Projects