Who Should You Borrow From? 25+ Legitimate Business Loan Offers in the Philippines

With so many banks, financing companies, and loan apps in the Philippines, finding a suitable business loan can feel like a massive undertaking. Each lender has its own eligibility criteria, rates, and terms. But in the end, remember: the best business loan is the one that gives you the amount you need, at a rate and repayment schedule you can afford.

Important: All legitimate business loan applications require your BIR registration, DTI/SEC registration, and financial documents such as income tax returns. See the most common business documents you have to prepare.

What should I know before taking out a business loan?

It's best to understand the basics of business loans before applying for one. This will give you the answers to the most common questions that come up during the loan application process:

1. What do you need the business loan for? This determines the type of business loan you need — a term loan, credit line, invoice financing, or project financing.
2. How much money do you need? An exact number keeps you from over-borrowing, preventing higher monthly obligations than necessary.
3. ‍How soon do you need the money? Helps narrow down which lender to approach.
4. Are you willing to pledge collateral? Collateral loans can reduce your monthly interest rate and get you a bigger loan amount – at a risk to your collateral assets.
5. What is the monthly interest rate you can afford? There's no single "best" interest rate. In fact, some low-interest loans can still result in higher monthly repayments when annual fees and terms like “variable interest rate” are factored in. Learn how to compare interest rates.
6. How much are you willing to pay monthly, and for how long? Longer repayment periods can mean lower monthly payments, but overall higher total interest.
7. Is your lender legitimate? Confirm that your lender is regulated by the SEC or BSP, and that you are dealing with their official channel or loan representative.

Which business lenders are covered in the article?

We cover four categories: banks; SEC-regulated financing companies and lending companies (including our company, First Circle); government financial institutions; and digital wallets and loan apps.

Financing companies and lending companies: for speed and non-collateral loans

Banks are usually the first lenders MSMEs think of, but their extensive paperwork and processing times don’t always suit every borrower. This is the gap that non-bank financing institutions (NBFIs) – SEC-regulated financing companies and lending companies – seek to fill. Many offer faster approvals than banks due to digital processing and lighter eligibility requirements, making them a more accessible option for non-collateral loans – especially for MSMEs that may not meet the 2-3 years in business that most banks require.

When should you borrow from a non-bank financing company?

• You need financing urgently, or want a faster application process – ideally less than a week.
• You are a new business with good revenue records but less than 1 year in business operations.
• You want the flexibility and ease of not having to post collateral.

Business loans and credit lines from financing companies in the Philippines

1. First Circle Business Credit Line¹

• Credit limit: Up to ₱25M
• Interest rate: As low as 0.79% per month
• Loan term: 1–12 months. Credit line valid for 1 year with option to renew.
• Fees: Free to open and maintain. You only pay when you use your credit line.
• Processing time: 1 business day after completing requirements. 

2. First Circle Business Credit Plus¹

• Credit limit: Up to ₱25M
• Interest rate: As low as 1.29% per month
• Loan term: 13–24 months
• Fees: Free to open and maintain. You only pay when you use your credit line.
• Processing time: 1 business day after completing requirements. 

3. First Circle Express Business Loan¹

• Credit limit: ₱100,000–₱25M
• Interest rate: 0%
• Loan term: Up to 1 month
• Fees: One-time, fixed processing fee of 1-4% depending on credit limit size.
• Processing time: 1 business day after completing requirements.

First Circle’s financing products are all non-collateral and free to open. We only require at least 1 year of business operations for B2Cs (none for B2Bs), and an annual revenue of at least ₱1M for B2Bs and ₱25M for B2Cs. You only pay when you use your credit line. Apply online and draw down in as fast as 24 hours.

4. JK Capital Secured/Unsecured Business Loan

• Loan amount: ₱300,000–₱50M, depending on collateral value or business cash flow
• Interest rate: 2%–3.5% per month
• Loan term: 3-24 months
• Collateral: optional.
• Other requirements: At least 1 year of operations; active bank account for at least 1 year
• Fees: Processing fee starting at 2%
• Processing time: 5–7 business days; may take longer if with collateral asset evaluation

Source: JK Capital – Business Loans

5. Zenith Capital Ka-Azenso SME Quick Loan

• Loan amount: Up to ₱1M
• Interest rate: Starts at 2.50% per month (based on online loan calculator)
• Loan term: Starts at 3 months (based on online loan calculator)
• Collateral: Not required
• Other requirements: DTI/SEC registration; at least 3 months of recent bank statements
• Fees: 5.0% processing fee
• Processing time: 2-5 business days

Source: Zenith Capital – SME Loans | Products

6. Zenith Capital ZenPlus Corporate Fund

• Loan amount: Up to ₱100M
• Interest rate: Non-collateral loans start at 3.5% per month; collateral loans at 2.5% per month
• Loan term: Minimum of 3 months and a maximum of 6 months depending on the loan type.
• Collateral: None for non-collateral loans from ₱500,000-₱20M; required for loans up to ₱100M.
• Other requirements: DTI/SEC registration; at least 3 months of bank statements
• Fees: 5.0% processing fee
• Processing time: 2-5 business days

Source: Zenith Capital – Corporate Loans | Products

7. Esquire Financing Business Loan

• Loan amount: Up to ₱100M
• Interest rate: Determined by the credit committee based on loan amount and term¹
• Loan term: Not specified
• Collateral: Not required
• Other requirements: Business registered and operational for at least 1 year; active checking or savings account; latest 3 months' bank statements
• Fees: Not specified
• Processing time: Credit decision within 3 business days or less

Source: Esquire Financing – Business Loans

8. Discovery Capital Business Loan

• Loan amount: ₱300,000 to ₱10M for non-collateral loans; up to ₱30M with collateral
• Interest rate: 3.5% monthly flat rate based on website loan calculator
• Loan term: Up to 12 months for non-collateral loans; up to 36 months with collateral
• Collateral: Collateralized and non-collateralized options available
• Other requirements: SME applicants must have at least 2 years of AFS, 2 consecutive years of BIR-received ITRs, and 6 months of bank statements. 
• Fees: 4% processing fee on non-collateral loans
• Processing time: 7-10 working days for non-collateral loan; 2-3 weeks for collateral loans

Source: Discovery Capital homepage (loan calculator) | Discovery Capital – Business Loans

9. PG Finance Business Loan

• Loan amount: Not specified¹
• Interest rate: As low as 1% per month based on loan type, borrower profile, and collateral value
• Loan term: 12 to 60 months
• Collateral: Required (residential or commercial real estate)
• Other requirements: At least 6 months of bank statements
• Fees: Not specified.
• Processing time: 7 working days upon complete submission of documents

Source: PG Finance Business Loan | PG Finance

Banks: For credibility and collateral loans with low interest 

If you can offer collateral and don’t need funds right away, banks are worth a look. They are financial cornerstones that have been lending for decades – and if you can meet their requirements, they’ll typically beat everyone else on interest rate. Beyond credibility, however, banks are not always the best option for fast, short-term, or non-collateral business loans. Apart from a lengthy list of documentary requirements, most bank business loans take 5-15 banking days to process – and longer if you need collateral appraisal.

When should you borrow from a bank?

• You're willing to pledge a collateral loan for the lowest possible rate.
• You have a long-term banking relationship and can negotiate terms.
• You can wait a week or longer for processing.
• You have 2+ years in business with multi-year financials and tax records.
• You're financing something large and one-time, like property, equipment, or expansion.

Bank business loan and credit line offers in the Philippines

We've only listed bank business loans open to first-time SME applicants:

1. BPI Ka-Negosyo Ready Loan

BPI business loan option with no collateral requirement and repayment in 6 months.

• Loan amount: minimum ₱300,000
• Interest rate: prevailing market rate² 
• Loan term: up to 6 months.
• Collateral: not required.
• Other requirements: At least 3 years of business operations
• Fees: ₱5,000 processing fee

Source: BPI – Ka-Negosyo Ready Loan

2. BPI Ka-Negosyo SME Loan

BPI business loan option with longer terms of up to 5 years.

• Loan amount: minimum ₱300,000
• Interest rate: prevailing market rate²
• Loan term: up to 5 years.
• Collateral: optional.
• Other requirements: At least 3 years of business operations
• Fees: ₱5,000 processing fee

Source: BPI – Ka-Negosyo SME Loan

3. BPI Ka-Negosyo Credit Line

BPI business credit line option.

• Credit limit: minimum ₱1M
• Interest rate: prevailing market rate² 
• Loan term: 1 year validity with option to renew.
• Collateral: optional.
• Other requirements: At least 3 years of business operations
• Fees: One-time processing fee of ₱5,000; annual fee (0.5% of approved loan amount)

Source: BPI – Ka-Negosyo Credit Line

4. BDO Negosyante Loan

BDO’s non-collateral business loan option, providing up to ₱1 million in financing.

• Loan amount: up to ₱1M
• Interest rate: prevailing market rate²
• Loan term: up to 36 months.
• Collateral: not required.
• Other requirements: At least 2 years of business operations; minimum weekly sales of ₱30,000
• Fees: Post-approval service feel DST fee

Source: BDO Network Bank – Negosyante Loan

5. BDO Multipurpose Loan (Term Loan or Credit Line)

BDO’s collateral business loan option of up to ₱20 million.

• Loan amount: up to 70% of the value of collateral; maximum at ₱20M.
• Interest rate: fixed at 7.00% p.a. for 1 year; 7.50% p.a. for 3 years; 8.00% p.a. for 5 years. Subject to change without prior notice.
• Loan term: 1–10 years for term loan; 1 year validity with option to renew for credit line.
• Collateral: required.
• Other requirements: Audited financial statements for the last 2 years; latest ITR; minimum annual gross sales of ₱1M
• Fees: Appraisal fees; post-approval fees apply
• Processing time: Loan decision within 10 banking days

Source: BDO – Multipurpose Loan

6. Security Bank Business Express Loan

• Loan amount: ₱1M–₱7.5M
• Interest rate: prevailing market rate²
• Loan term: 12–36 months.
• Collateral: not required for loans up to ₱7.5M (conditions apply).
• Other requirements: At least 3 years of business operations; must be profitable for the last 1 year. No outstanding debt exceeding 40% of business monthly income. Business owners must have an existing account with Security Bank OR existing credit card.
• Fees: ₱3,000 processing fee, notarial fees, and DST fees
• Processing time: 5–7 banking days

Source: Security Bank – Business Express Loan

7. Security Bank Business Working Capital (Credit Line)

• Credit limit: ₱10M–₱40M
• Interest rate: 8.63% p.a. for loans ₱10M and above
• Loan term: 3-12 months
• Collateral: required.
• Other requirements: At least 3 years of business operations; must exhibit profitable operations
• Fees: ₱10,000 processing fee for new loan or line renewal; ₱2,000 per drawdown; appraisal fees; real estate mortgage fees
• Processing time: 15-20 banking days

Source: Security Bank – Business Working Capital

8. Security Bank Business Mortgage Loan

• Loan amount: ₱1M–₱50M
• Interest rate: prevailing market rate²
• Loan term: Up to 20 years
• Collateral: required.
• Other requirements: At least 3 years of business operations; must exhibit profitable operations
• Fees: Appraisal fees; real estate mortgage fees
• Processing time: 15-20 banking days

Source: Security Bank – Business Working Capital

9. Unionbank MSME Business Line

• Credit limit: Up to ₱10M
• Interest rate: prevailing market rate²
• Loan term: Renewable annually.
• Collateral: required.
• Other requirements: Latest 2 years financial statements; latest 6 months Bank Statements
• Fees: Annual fee, appraisal fee, notarial fee, registration fee, DST fee, insurance premium

Source: Unionbank MSME Business Line

10. Card SME Bank

CARD SME Bank began operating as a thrift bank in 2011, with its branches located mostly in the CALABARZON region. Apart from express working capital loans and credit lines, CARD SME Bank also caters specifically to producers in the rural sector through their AgriBusiness Loan.

• Credit limit: Starts at ₱100,000 for term loans and ₱500,000 for credit line
• Interest rate: prevailing market rate²
• Loan term: 3 months to 3 years for term loans. Credit line renewable annually.
• Collateral: Not specified
• Other requirements: Not specified
• Fees: Not specified

Source: Card SME Bank Loans

Government programs: accessible, low-interest loans for underserved MSMEs (but expect slower processing)

Government business loans are often designed to reach MSMEs underserved by commercial lenders, such as first-time borrowers and women-owned businesses. If you belong to one such group, a government program can offer favorable terms and a better likelihood of approval compared to a commercial loan. However, likely due to the high number applications received by these high-trust programs, expect slow processing times. In 2024, SB Corp reported that their average loan application processing time was 19 days.

When should you borrow from a government program?

• You qualify under a government-designated priority group. DTI Small Business Corporation (SB Corp), for instance, have specific loan programs for new entrepreneurs, sari-sari store owners, and MSMEs in calamity-affected areas.
• Your business is newly established and wouldn't qualify for the standard 2-3 years’ operating history required by most financing institutions.
• Your business falls under a government department’s focus industries, like agriculture (under the Department of Agriculture), or ICT (under the Department of Science and Technology).
• You aren’t in a rush for funds.

Business loans from government programs in the Philippines

For brevity, we’ve only listed programs open to a large number of MSMEs:

1. SBCorp Business Expansion Financing

• Open to: MSMEs with 3-11 months of operation and at least 3 months of proven sales
• Loan amount: ₱50,000–₱3M
• Interest rate: 0% for the first 12 months, then 1% per month based on diminishing balance.
• Loan term: Monthly up to 3 years
• Collateral and fees: Not specified

Source: SBCorp – MSME Financing Programs

2. SBCorp Purchase Order Financing

• Open to: MSMEs in business for at least 1 year, with at least 3 completed purchase orders in the past 2 years
• Loan amount: Up to 80% of Purchase Order amount (max ₱20 million)
• Interest rate: 1% per 30-day period
• Loan term: 30–360 days
• Collateral and fees: Not specified

Source: SBCorp – MSME Financing Programs

3. SBCorp RISE UP Micro Multi-Purpose Loan

• Open to: Multi-sectoral microenterprises in business for at least 1 year
• Loan amount: up to ₱300,000
• Interest rate: 12% p.a. based on diminishing balance
• Loan term: Payable monthly up to 3 years
• Collateral: not required.
• Fees: 3% processing fee; DST

Source: SBCorp – RISE UP Multi-Purpose Loan

4. SBCorp RISE UP Multi-Purpose Loan for SME First-Time Borrowers

• Open to: Multi-sectoral SMEs in business for at least 2 years, with positive net income for the last 2 years
• Loan amount: up to ₱20M (collateral-free up to ₱3M) 
• Interest rate: 12% p.a. based on diminishing balance
• Loan term: Payable monthly up to 5 years.
• Collateral: required for loans over ₱3M
• Fees: 3% processing fee; DST

Source: SBCorp – RISE UP Multi-Purpose Loan

5. SB Corp Enterprise Rehabilitation Financing (ERF)

An emergency working capital loan for MSMEs recovering from typhoons, earthquakes, and other calamities.

• Open to: MSMEs operating in areas declared under a State of Calamity by the NDRRMC. Must have no past-due SB Corp loans and no major negative credit findings.
• Loan amount: Up to ₱300,000
• Interest rate: 1% per month, based on diminishing balance
• Loan term: Payable monthly up to 3 years, with an optional grace period of up to 6 months
• Collateral: Not specified
• Fees: 3% processing fee; DST

Source: SB Corp Enterprise Rehabilitation Financing

6. SB Corp Youth Enterprise Fund

A collateral-free loan for young Filipino entrepreneurs growing or expanding their business.

• Open to: Filipino youth entrepreneurs aged 18 to 30
• Loan amount: Up to ₱500,000
• Interest rate: 1% per month, based on diminishing balance
• Loan term: Payable monthly up to 3 years
• Collateral: None
• Fees: Not specified

Source: SB Corp Youth Enterprise Fund

7. LANDBANK Emerging FILIPINA Lending Program

• Open to: Registered MSMEs, corporations and cooperatives which are majority (50% plus 1) owned and managed by women. 
• Loan amount: up to 80% of actual need or project cost.
• Interest rate: 5% p.a. fixed for 3 years, subject to annual repricing
• Loan term: For short term facilities, up to 360-day PN; up to 5 years for permanent working capital; up to 10 years for acquisition or construction/renovation of fixed assets
• Collateral: required.
• Other requirements: Audited Financial Statements (FS) for the past three (3) years and the current year interim FS

Source: LANDBANK – Emerging FILIPINA Lending Program

Digital wallets and loan apps: quick access for informal borrowers, but not built for business-scale needs

“Loan apps” and “business loan apps” are something we’re hearing more and more from MSMEs seeking loans, largely because they solve a very real problem: access. If you’re a new business with no formal credit history, loan apps that score your creditworthiness based on your phone or transaction data can get you money in minutes. 

However, loan apps can mean two very different categories – and one isn’t relevant to businesses at all:

• Consumer loan apps. Tala, JuanHand, and GCredit (under GCash) may be managed by SEC-registered lending and financing companies, but the loans are actually personal loans. They disburse up to ₱50,000 per transaction, which is often too small for an SME’s borrowing needs. Interest rates are also higher due to the higher default risk of consumer lending. GCredit charges 5–7% per month, while JuanHand starts at 0.025% daily. For these reasons, we don't recommend these apps over formal business financing.
• Business lending built directly into a bank or e-wallet. A smaller category is business loans issued under a digital wallet or digital bank's own license. Maya Business Flexi Loan and SLoan by Shopee are the clearest examples — both non-collateral, underwritten off app sales and transaction history rather than formal financials, and offering anywhere from ₱500 to ₱3 million in financing. However, these are limited to business owners actively using Maya Business or Shopee Seller Program. The loan amounts may still be too small for some SMEs.

When should you go for a digital wallet business loan?

• You’re a Shopee Seller or a Maya Business account owner who qualifies for their business loans.
• You don't have the credit history and financial records required by commercial lenders.
• You need a small, short-term amount (up to ₱3 million) to bridge a cash flow gap.
• You need the funds immediately and are willing to pay a higher effective rate.