Look into any PhilGEPS-related Facebook community group or Youtube channel, and you’ll find that many business owners struggle with the whole government procurement process.
It doesn’t deter thousands of SME business owners, however, from being part of PhilGEPS (Philippine Government Electronic Procurement System) — the country’s official portal for government procurement. Being a government supplier has plenty of advantages, from an increase in business sales to a more attractive reputation to other potential clients. These advantages encourage business owners to renew their PhilGEPS registration, scroll through hundreds of PhilGEPS notices, and participate in bidding despite complicated PhilGEPS requirements.
These issues, however, are easily manageable compared to cash flow gaps. Oftentimes, after winning a bid and proceeding with a government contract, suppliers discover that the procuring entity takes months or even years to pay.
If you’re a PhilGEPS merchant with the same cash flow shortage experience, or simply a business owner looking to grow your B2G (business-to-government) endeavors, PhilGEPS Project Finance is designed for you.
How PhilGEPS Project Finance helps government suppliers
PhilGEPS Project Finance, a new product by First Circle, is the only finance option in the Philippines that exclusively caters to government suppliers.
However, our partnership doesn’t just begin at the moment you need funds. PhilGEPS Project Finance is pre-approved financing, so you’ll enjoy its benefits even before you land a government project. Aside from providing you a dedicated Account Manager to address all your business concerns and PhilGEPS-related funding questions, we also set you up for success through the following ways.
We help you find relevant PhilGEPS notices faster
With Project Finder, our free database of government bidding notices from PhilGEPS and local government units (LGUs), you can set daily and weekly email alerts for contracts that match your business. This feature saves you time searching for new contracts yourself, and you’ll never miss new bidding opportunities that can contribute to your business growth.
Set email alerts for relevant PhilGEPS notices through the steps below:
- On your browser, visit https://my.firstcircle.ph/project-finder.
- Enter your preferred keywords and filters, then click Apply.
- After getting your search results, click the Get Alerts for This Search button.
- Enter your email address, choose between Daily or Weekly frequency, and click Create Alert.
We support your government bids with a funding certificate
So you’ve found a suitable PhilGEPS notice that matches your business capabilities? Well-done! As you prepare your bid, one of the things you’ll have to provide are financial documents under the Technical Component envelope.
In lieu of a committed Line of Credit from a commercial bank loan or lending company, you can provide a funding certification from First Circle to strengthen your bid. This certification guarantees that you’ll have funds to support the project and ensure successful delivery should you win the contract.
To get your funding certification, just provide the bidding notice you’re interested in, and 2-3 basic requirements such as your latest audited financial statements. The certification is valid for 6 months from the date of issuance.
We provide funding as soon as you win a bid
You’ll have funds for your government contract as soon as you receive the award notice from the PhilGEPS procuring entity — just let your dedicated account manager know whenever you’re ready to withdraw!
PhilGEPS Project Finance can cover up to 70% of the project’s cost — or up to a total of Php 5M for new customers. You get to keep up to 90% of the revenue, which means we receive a 10% share at most when it’s time to repay.
We let you pay on your own terms after project completion
With PhilGEPS Project Finance, repayment only starts after you complete your government project — which can be up to 6 months after your first fund withdrawal. This prevents cash flow issues so you can fulfill project obligations without skimping on quality and funds.
You can repay through lump sum, bi-weekly installments, or monthly installments lasting up to 12 months.
But what if your project completion or government payment has been delayed? No worries — just let your account manager know, so we can adjust the start of your repayment date. After that, you will need to begin repayments even if the project has not yet been completed. The good news is that we do offer installment plans, which can be spread out to help ease the burden on your cash flows.
We replenish your funds so you’re always ready for another contract
To reset your PhilGEPS Project Finance account balance, simply pay back the funds you used along with First Circle’s revenue share. This means you can immediately bid on another government project as soon as you’ve paid.
With PhilGEPS Project Finance, you can easily take on B2G projects and increase your revenue without being held back by depleted cash flows. Ready to apply? Let us know here so we can help you with your business financing needs.