Ldpo provides micro loans to overseas filipino workers who wish to start a new or finance an existing business. All you need to know on how to open start and setup a lending investor in the philippines lending business or loan company 1 head office a fee of 1 10 of 1 of the paid up capital of the lending company shall be paid for the issuance of a.
How to start a money lending business.
How to start money lending business in the philippines. Valid government id passport driver s license tin id prc id postal id or umid proof of business billing address mayor s permit lease contract utility bills dti or sec certificate. Besides the sec you also have to register with the barangay city hall bir sss hmdf and philhealth. A few pointers to remember.
Photocopy of audited. The current law does not allow sole proprietorships or partnerships to go into the money lending business. You will need a minimum of one million pesos paid up capital.
By writing a business plan you will force yourself to think about the current. Make sure that you reside on a location near your target market. Bir certificate of registration.
The first step is to choose a company name and then choose a corporate address. It is best to be safe because what you will be handling is all about cash money and wealth. There is a law called the lending company regulation act of 2007 which governs the micro lending business.
Small business corporation loans. Draft your business plan. There must be a minimum paid up capital of p1 million.
In actual practice how you allocate your capital will affect the viability of the business. Know the current legal requirements. Have sufficient capitalization.
Money of course you cannot proceed with the business without having something to lend borrowers right. The loans must be secured against acceptable collateral. I think in this kind of business that is the challenge to be a successful one.
2 branch extension office unit or satellite. Please give me tips on how i can collect the payment effectively. Register your business with the securities and exchange commission or sec www sec gov ph get a mayor s permit certification from the bureau of internal revenue bir and social security system philhealth and pag ibig coverage for the people you will be employing in the business.
Basic requirements when applying for a business loan. You will need a little above php100 000 00 and it is a guarantee that your money will grow in time you just have to be patient. Choose a company name.
Will you please help me. I m also planning to start a small lending money business in the philippines but i don t know how to start. To operate a legitimate micro lending business not only are you required to register with the securities and exchange commission sec you also need to comply with all the necessary permits and put up a capital of at least php1 million.
Make sure to get a phone and fax number. Depending on the purpose of the loan the terms are from two to five years with a maximum loan of p200 000 and interest rates of up to 9.