First Circle, a Philippine Fintech, is expected to announce a new credit facility for SMEs nationwide. This new facility has gained the support of the Philippine Department of Trade and Industry (DTI) and the Bangko Sentral ng Pilipinas (BSP).
First Circle is an online lender that provides supply chain financing to SMEs.
First Circle was launched in 2016, since that time the platform has loaned millions of dollars and served hundreds of SMEs from various industries, enabling them to grow their business. They were the first Fintech to receive a license from the Securities and Exchange Commission (SEC) in the Philippines.
Tomorrow, First Circle is planning a presser that will involve DTI and BSP representatives to further explain the new credit facility.
DTI says that approximately 95% of SMEs contribute to up to 30% of gross domestic product. Philippine SMEs also employ 60% of the workforce. Thus providing access to growth capital is vital for this sector of business.
Speaking with the Manila Times earlier this year, First Circle CEO Patrick Lynch, explained their service:
“They come to us and they give us a purchase order and we give them the money against that purchase order. They get access to the money within three days. It’s very convenient. They don’t have to go to the branch.”