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An OFW’s Guide To OWWA’s Business Loan Programs

If you’re an ofw looking to start a business, you should know that there are now lots of options with banks and legitimate financial institutions to apply for a loan for business purposes..

For one, there is the government-supported Overseas Workers Welfare Administration (OWWA) loan program, the requirements for which are not as hard as you think.

In fact, OWWA has two types of OFW loans. One is called the OFW Reintegration Program, and the other one is in partnership with the Landbank of the Philippines, called the OFW Enterprise Development and Loan Program (OFW-EDLP).

Let’s take a closer look at both these business loans to better determine which one is the right OWWA loan for you.

1. OWWA Reintegration Program

This is for retired OFWs or those that are no longer planning work abroad.

As the name suggests, the OWWA Reintegration Program aims to provide financial assistance and livelihood to former OFWs. To be eligible, the OFW must be an active or non-active OWWA member, within a year after coming home to the country.

The reintegration program also applies to OFWs who have been repatriated or displaced for political reasons in the country they worked at.

How much can I loan from this program?

The livelihood assistance is up to P10,000 with technical and/or entrepreneurial training, starter kits/goods, and other services that will enable the former OFWs to start their own business or livelihood.

(Read: OWWA Benefits Every OFW Needs To Know )

2. The OFW Enterprise Development and Loan Program (OFW-EDLP)

The OFW-EDLP program is where OWWA provides loans to OFWs, whether they are about to retire or are still working abroad. This is done in partnership with Land Bank of the Philippines (LBP).

This program is a little more complicated than the OWWA Reintegration Program, but it also allows you to loan a larger amount.

To avail of the loan, the OFWs must be eligible and provide the documents stated below. You will also be required by OWWA to attend an orientation seminar; the Enterprise Development Training (EDT) seminar.

The EDT provides the OFW with an orientation on finance and business management, and other income-generated livelihoods, as well as relevant information on setting up and sustaining a business.

Take note that the interest rate is at 7.5% per annum (per year), for the whole loan term. The loan amount will depend on the needs of the project, but these are the posted loan amounts to borrow:

For Single Proprietors Minimum loan amount: P100,000 Maximum loan amount: P2,000,000

For Partnerships, Corporations, and Cooperatives Minimum loan amount: P100,000 Maximum loan amount: P5,000,000

The OWWA website provides detailed eligibility and document requirements for OFW-EDLP applicants. The loan purpose must be about “Working Capital and Fixed Asset Acquisition,” as stipulated by OWWA.

What are the eligibility requirements?

• Certified Member, whether active or non-active
• Completed the Enhanced Entrepreneurial Development Training (EEDT)
• Legal spouse
• Parents not older than 60 years old
• Children at least 18 years old

What are the eligible businesses/projects for an OFW-EDLP Loan?

• Franchising
• Contract tie-up with top 1000 corporations
• Agricultural and non-agricultural production/manufacturing
• Service/trading business
• Construction/rental business
• Transport service
• Or any viable project, new or existing

The maximum loan term for loans considered short-term is up to one year. Term loans, on the other hand, are based on cash flow, but they should not reach more than seven years and come with a two-year maximum grace period.

What can I use as loan security or collateral?

If you are going to be taking out an OFW-EDLP loan, you are going to need to provide collateral. The following are the acceptable collateral sources:

• Mortgageable project assets such as machines or equipment, and other assets of the borrower
• Object of financing

(Read: 5 Career Opportunities For OFWs In Their Sunset Years )

How to apply for an OWWA OFW-EDLP Loan?

• Submit a business plan showing the complete description of your business, which shows you can earn or are earning at least P10,000 a month
• Undergo an EDT Seminar at OWWA regional offices, and get an EDT Certificate of Completion
• Submit a completely filled out OWWA Information Sheet
• Mayor’s Permit
• DTI Certificate of Registration
• Income Tax Return for the last three (3) years
• Financial Statements filed with BIR, and latest Interim Financial Statements
• Business Statement of Assets and Liabilities

Know more about the updated application process by visiting the nearest OWWA office . Loan processing usually takes around 45 days.

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How to Apply OFW Enterprise Development and Loan Program (OFW-EDLP)

As an OFW who is planning to start a business in the Philippines, OWWA has partnered with LANDBANK to provide an OFW Business Loan program for up to PHP 2 Million Pesos for a single applicant, or up to PHP 5 Million Pesos for Groups. This is the OFW Enterprise Development and Loan Program or OFW-EDLP.

It is important that you keep your OWWA membership active as they have a number of programs and services available for OFWs .

OWWA forged a partnership with LANDBANK of the Philippines to provide the Overseas Filipino Workers (OFWs) enterprise opportunities on a sustainable basis. OFW-EDLP is one of the projects under the Reintegration Program of OWWA . It is an enterprise development intervention and loan facility of OWAA, intended to support OFWs and their families for their enterprise development. Here we share the requirements (collateral, documents, etc.), qualifications, and step by step process in applying for this particular OWWA project. So please be guided in the steps below.

Enterprise Development Interventions (EDT)

Loan facility, what are the qualifications to become an eligible borrower for ofw-eldp, what are the requirements for ofw-edlp, what are the eligible projects/ businesses for the ofw – edlp loan, sample businesses, how to apply for owwa ofw-edlp loan, owwa enterprise development loan program application form, what are the conditions under the ofw – edlp loan, videos: ofw-eldp business loan program, contact information.

What is this OWWA OFW Business Loan Program – OFW-EDLP Project?

The Overseas Filipino Workers – Enterprise Development and Loan Program (OFW-EDLP) was formerly known as OFW – Reintegration Program (ORP). This has been established to help Overseas Filipino Workers (OFWs) who choose to stay in the country with their family by helping them establish their own business enterprise.

In the OFW – EDLP, the OWWA will provide loans to qualified OFWs. It is a two-component package;

The EDT aims to empower OFWs on managing a business and an opportunity for queries about the business loans.

Providing OFWs and their families steady income as well as create opportunities for employment in their community.

For you to be an eligible borrower under the Overseas Filipino Workers – Enterprise Development and Loan Program (OFW-EDLP), you should:

• Be an OFW certified by an OWWA Membership (Active or Non-active);
• Have completed the Enhanced Entrepreneurial Development Training (EEDT);
• If you are married – by your legal spouse;
• If you are single, widow, widower, or separated-in-fact – by your parents who are not older than 60 years old, or by your children who are at least 18 years old.

After assessing if you meet the qualification requirements of the OFW – EDLP, you must prepare next the necessary documents you will need for the processing of the loan. The requirements you need to have are:

• Certification from OWWA that you are a bonafide OFW and has completed the Enhanced Entrepreneurial Development Training (EEDT)
• Business Plan/ Proposal on your choice of project/ business
• Two (2) Valid IDs with Signature
• Duly filled-out Application Form
• Statement of Asset and Liabilities
• Proof of Billing Address
• Barangay Certification of Residency
• Sketch – Place of Residence
• Certificate of Registration with Department of Trade and Industry (DTI)
• With contract growing agreement, purchase order or service contract, if applicable
• Bio-data of applicant
• Mayor’s Permit
• If applicable, Income Tax Return (last 3 years)
• If applicable, Financial Statements (last 3 years – BIR filed)
• If applicable, Latest interim Financial Statement

Your enterprise should at least be able to generate sufficient cash to meet the projected amortization of the loan. The following are the specific projects that is covered by the loan program;

• Franchising Business
• Contract Tie-up with Top 1000 Corporations
• Agricultural and Non-Agricultural Production/ Manufacturing
• Construction Business
• Rental Business
• Service/ Trading Business
• Transportation Service
• Any other viable projects (existing or new)

There are various types of businesses that OFW entrepreneurs can explore and venture into. In this section, we will discuss some sample business ideas that could potentially be successful under the OFW Enterprise Development and Loan Program.

• Bakery Business
• Sari-Sari Store
• Car Wash Service
• Computer Shop
• Tailoring Shop
• Laundry Shop
• Rice Retailing
• Hardware Store
• Poultry Farming
• Beauty and Wellness Services
• Event Planning
• Online Selling

The above are just some sample business ideas that OFWs can consider under the program. It is important to note that the success of a business depends on various factors such as market demand, location, competition and proper management. Therefore, it is essential for aspiring OFW entrepreneurs to conduct thorough research and feasibility studies before venturing into any business.

Please be guided on the steps on how you can apply for this OWWA-Landbank OFW EDLP Loan:

Step 1. Verification of OWWA Registration

OFWs in the country

• Visit your OWWA Regional Welfare Office to undergo orientation/ eligibility screening and processing /necessary training.
• If you are eligible, you will be issued a certification of membership which you will present to LANDBANK Assessment.

OFWs outside the country

• Contact your designated Welfare Officer of the Embassy on your country through their Email Address.
• Your Welfare Officer will then verify your OWWA Registration and you will be referred to an OWWA Regional Welfare Office in the Philippines.
• Upon your return to the Philippines, visit the reffered OWWA Office to get the certification which you will present to LANDBANK.

Step 2. Enhanced Entrepreneurial Development Training (EEDT)

Next, you will be advised to personally attend the Development Training conducted by the OWWA, DTI, and LANDBANK.

You must present your Certificate of Attendance on the EDT to LANDBANK as a requirement.

Step 3. Preparation of your Business Plan and Other Document Requirements

Step 4. Submission of Document Requirements, Review, and Inspection

• Submit all prepared document requirements specially your business plan to LANDBANK for review.
• For existing businesses/ projects, an inspection of your business/ project will be carried.
• The completion of your loan evaluation, packaging, and approval will be in about 45 working days upon your receipt of complete loan requirements.

Step 5. Loan Approval

LANDBANK will release the fund to you, the Overseas Filipino Worker (OFW) if your loan is approved.

In case you want to know where to get the application form for EDLP loan, you can download it from the OWWA website.

You may also visit the nearest OWWA regional welfare office center. This is where you can ask how you can download the OFW-EDLP application form

• Interest Rate (IR)

The IR of the Loan is 7.5% per annum for the entire duration of the loan.

• Loan Purpose

The purpose of the borrower for the loan should only for Working Capital and Fixed Asset Acquisition .

• Project Cost Sharing

Borrower’s Equity (should be at least 20% of the Total Project Cost) Maximum Loanable Amount (should be limited to 80% of the Total Project Cost)

• Loan Amount

The amount of the loan will depend on the project needs and the amount of equity participation of the borrower.

• The loan amount is from a minimum of Php 100,000.00 up to a maximum of Php 2,000,000.00 .
• The loan amount is from a minimum of Php 100,000.00 up to a maximum of Php 5,000,000.00 .
• Loan Repayment
• For Short Term , you have a maximum of one (1) year to repay your loan.
• For Term Loan , it will be based on your cash flow but it will not exceed over seven (7) years, with an inclusion of a maximum of two (2) years grace period on your principal.
• Loan Security / Collateral
• Under the OFW – EDLP Loan you will have to provide a collateral. The following are the acceptable collateral sources:
• Object of financing
• Mortgage able project assets (machines or equipment) and other assets of the borrower

Below are some videos that discuss this OFW Business Loan Program:

To know more information about this OWWA loan program, you may contact the following banks/organizations:

LANDBANK Customer Hotline Number : (+632) 8 405-7000 Domestic Toll Free: 1-800-10-405-7000 Email Address: [email protected]

OWWA Customer Hotline Number : 1348 Mobile Numbers : Globe: +63-917-898-6992 Smart: +63-998-981-6992  

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OWWA Loans for Business: How and Where to Apply?

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OWWA or the Overseas Workers Welfare Administration offers loans to qualified Overseas Filipino Workers by partnering with the Land Bank of the Philippines. Individuals looking to start a business, invest in enterprise opportunities, and cater to other needs can apply as soon as they complete all the requirements. 

OWWA loans are generally available to OFWs who are certified and endorsed by OWWA to Land Bank. Applicants need to submit a business plan to show the viability of the business opportunity they intend to enter. Viable projects are described as those with a verified purchase order or market order, showing a P10,000 net monthly income.

OFWs can loan to acquire fixed assets or come up with the capital needed to start the business or franchise. There are short term loans and long-term loans available. Short term loans last only for 12 months while long term loans will be based on cash flow but should not exceed 7 years. The long term period will include a 2-year maximum grace period on the principal.

The requirements and specific business plans need to be submitted to any OWWA regional office, preferably located in the same region where the applicant resides. No collateral is required to get an OWWA loan.

OWWA Locations in the Philippines

Commonly Asked Questions

94 COMMENTS

Ofw po ako dto sa dubai paano ho ba makakapag inquire tungkol po sa scholarship ano po need?

malabo nga maka avail diyan sa owwa loan na yan bakit?land bank ang nagdidisesyon,e kaya ka nga magloloan dahil may negosyo kang itatayo,at may kakayahan ka magbayad,,,,,

sa awa ng dios 1year n mahigit wala pa.4monts lng ang sbi mare lease na.kumpleto ako requiremnts.napagod nko sa kka folow up.nkaalis nlng aq lahat lahat wala prin.

OFW ako for a years pero wala paako na benefits sa OWWA buti pa mga pulitiko nakinabang na sa OWWA MASKI HINDI SILA OFW…Sinubukan ko na rin yan, pero daming hinihingi colateral, co-workers isasama sa office nila…till na mawalan ka na ng oras at interest…..Propaganda lang ng OWWA para masabi na maayos at may pakinabang ang aHensya, pero ang totoo pahirapan kaming mga OFW to avail the benefits that they are promoting or there are some others getting benefits for the program kunyari OFW kuno…gaya ng nangyayari sa PDAF na nakinabang ang mga congresista at senador na pinasusuweldo sa kaban ng bayan na galing sa buwis ng mga naghihirap na mga Fi.ipino..commento lang po sa totoong nangyayari sa ating gobyerno…ibangon nyo na lng itergridad ng ahensya para sa kapakanan ng mga OFW at ng ating gobyerno…maawa kayo sa mga maraming nagpapakahirap na OFW…

mga peste kau wala nmn kwenta yan dami hinihingi requirements prang ayaw nmn nla ibigay s mga ofw yan….

sa mga kapwa ko ofw wag na tayo umasa dyan sa owwa na yan kse wala tayong maasahan sa kanila…wala daw colateral bakit hinahanapan nila tayo..kahit kelan wala tayo maasahan sa gobyerno kaya magsariling sikap nalang

NAKALAGAY DITO WALANG COLATERAL???? MGA BWISIT! MERON!!! PINAGPAPASAHAN NYO LG KMING MGA OFW. SANA WALA NG OWWA KASI WALA NMANG KWENTA AHENSIYA! ANU BA UNG NGAWA NG AHENSYA TO,AKALA NYO S LHT KMING OFW TANGA? KAYO UNG TANGA,KASI INIIBA NYO UNG USAPAN.KAYA NYO NIREFER SA LANDBANK KASI BANKO YUN,LHT NG BANKO MERON COLATERAL PG NGLOAN,SE??

Sa dami ng mga requeirements ng OWWA hindi na maintindihan ng mga borrowers,..tsk tsk tsk

aland bank naku po hirap din pasahe na lang lugi ka na ano bha tutuo meron bha o wala git kung mag post kayo ng ang mag ofw ganito ang mga benefits nila sana ang totoo lang nag try ako ang hirap utusan ka kung saan naka gastos ka na ng libo abha tapos na ang DTI KO ang MAYORS permit lahat na tapos na ng submit ang papaers dinala ko s tugegarao utusan ako Santiago tapos ang nag sign ang sa lnd bank ng cauayan join nanamn ako tapos may mga no tel , sila bigy s aiyo abha kuing saan ka utusan para gingwa kang tuirumpomdami ka na nagastos sa pashe wala pa rin nangyari naka balik ako sabi tawagn lng [pg training na abha 1 yr n ako sa Bahrain uli wala pha rin tawag ay naku ginagawa talaga tayong tanag ng gobierno natin

Paanu kung di gagamitin ang loan sa business .at need ay pera para sa pag bayad ng bahay at lupa or pantubos. Anu ang iaapply ko na loan

Tang-ina to… lokohin nyu lolo nyo… lumapit ako sa owwa kasi mgpapa ospital ako kelangan operahan, sabihin ba nmn sakin wla dw tulong kasi ndi dw work related… mga potek kayo…

TANG NA NYU OWWA KAYO,PERA NG OFW KAYO ANG NAGPAPASASA AT GUMAGAMIT SA INYONG PANSARILING NEGOSYO,TAPOS PAG OFW ANG NANGAILANGAN PAHIHIRAPAN NYO AT NGA-NGA LANG TAPOS KAYONG MGA NASA AHENSYA ANG GUMAGAMIT!! TANG INA NYU LAHAT!!! GUSTO NYU PATAYAN NA TAYO!!!

Kahooo dami kayang req.na kung Anu Anu dapat tama ang dalawa o tatlo na doc.basta isang ofw sapat bigyan pansin niyo naming mga ofw kami ang nagbubuwis buhay para maiangat ang economiya ng bansa tas pag uwi namin or mag for good kami sa bansa Wala nam kahit cen.na maitulong niyo bulsa niyo lang binubusog niyo

tama mga kbyanh ofws.kunwari lang tutulong sa mga ofw pero deep inside hndi sila tumutulong sa mga ofws.nranasan ko na rin mgloan bago ako aalis puntang abroad.daming rquirments at may colatetal pa.alam ng tga owwa certified ofw bkit dmi hinihinging rquirements.mabilis mangulikta ng bayad pinahhirapan mkpag loan.mhiya nman kyong tga owwa pera ng ofws pnpasahod sa inyo wla kyong awa sa amin ngppakmatay sa abroad pra sa kinabukasan nnyo.binobola p nnyo dakilang bayani.utot…dakilang kawawa kamo…

Dahil ba sa palapit na ang election gumagawa ng ganitong pakulo ang owwa?mga bwesit kayong mga taga owwa pati na ang mga congresman at mga senador mga walang kwenta kayo.mga magnanakaw ng pera ng taong bayan.

Try q lang mag loan sana tutuo talaga Ala kolateral, Saka wagna Dai requirements kainis yun,Saka Ala oa q idea ano bness, may pa seminar ba owwa ano maganda bness papasukin ko?

Yan mga nkapwisto jn nag pasasa lang yn sa pera ng mga ofw

OWww?nakakatawa naman yan offer nyo no,kapatid ko operahan d nyo sagot.ang kapal ng mukha nyo.daming ulo binilog nyo.mahiya naman kayo.

Hindi totoo yan,,, pahihirapan lng kyo ng Owwa,,Gagawa k ng business plan mo at maraming requirements na hinihingi..

wow,,,,sa requirements nyo pa lang grabing pahirap na sa aming OFW,,,salamat na lang mag umpisa na lang kami sa dawalang biik palakihin at ibinta…….hay na requirements….baka abutin ng siyam siyam bago mo ma complete…

Kmi binagyo may assistance daw ang owwa pero ng nag follow up AQ ang nsagot wala n saw budget at karamihan sa Hindi nbigyan ang mga active ofw… Corrupt din kau mula sa ulo hanggang sa I baba… Karmahin sana kau… Kami ang naghirap kau ang ngpakasarap… Mga walang hiya kaung mga NSA gobyerno… Ur all fucking bullshit!!!

Putya sa requirements pa lang eh gastos na at pa hirap bwesit na systema kung ang gawin nyo eh ganito turuan ko kayo mga ungas xerox copy ng contrata passport copy visa copy from any country identification I’d ng bansa family background address barangay clearance at municipal clearance yan lang po duon nyo makikita na valid ang isang tao na hindi man lo loko I boto nyo si duterte at marcos mga ungas na nasa gobyerno pa hirap kayo sa programang eto

OWWA tutukan nyo na lang ung mga benefits ng mga returning OFW like ung health program at insurance… tenk u

P-t-ng Inang! yan ang daming tsetseburitse parang ayaw nyo mag pa loan sa dami ng mga hinihingi nyong requirements!!

tulong ba sa mga ofw ang ganyan sistema? ang dami daming mga requirements.

bakit po yung anak ko hindi binigyan ng schoolarship ng owwa, sa dahilan ang sabi ay hindi daw ako ( OFW ) umu-uwi tuwing ika-2 taon tapos ng aking contrata,,napaka babaw na dahilan..nag bayad naman ako ng OEC ng lumabas ako ng pilipinas….dito sa saudi arabia ay hindi kami ipinag tatabuyan umuwi kung tapos na ang kontrata…may sampong taon nga akong di naka-uwi sa dahilang kailangan mapag tapos ko sila mula elem. hanggang highschool..at ngayon ang mga anak ko ay di ninyo nabigyan ng schoolarship samantalang from1983 up to 1994 ay nag babayad naman ako ng OEC…ano po ba ang problema namin dito…

Ito po ba ay para sa mga gusto na magretire na OFW?

assets are for colateral purposes, meron colateral yan, kaya walang kwenta itong loan ng owwa pag walang assets

PA UPDATE NATIN TO KAY boss digong kung siya na maging presidente. kung hindi naman siya mananalo..kung ilan na sa 2b ang napa loan.baka kasi ubos na sa mga ghost ofw.

Is it applicabe for agri business — if i want to purchase rice fields will the program is applicable …if applicable what are the requirements…I am a Civl Engineer OFW in Bahrain

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List of OWWA Loan Programs for OFWs and Seafarers

It’s no surprise that many Filipinos, including OFWs and seafarers , will need some form of financial assistance through loan programs at some point in their lives. And where else can you look for safe and reliable loan programs than from legitimate financial institutions (banks) or the government? This is where the Overseas Welfare Workers Administration (OWWA) will come to the rescue of our OFWs.

Also Read:  How to Verify OWWA Membership Status Online

You might already know that OWWA offers several member benefits to OFW-members, but did you know that they also have loan programs that you can avail of as long as you meet their requirements? If you’re interested to take one out soon or are just curious about it, then make sure to read it until the end of this guide.

Table of Contents

Here are the OWWA Loan Programs You Can Apply for as an OFW

More than providing aid to our modern-day heroes, OWWA’s OFW loan programs are also a way for the government to give back to our hardworking OFWs who sacrifice a lot to support their families, as well as the Philippine economy. Whether you work on land or at sea, the government offers various perks to OFWs. The OWWA loan, which is part of the reintegration program, is one of them.

Here are some of the OFW loans you can take out from the agency:

OWWA Business Loan / Negosyo Loan / Pangkabuhayan Loan

The OWWA loan opportunity is based on the P2-billion reintegration initiative, which aims to assist overseas Filipino workers in establishing and growing practical enterprises that would support them and their families. Furthermore, the expansion of enterprises in the community will result in the development of more jobs and an increase in the economy’s revenue.

In the future, OFWs may eventually no longer need to return to their home country in order to support their families. The applicant’s choice of business will be determined by their interests, however, many are considering agriculture, farming, and service-related businesses such as dentistry clinics and restaurants.

1. Overseas Filipino Workers – Enterprise Development and Loan Program – EDLP Program

With the goal of staying in the country for good and no longer needing to work abroad again, OWWA offers a loan program to OFWs that aim to provide them some leverage and guidance on starting their own businesses in the Philippines, known as the Overseas Filipino Workers – Enterprise Development and Loan Program or the OFW-EDLP Program . This loan program is done in partnership with the Land Bank of the Philippines (LBP).

To avail of this loan, you first need to check if you are eligible by providing all of the documentary requirements for the program. Moreover, you need to attend an orientation seminar – the Enterprise Development Training (EDT) seminar .

Through this seminar, you will learn more about finance and business management, alternative income-generating livelihoods, and pertinent information on starting and maintaining a business.

Under this loan program, single proprietors can avail of a minimum amount of Php 100,000 up to Php 2,000,000 . Meanwhile, partnerships, corporations, and cooperatives can loan a minimum of Php 100,000 up to Php 5,000,000 .

2. HEROES Loan Program

With the advent of an unprecedented pandemic, the Philippine government and other private organizations have stepped up its services by offering a loan program intended to help repatriated OFWs who have lost their jobs during this time – the HEROES Loan Program . This is a loan program where you can borrow from PHP 10,000 to PHP 100,000 for a small business.

You might be wondering what HEROES means – and you are right to think it’s something related to OFWs, our modern-day heroes.  The acronym means Helping the Economy Recover thru OFW Enterprise Start-ups. It is a component program of the Department of Trade and Industry’s (DTI) Pondo Para sa Pag-asenso (P3) Fund. This HEROES loan is technically not an OWWA project, but OFWs and seafarers are still required to show OWWA certification or proof of being a repatriated OFW.

This loan program aims to support repatriated OFWs in rebuilding their lives through financial support to set up a business. To avail of this program, the OFW-applicant must submit a short video pitch of their business proposal under the HEROES program. This includes key components, such as the nature of the business, product knowledge, management capability, market opportunity, competitive advantage, financial understanding, and business continuity.

OWWA Calamity Loan

Calamities can strike anywhere, anytime. And when the unexpected (or unfortunate) happens, it’s reassuring to know that there’s something you can fall back on to get back on your feet. OWWA also offers financial assistance through the calamity cash assistance/financial aid . This can be availed of by active or non-active OWWA members or their families who do not qualify under any of the existing OWWA Social Benefit Programs and Services. The OWWA Calamity Assistance is available to OWWA members and their families who have been affected by natural or human-caused catastrophes.

Calamity assistance to qualified OWWA members is up to a maximum of three thousand pesos (Php 3,000.00) . If you are a victim of a natural disaster, you are entitled to one-thousand peso financial help (Php 1,000.00) . The good news is you don’t have to pay back this amount as long as you meet the eligibility and requirements.

OWWA Personal Loan

Unlike what several local banks offer to OFWs, OWWA does not offer personal loans to its members. However, the agency offers various financial assistance programs – which is even better, because there’s no need for you to pay them back, as long as you are qualified and meet the given requirements. These benefits include educational scholarships, financial assistance programs, and welfare programs.

Here are some of the packages you can look into if you’re an OWWA OFW-member returning to the country and want to build a life in the Philippines.

Balik Pinas! Balik-Hanapbuhay Program

OWWA offers the Balik Pinas! Balik Hanapbuhay livelihood support/assistance package with the goal of providing immediate aid to returning member-OFWs (distressed/displaced) of up to Php 20,000.00 as start-up capital or supplementary funding for their chosen livelihood enterprise.

Balik Pinay! Balik Hanapbuhay Program

This Balik Pinay! program dedicated to distressed Filipinas who were not successful in their job abroad and need to go back home to the Philippines. It is a livelihood training project for Pinays to set up their small business.

Another program aimed at returning/repatriated OFWs is the OFW Re-integration via Skills and Entrepreneurship (RISE) Program. Under this program, returning/repatriated OFWs, whether land- or sea-based, can take part in a series of FREE online training sessions , which include:

• Business Training
• Business Coaching
• Livelihood Assistance Program Application

This is an excellent way for you to gain practical knowledge on how to start your own business and to profit from this while you are in the Philippines. Not only that, but this program will also provide you with assistance in applying for start-up capital to fund your business if you do not have any savings allotted for this purpose.

OWWA Loan for Seaman

There are no specific loans designated by OWWA for seafarers . Therefore, everything mentioned so far applies to all active members, whether land- or sea-based.  Moreover, as long as you are an OFW, regardless of whether you work on land or at sea, you are eligible for the abovementioned loan programs so long as you are an active OWWA member.

This also implies that if you are a seafarer and want to start your own business, you can apply for an OWWA loan, which allows you to borrow between P100,000 and P2 million.

Sea-based workers (seafarers, seamen, etc.), on the other hand, have an exclusive program they can avail of – the Seafarers Upgrading Program (SUP) .

The SUP comes in the form of a training program AND financial assistance worth Php 7,500 . The training program aims to upgrade the skills, knowledge, and competence of Filipino seafarers in line with technological advancements and global maritime standards. You may choose among courses specific to your job as a sea-based worker and accredited by MARINA and TESDA.

Here are the requirements to join this program:

• Valid OWWA membership contribution at the time of application
• Proof of OWWA membership
• Accomplished application form
• Seafarer’s Identification & Record book and/or
• 2 pcs 2×2 ID picture

Advancing through technical skills training and certification programs will significantly boost your chances at getting promotions and placement for specialized roles on deck. This also translates to higher pay, better benefits, and more successful career tracks – all good news for you and your family!

OWWA Housing Loan

In case you are wondering if OWWA has a house loan program for OFWs, NO, they don’t. OWWA is currently NOT offering any housing loan program for Filipinos. The current loan project that they have are business loans.

But maybe, who knows, in the future, they may have some form of housing project for OFWs to own a property in the Philippines at a subsidized cost. It will depend if there are new programs and opportunities, not to mention a budget, set aside for it.

Currently, OWWA is offering just scholarships, cash assistance, welfare assistance, and livelihood programs.

So the best option for OFWs who want to get a housing loan is via Pag-IBIG membership or bank financing. There are also government programs like SSS direct housing loan that are available. These are the PH government projects and agencies offering house projects.

VIDEO: How to Apply for OFW Loan from OWWA

Here is an educational video about the business loans which OFWs can apply for in OWWA, posted by Mommy Thoughts on YouTube. Remember, getting a loan is NOT WRONG for as long as you have the means and the intention to pay back the loan you borrowed from any financial institution, or in this case, OWWA.

These loan programs are specifically intended for OFWs to help them establish a start-up or small business in the Philippines with the long-term goal of achieving financial independence . To realize this, you need to have a business plan and a strategy to hit your objectives for your business. Do not worry, though, you will have access to all the resources and training facilities offered by OWWA to help you get started in your business.

Frequently Asked Questions:

Below are some common questions and answers about the loan projects of OWWA and other concerns you may have such as what other projects you can get:

1. Can I avail of any OWWA loan programs even if I am still based overseas?

Yes. OWWA loans are available to active OWWA members who are also OFW certified. You must first obtain that certification, as it will be presented to Landbank as part of the requirements. So in case you are based overseas, here’s what you can do:

• Contact the Philippine Embassy’s Welfare Officer in the country where you are employed. Your OWWA membership will be verified by the Welfare Officer.
• The Welfare Officer will direct you to an OWWA office in the Philippines once your information has been validated.
• Be sure to visit the OWWA Office when you return to the Philippines to obtain your certification.
• Present the OFW Certification together with the other requirements to Landbank.

Alternatively, you can give your spouse or any immediate family member of legal age a Special Power of Attorney, allowing them to act and transact on your behalf if you need to return to work overseas.

Also, you can inquire from the nearest POLO-OWWA office abroad where you are based if you have questions about OWWA programs and services.

2. Am I required to physically attend the Enterprise Development Training (EDT)?

Yes, you will receive a Certificate of Attendance as documentation that you completed EDT. When applying for a loan, this is a necessity. Various strategies and techniques for managing, sustaining, and dealing with challenges in your chosen firm will be taught to you. The training includes an immersion program to provide you an idea and experience of how to run a business.

The schedule for Enterprise Development Training will vary depending on the regional office, so check with your local OWWA office. Due to the immersion, the training may also last for a minimum of one day.

3. How can I apply for an OWWA Loan?

You may apply for the OWWA loan for a livelihood by submitting the necessary requirements based on the project. Click this link for the OFW-EDLP Program  and this link for the HEROES loan program.

4. Can I apply for a loan even if I don’t have any properties under my name?

OWWA Loan collateral is vital because, at the end of the day, OWWA wants to know that they will be paid. Even if the OWWA Loan is primarily a no-collateral loan, you must present mortgageable assets as collateral.

One of the various things you can use as collateral is a property in your name. The following categories of assets can be used as a workaround:

• Lease Rental Contract (which also proves that the business is/will be operational)
• OR/CR of vehicle (chattel mortgage)
• Other contract agreements like Purchase Order or Deed of Assignment.
• Receivables

It’s always reassuring to know that as an OFW, you have the option to avail of several loan programs and other benefits from government agencies such as OWWA to help you achieve your financial goals, as well as your dream to return to the Philippines to be with your family for good. Whether you’re a land- or sea-based OFW, there are programs available to you, if only you know where to look.

Loans can prove to be of significant help to anyone, especially OFWs during unprecedented times such as this. Remember, loans are there not to pull you down to debt, but to take you closer to your financial goals. But of course, you need to commit to paying these loans so as not to get into trouble or cause problems for your family and loved ones, as well.

It makes no difference whether you’re a seafarer or a land-based worker. For all of your hard work and contribution to the country, the government gives benefits to Overseas Filipino Workers.

READ NEXT: OWWA Reintegration Program for OFWs: Projects, Requirements and Benefits

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How to Get OWWA Loan for OFWs and Seafarers

OWWA has two loans that aim to assist Filipinos to stop dreaming and start their own profitable business without being subjected to a very high-interest rate. These include the HEROES Loan Program and the EDLP Loan program .

Also Read: OFW Guide: Become an OWWA Member

OWWA is extending its capabilities to help OFWs and seafarers achieve their dreams –  even those who are repatriated from jobs due to crisis. The said government institution is providing different types of loans wherein OFWs can start their own business.

Since OFWs are supporting their families in the Philippines, the government has come up with OWWA programs and services that can support OFW-families in the Philippines as soon as they decided to stop working abroad.

• HEROES Loan – Helping the Economy Recover thru OFW Enterprise Start-ups (HEROES) Loan is part of the P3 Fund of Pondo sa Pagbabago at Pag-asenso program of the Department of Trade and Industry (DTI). This OWWA loan program aims to help micro, small, and medium-sized enterprises, especially those owned by OFWs.
• EDLP Loan – This loan is formerly OFW Reintegration Program (ORP), and is now being called Enterprise Development and Loan Program (EDLP) . This loan aims to enable OFWs to earn profit so that in the future they could stay with their loved ones and make profits out of their chosen business/industry.

Common OWWA Loan requirements you must prepare:

• (2) valid IDS (Photocopy)
• It can be a government ID such as TIN, Passport, PRC, or any ID with your photo and signature.
• Supporting documents of your OWWA contribution, it can be an OWWA information sheet, passport with POEA-LAC stamp, E-card, or POEA attested employment certificate.
• Proof of billing address
• Barangay Certification as proof of residency (Photocopy)
• Income Tax Return for at least three years
• Mayor’s permit where the business will be located
• Collateral or security documents
• Statement of Assets and Liabilities
• Birth Certificate for single loan applicant
• Certificate of Marriage for married applicant
• Sketch of your place of residence

Let’s admit it, many OFWs don’t have investments for their future, in fact, many solely rely on their monthly salary. OWWA has seen many stories of struggles from their members even right after working abroad for decades, and now they are introducing these loan programs to finally help their kababayans have a bright future.

HEROES Loan

The SB Corporation who is assigned to manage this program said that they have allotted PHP 100 Million for this program, which can help a lot of repatriated OFWs who lost their jobs because of this pandemic.

Who are eligible for this loan?

Repatriated OFWs are the people eligible to apply for HEROES Loan program. 

How much you can borrow?

• Minimum of PHP 10,000
• Maximum of PHP 100,000

Arrangement: OFWs can borrow money without interest or even collateral. The HEROES loan program also gives 12-month grace period which is inclusive of all of their repayment terms.

• For loans under the 24-months repayment term, there will be a 6% service fee.
• For loans under the 36-months repayment term, there will be an 8% service fee.

Requirements

• Scanned copy of your passport
• Certificate of PTTC Training as proof of completion
• Business Model Canvas (This is exclusive for loans amounting above PHP 50,000)
• Video Presentation

How to apply for HEROES Loan?

Step 1: Go to to register for a PTTC or Philippine Trade and Training Center.

Step 2: Complete the one-day online training. No funds will be collected since it’s totally free.

Step 3: After completing the said training, this is the perfect time to complete all the requirements for your application. For a loan application, you need the follow:

• Passport copy (Scanned)
• Video presentation (Don’t worry because you will be given instruction during the training on how you will prepare the said presentation.)

Step 4: Go to your browser and search https://brs.sbgfc.org.ph/heroes to proceed with your application.

OWWA EDLP Loan

The Enterprise Development & Loan Program (EDLP) is formerly OFW Integration Program. This loan will not be directly funded by the government or OWWA, all funds will be disbursed by Landbank. Therefore, all qualified OFWs must show a certificate from OWWA as a proof that they are a member of the institution regardless of whether they’re active or inactive.

Who are eligible for EDLP loan?

• All OFWs that are certified by OWWA (active or inactive)
• Those who have completed the Enhanced Entrepreneurial Development Training (EEDT)

Note: If the OFW is still abroad, the latter must be represented by “Spouse if Married.” If the borrower is Single, he/she must be represented by a parent, not more than 60 years old or Children at least 18 years old.”

• Minimum of PHP 100,000
• Maximum of PHP 2,000,000

Arrangement: Unlike other OWWA loans, this one taps interest at a rate of 7.5% per annum for the entire duration of the loan. The loan amount will depend on the project needs and the amount of equity participation of the borrower

• For Single Proprietorship borrowers- PHP 100,000 to PHP 2,000,000
• For Group Loans borrowers- PHP 100,000 to PHP 5,000,000

Loan Repayment

• Short (1 year)
• Term (7 years)

Both have a 2-years grace period.

Loan Security/Collateral: Object of Finances

• Mortgage able project
• Assets (Machines or Equipment)
• Other assets of the borrower

Here are the following requirements:

• A business plan for the specific project that will generate revenue for the OFW and his or her family.
• Registration Certificate from the DTI
• OWWA certification that the borrower is an active overseas worker who has completed EDT
• OFW applicant’s biodata
• Income tax return (for the previous three years, if applicable)
• Financial statements (last three years, filed with the BIR, if applicable)
• If applicable, the most recent interim financial statement
• Assets and Liabilities Statement
• Permission from the mayor

How to apply for EDLP Loan?

Step 1: You need an OWWA Registration Verification . This is for OFWs who are still working abroad.

• Inquire and get information about the EDLP loan through the Embassy of your employment country.
• The Officer will then confirm your registration as an OWWA member.
• They will now refer you to an assigned officer of the OWWA office in the Philippines.
• As soon as you return to the Philippines, you need to go to the OWWA office to get a certification.
• Present the said certification to Landbank.

Step 2: Training for Business Development. As an eligible OFW, you need to attend the EDT or Enterprise Development Training from OWWA, DTI, and Landbank. As part of the requirement, you must present the certificate of attendance on the EDT to Landbank.

Note: This EDT training will teach the OFW how to run a business.

Step 3: Preparation of a business plan and other requirements

The OFW must prepare the business plan and other Landbank requirements.

Step 4: You are now in the Submission, Review, and Inspection process.

• Submit all your requirements to Landbank, the latter will then review your application.
• If the business is already established, inspection will be performed.

Step 5: If your loan has been approved, Landbank will release the funds to you.

Frequently Asked Questions

You may check the following questions and answers about getting a loan from OWWA as an OFW or seaman:

1. Does EDLP require collateral?

2. does edlp give a grace period.

Yes, a 2-year grace period will be provided.

3. Can I still get a loan from OWWA if my business was already established?

Yes, you can.

4. Where can I get a business plan?

You can make your own business plan or you can also hire a professional to help you construct a better one. The better the business plan that you have the more chances of getting approved by the bank.

5. What is the best OWWA loan for repatriated OFWs?

Of course, it’s the HEROES Loan.

6. Are there any chances of getting declined?

Just like any other loan program, you might still get rejected. So make sure to submit complete requirements for more chances of getting approved. You also need to be eligible to get approved.

7. What if I wasn’t able to pay the loan?

If your chosen loan required collateral, they will get those assets as collateral for your unpaid loans.

If you’re an OFW who still wants to get a better future and life for your family, but you are repatriated due to the pandemic crisis, there are OWWA loans that can help you. These OWWA loans are not just exclusive for repatriated OFWs because there are also programs intended for those who really want to build their dream business and become an entrepreneur.

Many OFWs are dreaming to go home to the Philippines and stay with their family for good. And the only thing that stops them from doing so is their finances. Since most don’t have their savings or investments, they need to keep on working to send money to their families in the Philippines. But now that these loan programs are being pushed by the government, there’s no reason to freeze those dreams of having your own business and staying with your family for good.

Get the chance to become an entrepreneur and generate an income without living in your home country. Inquire and complete all the necessary documentation of your chosen loan now and never go back abroad!

The approval rate will still depend on your provided requirements and business plan. Make sure to make every step in order.

• Business Loans

How To Write A Successful Business Plan For A Loan

Updated: Aug 18, 2022, 12:46pm

A business plan is a document that lays out a company’s strategy and, in some cases, how a business owner plans to use loan funds, investments and capital. It demonstrates that a business is already producing income and has a plan to continue doing so moving forward.

A successful business plan is well-written, realistic, concise and, most importantly, convinces financial institutions that approving your business for a loan is a smart choice.

Here’s what you need to know about each section of a business plan and how to write a plan that will earn a lender’s stamp of approval.

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What Does a Successful Business Plan Include?

A successful business plan outlines your entire business and effectively explains how it makes money and why it’s likely to succeed. This is especially important if you’re trying to get a small business loan .

The content of a business plan should vary from company to company, but there are a few common sections that will help lenders better understand your business and help you qualify for financing.

Executive Summary

An executive summary concisely summarizes your business plan—usually on one page. The goals of this section are to inform the reader about the business as a whole, summarize what is contained in the rest of the document and capture their interest. That said, the best use of this section may depend on the age of your business.

• Startups. Startup owners typically use the executive summary to discuss the business opportunity, their target market and their planned strategy for building the business. The section also may touch on relevant market competition. Startup companies in particular should use the executive summary to build a lender’s confidence in the business.
• Established businesses. Companies that have been in business for several years usually orient their executive summaries around past achievements and growth plans. In this case, the section may begin with the company’s mission statement and provide information about business operations and financials before outlining future goals.

Industry Analysis

The industry analysis section of a business plan defines the business’ industry and mentions current trends—with a focus on risks and opportunities. The section also informs the reader about how the industry works and where the business fits in the industry as a whole.

This section should start by defining the industry, as well as what products and services it provides, and what consumer demand it fulfills. Next, identify the most important influences in the industry. In the case of a bank, this may include applicable government regulations; for a clothing boutique, it may be consumer trends and budget.

The industry analysis should also define the company’s intended niche in the industry.

Market Analysis

The market analysis zooms into the specific market niche mentioned in the previous section. Market analysis aims to detail the segment of the broader market the business is intended to fit within. For example, a fashion brand or boutique may target high-income consumers.

Use this section to explain how the segment differs from the wider industry. In the fashion boutique example, a market analysis may reveal that high-income consumers in the fashion industry pay substantially more for brands that are considered exclusive.

Also, describe the size of your business’ niche and how it fits into the wider industry. This should include mention of how many existing businesses operate in this niche and how they target consumers.

Competitor Analysis

A competitor analysis explains what competitors in your niche do and informs the reader of the current market environment. Start with an overall assessment of your competitors. Then, discuss the most relevant competitors for your niche. When conducting a competitor analysis, ask yourself the following questions:

• Where do your ideal customers currently shop?
• How do these competitors differentiate themselves?
• How are competitor products and services priced?
• Why do customers choose those products or service providers?

Using the example above, many clothing boutiques compete by providing higher quality products or a unique, luxury shopping experience. If your store has a single location, your competitor might be another clothing store with a similar price-point or signature style.

Target Market Segmentation

In the target market segmentation, you’ll identify your business’ target market and describe how you will meet its needs. This section aims to instill confidence in the lender by providing a clear and objective strategy for building revenue.

Begin the section by informing how your products or services meet your shoppers’ needs. Next, explain how consumers can access your products or services—including a brief outline of your marketing strategy and how it is tailored to your target clients. Contrast this to your competitors’ strategy as defined in the previous section. After reading this portion of the business plan, the lender should know exactly how your business intends to compete.

Services or Products Offered

Use this section of the plan to explain what your business offers its ideal customers and to contrast your product and service offering to that of your competitors. Start by defining your product and service offering, including pricing. Also, inform the reader what equipment or materials you need to provide your products and services. For instance, a fashion apparel brand needs access to textile manufacturers.

Marketing Plan and Sales Strategy

Now that the lender understands what you offer, explain how you plan to market it in greater detail. This section outlines how you’ll attract and convince consumers to buy from you. The goal is to provide a flexible and realistic marketing and sales plan that convinces the reader you know how to attract consumers.

The sales strategy section of your business plan also should include the company’s revenue goals and explain how your marketing and sales department will achieve them. Provide in-depth details on the marketing and sales challenges you’ll face and how to overcome them. While this information is always relevant, it’s particularly important to lenders reviewing your loan application as they will want to know how you plan to make money.

Operations Plan

The operations plan details your company’s day-to-day operations. This detail-oriented section should comprehensively explain how your business will operate, beginning with a list of your company’s daily activities.

As a high-end clothing boutique, your daily operations may include:

• A manager reconciling sales receipts and inventory numbers
• Stylists researching future trends and sourcing new inventory
• A marketing team building an online and social media presence

Note: This section is more about your business’s daily processes rather than its organizational structure—which is the next section.

Management Team

Use the management section of your business plan to tell the lender who does what in the company and how they’re compensated. Help the lender better understand the people behind the company by including biographical and background information on the company’s owners and key executives.

The best way to present this information is often with an organizational flowchart. You can also include other information about the company in this section, like your mission statement and values.

Financial Plan

Your financial plan tells a prospective lender two things: how much you plan to spend each year and how much you’ll earn in revenue. This section is the most important for most businesses, as it can make or break a lender’s confidence and willingness to extend credit.

Always include the following documents in the financial section of your business plan:

• Cash flow statements
• Income statements
• Capital expenditure budgets
• Balance sheets

Most lenders ask established businesses for at least three years of financial data, and some may ask for five. Preferably, include as much financial data as possible. If you’re a startup, include estimated costs and projected revenue, and supplement your data with industry averages or financial data from competitors.

Exit Strategy

Your business plan should always include an exit strategy in case things go wrong or you simply decide to close up shop. This may include everything from taking on new partners to selling your business or even declaring bankruptcy. Having an exit strategy is another way to show lenders that you have thought about the risks involved with your business and are prepared for them.

The appendix of a business plan normally contains financial information and other documents the reader may need to gain a comprehensive understanding of the business. Established businesses typically include financial statements and projections, at a minimum. In contrast, a startup could include the research they conducted to make the business plan.

Also consider including relevant resumes, marketing materials, letters of recommendation or references. For ease, your appendix should have a table of contents directing lenders to the most important documents.

What Lenders Look for In a Business Plan

There are five things that lenders typically look at when making business lending decisions: character, capacity, capital, conditions and collateral. By understanding these key considerations, you can draft a business plan that speaks to a lender’s interests and concerns.

A business’ character includes subjective, intangible qualities like whether its owners are perceived as honest, competent or determined. Stated another way, lenders want to know that you are honest and have integrity. These qualities can be critical for evaluating candidates because most lenders don’t want to lend to someone they don’t feel they can trust.

To evaluate the character of you and your business, lenders look at your personal credit history as well as your business’ financial history. Use your business plan to bolster your character by including ample financial records, letters of recommendation and other relevant documents.

Lenders want to know that you have the ability to repay the loan. They evaluate this by looking at your business’ financial history to see how much revenue you have generated in the past and how much profit you have made.

Lenders might also judge your capacity based on your business’ financial projections as well as your personal credit history and household income. Where relevant, lenders look at your management team to see if they have the experience needed to grow your business or keep it on a path toward success.

When reviewing your loan application, lenders read your business plan to see how much money you need to borrow and how you will repay the loan. They also look at your financial statements to see how much cash you have on hand and how much debt you are carrying.

Likewise, lenders often prefer business owners who have made larger personal financial investments in their enterprises. A personal financial investment reveals your commitment to the business and demonstrates you have the resources to pay off a large loan.

Ultimately, a lender’s biggest concern is whether your business can realistically succeed. So, they judge your company’s chances of success using your business plan as well as current market conditions. A good business plan can improve your lender’s confidence by convincing the lender that market conditions and your business strategy increase your odds of success.

In some cases, lenders want to know that you have something of value that they can use to secure the loan. This can be property, equipment, inventory or even receivables. If you don’t have any collateral, lenders may still approve a loan if you have a good credit history and a solid business plan.

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Kiah Treece is a small business owner and personal finance expert with experience in loans, business and personal finance, insurance and real estate. Her focus is on demystifying debt to help individuals and business owners take control of their finances. She has also been featured by Investopedia, Los Angeles Times, Money.com and other financial publications.

OWWA Loans for OFWs and Seafarers and How to Apply for Each

Since it launched in 1977, the Overseas Workers Welfare Administration (OWWA) , with its offices in 27 countries, has been all about lending a hand to overseas Filipino workers (OFWs) —land-based or sea-based—through their numerous programs and services . They also offer loans meant to help OFWs establish businesses and generate more income. After all, being an OFW or a seafarer isn’t forever and being prepared for such a time when they would have to stop working or return to the country is also yet another form of being responsible.

List of OWWA Loans for OFWs and Seafarers

OWWA has always been about providing aid to our modern-day heroes, the OFWs. One of the ways they do so is by offering a loan program for their members, regardless if they work on land or at sea. The OWWA loan program is based on the P2-billion reintegration initiative, which comes as part of the perks of being an OWWA member.

1. Overseas Filipino Workers – Enterprise Development and Loan Program (OFW-EDLP)

The Overseas Filipino Workers – Enterprise Development and Loan Program (OFW-EDLP), is an OWWA loan program formerly known as the OFW-Reintegration Program (ORP). It is a collaborative enterprise development intervention program and a loan facility managed by OWWA, along with the Landbank of the Philippines (LBP), and the Development Bank of the Philippines (DBP). It was designed to help OFWs with funds that will provide them with some leverage and guidance on starting their own businesses in the Philippines. 

The program’s loanable amount can be used for businesses related to:

Qualifications

If the OFW is abroad:

Requirements

If you are qualified and you wish to apply for the OFW-EDLP loan, then you must prepare and submit certain documentary requirements to process your application. The requirements include:

Application Procedures

2. helping the economy recover thru ofw enterprise start-ups (heroes) loan program.

The recent global health crisis has taken the world by surprise, resulting in unprecedented job and livelihood losses. As such, the governments have decided to step up in an effort to support the entrepreneurial nature of OFWs and seafarers who were affected by the crisis. One such effort resulted in the creation of the HEROES (Helping the Economy Recover thru OFW Enterprise Start-Ups) Loan Program.

Under the HEROES Loan Program, OFWs may enjoy the following benefits:

The HEROES Loan Program is available to all repatriated OFWs who satisfy the following criteria:

Requirements 

When applying for the HEROES Loan Program, the following documents are required:

Additional Requirements

Depending on the amount of loan, the following additional documents will also be required:

For Loans amounting to Php 50,000.00 up to Php 100,000.00

If you are interested in the HEROES Loan program, then you may follow this guide:

OWWA Seafarers’ Loan

That said, all available OWWA loans are, in essence, also available to seafarers as they are to land-based OFWs. These loans can only be used for business projects, though OWWA also offers numerous financial assistance programs that cover for all other types of needs that both OFWs and seafarers may have. At this time, however, there are no OWWA loans exclusively designed for seafarers and mariners abroad.

OWWA Personal Loans

Owwa salary loans.

Just like how OWWA does not offer a personal loan, OWWA also doesn’t give out salary loans. OWWA offers numerous programs that may help resolve the same problems you will resolve by taking out salary loans, but these programs mostly offer one-time assistance that don’t require payments later on. If you need to secure a salary loan, then go visit other government agencies like Social Security System (SSS) and Pag-IBIG instead.

OWWA Housing Loans

Sure, being an OFW usually starts with the dream of building a home. Unfortunately, as important as housing is to OFWs, it is something that OWWA doesn’t have any loan programs for. To put it bluntly, OWWA does not offer any housing loan or assistance program for Filipino workers overseas.

Important Reminders

Video: how to avail an owwa business loan for ofws.

To learn more about how to secure an OWWA Business Loan for OFWs, land-based or sea-based, then you would want to watch this Youtube video from Mommy Thoughts.

Frequently Asked Questions (FAQs)

1. does ofw-edlp require a collateral, 2. do the owwa loans give a grace period.

Yes, the OFW-EDLP includes a 2-year grace period whereas the HEROES Loan Program comes with a built-in 12-month grace period.

3. Can I still get a loan from OWWA if my business was already established?

4. where can i get a business plan.

You may write your own business plan using what you have learned from the business training and with the help of your mentors or you may also hire a professional to help you construct a better business plan that will help you get your loan approved by the bank.

5. What is the best OWWA loan for repatriated OFWs?

It depends on the purpose of the loan, but if you want a zero-interest, no collateral loan, then you want to apply for the HEROES Loan Program.

6. Are there any chances of getting declined?

7. what if i wasn’t able to pay the loan.

If your chosen loan required collateral, they will seize those assets as collateral for your unpaid loans. If you availed the loan via the no-collateral HEROES Loan Program, the SB Corporation may file a legal case.

8. What are the businesses that would qualify for the OFW-EDLP loan?

Applicants who are engaged in the following micro, small, and medium-sized enterprises may apply for the OWWA loan program:

9. What are the requirements in applying for the OWWA loan?

10. can i apply for an ofw loan from owwa even if i am not an active member.

No. Being an active member of OWWA is necessary in order to get an OFW loan. You may keep your OWWA membership active by paying US$25.00 to keep it valid for two (2) years. OWWA has also made it easier for you to apply for your membership via OWWA Mobile App.

11. Where can I learn more information about the OWWA Loan programs?

OWWA hotline number : 1348, (02) 1348 (Regional), (+632) 1348 (International) 

OWWA Email Address: [email protected], [email protected]

Customer Hotline Number: +632 8 405 7000

Contrary to popular belief, borrowing money isn’t always a negative thing. In fact, loans open up opportunities, not only for the lender, but also for the borrowers. It’s a lucrative industry that even government offices like OWWA, SSS, and Pag-IBIG offer loans in an effort to help their patrons and grow their funds at the same time.

Contact Information

For more information, you may reach out to OWWA via the following contact information: 

Overseas Workers Welfare Association (OWWA)

Owwa 24/7 operations center.

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How To Apply for OWWA Business Loan for OFWs

Guide on how to apply for owwa business loan offer for ofws.

Here is a guide on how to apply for the business loan offer of OWWA for qualified OFW members with active accounts.

Have you heard about the Overseas Filipino Workers – Enterprise Development and Loan Program? Also called the OFW-EDLP, it is a business loan program offer of the OWWA for overseas Filipino workers (OFWs).

OWWA wants to help Pinoys working abroad to establish their own business. It is through the offer under the program that saw an opportunity to pull through the target and help OFWs craft a business that they can rely on if they no longer want to return abroad to work.

There is an easy process in applying for the OWWA Business Loan offer but the steps may vary depending whether the OFW is in the Philippines during the application or not. Here’s a guide:

Step 1 — Verification of OWWA Registration

• Go to your OWWA Regional Welfare Office for the orientation/eligibility screening and processing/training.
• If you qualify to the OWWA Business Loan offer, you will be given a certification of membership which will be presented to the Landbank Assessment.

If you are outside the Philippines, you can contact your designated Welfare Officer of the Embassy in your country through the email address. Your Welfare Officer will verify your OWWA registration and you will be referred to an OWWA Regional Welfare Office in the Philippines.

Step 2 — Enhanced Entrepreneurial Development Training (EEDT).

You will be advised to attend the EEDT which is conducted by OWWA, Landbank of the Philippines, and the Department of Trade and Industry (DTI). The Certificate of Attendance must be presented on the EDT to Landbank.

Step 3 — Submit all your requirements for review and inspection

Submit all your documents to Landbank. For existing projects or businesses, an inspection will be carried out. It may take 45 working days for the loan evaluation to conclude as well as the packaging and the approval.

Step 4 — Releasing of Loan Proceeds

The Landbank of the Philippines will release the money to the OFW applicant or the authorized representative.

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• Mar 30, 2023

The Ultimate Guide to Writing a Business Plan for a Loan: A Step-by-Step Walk-Through

The Ultimate Guide to Writing a Business Plan for a Loan: A Step-by-Step Walkthrough

As a business plan specialist and expert business planner, I'm here to guide you through the process of writing a comprehensive business plan for securing a loan. Whether you're a start-up or an established business looking to expand, a well-crafted business plan is essential for impressing potential lenders and securing the funding you need.

In this extensive, 5,000-word article, I'll cover everything you need to know about creating a top-notch business plan that will boost your chances of loan approval. We'll go through each section in detail, providing you with practical examples and tips to optimize your plan for success. So, let's get started!

Executive Summary

The executive summary is the first and most critical section of your business plan. It's a brief overview of your entire plan, highlighting the key points and giving readers an insight into your business.

Key elements to include in your executive summary:

Business concept: Briefly explain your business idea, the products or services you plan to offer, and the target market.

Company overview: Provide essential information about your company, including its legal structure, location, and mission statement.

Management team: Showcase the expertise and experience of your management team, emphasizing their ability to lead the business.

Market opportunity: Describe the market demand, trends, and target audience, highlighting the opportunity for your business to succeed.

Financial highlights: Summarize your financial projections, including sales, profits, and cash flow.

Loan purpose: Clearly state the purpose of the loan and the amount you're seeking.

Remember, the executive summary is often the first thing lenders read, so make it engaging and informative to grab their attention.

Company Description

The company description section is where you provide a more in-depth look at your business. It should give readers a clear understanding of your company's purpose, goals, and competitive advantages.

Key elements to include in your company description:

Business history: If your company has an existing history, briefly describe its origins and milestones achieved.

Mission statement: Articulate the purpose of your company and the value you aim to provide to customers.

Objectives: Outline the specific goals you want to achieve with your business, both short-term and long-term.

Products and services: Provide a detailed description of the products or services you plan to offer, emphasizing the benefits they provide to customers.

Target market: Identify your target audience, specifying their demographics, psychographics, and buying habits.

Competitive advantage: Explain what sets your business apart from the competition and how you plan to maintain this edge.

Market Analysis

The market analysis section demonstrates your understanding of the industry, market, and competition. It's crucial to show lenders that you've done your homework and have a comprehensive understanding of the market landscape.

Key elements to include in your market analysis:

Industry overview: Provide a high-level view of your industry, including its size, growth trends, and key players.

Market segmentation: Break down your target market into smaller segments, identifying their unique needs and preferences.

Target market characteristics: Describe the specific characteristics of your target market, such as demographics, psychographics, and geographic location.

Market demand: Present evidence of market demand, using data on customer needs, market trends, and buying behaviors.

Competitor analysis: Evaluate your main competitors, analyzing their strengths, weaknesses, and market share.

SWOT analysis: Conduct a SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) to assess your business's position in the market.

Marketing and Sales Strategy

In this section, outline your marketing and sales strategy to show lenders how you plan to attract and retain customers, as well as generate revenue. A well-defined marketing and sales strategy is crucial to demonstrate that you have a clear plan for growth and profitability.

Key elements to include in your marketing and sales strategy:

Marketing objectives: Define your marketing goals, such as brand awareness, lead generation, or customer retention.

Target audience: Reiterate your target market, emphasizing their needs and preferences.

Unique selling proposition (USP): Highlight your USP, the main reason customers should choose your products or services over the competition.

Marketing channels: Identify the marketing channels you plan to use, such as social media, email, content marketing, or paid advertising. Explain the rationale behind your choice of channels and how they align with your target audience.

Sales process: Describe your sales process, from lead generation to closing deals. Include details on your sales team structure, training, and compensation plans.

Key performance indicators (KPIs): List the KPIs you'll use to measure the success of your marketing and sales efforts, such as conversion rates, average deal size, or customer lifetime value.

Operations Plan

The operations plan section details the day-to-day activities required to run your business. It shows lenders that you have a clear understanding of the operational aspects of your company and the resources needed to support your growth.

Key elements to include in your operations plan:

Facilities: Describe your business's physical location, including its size, layout, and any equipment or machinery required.

Production process: If applicable, detail your production process, including the steps involved, quality control measures, and production capacity.

Supply chain: Outline your supply chain, identifying key suppliers, procurement processes, and inventory management practices.

Staffing: Explain your staffing requirements, including the roles, responsibilities, and qualifications of each team member.

Management structure: Provide an organizational chart, showcasing your company's management structure and reporting lines.

Legal and regulatory requirements: Identify any relevant legal or regulatory requirements, such as licenses, permits, or certifications needed to operate your business.

Financial Plan

The financial plan is arguably the most crucial section of your business plan when applying for a loan. It demonstrates your ability to manage finances, make informed decisions, and, ultimately, repay the loan.

Key elements to include in your financial plan:

Revenue projections: Estimate your future sales, breaking them down by product or service category and showing growth rates over time.

Expense projections: Forecast your expenses, including fixed costs (e.g., rent, utilities) and variable costs (e.g., marketing, salaries).

Cash flow statement: Provide a detailed cash flow statement, showing how cash will flow in and out of your business over a specified period (typically 12 months).

Profit and loss statement: Create a profit and loss statement that projects your business's profitability over time.

Balance sheet: Prepare a balance sheet that showcases your business's assets, liabilities, and equity.

Break-even analysis: Calculate the point at which your business will break even, meaning your revenues equal your expenses.

Loan repayment schedule: Detail your proposed loan repayment schedule, including the loan amount, interest rate, repayment terms, and projected date of full repayment.

The appendices section is where you can include any additional documents or supporting materials that are relevant to your business plan. These documents may provide further evidence of your company's viability and help strengthen your case for securing a loan.

Examples of items to include in the appendices:

Resumes of key team members

Product samples or prototypes

Market research data or surveys

Letters of intent or contracts with suppliers, partners, or customers

Intellectual property documentation, such as patents, trademarks, or copyrights

Relevant licenses, permits, or certifications

Writing a comprehensive business plan for a loan can seem like a daunting task, but with the right approach and guidance, it's an achievable goal. By following the step-by-step instructions outlined in this article, you can create a well-structured, persuasive business plan that will greatly improve your chances of securing the funding you need. Remember to:

Pay close attention to your executive summary, as it sets the tone for the entire plan.

Be thorough and detailed in your market analysis, showing a deep understanding of your industry and target audience.

Develop a solid marketing and sales strategy to demonstrate your ability to attract and retain customers.

Address the operational aspects of your business, including staffing, facilities, and supply chain management.

Present a robust financial plan, complete with projections and a loan repayment schedule.

By doing so, you'll showcase your expertise, commitment, and preparedness to potential lenders, significantly increasing the likelihood of obtaining the loan your business needs to grow and succeed.

In addition to following the steps outlined in this guide, consider seeking professional assistance from a business plan consultant or specialist to review and refine your plan. Their expertise can help you identify any areas that may need improvement and ensure that your business plan is optimized for success.

Finally, remember to continuously update your business plan as your business evolves. Regular updates will ensure that your plan remains relevant and accurate, providing you with a valuable roadmap for your business's future growth and development.

With dedication, persistence, and a well-crafted business plan, you can secure the funding you need to bring your business vision to life. Good luck, and here's to your success!

• Writing Your Business Plan
• Funding Your Business

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