"We believe that the vulnerable micro and small entrepreneurs can develop themselves, given the opportunities and the proper resources," said project manager Rhodora Hizon.
CSE has a large base to work with, targeting entrepreneurs engaged in growth-oriented micro, cottage and small enterprises, or those with business assets of P15 million and below.
Based on data from the National Statistics Office, this would include 91.1% of the country’s 820,960 micro, small, and medium enterprises or those with business assets of P3 million and below.
Concentrating on the development and improvement of the basic management skills, CSE offers an "improve your business" program, which has modules on record-keeping, costing, stock control, buying, business financial planning, and marketing. Each half-day module costs P350.
"There’s a demand for advanced courses for those who have graduated from the basic IYB program as well as for a ‘start your own business’ program and we hope to start offering these before the end of the year," said Hizon.
Through the years, 500 participants have attended the workshops at the Asian Social Institute. CSE, however, intends to reach out to at least 2,500 MSMEs in the next five years through the holding of a quarterly business forum called Kapihang EntrePinoy.
The first business forum will be held today.
"Our clients have limited access to chambers of industries and other organized business groups. This is their chance to organize and to form networks with other MSMEs," Hizon said.
Unlike many microfinance models that give collateral-free loans on the basis of peer guarantees, CSE requires collateral from potential borrowers. A monthly interest rate of 2% is charged for terms of three to 12 months.
"We want those assisted by our supervised credit program to increase their income by 20% and to increase their business assets by 25%. We also expect 90% of those given individual financial coaching and record-keeping services to maintain their financial books. Overall, we just want everyone who attend our business training programs to learn enough skills to manage their business well," she said.