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MSMEs are still recovering from the impact of the pandemic, especially those located in barangays. To support barangay enterprises, the government launched the Livelihood Seed Program – Negosyo Serbisyo sa Barangay (LSP-NSB) to help more than 40,000 MSMEs for this year.

Livelihood Seeding Program – Serbisyo sa Barangay (LSP-NSB)

Photo courtesy from ABS-CBN News, Post Guam Website, and PNA Website

LSP-NSB is a livelihood program by the Department of Trade and Industry (DTI) that provides business development assistance to MSMEs in barangays. It will provide business support to barangays within the 4th, 5th, and 6th classification, encouraging the growth of MSMEs in barangays:

  • 4th Class - Municipalities that have an average annual income of more than three million pesos but less than five million pesos.
  • 5th Class - Municipalities that have an average annual income of more than one million pesos but less than three million pesos.
  • 6th Class - Municipalities that have an average annual income of less than one million pesos.

MSMEs can check with their local Barangay SME Counselor or visit the nearest Negosyo Centers or local DTI Offices if the program is available in their barangay.

Who are qualified to avail the program?

Sole proprietors, cooperatives, and sectoral associations located in barangays may apply for the program. The program is also available for MSMEs in Local Communist Armed Conflict (LCAC) areas and vulnerable communities like Indigenous Peoples (IPs) and refugees or stateless persons.

MSMEs that have been impacted by natural and human-caused disasters, such as diseases and pandemics, will receive priority assistance.

What are the services offered in the program?

Photo courtesy from Daily Tribune, Manila Bulletin, and Punto Website

LSP-NSB aims to increase the awareness of barangay officials about the services that DTI offers and help identify MSMEs operating in barangays. This will allow local government units to provide the needed support to businesses in their communities, such as:

1. Facilitating Business Registration covers business name, Barangay Micro Business Enterprise (BMBE) registration, barangay clearances, and registration with the local government unit, Security Exchange Commission (SEC), Cooperative Development Authority, etc.

2. Business Advisory: includes SME counseling, product development, financing facilitation, market/business matching, trade promotion, and investment promotion.

3. Business Information and Advocacy: provides MSMEs the necessary information, training, seminars, and workshops.

4. Provision of livelihood kits: businesses will receive individual kits worth P5,000-P8,000 to help them restore and improve their livelihood. The type of kit to be provided will depend on the needs of affected MSMEs.

How MSMEs Can Avail the Livelihood Kit

MSMEs have to submit a business name certificate or barangay permit, simplified action plan, pledge of commitment, and attended business development sessions held by the DTI Provincial Offices and Negosyo Centers in their areas to get the livelihood kit.

Photo courtesy from Philippines News, DTI Website and Salay Misor Website

As one of the sectors heavily affected by the pandemic, the livelihood program for barangay MSMEs can help them recover and sustain their business. It will also provide them more opportunities to grow and contribute to the economic development of their barangays in the long run.

If you want to know more about the different government programs for MSMEs, click here!

Contributed by: Mark Goli

Livelihood Seeding Program – Serbisyo Sa Barangay MSME programs in the Philippines