Small businesses account for nearly all enterprises in the Philippines, but many continue to face limited access to financing. Skyro is looking to address part of that gap by supporting more than 5,000 SMEs nationwide with financing options designed to help merchants close sales and accommodate customers’ budgets.
The fintech’s latest push comes as the Philippines marks National Heroes Day, putting the spotlight on entrepreneurs who make up around 99% of the country’s businesses and contribute about 63% of employment, based on 2024 data from the Department of Trade and Industry (DTI).
Financing remains a challenge for Philippine SMEs
Despite their role in the economy, MSMEs continue to have relatively limited access to formal financing. Data from the Bangko Sentral ng Pilipinas (BSP) showed that MSMEs accounted for just 4.48% of the Philippine banking industry’s PHP 12.8-trillion lending portfolio as of the end of June.
That financing gap can make it harder for smaller businesses to manage operations, invest in inventory, or take advantage of customer demand.
For merchants, the challenge also extends to the purchasing power of their customers. Flexible payment and financing options can make higher-value products more attainable without requiring buyers to pay the full amount upfront.
Flexible financing can increase basket size
Skyro currently partners with more than 5,000 SMEs across the Philippines, offering financing at participating merchants through its Product Loans.
Eligible customers can use the financing to purchase gadgets and electronics, appliances, business equipment, and other eligible products.
Payment terms range from three to 24 months, allowing customers to spread purchases over a longer period.
According to Skyro’s merchant data, its financing solutions have been associated with a 30% increase in basket size. The company says this indicates that flexible financing can give shoppers more room to consider higher-value purchases while providing merchants with another way to convert demand into sales.
Beyond merchant financing
Skyro’s financial services also extend to consumers through its mobile app.
Its offerings include Cash Loans, which allow eligible users to access funds for personal needs through a digital application process, and SkyroCredit, which provides eligible customers with a reusable credit line for everyday spending, along with cashback rewards on purchases.
For consumers, the company positions these services as alternatives to traditional financing processes that can involve more paperwork and longer processing times.
SMEs can apply through Skyro for Business
Merchants interested in partnering with Skyro can apply through Skyro for Business, which provides businesses with access to a dedicated portal and account management tools.
The platform also includes marketing support intended to help merchants make greater use of Skyro’s financing options. The company says applicants can receive feedback in as fast as two days.
For smaller businesses dealing with rising operating costs and changing consumer spending habits, these tools can provide another way to respond to affordability concerns without relying solely on traditional payment methods.
Financing becomes part of the sales strategy
For Philippine SMEs, access to financing is not only about securing capital for the business itself. Giving customers more ways to manage larger purchases can also influence whether interest ultimately becomes a sale.
Skyro’s growing merchant network reflects that shift, with the fintech positioning financing as part of the broader customer and sales experience.
As SMEs continue to account for the overwhelming majority of Philippine businesses, expanding access to financing—both for entrepreneurs and their customers—could become increasingly important to sustaining growth in the sector.
