INCOME GENERATING PROGRAM

Overview
The program aims to optimize and promote the use of the University's under/unutilized resources by assisting technically and financially viable income-generating activities in order to support and further enhance it's primary function of serving quality education to its students. This program is in line with the Long-Term Higher Education Development Plan (LTHDP) For 2001-2010 of the Commission on Higher Education, which empowers SUCs to establish active incomegenerating projects and promote profitable management of its economic resources, such as optimal productive use of idle lands, existing facilities and other technical equipment. In its 1180th Meeting (2004) the Board of Regents of the UP System have approved a P2M fund specifically defined for this program. Your participation, determination and commitment to help and support the IGP and the University's drive to generate revenue will be very much appreciated. We are looking forward to have you as one of our prospective partners in this university-wide undertaking. The program will be implemented and managed by the Office of the Vice Chancellor for Planning and Development.

What type of income-generating activities are covered by the IGP? 1) Straight Lease:
The university has a large base of physical assets which include buildings/rooms, land, equipment, research facilities, venues for seminars & conferences that are available for lease at reasonable rates. Interested applicants, who may either be UP or non-UP related individuals or groups (public or private), may enter into a contract of lease with the University through the concerned unit.

Who can apply for the University Funded Activity?

All members of the faculty & staff of the University, either as individuals or in groups, are qualified under this IGP component. Non-permanent employee may also apply provided they have a tenured partner.

How to apply for the Income Generating Fund?

Those who are interested can approach the Business Manager (BM) and discuss possible income generating activities. The applicant should eventually prepare a business plan proposal. The BM will assist the person or unit in assessing the viability of the business plan. The following are the requirements: 1) Endorsement from the Dean or Unit Head 2) Business plan proposal

2) Partnership with the University:

This is a cost/profit-sharing venture between the applicant and the University. The University can have collaborative efforts in the form of funding, technical assistance and labor. Applicants, may also be UP or non-UP related individuals or groups who are interested in supporting the University. The interested party may forward a proposed partnership agreement with the University addressed to the Office of the Chancellor.

3) University Funded Activity:

The University has set aside an initial fund to finance projects that will generate revenue. The interested applicant can avail of a loan at a minimal interest rate upon approval of the business plan proposal. This activity is governed by the Implementing Guidelines on University Funded Activities.

Other important matters about the UFA:

What types of projects are eligible for funding? The UPV-IGP may provide financial assistance to projects that are consistent with the primary goal of the University. These include, but are not limited to, such activities as:

The project should help maximize under/unutilized resources for research, instruction and extension. The optimal use of these assets should not be in conflict with the University's primary function of serving quality education to its students. Applicants should demonstrate the expertise, commitment and determination to exert best efforts in order for the project to be sustainable and self-financing in 2-3 years. The maximum loanable amount is 10% of the P2M IGP fund as approved by the BOR (1180th Meeting, 2004). A minimal interest rate of 6% per annum will be charged to the loan at a flexible repayment scheme depending on the proposed project. The project should consider the profitsharing scheme set in the program. The project should identify the university's equipment/facilities & utilities to be used and should consider their rental payments. All direct costs such as labor, materials, utilities and equipment rentals, and other directly related costs should be included in the funds being applied for. Applicants assume accountability and responsibility for the loan and thus, he/she/they should handle and manage it exclusively for the income generating project.

University of the Philippines Visayas

Training & Consultancy, inside and outside the University Educational, business & professional services Stage Production, Art Exhibit Information and communication technologies Life sciences and aquaculture Value-added food production Agro-forestry production, Agroecotourism, Cutflowers, Seedlings Student Services (ex. 24-hour convenient store) And other services

What should project proposals include? Your written project proposal should include the following information:

Executive Summary/Rationale Business/product concept Industry and market analysis Funding Requirements Financial Plan Management Implementation Program Attachments & indices ========

Those who are interested may see the Business Manager at OVCPD, 2nd Floor New Administration Building, UP in the Visayas, Miag-ao, Iloilo or call at 3158137 or local 130. Business plan format is available at http:/intranet.upv.edu.ph.

Income Generating Program Primer