Ways to Register Your Business

Ways to Register Your Business

Published on August 28, 2020 • 4 minutes read
Ways to Register Your Business

Nowadays, entrepreneurs or business owners are tasked to register their business to protect it from uncertainties. From the listing of possible business ideas to looking for the right financier, it is smart and important to register your business because there will be legal and marketing advantages that come with it such as giving you unique identity, protects you from personal liability, and it will make it easier to attract investors and get bank credit. This might be an additional expense, but in the long run, it could also save your business reputation. And to help you obtain the said advantages, here is the guide on how to register your business in the Philippines. Before filing for business registration, you should first obtain specific licenses and permits. You will have to visit various government offices to fill out forms to get certificates of registration. It will help if you identify the type of business that you have to determine which requirements are required for the registration. It could be a sole proprietorship, partnership, and corporation. For Sole Proprietors, below are the things you need to obtain to register your business.

  • Certificate of Registration at the Bureau of Internal Revenue (BIR)
  • Certificate of Business Name Registration at the Department of Trade and Industry (DTI)
  • Business Barangay Clearance
  • Mayor’s Permit
  • Tax Identification Number (TIN) issued by BIR

BIR Registration Certificate Provide a copy of your Mayor’s permit, Contract of Lease or Land Title, and certifications from DTI for Sole Proprietors or SEC for Corporations. After these, you need to fill out forms based on your business classification (Sole proprietor, partnership, corporation), and proceed to the Revenue District Office. Submit your requirements to the designated officer to assess your payment and pay the necessary fees at the accredited banks, then submit your documents to the registration section. You can get your receipt and schedule for the release of your certificate. Buy your book of accounts and register it with the accomplished BIR Form to the registration section and apply for an Authority to Print (ATP) by submitting a photocopy of Certificate of Registration and required forms before claiming your Official Receipt. Business Name Registration Certificate To make sure your referred name is secured, you need to submit to the DTI application form, a copy of your government-issued ID, transaction reference number, and payment for the registration fee and documentary stamp tax.

Barangay Clearance To have a barangay clearance, you need to submit a community tax certificate or cedula, accomplished form, and a copy of your valid government-issued ID.

Mayor’s Permit Mayor’s Permit will ensure your business’ operation under your city or town’s ordinance. And to get this, you need to register your business first with DTI for sole proprietorship or SEC for corporations and partnerships. You also need to notarize the location clearance in the zoning division of your city hall or municipality. Submit the barangay clearance, DTI registration, contract of lease or land title with tax declaration, occupancy permit, and the sketch of your location as they are needed for assessment or inspection. After getting the location clearance, you are required to go to the Business Permit and Licensing Office (BPLO). You will be needing your DTI registration, location and barangay clearances, public liability and Insurance, and Community Tax Certificate (Cedula). Make sure to ask your BPLO for any additional requirements other than these to process your application and to compute the fees you need to pay.

The next step will be to show your paid application to get an issuance of the fire safety permit from the Fire Department and temporary sanitary permit from the sanitary division. You need to submit your application with the fire and sanitary permits to BPLO and wait to release your business permit. TIN As a primary requirement, you need to have a TIN from the BIR, then submit a tax statement using your TIN at the end of each fiscal year. As mentioned above, you need to register your business according to its classification. For proprietary, you just need to have a DTI Registration. You may come up with the list of business names in case your preferred name is already taken. If your business is under the corporation or partnership categories, you need the Security and Exchange Commission (SEC) Registration. Present the name verification slip, joint affidavit of two incorporators to change corporate name, and the articles of incorporation and by-laws. However, for non-stock corporations, you will be needing the list of names of contributors or donors and the amounts contributed or donated that are certified by the treasurer. And If your business is part of a cooperative, you need to get the Cooperative Development Authority (CDA) Registration by providing an economic survey, articles of cooperation and its by-laws, and the names of the cooperative’s directors. In addition to the above requirements, you also must get government-mandated permits or certificates such as SSS, PhilHealth, Pag-ibig, and DOLE especially if you have employees. Having your business registered surely is not easy but to secure it, you need to have the patience and the budget to do all the required transactions. To make it easier for you, create a schedule and a list of forms and documents needed for each transaction. And if necessary, check the government offices’ website if they offer online registrations and seminars to lessen the burden of going out, especially in this pandemic. Starting your own business soon? Read: First Step to Starting Your Negosyo: Plan your Business