Business Registration for Franchise in the Philippines

1. DTI (www.dti.gov.ph) – Single Proprietorship

    • Business Name Search
    • New Applications, Renewals
    • Changes of Business info or Cancel Business Name
    • Certification of Request
    • Business Name 5yrs – P300

2. Barangay Business Clearance

    • Clearance from building owner of homeowner’s association
    • Payment of Php150.00

3. Mayor’s Permit

    • DTI Certificate of registration
    • Sketch of exact Location
    • Payment of Insurance
    • Municipal Treasurer’s Certification that business is new and starting
    • Pay 20% of 1% of paid-up Capitalization

Barangay Micro-Business Enterprise (BMBE) Act of 2002 (RA 9178)

    • A barangay micro Business enterprise is engaged in production, processing or manufacturing of products as well as trading and services with a total assets of 3 million.
    • Such as assets include those arising from loans but not the land on which the plant or equipment located
    • Payment up to 1,000 pesos

Incentives:

    • Income tax Exemption from income arising from the operation of the enterprise
    • Exemption from the coverage of the Minimum wage law, but employees will receive social security and health care benefits
    • Priority to a special credit window set up especially for the financing requirements of a BMBE.

How to Register:

      • a. Get Application from office of the Treasurer of the City or Municipality where the business is located
      • b. Submit accomplished form with 3 passport size ID pictures
      • c. A registered BMBE gets a Certificate of Authority effective for one year

4. BIR registration Certification no. and Tax identification no. (TIN) (www.bir.gov.ph)

5. Social Security System (www.sss.gov.ph)

    • An employer or any person who uses services of another person in business, trade, industry or any undertaking must be registered with the SSS
    • Social, civic professional, charitable and other non-profit organization which hire the services of employees are considered “employers”