In the Philippines, running a business requires documentation. Therefore, it is illegal to run a business without the necessary papers to run. Having these papers ensure that your business is seen as legitimate by the local government. In addition, you can get perks from the local government as a small boost to jumpstart your business.
It is important to have these papers in any business you own. Once you have the original copy, keep it safe until it needs renewal. Remember, these documents are required by law for any business. Compliance with these documents will lessen any business-related issues.
Here are the four permits you need to own for your business.
Department of Trade and Industry Certificate
The Department of Trade and Industry Certificate is one of the essential documents to own. It shows the exact trading name, owner name, and address. Each document has a set validity period and a unique numbering system to prevent fraud. Almost every business has this certificate as part of the management process. However, you have to be at least 18 years of age or older to apply for one. Furthermore, the processing fees will vary depending on the type of business you will run.
Bureau Of Internal Revenue TIN
The Bureau Of Internal Revenue TIN should be the highest-priority document to get. The tax identification number (TIN) will deduct the sales from your business depending on the annual income. At the same time, each business should report its tax statements at the end of each fiscal year. If your business does not report the tax statements, your business will get penalized, regardless of any delays.
Keep in mind that you can only get one TIN at a time per business. Owning more than one TIN is illegal by law, and it can revoke your right to own one. If you plan to close your business, you should also close the corresponding TIN to avoid duplications in the future.
Mayor’s Permit
The Mayor’s Permit is the document that ensures that your business can operate within the city. To secure a business permit registration, you can consult with your local city hall on the requirements. The requirements may vary depending on the business type and may include processing fees. Once you receive the paper, you can the business without worry. You should know the permit is valid for one year, so you must renew it once it expires.
Securities and Exchange Commission Registration Certificate
The Securities and Exchange Commission Registration Certificate is a permit for large corporations. You must bring a verification slip along with the articles of incorporation, by-laws, and joint affidavits. If you plan to run a corporation, you may need to submit additional documents to prove your application. Furthermore, this certificate’s process is longer than others due to the amount of time needed to process one.
Wrapping Up
Having any of these permits to run a business ensures you run one without worry. Whether you are a startup or a corporation, having these papers is a must. It ensures that you comply with the law and can operate your business however you want. Ultimately, it shows that you are a responsible business owner.
Author’s Bio:
Angelo Castelda works as a contributor for a news magazine in Asia. He loves to learn and understand diverse cultures and aims to share through his writing his experiences around the world.