You have been baking cakes and pastries for almost five years. In fact, you make even more than your job as a brand marketing supervisor. You make four times more during the holiday season where you receive orders left and right for your best seller chocolate chip cookies.
After much thought and saving enough money, you have decided to quit your office job and open your own coffee shop. You already have an idea where you want to set up shop. In fact, you have already made inquiries and have more or less come to terms with your future landlord.
With that out of the way, you will now have to take that first step to make your coffee shop a reality and that first step is to register your business. Business registration is a crucial step to start your own business and entrepreneurs should be equipped with the right tools and mindset to kickstart your business.
Depending on the size of your business, the whole registration process can either be short and simple or long and tedious. The whole process can be a hassle if you do not know what to expect so it would be easier to handle if you do your research beforehand.
Here’s a simple registration guide on what to expect when you register your business:
- Register your business name
Securing your business name is essential in the business registration process. The Department of Trade and Industry (DTI) is the agency that governs the registration of business names. If your business is a single proprietorship, a DTI registered business name is an important requirement to be able to register your business with the Mayor’s Office and the Bureau of Internal Revenue (BIR).
You can register your business name online by going to the DTI’s Business Name Registration System (BNRS) website. Another option is for you to go directly to the regional office where your business is located.
If your business is under a corporation or partnership, register through the Securities and Exchange Commission (SEC) i-Register Facility. Note that your business name is not yet approved even if it passes for registration. Verifying your corporation’s proposed business name at the SEC office is still necessary. A corporation or partnership must secure a certificate of registration with the SEC in order to have the license to operate a business. That certificate is also required by the BIR and the Mayor’s Office.
- Get a business permit.
Get a permit to operate from your local barangay. You need to secure a barangay clearance where your business will be operating. This is a requirement when registering for a Mayor’s Permit. This applies to businesses under the sole proprietorship, corporation and partnership. Get a business license, clearance, and permit to prove that your business is a community-friendly establishment that adheres to the standards and ordinances of the local government unit concerned. This process may take up to three weeks.
- Secure a certificate of registration from the Bureau of Internal Revenue (BIR).
Registering with the BIR will grant you the authority to print official receipts, register books of accounts, and obtain a separate TIN or tax identification number. Submit an application to the BIR Regional District Office where your business is located. This process usually takes a week.
- Enroll your employees.
Philippine law mandates that you to enroll your employees in agencies such as the Social Security System (SSS), Government Service Insurance System (GSIS), Department of Labor and Employment (DOLE), Home Development Mutual Fund (HDMF) or more popularly know as the Pag-IBIG Fund and PhilHealth to ensure proper remittance of employee contributions. These documents can be processed in two weeks.
After completing these steps, you can then focus on actually running your business.
About the Author:
Anne Ruth Dela Cruz is a seasoned writer who has interests in health, wellness and business start ups. She has also dabbled in corporate communications and public relations. A mother of four, Anne also loves videoke sessions and reading a good book. My posts appear on: Negosentro, World Executives Digest, Executive Chronicles, Get Health Access, and Trade & Travel Journal.