Before you jump in your yard and set-up your new business, you first need to register and to apply for permits and licenses that serves as proof that your business is legitimate, authorized, and can benefit the citizens. After knowing this should be done, you have to know what type of business you are planning to put up: sole proprietorship, partnership, or a corporation because the three needs different permits and licenses before you can go.
In this article, you will be educated on the different types of permits and licenses you need to have before going on with your business.
Probably the most important document if you are planning to put up an individually owned business or a corporation, because having these documents will enable you to acquire other documents with ease. There are four (4) kinds of BIR forms that are used for registration:
1901 for Mixed-income and self-employed individuals
1902 for Employees with full compensation, nonresidents, and resident aliens
1903 for Corporations and partnerships
1904 for One-time taxpayer who just rendered business in the Philippines for a year.
All businesses, whether self owned, a partnership, or a corporation, must submit a tax payment at the end of each and every fiscal year; this is when TIN (Tax Identification Number) comes in.
This department makes your own given business name legal. They also exist in order for your business names to be unique; in order for you not to use a business name that has already been established. Before you can secure your business name, without a TIN, Barangay clearance, and other licenses, you cannot secure one.
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