No form of business comes easy. Opening your own business will require a tremendous amount of work, from processing permits to actualizing a clear business plan. The road to success is easy for those who are determined to do the hard work.
In a recent article in The Filipino Times, we talked about 5 small businesses you can start under P15,000. In this article, we guide you through simple and easy steps on how to start your own business. If you’re planning to start a business from scratch, here are some steps and reminders to help your dream business come to life.
1. Register with DTI
After coming up with a name for your new business, make sure to search through the Department of Trade and Industry (DTI)’s website if any existing businesses have a name similar to yours. If your desired business name is available, simply fill out a business name application form and submit it to the nearest DTI office. Wait for your DTI certificate of registration before moving on to the next step.
2. Register with your barangay
After securing your certificate of registration, head to your barangay office to fill out an application for a business permit. Submit your DTI Certificate of Business Registration, proof of residence, and two valid IDs along with your application.
3. Register with the mayor’s office
After getting your Barangay Certificate of Business Registration, register your business at your municipal office. Fill out an application and register as a sole proprietor. You will also need to submit your Certificate of Business Registration from the DTI, your Barangay Clearance Certificate, two valid forms of ID, and proof of residency.
4. Register with BIR
After securing the necessary permits and certificates from your local government units, visit your regional district office and fill out a BIR form 1901 to register your business. Bring along your Certificate of Registration from DTI, your Barangay Clearance Certificate, your Mayor’s Business Permit, proof of residency, and valid IDs. Wait for a few working days to claim your certificate of registration or the BIR form 2303.
5. Open a bank account
To help you manage your finances more easily, you may opt to open a new business bank account. You may also use your personal bank accounts if you prefer. However, it’s best to keep business transactions separate from personal ones. Open a business bank account with your bank of choice to help you manage cash flows more efficiently.
6. Register with government-mandated sectors
It is mandated by law that all businesses must register and remit to government institutions such as SSS (Social Security System), BIR (Bureau of Internal Revenue), PhilHealth (Philippine Health Insurance Corporation), and Pag-IBIG Fund services. If you’re planning to hire manpower, you are required to enroll and grant all your employees an access to these sectors as well.
7. Create a business plan
No business has thrived without a solid business plan or strategy. In starting your own business, it’s important that you identify your target market, the service or product you will offer, and your financial projections as you start. Make your business plan strong by conducting research and analysis. Invest in good advertising as well.
8. Don’t expect to get rich immediately
Businesses take time to develop and prosper. As a startup business owner, it’s safe to keep your expectations low at the beginning and don’t expect to earn big profits overnight. Your business should be a continuous process and remember to account hard work and exert constant efforts to grow your business.
