LIAISONING SERVICES

A business permit is a certification that your business is legitimate, meaning it's authorized to operate in the city or municipality where it’s registered.

This official document is also called the Mayor’s Permit because it’s processed by the local government unit (LGU) with jurisdiction over the place of business.

A business permit in the Philippines is issued to ensure that a business pays taxes and complies with local regulations for safety, security, health, and sanitation. This document also entitles an individual or organization to any support provided by LGUs to businesses in their area.

Running an enterprise without this permit can result in penalties such as fines and imprisonment. In worst cases, the LGU may close the operations until a business permit is secured.

Business name registration

All businesses, including single proprietorships, partnerships, corporations, and cooperatives should register for a business name with the DTI to begin the business permit application process. 

Partnerships, Corporations, and Cooperatives should submit a Certified photocopy of the SEC and Articles of Incorporation or Partnership.

Section 177 of Republic Act No. 11232, otherwise known as the Revised Corporation Code of the Philippines, mandates all corporations to submit annually a General Information Sheet (“GIS”) with the Securities and Exchange Commission (SEC).  The GIS is a document embodying certain information about the corporation which is signed and attested to by the Corporate Secretary. The SEC collects this information in the GIS for regulatory purposes based on the SEC’s mandate to ensure full and timely disclosure of material information, protect investors and minimize fraudulent or manipulative devices and practices that distort the free market. Additionally, it is also used to detect and prevent money laundering. 

When corporations and partnerships need to apply for an SEC registration

So that a partnership or corporation is regarded as a legal entity, it has to register with the SEC. You can file for your company's business registration at the SEC head office (Secretariat Building, PICC Complex, Roxas Boulevard, Pasay City).

Alternatively, online SEC registration can be done via the eSPARC (Electronic Simplified Processing of Application for Registration of Company) facility, which can be accessed through esparc.sec.gov.ph/application.

The actual process of closing a business is often called retiring a business.

The normal process starts out with the LGU, then the BIR, then the SEC or DTI.