Professional Documents
Culture Documents
5 BMBEs Handout
5 BMBEs Handout
BMBEs - Requirements
o Basic Requirements (new applicants and for
- Any business enterprise engaged in production,
renewal of registration)
processing, or manufacturing of products,
BMBE Form 01
including agro-processing, as well as trading
3 passport sized ID pictures
and services, with total assets of not more than
o Additional Requirements (new applicants)
3M. Such assets shall include those rising
Assets 300k
from loans but not the land on which the plant
and equipment are located. Business entry registration
- Services shall exclude those rendered by any Mayor's Permit or City/Municipal
one, who is duly licensed in the government Business Permit
after having passed a government licensure 300k < Assets 3M
examination, in connection with the exercise of Same as above
ones profession TIN
BIR Certificate of Registration
REGISTRATION AND RENEWAL Sworn Affidavit for being barangay-
based and micro business in nature
- Qualifications
o Total Assets 3 Million (exclusive of land) Sworn Statements of Assets and
Cash Liabilities
PH peso: actual currency value Pictures of the Place of Business and
its assets
Foreign Currency: official exchange
rate Copy of Loan Contracts
Other Assets ITR
acquisition/historical cost net of o Additional Requirements (registration
reasonable depreciation or book renewal)
value, whichever is HIGHER Assets 300k
Real Property Same as new applicants
acquisition cost net of depreciation, 300k < Assets 3M
otherwise current zonal value Same as new applicants
determined by the BIR Annual Information Return
o Barangay-based:
Majority of its employees are residents - Procedures
of the municipality of the principal place o Go to the OFFICE OF THE TREASURER of
of business the city/municipality where the business is
Principal activity consists in the located
application/use of a particular skill or of o Submission of 3 copies of Form 01
raw materials in the locality o Processing of application within 15 working
Business operations are confined within days upon submission of COMPLETE
the territorial jurisdiction of the documents (exceeds 15 WD: deemed
municipality registered)
o Micro-business in nature and scope o Issuance of Certificate of Authority
- Cost of Registration
o Free of Charge o Automatic exemption once registered as
o Administrative Costs of LGUs 1K BMBE
o EE still entitled to the same benefits given to
- Effective for 2 years, renewable every 2 years any regular ee. (e.g. SSS, healthcare
benefits)
INCENTIVES AND BENEFITS (must be o Prospective Application
registered) o Mutual agreement between ER and EE on
- Exemption from Taxes and Fees the acceptable wage rate
o Purely related from its business operations
o Must be registered with BIR to avail of the - Credit Delivery
exemption. o Set up a special credit window that will
Registration Fee: 500.00 service the financing needs of BMBEs.
Requirements: o All loans from whatever sources granted to
BMBEs under this Act shall be considered
Certificate of Authority
as part of alternative compliance to
Sworn Statement of Assets of BMBE
Presidential Decree No. 717, otherwise
and/or its affiliates
known as the Agri-Agra Law, or to Republic
Certified list of branches, sales
Act No. 6977, known as the Magna Carta
outlets, places of production,
for Small and Medium Enterprises, as
warehouses and storage facilities
amended. For purposes of compliance with
Certified list of affiliates
Presidential Decree No. 717 and Republic
Latest audited FS or Account Act No. 6977, as amended, loans granted to
Information Form or its equivalent BMBEs under this Act shall be computed at
Income exempt BMBE: Annual twice the amount of the face value of the
Information Return with an Account loans
Information form o Any existing laws to the contrary
o Revocable notwithstanding, interests, commissions and
Transfer of place of business discounts derived from the loans under this
Total Assets 3M Act shall be exempt from gross receipts tax
Voluntary surrender of the Certificate of (GRT)
Authority o Non-compliance: penalty fine of not less
Death of registered individual owner of than 500k payable to BMBE Development
the BMBE Fund
Violation or non-compliance with the
provisions of R.A. 9178 - Technology Transfer, Production and
Merger/Consolidation with an entity not Management Training, and Marketing
eligible to be a BMBE Assistance
Sale or transfer of the BMBE o BMBE Development Fund shall be set up
Submission of fake or falsified with an endowment of 300M from
documents PAGCOR and shall be administered by the
Retirement from business or SMED Council.
cessation/suspension of operations for 1 o Agencies may avail of the said fund for
year technology transfer, production and
Making false/omitting required management training and marketing
declarations or statements assistance to BMBEs.
o LGUs are also encouraged to either reduce
the amount of local taxes, fees, and charges - Trade and Investment Promotion
imposed or exempt the BMBEs from local
taxes, fees, and charges.