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BMBE requirements simplified
February 01, 2006The Department of Finance has simplified the requirements for microenterprises — with asset size of P300,000.00 and below — that wish to register as Barangay Micro Business Enterprise (BMBE) under the BMBEs Act of 2002.
From a total of nine requirements in 2003, the DoF cut down the number of requirements to only two in accordance with DoF Department Order No. 3105: "Simplifying the Documentation Requirements for the Registration of BMBEs with asset of P300,000.00 or less...," dated December 16, 2005.
BMBE applicants that fall under this category need to submit, together with the application form, two documents:
a) registration as business concern (e.g. DTI, SEC, CDA Certificate); and
b) Mayor’s permit.
As provided under the Act, BMBEs can avail of the following incentives:
a) income tax exemption from income arising from the operations of the enterprise;
b) exemption from the coverage of the Minimum Wage Law (BMBE employees will still receive the
same social security and health care benefits as other employees);
c) priority to a special credit window set up specifically for the financing requirements of BMBEs; and
d) technology transfer, production and management training, marketing assistance
programs for BMBE beneficiaries.