FAQs : DTI Business Name Registrations

Planning for a business? Sharing this Frequently Asked Questions (FAQs) in Business Name Registration with Department of Trade and Industry (DTI)

FAQs - DTI Business Name Registrations


FAQs - DTI Business Name Registrations


Q: What is a Business Name?

A: A business name refers to any name that is different from the true name of an individual, which is used or signed in connection with her/his business.

Q: Is Business Name Registration (BNR) required?

A: Yes, if a person will use a firm name other than his/her true name.

Q: What is the age requirement for applicants to register a BN?

A: At least 18 years old.

Q: Who should sign the application for a single proprietorship?

A: The application must be personally signed by the applicant or owner of the business. The application may also be signed by his Attorney-in-Fact, who is authorized in a proper legal instrument (Special Power of Attorney).


Read also: Business Name Registrations with DTI


Q: Can one use P.O. Box a business address?

A: No.

Q: What are the BNR requirements?

A: The following are required when applying for a BN:
Two copies of completely filled out application forms signed by the owner. Note that only the owner is authorized to sign the application form.
Payment of registration fee plus documentary stamp tax.
Presentation of original copy of two photo-bearing national issued Identification Document (ID) with signature.

Q: What BNs are not registrable?

A: The following BNs are NOT registrable:
Those which are or whose natures of business are illegal, offensive, scandalous, or contrary to propriety (e.g. Popoy’s Jueteng Betting Place, Boobs Massage and Spa)
Names that are the same, nearly the same as, or confusingly the same with an existing registered business, company, partnership, corporation, cooperative name; or those that infringe on any trademark, service mark or tradename (e.g. Anne Dok’s Lechon, Jolibee, Starbax CafĂ©)
Names composed purely of generic or geographic words (e.g. The Laundry Shop, Bacolod)
Names which by law or regulation cannot be appropriated (e.g OTOP, Intelligence, State College, CALABARZON)
Names used to designate or distinguish, or suggestive of quality of any class of goods, articles, merchandise or service (e.g. Best Taho Factory, A-1 Auto Repair Shop)
Names or abbreviation of a name used by the government in its governmental functions (e.g. NBI Private Investigation Services, DTI Trading)
Names or abbreviation of a name of any nation, intergovernmental or international organization (e.g. Philippine Manpower Pooling Agency, UNESCO Marketing)
Names that are deceptive, misleading, or which misrepresent the nature of the business (e.g. “ABC Construction Services” where nature of business is recruitment, a business name carrying another person’s name)

Q: How much is the registration fee?

A: Registration fee varies depending on the territorial jurisdiction covered in the application, as follows:

Barangay

PHP 200.00

City/Municipality

PHP 500.00

Regional

PHP 1,000.00


National

PHP 2,000.00


Q: What does the territorial scope/territorial applicability of BNR refer to?

A: Territorial scope/applicability of BN registration refers to an area within which the applicant’s right to use the registered BN shall be confined. It may be within a barangay, a certain city/municipality, region, or national in coverage.

Q: What are the rules on the approval of BNs within territorial boundaries?

A: A proposed BN will be validated against the database of registered BNs in the territory:
Barangay – the proposed business name will be validated against the database of registered BNs in that specific barangay, city/municipality covering specified barangay, proper region, and national level in scope. It will be approved provided it is not identical or confusingly similar with BNs registered within that barangay, city/municipality, region, or national in coverage.
City/Municipality – the proposed BN will be validated against the database of registered BNs in that specific city/municipality, proper region, and national in coverage.
Regional - the proposed BN will be validated against the database of registered BNs in that region and those national in scope.
National - the proposed BN will be validated against the database of registered BNs national in application.

Q: If for instance the territorial scope of my BN is within a city and I want to expand my business and put up branches in other cities, what do I need to do?

A: Expanding your business outside the registered territory is a change of location (i.e. change of the territorial applicability of your business name). Therefore, this would require a new BN application.

Q: Do I still need to register the branches of my business?

A: Not anymore if your branches are located in the same territorial scope of your approved BN.

When an existing branch, which registered prior to Department Administrative Order (DAO)10-08, Series of 2010, renews its application, the approval thereof will be applicable to all branches, including the main office within the same territorial coverage chosen. Upon renewal registration, however, the registrant will be required to select the territory/locality.

Q: How long is the validity of a BNR?

A: The BNR is valid for five years from the date of registration and may be renewed on the day of, or within six months from, expiration.

Q: What are the requirements for renewal of BNR?

A: The following are required for BNR renewal:
Filled out application form for renewal.
Processing fee plus P15.00 documentary stamps if renewed within the first three months after the expiration date.

Q: When should one file application for BNR renewal?

A: Applications for renewal shall be filed within six months immediately following the BNR expiration. If the renewal application is filed within the last three months thereof, a surcharge of 50% of the registration fee shall be imposed.

Q: What happens if one fails to renew the BN after the six-month grace period?

A: Failure to renew within the six-month grace period after the expiration date will result in automatic cancellation of the BN from the database. An application to register the cancelled business name will be considered as original and will be approved only if there is no such similar or confusingly similar name already registered.

Q: Is early renewal or renewal before the expiration date allowed?

A: No.

Q: If one lost the original BNR certificate, what is needed to submit to facilitate the BN renewal?

A: An affidavit of loss must be submitted.

Q: Is there a minimum required capitalization in registering a business name?

A: None.

Q: Is changing an existing BN allowed?

A: Yes.



Read also: 3 Steps to Get NBI Clearance



Q: What are the procedures for the change of BN?

A: The following procedures must be complied with when changing an approved BN:
Fill out new application form and pay the required fees.
Submit a notarized affidavit of cancellation of the registered BN, stating the reason/s for the cancellation and that the registered owner has no outstanding financial obligation.
Surrender original copy of the BN certificate and the duplicate copy of the application form. An affidavit of loss if either the BN certificate and/or the duplicate copy of the application form was lost.

Q: Do we still need to inform DTI when we close our business?

A: Yes, you have to inform DTI and apply for cancellation of your registered BN.

Q: What are the requirements/procedures for the voluntary cancellation of a Business Name?

A: The following requirements/procedures must be complied with when cancelling a BN:
Letter request signed by the owner.
Affidavit of cancellation of the registered BN, stating the reason/s for the cancellation and that the registered owner has no outstanding financial obligation.
Surrender original copy of the business name certificate and the duplicate copy of the application form.
An affidavit of loss if the BN certificate and/or the duplicate copy of the application form had been lost.

Q: How can one secure another copy of a lost original BNR certificate?

A: One may be able to secure, as an option, a substitute document to evidence the existence and validity of a BN based on the DTI registration records. This option refers to a request for and issuance of the certification - which is an attestation of the fact of registration of the given business.

Q: What are the requirements/procedures when securing a certification of the existence and validity of a BN?

A: The following must be complied with when securing a certification of the existence and validity of a BN:

1. Letter request signed by the authorized signatory, stating the ff:

· BN

· reason/s

· BN certificate number

2. Secure and attach a duly notarized affidavit of loss.

3. Processing fee of P50.00 per certification plus documentary stamp tax of P15.00.


Q: What are the requirements if I want to secure a Certified True Copy (CTC)?

A: The requirements in securing a CTC are:
Letter request signed by the requesting party, with an indication of requested number of copies for CTC
Photocopy(ies) of the BN certificate
Processing fee of P50.00 plus documentary stamp tax of P15.00 per copy

Q: Is it possible for one person to have more than one BN?

A: YES.


source: business.gov.ph

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Jerome Morada

Realtor & Webmaster

Good day! I'm Jerome, your friendly Real Estate Broker with PRC License 0012399 and HLURB registration. Just sharing simple tips, please share if you find it useful! Thanks!

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