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Barangay Micro Business Enterprise

The Barangay Micro Business Enterprises Act of 2002, or RA 9178, is a law that (theoretically) allows
businesses with assets worth less than 3 million pesos to the following benefits:
1. Income tax exemption
2. Exemption from the coverage of the Minimum Wage Law
3. Priority to a special credit window set up specifically for the financing requirements of BMBEs
4. Technology transfer, production and management training, and marketing assistance programs for
BMBE beneficiaries.

Qualified Registrant
1. Sole proprietor; or
2. Corporation

Requirement for Application

a. With an asset of not more than Three Million Pesos (Php 3,000,000.00) excluding Land
b. Engaged in the production, processing or manufacturing of products or commodities including agro-
processing, trading and services
c. Registered with DTI for sole proprietors, Securities and Exchange Commission (SEC) for corporations
and associations, and Cooperative Development Authority (CDA) for cooperatives

Persons engaged in professional services are disqualified from applying.

Application Venue
The application for BMBE Certificate of Authority shall be filed with Negosyo Centers or in DTI
centers where Negosyo Centers have not been set up.

Registration shall be free of charge.

The DTI shall issue the certificate within Fifteen (15) working days from receipt of application with complete

Note: No response within the period shall constitute approval of the application.

Effectivity of Registration
BMBE Certificate of Authority is effective for Two (2) years.

Renewal of certificate is subject to applicant’s continued compliance with requirements.

1. Report to DTI through Negosyo Centers of any change of its ownership structure; and
2. Shall surrender the original copy of BMBE Certificate of Authority for Notation.


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