Chapter IX
Environmental and
Regulatory
Compliance
Snacks on Wheels will ensure that all local and
national business ethics, ordinances, laws, rules, and
regulations that are essential for the creation of this
type of business are followed. The following are
guaranteed to be followed appropriately by the
enterprise:
• Fair Labor Standards Act
This act regulates the federal minimum wage, overtime regulations,
child labor prohibitions, and record-keeping requirements.

With careful respect to this, Snacks on Wheels will guarantee that

all workers are of legal working age (18 years old or older) and meet all
of the standards before being recruited. They will also be paid
appropriately based on their fair contribution to the business, beginning
with reasonable minimum pay.
• Labor Code of the Philippines (Presidential
Decree No. 442)
The Labor Code of the Philippines is a legal code that
determines all employment practices and labor relations in the
Philippines. This is to help protect employees and employers
while ensuring that neither is subject to unfair treatment or
exploitation. All legal matters regarding the business employment
process, administration of authority, and management of workers
of the enterprise. Specifically, this law includes pre-employment,
human resources development program, conditions of
employment, health, safety, and social welfare benefits, labor
relations, and even post-employment.
• Occupational Safety and Health Standards Act or
the Republic Act (RA) 11058

The State affirms labor as the primary social and economic force, and
that a safe and healthy workforce is an integral aspect of nation-building.
The State shall ensure a safe and healthful workplace for all working people
by affording them full protection against all hazards in their work
environment.
 Snacks on Wheels will guarantee that the workplace is
fully equipped with safety measures such as fire
extinguishers, first aid kits, and medication cabinets. The
company will also guarantee that its employees do not
overwork, that work begins and ends at the specified times
(9:00 AM – 7:00 PM) and that they have one day off each
week (Sunday) to minimize worker tiredness.
• Social Security Act of 1997
It is the policy of the state to establish, develop, promote and perfect a
sound and viable tax-exempt social security system suitable to the needs of
the people throughout the Philippines, which shall promote social justice and
provide meaningful protection to members and beneficiaries against the
hazards of disability, sickness, maternity, old age, death and other
contingencies resulting in loss of income or financial burden.
Snacks on Wheels will ensure to regularly remit SSS contribution to the
agency for the benefits of the workers. This act also requires all members of
SSS to be registered under the Philippine Home Development Mutual Fund
(HDMF) as an extension of the benefits being offered.
 It is more popularly known as the Pag-IBIG Fund that was
established to provide a national savings program and affordable
shelter financing for Filipino workers. Among other things, the Fund
offers its members short-term loans and access to housing programs.
• Tax Reform Act of 1997 (Republic Act No. 8424)
It is hereby declared the policy of the State to promote sustainable
economic growth through the rationalization of the Philippine internal revenue
tax system, including tax administration; to provide, as much as possible, and
equitable relief to a greater number of taxpayers in order to improve levels of
disposable income and increase economic activity; and to create a robust
environment for business to enable firms to compete better in the regional as
well as the global market.
• National Health Insurance Act of 1995 (R.A.
No. 7875)

Employers are required by law to register their businesses and

employees with the Philippine Health Insurance Corporation, or
PhilHealth. Snacks on Wheels will make certain that employees'
contributions to PhilHealth are remitted on a regular basis.
• Food, Drug and Cosmetic Act (R.A. No.
3720)
This act was formed by the Food and Drug
Administration (FDA), which shall administer and enforce the
laws related to, to ensure the safety and purity of foods, drugs,
and cosmetics made accessible to the public. To protect
people's health, the FDA must maintain a safe and high-quality
supply of food, drugs, and cosmetics, as well as regulate their
manufacture, sale, and transportation. In order to put this
strategy into action, the FDA set standards and quality
measures for food, drugs, and cosmetics, as well as procedures
to assure their clean and safe supply in the country (Philippine
Information Agency, 2020).
• Bureau of Food and Drugs Certification
The Department of Health, or DOH, oversees the Bureau of Food
and Drugs. As part of their requirements, Snacks on Wheels will get a
Registration Certificate as well as Recognition. Certificate from the
abovementioned bureau as a result of their comprehensive
examination of Snacks on Wheels' menu, food, and all other items
supplied, as well as the cleanliness of the location where the business
is meant to operate, all for the purpose of the public's welfare, health,
and safety. As a result, Snacks on Wheels will completely submit to
BFAD's authority during the inspection and accreditation processes.
• Land Transportation Office: Vehicle Registration
The Land Transportation Office (LTO) is a Philippine government
organization that is part of the Department of Transportation and is in
charge of all land transportation in the country. LTO is a front-line
government organization that demonstrates quick and efficient public
service for a forward-thinking land transportation industry. As a result,
every vehicle is required by this government entity bought and utilized in
the country, whether personally, publicly, or commercially, should register
in their office and renew the original registration every three years.
 Snacks on Wheels, as a partnership business, which is a
legal form of business operation in the Philippines between two
or more individuals who share and manage the company's profits
and losses (Business Setup Worldwide, 2019), will strictly
follow the following requirements for establishing this specific
type of business ownership in the Philippines.
1. Obtaining a Barangay Clearance
In the Philippines, all businesses must obtain a barangay clearance
from any local barangay office where the business is located. A
clearance will certify that a business is a community-friendly
establishment and conforms to the standards of the Barangay. (PBR,
2020). A Barangay Clearance is important for your business since it
shows that you are following the local government's rules.

Snacks on Wheels, being a mobile business in its nature will

obtain its barangay clearance in several barangays where it plans to
operate, namely in Barangay Calvario, Saog, Bunlo, Balagtas,
Barangay Poblacion, and Sta. Rita.
2. Registering at the Securities and
Exchange Commission (SEC)
The SEC as the corporate register of domestic companies
and foreign corporations doing business in the Philippines
takes pride in being at the forefront of introducing and
implementing reforms by making the business registration
process simpler, faster, more efficient, and more transparent.
Registering a business with SEC is mandatory not only to
legitimize the business’s juridical entity but also to$30.99
enable it to
legally engage in business, issue receipts, trade financial
assets, and be entitled to certain rights under the country’s
corporate, investment, and business-related laws. (PBR, 2020)
 Snacks on Wheels will register to SEC to ensure and secure
a Certificate of Registration from the SEC in order to have the
license to operate a business.
3. Obtaining Permit from the Mayor’s Office

Before you can start operating your business in the

Philippines, you need to secure a Mayor’s Permit or Business
Permit from the Local Government Unit (LGU) where your
company office is located. Same with the process of ensuring a
Barangay Clearance, Snacks on Wheels will assure to obtain a
business permit from the several offices of the Mayor in each
respective town included in the itinerary of Snacks on Wheels’
truck namely in Meycauayan, Marilao, Bunlo, Balagtas, Guiguinto
and Plaridel.
4. Register Your Business with the Bureau of
Internal Revenue (BIR)

According to Arboleda (2019), the BIR Form 2303 and

Certificate of Registration (COR) provide the business with the
legal authority to operate in the Philippines. It gives a Tax
Identification Number (TIN) as well as the right to create and
distribute official receipts. It also specifies the sorts of taxes that
the company must pay on a regular basis. Snacks on Wheels will
ensure that the relevant taxes are deducted from its net earnings
on a regular and legal basis.
5. Obtaining Permit to Department of Trade and
Industry
It is necessary to register your partnership business with the
DTI to provide it with a legal identity and gain the right to use your
business name. Remember that a business name registration is not a
license to operate a business. Business permits are issued to ensure
that businesses pay taxes and comply 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.
 
 According to the Business Name Law (Republic Act
3883), it's illegal for anyone to use any name for a business
other than the owner's true name without first registering
the business name with the DTI.