How to Set up a Business in Bacolod

A couple of days ago, we featured Bacolod City as one of the newest investment destinations in the Philippines, which was named "Center of Excellence" for IT-BPO management operations in 2013 by DOST and this year's 94th top emerging BPO location in the world by Tholons. The City of Smiles is also known as Business-Friendly City and is a consistent nominee of the "Most Business-Friendly City in the Philippines" award from the Philippine Chamber of Commerce and Industry.

Opening a business in Bacolod City is actually easier compared to other locations in the Philippines. In fact, securing the necessary permits takes only 5 steps, though it might require knowledge of the area in terms of office locations. Interested to set up shop in Bacolod City? Here's a rundown of the process involved in securing a business permit to operate in the area:

Step 1: Secure necessary application forms and permits.

• Barangay clearance: Visit the nearest Barangay Hall to secure a clearance.
• Zoning permit: This can be secured at the City Planning and Development Office (CPDO) in Bacolod City Hall.
• City health clearance: Head over to the City Health Office (CHO) in City Health Compound, BBB Galo Sts, Bacolod City.
• Building, occupancy, fencing, demolition permits and certificate of annual inspection: Office of the Building Official (OBO) in processes these permits.

Step 2: Applicants must submit the duly filled-out Unified Forms and Documents for review and examination at the CMO-Permits. Submit other supporting documents required depending on the type of business.
Step 3: Head to the CTO-Assessment section for one-time billing and assessment. This only takes 5 minutes. 
Step 4: Pay taxes and fees in the CTO-Cashier. Don't forget to ask for the official receipt.
Step 5: Claim the Business Permit at the Permits and License Division, CMO. This should only take 10 minutes.

Here are other information that might be useful for investors or companies thinking of doing business in Bacolod City:

Minimum wage rates

• Agricultural (based on plantation size)
  a. Above 24 has. Php 233.00 a day+Php 12.00 (around $5.50)
  b. Below 24 has. Php 223.00 a day+Php 12.00 (around $5.34)
• Non-Agricultural  (based on number of employees)
  a. Establishments with 10 or more employees Php 265.00/day+Php 12.00 (around $6.29)
  b. Establishments with less than 10 employees Php 223.00/day+Php 12.00 (around $5.34)

Business taxes and licenses

• Occupation/Professional Tax: Php 75.00-Php 300.00 (depending on group classification)
• Transfer of real property (Sale, Donation, Barter): 50% of 1% of the total consideration or fair market value whichever is higher
• Amusement: 10% of gross receipts from admission herein imposed shall be due and payable within the frist twenty (20) days of the month.
• Manufacturer, assembler, repacker, processor, brewers, distillers, rectifiers of any article of commerce or whatever kind of nature: Starts at Php 247.50 and increases depending on amount
• Retailers (gross receipts): 2% (Php 50,000 to Php 400,000), (Php 400,000 and above (Php 8,000 receipts in excess of Php 400,000)
• Hotel, Motel, Lodging, Boarding Houses: Php 300.00-Php 3,000.00

Power rates

Find available properties for investment in Bacolod by contacting us today. We have a variety of office buildings and available sites for BPOs, KPOs, and institutional investors in hotels and leisure.