Barangay Micro Business Enterprises Act

Aims to speed up economic development by supporting barangay micro business enterprises.
Encourages growth of Filipino entrepreneurial talents.
Integrates informal sector businesses into the mainstream economy.
Seeks to ease bureaucratic hurdles, promote government intervention at the local level.
Provides incentives and benefits to create employment and reduce poverty.

BMBE: Business entity with total assets (excluding land) not exceeding P3,000,000 engaged in production, processing, manufacturing, trading or services.
Services exclude professions requiring government licensure.
Certificate of Authority: Issued to registered BMBEs to operate and enjoy benefits.
Assets include all property used in business, excluding land for tax exemption purposes.
Registration: Inclusion of BMBE in the city or municipal registry.
Financing: All borrowings post-registration.

Registration handled by Office of the Treasurer at city/municipality level.
Certificate of Authority issued within 15 working days or deemed issued if delayed.
Possible appointment of BMBE Registration Officer.
LGUs encouraged to create One-Stop Business Registration Centers.
Certificate valid for 2 years, renewable every 2 years.
Minimal bureaucratic requirements; fees for registration capped at P1,000, free issuance encouraged.

Any natural or juridical person, cooperative, or association qualified per asset and business type criteria.

BMBEs exempt from minimum wage law coverage.
Employees still entitled to regular employee benefits (social security, healthcare).

Special credit windows established by LBP, DBP, SBGFC, PCFC, GSIS, and SSS for BMBEs.
Encouragement of private financial institutions and community-based organizations to provide credit.
Loans to BMBEs count double for compliance under Agri-Agra Law and Magna Carta for SMEs.
Interest and related income on loans to BMBEs exempt from Gross Receipts Tax.
Guarantee programs provided by SBGFC and QUEDANCOR.
Annual reporting on credit delivery status to Congress.
BSP to create implementing rules and credit promotion incentives.

A P300 million BMBE Development Fund administered by the SMED Council.
Fund accessible to DTI, DOST, UP ISSI, CDA, TESDA, and TLRC for support activities.
DTI coordinates private sector linkages, including business matching and incentives.
Annual reporting to Congress on program developments and accomplishments.

Business registration data utilized by private and non-government organizations for trade and investment promotion.

Philippine Information Agency (PIA) to disseminate information about the Act and benefits.
Coordination with DOLE, DILG, and DTI.
Focus on barangay-level dissemination.

Willful violation fined between P25,000 and P50,000, and imprisonment from 6 months to 2 years.
Non-compliance with credit provisions (Section 9) results in BSP sanctions and fines not less than P500,000.

Conflicting laws, decrees, orders, and regulations are amended, modified, or repealed accordingly.

The Act takes effect 15 days after publication in the Official Gazette or two newspapers of general circulation.