Starting a business can be overwhelming. There are many legal requirements and sometimes you, as an entrepreneur, can feel lost. Well no more. In this blog, we answer the question on how to start your business in Puerto Rico in 5 simple steps.
1. Registry of Corporations and Entities
The first step is to select a business structure. You can opt to create any of the following: Corporation, LLC, Cooperative, Trust or Non-Profits, among others. Once you choose a business structure, you should access the P.R. Department of State website and create your new legal entity.
2. Employer Identification Number (EIN)
The second step is to apply for an EIN with the U.S. Internal Revenue Service. You will need the EIN for other tax-related matters at both the federal and local level.
3. Merchant’s Registry
The third step is to request a Merchant’s Registry (“Registro de Comerciante”) from the P.R. Department of Treasury (“Hacienda”). For most things
4. Don’t forget your Permits
The fourth step is to apply for a use permit with the P.R. Permit Management Office (“OGPe” previously known as “ARPE”). In this step, you will also need to apply for both, a P.R. Department of Health Certificate, and a Fire Prevention Certificate. You can do this through the newly created P.R. Single Business Portal.
5. Municipal License Tax (“Patente Municipal”)
The fifth and final basic step is to provide written notice to the Director of Finance of each municipality in which you will operate and request a provisional license for the quarter in which you will start doing business.
- San Juan, https://tramite.sanjuanciudadpatria.com/
- Guaynabo, https://permits.guaynabocity.gov.pr/epermits/Portada.aspx
- Bayamon, http://www.municipiodebayamon.com/servicios-municipales/empresas/patente-municipal/
- Cayey, http://www.agencias.pr.gov/municipio/Cayey/Contributivos/Pages/PatenteMunicipal.aspx
- Caguas, https://caguas.gov.pr/wp-content/uploads/2017/07/Documentos-Requeridos-para-Obtener-Patente-Municipal.pdf
In this blog post, we answered the question on how to start your business in Puerto Rico in 5 simple steps. Comment below what other useful links do you think entrepreneurs need or would benefit from when starting a business?