How to make an online micro small business license and its benefits

By | December 27, 2021

How to Make an Online Micro Small Business License – Micro-businesses are proven to be effective in driving the community’s economy. Businesses that can be categorized as micro-enterprises are companies that have a maximum income of 100 million per year.

One way to develop this business is to take care of licensing.

Let’s read in full!

With the Online Single Submission or OSS system, micro and small business owners can take care of business licensing and legality. Businesses that have permits are certainly more credible and easier to develop than those without.

In addition, taking care of micro and small business permits also brings many benefits for business owners.

Benefits of Registering for a License for Micro-Small Entrepreneurs

There are quite a lot of micro-small business owners in Indonesia, especially from the household sector. Many of them are difficult to develop due to licensing and legal constraints.

Most micro and small business actors do not understand the importance of having a business license. In fact, there are many benefits of taking care of this small micro business license.

One of the benefits is the opportunity to receive training and assistance to develop a business.

This training and assistance is very useful for training business actors in reading opportunities. Then also to empower the surrounding community so that they can take part in growing the business.

Another benefit is the existence of legal protection from the government and businesses can be legally accounted for.

The most important thing is that business actors can get access to capital when they already have a business license. Funding applications for capital must always include a business license.

In some businesses, buyers also sometimes question this business license to guarantee production capabilities, delivery capabilities, and also other things.

Prospective buyers may not order goods from unlicensed companies or businesses because they are considered untrustworthy. Of course this is an obstacle in terms of developing a small business.

Micro and small businesses that are already equipped with permits can also collaborate more easily. This is because the business is categorized as a credible, legal, and financially trustworthy business.

Therefore, do not let small businesses that have the potential to develop without complete licensing documents.

Online Services for Making Business Licenses

There are several factors that make small and micro businesses often do not have a license. One reason is the complicated bureaucratic process. However, now that is no longer the case.

If in the past getting a business license was a long process and was very draining of energy and money, now it is no longer. The government has created a system that makes it easier for micro and small business actors to get permits.

Is an Online Single Submission or one-stop online service, which is the only entry point for obtaining permits. So, there is no contact with officers that have the potential to become a bottle neck or even potential violations such as bribery and others.

This OSS has a legal basis, namely PP No. 24 of 2018. So, all submissions made through OSS will be escalated to the Regional Government for later issuance of business licenses. Small and micro business actors will later get an NIB or Business Identification Number.

This NIB is very important because it also functions as a TDP (Company Registration Certificate), Import Identification Number if there are future import activities, as well as for customs access. In addition, NIB is also a mandatory requirement for obtaining NPWP, RPTKA, BPJS Employment and Health, and SIUP.

Read also: Info on the distribution of the remaining profits of cooperatives and the difference between them and dividends

How to Make a Micro Small Business License Online

If a small entrepreneur wants to have a business license, there is no need to worry, the method is very easy. Here are the ways and things you should know in terms of applying for an online micro small business license:

1. Prepare the Terms

Before registering a business, the most important thing a business owner needs to do is make sure all the things that are required are available.

Documents or paperwork required are:

  • Cover letter for RT and RW explaining the location of the business/business domicile.
  • FC ID card of the person in charge of the business.
  • FC KK is in charge of the business.
  • 2 pieces of 4×6 color passport photos.
  • The IUMK registration form can be accessed on the official website
  • Enter an active email.
  • Enter an active cellphone/telephone number.

Make sure all documents are original and not obtained by illegal means. For example, making fake ID cards, lying about the location of the business, also giving out phone numbers that are difficult to contact. These will all make the application potentially rejected.

Also read: Trending Small and Medium Enterprises, Plus Tips for Success

2. Create an Account on the OSS Website

To be able to register a business and get a business license, business owners must first create an account on the official OSS website. The trick is to register the NIK from the person in charge of the company if the business is a business entity. After that proceed with filling out the registration form.

For individual businesses, the procedure remains the same, namely entering the NIK of the business owner and filling out the registration form. After this is done, OSS through the system will send a verification email containing the user id and password to be able to login to the account that was created earlier.

Following are the steps:

  • After obtaining the User ID and password, immediately log in to the official OSS website.
  • Go to the Business Licensing menu then click Individual and select the appropriate type of business. Two options will appear, namely Micro Individual NIB Registration or Small Individual NIB Registration.
  • Fill in the form and don’t miss any fields then select Save and continue.
  • Continue by pressing the Add Business button and then complete all the requested information again, continue by pressing Save and then continue.
  • Go to filling out the Business Infrastructure Commitment form. Small business owners may apply for a location permit as well as an environmental permit if there are requirements that require it. Continue by clicking Next.
  • Do a review on all the forms that were filled in then check the disclaimer box and continue pressing the NIB Process.
  • There will be a NIB output display complete with a QR Code to check environmental permits, location permits, business permits to print.

3. Apply for MSME Commercial/Operational Permits

For types of small/micro businesses whose businesses require an operational permit, they can also apply via the OSS website. You do this by going to the Application menu then selecting IUMK and continuing to select Commercial/Operational Permits

Then, click the registered NIB or business number and then click Select NIB. Followed by a request to fill out a form with data that is in accordance with the business. After everything is completed then press the Next button and Save.

The completed form needs to be reviewed, after permission is given and the data is confirmed to be correct, then continue selecting continue and save. The output will be displayed and also needs to be verified. After that, click preview and print if necessary.

That’s the above review on how to make an online micro small business license and the benefits that can be obtained. In conclusion, creation can only be done on the official OSS website and cannot be done anywhere else.

Then, the benefits that can be obtained include obtaining funding, training, mentoring, and also increasing business credibility.

Hopefully useful and success always for you.