Davao is 2nd quickest to allow start of biz
Subscribe Now September 10, 2011 at 11:23am
The report focuses on national and local regulations that affect three stages in the life of a small to medium-size domestic firm: starting a business, dealing with construction permits, and registering property.
It is also in Davao City that new policies were created to satisfy the needs of most new small and medium enterprises. The city allows for the issuance of a temporary business permit, which the business enterprise can use for one month while the permit is being processed.
National Competitiveness Commission Private Sector Director for Operations Ruy Y. Moreno reported that an investor applying for a business permit in Davao City would only go through 17 processes in 27 days the most. This makes Davao City second to General Santos City as the fastest to deal with business applications.
The survey supports the call of President Benigno Aquino III for local government units (LGUs) to look for more ways to streamline processes to make business start-ups easier.
"I hope the LGUs can also find ways to implement reforms that will be consistent with the ones we have already started," Aquino said during his State of the Nation Address.
Streamlining business processing and licensing turns out beneficial to local businessmen as this could save time and financial resources, allows for more contribution to local investments, and facilitates access to financing.
The LGU, on its part, also gets benefits out from it as its revenue generation improves, customer satisfaction is achieved, and good governance is practiced.
One model city that showed a significant shift on revenues after reforms were made in business processing is Iloilo City. Its revenue of P61.75 million in 2007 rose to a 41.3 percent high in 2008 reaching P95.75 million.
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