Businesses with medium-low risk must obtain a Business Identification Number (NIB) and a Certificate of Standards before commencing operations. The NIB allows businesses to carry out preparatory activities such as acquiring equipment, land acquisition, recruitment of manpower, and moving into the commercial phase, which includes the production, distribution, and marketing of goods or services.
For medium-high risk businesses, in addition to the NIB, they also require a Certificate of Standards that must be verified by the central or regional government. Before the certificate is verified, businesses are only allowed to conduct preparatory activities. Once the certificate is verified, they can enter the commercial phase.
High-risk businesses require an NIB as well as an operational license. This license is granted after the business meets the requirements set by the government, including environmental impact assessments if necessary. The NIB allows businesses to carry out preparatory activities, but additional licenses may be needed to commence commercial operations.
Although the NIB allows businesses to begin the preparation stage, it is crucial for all types of businesses, regardless of their risk level, to ensure that they meet all requirements and obtain the necessary licenses before starting commercial activities.