The business license is a form of approval and permits the authorities on the implementation of a business activity by an entrepreneur or a company. For the government, the notion of trading business is a tool for fostering, directing, supervising and issuing permits regarding trading business.

For current business activities, each employer is obliged to take care and have a business license from the appropriate government agencies of the field.

By having a business license, a particular business activity is not prone to the issues of demolition or dismantling.

The benefits derived from the ownership of the business license is a means of legal protection.

Speaking about ground realities, not many merchant stalls are affected by demolition action because of not have a business license. These events often completely ignore the small traders wherever they are. However, policing will only be enforced because of the fact that there is no element of legality in the business established. For that, the existence of a business license in completing the trading activities carried out are very significant and important.

In more detailed description is as follows:


Complicating the maintenance of a business license is often a scourge for traders to remove their intention to legalize the bussines. Thus the non-compliance not always starts from the merchants but often from a bureaucratic system. With the ownership of a business license, a businessman can keep their operations from dismantling and demolition as eaarly as possible. This effect gives a sense of security and comfort for the continuity of their business.

Promotion Activity

By taking care of legal documents relating to the business activities, indirectly employers have conducted a series of promotions. It’s simple and results in several stages, through the village office or the district office and so on. With such communication, business license serves as legal protection between the employers and the pertugas. Once the business license and other documents have been completed, the promotion and administrative inventory are initiated. A business that has been registered in a government institution that houses that particular type of business, can help anyone access its data and information.

Compliance with laws

By having a legality element, it indicates that the employer has complied with the rules of applicable law. By complying with applicable laws, indirectly he has established culture of discipline on himself.

To get the project

A businessman would want that business activities undergo progress. There are several types of businesses, such as production or housing developers, that can not be separated from the process of winning the tender of a project, from both private companies and government. In a tender, it is required that the applicants must have legal documents. Elements of the legality of the ownership of an enterprise are required in order to follow the auction of legal protection tender. The legal ownership of the documents in the first position. Thus the operating license has significance for business. In essence a business license can be used as a means for business development.

To Develop the Business

If a business or a business that pioneered, has achieved significant development, then this means that the flow of capital and profits have flowed. Consumers are growing and this is resulting indevelopment of the business into a subscription fanatic. Under such circumstances it can be said that the business has good prospects in the future. Such conditions seem to be very precise to be followed by an expansion of the supporting force. For example, opening branches in certain areas of business. Such conditions would require the availability of fresh funds realize that desire. The solution, borrowed funds to banks. However, without the completeness of the business license and other important documents, it may seem difficult to obtain capital from financial institutions / bank.