How to Open a Phone Repair Shop in Puerto Rico: A Guide
How to open a phone repair shop in Puerto Rico: Department of State, Permiso Único, the SURI merchant registry, IVU sales tax, municipal patente and setup.
To open a phone repair shop in Puerto Rico you need, in this order: a business structure (registered with the Department of State if it is a corporation or LLC), a Permiso Único for your location through OGPe's Single Business Portal, a merchant registration (Registro de Comerciantes) with Hacienda in SURI before you open, IVU sales tax collected on taxable sales, and your municipality's patente. Each step below links to the official page that explains it. Requirements and costs change, so confirm every step with the agency or your accountant before you file.
This guide is not legal or tax advice. It is the map: what to do, where, and in what order, plus practical advice on setting up the shop itself. Most official pages are in Spanish, so the Spanish names are included.
Before the paperwork: decide what you will sell
What you offer affects your permits and how you charge IVU, so decide first:
- Repairs only: screens, batteries, charging ports, cameras, diagnostics.
- Repairs and accessories: cases, chargers, screen protectors.
- Buying and selling used phones: this requires a solid record of who sold you each device.
- Prepaid plan payments and unlocks: services many customers want from the same place that fixes their phone.
Write it down on one page. The Permiso Único application asks about your activity, your accountant needs it for IVU, and it helps you size your opening inventory.
Step 1: Choose a structure and register it
You can operate as an individual (sole proprietor), a corporation or a limited liability company (LLC). The choice affects personal liability, taxes and yearly filings, so talk to an accountant or lawyer before you pick.
Corporations and LLCs register with the Department of State (Departamento de Estado). Its corporations services page says a corporation may be created by one natural or juridical person, that an LLC is created by one or more persons through a certificate of organization, and that the Registry of Corporations is electronic. It also says corporations file an annual report on or before April 15 each year, and that LLCs do not file an annual report but pay an annual $150 fee on or before April 15. The same page lists registration of trademarks and commercial names, if you want to protect your shop's name.
Then get an Employer Identification Number (EIN) from the IRS if your structure or plans, such as hiring, require one. The SBA's page on federal and state tax ID numbers says applying for an EIN is free and warns against websites that charge a fee.
Step 2: Your location and the Permiso Único
Before you sign a lease, confirm the space can be used for your type of business. The main permit is the Permiso Único, filed online in the Single Business Portal.
OGPe's applicant manual for a new Permiso Único says the Permiso Único consolidates several filings into one application and that every new or existing business needs it to begin or continue operating. According to the manual, it covers:
- The use permit (permiso de uso)
- Environmental compliance
- Fire prevention certification
- Sanitary licenses
- Any other license or authorization your activity needs under the Joint Regulation (Reglamento Conjunto)
Among the items the manual lists for a new application are proof that you own, have an option on, or lease the space (for example, the lease), an explanatory memo, photos, a plan or sketch, and the environmental compliance determination or categorical exclusion. The manual gives no dollar amounts: it says the total is the sum of each filing's cost, tells you to check the current Administrative Order before filing, and explains that you pay 10% first and the remaining 90% after the analyst validates the application.
Practical tip: get the document list before you sign the lease. If the space has a use problem, you want to know before the first month's rent.
Step 3: The merchant registry in SURI
Businesses in Puerto Rico register in Hacienda's merchant registry (Registro de Comerciantes), and that is done in SURI, Hacienda's online system.
Hacienda's Internal Revenue Circular Letter 16-12 explains that anyone who conducts or wants to conduct business of any kind in Puerto Rico must request registration for each commercial location at least 30 days before starting operations, that the certificate is issued through SURI, and that it must be placed where the public can see it. The same letter describes a provisional certificate for future merchants who will not start operating for at least 30 days and no more than 6 months. The letter dates from 2016, so confirm in SURI or with your accountant how it works today.
Checklist:
- [ ] Create your SURI account.
- [ ] Request the merchant registration early, before opening.
- [ ] Register each location separately if you have more than one.
- [ ] Print the Certificado de Registro de Comerciante and display it where customers can see it.
Step 4: IVU sales tax
The sales and use tax (IVU) is charged on taxable sales. A 2025 Hacienda circular addressed to government agencies, Public Finance Circular Letter 1300-51-25, states that sellers of tangible personal property are required to collect IVU at a rate of 11.5% on taxable sales.
For a phone repair shop, the question to settle with your accountant is what is taxable: parts, labor, accessories, used devices and services such as unlocks. Do not guess. Ask how often you file IVU returns in SURI and on which dates.
Once you know, set up your point of sale so every item and service carries the right tax from day one. Fixing months of wrongly taxed receipts is much harder than setting it up correctly once.
Step 5: The municipal patente
Besides Hacienda, your municipality charges a business license tax (patente municipal) based on your business volume. The rules are in the Municipal Code (Law 107-2020), and each year the Office of Management and Budget (OGP) issues the rules for municipalities.
OGP's Circular Letter 001-2025 on the 2025-2026 patente (published by the Municipality of Caguas) says every person subject to the patente must file a business volume declaration, that the deadline that year was April 23, 2025, and that there is a 5% discount for paying in full when filing. It also notes that the patente is paid in advance, with an exception for new businesses in Article 7.210, and lists a provisional patente application form (OGP PA02).
What to do:
- [ ] Visit or call your municipality's finance office before opening and ask how the patente works for a new business.
- [ ] Ask which documents they need (many ask to see your other permits).
- [ ] Put the yearly business volume declaration date on your calendar.
Step 6: What to review with your accountant
Some obligations depend on your situation and are worth reviewing with an accountant from the start:
- Personal property: the CRIM portal lets you file the personal property return (planilla de propiedad mueble) electronically. Ask whether it applies to your equipment and inventory.
- Income tax return for your structure.
- Employees: payroll registrations and withholding if you hire.
- Insurance: coverage for customer devices in your care.
Setting up the shop: what no permit covers
The paperwork lets you open. This is what keeps you open.
Your bench and parts
Start with good tools for the most common repairs and keep the fast moving parts in stock for the models you see most in your area. Record each part's cost including shipping, because shipping to the island weighs on your margin. Special order everything else with a deposit.
Your terms in writing
Put your diagnostic fee, deposits on ordered parts, warranty length and coverage, and abandoned device policy on one page. Have customers sign it at drop off.
Buying used phones
If you buy phones, check each one before you pay: IMEI, iCloud or Google account lock and condition. In the United States, CTIA offers the Stolen Phone Checker, a public service for checking whether a device was reported lost or stolen. Keep the seller's ID and signature, and ask your municipality or lawyer whether local rules apply to buying used goods. More in our guide to buying used phones safely.
Your prices
Do not copy the shop next door. Build each repair price from the part's cost, the time it takes you times your hourly rate, and a margin for warranty work and failed parts. Our guide on pricing a screen repair walks through the method.
Summary table
| Step | Where | When |
|---|---|---|
| Corporation or LLC registration | Department of State | First, if it applies |
| EIN | IRS | After registering the business |
| Permiso Único | Single Business Portal (OGPe) | Before operating at the location |
| Merchant registry | SURI (Hacienda) | At least 30 days before opening, per CC RI 16-12 |
| IVU | SURI (Hacienda) | From the first taxable sale |
| Municipal patente | Your municipality's finance office | At opening and every year |
| Personal property | CRIM | Ask your accountant |
How SpotsPOS helps a shop in Puerto Rico
SpotsPOS Repair works fully in English and Spanish, and you choose the language for receipts and reports. Tax groups can hold more than one tax field, checkout marks each item taxable or non-taxable, and the Sales Tax report is ready for your accountant. Day to day, repair tracking keeps photos, notes and the customer's signature on every ticket, and buybacks check the IMEI format and duplicates before you pay. The Starter plan is $45 a month with a 14 day free trial; see pricing.
Frequently asked questions
What permits do I need to open a phone repair shop in Puerto Rico?
Usually the OGPe Permiso Único for your location, the merchant registration in SURI, IVU collection on taxable sales and your municipality's patente, plus Department of State registration if you are a corporation or LLC. Confirm each with the agency, because requirements change.
How much does it cost to open a phone repair shop in Puerto Rico?
It depends on the space, tools, opening inventory and the cost of each filing, which change. The OGPe manual, for example, points to the current Administrative Order for Permiso Único costs. List every expense and ask each agency for current figures.
When should I get the merchant registration?
Hacienda's Internal Revenue Circular Letter 16-12 says to request it for each location at least 30 days before starting operations. Confirm in SURI how it works today.
What is the IVU rate in Puerto Rico?
A 2025 Hacienda circular states a rate of 11.5% on taxable sales. Ask your accountant which parts of your repairs and sales are taxable.
Do new businesses pay the municipal patente?
The patente is municipal and governed by the Municipal Code. OGP's 2025-2026 rules mention an exception for new businesses and a provisional patente form. Ask your municipality's finance office how it applies to you.
Open your shop with SpotsPOS Repair.