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If your trucks carry goods for a fee, you need a Certificate of Public Convenience, the LTFRB franchise, before you operate. That covers trucks and aluminum vans for hire, and dump or cargo trucks rented out. Every unit must also be registered with the LTO. The step owners miss: financed trucks need the lender's written consent and the recorded chattel mortgage attached to the franchise application.[1,2,4,6]
Buying trucks on loan
LTFRB MC 2004-022 asks franchise applicants using financed or mortgaged units for the financing company's written consent and the recorded chattel mortgage.[6]
Ask your lender for the consent letter when you sign the loan, not months later. That way it does not hold up your franchise filing.
Hauling your own goods versus hauling for others
The franchise is for trucks used for hire. LTFRB MC 98-027 also requires a franchise for dump trucks, cargo trucks and other private vehicles rented out for a fee.[1,2]
A store that delivers only its own products is a different case. Ask LTFRB if you plan to take outside jobs, even once in a while.
What recurs every year and at renewal
When you renew LTO registration as for-hire, LTFRB confirms each unit. A 2022 listing shows a ₱40 confirmation fee plus ₱40 franchise verification, and franchise renewal at ₱520 filing plus ₱100 inspection for a truck for hire.[3]
LTFRB's Driver's and Conductor's Academy, under MC 2024-040, is a prerequisite for franchise renewal, with buses and trucks in the first phase. Enrollment is ₱2,000.[5]
Trucking business checklist
- List each unit with plate, chassis and engine numbers
- Get lender consent letters and recorded chattel mortgages for financed units
- Decide if you will haul for others or only your own goods
- File for the LTFRB Certificate of Public Convenience
- Register each unit with the LTO as for-hire
- Enroll drivers in the Driver's and Conductor's Academy before renewal
- Keep a renewal calendar for every unit
Questions people ask
- How much is a new truck-for-hire franchise?
- Ask the LTFRB regional office for the current fee for a new application. The renewal fees on this page come from a 2022 listing.
- Do my drivers need the Driver's Academy now?
- It is a prerequisite for franchise renewal, and the program is phased, with trucks in the first group.
- Must every truck be registered with the LTO?
- Yes. No motor vehicle may be used on a public highway unless it is properly registered.
Sources
Checked 13 November 2026. We link the agency's own page for every requirement. Rules change; confirm with the office before you pay.
- LTFRB MC No. 2004-043 (summary) · jur.ph (summary of LTFRB issuance) · 12 December 2004
- LTFRB Memorandum Circular No. 98-027: Franchise for Dump Trucks and Other Private Vehicles Used as 'For Hire' · LTFRB (via Supreme Court E-Library) · 25 September 1998
- LTFRB Services · Province of Bataan (LTFRB services listing) · May 2022
- LTO v. City of Butuan, G.R. No. 131512 · Lawphil Project (Arellano Law Foundation) · 20 January 2000
- Road safety training now required for drivers, conductors of PUVs · Malaya Business Insight
- LTFRB Memorandum Circular No. 2004-022 · LTFRB (via Supreme Court E-Library) · 17 August 2004
The extra permits, in one table
| Permit or registration | Agency | When it applies | Fee |
|---|---|---|---|
| Certificate of Public Convenience (franchise) for truck-for-hire service[1] | LTFRB | always (trucks/aluminum vans used for hire) | Not published |
| Franchise for dump/cargo trucks rented out for a fee[2] | LTFRB | dump/cargo trucks and other private vehicles rented out for a fee | Not published |
| CPC renewal (filing + truck-for-hire inspection)[3] | LTFRB | on renewal | PHP 520 filing; PHP 100 inspection for TH truck (2022 listing) |
| Motor vehicle registration (for-hire)[4] | LTO | always | Not published |
| Confirmation of units for LTO registration as for-hire[3] | LTFRB | on registration renewal | PHP 40 confirmation + PHP 40 franchise verification (2022 listing) |
| Driver's and Conductor's Academy road safety course (MC 2024-040)[5] | LTFRB | drivers/conductors of franchise holders; prerequisite for franchise renewal; trucks in pilot phase (Metro Manila) | PHP 2,000 enrollment |
| Lender consent and recorded chattel mortgage for financed units[6] | LTFRB | units under financing/mortgage | Not published |