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In this video tutorial, we will cover the steps to create and prepare an ER diagram for a business permit system. The project is a one-stop application for business permit applications, including application details, requirements, fees payment, and permit issuance. This system benefits both applicants and employees involved in permit processing. The first step is to prepare the ER diagram as the foundation for the database. The tutorial will explain the process of creating the entity relationship diagram and follow three basic rules: identifying entities, relationships, and attributes.