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The development of an area to become a tourism destination inevitably involves many cooperating parties and a systematic and integrated regulation with other sectors. In order to create orderliness there is a need for a business legal approach to be involved so that tourism activities do not bring about unendurable negative impacts. One of the negative impacts in question is the occurrence of unfair business competition, especially between small business actors in tourism destinations. Thus, there is a need of regulatory model for structuring small businesses in the tourist destination. Hence, in the present study we made use of normative study design to explore the regulatory model for structuring small businesses from a juridical, sociological and philosophical perspective. We dealt with discovering an alternative model that is best used in regulating the appropriate structuring of small business so that fair business competition does occur. Access to economic resources in the tourism sector can be obtained fairly by all entrepreneurs both of micro and macro levels.