Setting up a business entity in the Philippines is a major milestone for any entrepreneur. Whether you are a local founder or a international investor, the initial goal is to register a corporation Philippines properly to ensure operational legality. With the recent updates to the Revised Corporation Code, the procedure has become more streamlined through electronic systems like eSPARC.
Step 1: Reserving Your Corporate Name
Your initial task is to verify a unique business name. You must check for its availability on the Securities and Exchange Commission (SEC) eSPARC portal. Make sure your chosen name is not resemble existing entities. Once approved, you can reserve the name for a specific period by paying a small reservation fee.
Step 2: Drafting Your Corporate Structure
Before you register a corporation Philippines, you need to define your capitalization and leadership.
Founders: You need at least two but not more than fifteen directors. Note that a One Person Corporation (OPC) is currently an option for individual entrepreneurs.
Capital Requirements: For typical domestic corporations, there is hardly any specific paid-up capital demanded by the SEC, unless specialized industries like finance.
Management: You must appoint a President, a Corporate Secretary (who is a local resident), register a corporation philippines and a Treasurer (resident in the Philippines).
Step 3: Digital Filing via eSPARC
Currently, the vast majority of the registration process is processed online. Through the SEC system, you will input your Articles of Incorporation, By-laws, register a corporation philippines and supplementary documents. The system allows for the Regular processing track, which often issue a provisional approval in a few business days provided all data is accurate.
Phase 4: Secondary Requirements
Getting your Certificate of Incorporation is the primary step. To legally operate and register a corporation Philippines successfully, you must proceed with the following:
Local Permit: Obtain this from the local district where your office is located.
Mayor’s or Business Permit: File for this at register a corporation philippines the Municipal Hall. This requires a lease contract and sanitary permit.
BIR Registration: Go to the Bureau of Internal Revenue (BIR) to get your Tax Identification Number (TIN), apply for your books of accounts, and secure authority to print official receipts.
Step 5: Government Contributions
When the corporation starts employing staff, you must to register with social agencies such as register a corporation philippines the Social Security System (SSS), PhilHealth, and Pag-IBIG. Compliance ensures your employees receive mandatory benefits and protects the entity from penalties.
Final Thoughts
Navigating the steps to register a corporation Philippines needs careful planning and attention to detail. While the online transition register a corporation philippines has simplified the task, many businesses still prefer to consult consultants to avoid common mistakes. By following these steps, you can build a compliant foundation for your venture in the growing Philippine economy.