Setting up a business entity in the Philippines is an essential milestone for any business owner. Whether you are a local founder or a foreign investor, the primary goal is to register a corporation Philippines properly to ensure compliance. With the modern updates to the Revised Corporation Code, the process has become more streamlined through electronic systems like eSPARC.
Phase 1: Choosing Your Corporate Name
Your initial task is to select a unique business name. You must check for its availability on the Securities and Exchange Commission (SEC) online system. Make sure your chosen name does not conflict with existing registrations. Once cleared, you can hold the name for 30 to 90 days by paying a nominal reservation fee.
Phase 2: Structuring Your Corporate Structure
Before you register a corporation Philippines, you should define your share structure and leadership.
Founders: You need a minimum of two but not more than fifteen directors. Keep in mind a One Person Corporation (OPC) is currently an option for solo entrepreneurs.
Authorized Capital: For typical domestic corporations, there is no specific paid-up capital demanded by the SEC, unless specialized industries like insurance.
Key Officers: You must register a corporation philippines appoint a President, a Corporate Secretary (who is a local resident), and a Treasurer (based locally).
Step 3: register a corporation philippines Digital Filing via eSPARC
Currently, the vast majority of the application is processed online. Through the eSPARC register a corporation philippines system, you will input your Articles of Incorporation, By-laws, and required documents. The system enables the OneSEC processing track, which often issue a Digital Certificate of Incorporation within a few business days if all data is accurate.
Phase 4: Post-SEC Requirements
Getting your Certificate of Incorporation is just the first part. To legally operate and register a corporation Philippines completely, you must proceed with these local permits:
Barangay Clearance: Obtain this from the specific district where your office is situated.
Mayor’s or Business Permit: File for this at the City Hall. This needs register a corporation philippines 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.
Phase 5: Employer Social Agencies
Once your corporation starts employing staff, you must to register with social agencies such as the Social Security System (SSS), PhilHealth, and Pag-IBIG. Compliance ensures your employees receive mandatory benefits and protects the company from legal issues.
Final Thoughts
Completing the steps to register a corporation Philippines demands patience and attention to detail. While the online shift has simplified the task, many startups still choose to hire legal experts to avoid common mistakes. By following these guidelines, you register a corporation philippines can establish a solid foundation for your venture in the vibrant Philippine economy.