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 protection. With the modern updates to the government systems, the workflow has become more streamlined through electronic systems like eSPARC.
Phase 1: Securing Your Corporate Name
Your initial task is to verify a unique business name. You must check for its availability via the Securities and Exchange Commission (SEC) online system. Ensure your chosen name does not conflict with existing entities. Once approved, you can hold the name for 30 to 90 days by paying a small reservation fee.
Phase 2: Drafting Your Articles of Incorporation
Before you register a corporation Philippines, you need to define your capitalization and management.
Incorporators: You need at least 2 but not more than 15 directors. Interestingly, a One Person Corporation (OPC) is now an option for individual entrepreneurs.
Capital Requirements: For general domestic corporations, there is no minimum paid-up capital required by the SEC, except for regulated industries like insurance.
Management: You must designate register a corporation philippines a President, a Corporate Secretary (who is a local resident), and a Treasurer (based locally).
Phase 3: Online Submission via eSPARC
Currently, the entirety of the registration process is handled online. Through the SEC system, you will upload your Articles of Incorporation, register a corporation philippines By-laws, and supplementary documents. The system allows for the Regular processing track, which can issue a provisional approval within a single business day if all data is accurate.
Phase 4: Post-SEC Registrations
Receiving your SEC Certificate is just the first part. To fully operate and register a corporation Philippines completely, you must move forward with these local permits:
Barangay Clearance: Acquire this from the local district where your office is located.
Mayor’s or Business Permit: Apply for this at the City Hall. This needs a proof of address and fire safety inspection.
BIR Registration: Visit the Bureau of Internal Revenue (BIR) to get your Tax Identification Number (TIN), apply for your books of accounts, and get authority to print official receipts.
Step 5: Employer Contributions
When the corporation starts employing staff, you need to register with social agencies including the register a corporation philippines Social Security register a corporation philippines System (SSS), PhilHealth, and Pag-IBIG. Compliance ensures your workers receive mandatory benefits and safeguards the company from legal issues.
Summary
Managing the process to register a corporation Philippines demands patience and attention to detail. While the digital transition has made things easier, register a corporation philippines many startups still choose to hire professionals to avoid delays. By following these steps, you can establish a strong foundation for your enterprise in the vibrant Philippine economy.