Starting a business entity in the Philippines is a major milestone for any investor. Whether you are a local founder or a foreign investor, the initial goal is to register a corporation Philippines legally to ensure protection. With the modern updates to the government systems, the procedure has become more streamlined through electronic systems like eSPARC.
Phase 1: Securing Your Corporate Name
The beginning of the process is to select a unique business name. You must search for its availability via the Securities and Exchange Commission (SEC) online system. Make sure your chosen name does not clash with existing entities. Once cleared, you can reserve the name for a specific period by paying a small reservation fee.
Phase 2: Structuring Your Articles of Incorporation
Prior to register a corporation Philippines, you need to define your share structure and leadership.
Founders: You need at least 2 but not more than fifteen directors. Note that a One Person Corporation (OPC) is currently an option for solo entrepreneurs.
Authorized Capital: For most domestic corporations, there is hardly any minimum paid-up capital required by the SEC, except for specialized industries like insurance.
Key Officers: You must designate a President, a Corporate Secretary (who must be a Filipino citizen), and a Treasurer (resident in the Philippines).
Phase 3: Digital Filing via eSPARC
Currently, the bulk of the registration process is completed online. Through the SEC system, you will upload your Articles of Incorporation, By-laws, and other documents. This platform allows for the OneSEC processing pathway, which may issue a Digital Certificate of Incorporation within register a corporation philippines a few business days if all data is correct.
Phase 4: Secondary Registrations
Getting your SEC Certificate is just the first part. To fully operate and register a corporation Philippines successfully, you must move forward with these local permits:
Barangay Clearance: Obtain this from the local district where your office is located.
LGU License: File for this at the City Hall. register a corporation philippines This requires a proof of address and sanitary permit.
BIR Registration: Go to the Bureau of Internal Revenue (BIR) to obtain your Tax Identification register a corporation philippines Number (TIN), register your books of accounts, and secure register a corporation philippines authority to print official receipts.
Phase 5: Government Contributions
When the corporation starts employing staff, you need to register with government institutions including the Social Security System (SSS), PhilHealth, and Pag-IBIG. This ensures your employees receive mandatory benefits and safeguards the company from legal issues.
Conclusion
Managing the steps to register a corporation Philippines needs careful planning and attention to detail. register a corporation philippines While the online transition has made things easier, many owners still prefer to hire legal experts to avoid delays. Following these guidelines, you can establish a solid foundation for your business in the growing Philippine economy.