How to incorporate a company in the Philippines?
Prior to the engagement, it is essential for you to understand how to incorporate a company in the Philippines. Tetra Consultants advises you to read through this guide to fully understand the steps required for successful incorporation.
Simply put, we can break down each engagement into four different phases:
- Planning & strategy
- Bank account opening
- Staying compliant
By systematically following the above four phases, you can expect to start conducting business with your Philippines company within 7 weeks. Contact us to find out more about how to open a company in the Philippines. Our team will revert within 24 hours.
Step 1: Planning and Strategy
- Once you are clear on how to incorporate a company in the Philippines, Tetra Consultants will proceed with company incorporation by adhering to the following steps below.
- Tetra Consultants will provide recommendations on the suitable type of entity catering to your business objectives and activities. Prior to the start of the engagement, Tetra Consultants will advise on the optimum paid-up share capital, regulatory requirements and whether there is a need for licenses for the intended business activity.
- Before Tetra Consultants incorporate your Philippines company, we will provide you with a local registered office and local resident company secretary and treasurer. The company secretary serves as your local manager to submit accurate financial statements and corporate tax returns.
- Furthermore, Tetra Consultants will assist you in the appointment of Director(s) for your Philippines enterprise, along with the legalisation of identity documents of the Director(s), shareholders and registration for the corporate officers.
- Before the official business registration, Tetra Consultants will aid you with the preparation of the company’s legalised Articles of Incorporation and Written Resolution on decisions made by shareholders pertaining to the company’s set up, business scope and appointment of Director(s).
Step 2: Incorporation
Pre-Approval of Business Trade Name
- Tetra Consultants checks for the availability and reserves your preferred company name through an application made to the Department of Trade and Industry. Our team of professional consultants will provide the department with a written document on the scope of your corporation’s intended business activities.
- The selected Trade Name should be unique, and it should not violate public ethics. For partnerships and corporations, Tetra Consultants will complete your business trade name registration with the Securities and Exchange Commission (SEC) register facility.
Registration with the Bureau of Internal Revenue (BIR)
- Tetra Consultants will assist you in obtaining your Taxpayer Identification Number (TIN) through official registration with the Bureau of Internal Revenue (BIR). Upon successful registration, the BIR will issue a Certificate of Registration with a validity of 5 years.
Barangay Clearance and Business Permit application
- Depending on your business activity, our team of professionals will obtain a barangay clearance from the municipal hall located in the barangay where your business is located. Once we have received the clearance, Tetra Consultants will apply for your business permit from the Local Government Unit (LGU) where your business will be located.
- Tetra Consultants will aid you in adhering to the following general requirements for securing a permit for a new business:
- Application forms
- DTI registration or SEC registration, whichever is applicable
- Lease contract or title covering the property where the business is located, whichever is applicable
- Locational or zoning clearance
- Building permit and occupancy permit
- Public liability insurance
- Barangay clearance
- Fire safety certificate
Social Security System registration
- Once we have successfully incorporated your Philippines company, we will proceed ahead with attaining your Social Security System Employer Number.
- Our team of professionals will assist you in applying for other relevant government-issued business permits depending on the scope of your intended business activities.
Step 3: Corporate Bank Account opening
- Simultaneously, Tetra Consultants will proceed to open a corporate bank account for your newly incorporated Philippines-based company depending on your business goals and objectives. You can leverage on our extensive banking network and expect to receive your account numbers within 4 weeks.
- Tetra Consultants will contact multiple reputable international and Philippines’ local banks and present your business to the respective relationship manager and compliance team. To name a few, Tetra Consultants works with BDO Unibank, UnionBank, Development Bank of Philippines and many more.
- Following that, Tetra Consultants will courier the internet banking token and access codes to your preferred addresses.
Step 4: Staying compliant
- Within 2 weeks after your Philippines company incorporation, you can expect Tetra Consultants to secure your newly-incorporated Philippines company’s Tax Code from the Bureau of Internal Revenue (BIR).
- Tetra Consultants will timely prepare your firm’s financial statements, corporate tax returns and bookkeeping on your behalf. Annual filings and tax returns will be timely completed on your behalf before the stipulated deadlines set out by the government.
- If you plan to be physically present and working in the Philippines, Tetra Consultants will advise on a suitable work visa and proceed ahead with the visa procurement for you.
Contact us to find out more about how to open a company in the Philippines. Our team will revert within 24 hours.
What are the kinds of business entities available in the Philippines?
- The most popular kinds of business entities available in the Philippines are domestic corporations, one-person corporations (OPC), holding companies, free trade zone companies, branch offices, and representative offices.
What are the minimum requirements for setting up a domestic corporation in the Philippines?
- A Domestic Corporation is one of the most popular legal business entities for setting up a foreign company in the country. This entity is similar to a Limited Liability Company (LLC).
- Some requirements to open this type of business entity are resident agent 2 to 15 directors, with the majority being local residents, at least four corporate officers (President, Corporate Secretary, Treasurer, and Compliance Officer) Corporate Secretary, who is a Filipino.
How much does it cost to incorporate in the Philippines?
- This depends on the exact services required from Tetra Consultants. Our fees are inclusive of government fees, and all fees will be clearly stated in our engagement letter before the start of the engagement. Tetra Consultants believes in transparency with our valued clients and there are no hidden fees.
How long does it take to register a company in the Philippines?
- Tetra Consultants takes 3 weeks to register a company in the Philippines.
How much does it cost to file Articles of Incorporation in the Philippines?
- This depends on the exact services required from Tetra Consultants. Our fees are inclusive of government fees.
What are the documents required for incorporation of the company?
- To proceed with company registration in Norway, for a start, you are required to provide the notarized passport copy, proof of address, CV, and proof of income of the individual director and shareholder of the Norway company.
- If the shareholder is another entity, we will require the Certificate of Incorporation and Memorandum and Articles of Association of the corporate shareholder.
- Once Tetra Consultants receives the above, we will review the documents and provide you with an updated due diligence checklist with the list of outstanding documents.