Philippines Business Registration
Businesses may be registered in the Philippines as:
- Foreign Branch
- Foreign Representative Office
- 100% Foreign Owned Domestic corporation
- 60/40 Owned Domestic Corporation
- Sole Proprietorship
Sole Proprietorships are registered with the Department of Trade and Industry (DTI).
To incorporate or form a corporation in the Philippines it is a requirement to have a minimum of 5 incorporators (a corporation may not be an incorporator of another corporation). Each incorporator must hold at least one share in the corporation. Corporations must have a minimum of 5 directors and can have a maximum of 15. The majority of the Directors must be residents of the Philippines.
The Incorporation Procedure
- Reservation of Company Name
- Submission of Articles of Incorporation and Bylaws
- Bank Certificate of Paid in Capital
The Foreign Investment Act as well as the Foreign Investment Negative List A and List B contain the restrictions on foreign ownership of corporations in the Philippines.
Minimum paid-up capital requirements vary according to the kind business the company engages in. For a Domestic Market Enterprise (DME) to be 100% foreign owned the minimum paid-up capital requirement is USD 200,000.00. DMEs which use advanced technology or employ at least 50 direct employees may be allowed a reduced paid-in capital of USD 100,000.00. Companies which export more than 60% of their products or services may apply for an exemption.
Branch Office Registration