Local Company Set-Up
Start Your Business in One of Southeast Asia’s Fastest Growing Economies
The Philippines is one of the most attractive destinations for business and investment in Southeast Asia. With a growing economy, skilled workforce, and strategic location in the Asia-Pacific region, the country offers excellent opportunities for both local entrepreneurs and foreign investors.
However, establishing a company in the Philippines requires proper registration with government agencies and compliance with legal and regulatory requirements. Our Company Set-Up Services provide complete assistance to help businesses register and operate legally in the Philippines.
We simplify the entire process so you can focus on building and growing your business.
Business Entities You Can Register (Local or Foreign)
1) Domestic Corporation (Subsidiary if with Foreign Ownership)
A Domestic Corporation is one of the most common ways to register a business in the Philippines. It has a legal identity separate from its shareholders, which means the company can own assets, sign contracts, and continue operating even if ownership changes.
Key points:
Requires at least two incorporators (legal age and must subscribe to at least one share).
Under the Revised Corporation Code (effective February 23, 2019), corporations no longer need five incorporators; fewer are allowed, and even organizations can become incorporators in some cases.
Registration is done through the SEC (Securities and Exchange Commission).
Common ownership structures include:
Fully Filipino-owned
Joint Filipino-Foreign ownership (often 60/40 depending on industry rules)
Partly to fully foreign owned (subject to FINL and other regulations)
Minimum Capital Guide (Domestic Corporation)
The required paid-up capital usually depends on where your income comes from:
Export-Oriented Enterprise: If at least 60% of your revenue comes from outside the Philippines, the minimum paid-up capital may be as low as US$100.
Domestic-Oriented Enterprise: If the business earns primarily within the Philippines, the minimum paid-up capital is commonly US$200,000 (subject to rules and exceptions depending on industry).
One Person Corporation (OPC) in the Philippines
A One Person Corporation (OPC) is a business structure that lets one individual form a corporation without needing partners or multiple incorporators. It’s designed for solo entrepreneurs who want the benefits of a corporation especially limited liability while keeping ownership and decision-making simple.
What Makes an OPC Different?
Only 1 owner (single stockholder) – you own 100% of the company.
Limited liability – your personal assets are generally protected from corporate debts (as long as you follow legal and financial rules properly).
No board of directors required – the single stockholder acts as the main decision-maker.
More credible than a sole proprietorship – many suppliers, banks, and clients prefer dealing with corporations.
A Branch Office is a common option for a foreign company that wants to expand into the Philippines without creating a separate local corporation. Instead, it operates as an extension of the parent company abroad. Because it is not a separate legal entity, the head office remains responsible for the branch’s obligations and liabilities.
Standard minimum assigned capital: US$200,000 (commonly required for foreign branch offices that will earn income in the Philippines).
Possible reduced minimum: US$100,000 (subject to qualification) — usually when the business meets certain criteria such as bringing in advanced technology or creating significant local employment and can provide supporting documents.
Proof usually needed: bank documents showing the inward remittance (money sent into the Philippines) and that it is for the branch’s assigned capital.
Important note: Branch Office “capital” is typically assigned capital/inward remittance (funds from the head office), not “capital stock” like a corporation.
Representative Office in the Philippines
A Representative Office is a setup for foreign companies that want a presence in the Philippines without doing direct selling or earning local income. Think of it as a liaison / support office—it promotes the parent company, builds relationships, and gathers market information, but it must not generate revenue in the Philippines.
What a Representative Office Can Do
A Representative Office is typically allowed to handle non-commercial activities, such as:
market research and industry scanning
brand promotion and product information campaigns
liaison/coordination with local clients or partners
quality control or support functions for the parent company’s operations
Regional Headquarters (RHQ) in the Philippines
A Regional Headquarters (RHQ) is an office set up by a multinational company in the Philippines to act as a supervisory, communications, and coordination center for its subsidiaries, affiliates, and branches in the region.
What an RHQ can do (allowed activities)
An RHQ is mainly for administrative and support functions, such as:
regional coordination and oversight
communications hub for regional offices
planning, strategy alignment, and internal reporting
support services for affiliates (non-income generating)
(These are consistent with the concept that an RHQ is a coordination center, not a revenue unit.)