Investors who open a company in the Philippines are required to register the legal entity and operate it according to law. This also means obtaining business permits and licenses in the Philippines, as required for the particular industry in which the company will activate.
A business permit in the Philippines should be applied for and obtained before the commencement of the activities. Proper licensing (when necessary) is also mandatory before the company starts trading.
Our team can help you with company formation in the Philippines, including making submissions for a trade license in the Philippines or for other business permits.
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Business licenses in the Philippines
A company has to obtain special business permits or licenses in the Philippines in order to meet the regulatory requirements in the industry in which it activates.
The application process, the documentation required, the application fees and processing timeline depend on the agency or regulator with which the application is submitted.
Our experts in company registration in the Philippines list some of the types of business activities that are subject to control and special licensing:
- financial services;
- education;
- healthcare services;
- the commercialization of food and beverage;
- tourism and hospitality;
- telecommunications;
- import and export, with the requirement to obtain a trade license in the Philippines.
Examples of financial services licensing requirements in the Philippines
Banks and other companies involved in the provision of financial services are subject to licensing and registration with the Securities and Exchange Commission (SEC) and/or The Central Bank (Bangko Sentral ng Pilipinas (BSP)).
The financial industry is subject to clear regulations for primary registration as well as secondary licensing for companies that are involved in more than one type of activity.
A company that applies for registration with the SEC provides a set of mandatory documents. Some of these include the following:
- the registration form and coversheet;
- the Articles of Incorporation and By-Laws;
- the letter of appointment for the nominee;
- endorsement, verifications, and other certificates attesting that the company passes the criteria to provide certain financial services;
- the list of company members;
- bank clearance/certificate.
Other documents are required on a case-by-case basis.
The Securities and Exchange Commission keeps an updated list of fees that apply for registration and licensing applications. Our team lists some examples of first-time licensing fees below:
- Investment company adviser: P15,000;
- The branch office of a capital market institution: P10,000;
- Mutual fund distributor: P5,000;
- Exchange: P50,000.
In addition to the fees above, a registered legal entity will also pay the annual license renewal fee. This is calculated as a percentage of the total value turnover over a one-year period.
Other local and regional business permits in the Philippines
In addition to the mandatory business permit requirements according to industry (subject to regulatory approval and control), companies are also required to apply for local business licenses in the Philippines.
These include a local trade license in the Philippines issued by the local municipality (as can apply in certain cases), or different signage permits for companies that will install signs or billboards.
Our team assists those interested in starting a business in the Philippines from the earliest stages of the document preparation process to the final steps involving applications for various business permits or licenses in the Philippines.
Other services offered by our team are suitable for individuals who wish to move to the Philippines or those looking for an accountant in the Philippines.
Contact us for more information about our solutions.