Foreign investors who come to the Philippines can choose among various regions to set up companies in. Even if most of them would be tempted to start companies in the capital Manila, the Philippines offers many investments opportunities in other regions, among these Cebu being one of the most developed.
With an impressive historical background, Cebu is one of the oldest regions of the Philippines, being made of a large island surrounded by close to 170 smaller islands. Another interesting fact about it is that the City of Cebu is the oldest city in this country, and it was the Philippines’ first capital.
If you plan on opening a company in Cebu, our Philippines company formation specialists will offer full registration services no matter the chosen business form. Below, they advise on the main services you can take advantage on if you decide for company formation in Cebu.
Choosing the type of company for starting a business in Cebu
Foreign entrepreneurs can set up companies in the Philippines by moving here or by managing their businesses remotely. In the latter situation, they must have a local partner. They can also apply for a Philippines residence permit and relocate to Cebu in order to conduct their business operations from here.
The main and most advantageous types of companies which can be registered in Cebu are:
- the sole proprietorship which is suitable for small businesses in specific economic sectors;
- the locally-owned corporation which requires a minimum number of 5 shareholders;
- a foreign-owned corporation which requires the same minimum number of shareholders;
- foreign companies can set up branch offices in Cebu for a good local representation.
Foreign investors can rely on our company registration agents in Cebu for guidance in choosing a business form that best represents their interest in the Philippines market.
Requirements to open a company in Cebu, Philippines
The most suitable business forms for foreign investors interested in company formation in Cebu are the Filipino-owned and the foreign-owned corporation which are the equivalent of limited liability companies in Western countries.
In order to set up any of these two types of structures, the following requirements must be met:
- – the company must have at least 5 and a maximum number of 15 shareholders;
- – in the case of a Filipino-owned company, the foreign shareholding structure can be of maximum 40%;
- – the minimum share capital for a locally-owned corporation is 5,000 PHP or 100 USD;
- – in the case of a foreign-owned corporation, the minimum amount of money necessary is 200,000 USD;
- – the company must have at least one manager and a company secretary, out of which the secretary must be a Filipino citizen.
Our experts in company formation in the Philippines can offer more information on the requirements imposed when setting up a company in Cebu. They can also help with the preparation of the documents needed to register the company with the Trade Register Office in Cebu.
Are you looking to start a business and work with a certified public accountant? Our team can provide you with the needed assistance not only for preparing and auditing the annual financial statements, but also for general bookkeeping, payroll and social security payments management, budgeting, forecasting, quarterly or biannual financial reports, and many more. Contact our accountants in the Philippines for more details.
If you want to live in Cebu, you should know that the Philippines’ immigration policy is based on a set of international agreements. Only if your country of origin has signed this type of agreement will you be permitted to apply for a permanent residence permit and, as such, move to Philippines for long-term purposes. Our team can give you more details and can help you apply.
Company registration steps in Cebu
When opening a business in Cebu, a local or foreign investor must complete the same steps, which comprise:
- draft the documents which must be filed with the Securities Exchange Commission in Cebu;
- reserve a company name with the Trade Register (the name must be unique);
- obtain a Community Tax Certificate from the Securities Exchange Commission in Cebu;
- apply for a Barangay clearance from the local office of the SEC in Cebu;
- register for taxation purposes with the Bureau of Internal Revenue in Cebu;
- register for employment purposes and social security with the Home Development Fund.
The company formation procedure in Cebu is not complicated, however, specialized guidance is recommended in order to avoid any misunderstandings.
Company formation services in Cebu, Philippines
With a vast experience in company registration in the Philippines, our local experts can help foreign investors interested in setting up businesses in Cebu. We can help with the drafting of all the documents which need to be filed with the SEC, open the corporate bank account and provide assistance in registering with the tax and social security authorities in the shortest time possible.
Cebu is the second fastest growing city in the Philippines, and it is one of the most developed regions in the country in terms of exports. Other developed economic sectors in Cebu are manufacturing and tourism. With a good infrastructure and direct connection with the capital Manila, Cebu is one of the most prolific cities in this country.
If you want to open a company in the Philippines and decide for Cebu, you can rely on us for full company registration services, so do not hesitate to contact us.