Open a Subsidiary in the Philippines
Our company formation agents in the Philippines can explain the main differences between the subsidiary and branch office.
What is a Filipino subsidiary?
Even if the subsidiary is an extension of the parent company operating in the Philippines, from a legal point of view it will be considered an independent domestic company. Also, registering a subsidiary in the Philippines will mean that the parent company can also carry out other commercial activities than its regular ones on the Filipino market. It should be noted that the subsidiary in the Philippines will be considered a tax resident here.
Our Philippines company formation consultants can offer more information on the characteristics of subsidiaries.
What are the requirements to open a subsidiary in the Philippines?
Establishing a subsidiary implies the same steps as starting a business in the Philippines by a natural person, the only difference being the fact that the shareholder in a subsidiary in another company. The foreign company will be required to appoint a board of directors made of Filipino residents. For this purpose, employment or residence permits for the directors can be obtained.
Subsidiary registration steps in the Philippines
The steps for opening a subsidiary in the Philippines are the same as for any other type of company and will imply filing certain documents with the Securities and Exchange Commission and obtaining the necessary licenses to be allowed to operate.
The following documents are required when creating a subsidiary in the Philippines:
- the Memorandum and Articles of Association of the new company;
- a declaration from the Treasurer’s Office;
- a company name verification paper;
- a registration data sheet.
The Securities and Exchange Commission can also request other information from the parent company.
For assistance in registering a subsidiary in this country, please feel free to contact our company registration experts in the Philippines.