Holding Companies in the Philippines

Updated on Thursday 11th January 2018

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One of the most advantageous regimes of setting up a business in any country in the world is the holding company regime. Even if the term usually refers to a special taxation system applied to these companies, there also countries where foreign enterprisers can set up holding companies without benefiting from the tax advantages. This is the case of the Philippines which allows for the establishment of holding companies, however it does not have a specific framework related to their taxation.

Our Philippines company formation agents can explain the process of setting up a holding company in this country.

Regulations on holding companies in the Philippines

The Securities and Exchange Commission in the Philippines defines the holding company as a corporation established with the purpose of owning and controlling the assets of one or more companies. The companies controlled by the Filipino holding are usually known as subsidiaries.

The Philippines holding companies are recognized by the Securities and Exchange Commission which is charge with registering foreign companies entering the market, therefore the registration of such entity will be subject to the Foreign Investment Law in the country when incorporated by overseas investors.

Our company registration consultants in the Philippines can offer information on the Foreign Investment Law which provides for foreign enterprisers to set up companies here.

Holding company formation in the Philippines

The registration of a holding company will be subject to the same requirements as any other type of company in the Philippines. With respect to the type of structure which can be used to create a holding company in the Philippines, the stock corporation is the most employed entity.

The founders of the company must specify in the holding’s incorporation documents the scope of the company.

The company formation steps of a holding in the Philippines will follow the Commercial Code’s regulations.

Our local consultants can help with the preparation of the documents for establishing a holding company in the Philippines and can guide you through the incorporation process. Please feel free to contact us for assistance in setting up any type of company in the Philippines.