A representative office is an office set up by a company, usually abroad. This legal entity is advisable if you don’t plan on conducting commercial activities within the Philippines.
Allowed Activities for Representative Offices
Representative offices may perform tasks to support the parent company. Such offices cannot generate income for the company locally.
The parent company can delegate back office tasks like accounting, marketing, and data entry to its representative office in the Philippines. Representative offices may also conduct market research activities for its parent company. The representative office may also build business relationships locally on behalf of the parent company.
Opening a Representative Office in the Philippines
Foreign companies with strong financial statements may open a representative office in the Philippines. The parent company will have to submit the following documents to begin the process of opening a representative office.
- Authenticated or consular legalized* documents about the parent company. Emerhub will provide templates for the necessary documents.
- The resident agent’s acceptance of appointment.
- The parent company’s financial statements
Emerhub will handle the process of submitting relevant documents to the appropriate government agencies to obtain the following:
- Certificate of Registration from the Securities and Exchange Commission
- Mayor’s permit from the relevant local government
- Certificate of Registration from the Bureau of Internal Revenue
The parent company must transfer at least USD 30,000 to the local corporate bank account and must remit the same amount annually.
Emerhub can complete the process to open a representative office within 2 to 3 months.
*Authentication/Apostille requirements will vary depending on the parent company’s country.