Are you planning to start a business in the Philippines? It can be quite exhausting just thinking about all the filings and submissions with different government agencies. They are not simply deadlines to beat but also penalties or surcharges to settle, if left unattended. 

Some applications may be accomplished online in accordance with the government’s program to gradually implement paperless transactions. However, the real question begins with what type of business entity is suited for the enterprise? Which registration should one complete first? Can these applications be done simultaneously or one after the other? 

It can be complicated to determine which step and information is to be considered. Some important details are often overlooked because an entrepreneur usually focuses on the expansion of his/her business. 

Corporate compliance should not be a hindrance to business owners who just want to maximize their profits while minimizing costs, avoiding fines and fees for late submissions. We are here to help and guide you. Our practice revolves around the mission of clearing the path and removing legal roadblocks, so you can focus on “doing business”. 

Let us begin by listing the initial steps a business owner must take to achieve compliance:

1. Select an appropriate business organization type to register.

2. Register the company with the Securities and Exchange Commission (SEC) or Department of Trade and Industry (DTI) – this is to create the business entity. 

3. Obtain a Certificate of Registration (2303) from the Bureau of Internal Revenue (BIR) – this lends legitimacy to the business entity through taxation, and allows you to organize your tax schedule.

4. Secure Local Government Business Permit or Mayor’s Permit – a fundamental requirement before commencing business operations.

5. Membership with the (i) Social Security System (SSS), (ii) Philippine Health Insurance Corp. (Philhealth), and (iii) Home Development Mutual Fund (PAG-IBIG Fund) – compulsory memberships needed to provide for the prospective employees’ mandatory employment benefits. 

6. Secure appropriate government authorization for regulated activities or industry-specific requirements.