GUIDE TO INCORPORATION Additional disclaimer: The guide below is a simplified step-by-step procedure.

Other steps or requirements may be necessary depending on the type of business you would like to register. Procedure Estimated Duration 1 Verify the availability of the company name This is done at the Securities and Exchange Commission (SEC) and takes 1 day to complete. A minimum fee is required to reserve the name for a month. The reservation is valid for maximum of 90 days within which the application for incorporation should be filed or renewed. 2 Obtain bank certificate of deposit for the paid-in capital This is done at a preferred bank and takes 1 day to complete. Fees will vary depending on the bank. 3 Prepare and register incorporation papers File the incorporation papers with SEC. This takes 7 to 30 days to complete depending on the complexity of provisions in the incorporation documents. The fee will depend on initial capitalisation. Documentation required includes: a verification slip with the company name; bank certificate of deposit; articles of incorporations and by-laws; an affidavit from the treasurer; and other necessary documentation. Forms and check list are available at the SEC. 4 Pay Documentary Stamp Tax on original issuance of shares Within the first 5 days of the month, following the issuance by SEC of Certificate of Incorporation, a Documentary Stamp Tax of PHP 1.00 for PHP 200 of par value of shares issued must be paid to the Bureau of Internal Revenues (BIR). 5 Obtain a company Community Tax Certificate (CTC) This may be obtained from the barangay office or city hall and takes about 2 days. 6 Apply for Barangay or District Clearance This is filed with the barangay office and takes about 2 days. 7 Obtain a Mayors Business Permit This is done at the City Hall Business Licensing Office and will take 2 weeks minimum. Fee will depend on the declared capital. Ask the licensing office for a checklist with regards to documentation. 8 Register corporation as taxpayer Proceed to BIR. The process will take about 4 days. The registration fee is minimal. 9 Buy accounting books These can be bought from any bookstore. The local BIR office will have information 1 day 4 days At least 2 weeks 2 days 2 days 2 days 7 to 30 days 1 day 1 day

on the specific book requirements. 10 Print your official receipts The print shop must be accredited by BIR. The process takes about a week. Fees will vary and depends on the number of booklets ordered. 11 Stamp all necessary receipts and books This is done at BIR and takes more or less 1 day at no cost. At this point, you can legally operate your business. 12 Register your employees You will have to visit various offices, such as Social Security System (SSS), Department of Labour and Employment (DOLE), Home Development Mutual Fund (HDMF) and Philippine Health Insurance Corp. (PhilHealth). 1 day 1 week