Opening a international business presence in the Philippines demands a clear understanding of the administrative framework enforced by the Securities and Exchange Commission (SEC). One of the essential documents in this process is the affidavit of branch office Philippines. This document serves as verified proof of the head office's commitment to expand within the local market.
The Role of the Affidavit
The main purpose of the affidavit is to validate that the offshore corporation is solvent and aims to honor its debts in the Philippines. In the absence of this sworn declaration, the SEC is unable to grant the essential license to do business locally.
What to Include
A well-drafted affidavit concerning a branch office typically contains various sections:
Board Resolution Reference: The document must mention that the board of directors sanctioned the creation of the Philippine branch.
Solvency Statement: The affiant certifies that the corporation is solvent.
Resident Agent Appointment: It designates the individual who will handle legal summons on account of the branch.
The Notarization and Authentication Process
Because the head office is often situated outside, the affidavit should be executed in the country of origin. Regardless, for affidavit branch office philippines it to be recognized in the Philippines, it needs authentication.
Provided that your region is a member to the Hague Agreement, a simple apostille from your government affidavit branch office philippines authority is sufficient. If not, you will need to have it certified by the Philippine Diplomatic Mission in your jurisdiction.
Common affidavit branch office philiappines Challenges
Several businesses face setbacks resulting from minor mistakes in the affidavit branch office affidavit branch office philippines Philippines. Typical errors include:
Incorrect company names.
Forgetting to state the registered capital amounts.
Using outdated formats that fail current SEC standards.
Moving Forward
After the affidavit is finalized, it should be filed together with other forms like the Authenticated Articles of Incorporation and Financial Statements. Engaging an expert legal firm is highly recommended to guarantee complete alignment with Republic Act No. 11232.
Final Thoughts
To conclude, the affidavit of branch office Philippines is not just a formality; it is a foundational step for obtaining your business permit. By verifying that the language is precise and the authentication is correctly processed, you can quickly expand your business into the thriving affidavit branch office philippines Philippine market.