Limited representations of a representative office

Section 123 of the Corporation Code allows foreign corporations to establish their presence in the Philippines provided that a license is secured from the Securities and Exchange Commission (SEC). A foreign corporation is defined as one which is formed, organized, or existing under the laws of a country other than those of the Philippines. One option that may be considered by a foreign corporation, which does not intend to operate and engage in profit-generating activities, is to establish a representative office (“RO”) in the Philippines.