A ROHQ can only be established and run by a multinational corporation, which has subsidiaries, branches, affiliates and clients in the Asia-Pacific Region and other foreign markets and as long as they exist under laws other than those of the Philippines.
A ROHQ may engage in any of the following qualifying services to its affiliates, subsidiaries and branches in the Philippines:
- General administration and planning
– Business planning and coordination
– Sourcing/procurement of raw materials components
– Corporate finance advisory services
– Marketing control and sales promotion
– Training and personnel management
– Logistics services
– Research and development services and product development
– Technical support and maintenance
– Data processing and communications
– Business development
An ROHQ is allowed to derive income in the Philippines by delivering the above mentioned services.
ROHQ is allowed to offer qualifying services only to its affiliates, branches, or subsidiaries as declared in its registration with the Philippines Securities and Exchange Commission (SEC). It is not allowed to directly or indirectly engage in the sale and distribution of goods and services whether on behalf of their mother company, branches, affiliates, subsidiaries, or any other company
Philippines ROHQ Regional Operating Headquarters Registration
ROHQ Capitalization Requirements:
The ROHQ must remit into the country within 30 days from the receipt of the Certificate of Registration with SEC not be less than US$200,000 or its equivalent in other currencies. This should be evidenced by a Bank Certificate of Inward Remittance.
A local agent is mandatory.
Documentary Requirements for Philippines RHOQ (Regional Operating Headquarters) registration:
- Name Verification Slip issued by the SEC
- Certification by the Philippine Consulate/Embassy or the Philippine Commercial Office or from the equivalent office of the Philippines Department of Trade and Industry (DTI) in the applicant’s home country that said foreign firm is an entity engaged in international trade with affiliates, subsidiaries or branch offices in the Asia PaScific and other foreign markets; in case the certification is issued by the equivalent of the Philippine DTI, the same shall be authenticated by the Philippines Consulate/Embassy
- A certificate from principal officer of the foreign entity that the said foreign entity has been authorized by its board of directors or governing body to establish its regional or area headquarters in the Philippines
- Endorsement by the Board of Investments (BOI).
ROHQs of banking and financial institutions are also required to secure licenses from the Securities and Exchange Commission and the Bangko Sentral ng Pilipinas, upon the favorable recommendation of the Board of Investments.
- Bank certificate: Proof of inward remittance of USD200,000
Other business entities which may be 100% foreign owned are RHQ, branch offices, representative offices and Domestic Corporations. Contact DBC now for more information on Philippines Regional Operating Headquarters or ROHQ and Philippines Business Registration.