SEC to register one-person corporations starting May 6

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Metro Manila (CNN Philippines, May 2) — The Securities and Exchange Commission (SEC) will soon start accepting applications for one-person corporations (OPC).

The corporate regulator said registration will start May 6, after new rules providing for this new type of business structure were formalized last month.

The SEC said the registration of one-person corporations will benefit micro and small enterprises.

“An OPC offers the agility and complete dominion of a sole proprietorship and the limited liability of a corporation," SEC Chairperson Emilio Aquino said in a statement on Thursday.

The regulator added that the OPC structure will make business easier for entrepreneurs in the Philippines.

Any person of legal age can create a business and register with the SEC. Even foreigners are allowed to register their one-person firm, depending on ownership limits and the list of restricted industries as provided by law. Meanwhile, banks, insurance firms and similar financial entities, as well as professionals are not allowed to register themselves as OPCs.

In applying as OPC, one needs to file a cover sheet, articles of incorporation, and a written consent of the single stockholder’s nominee plus an alternate. The applicant must also be prepared with a registered business name secured from the SEC.

The rules likewise allow existing stock corporations to convert into OPCs.

The new business structure stems from the Revised Corporation Code of the Philippines, which was signed into law in February.

President Rodrigo Duterte has been calling to trim the bureaucratic red tape and has signed the Ease of Doing Business Act last year, in a bid to make the Philippines more attractive to investors.