Launching a business entity in the Republic of the Philippines requires strict adherence to the Revised Corporation Code . An essential initial phases is designating a treasurer in trust . The appointee serves a fundamental role in managing the initial funds ahead of the official issuance of the SEC registration.
Understanding the Treasurer in Trust?
Simply put, a treasurer in trust Philippines incorporation is a designated officer empowered to collect and manage the paid-up capital of the upcoming company. According to the current laws , every new business is required to declare a resident to serve in this position.
Essential Requirements
For one to act as a treasurer in trust , specific legal standards apply :
Residency : The treasurer must be a resident of the Philippines .
Integrity: They serve as a guardian , suggesting they are strictly responsible for the funds .
Paperwork: A notarized Treasurer’s Affidavit must be submitted with the registration treasurer in trust philippines incorporation papers.
The TITF Bank Account
Before sending applications to the Commission, the TITF must establish a TITF bank account .
Capital Funding: The founders deposit the minimum paid-up capital into treasurer in trust philippines incorporation this account .
Bank Certificate : The bank provides a proof of funds confirming that the money is secured for the proposed corporation .
Withdrawal Restrictions : These deposits are treasurer in trust philippines incorporation usually restricted until such time the government grants the business permit.
Importance of Correct Handling in Incorporation
Neglecting to correctly document the treasurer in trust process can result in rejection . The Securities and Exchange Commission meticulously checks the Treasurer’s Affidavit to verify that the money actually exists in a Philippine bank.
After Approval to a Regular Treasurer
After the corporation is officially registered , the role of the treasurer in trust shifts. The trust account is transformed into a regular business account. At this stage, the company leadership may formally confirm a regular Chief Financial Officer treasurer in trust philippines incorporation who will oversee the company’s finances .
Conclusion
Handling the nuances of a treasurer in trust Philippines incorporation is a critical part of starting a venture in the country . By ensuring that the treasurer is a qualified person and that the bank account is correctly set up , investors can efficiently complete the SEC process treasurer in trust philippines incorporation and start their commercial activities.