RULE VII : APPLICATION FOR REGISTRATION

Section 1. Filing of Application. - Applications for registration together with supporting documents, shall be filed with the Securities and Exchange Commission (SEC) in the case of domestic corporations or partnerships that are owned wholly or partially by foreign retailers, or the DTI through its Regional and Provincial Offices, in the case of single proprietorships.

All applications shall be subject to the payment of the prescribed filing fees.

Sec. 2. Certificate of Compliance with Pre-qualification Requirements. – No corporation/partnership/association or sole proprietorship owned wholly or partially by foreign retailers may be allowed to register without securing the necessary certificate of compliance with the prequalification conditions from the Board of Investments.

Sec. 3. Issuance of Certificate of Incorporation/Business Name. - Upon submission of all the required documents, the Securities and Exchange Commission (SEC), in cases of corporations/partnerships/association and the Department of Trade & Industry, through its Regional or Provincial Offices in cases of sole proprietorships, shall issue the Certificate of Incorporation and the Business Name, respectively, granting legal personality to the applicant-retailer.

In addition, the foreign retailers shall secure all necessary permits and licenses from the concerned government agencies.

Sec. 4. BSP Registration of Inward Remittance. – Prior to operations, foreign retail stores and foreign investors shall register their investments with the Bangko Sentral ng Pilipinas (BSP) to ensure that the inward remittance of the required capital investment is fully documented.

The BSP shall issue the Bangko Sentral Registration Certificate (BSRC) upon submission of a bank certification of remittance of foreign exchange converted and sold to pesos through the authorized agent bank and compliance with such other BSP rules for such registration.
Sec. 5. Establishment of Branches. – All registered foreign retailers that will establish additional branches shall be required to file an application with the DTI, supported by documents showing proof of compliance with the US$830,000 investment requirement per branch, and the Certificate of Incorporation/DTI Certificate issued to the retailer.

Sec. 6. Reporting Requirements. – Every registered foreign retail enterprise shall submit annually to the Department of Trade and Industry (DTI) the following reports:

(a) A general information sheet in the prescribed form showing, among others, the accredited stores of the enterprise and the status of operations of the entity;

(b) An audited financial statement and income tax return;

(c) Certification by a responsible officer of the company showing the maintenance of the required minimum capital unless the foreign investor has notified the SEC and the DTI of its intention to repatriate its capital and cease operations in the Philippines;