How to Set Up a Regional Area Headquarters in the Philippines

September 26, 2025

Regional area headquarters (RHQ) and regional operating headquarters (ROHQ) offer multinational corporations strategic access to Southeast Asian markets, robust operational incentives, and a seamless way to manage intra-group transactions across the region. Establishing a regional area headquarters in the Philippines is a favored route for global companies seeking to centralize oversight, control costs, and benefit from the country’s pro-investment laws. This guide delivers clear, practical steps and expert insights, making the process accessible and transparent for international organizations ready to expand their regional footprint.

Navigating Regional Area Headquarters and Operating Headquarters

RHQ and ROHQ serve as pivotal extensions of foreign corporations in the Philippines. While the parent company structures both and do not constitute separate legal entities, they are granted specific business activities and tailored incentives under Philippine law.

Regional Area Headquarters (RHQ): Acts as a supervision, coordination, and communication center for corporate affiliates, subsidiaries, or branches in the Asia-Pacific region—but does not generate income within the local market.
Regional Operating Headquarters (ROHQ): Permitted to derive income by providing services to the head office, affiliates, or subsidiaries, such as business development, marketing, R&D, logistics, and technical support.

Companies set up RHQs and ROHQs to isolate regional functions, ensure legal and tax efficiency, and simplify business expansion into neighboring countries.

What are the Advantages of Establishing Regional Area Headquarters in the Philippines?

Choosing the Philippines for a regional area headquarters or operating headquarters brings multiple commercial and compliance advantages:

Strategic ASEAN Location: The Philippines offers connectivity, a large English-speaking talent pool, and cost-competitive office operations for multinationals overseeing Asia-Pacific markets.
Global Connectivity: RHQs in the country can coordinate complex supply chains, marketing activities, and administrative needs without local revenue restrictions for RHQ or with tightly defined permissible services for ROHQs.
Incentives and Tax Benefits: The government provides fiscal incentives, including exemption from local taxes (except for real property taxes), tax- and duty-free importation on training materials, and travel tax exemptions.
Visa and Immigration Perks for Expatriates: RHQs and ROHQs can sponsor multiple-entry visas, expedited within 72 hours, for foreign executives and their families; this reduces administrative burden and accelerates relocation.
Brand Legitimacy: A regional HQ carries significant credibility, signaling long-term investment to regulators and market stakeholders.

Key Functions Allowed for Regional Operating Headquarters

RHQs focus on supervision and management, while ROHQs are authorized to deliver a variety of business support services:

Business planning and development
Marketing control, logistics, and procurement
Corporate finance advisory and administration
Data processing, IT and communications, R&D, and technical support
Sourcing of raw materials and product development
Product training and personnel management
General business operations for Southeast Asia or APAC affiliates

These activities enable ROHQs to both innovate and improve business efficiency across the region.

How to Establish a Regional Area Headquarters

Establishing a regional area headquarters in the Philippines is a multi-step process, involving rigorous documentation and regulatory engagement. Here’s how to proceed:

Corporate Approval and Documentation

Obtain a Board Resolution from the parent company, authorizing the establishment of an RHQ/ROHQ in the Philippines.
Collect certified and apostilled copies of the Articles of Incorporation and By-Laws.

Financial Compliance and Proof of Remittance

Transfer a one-time minimum inward remittance of USD 200,000 to a Philippine bank. Secure a certificate of inward remittance to provide evidence for regulatory authorities.

Authenticate Corporate Standing

Provide audited financial statements of the head office, proving financial solvency, attested by appropriate authorities.

SEC Application and Name Reservation

Reserve your desired RHQ/ROHQ name with the Securities and Exchange Commission (SEC).
Submit required documents via the SEC’s designated portal or in person, including financial records, board resolutions, and company certifications regarding international operations.

Secure Board of Investments (BOI) Endorsement

For companies planning to avail fiscal incentives, prepare requirements and secure necessary endorsements from the BOI.

Pay Filing and Registration Fees

Settle the relevant processing and registration fees based on SEC regulations.

Obtain SEC Registration Certificate

Upon approval, receive the SEC Certificate of Registration, which officially establishes your RHQ/ROHQ in the Philippines.

Obtain Local Permits and Business Registration

Secure a business permit/mayor’s permit from the city or municipality where the office will operate.

Register with Tax and Social Agencies

Complete registrations with the Bureau of Internal Revenue (BIR), SSS, PhilHealth, and Pag-IBIG Fund, especially if employing local staff.

Open Corporate Bank Account and Establish Operations

Present registration documents to open a corporate account, manage operational transactions, and commence headquarters functions.

Meticulous planning and coordination with the SEC, BOI, and other agencies are vital for timely approval and penalty-free compliance.

Fiscal and Non-Fiscal Incentives for RHQ/ROHQ

To attract multinational companies, the Philippines grants robust incentives for regional area headquarters:

Fiscal Incentives

Tax and duty-free importation of training devices and materials
Importation exemptions on certain office equipment and personal effects for expatriates
Local tax exemptions (except for real property tax on land and equipment)
Travel tax exemptions for qualified personnel

Other Expatriate Incentives

Multiple-entry visas for executives and immediate dependents
No need for an alien certificate of registration (ACR) for ROHQ employees
Quick processing of work and stay visas, minimizing relocation disruptions

Such incentives lower business setup costs and encourage executive mobility within the region.

Ongoing Compliance and Corporate Support

Sustaining a regional area headquarters requires continued attention to legal obligations and operational best practices:

Annual Filings: File financial statements and relevant reports with the SEC and BIR per compliance schedules.
Corporate Records and Employee Contracts: Draft and update policies, employment manuals, and documentation to reflect current laws and headquarters protocols.
Physical Office Upkeep: Maintain a registered business address and notifications as required by local rules.

Regular consultations with legal, tax, and HR experts help ensure ongoing compliance and operational continuity.

Final Thoughts

Setting up a regional area headquarters is a strategic investment for multinational companies seeking to manage, coordinate, and expand their Southeast Asian or Asia-Pacific operations. By taking advantage of the incentives and legal structures available in the Philippines and partnering with specialized advisors like Triple i Consulting, global organizations can confidently establish a corporate base for growth, compliance, and regional leadership.

Is Assistance Available?

Yes. Triple i Consulting offers tailored solutions for business registration and managing regional area headquarters and operating headquarters. Navigating the regulatory environment for establishing a regional area headquarters in the Philippines can be complex. Our team specializes in:

Full-service business registration with the SEC and the BOI
Drafting and reviewing critical documentation
Facilitating office fit-out, HR manuals, and employment contracts
Assisting with local licensing, taxes, and financial services
Providing ongoing corporate compliance and outsourcing solutions
Strategizing site selection, payroll, and talent acquisition

With over a decade of experience and ISO-certified quality processes, our experts deliver seamless end-to-end support for multinationals starting or sustaining their Philippine headquarters. To learn more or schedule a consultation: