As the Securities and Exchange Commission has transitioned into the digitalization of its services, incorporation is now made easier through utilizing the online system. In April 2021, the SEC introduced to the public the Electronic Simplified Processing of Application for Registration of Company (eSPARC) which is currently being used as the registration platform for company registration.
This innovation has enabled the SEC to attain its mandate of providing ease of doing business in the country especially to those who have interests in starting their own corporation.The SEC Cagayan de Oro Extension Office (CDOEO) who has jurisdiction over Region 10 and Region 13 has recorded a total of 1,639 incorporations for the year 2022. Out of the said figure, 326 are Regular Stock Corporations, 361 are Stock Corporations with less than five incorporators; 137 One Person Corporations; 73 Partnerships; 612 Non-Stock Corporations; 69 Less than five Non-Stock Corporations; and 61 Corporation Soles. Such incorporation has a relatively 1.08% increase from that of 2021 which was at 1,505.
In the same year, the CDOEO has collected P27,985,924.54 which is slightly higher than the 2021 collection. This collection is derived from the collections of new company registration filings, penalties and increase of capital applications for the existing corporations already, among others.
“These digital innovations have really improved the delivery of our services. Our clients from distant areas like Surigao del Sur and Lanao del Norte can maximize their time by completing their applications first using the online portal which we call eSPARC before going here in the Office to submit the approved documents” said lawyer Frederick A. Enopia, Director of SEC-CDOEO. The said portal can be accessed through this link: esparc.sec.gov.ph.
Through the eSPARC, an auto-generated form of the articles of incorporation and by-laws will be released to the prospective incorporators making every application more efficient and faster. Should the incorporators want to create their own version of articles of incorporation and by-laws, the Commission still allows it however it shall go through several reviews by the attending securities counsels.
The SEC-CDOEO is also conducting a mandatory orientation to its newly-registered corporations with a thorough discussion on the reportorial requirements which are being submitted annually. This is in pursuance to the intensified information drive campaign of the Commission in addressing the lack of awareness of the registered corporations in complying with their reportorial requirements.