Analysis : New Foundation Company

Analysis on Putting Up a Foundation here in the Philippines.

Below are my Major Concern that you WENG - need to address:

1. Because of Pork Barrel Scam (10 billion Napoles Pork Barrel Scam) which happened during the Aquino Administration, Securities and Exchange Commission has been very tight and strict in registering NEW FOUNDATION companies.

2. Need for Physical Business Address with Landline which shall also be needed  for registration to SEC.

Commercial Office rental    P5,000.00 / month
Office LandLine                    P1,400.00/ month
Electric Bill                               1,000.00/month
Admin Expense                       ??????/month
Operation Expense                 ?????/month

Question: How can we sustain the Monthly Overhead expenses above?

3. SEC now requires the initial fund contribution to start a foundation is P1,000,000 (Section 2, SEC Memorandum Circular No. 8-2006). Notarized Certification of Bank Deposit of the amount of not less than One Million Pesos (P1,000,000.00);
Question: Are you willing to 1 Million initial funding of the foundation?
4. DOCUMENTATION (articles of incorporation and by laws, affidavit of an incorporator or director undertaking, list of members, certified by the Corporate Secretary,etc),

Question: Are you willing to be listed as President of the Foundation?

Officers and board of Directors are NON compensated in any foundation. Though they are entitled for per diem meeting every quarterly meeting of the board.


5. PERMITS and LICENSES(BIR, Municipal and barangay), ENDORSEMENT from Department Education and Department of Social Welfare. CLEARANCES from government agencies regulating foundations in the Philippines.

Question: We will need some cash for transportation, fees, and some representation to get all the paper works done. Are you willing to provide some funding for the above?

6. Where do we get the Funding to maintain a foundation with physical office address and office with operational and administrative expenses?

7. If we did registered the foundation, paid and secured for all the permits and licenses and documentation to run the foundation. Who will be your scholars? 

Do we limit the scholars to just 1st degree relatives? (we could face some problems with legal and the municipality), if we open the foundation to the public, do we have the funding? 

What criteria in choosing our scholars?

What specifically do we offer to students – tuition fee? Allowance? For what condition?