Doing business in the Philippines


are foreign investors welcome in the Philippines?

Is it complicated to register a company in the Philippines? What is the procedure?

What is the corporate tax rate in the Philippines?

Is it easy to recruit?

Any advice you would share with us?

Thank you very much for your participation,


Hello Julien, Charles here, our family has had a internet cafe in operation here for about 12 years. We have had to diversify to survive but stayed in business all these years as others came and went. Like a lot of things here the business is in my wife's sisters name. But is run by my brother-in-law a German Canadian. It is basically easy to set up and get your permits here but as usual must be in a Filipino's name thus the wife usually. I don't know a lot about the details of business here but can look into it for you.

Hi Charles,

Thank you for your help. :)

My wife & I run a small household Chemical Business in Naga.
It is relatively easy to start, u need to register ur business name with DBC obtain a Bangaly permit and Mayors permit, there is no tax if u don't turnover 50,000p per year.
the cost of all the above is approx 5,000p in Naga
That's just the start then u have to make money, which is not so easy for a number of reasons, first business is very competetive here( u just can't sell at a profit margin, u must find ur competitions price and be lower)secondly there is no loyality price is king and people will change supplier over 1p.
thirdly CREDIT to customers is a big NO NO and they all wont it
but we have found it always ends in disaster, when they don't pay(and they always don't pay) U lose a customer and U lose ur capitol, there is money to be made but it's Phillipino money in other word profits are comparable to this economy, Foreigners would need a big business to support themselfs.


Firstly, I shall state that this is my opinion, but take it with a grain of salt. Owning a business here in the Philippines is not advantageous for the foreigner. The larger the company the more complicated it is to register, start, and maintain a perpetual revenue.

As stated by the previous respondents, competition is steep, your business must be in the name of a Filipino citizen, and depending on the region that a business is established, you will encounter the red tape and the politics (poli-tricks) of starting the business. You must also babysit your business, unless you have a manager/director or a person that is competent in all aspects of the business in question. If you decide that you will run your business, that is good but always have a trusted Filipino that is native to the region to advise and assist you. They understand better the people and customs that you will encounter.

If you are a gambling person and have money to throw away, then by all means, start your business. Just keep in mind that you must be wary and patient at the same time.

very correct, well said.
I know 2 foreigners who are broke, here in my suburb, because they thought doing business in Phills was easy and trusted too many people

I have one here also broke business Cassava business out of business. So far I am still at it with my web site services business and our 12 year old "Cool Zone Internet Cafe" in Bogo Philippines is still doing business. This one used to produce around 60K per month not sure what it is under my brother-in-law, management. He also is running a dried fish business now. Another friend has a 37 foot motorized boat to carry passengers on rides around Bantayan Island.

sure we are welcoming investors from all over the world, what kind of business you plan to put up in here?


Hello Julien,   Please listen to the other responders. They all seem like they know what they are talking about. Also, a business licence can be taken away for a variety of reasons, so that is another reason not to start up a company in this country. The Japanese are some of the smartest business people around and even they steer clear of the Philippines for direct business ownership. It is sad, but the way life is in a country so controlled by the elite ruling class.

I know a British guy named Chris who owns a 250 man call center here in Cebu City. He hires only Filipino call center personnel, because he likes their work ethics. This is a large company and it has been in business more than 10 years. He seems to be doing just fine here so far. Send me a private email if you want his contact and website info. He has a nice video about his business with a walk around inside. :cool:

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I'm learning a lot from here, you guys :).

I have a Chinese husband and everyone is right. Please don't trust too much, but don't let it affect good friendship in Philippines. As a business woman myself, doing business is not easy in Philippines.What with a lot of competitions. And the bigger it is, the more complicated. And if your are foreigner, there would be added paper works. I would advise everyone to widen your network. That's the key. Widen your network, your vocabulary in tagalog language and know the way how people live and work wherever your are. I mean, people are still different where they come from.

and when it comes to money, trust no one. Not even your wife's relative. also watch out for how your wife spend money and to whom. Just saying, from realistic point of view. no offense meant.

This is how you will not get broke in a foreign country. have a great day everyone. and you can add me so we can share ideas, ask questions about legalities here in Philippines.

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