The number of foreign investors coming to the Philippines has increased in the last few years. Doing business here comes with various requirements which is why businessmen have many questions related to the incorporation procedures of a company.
Those who want to open restaurants in the Philippines must comply with several laws and must obtain specific licenses in order to be allowed to operate on the market.
Foreign investors can set up fast foods in the Philippines, provided the respect the Commercial Code and the requirements of the Philippines Food and Drug Administration ( PFDA).
At the moment, there are no laws providing the creation and use of virtual money in the Philippines, however at the beginning of the year, the SEC announced it is working on regulating all activities related to operating in the cryptocurrency sector.
In order to start a fintech business in the Philippines, investors must first register a company with the Trade Register and then apply for certain licenses.
It must be taken into consideration that each bank or financial institution has its own regulations related to the documents they need for opening the merchant account. The business owner must make sure all the documents required are complete before submitting them.
Companies in the Philippines are subject to several levies, among which the corporate tax and the dividend tax are some of the most important. Individuals are also subject to the dividend tax in the Philippines.
In the Philippines, you can become a shareholder by purchasing stock directly from a company, acquiring shares in a company from other stockholders or buying them directly from the stock market.
A particularity of the Philippines is that most HORECA businesses work best when established as resorts. This means that investors can open several types of businesses in one place: hotels, restaurants and cafes.
During the last several years, the government together with several agencies have worked in order to create a suitable environment which led to the development of the consultancy market in the Philippines. The number of Filipino consultancy companies offering their services abroad has increased.
Foreign citizens who intend to work in this country must obtain a permanent resident permit in the Philippines in order to do so. As follows, our company formation consultants in the Philippines present a few key aspects related to obtaining this type of permit here.
Under the new Real Estate Service Law, those who want to activate on the real estate market in the Philippines must obtain a broker license with the Department of Trade and Industry.
The ITC sector in the Philippines is projected to continue to increase because of the opportunities in the financial, telecommunications, Business Process Management and health IT industries.
Even though the illegal trade and high taxation continue to be major challenges for the tobacco industry in this country, selling tobacco in the Philippines is projected to continue to grow in the following years.
According to recent statistics, retail is one of the Philippines’ top industries considering the increased purchase power of the population and the increased number of companies operating in this sector.
The rapidly developing production of processed foods and drinks in the Philippines represents a strong opportunity for foreign investors. In 2016, the gross-added output of this industry increased with 10% compared to the previous year, to USD 28.9 billion.
Those interested in opening event management companies in the Philippines are not subject to any special requirements related to the registration process of the business. However certain approvals will be required when organizing events.
Foreign investors can open businesses in tourism in the Philippines. Among these, travel agencies, hotels and restaurants are the best performing. Those interested in setting up hotels in the Philippines must respect the provisions of the Hotel Code.
During the last few years, the financial industry has become very prolific, partly because of the appearance of the cryptocurrency industry which attracts young enterprisers.Those interested in setting up a financial company in Philippines must comply with several laws.
In order to open a recruitment company, both foreign and local investors must first register one of the types of structures available with the Business Register in the Philippines. The employment agency license is mandatory in the Philippines.
The Commercial Code requires a company to have a minimum number of 5 directors who must be at least 18 years old and natural persons. Also, the majority of directors must be Filipino residents.
The representative office is recognized by the Philippines Companies Act as a foreign-owned structure. A Philippines liaison office cannot undertake any commercial activity.
There are several rules which must be respected by e-commerce companies operating on the Philippines market and which must be known by the investors who want to open this type of business.
The Philippines which allows for the establishment of holding companies, however it does not have a specific framework related to their taxation.The company formation steps of a holding in the Philippines will follow the Commercial Code’s regulations.
There are a few guidelines for choosing and reserving a trade name for a company in the Philippines. First of all, the person reserving the company name must be at least 18 years old; then, the name must be unique.
Investors set up small businesses which they later expand. In order to do that they must change company types in Philippines. The most important aspect of changing company types in the Philippines is that there is no direct way of doing that.
Trading is one of the Philippines’ most important economic sectors and the country is currently the 41st largest states in the world in terms of exports. Investors who want to open a company in the import/export sector here will have significant markets for their products.
The Philippines taxation system is made up of direct and indirect taxes. However, the Philippines offers various incentives for foreign investors, among them being tax exemptions and deductions.
The Filipino Company Act contain specific provisions related to the amount of money which must be deposited by the shareholders in a bank account upon the registration of a company. There are also other laws which provide for the share capital requirements in certain cases.
Both individuals and companies in the Philippines can register trademarks with the Intellectual Property Office. However, trademarks are usually registered by Filipino companies seeking to protect their names.
The most recent reports issued by the National Statistics Office in the Philippines indicate that the country has one of the highest employment rates, as well as one of the youngest labor forces in the Southeast Asia region.
It is a well-known fact that a performant economy attracts foreign investments, and from this point of view, the Philippines has consolidated its economy with the help of several industries which are quite prolific, and which attract overseas investors.
The Philippines has signed various treaties through which the taxation of certain incomes twice is avoided. These incomes must be obtained by non-residents carrying out activities in the Philippines, branch offices of foreign companies included.
There are several types of bank accounts which can be opened in the Philippines. Apart from the personal and the corporate bank accounts, there is also the merchant account which can be opened by companies registered in the Philippines.
One of the most important taxes imposed in the Philippines is the corporate tax which is levied on companies. Our Philippines company registration consultants can offer information on how companies are taxed in this country.
The steps for opening a subsidiary in the Philippines are the same as for any other type of company and will imply filing certain documents with the Securities and Exchange Commission and obtaining the necessary licenses to be allowed to operate.
The shelf company is a company which was already registered, however it has no previous economic activity and can be purchased by those who want to start doing business in the Philippines right away.
The small insular state’s economy is going through a serious restructuration which establishes a higher degree of confidence coming from foreign investors.
The main laws governing over company liquidation in Philippines are the Commercial Law and the Financial Rehabilitation and Insolvency Act, shortly known as FRIA.
The company registration procedure is not the only action which can be completed through the Philippines Companies Register. Foreign investors seeking information about a Filipino company can search the Business Registry as part of the company due diligence process.
The requirements to open a branch office in the Philippines depend on the activities of the parent company. The foreign company must appoint a local agent to complete the Philippines company formation process.
The Philippines corporation is the closest structure to the limited liability company in other countries.It should be noted that a Philippines corporation can be fully foreign-owned or partially foreign-owned.
Setting up a virtual office in the Philippines is quite simple, however, in most cases it comes as a tailored service offered by specialized companies.
Foreign investors interested in starting a business in the Philippines must comply with the regulations imposed by the Corporation Code, by the Civil Code and by the Foreign Laws Act.
Both foreign and local investors are allowed to open companies in the Philippines, however there are certain requirements a foreign citizen must comply with in order to create a business here.