STARTING A BUSINESS | INVESTMENTS | INCENTIVES | FOREX | TAX | CUSTOMS
SUMMARY OF STEPS IN STARTING A BUSINESS
Philippine laws allow foreign investors to engage in business in the Philippines, subject to compliance with applicable laws and regulations. As a rule, foreign investors may invest in any area of activity in the Philippines, except only those activities that are wholly or partially nationalized under the Philippine Constitution and existing laws and regulations.
Engaging in business in priority sectors may qualify the business to avail of incentives by registering with incentive giving government agencies. These incentives may include fiscal and non-fiscal incentives.
GENERALLY, STARTING A BUSINESS IN THE PHILIPPINES INVOLVES THE FOLLOWING STEPS:
Identifying the activities that the foreign investor will undertake in the Philippines;
Determining whether the proposed activities are subject to foreign equity restrictions and special licensing or registration requirements;
Registering the appropriate corporate vehicle in the Philippines with the Philippine Securities and Exchange Commission (SEC), and subject to the applicable foreign equity restrictions, if any, for the proposed activities in the Philippines;
Complying with the basic and mandatory post-SEC registration requirements with various government agencies, such as the local government unit with jurisdiction over the place of business, the Philippine Bureau of Internal Revenue (BIR), and employee-welfare agencies; and
Obtaining the applicable special licensing or registration requirements for the proposed activity in the Philippines.