The Philippines continues to attract foreign entrepreneurs with its growing economy, strategic location, and welcoming business climate. For those looking to establish a company here, understanding the legal framework, local requirements, and administrative procedures is crucial.
At Pacific Cross, we not only care about your business success but also your health and security. If you're moving to or living in the Philippines to start your business, don’t overlook the importance of health insurance for the Philippines. We’ll share more about that shortly.
Foreign nationals are allowed to invest and start businesses in the Philippines, primarily through a 9(G) pre-arranged employment visa or investor visas. These are essential for legally managing or operating a business in the country. To proceed, it's important to ensure your paperwork complies with requirements from the Bureau of Immigration.
The Philippines offers numerous opportunities across sectors such as technology, tourism, education, services, and manufacturing. While processes can be complex, many foreign investors have successfully built businesses with the right preparation and understanding of local regulations.
Choosing the right business structure is the first step in setting up your company. Here are the most common options available in the Philippines:
Foreigners are restricted from owning or operating certain business types, such as mass media, small-scale retail, and private security services. Always check updated regulations before choosing your industry.
Starting a business abroad comes with its risks—and your health shouldn't be one of them. At Pacific Cross, we offer comprehensive health insurance for the Philippines, tailored for foreign entrepreneurs and expats.
The Ease of Doing Business and Efficient Government Service Delivery Act of 2018 has simplified business registration, reducing the average setup time from 28 to 16 days. Here’s how to register your company:
Resident foreign corporations and Philippine domestic corporations are taxed at 25 percent. For businesses with annual revenue under PHP 5 million and assets under PHP 100 million, the rate is 20 percent. Foreign sole proprietors are also subject to Philippine tax laws.
To register for tax, you must provide:
Once your company is established, registering your employees with the following agencies is mandatory:
Required documents:
Required documents:
Required documents:
Each agency will issue a separate employer registration number for compliance.
While the business environment in the Philippines is becoming more streamlined, navigating it as a foreigner still requires diligence. With the right preparation and local knowledge, the Philippines can be an excellent place to grow a business.
And remember—as you focus on financial success, don’t forget your personal well-being. With Pacific Cross, securing health insurance for the Philippines is one less thing to worry about.
Let us help you build not just your business—but a healthy, secure future in the Philippines.
1. Can foreigners own 100% of a business in the Philippines?
It depends on the industry. Some sectors allow 100% foreign ownership, while others are restricted or require majority Filipino ownership.
2. How long does it take to register a business in the Philippines?
With recent reforms, the process now takes approximately 16 working days, assuming all documents are in order.
3. Is health insurance required for foreigners in the Philippines?
While not legally required, having health insurance is strongly recommended to cover unexpected medical expenses.
4. What is the best business structure for a foreigner in the Philippines?
This depends on your goals, size, and ownership structure. Corporations are common for larger ventures, while sole proprietorships suit small businesses or freelancers.
5. Can Pacific Cross help with expat health insurance?
Yes, Pacific Cross offers health insurance for the Philippines, specifically designed for expats and foreign entrepreneurs.