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Registering Your Business in the Philippines

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Having grown up in the Philippines, I've gotten a first-hand look at how our culture celebrates the spookiest time of the year.

I'm an accountant and part of my job is to help my clients start their businesses and keep them going. I have experienced first-hand how it is to register a new company and I thought of sharing them in here. So here goes...

Registering Your Business with the Philippine SEC (for Corporations/Partnerships Only)

If you are forming a corporation or a partnership, the first stop is the Philippine Securities and Exchange Commission or the SEC. You need to reserve a unique name for your company (which is good for 30 to 90 days). Once you have reserved your name, you need to place your desired capital (paid-up) in a bank of your choice, have that bank issue a certificate to you, fill up the official SEC form, obtain the signatures of all incorporators (and their tax identification numbers for Filipinos or passport numbers for foreigners) then file the said papers with the SEC. If all goes well, your papers may be approved by the SEC in one week's time.

As to the fees, these will depend on the amount of your desired capital. If your desired capital is 1,000,000 pesos (or $20,000), the fees will be approximately $50. You can access an online calculator on the website of the Philippine SEC so that you will not have any problems estimating the fees of your incorporation.

Just take note that, if you are a foreigner, there are certain limitations to the percentage of ownership. Some industries limit the percentage of ownership to 20%, others to 40%, and still others to 60%. There are also certain limitations on the seats on the board of directors, with the Philippine government usually requiring that the majority of the board should be Filipinos or in accordance with the percentages of ownership. Make sure you consult with a good lawyer who is well-versed in registering companies in the Philippines before you actually put up the corporation. Also, you can obtain more information by going to the Philippine SEC's website.

Registering Your Business: for Sole Proprietorship

If you are the only owner of your business (sole or single proprietor), you don't need to go to the SEC to register. Just reserve your name with the Philippine Department of Trade and Industry. If your name is unique, approval is immediate. The fees here are also minimal (around $10 or so).

Next Stop: The Bureau of Internal Revenue

Okay, so you have already registered your company with the Philippine SEC (which may take one week if all your requirements are in order). The next step is to register your business with the Bureau of Internal Revenue or the BIR. The BIR is our local equivalent of the United States' IRS. This is where we pay our taxes. As a new corporation, you are required to get your TIN (Tax Identification Number) from the BIR. You cannot transact in the country if you don't have this. Registering your company with the BIR is a fairly easy (and inexpensive) process. It may take only one week and the fee is minimal (less than $30). Again, your accountant can help you with this process. You can also go to the BIR's website for more information.

Business Permit

You can interchange this next step with the registration with the BIR. Some corporations register first with the BIR when they do not have any transaction yet. Others (which is maybe the majority) choose to register first with the local government where their business is residing. In any case, before registering with the local government (what we call the City Hall), you need to comply first with several requirements (clearances, payments, etc.). Unlike the SEC and the BIR, the fee here is not quite that fixed. The local government fee will depend on the prevailing local laws and the type of business you are in. You need to get your accountant to have this calculated at once so that you'll know how much you need to pay the local government. Once you get your business permit (which is renewed every year), you're ready to start your business.

  • Note: Once you are registered with the City Hall and the BIR, they will provide you with certificates evidencing your registration. You are required to post these certificates in your respective offices. This is a requirement under our laws. Failure to do so will subject your company to penalties.
  • A Further Note: If you want to save on taxes, you might want to register your business with the Board of Investments or BOI. It grants income-tax holidays for businesses that are in preferred industries or are pioneers in their industries. Usually, export businesses are given income tax holidays. If you don't want to go to the BOI, go to the local City Hall and the local investment board and apply for a holiday on local taxes. This will save you several years' worth of city taxes.
  • Last Note: Make sure you get a good accountant and/or lawyer since they will be able to help you during your registration, and also do the legwork for you. For local registration requirements (the BIR and the City Hall), my recommendation is to get an accountant/lawyer who is from that city or province because he/she is more well-versed in the ins and outs of their local city hall or BIR.

All these requirements may be done within one month if all the requirements are in place. Keep in constant touch with your accountant and/or your lawyer so that you know the status of your registration. It might be better if you yourself have a working knowledge of my country's requirements so that you are aware of what you need to do and what you need to go through when you put up a business and invest in the Philippines.

This article is accurate and true to the best of the author’s knowledge. Content is for informational or entertainment purposes only and does not substitute for personal counsel or professional advice in business, financial, legal, or technical matters.

© 2009 emievil


Coney on October 17, 2019:

I just want to ask what is the process when transfering the business permits registered name to yhe franchisee's business name?

Catherine Chen on April 21, 2015:

Hi Emmie:

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Read More From Toughnickel

Thanks for the clear explanation about forming a corporation in PH.

I want to register a corporation in BGC, Manila.

Would you recommend an experienced local accountant with reasonable professional charge?

My email address is



joanne on December 03, 2013:

hi. have a small business, Updated business permites with city hall but delinquent with BIR since 2008. I wanted to update my taxes with BIR but im sure that this will have a huge penalties and compromise etc. Can i transfer my business name to my husband and have it registered with BIR and have him register it to BIR as the new owner. After which i will take care of my own BIR STATUS.

JANE on September 13, 2013:





emievil (author) from Philippines on August 10, 2013:

Hi Faye Bien. Unfortunately, I'm not quite well-versed with a foreign company opening a bank account here in the country. What I suggest is that you choose the bank here where you want to open the bank account then call them up to ask them about this. Or if you already have a bank in mind, you can maybe post here the initials and I'll try to ask them for you.

Ogi on August 09, 2013:

Thanks for this, your post has been quite informative :)

Faye Bain from Edinburgh, United Kingdom on July 23, 2013:

Hi Emie,

I have registered here because I have read your very good hub. I hope you can help me on this matter. I am filipino and married to a british guy, we live in UK and we have a limited company that runs only by me and my husband. My husbands earnings are paid into our company and he works in the offshore industry. As what I have read somewhere in the website limited company is also called limited partnership in the Philippines? We are planning to visit the Philippines this December and we want to open a bank account under our business limited company. What are the necessary requirements and do we need to register our company name to SEC? all we want to do is to open a business bank account.

Jane on July 02, 2013:

Hello. I am a cpa with extensive experience in registering businesses with various agencies such as DTI, SEC, BIR, SSS, PHIC. You can contact me at

jceeey on June 28, 2013:

hi mam,

i have a big problem, i have a resto and a dti registration 7monhs ago but i don't if our accountant registerd our busness or POS. wat is the remedy and penalties we may encounter. i hope you could help me tnx.

emievil (author) from Philippines on June 23, 2013:

Hi MKumar. Sorry I don't register companies anymore. But I'm posting your comment here so that other people can see it. You can also email me your queries and I will try to help you out on this.

Thanks. on June 06, 2013:

I am an Indian citizen in the Philippines . I am a interested in import business ( Vegi soya chunk} Please guide me. My business can start from US$ 50000.

What are the requirements ?

How long time will take ?

How much money need to deposit in Bank of Philippines. ?

How much will be service charges for the company registration?


Mahendera Kumar

christineeperez on April 03, 2013:

If you want to learn more on how to invest in the stock market, you can check PSE's Market education website

JDC on February 09, 2013:

The Philippines is great to start a Direct Selling business. For those with little to no capital, you can start in most Direct Selling business with just your basic identification, no registration fee, no government permits required (if you will not open a store)... Then earn around 20% to 40% or more. JDC is one of the Top distributors in the PH. They can help.

JC on September 27, 2012:

I signed a job contract with a company in Manila and to find out that the company is not yet registered. I also understand that the company has been operating since May 2011 but didn't prioritize registering it. Id like to report this compnay to SEC for illegal operation plus people there had raise their concern to me about their benefits. I am sure this company is not paying its tax whilst in operation since May of 2011.

emievil (author) from Philippines on August 31, 2012:

Hi Ting. I don't think you can just 'transfer' the business. Your father needs to close his business and you need to register your own. Please consult your accountant / lawyer on this.

TING on August 30, 2012:


Trisha on July 31, 2012:

Do you know what will happen if an incorrect TIN was written in the Articles of Incorporation? What would I need to do to change it? Thanks!

monicamelendez from Salt Lake City on July 26, 2012:

Great advice! At some point I'm considering moving my business to another country. Maybe this will help me out!

derp0109 on July 19, 2012:

hi i registered a sole prop business with DTI, but wasn't able to pursue with the business nor complete the other requirement (eg bir,city hall permit, etc) if i decide not to pursue the business are there any fees i need to pay?

emievil (author) from Philippines on July 19, 2012:

Hi viper008, you have quite a dilemma there. Have you tried talking to an accountant about those stuff? If you want, you can sent me an email via my profile page so that I can give you my answers. But of course, nothing beats getting an advice from an accountant who have processed papers in the City Hall or the BIR office where you are located.

viper008 on July 16, 2012:

i just have some clarifications. hope you could help me. im an OFW here in KSA. im planning for a loan thru OWWAs OFW reintegration program. one of their requirements is a mayor's permit. I am planning to start a business so the loan. now the mayor's permit is "denied" since i don't have yet a business. how? which is which? it like who comes first? chicken or egg? is it possibel to have a mayor's permit without a business? i do register with DTI for my business name. what we do is we rented a place so that if the loan will be approved we already have a place for our internet cafe. now since i have one PC and printer at home and to use that rented place we decided to do a piso print business. meaning 1 peso per page printing. we know that by this, it's not possible to make a profit. the rent is 10,000 per month plus water and electricity excluding labor. so maybe 400pesos per day we could make breakeven. but we know it is not possible. so meaning we are at a lose. but for me it's ok for now. just consider i'm renting an apartment and it's not giving me back money. now, the city will not give me also a business permit for an internet cafe since first i don't have the business, and second i have to comply with the new ordinance which is internet cafe accreditation board compliance whatever. they could not give that since i don't have the internet cafe. and they are saying if they give, maybe i will not be putting the business if the loan would be granted. is that a right mind of a public servant? to think negatively instead of helping a starting business? so ok, we will just be registering first as printing business if you would call one printer and one computer and earning maybe 100 to 200 per day as business. now they need BIR registration. I will ask, what do i need from the BIR? first it would be a single proprietorship. i already have my own TIN. is it different for my "business"? my brother would be my only "employee" for that one small business for now since it's just one printer. the BIR now is asking for a contract between us and the owner of the place. is it right? do they really care for the contract? what if we don't? what if we are based at home? could they not just think like that that the place maybe our own? could you give me some "law" like RA or EO where it is stated that they need that? now the lawyer needs a business TIn for the contract. it's another chicken or egg? why would the lawyer need a business TIn for the contract where hat we need to be stipulated in the contract is only that we are renting that place for ten thousand a month for say specified three years duration without any increase in rental fee and other "legal terms". no more no less. so why a business TIN? another issue i would like to raise. what if my loan and we are praying will approved. i would have an internet cafe. what would happen with my "old" mayor's permit? i should be registering new business since they will only grant me now printing business. how about in the BIR? anything that sould be changed? would it be additional burden? or they could consider now the possibility that maybe a month or two i would have a different business? before i forgot, since we will have to start already the business since the rent is already "running", could we do it legally without a business permit first? someone told that it is ok within 6month to operate without a business permit first. are they correct? another issue is the SSS. what do i need to get from SSS? i already have an SSS number. my brother as my employee don't have yet. is it really required now? and it is really required to get SSS first before mayor's permit since i read from other blogs that to get SSS or whatever it is to get there, i need again a mayor's permit. another chicken or egg scenario. what it is with our country's business law? are they not coordinating with each other? don't they know when and who will need what? i hope that you could clarify these things to me. im sorry for the letter. it's very long. just to explain everything. well, i think it's not everything. but it's more or less these things i need. maybe if possible if you could answer these, please make a copy to my email address. thank you for the patience in reading this.

lcram on July 09, 2012:

hi! i have pretty much the same problem as chester's, and i was wondering if you have any idea how much the penalties would amount to? i read somewhere that it depends on the profits the company made, is this true? if so, does that mean that a company that hasn't been operating will have smaller penalties? any advice would be appreciated thanks!

bhel on June 28, 2012:

hi.. im planning to sell products from different direct selling company like avon, natasha and beauche,.i don't know how to register it. im selling it from home. do i need to register it.. even if im a franchise dealer..thanks

SweetMouthTrpic on June 08, 2012:

Hi, I want to start a chain of take away chicken restaurants in Davao Philippines with my girlfriend. (Chooks to go style) Since we are not married and I am a foreigner, how can I do this without losing it all again or getting in problem with the law? I would be very happy with your answer. Thank You

jess on May 27, 2012:

we are closing our business.. but failed to register with city hall.. what are the possible things we need to do to finally closed my sole proprietor business. how much are the possible penalties?

kc on May 25, 2012:


nao006 on May 24, 2012:


my business partner and i recently established a consulting firm and we have an external accountant. the thing is, even our accountant is not that aware of the reports and other compliance that we need to fulfill. I'm talking about reports that needed to be submitted to SEC and tax compliance with BIR. Need help on this...thanks...very informative article, by the way.

lily on May 23, 2012:

Before opening a business,why we have to get the local government units and the barangay clearance, the SEC and the BIR for documentation requirements are consulted and paid their financial requirements

Nino on May 19, 2012:

Hi Chester. I suggest you go first with Application for Certificate of Dissolution with the LGU your business was registered. Then once you have the Certificate, apply the closure with BIR. I'm sure you'll pay some penalties along the way but the earlier you act on it the better. Lastly, apply for closure with SEC if partnership/corporation or DTI if Sole Proprietorship. I hope it helps.

Chester Lorenz is playing poker! on May 14, 2012:

Hi...I have shut down my business more than a year ago but i failed to officially cancel my business registration. is there any penalty applies? if so, what could it be? Im planning to cancel my business regitration now..what steps should i take?

Jun on May 10, 2012:

Is there way to register a business online ? I'm now working abroad

larrybeckham on April 20, 2012:

Nice Hub. It's kind of hard to register a business especially because there are so many steps involved.

Corporate Consulting Group(

CaptKrunch on April 13, 2012:

Hi, can we add up another incorporator even if the company has already been registered under SEC?

emievil (author) from Philippines on April 04, 2012:

Hi Haki. I don't really recommend just leaving an old business and starting a new one just to avoid the penalties. Even if your friend changes his business, chances are the City Hall can still trace the same to him because he is the listed owner. In sole proprietorships, the business and the owner are considered one. Hence, the penalties may just be transferred to the new business. What I suggest is to try to talk to the City Hall to lower the charges or at least let go of part of the penalties. Tell him to find a good accountant who knows people inside the City Hall. This may not help completely erase the penalties but it will lessen it some and remove your friend's bad record in the City Hall.

Haki on April 03, 2012:

Hi emievel,

I just would like to ask few questions about sole proprietor business here in the Philippines. I have a friend who has a small food business. His accountant died and no turn over has been made. He asked me to take over and I just followed the paper works done by his previous accountant. There has been lots of penalties due to late filing of percentage tax. When he inquired in the City Hall for renewal of business permit, he was asked to pay more than he expects due to late renewal. In this case, he just wants to change his business name to a new one with the thought of just paying less compared to the previous amount I mentioned. Do you think this is a good idea? Thanks a lot!

concern on March 20, 2012:

What is the procedure in changing a company name? it is registered as corporate. And is it lawaful if an employer merged with another business partner.will the employer pay a certain amount to the existing employees before changing its company name? Please help.thanks

emievil (author) from Philippines on March 19, 2012:

@Kat, if they're both sole proprietorship businesses, then no, she can't get a new TIN for her new business. She can register the new business as a 'branch' of her old business, even though the business activities of the two are not related. When she reports her sales/expenses to BIR, she will report them as one only and they will all be under her name. Hope this helps.

Kat on March 19, 2012:

Hi, good day! need help here. My aunt is a sole proprietorship. She already has an existing business. She wants to open another business, still under a sole proprietorship business category. Then, here's her dilemma.. Can she apply for another TIN for the new business? even if it is still under sole proprietor again?

Hoping to hear your positive response.

emievil (author) from Philippines on March 16, 2012:

@niknok, you still need to register your volunteer group with the SEC (if it's a non-stock corporation) and with the BIR.

emievil (author) from Philippines on March 16, 2012:

@Luigi, you still need to register with the BIR and the local city hall. As for the taxes, please watch out for my next hub on this.

niknok on March 15, 2012:

i have one question.. how can i register a non-stock company like a Volunteer group? what are the requirements needed. hope you can give me advice. i have registered ours online... but don't know what to do next...i badly need help. Thanks

Luigi on March 12, 2012:

Hi, what are the steps to set-up a home made cake business (sole proprietorship)?

Should I only get a permit from the DTI and a baranggay clearance? Or is there something else needed?

What are the fees I have to pay yearly/monthly to keep the business running?

Thanks a lot!

emievil (author) from Philippines on March 02, 2012:

@anne, changing your name shouldn't be that complicated. What complicates matters is if (and I think this is your case) the company / entity fails to file the required documents with the SEC. Are the penalties really that big? Is it more costly to pay them than to register a new one? I wouldn't suggest that you go on without formal registration, this will create a whole pile of complications for you. If you can, please seek a lawyer who is knowledgeable about this.

emievil (author) from Philippines on March 02, 2012:

@anne, changing your name shouldn't be that complicated. What complicates matters is if (and I think this is your case) the company / entity fails to file the required documents with the SEC. Are the penalties really that big? Is it more costly to pay them than to register a new one? I wouldn't suggest that you go on without formal registration, this will create a whole pile of complications for you. If you can, please seek a lawyer who is knowledgeable about this.

anne on February 27, 2012:

Good day. My concern is this. We are a church, originally from Korea and managed by Korean pastors, but 2 years ago we change the name, what should we do with our SEC and BIR registration? since 2009 we didn't updated our SEC and they said we will have a penalty already. My pastor said that we will just cancel our SEC registration and never register at that possible? what will be the grounds for not registering the church at SEC? please contact me we are located at Quezon that is my email address

mscas on February 21, 2012:

what is more efficient? transferring the business ownership retaining the business name or changing the business name and business owner?


emievil (author) from Philippines on February 20, 2012:

@Rose francisco, I haven't really tried registering a foreigner as a single proprietorship but I'm not sure you can unless you can get a Tax Identification Number or TIN. Resident aliens are the ones who can get one. Is that your status?

@Dexter Martin, yes it's considered a new business.

Dexter Martin on February 20, 2012:

Hi emievil,

I like your post so much. Very helpful for both foreign investors and countrymen...

I have a question.

I have a partnerner with his own business and he wants to merge with his business with me with a new name but same services... Will this be considered as a new business? Hope you can help... You can contact me directly at this email address:

Thanks again...

rose francisco on February 20, 2012:

Hi! Can a foreigner open a single proprietorship restaurant business here in Manila? He wants to register the name of his business in the name of his son but he(father) would be the proprietor. Will it be o.k.? If so, what are the requirements and is there be a minimum amount for the capitalization? Thanks

emievil (author) from Philippines on February 15, 2012:

@rogie, yes, you are required to register also where your project is located but as a branch. Your head office is still your main office. Based on experience, their basis will be your revenues in that municipality multiplied by a certain factor (like 70%). The other 30% will be declared in your head office. This is based on our locality, you have to check if this is applicable in the other municipalities.

By the way, you will also need to register as a branch office with the local RDO of the BIR.

rogie on February 14, 2012:

hello madam. can you please advise me for this an accountant of real estate developer, but i get confused on how to pay our business permit..during our initial year of operation we paid our business permit in the city hall where our pricipal office is located but now we're developing three projects in different municipalities all of them are requiring us to pay another business permit issued by them for the reason of though our principal office is located in other place but our project is located in their municipality...what will be our basis for paying another business permit if we already paid our business permit in the city hall where our principal office is located?

emievil (author) from Philippines on February 14, 2012:

James, from what I know, it still depends on the industry. If the industry is restrictive, like mining or real estate, I think the 40% rule is applied, regardless of the amount of investment. As to the $200,000, what I know is that this is the minimum investment but I may be wrong. If you want to be sure, better consult a lawyer who is well-versed with this subject matter.

james on February 13, 2012:

An accountant told me that in corporations with foreigners, the USD200,000 paid-in capital was applicable if the foreign ownership was over 40%, but that in partnerships with a foreign partner it is fixed $200,000 regardless of how large or small the foreign partner's percentage. How true is this? Is it really fixed

emievil (author) from Philippines on February 08, 2012:

Hi bash. It depends. is your business a personal one or a corporation?

bash on February 08, 2012:

Hi...this one really helps a lot.

May I ask where to start if the nature of our business focuses on the services alone, we don't literally have INVESTMENT... our home serves as our office and we purely rely on clients who will call,text or email us to render our services.

Hope to hear something from you.



emievil (author) from Philippines on January 24, 2012:

Grace, it depends. What type of business do you have - sole proprietorship or corporation?

grace on January 24, 2012:

I just would like to ask what are the requirement for getting a BIR certificate?

Shin on January 08, 2012:

Im inaterested in registering at BOI. Can i have your contact number and Email address?

Please contact me as soon as possible. Thanks!


Floyd on December 28, 2011:

For a filipino citizen without a TIN who recently moved to the Philippines to start a sole proprietorship and no employment history in the Philippines, how would one go about acquiring a TIN first in order to register a business name with the DTI?

Thank you.

eushua on December 25, 2011:

This is great info for starters and 'bout to open business like me.

I jut have a couple of question madam, Im planning to open a store like 711 but not as big as 711 and not too small like Sari-Sari store its just a medium scale store where I will sell basic commodities. As I was reading the thread above I was a bit confuse on what I should secure to get the business permit. Can cite those that I need to get it going?

Thanks madam!

emievil (author) from Philippines on December 10, 2011:

Kam, please try to check the websites or contact some of those who commented in this hub. I think some of them help out in getting citizenship in my country.

Kam on December 10, 2011:

Can you help or have any contacts that can help British born, Indian obtain Filipino citizenship ?

emievil (author) from Philippines on November 27, 2011:

No. it just means you're going to close down the business under your partner's name. No need to declare bankruptcy.

hakilita on November 26, 2011:

Thanks for your response, when you say retire, does that mean we need to declare such bankruptcy?

emievil (author) from Philippines on November 25, 2011:

@hakilita, I think the best way is to cancel the name under your partner (with the DTI) and retire the business of your partner first (with the BIR and the City Hall), then you can register the same under your name. As to the actual process of transferring, I suggest you get a competent accountant to handle the processing for you. good luck.

hakilita on November 25, 2011:

This page is very helpful and I really appreciate having this posted. Just an inquiry, what if I have a partner (but we are not married) then he wants to transfer ownership under my name but we still want to carry the old business name, can we just easily transfer the business under mine or we need to declare it as sale (since we are not legally related to each other)? Will that be the best option? And if in case we need to declare it as a sale, will that be taxable? It's a sole proprietorship and only a small food business. I inquired from DTI and if I understand it right, if it's a transfer of ownership to a family or relative, all we need is Affidavit of Cancellation then a new application for us to carry the old business' name. I don't know if it's the same process if you're not related to the previous owner. Hope to hear from you regarding this matter. Your comment will be highly appreciated. Thank You! :)

emievil (author) from Philippines on October 27, 2011:

Hi Kris. I think you should have 3 separate names for them, especially if you plan to make each one bigger. Or choose a more generic name (though I'm not sure that DTI will allow this) like ____________ atbp. or something.

kris on October 26, 2011:

Hello i want to ask what business name i can used if i have sari sari store,2 photocopy machine,and small party balloons.....can i used as a general merchandise? please help me i have no idea on this...i started from sari sari store and now i have 2 xerox machine and make birthday balloons but not big for extra income only....i want to have a good business name for this.have no idea....please help me.

emievil on October 25, 2011:

OK. Thanks for your kind response anyway. I guess I have to ask a BIR personnel na lang, my case is quite unique and complicated. :)

emievil (author) from Philippines on October 24, 2011:

@gemoets guy, you can contact me through the link provided by HubPages and I'll be more than happy to help you.

@Loidski, I'm not sure if we have a professional registration for writers. certainly register as a single proprietress, you can use the same TIN but you have to register your chosen name first with DTI. good luck :)

Loidski on October 24, 2011:

Hi, first off all, thanks for this hub. I'm planning to register as a 'single proprietor'. I'm a freelance writer and I'd like to present myself to clients using a business name but I'd be the only one doing all the work. I used to be employed so I already have a TIN, will I be using that same TIN for my business or I'd have to register a separate TIN for the business? I'd really want a business under my name but which would be more tax effective for me? Just register as professional or as a single proprietress with no employees? I'd appreciate your response. Thank you.

gemoets guy on October 23, 2011:

i want to open business in philip soon what need how mutch invest etc can repalay me

many thanks

LOUISE on October 21, 2011:

Dear Foreigners, If you want to start a company in Philippines, I would like to hear from you, I maybe of help. Email me at

emievil (author) from Philippines on October 20, 2011:


If you are on a quarterly payment scheme, then yes. Otherwise, you have to check. If you are going to retire the business formally, you need to inform City Hall and they will charge you some fees for that. Hope this helps.

D on October 20, 2011:

Hello. Does a corp need to pay mayor's permit (due October) even if it has already closed its business last July? Thanks

Ron Angeles on September 24, 2011:

Hi anyone wants to have a loading business for as low as 3,988 pesos?

Want to have more than 1 million return of investment? By just investing a small amount for about 120,000 pesos only? Let me know! :)

I can schedule meet-ups for you business man and business owners.

For inquiries :

Call / Text : 09054139619

Look For : Ron Angeles

emievil (author) from Philippines on September 23, 2011:

Hi James. Check with DTI if you can transfer the name of your father's business to your name. I remember one of my clients did the same a few years ago. She transferred her husband's (who died) business name to her name. As for the BIR, once you get past DTI, you can register yourself as the actual owner of the business, same with the business permit and other local agencies. But if your father has properties such as land and building under his business, you will have to go through donation or deed of sale.

Another way is to incorporate the business, using the business name of your father (one of my clients also did that) then transferring everything to the corporation once the corporation has been registered with the SEC.

james on September 23, 2011:

how do i transfer a sole proprietorship owned by my father to my name who already wanted to retire. friend advised to just register a new trade name, register with bir, get new business permit and declare with the bir and other local agencies that the business(undr my father's name)closed down. but my father wanted to retain the name of our business. i have about 15 employees and if the business had to close and start anew under my name wouldn't it be more tedious than just transferring the business under my name and everything just be as it is?

emievil (author) from Philippines on August 31, 2011:

Hi Rose.

To answer your question, this is because the SEC is for corporations and partnerships only. A sole proprietorship is not under its jurisdiction.

rose on August 31, 2011:

Uhm may i ask? why is it the sole proprietorship is need not to register with the SEC? I'm making my report that's why I have some questions.

Carl Taylor on August 10, 2011:

Considering setting up your own office in the Philippines?

OwensBPO has the local knowledge to guide you each step of the way so you can realize the great savings of offshoring with a captive BPO of your own.

OwensBPO also offers the following services if you are looking for Outsourced Support:

Software Development

IT Support Services

Technical Support

Customer Support

Human Resource Management

Due Diligence

OwensBPO gives our customers the results they need to reduce costs, enabling them to concentrate on their core business, without sacrificing quality or security.

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Business Development

Incorporate Philippines on July 15, 2011:

Thank you for letting us know the steps on how to register or incorporate a business here in the Philippines. I guess it's time consuming because you have to make all those steps right, so in the future there are no problems you can encounter regarding to your licenses.

jovelyn on June 08, 2011:

ah hehehe ang cute ko

chamilj from Sri Lanka on May 27, 2011:

Very useful information for a person who wants to start a business in Philippines. Thanks!

emievil (author) from Philippines on May 26, 2011:

@rik, for sole proprietorship, you don't need to go through the SEC. Just the DTI, the BIR and your local city / municipal hall.

rik on May 26, 2011:

hi, i was bit lost after the next step on BIR, how about sole Proprietorship? does the flow still the same with the corporation?.. do sole Proprietorship require to apply?... it will be nice if we can talk thru email, i might acquire your service.

Philippines Sole Proprietorship on March 16, 2011:

The major disadvantage of a sole proprietorship is that the owner has unlimited liability not only can a creditor ask the court to seize the businesses assets it can also go after all of the owners personal assets.

Noraini on December 19, 2010:

Hi any luck?Or you can email to

How if i don't have any partnership will local people?have a partner but he doesn't have

A capital to share, just work for the agensi


Noraini on December 18, 2010:

Oopps Sorry, was at a salloon just now! Heheheh email to... please

emievil (author) from Philippines on December 17, 2010:

Hi Noraini,

Okay but how do you want me to communicate to you?

Noraini on December 17, 2010:

Hi, im interested in opening a maid recrutment agensi in cagayan de oro, have a little bit of understanding here and there, would appreciate if you could guide me on what should i do step by step procedures please?

emievil (author) from Philippines on October 30, 2010:

Hi Greene. I don't think all of those you mentioned are under manpower agency. As to your office, you can have it at home and your home address will be the one designated as your office address for purposes of the mayor's permit and BIR registration.

I suggest that you consult an accountant / lawyer based in Manila (I'm in Mindanao) so that you can air out all your questions and concerns. Plus you can get somebody to assist you during your registration and set up process. Hope this helps. Good luck!

greene on October 30, 2010:


i want to put up a business of home service massage, weekly maids, party waitress, clowns, and such. would that be considered as a manpower agency? my target is manila. Do i have to have an office if i can just take care of the business by phone and email at home? can my home be an office? how would i register my business without an office? based on articles i read its asking to get a mayors permit and sketch the location of the office.

please help me.

I will really appreciate it if you can send a copy in my email

Thank you

Philippines Business Registration on October 18, 2010:

Requirements for putting up a corporation in the Philippines

• Name Reservation

• Articles of Incorporation and By-laws,

• Directors Names, Addresses, Passport Numbers or TINs, Must have at least 5 directors with at least 3 being Filipino if Filipino owned Company if Foreign owned; at least 2 directors must be Filipino

• Placement of Minimum Capital this money is not paid, only placed in a bank account during the registration process, afterwards you will receive it back, to be deposited to a local bank of your choice.

o If Filipino owns 60% of more 100,000 Php

o If Foreigner owns 41% or more 200,000 USD

• Address and Location of Business

• Directors Must Be able to sign the Articles of Incorporation and By-laws

lexie Dubai on September 27, 2010:

hi Emie,

very helpful topic.

I'm planning to put up an accounting firm in the Philippines as well for SMEs but don't know where and how to start, I am not an accountant but has little idea on it. Can you make a blog as well on the things to consider when establishing such company aside from licenses and permits.


Incorporation in the Philippines on September 18, 2010:

For corporations that have more than 40% foreign ownership the minimum paid-in capital required is US$ 200,000. The required paid-in capital for less than 40% foreign ownership is Php 100,000.00.

There are many restrictions on foreign ownership the latest list is from Febrauary 2010 can be found here:

emievil (author) from Philippines on August 11, 2010:

Is your wife still a Filipino citizen? Then if yes, she can own the other 40%. However, you will still have to include other people to complete the required number of incorporators to 5.

By all means, verify everything with a lawyer. They know more than us, accountants :). Thank you for your visit.

Havocmwf on July 22, 2010:

This has been a very helpful topic and has filled in some blanks I had on the subject. I am from the UK and hope to start a business up in the Philippines next year with my Filipina wife. Does the 60% (I have checked the restricted businesses/land ownership and I seem to be in the 60% category) limitation law on foreginers, mean that my wife would need to own the other 40%? This would be fine if it does. Happy for it to be 50/50. I believe one can have legal papers drawn up to ensure that both parties have to be in agreement on any decisions, thereby safeguarding your business interests. I would need to get this verified by a lawyer.

emievil (author) from Philippines on July 19, 2010:

Jadekyut, it depends. Are you going back to Davao? If yes, just contact me so I can give you details.

jadekyut from Dubai, UAE: Davao, Philippines on July 19, 2010:

very nice information planning to open up a small business when i get back home on november..I have read that you have your own accounting firm, maybe you can help me when i get there..just give me a low price for your services...hehe.. can you give me any contact details so i would know how to contact you. thanks.

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