How to Navigate Registering a Business in the Philippines in 2026

Starting a business in the Philippines is a strategic move for both local and foreign investors. However, understanding the steps for business registration in the Philippines is crucial to guarantee a smooth launch. This article explains the mandatory steps and investment rules for incorporating your entity.
An Overview of the Philippine Business Registration Process

The journey of incorporating a business usually begins with deciding on a legal entity. For individuals, a sole proprietorship via the DTI is the most common choice. On the other hand, larger enterprises opt for forming a corporation through the SEC.

1. Securing a Business Name: First, you must verify and secure your proposed name via the DTI or SEC online systems. 2. Drafting Legal Papers: Prepare your AOI and Bylaws. Thanks to recent laws, you can currently form a OPC if you are a single investor. Step 3: Local Permits: Once incorporation, you must apply for a Barangay Clearance and a Mayor's Permit from the Local Government Unit (LGU). Step 4: BIR Compliance: Finally, sign up with the BIR to get your TIN and Authority to Print (ATP) official receipts.
Business Registration in the Philippines for International Investors

For most foreign entrepreneurs, business registration philippines for foreigners requires extra considerations. While the government has liberalized many sectors, some limitations remain according to the Negative List.

Foreigners can own full ownership of business registration philippines for foreigners export-based enterprises. However, businesses serving the local market often require a higher capital injection. Furthermore, non-Filipino directors are required to obtain the proper visas, such as the Alien Employment Permit (AEP).
A Look at Minimum Capitalization for Corporation Philippines

One of the question for founders is the minimum capitalization for corporation philippines. In most cases, the Revised Corporation Code removed the minimum subscribed capital rule for local corporations unless specified by specific laws.

But, the regulations change significantly for foreign-owned firms:

Local-focused firms: Typically minimum capitalization for corporation philippines require a minimum paid-in capital of US$200,000.

Advanced Tech or Large Staff: This requirement can be reduced to 100,000 USD if the business uses advanced technology or employs at least philippine business registration process 50 local employees.

Exporting Companies: These entities business registration philippines for foreigners can frequently be formed with as little as PHP 5,000 in paid-up capital.

Conclusion

Managing the registration business registration philippines for foreigners steps in the Philippines demands careful planning and due diligence. By understanding the rules for business registration philippines for foreigners and meeting the correct minimum capitalization for corporation philippines, you can successfully launch a compliant enterprise in this growing market.