The Essential Guide for Registering a Business in the Philippines in 2026

Establishing a business in the Philippines offers significant growth potential for both local and international investors. Regardless, understanding the philippine business registration process is essential to avoid legal hurdles. This guide breaks down the required steps and capital requirements for founding your firm.
The Step-by-Step Philippine Business Registration Process

The sequence of registering a business properly commences with deciding on a legal entity. For individuals, a sole proprietorship via the Department of Trade and Industry (DTI) is a popular choice. However, investors choose incorporation through the Securities and Exchange Commission (SEC).

Step 1: Securing a Business Name: First, you must reserve your chosen name via the SEC eSPARC portal. Step 2: Document Preparation: Assemble your Articles of Incorporation and corporate bylaws. Under the Revised Corporation Code, you can currently form a OPC if you are a single investor. Step 3: Local Permits: After incorporation, you must apply for a Barangay Clearance and a Mayor's Permit from the Local Government Unit (LGU). Step 4: Tax Registration: Finally, sign up with the Bureau of Internal Revenue (BIR) to obtain your Tax Identification Number (TIN) and Authority to Print minimum capitalization for corporation philippines (ATP) official receipts.
Business Registration in the Philippines for International Investors

For numerous non-resident entrepreneurs, registering a Philippine business as a foreigner involves additional steps. While the country has opened up many sectors, certain limitations remain under the Negative List.

Foreigners can own full ownership of export-based philippine business registration process enterprises. However, businesses serving the local market often require a substantial capital injection. Additionally, non-Filipino owners are required to secure the proper business registration philippines for foreigners work permits, such as the Alien Employment Permit (AEP).
Understanding Minimum Capitalization for Corporation Philippines

A primary hurdle for founders is the minimum capitalization for corporation philippines. Generally, the Revised Corporation Code eliminated the mandatory paid-up capital requirement for domestic business registration philippines for foreigners companies except when specified by special laws.

However, the regulations differ significantly for foreign-owned entities:

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

Advanced Tech or Large Staff: minimum capitalization for corporation philippines This requirement can be reduced to US$100,000 if the business uses advanced technology or hires at least 50 local employees.

Exporting Companies: These firms can often be formed with as little as 5,000 Pesos initial equity.

Final Thoughts

Handling the philippine business registration process requires patience and attention to detail. Through mastering the requirements for business registration philippines for foreigners and fulfilling the proper minimum capitalization for corporation philippines, you can successfully build a compliant business in this dynamic economy.