Decide on market entry from evidence, not instinct.
We research Philippine foreign ownership rules, tax regimes, and market conditions, and set out the material you need in order to decide.
The first questions we hear are almost always the same: can our line of business operate there at all, and what will it actually cost? This page is about that stage — the research that comes before the decision. Once you have decided to incorporate, Business Support takes over.
| Phase | The question at this stage | What we do | Handled by |
|---|---|---|---|
| 01 Research | Can we operate there? Is there a market? What is required? | We research foreign ownership rules, tax regimes, and market conditions, and compile them into a report. | Market Intelligence |
| 02 Decision | Do we enter or not? In what form? | We answer questions at the briefing and set out any points that still need checking. The decision is yours to make. | — |
| 03 Setup & execution | We are going ahead. Who handles the process? | Company registration, permits, and introductions to local partners. | Business Support |
If you are looking for Philippine economic and market data itself, PH Economy Data brings together public figures on demographics, GDP, and FDI.
We research information and compile it. Legal conclusions on any specific matter are made by the partner law firm in the Philippines.
We research market size, growth over time, distribution and sales channels, and price points, drawing on published statistics and information gathered on the ground, and compile the findings into a report.
We look into which companies already operate in your sector, how their business models are structured, where their sites and outlets are, and how they price, and set the findings out side by side.
For the business area you are considering, we research the foreign ownership rules currently in force, starting with the Foreign Investment Negative List, and set out the points at issue. Any legal conclusion on whether a specific plan qualifies is made by our partner law firm in the Philippines.
For the plan you have in mind, we research the items that need to be examined — market size, likely cost structure, the categories of permits required, and the probable timeline to launch — and report them in a single consolidated view. Whether to proceed remains your decision.
We set out, side by side, how a domestic corporation, a branch office, a representative office, and a regional headquarters differ in legal standing, in the general capital requirements that apply, and in their treatment under Philippine taxation. We do not put forward any one structure as the right one.
We provide information on the general procedural steps and the time typically required for each available route — liquidation, share transfer, or business transfer. We do not take on individual dealings or contentious matters involving employees, counterparties, or partners. Where a lawyer is required, we will introduce you to our partner law firm.
We combine these according to what you need. Not every engagement covers all six.
| # | Field | What we look into |
|---|---|---|
| 01 | Foreign ownership rules | Where the business sits on the Foreign Investment Negative List, the equity limits currently in force by sector, paid-in capital requirements, and any sector-specific licensing regime |
| 02 | Tax and investment incentives | Corporate income tax brackets in the Philippines, how incentive packages differ between promotion agencies such as BOI and PEZA, and the conditions for registration |
| 03 | Business customs and decision-making practice | How terms are settled, payment cycles, how contracts work in practice, and the points that commonly arise when working with local companies |
| 04 | People and wages | Hiring feasibility by role, published wage data, the employment framework, and an outline of the procedures for employing foreign nationals |
| 05 | Infrastructure and logistics | Power, telecommunications, and transport conditions, access to ports and airports, and how candidate locations differ |
| 06 | Policy and political developments | The direction of investment policy, recent legislative changes, and positions published by the relevant agencies |
In every one of these fields, what we do is research and compile information. We do not reach legal or tax conclusions on the basis of what we find.
Consulting is intangible, so we would rather show you the output first.
| Chapter | Contents |
|---|---|
| 1. Purpose and scope | What you asked us to look into, the fields covered, the research period, and a list of the sources consulted |
| 2. Market overview | Market size and how it has moved, the composition of demand, and the structure of distribution and sales channels |
| 3. Competitive landscape | Companies operating in the sector, a comparison of business models, and price points |
| 4. Findings on foreign ownership rules | The rules currently in force that bear on the business, the provisions and published sources we were able to confirm, and the points at issue |
| 5. Tax and investment incentives | The corporate tax framework in the Philippines, how the promotion agencies differ, and the conditions for registration |
| 6. Comparison of entry structures | How a domestic corporation, branch office, representative office and similar structures differ under the applicable rules |
| 7. Cost and timeline items | A breakdown of the cost items involved in setting up, and the time each stage is likely to take |
| 8. Open points | Matters to confirm before deciding, separated into those we can research and those that require a qualified professional |
| Appendix | List of sources (title, year of publication, date checked) and a glossary |
* The report shown on this page is a sample prepared to illustrate how our reports are structured. Actual deliverables vary in structure and length according to the purpose of the research. Client names and any specific findings have been withheld. All figures and charts shown are dummy content prepared for the sample and are not actual research results.
Rather than how many engagements we have behind us, we would ask you to look at what we research and what we hand over. What we publish is the substance of the work, not a count of it.
What follows is a general explanation based on published laws and official sources. It is not an application of those rules to any particular case.
Philippine law sets out, by name, the areas in which foreign equity is capped. That list is the Foreign Investment Negative List (FINL). Areas not on the list are, as a general matter, not subject to a general foreign equity cap.
As of 1 August 2026, the version in force is the Thirteenth Regular Foreign Investment Negative List, promulgated by Executive Order No. 113, signed on 13 April 2026. The order reserves to Philippine nationals only those areas and activities set out in the attached Thirteenth RFINL, subject to the exceptions and conditions stated there.
| Sector | Foreign equity | Notes |
|---|---|---|
| Mass media | 0% | Reserved to Philippine nationals under the Thirteenth RFINL |
| Advertising | Up to 30% | — |
| Retail trade | Up to 100% where conditions are met | For foreign retailers meeting the paid-up capital and other conditions set by RA 11595 |
| Telecommunications | Removed from the definition of public utility | RA 11659 took it outside the constitutional 40% public utility cap. Other regulation continues to apply (see below) |
* The table covers only what we were able to confirm from primary sources in the Thirteenth RFINL and the related statutes. Sub-classifications and individual exceptions are not included here. Which classification your business falls under is a matter that needs to be checked case by case.
"100% foreign ownership is now possible" is not the same as "anyone may now enter freely."
Even where a nationality requirement has been lifted, franchising and licensing regimes, reciprocity requirements, rules on critical infrastructure, restrictions on investment by foreign state-owned enterprises, and national security review all continue to apply. The minimum paid-up capital figures under RA 11595 are also subject to a statutory review every three years, so the position currently applied in practice should be confirmed case by case.
Corporate taxation and investment incentives in the Philippines are set out in the CREATE Act and the CREATE MORE Act (RA 12066, signed 11 November 2024, effective 28 November 2024). What follows is a general explanation of the tax regime of the Republic of the Philippines.
| Category | Rate |
|---|---|
| Regular Corporate Income Tax (RCIT) | 25% |
| Certain small domestic corporations | 20% (conditions apply: taxable income of P5,000,000 or less and total assets of P100,000,000 or less) |
| Registered enterprises electing the Enhanced Deductions Regime under CREATE MORE | 20% |
| Special Corporate Income Tax (SCIT) | 5% of gross income |
* The applicable period and category vary with the size of the investment, its tier under the Strategic Investment Priority Plan, its location, and whether it is export-oriented or serves the domestic market. No single period can be stated as applying across the board.
| Agency | Coverage | Principal focus |
|---|---|---|
| BOI | Nationwide | Activities under the SIPP that do not require location in a particular ecozone, including domestic-market activities |
| PEZA | PEZA ecozones and IT parks proclaimed by the President | Export manufacturing, IT-BPM and similar. Location within a registered ecozone is required |
| CEZA | Cagayan Special Economic Zone and Freeport | Location in the Cagayan zone; suited to businesses weighting northern Luzon and port or airport access |
| SBMA | Subic Bay Freeport Zone | Within the Subic zone; selection turns on fit with port, logistics, manufacturing and warehousing |
| CDC | Clark Freeport and Special Economic Zone | Within the Clark zone; selection turns on fit with the airport, logistics, manufacturing, IT and tourism |
A promotion agency is not chosen on tax rates alone.
Since CREATE and CREATE MORE, the core fiscal incentive menu has been harmonised across the agencies. The real choice turns on whether the activity fits the Strategic Investment Priority Plan and whether operations can sit inside a designated zone.
Nor does PEZA registration lift foreign ownership restrictions. Foreign equity is governed not by the corporate form or the agency you register with, but by whether the actual activity falls within the Negative List, the Constitution, or a sector-specific statute.
| Source | Publisher | Year | Date checked |
|---|---|---|---|
| Executive Order No. 113, s. 2026 (Thirteenth Regular Foreign Investment Negative List) | Office of the President of the Philippines | 2026 | 1 August 2026 |
| Republic Act No. 11647 (amending the Foreign Investments Act) | Congress of the Philippines | 2022 | 1 August 2026 |
| Republic Act No. 11595 (amending the Retail Trade Liberalization Act) | Congress of the Philippines | 2021 | 1 August 2026 |
| Republic Act No. 11659 (amending the Public Service Act) | Congress of the Philippines | 2022 | 1 August 2026 |
| Republic Act No. 12066 (CREATE MORE Act) | Congress of the Philippines | 2024 | 1 August 2026 |
| Revenue Regulations No. 18-2024 | Bureau of Internal Revenue | 2024 | 1 August 2026 |
| CREATE MORE reforms and related releases | Department of Finance | 2024 | 1 August 2026 |
| Doing Business in the Philippines 2026 | Board of Investments | 2026 | 1 August 2026 |
| What are the incentives offered by PEZA? | Philippine Economic Zone Authority | — | 1 August 2026 |
We draw on both information gathered through our local partner in the Philippines and published primary sources. What you receive is not a set of conclusions on their own, but a report in which the source of each point — which document, and the date we checked it — can be traced.
We hear what you are considering and where the gaps are in what you know. The first consultation is free of charge.
We set out in writing the fields and items to be researched and the expected duration, and submit a quotation.
We work from published legislation and official statistics together with information gathered on the ground, sharing points as they emerge.
We deliver the report and take your questions at a briefing session. If you move on to setup and execution, we hand over to Business Support.
Initial research typically takes two to four weeks. The actual duration depends on the number of fields covered, the sector, and whether items need to be confirmed on the ground.
Fees are quoted individually, based on the scope of research, the sector, and the expected duration. Following the initial discussion we set out the research items and the quotation together in writing. Quotations are stated exclusive of tax.
There is no charge for the first consultation.
Demographics, GDP growth, FDI and regional investment data, compiled from published statistics.
Company registration, licensing, and introductions to local partners — for once the decision is made.
The types of engagement we have supported to date.
The questions we are asked most often about entering the Philippine market.
The first consultation is free. We can begin by sorting out what you already know from what still needs checking.
* What we provide is research into, and the supply of, information on markets and regulatory frameworks. We do not handle legal affairs within the meaning of Article 72 of the Attorney Act of Japan (appraisal, agency, arbitration, settlement, or other legal services). Legal conclusions on specific matters, the drafting and review of contracts, dealings with the authorities, and contentious matters are carried out by our partner law firm, qualified in the Republic of the Philippines, under a contract entered into directly with you. We receive no consideration for introductions to that firm.
* Tax information on this page is a general explanation of the tax regime of the Republic of the Philippines. We do not carry out tax representation, the preparation of tax documents, or tax consultation as defined in Article 2, paragraph 1 of the Certified Public Tax Accountant Act of Japan. For questions on Japanese domestic taxation (corporate tax, income tax, consumption tax and the like), and for the calculation of tax due or the approach to any filing, please consult a certified public tax accountant. Tax filings in the Philippines are handled by our local partner in the Philippines.
* Information on laws and regulations on this page is a general explanation based on information published as at the date shown, and is not advice on any particular matter. Legislation is amended from time to time. Last checked: 1 August 2026.
