This is one of those sorts of posts that I really don’t care much about writing. This site is essentially a labor of love. I make a non-trivial income from a number of online ventures, but PhilFAQS certainly isn’t much of an earner. I tell myself often I should only write about the things that interest me, and quite frankly, running a business … I’m talking about a ‘dirt world’ or ‘brick and mortar’ business inn this post, is not something that interests me. My wife and I ‘put up’ and made a financial success of a ‘dirt world’ business back in the USA … it’s not something I don’t know how to do. When the time came for us to make the move to the Philippines one of the options we could have chosen was to keep our business alive and manage from the Philippines. The businesses essentially was retail sales, with no stock (I sold equipment and ordered from the manufacturer for delivery to the client), so business-wise it would have been relatively simple to build a team of commissioned sales agents to cold call, demonstrate the product, get the orders signed, etc.
Even though our business was about as conventional as can be, we still did a majority of it online … placing orders, paying bills, banking, tax payments, submitting bids, collecting payments … even most state and local sales taxes and administriva like that can be handled online. But I didn’t want to run a conventional business any longer.
Regardless of what my own interests are, though, if this site is to have any value at all, I need to be responsive to reader’s needs, and I get a tremendous number of inquires and even pleas for help that involve starting a business in the Philippines.
Some of these ‘business in the Philippines’ queries come from folks who want to move to the Philippines and envision a business her in the Philippines as a way to make a living.
Others write because they have relatives or friends here in the Philippines whom they want to help get a start in life or move up in income by starting and running a business here. So, I soldier on … what the readers want, I give 
Actually I guess I just wrote my first informational paragraphs already, when i described the alternative my wife and I chose not to avail of … operating a business that makes its sales in the US while the owner operates the business from the Philippines. There is absolutely no reason this can’t be done. And it is certainly not limited by citizenship, either. 
Unlike the rules of business incorporation here in the Philippines, there is no law in the US which requires businesses to be owned by US citizens. A Filipino can ‘put up’ a corporation, especially an LLC (Limited Liability Corporation), the form of business most commonly recommended for many small businesses, in a number of states in the US in a matter of minutes.
No address in the US? Most business formation services (there are dozens or even hundreds of them … this is one I have sued in the past and highly recommend) offer the service of being the business’s registered agent anyway (some states even require this), so for a few hundred bucks anyone can form a business in the US, in 15 or 20 minutes … if you read slow.
Taxes? If you are a US citizen, of course you are required to pay them (or not, read the rules on foreign earned income and seek professional advice there, but your tax bite might be less than you think). How would a Filipino deal with US taxes? Just apply with the US IRS for a TIN and presto, you’re legal.
What business would you do? Ah, well don’t ask me that, the choices are virtually unlimited. I want to keep this post down to a thousand words or so, but just take away the message that running a ‘real’ business from overseas is not at all impossible in today’s day and age, Filipino or foreigner.
Now, suppose you say, “Oh NO, Dave, I can only consider a business here in the Philippines”> OK, fine. Did you read my post last week about the Philippine specialist franchise consultant and broker (who also comes highly recommended, by the way, he’s no scam artist or ‘paper hanger’). How many of you read that? Howe many went and enquired about a franchise that interested them? How many left a comment about the article? See why I feel I am often living in a vacuum? People ask for information, I provide, and apparently they wanted it in some language other than English, because no one seems to connect.
On the chance anyone is reading, here’s another source I have kept up with for years. EntrePinoys ATBP. (ATBP is a common Filipino acronym for At Iba Pa “and others”, typically used where the Latin etc. would be used. The owner of the site, Leo, (who is a Filipino) has been diligently documenting Philippine business and investment opportunities for years … tirelessly I might ad. There are thousand and thousands of opportunities listed … many with facts, figures and step by step instructions. Spend an afternoon with Leo and then come back and tell me there is no opportunity in the Philippines … you can not, with a straight face anyway.
If you do decide that staring a business here in the Philippines is the thing for you, or your relative … here’s an excellent source (just select the country you want to learn about)that will help you through the myriad of regulations, permits and other “mother may I’s” you will need to wade through. You won’t start a business in 15 minutes in the Philippines, but still that doesn’t mean it may not be worth it.
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Hi Dave.
It would seem to me that business is conducted all over the world so there is absolutely no reason why someone could not open a business in the Philippines.
I know a few Irish guys in Subic who have started a wonderful business making expensive door knobs, ect. and they are doing pretty good despite the housing slow down here in the US and of course in Europe.
I would imagine any small tooling company with the normal international certifications would be able to get as much work as they wanted within the Philippines.
The possibilities are endless.
Best
Joe
Absolutely. Especially around Subic … I’ve written a number of times before about the opportunites there in the Freeport Zone. Last time I looked at the listing there were well over 500 tax-paying businesses here, and only a small percenttage are foreign owned. The special tax and licensing provisons of the Freeport make it a great place for aFilipino to start a buisess, same as aforeigner can. No opportunity in the Philippines? You’ll never get me to say that.
Indeed, I see no reason why not, Joe. My son, who is a machinst/manufacturing QC specialist, visited last year and he was very taken by the level of machine shops here in the Philippines. Especially on and around Subic. Just as they do with cars and trucks, Japanese companies literally have to junk equipment when it is 5 or 6 years old, and hardly worn out at all. There are little machine shops in Subic which mainly rebuild tricycle engines and such mundane tasks with equipment bought from Subic auctions that would costs hundreds of thousands of dollars to replicate new. Couple this with the fact that in the Special Economic Zones (there are several, Subic and Clark being the ebst know), a foreigner _can_ own a buisiness and big possibilites open up.
Those who haven’t read this article may enjoy it, here’s afellow who is making a very nice living out of taking rugged, well built boats that otherwise would be nothing but scrap metal and making them into works of art … works of art that are very cheap in the circles who buy such treasures:
http://philfaqs.com/phils-business/philippine-business-above-the-internet-cafe-level/
Hi Dave,
Thanks for the plug for EntrePinoy. A very interesting site and new to me. I’ve bookmarked it so i can visit again.
It sounds like you’re feeling a little under appreciated just now. I just wanted to say “hi” and thanks for posting. I always enjoy your articles. Maybe you need some kind of “Top Ten” question list on the front page with links to the numerous posts you’ve made over the years answering them. That might reduce some of the repetitive questions.
Yeah I guess I was letting my frustraion show … thanks for the positive strokes. That top ten list is agreat idea, I\ve actually had it before, and done nothing about it. Maybe it’s time to gte my butt in gear. Thanks
Hi Dave,
i want to start small businss in manila how can i ?
thanks
Ali
Hi Ali,
Honetsly I have no idea how to answer that question. What kind of business are you talking about, where are you, wh76y do you think you can start a busieness, etc., etc. You give nothing to go on, my crystal ball is busted.
I have written dozens of articles on starting a business in the Philippines … mainly advising against it, by the way, and I listed a number of resource sites by peiople who _do_ know about business in the Philippines. How many have you read/visited?
i would like to start a smal business in southern LEYTE because i going to marry a phil woman there . i have visted there and i like it there verey much.
Hi Philly,
Nice article and nice site!
Thought you may be interested that Microsoft has a program to support new software businesses in the Philippines called BizSpark. We provide software, support and visibility to private companies less than 3 years old. We support anyone who can benefit from access to our development tools including Open Source developers it’s designed to nurturing young software companies and promote innovation.
Anyone can sign up at http://www.microsoft.com/bizspark
Best,
Kirk Drage
Start-ups and Entrepreneurs | Microsoft | Asia Pacific
Thank you Kirk. This is a fantastic program. Most of us 9certainly including me) tend to look at only the commercail/retail side of Microsoft, but MSFT does a great many things for the development of our world in general … things that often don’t make MSFT one thin dime. Projects like developing and nuturing small entrepreneurs are the kind of thing that might someday discover the _next_ Bill Gates. And to those who irritate me with that constant drone of ‘there’s no opportunity in the Philippines’, I say, you are wrong. In fact as several fellow readers have said here, some with more business experience than I, in many ways the opportunities here are even greatr than in the US for small and innovative business. Thanks again. Kirk.
Hi Philly,
I just read your article on this site and find it interesting because I was thingking of having a small business here in Manila Area (Philippines), I dont have any idea of what kind of business to start. can you give me some advice? or if ever not in Manila in some provinces where you can advice me that I could start a small business…
Im thingking of like a food business or a clothing company…. can u give me what would be the best small business to start up with. Thanks..
Im looking forward to youre reply….
Hello Mylene, O really don’t know where to start. I’ve written undr3ds od articles about buisness in the Philippines and earning a living ib the Philippines … and I have recommended dozens of web sites with direct Phils business info … how can I capzulize that in one comment response?
1. MY most coinsiosten adboce about small business in the OPhilippines is, don’t. Wht would you limit yourself to aome minimal income business ;off line’ when there are so many opportunities online?
2. My second general piece of advice is, read, read, read. The number one obstacles I see to business, on or off line, is people who won’t do their homework.
3. Think about some business, again, on or offline, that you have a passion for. Being at trhe point where you don’t even know if you want a food business or a clothing business means you aren’t ready for any business … who needs yet another mediocre clothing business or another food stall that is always ‘out of stock’. Why _should_ you be a business owner? What can you do better? What will you do that a dozen others don’t?
Starting a business to make money is the wprst reason there is. Excellence in what you provide, that’s the best. That’s where your focus needs to be, otherwise a job in a call center will pay a lot more for a lot fewer hours and pain.