What is the Minimum Capital Requirement for Incorporation?

The minimum capital needed in the Philippines depends on whether you want to create a domestic corporation or a foreign corporation. It can also change based on the industry you are part of and how much foreign equity is involved.

Can a foreigner start a business in the Philippines?

Yes, a foreigner can form a business in the Philippines subject to the Foreign Investment Negative List. The Negative List is a list of industries that cap foreign ownership at various percentages, due to public interest or national security concerns.

What is the minimum capital to start a business in the Philippines with 100% foreign ownership?

If it is export oriented or not on the negative list, the capitalization can be as low as 100%. If it sells to the local market, it may need USD 200,000 or USD 100,000 depending on the situation.

Who serves as the director and officer of an OPC?

The shareholder is the director and president of the OPC.

corporate law

Complete Guide to Business Incorporation in the Philippines

Atty. Francesco Britanico

January 8, 2026

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Table of Contents

What is Incorporation?

Laws that govern Incorporation and regulate Philippine Business

Different Business Entities in the Philippines

Sole Proprietorship vs. Corporation

One Person Corporation

Domestic Corporation

Branch Office Philippines

Representative Office Philippines

Partnerships and other structures

Preparing for Incorporation

Essential Documents and Information Needed

Government Agencies Involved in Incorporation

The Step-by-Step Guide to Incorporating Your Business

On-going Compliance Requirements