Can Foreigners Own a Business in the Philippines?

The Philippines is a top investment destination in Southeast Asia, attracting foreign entrepreneurs and corporations looking to expand. But one common question is: "Can foreigners fully own a business in the Philippines?"

Understanding the Foreign Investment Negative List (FINL)

The Foreign Investment Negative List (FINL) outlines industries restricted to foreign investors. The list has two categories:

๐ŸŸข List A (Industries with Full or Partial Foreign Ownership Restrictions)

โœ” Mass media, broadcasting, and news agencies โ€“ 100% Filipino-owned only

โœ” Retail trade with paid-up capital below $2.5M โ€“ Limited foreign participation

โœ” Small-scale mining and fisheries โ€“ Exclusive to Filipino citizens

๐ŸŸข List B (Industries with Restrictions for Public Interest & Security)

โœ” Defense-related industries โ€“ Limited to 40% foreign ownership

โœ” Private security services โ€“ Limited to 49% foreign ownership

Pro Tip: Foreign investors must check the latest FINL updates before entering a restricted industry.

What Industries Allow 100% Foreign Ownership?

Several sectors allow 100% foreign ownership, especially if registered under PEZA (Philippine Economic Zone Authority) or BOI (Board of Investments).

โœ… Industries open to 100% foreign ownership:

โœ” IT-BPO (Business Process Outsourcing)

โœ” Manufacturing and export-related industries

โœ” Renewable energy (under certain conditions)

โœ” E-commerce and digital services

โœ” Software development & tech startups

๐Ÿ‘‰ Want to know which incentive is better for your business? Read our guide: PEZA vs. BOI: Which Incentive is Right for You?

Why Choose Eh-Sehk?

Navigating foreign business laws in the Philippines can be complex, but Eh-sehk Consulting Inc. makes the process seamless.

โœ… Expert guidance on business registration & compliance

โœ… Assistance with SEC, BIR, and PEZA/BOI registration

โœ… Fast-tracking investment approvals for foreign businesses

โœ… Personalized solutions for foreign entrepreneurs

๐Ÿ“ž Start Your Business in the Philippines with Ease! Contact Eh-Sehk Consulting Today!