TL;DR: The direct government fees to register a Philippine company are usually modest, but foreign founders should budget for paid-in capital, professional setup fees, and recurring compliance. The largest number is usually the US$200,000 domestic-market capital requirement, unless a US$100,000 reduction or export-enterprise route applies.
One of the first questions foreign founders ask is what incorporation actually costs. The honest answer has two parts: government fees, which are modest, and capital requirements, which are the real financial commitment for a foreign-owned company.
The capital requirement — the biggest number
For a foreign-owned domestic-market company (selling into the Philippine market), the minimum paid-in capital under the Foreign Investments Act is US$200,000. This is not a fee — it’s equity you own in your company — but it must be remitted and certified before your SEC registration completes.
Two reductions apply:
| Situation | Minimum Capital |
|---|---|
| Domestic market, foreign equity >40% | US$200,000 |
| Advanced technology, endorsed startup or startup enabler, OR majority-Filipino workforce (≥15 direct employees) | US$100,000 |
| Export enterprise (≥60% export revenues) | None |
For export enterprises, the minimum is waived entirely. If your business model is primarily export-facing — BPO, software, manufacturing for export — this significantly changes the capital conversation. See /business-registration/minimum-paid-in-capital-2026 for the full rules.
Government registration fees
These are the actual fees paid to Philippine agencies:
SEC (Securities and Exchange Commission)
- Name verification/reservation: ₱100–300 (via eSPARC, depending on reservation period)
- Filing fee: a flat 1/5 of 1% (0.2%) of authorised capital stock — not tiered — with a minimum of around ₱1,000
- Legal Research Fee: 1% of the filing fee (minimum ₱10), plus ₱500 for by-laws
BIR (Bureau of Internal Revenue)
- COR Documentary Stamp Tax: ₱30 (the old ₱500 annual registration fee has been removed)
- Documentary Stamp Tax on shares: 1.5 per ₱200 of par value (or closest to par)
- Books of accounts registration: nominal
LGU Business Permit
- Varies significantly by municipality and type of business. In Metro Manila, a new permit for a small office can run ₱2,000–₱15,000+. This is one of the harder costs to predict without knowing your location.
Barangay Clearance
- Typically ₱200–₱1,000
Total government fees for a standard incorporation are generally under ₱30,000 (approximately US$500). The capital requirement and professional fees are the real variables.
Professional fees
You need a Philippine resident treasurer (required by the Revised Corporation Code for the Treasurer’s Affidavit), a local registered address, and typically a lawyer or incorporation agent to prepare and notarise incorporation documents.
Professional fee ranges vary widely. Firms charge per deliverable (articles, affidavits, registrations) or as a bundled fixed fee for end-to-end incorporation.
Chamberlain charges a single transparent fixed fee covering SEC registration, BIR enrolment, LGU permit application, and registered address for the first year. See /pricing for the current schedule — no hourly billing, no surprise add-ons.
Ongoing annual compliance costs
Once incorporated, you have recurring obligations:
- SEC General Information Sheet (GIS): filed annually within 30 days of the annual stockholders meeting — modest filing fee
- Audited Financial Statements: required for SEC and BIR. A small company audit starts around ₱30,000–₱80,000 per year depending on complexity
- BIR compliance: tax filings, books of accounts, invoice/receipt authority and COR updates as needed — no ₱500 annual registration renewal fee
- LGU business permit renewal: annual, varies by location and gross revenues
- Corporate Income Tax: standard rate is 25% (or 20% for small domestic corporations with net taxable income up to ₱5 million and total assets not exceeding ₱100 million). If you qualify under CREATE MORE and register with PEZA or BOI, the rate can be as low as 5% SCIT on gross income.
What the total looks like
A foreign founder setting up a standard domestic corporation for a domestic-market business should plan for:
- Capital: US$200,000 (or US$100,000 if qualifying)
- Setup fees (professional + government): quoted on request, fixed and transparent
- Annual compliance: ₱50,000–₱150,000 depending on entity size and audit complexity
If you’re considering an export structure or incentive zone registration, the numbers shift. See /business-registration/cost-and-timeline for a current timeline and cost estimate, or book a consultation to get a number tailored to your specific structure.
Frequently asked questions
What is the minimum capital to set up a company in the Philippines as a foreigner?
US$200,000 for domestic-market companies with foreign equity above 40%. Reduced to US$100,000 for advanced technology, an enterprise endorsed as a startup or startup enabler, or a majority-Filipino workforce of at least 15 direct employees. Export enterprises (60%+ export revenues) have no minimum.
How much does SEC registration cost in the Philippines?
SEC filing fees for a standard domestic corporation are relatively modest — typically a few thousand pesos in government fees. The larger cost is professional preparation and the paid-in capital requirement itself.
Are there ongoing compliance costs after incorporation?
Yes — annual SEC General Information Sheet filing, LGU business permit renewal, BIR tax filings/books/invoice compliance, and audit/financial statement preparation are the main recurring costs. The old ₱500 BIR annual registration fee has been removed.
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