Setting Up a Company in the Philippines: A Guide for Korean Founders

The Philippines has one of Asia’s largest Korean communities, with strong founder activity around Manila, BGC, Angeles/Clark, Cebu, tourism, education, food, trading, e-commerce, and services. Korean founders often already know the market socially before they formalise the company. The risk is assuming that familiarity replaces the legal setup.

This guide covers the structure: ownership, capital, tax, visas, banking, and Korea-specific practical issues.

Ownership and capital

Korean nationals can own up to 100% of a Philippine company in many sectors if the activity is not restricted under the 13th FINL. The capital test is separate.

If the company is majority foreign-owned and sells mainly into the Philippine domestic market, the usual paid-in capital threshold is US$200,000. It may reduce to US$100,000 if a qualifying advanced-technology, startup, or Filipino-employment route applies. Export enterprises can often avoid the FIA US$200,000 threshold.

For Korean restaurants, academies, trading companies, e-commerce businesses, travel-related businesses, and service companies, the exact business activity should be screened carefully. Some models are straightforward; others cross into retail, education, recruitment, tourism, or other regulated categories.

Common structures for Korean founders

For most Korean founder-led operating businesses, a domestic corporation is the normal starting point. If there is a Korean parent company, branch-vs-subsidiary tax and liability should be compared before filing.

Korea-Philippines tax and remittance angle

The Philippines-Korea tax treaty can reduce some withholding taxes on dividends, interest, royalties, and branch profit remittances. This is important when profits move back to a Korean shareholder or parent company. Treaty relief requires documentation and a real beneficial-owner analysis; it is not automatic just because the shareholder is Korean.

Visas for Korean founders

If a Korean founder will work locally for the company, the standard route is usually a 9(g) work visa with an Alien Employment Permit. If the founder’s main role is investment, compare the SIRV. If family members are relocating, plan dependants, school timing, housing, and ACR I-Card timing together rather than after the company is already registered.

Practical issues Korean founders should plan

• Capital remittance and corporate bank KYC
• Translation, notarisation, and authentication of Korean documents where needed
• Registered office and LGU permit timing
• BIR invoices, books of accounts, and monthly filings
• Payroll setup for Korean and Filipino staff
• Data privacy if the company handles customer, student, guest, or employee records
• Sector licensing if the business touches education, recruitment, tourism, food, retail, or finance

한국어 지원

Chamberlain supports Korean founders directly, including coordination over KakaoTalk where appropriate. We can walk you through incorporation, visas, tax registration, payroll, and compliance in plain language before you commit capital.

필리핀 법인설립, 비자, 세무, 급여 및 컴플라이언스 절차를 고정 가격으로 처음부터 끝까지 지원합니다.

How Chamberlain helps

Chamberlain checks the FINL, confirms the capital path, registers the company, coordinates BIR/LGU/employer setup, maps the visa route, and keeps the company compliant after launch. Book a free consultation to confirm the right Korean-founder structure.