Planning to put up a business in the Philippines?
The registration process takes approximately 36 business days from start to finish – that’s almost 2 months.
Too long? Definitely so, considering that it only takes 3 days to do the same in Singapore.
I’ve done a bit of research and created this infographic below comparing how long it takes to put up a business in other countries, specifically among the six biggest economies of South East Asia.
The first part shows the number of days it will take to overcome the bureaucratic and legal hurdles when incorporating a business with up to 50 employees and start-up capital of 10 times the economy’s per-capita gross national income (GNI).
The second part then shows the cost of registering a business expressed as a ratio of the country’s GNI per-capita to normalize the figures.
The Philippines is currently at 18.1%, which means the cost of registering a business in the country is estimated to be 18.1% of the average annual income of one person in the country.
According to Wikipedia, the GNI per capita of the Philippines is currently USD 4,400 – this indicates that you’ll spend around PHP 35,000 in fees to incorporate a business in the country (USD 1 = PHP 44).
It seems that Singapore is the best place to start a business among the ASEAN Six with respect to speed and cost, while Indonesia is the worst country to do so at present.
I wonder how the numbers will change in the next few years. I do hope the country improves its figures so that more Filipinos will be encouraged to become entrepreneurs.
You might like: A Step By Step Guide To Starting A Business
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