The Booming Philippines Missing Link-Foreigner Investors

[Thomas]

I suspect your new car company investors are going to be in the PEZA (just guessing) which is a very different kettle of fish to a straight forward Philippines company

Any major manufacturer coming to the Philippines is going to be in a PEZA. Same way Cannon got in... Same way Dole Philippines got in... Wells Fargo... IBM... and so many others. If you look closely, there aren't that many companies that come in now without PEZA. The ones that don't are usually smaller companies that form a partnered corporation.

Yes, but

5000 small companies with 5-20 employed each are much more than

3 big companies adding a 1-5 thousand each...

In Sweden almost all new jobs come from SMALL companies, I suppose it's same elsewhere too normaly. So the Philippines has to make it easy for SMALL companies.

Do 16 steps for a SMALL company is HARD and take very MUCH TIME counted per employed,

while 16 steps for a BIG company is much EASIER, specialy if counting per employed, because they just hire a lawyer to do it... :santa_smiley:

[i am bob]

the Philippines slipped 2 spots in "Ease of Doing Business" but that was because they are putting into place ways to prevent the proverbial "paper bag" payments for corrupt officials.

How do you mean that could give minus??

By putting in place the steps for making it harder for corruption to take place, they have also made it just a little bit harder to to do business in the Philippines. Many of the complaints could actually be attributed to those who are used to paying for anything they wanted previously.

But that's "Filipin logic" ! :no:

Why have 16 steps and need to pay much to START business???

If they REDUCE the demands of start STEPS, then they would REDUCE CORRUPTION TOO, because it would make less situations where there can be corruption.... :no:

Have you looked to see what those 16 steps are? You have to do those same steps - no matter what country you are starting a business in - but they are often combined in other countries whereas in the Philippines they are done individually. By getting rid of the people looking for bribes and graft, they will reduce corruption.

[i am bob]

I suspect your new car company investors are going to be in the PEZA (just guessing) which is a very different kettle of fish to a straight forward Philippines company

Any major manufacturer coming to the Philippines is going to be in a PEZA. Same way Cannon got in... Same way Dole Philippines got in... Wells Fargo... IBM... and so many others. If you look closely, there aren't that many companies that come in now without PEZA. The ones that don't are usually smaller companies that form a partnered corporation.

Yes, but

5000 small companies with 5-20 employed each are much more than

3 big companies adding a 1-5 thousand each...

In Sweden almost all new jobs come from SMALL companies, I suppose it's same elsewhere too normaly. So the Philippines has to make it easy for SMALL companies.

Do 16 steps for a SMALL company is HARD and take very MUCH TIME counted per employed,

while 16 steps for a BIG company is much EASIER, specialy if counting per employed, because they just hire a lawyer to do it... :santa_smiley:

When you make it too easy to start a company, that is when those looking for an easy buck from the back door come into play. There has to be checks and balances in place to ensure that the company is set up truthfully, legally and properly. That is why, when you look at many of the other countries around the Philippines that have a very easy procedure to establish a business, they are all suffering through large amounts of corruption and businesses closing while owing massive debts. Sure the Philippines is known for corruption in government circles but that is something they are working on getting rid of. Taking away the steps to ensure this is not the way to fix it.

[Thomas]

Have you looked to see what those 16 steps are? You have to do those same steps - no matter what country you are starting a business in - but they are often combined in other countries whereas in the Philippines they are done individually. By getting rid of the people looking for bribes and graft, they will reduce corruption.

No I haven't checked the steps, except I know the Philippines demands BOTH the normal and LOCAL permits for all types of business!

Well. Yes, fire bribed can reduce the problem, but it's still a big problem, wasting much time needing to queue in many places. If they have splited things, then there are more queues and more can want bribes still.

In Sweden it's only this:

1. Fill in a form with company name, type, owner, adress, main business. Sometimes it can be problem with name, if it's other company registrated allready with to similar name. But the rest is simple, never any problem. Just MAIL it and pay the fee, so no need of waiting in any queue...

(2.) Nothing more for very small businesses. If expect revenue over around 5000 USD/year, then send a form to VAT registration too.

That's all for citizens. Foreigners need work permit too.

Above is for most businesses. Some as e g restaurants need extra permit of health reasons.

[Thomas]

When you make it too easy to start a company, that is when those looking for an easy buck from the back door come into play. There has to be checks and balances in place to ensure that the company is set up truthfully, legally and properly. That is why, when you look at many of the other countries around the Philippines that have a very easy procedure to establish a business, they are all suffering through large amounts of corruption and businesses closing while owing massive debts. Sure the Philippines is known for corruption in government circles but that is something they are working on getting rid of. Taking away the steps to ensure this is not the way to fix it.

Nooooooo.

1. Do you believe government people can judge if businesses are set up so they will not go bankrupcy??!! A big part of the official employed are workers the private sector don't want, because they are to BAD at such* :santa_smiley:

2. But the Philippines "suffering through large amounts of corruption and businesses closing while owing massive debts" WITH these crazy 16 steps... :santa_smiley:

*Government people are making to much problem ANYWAY. I have fights with insurance people, who e g don't understand the difference between + and - !!! Some of them count VAT as PROFIT!!!

EG politicians and byrocrats have made it even worse, messing up a lot of things e g with

bended cucumbers

and "to small" earthberries, although they taste much BETTER...

So the best is to let officials decide as LITLE as possible concerning business :santa_smiley: except some realistic cheating controll is needed, and health issues have to be checked.

[Curley]

When you make it too easy to start a company, that is when those looking for an easy buck from the back door come into play. There has to be checks and balances in place to ensure that the company is set up truthfully, legally and properly. That is why, when you look at many of the other countries around the Philippines that have a very easy procedure to establish a business, they are all suffering through large amounts of corruption and businesses closing while owing massive debts. Sure the Philippines is known for corruption in government circles but that is something they are working on getting rid of. Taking away the steps to ensure this is not the way to fix it.

Sorry but I completely disagree with you "When you make it too easy to start a company, that is when those looking for an easy buck from the back door come into play. " Making it easy to start a business is just common sense and will encourage more people to do it. The only thing that must not be done is to give new businesses the right to loans if they have no capital.