Buying a small business

[Georgebob]

Do any of you guys run a business in the Philippines or one with your wife/partner ?

Is the laws similar to Thailand??

I would love a cafe coffee shop in somewhere like Cebu or the islands 

I know it's only a dream but love to find out more 

I'm nearly 60 but I would like to be busy if I retired from my job 

Edited May 24 by Georgebob

[GeoffH]

On 5/24/2024 at 6:55 PM, Georgebob said:

Do any of you guys run a business in the Philippines or one with your wife/partner ?

There are restricitions on what visa is required to run a business in the Philippines and further restrictions upon what type of businesses can be run by a foreigner.

Ignoring the high failure rate of foreign owned/sponsored businesses for the moment (and it's very high) I would suggest before doing anything you speak to a good attourney.

We (or most accurately SWMBO) have run a business in the past but the Covid lockdown made it unprofitable so we sold the franchise.

Edited May 25 by GeoffH

[Jollygoodfellow]

On 5/24/2024 at 4:55 PM, Georgebob said:

Is the laws similar to Thailand??

I would love a cafe coffee shop in somewhere like Cebu or the islands 

I know it's only a dream but love to find out more 

Do you have a Filipina wife as most put the business in her name as foreigners are restricted in ownership. The other option is to form a company but you will only have 40 percent ownership. 

This is the negative list for ownership

https://emerhub.com/philippines/foreign-investment-negative-list-in-the-philippines/

Also then it comes down to what sort of a visa you have to allow you to work. 

 

[JJReyes]

If you plan to consult with a lawyer, ask if it is legally possible to loan the money to your wife for the small business, payable to you in installments plus interest.  If you don't appear in the books of the business as an employee, this lessens the problem of direct ownership on paper.

[Cola Cubes]

You are probably being idealistic.   I wouldn`t advise anyone to open a business here unless doing it to make serious bank.  For serious bank, do it.   For coffeeshop, don`t  (unless you are the non-business chilled type).  

[graham59]

If you're married to a Filipina, then get yourself a 13A visa. Then you'll be legally able to take part in the running of a business. Otherwise, forget it...and find a hobby.

[Lee]

On 5/24/2024 at 4:55 PM, Georgebob said:

I would love a cafe coffee shop in somewhere like Cebu or the islands

Locals often become resentful when a foreigner owned/operated/financed (even by proxy) business is perceived as taking away market share.

This resentment can manifest itself in several ways some of which aren't healthy for foreigners.

As previously suggested, you might want to find a hobby instead.

[hk blues]

5 hours ago, Lee said:

Locals often become resentful when a foreigner owned/operated/financed (even by proxy) business is perceived as taking away market share.

This resentment can manifest itself in several ways some of which aren't healthy for foreigners.

As previously suggested, you might want to find a hobby instead.

I'm not so sure it's so much directed at foreigners as much as anyone who sets up a business and makes some success of it. 

An example in our area is barbers' stores.  2 years ago 1 within walking distance - today 5.

[Freebie]

Was in busniess with my sister in law. Started well  for a few years, making good money then went wrong and I wasnt in the Philippines so had to rely on her emails as to what was happening and my then wife was conflicted on how much to tell me.

Eventually walked away from the sister in law and the then wife. signed over my partnership to her. Turns out the business is still in operation but ive no idea, nor care  if it makes money any more. I enjoyed it when I was actively participating , using and teaching business skills and marketing ..

[fillipino_wannabe]

I've had a few here but my Wife actually knows what she's doing. I wouldn't fancy having a business here if I had to do everything and it was just in my Wife's name.