Author Topic: Starting a business in the Philippines  (Read 2745 times)

Offline farm kid

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Starting a business in the Philippines
« on: November 19, 2015, 04:52:50 AM »
my fiancé  wants me to come to the Philippines, marry her then we start a business there. How practical is this? How hard would this be ? I have a great job here in the US. Would our future be better if she comes here to the US?

Offline conchydong

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Re: Starting a business in the Philippines
« Reply #1 on: November 19, 2015, 09:05:52 AM »
I'll throw in my $.02 and say your future would be better in the US while you are at normal working age, especially if you have a good job. Once you reach the point of retirement than you can make a educated decision depending on your lifestyle. From the little I know, starting a business in the PI will not be easy. Lots of palms to grease.
« Last Edit: November 19, 2015, 09:29:17 AM by conchydong »

Offline JoeLP

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Re: Starting a business in the Philippines
« Reply #2 on: November 19, 2015, 09:49:41 AM »
There are a lot of things that need to be considered when starting a business.  What type?  Where in the Phils?  Are the security workers(police) in the area good?

If you're looking at farm style business, grease the palms of the security to do checks throughout the night.  If it's just a sari sari(usually not big money makers unless you can last.  the longer you last and keep things stocked, the better your business will be.

If it's another store, say in a mall or something, again, need a lot of startup to last and build the name.  Also, most likely going to need to grease some other palms to get it started.

There is one way around this, and I am very lucky to be in this category, but, seeing youfound your girl, chances are it won't work for you.  Find a girl with a big family name and support in the government.  My Tina's family is very well connected in the government and security force.  So we really get away with not needed to grease any palms and really get things set for us.  There are things happening now that could only happen with a LOT of greasing of palms or connections in the gov like Tina has.  I won't go into detail now about it, but as soon as everything works out, I can go into some detail on it then.

Basically, it will be more work to start a business here, but, if you can make it last, then you could be set to make some money.
In the land of the blind, the one eyed man is king.

Offline Lee2

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Re: Starting a business in the Philippines
« Reply #3 on: November 19, 2015, 09:53:39 AM »
my fiancé  wants me to come to the Philippines, marry her then we start a business there. How practical is this? How hard would this be ? I have a great job here in the US. Would our future be better if she comes here to the US?

First of all welcome to our friendly group.
Next, to answer your question, without knowing a lot more about you and your situation, it would be hard to answer, do you have experience in the Philippines, do you have a large amount of money saved up, are you of retirement age where you will have a pension and social security and so on and so on, so first you might wish to start a topic telling us a little about you in the meet your neighbor section http://www.livinginthephilippines.com/forum/index.php?board=35.0 and then our members could try to give you a better answer.

If you have little experience in the Philippines, then I would definitely answer no to your questions. The is an old joke in the Philippines which is very true, How do you make a million pesos, you start out with 5 million. Plenty of our members and people I have met have tried and some have succeeded but most I have read of have failed or barely made a living.

So if you will not have a pension and SS, then I would tell you to bring her to the US at least until you will and then access your situation based on the current facts at that time.
:) Happily married since 1994 & live part of the year in Cebu and the rest in S. Florida.

Offline Art, just a re(tired) Fil-Am

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Re: Starting a business in the Philippines
« Reply #4 on: November 19, 2015, 10:45:32 AM »
farm kid,
First of all, welcome to the group. OK, she wants you to come to the Philippines, marry her and then start a business? Looks like she is already pulling your strings and deciding what you should you do, which that in itself throws up a red flag already!
It's best that you tell us more about yourself so we can address and give you good sound advice of your concerns and or future endeavors. 
"Life is what we all make it to be"!
"It's always a matter of money"!
"Do on to others as they would do on to You, but do it first"!
"Different strokes for different folks"!
"Que Sera Sera"!

Offline iamjames

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Re: Starting a business in the Philippines
« Reply #5 on: November 19, 2015, 01:36:17 PM »
my fiancé  wants me to come to the Philippines, marry her then we start a business there. How practical is this? How hard would this be ? I have a great job here in the US. Would our future be better if she comes here to the US?

Sounds like a dream but with far more potential to be a nightmare. I second Lee one hundred percent. Unless you have experience of the Philippines you are probably on the road to disaster. Stay where you are for now and bring her over there is the best advice. 

Offline M.C.A.

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Re: Starting a business in the Philippines
« Reply #6 on: November 19, 2015, 05:00:50 PM »
Business here won't be the same, what sounds great in the US probably won't work here, this is a 3rd world country, people have no money what so ever.   If there's no pension there's no way it's gonna work and with a pension it probably won't work anyway, you need big money and some very honest people working for you, that's another huge concern, so if no pension it's best you keep working stateside, you won't be able to work here either, you'll get deported if caught and then blacklisted.
My views would be from someone who lives out in the province close to in-laws on a pension.  Norwegian and French heritage.

Offline Art, just a re(tired) Fil-Am

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Re: Starting a business in the Philippines
« Reply #7 on: November 19, 2015, 07:25:23 PM »
Do not start a business here unless after watching this common
sense presentation as to not live and or retire in the Philippines!
<a href="http://www.youtube.com/watch?v=Ws-tLiQSMjE" target="_blank">http://www.youtube.com/watch?v=Ws-tLiQSMjE</a>
« Last Edit: November 19, 2015, 07:31:59 PM by Art, just a re(tired) Fil-Am »
"Life is what we all make it to be"!
"It's always a matter of money"!
"Do on to others as they would do on to You, but do it first"!
"Different strokes for different folks"!
"Que Sera Sera"!

Offline piozam13

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Re: Starting a business in the Philippines
« Reply #8 on: November 19, 2015, 09:19:19 PM »
my fiancé  wants me to come to the Philippines, marry her then we start a business there. How practical is this? How hard would this be ? I have a great job here in the US. Would our future be better if she comes here to the US?
  YES

Offline Lee2

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Re: Starting a business in the Philippines
« Reply #9 on: November 19, 2015, 09:34:39 PM »
Work visa can be gotten once married and the wife applies for a 13a visa for you (and you have all the certified papers needed from the US for that 13a) and once you get it, or possibly before if you find the ins and outs of getting a work visa and work permit.

I have been told that all businesses must be 60% owned by Filipinos, that means even if married, you give up control of your money, and more important you say as to how the business would be run, of course some will say there are shady ways of doing it but in a country where we have few rights, would we really wish to do anything that is not totally on the up and up.  Even home ownership in the Philippines means your wife would own the home, again giving up your money should something happen between you two. One of the biggest mistakes people make is investing in a business or a home before fully knowing their wife and her family and that can often take years.

The Philippines is nothing like the US, and even with some of the English spoken, often having different meanings than what we are used to. I have seen Americans in the Philippines who make the mistake of thinking that high school and sometimes even college educated Filipino understands every word we say, just because the Filipino they are talking to agree with them/us and says yes to us. I have also personally found that even with some educated Filipinos who do not get a lot of exposure to English speakers, that some may yes me and agree with me and then when my wife talks to them in their own language, it turns out they did not fully understand what I had been discussing with them, yet they still agreed with me. Some college educated Filipinos who have a lot of contact with English speakers may still not understand slangs we sometimes commonly use during our course of conversation, with us not even realizing that we are doing it. So why do I mention all that, because in order to do business in the Philippines we would have to deal with many locals who may not fully understand what we were discussing with them, thus the outcome of our discussion may result in things not being done as we had wanted them done and depending on our wife to translate for us sometimes does not work out either.  :(

I am not in anyway trying to disparage Filipinos in the Philippines with my comments, as I wrote before, the Philippines is really nothing like the US and English is not the first language, but their habit of not wishing anyone to know that they do not understand something, can at times can be a real problem, just in daily life, no less business.  So unless a person has lived in the Philippines for years and been married for years, and thus understands the way things are done, I would recommend they never start a business.

My comments are from my personal experiences and since I have not been all over the Philippines, Your Mileage May Vary.
:) Happily married since 1994 & live part of the year in Cebu and the rest in S. Florida.

Offline Hestecrefter

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Re: Starting a business in the Philippines
« Reply #10 on: November 20, 2015, 02:20:05 AM »
my fiancé  wants me to come to the Philippines, marry her then we start a business there. How practical is this? How hard would this be ? I have a great job here in the US. Would our future be better if she comes here to the US?
Welcome to the forum, farm kid.

Some sensible advice has already been offered.  However, without wishing to appear uncharitable, especially to a newbie, it is difficult to take your post too seriously.  It is so utterly devoid of detail as to render it impossible to address in any meaningful fashion.

You tell us nothing of how long you have known your gf, if you have visited the Phils, how many times, for how long, how much of it you have seen, how well you know your gf's family and home location, etc.  You have said nothing of your age or hers.  You have said nothing about the type of business being suggested or its potential location.  Is your gf or her family experienced in this type of business?  Wile she/they be making any financial contribution?  You say you have a "great job" in the U.S.  What kind of job?  Has it endowed you with skills and experience that will be of value in the proposed business?

How practical is this? How hard would this be ?

What the sparse information provided, no one can venture a guess apart from offering the general observation that starting a business in the Phils can be fraught with peril and difficulty.


Would our future be better if she comes here to the US?

Perhaps we have some fortune tellers here who can provide some insight.  My crystal ball is out for scheduled maintenance at present.

It is often the case that foreigners come to the RP with grandiose ideas of starting a business.  Yet these are people who have never operated a business in their home countries.  If one does not have business startup and operation experience at home, why would one think one could do so successfully in a foreign land?

On the sketchy information you have provided, I am left with the impression that your gf has no successful business experience, but has a dream that an injection of foreign capital will open the door to success.  I might see it differently if you said she has long been operating a profitable business, but capital is needed for expansion, new plant and equipment, to reach new markets etc.  But it sounds like she wants to have a go at something untried on your dime.  I am not going to tell you not to do it, but in that case, do not put up one peso more than you are prepared to lose. 

Related to the notion of regarding any investment entirely as risk capital, let me say that if you are contemplating pulling up stakes and moving to the RP to start a business, only do so if its ultimate failure is something you can take in stride.  I say it's too much of a gamble if you need it to work out in order to support yourself.  It's of much less concern if you still have a significant income from the U.S. and/or a strong asset base back home.  It is always wise to have an exit plan.  You can take some chances if you are established in such a way that you can always take your lumps and go back home and pick up more or less where you left off.  I personally have seen a few move to the Phils, putting all of their eggs in one basket, and later (and I kid you not) be left in the humiliating position of having to call on friends to borrow airfare back to the U.S.  A couple of these folks ended up back in the U.S. with their assets depleted and never again able to recover the income earning capacity they had when they left.  So, if you are leaving a "great job", be sure that it - or its equivalent - will still be there if you need it 5 years hence.

Offline FMSINC

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Re: Starting a business in the Philippines
« Reply #11 on: November 20, 2015, 10:12:30 AM »
Farm Kid ,

I'll add my 2 centavos worth of info into this conversation

First off you can make a decent living here having a business but it takes a lot of work and effort as it does any where else in the world.

There are 3 expats making very good income in my area

One has a 100 hectare fish pond and chicken growing operation, the other has 4 taxis and also grows Sugar Cane and Rice

I myself have a rice milling operation and have been providing my sole income for the last 14 years

There are opportunities here that do no exist in many other countries buy you need to understand the nature of the culture and be hands on running the business

Do not give up on living here and starting a business just do your home work first

Tom

I'

Offline jjcabgou

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Re: Starting a business in the Philippines
« Reply #12 on: November 20, 2015, 05:01:54 PM »
my fiancé  wants me to come to the Philippines, marry her then we start a business there. How practical is this? How hard would this be ? I have a great job here in the US. Would our future be better if she comes here to the US?
Welcome to the forum, farm kid.

Some sensible advice has already been offered.  However, without wishing to appear uncharitable, especially to a newbie, it is difficult to take your post too seriously.  It is so utterly devoid of detail as to render it impossible to address in any meaningful fashion.

You tell us nothing of how long you have known your gf, if you have visited the Phils, how many times, for how long, how much of it you have seen, how well you know your gf's family and home location, etc.  You have said nothing of your age or hers.  You have said nothing about the type of business being suggested or its potential location.  Is your gf or her family experienced in this type of business?  Wile she/they be making any financial contribution?  You say you have a "great job" in the U.S.  What kind of job?  Has it endowed you with skills and experience that will be of value in the proposed business?

How practical is this? How hard would this be ?

What the sparse information provided, no one can venture a guess apart from offering the general observation that starting a business in the Phils can be fraught with peril and difficulty.


Would our future be better if she comes here to the US?

Perhaps we have some fortune tellers here who can provide some insight.  My crystal ball is out for scheduled maintenance at present.

It is often the case that foreigners come to the RP with grandiose ideas of starting a business.  Yet these are people who have never operated a business in their home countries.  If one does not have business startup and operation experience at home, why would one think one could do so successfully in a foreign land?

On the sketchy information you have provided, I am left with the impression that your gf has no successful business experience, but has a dream that an injection of foreign capital will open the door to success.  I might see it differently if you said she has long been operating a profitable business, but capital is needed for expansion, new plant and equipment, to reach new markets etc.  But it sounds like she wants to have a go at something untried on your dime.  I am not going to tell you not to do it, but in that case, do not put up one peso more than you are prepared to lose. 

Related to the notion of regarding any investment entirely as risk capital, let me say that if you are contemplating pulling up stakes and moving to the RP to start a business, only do so if its ultimate failure is something you can take in stride.  I say it's too much of a gamble if you need it to work out in order to support yourself.  It's of much less concern if you still have a significant income from the U.S. and/or a strong asset base back home.  It is always wise to have an exit plan.  You can take some chances if you are established in such a way that you can always take your lumps and go back home and pick up more or less where you left off.  I personally have seen a few move to the Phils, putting all of their eggs in one basket, and later (and I kid you not) be left in the humiliating position of having to call on friends to borrow airfare back to the U.S.  A couple of these folks ended up back in the U.S. with their assets depleted and never again able to recover the income earning capacity they had when they left.  So, if you are leaving a "great job", be sure that it - or its equivalent - will still be there if you need it 5 years hence.
What he said

 


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