A business needs a local entity in Philippines to hire locally.
Setting up an entity in Philippines involves registering with multiple agencies and can take 30 days. If you want to register a subsidiary in The Philippines, you will need to invest at least $200,000 as equity. A business requires at least four officials, two of whom must be residents of the country.
Setting up an entity in The Philippines is a 5-step process that requires you to register with SEC, provincial government, mayor’s office, Bureau of Internal Revenue, Social Security, and the health insurance corporation.
You will also need to comply with benefits, payroll, tax, and HR laws.
Philippines differentiates between employees and contractors. There are different rules for both, and incorrect classification can lead to fines.
With Globalify, you can avoid the headache of the registration process and the need for capital investment. Our employer-on-record service is an excellent option to hire remote employees and contractors in The Philippines.