April 21, 2014 | Valerie Wong
Before investing in the Philippines, investors—especially foreign investors—need to get a couple of things straight. The pros of investing in the Philippines, especially when it comes to western countries with a conservative or Christian background, is that the country is predominantly Christian (Roman Catholic, actually) and predominantly conservative as well as westernized to a degree. How westernized is it? English is arguably the country's second most well-known language next to Filipino (Tagalog dialect). The cons of investing in the Philippines? The common ones include foreigners not being able to own land, courts siding with locals when it comes to complaints, and the country's charter restrictions.
Why and How You Should Invest in the Philippines
You should invest in the Philippines, especially if you're from the western hemisphere of the world that's part of an English-speaking country, because there's less culture shock and cultural adaptation to go through an already (mostly) westernized nation. Sure, the 1987 Philippine Constitution limits certain investment opportunities and you might have to partner with a well-established Filipino liaison or businessman in order to facilitate your investment into the country. It's all worth it though, if only for the fact that there's less of a language barrier and a talented workforce you can tap into right in the country.
There's a reason why next to India, the Philippines is one of the more dependable countries out there when it comes to outsourcing. You can outsource and invest in Philippine companies for call center work or animation work. You can hire them as ghost writers. You could have them handle virtual office work or backend SEO work. You can depend on them in fulfilling work quota or even handling a huge amount of short-term or long-term clerical work—and that's just one of the ways you can make a Philippine investment. If you want something more financial, you can go the Philippine stocks route.
Investing Through the Philippine Stock Exchange and Other Investment Ideas
The Philippine Stock Exchange (PSE) is a viable place for investment that provides immediate returns to anyone who enters the market, even foreigners, without having to deal with paperwork and red tape. Since 1927, it has always been available for investment and financial growth, especially when it comes to accommodating foreign, non-Filipino investors. You can make your investments at either the Binondo or Makati Financial Districts via the Manila or Makati Stock Exchange. Like your local stock exchange, Philippine stock exchange comes with its own host of risks, but that's par for the course for any country's local stock market.
In one day, you can get 50% to 200% profit, with the caveat that you can lose it all on the same day, as though you're gambling in the slots of Las Vegas. This shouldn't be a surprise to any stock broker. Aside from outsourcing workloads and investing in the PSE, investors can also delve into franchising and localization of your multinational brand (many international franchises like McDonalds and Wendy's have already given their food the Filipino touch, like "McDo" and its "McSpaghetti" offering). As far as startups are concerned, your likeliest bet is an Internet-based business or a company with a savvy Filipino liaison serving as your representative.
Do you wish to have a Philippine-based business? Then let Servcorp help your pursuit with its virtual office and corporate registration services. The company is one of the most dependable service providers out there when going about startups in the Philippines.