Private higher education
Private higher education.
Foreign ownership
Foreign equity in this activity is capped at 40% under the Negative List. A local corporation with structured local control is the usual route to the local market.
Legal basis: FINL A.19 · Section 4, Article XIV of the Constitution
Recommended route
Local corporation, structured control
Foreign equity up to 40%, with a structured local-control arrangement
Joint venture
A Filipino partner holds the balance above the 40% ceiling
Registration path
- 1
SEC
Incorporate the entity
- 2
BIR
Tax registration and books
- 3
LGU
Barangay clearance and Mayor’s permit
- 4
Regulator
Sector license, if the activity needs one
Emerhub files each step with the government; you provide the documents and information.
Minimum paid-up capital
| Situation | USD | PHP |
|---|---|---|
| Domestic-market enterprise (>40% foreign)Paid-up capital for foreign equity above 40% serving the local market. Legal basis: FIA (RA 7042 as amended). | $200,000 | ≈ ₱11.4M |
| Reduced thresholdAt least 50 direct employees, or advanced technology. Legal basis: FIA (RA 7042 as amended). | $100,000 | ≈ ₱5.7M |
| Export enterpriseExports at least 60% of output. Legal basis: Corporation Code (RA 11232). | ≈ $88 | ₱5,000 |
Bold is the figure the law sets; the other column is an approximate conversion at ₱57 to USD 1.
Incentives
This activity may be eligible for BOI/PEZA income-tax holidays and enhanced deductions under the Strategic Investment Priority Plan (SIPP), CREATE MORE.
- May qualify for Tier I
International education services (education cities and branch campuses)
Legal basis: BOI MC No. 2024-08 - 2022 SIPP Tier I amendment (education sector)
Eligibility is activity-specific and confirmed by the BOI. Emerhub can assess your activity and file your incentive application.
Mapped to the 2022 SIPP. A 2026 SIPP is now in force, so confirm current priority status with the BOI before you rely on this.