Shortcuts for Americans

• Can I get some information on Davao City?
• How can I get a Philippine visa in my U.S. passport?
• How can I get in touch with the local government?
• Whom do I contact if I need help?
• How can I find a business partner?
• What security precautions should I take?
• How can I get a new passport?
• How can I vote in the US?
• How can I file U.S. taxes?

How can I find a business partner?

US Foreign Commercial Service (FCS)

The Commercial Service in the Philippines helps U.S. companies enter the dynamic Philippine marketplace by finding good trade partners, providing background checks, staging USA pavilions at selected trade events, and by obtaining valuable market intelligence. We also work closely with Filipino companies interested in doing business with U.S. firms by helping them find U.S. products and services, and to explore new business opportunities through official trade delegations, agency or distributorship agreements, joint venture and strategic alliance partnerships, franchising, or direct purchases.

David W. Fulton, Commercial Counselor
25/F, Ayala Life-FGU Center
#6811 Ayala Avenue
Makati City
Tel: (632) 888-4088
Fax:(632) 888-6606

Visit the U.S. Foreign Commercial Service Manila home page
http://www.buyusa.ph/

Services for U.S. Exporters
FCS helps U.S. products/services enter the dynamic Philippine marketplace by finding good trade partners, providing background checks, and by obtaining valuable market intelligence. For a detailed description of our services, click on the links below.

Note: These services are also available to agents and distributors based in other Asian markets as long as they represent U.S. products and have distribution rights for the Philippines.

Find a Local Agent, Distributor or Representative
FCS services can help you find the right agent, distributor, or representative in the Philippines.

Conference Room Facilities
Low-cost conference facilities and marketing support for American firms and their Philippine representatives.

Background Checks in the Philippines
Enter into business relationships with confidence with the International Company Profile.

Get Market Research on the Philippines
Market intelligence through broad industry reports or customized research more..

Foreign Agricultural Services (FAS)

The Foreign Agricultural Service (FAS) office in the Philippines promotes U.S. agricultural trade and assists Philippine buyers to source American food products. FAS organizes promotional activities for the supermarket, hotel and restaurant industries, offers trade servicing, prepares commodity reports, and provides technical information on USDA standards.

David C. Miller, Agricultural Counselor
25/F Ayala Life/FGU Center
6811 Ayala Avenue
Makati City
Tel: (63-2) 887-1137
Fax: (63-2) 887-1268

Visit the Foreign Agricultural Services Home Page
Internet Site - http://www.fas.usda.gov/

DOING BUSINESS IN THE PHILIPPINES
The Philippine business environment is highly personalized. A proper introduction by a trusted intermediary is the best way to enter this market. The U.S. Commercial Service performs this function for American manufacturers (and their representatives) through our business matchmaking programs, which are described here.

Business Culture
Business matters are always best dealt with on a face-to-face basis in a warm and pleasant atmosphere. While many Western businesspersons thinks that time is gold and want to get to the point immediately, the Filipino likes to be indirect, talk about mutual friends and family, exchange pleasantries, and share a joke or two. Only after establishing a cordial atmosphere will people negotiate. No matter what the final result, the discussions should always end cheerfully. Americans adapting to this cultural practice will have an advantage. To a Filipino, cultivating a friend, establishing a valuable contact and developing personal rapport are what make business wheels turn. The Filipino way of doing business is a confluence of the East and West.

In setting up appointments, especially in government offices, it is most advantageous if a “go-between” or someone with previous connections to that office can make some form of introduction on behalf of the requesting party. Mid-morning or afternoon meetings are preferred, and a follow up call to confirm the meeting a day before is recommended. Allow for at least fifteen minutes leeway before your Filipino contact arrives for an appointment. For VIPs, waiting time could be longer.

After the requisite small talk following the introductions, a typical business meeting would focus mainly on the agenda at hand. Specific conclusions would not necessarily be achieved during the initial meeting, but Filipinos would usually be amenable to follow up discussions or negotiations. A formal agreement or contract may take a longer time to be finalized compared with what Westerners are used to.

Moreover, as in most Asian cultures, Filipinos would rather avoid “loss of face” or public humiliation. Therefore, Filipino contacts prefer an atmosphere of calm and restraint, avoid direct confrontation, and would typically offer a polite reply coupled with a smile rather than an outright negative feedback to the other party’s ideas. A “yes” may mean a lot of things therefore one should be aware of the subtleties of a particular conversation.

Philippine business has its own etiquette. For example, as a show of respect, Filipinos usually address people by their titles (e.g., Architect Cruz, Attorney Jose, Dr. Romero) although the professional might request a more informal approach (e.g., addressing them by their nicknames) after the formal introduction. In dealing with high-ranking government and military officials, it is best to address them by their formal titles (e.g., Secretary Flores, General Alfonso, Director Santos, Admiral Lopez, etc.)

Handing out business cards (preferably bearing your position or title) is standard procedure, although the manner in which the cards are exchanged tend to be rather informal as compared with other cultures. If a Filipino contact gives you a personal number (e.g., home or mobile) aside from what is indicated on the business card, it is usually an invitation to call, and is a good sign for establishing cordial relations.

The U.S. businessperson should avoid, as much as possible, personally grappling with the bureaucracy. Customs, for instance, requires many signatures to clear air cargo. The Filipino approach to the problem is to use staff capable of moving through the bureaucracy. Whether getting a driver's license or registering a car, the U.S. business executive will benefit by delegating the chore to a someone able to negotiate through a sea of desks, with a smile and a knack for delivering token gifts or keepsakes.

Observing office etiquette is also important. When reprimanding employees, take them aside and do it privately. Be as gentle as possible and always make it a point to end the meeting with some show of personal concern for his family to make him feel he is still part of the team and that the criticism is not personal. Again, this is consistent with avoiding “loss of face”.

English is the official business language, so Americans may not find a difficult time to strike up a conversation. Most correspondences, contracts, and other documents are written in English. Among Filipinos, however, it is common to hear “Taglish” (a combination of Tagalog, a regional dialect from which the Filipino language is largely based, and English, or shifting back and forth between the two languages) during informal conversations. Body language and hand gestures (e.g., a raised eyebrow, a faint smile, a scratch in the head) are also integral to how Filipinos express themselves. Texting, or sending short messages through mobile phones, has now become a choice medium.

Business lunches and dinners are usually arranged personally over the phone and confirmed by the secretary. The person who invites customarily pays. A guest does not order the most expensive items on the menu, unless the host insists otherwise. It is also customary to have a drink before sitting at a dining table. A pleasant atmosphere and a minimum of formality is the tone. Business is not usually discussed until after establishing a convivial ambience, usually after soup or appetizer. Dress is according to venue.

Filipinos tend to be relaxed in replying to RSVPs. Telephone follow-ups are best, about three days before. Party hosts usually have staff track down guests for a confirmation reply. In a formal occasion, seating is arranged. There is usually a head table for the VIPs. A guest speaker is often the highlight of the dinner. Light entertainment is not unusual. In most instances, important guests accept requests to sing. Americans with vocal talents can score in the Philippines.

Christmas is also a time to show appreciation to people with whom you have regular dealings with, e.g., the security guard, doorman, messenger, as well as good customers and clients, through token gifts. Gifts could range from baskets of goodies to company giveaways to plain calendars or office items with your company logo.

Office hours for business firms and the Philippine Government normally are from 8:00 a.m. to 5:00 p.m., with a one-hour lunch break. Most banks are open from 9:00 a.m. to 3:00 p.m. It is best to attempt to accomplish business objectives in midmorning or late afternoon. Many business deals are completed informally during meals, entertainment, or over a round of golf. Offices are generally closed on Saturdays and Sundays.

Summer-weight clothing normally worn in temperate zones is suitable for the Philippines. It is acceptable for businessmen to conduct calls in short or long-sleeved shirt and ties without a coat. Either a two-piece suit or the native "barong tagalog" (a lightweight, long-sleeved shirt worn without a tie) are acceptable, ordinary business attire. Light suits and dresses are appropriate for women.

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How can I get a Philippine visa in my U.S. passport?

U.S. citizens may enter the Philippines without a visa upon presentation of their U.S. passport (which must be valid for at least six months after entry) and a return ticket to the United States or an onward ticket to another country. Upon arrival, Philippine immigration authorities will annotate the U.S. passport with an entry visa valid for 21 days. For stays longer than 21 days, Americans should apply for an extension at the Philippine Bureau of Immigration and Deportation; Davao Immigration Field Office BID Bldg., J.P. Laurel Ave. Bajada, Davao City 8000 (http://www.immigration.gov.ph).

Persons who overstay their visas are subject to fines and detention by Philippine immigration authorities. American citizens are urged to remain aware of their visa status while in the Philippines and to follow immigration laws and regulations strictly. There are special requirements for the entry of unaccompanied minors.

A Passenger Service Charge, currently 550 Pesos (approximate USD equivalent $10.00), must be paid in Philippine Pesos when departing the country from international airports. For further information on entry/exit requirements, please contact the Embassy of the Philippines at: 1600 Massachusetts Avenue, N.W.; Washington, D.C. 20036 (telephone: (202) 467-9300), or via the Internet at http://www.philippineembassy-usa.org.

In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for the child’s travel from the parent(s) or legal guardian if not present. Having such documentation on hand, even if not required, may facilitate entry/departure.

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How can I vote in the US?

U.S. citizens can vote by absentee ballot in federal elections held in the state in which they are registered or in which they were last registered to vote. Citizens who were never registered, can register and vote in the last state in which they resided. If a citizen has never resided in the United States, they can register and vote in the last state their parents resided in before their birth.

Citizens may apply for an absentee ballot by submitting a Federal Post Card Application (FPCA) to their city, town, county, or parish clerk in the US. The FPCA is accepted by all states and territories as both an application for registration form and as an application for an absentee ballot.

Citizens may request a Federal Post Card Application sent to them in Davao by calling the American Citizen Services branch, Monday through Friday, 7:30a.m. - 4:30 p.m. at (02) 528-6300 ext. 2218 or by sending a request to AcsInfoDavao@state.gov. ACS can also provide information on voting regulations and the address of voting registrars for each state.

There are no provisions for voting or registration at U.S. Embassies.
However, Embassy consular officials will assist U.S. citizens by witnessing and notarizing FPCA forms (if required by the state). The Embassy can also serve as a mailing point where FPCA forms and other election materials may be mailed back to a local voting jurisdiction in the U.S.

The U.S. Embassy takes voter assistance very seriously. We welcome volunteers and events to help promote voter registration and voter participation.

Detailed information on absentee voting is available from the Federal Voting Assistance Program.

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How can I file U.S. taxes?

There is no Internal Revenue Service (IRS) office at the Embassy, although an IRS representative normally visits the Embassy during the tax season to assist taxpayers. Davao residents can request certain tax forms and information by calling the American Citizen Services branch, Monday through Friday, 7:30a.m. - 4:30 p.m. at (02) 528-6300 ext. 2218 or by sending a request to AcsInfoDavao@state.gov.

For more detailed information or assistance, please consult the IRS Web Site at www.irs.gov or call the IRS helpline from 6:00 a.m. to 2:00 a.m. Eastern Standard Time at +1 (215) 516-2000.

Application for IRS Individual Taxpayer
Identification Number (ITIN)

Use newly revised (04/15/03) IRS form W-7 to apply for an ITIN. An ITIN is a nine-digit number issued by the IRS to individuals who are required to have a U.S. taxpayer identification number but who do not have, and are not eligible to obtain, a Social Security number.

It is the taxpayer’s obligation to send the completed W-7 to the IRS together with the original or certified/notarized copies of documents substantiating the information provided on the form.

Further Instructions are contained on the W-7 form:

• Download form W-7
• Edit online and print form W-7
• Request the form by phone: Forms & Publications Order Line (800) 829-3676

Completed W-7 forms should be mailed to:

INTERNAL REVENUE SERVICE
PHILIDELPHIA SERVICE CENTER
ITIN UNIT
PO BOX 447
BENSALEM, PA 19020

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