Q: Do I need a permit to offer Airbnb management service to owners?

Hello po

I am Nick from Greece

I have an LLC registered in the US which manages properties by offering short term rental management ( I don't sublease but I just offer a service of customer service)

Is that legal to do also in the Philippines by using the US LLC? Basically offer to the owner just management service but everything will be under the owner's name

Does this need any kind of permit by my side? Or by the owners?

Thank you in advance

Nick

1 Lawyer Answer
James L. Arrasmith
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Answered

A: Hello Nick,

Operating a business in the Philippines, including offering Airbnb management services, requires compliance with local regulations and possibly obtaining specific permits or licenses. Even if your LLC is registered in the US, conducting business activities in the Philippines means you need to adhere to Philippine business laws and regulations. This includes registering with the appropriate government agencies, such as the Department of Trade and Industry (DTI) for sole proprietorships or the Securities and Exchange Commission (SEC) for corporations and partnerships, and obtaining a local business permit from the city or municipality where your service will be offered.

For offering property management services, particularly in the tourism and hospitality sector, additional permits or accreditation from the Department of Tourism (DOT) might be necessary, depending on the nature and scope of your services. It's also important to check local zoning laws and homeowners' association rules, if applicable, to ensure that the properties you manage are allowed to operate as short-term rentals.

Lastly, it's advisable to consult with a legal professional or a business consultant in the Philippines to ensure full compliance with all regulatory requirements. They can provide guidance on the specific permits and licenses your operation would require, both for your LLC and the property owners you'll be serving. Ensuring that all legal and regulatory bases are covered will help protect your business and the property owners from potential legal issues.

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