One of the most high demand business ventures in the country today is that of Business Process Outsourcing or BPO. It commonly referred to as a call center, but in general it pertains to a third party service provider that links companies and their clients together, most of which are based abroad.

Hence, setting up a BPO company is a good way not only to provide jobs to Filipinos, but also to earn profit as an entrepreneur. Sure, it can be overwhelming to establish one up, considering that there are many BPO giants that are already dominating the scene, but it actually boils down to providing service that matters. Once you’ve accomplished the things needed to start this kind of business, then you’re all set to operate.

So how would you start a BPO company? Here are the essential requirements you should take care of:

1. Legal documentation

There are a number of government agencies in which you have to go to when setting up a BPO, and these include:
• Securities and Exchange Commission
• Bureau of Internal Revenue
• Local permits-you also have to comply with LGU permits in order to operate your BPO just like any other business. These permits can be secured at the LGU office in your city or municipality.

2. Infrastructure and technical requirements

There are two essential physical items that have to be present when starting a BPO company and that would be location and equipment. When it comes to location, you have to options:
• To rent an office space, provided that you will register it as a commercial entity in business permits;
• Or to build your own office at a specific lot that’s subject to real estate taxes

Aside from an office space, you need equipment. Equipment takes in the form of computers, secure internet and telephone connection, office furniture, lighting and ventilation. This way, your employees would be able to conduct their tasks once the BPO is already operational.

And yes, you also have to take care of utilities, such as electricity and water for your office space.

3. Human Resources

Manpower is more than just a need in the BPO industry; it’s the company’s strength. It is thus important for you to hire individuals who can fill in the positions needed for your company.

When starting a BPO, you will need people for two basic departments:

• Admin and managerial positions-managers, an accountant and a systems administrator
• Frontline responders-agents or service providers
These employees are subject to receive:
• Salary
• Benefits (SSS, Philhealth, Pag-ibig)
• Leaves (once they’ve completed a certain amount of attendance in the company)

4. Training

Training is where your frontline responders become skilled in the specific tasks needed in the BPO. You can start training your agents on your own, which is easy as you are sharing firsthand experience which they will use on the job. These agents may soon serve as trainers to newbie agents as your company grows.

You can also send your agents for professional training and workshops conducted by mentors who are also into the kind of industry your BPO is focused at.

5. Client leadership

Client leadership is where you welcome clients to your BPO company by selling your services. As the owner of the BPO, you will have to take charge of entertaining clients and closing deals with them for the company to nurture; at the same time, you may have to rely on a strong marketing team to find and harvest clients and referrals for potential partnerships.

6. Company Stability Plan

Lastly, you need a company stability plan to ensure that your BPO can stand for the long haul. It is somewhat like a feasibility plan, but it caters more on the operational aspect of the company. This plan will serve as a guide for you to run the BPO-from keeping up with its service standards, maintaining current and entertaining new clients, and making sure that all business operations are scalable and not prone to collapse when bigger projects are brought in.

While it sure is a lucrative business, the returns of investment in a BPO project do not come in an instant. Profits start to arrive within 2 to 3 years of operation, as by then you can already see the strengths, weaknesses and trials surpassed by the company you’ve built.

Maridel Cadion About Maridel Cadion
Maridel Villar Cadion is a businesswoman by experience and is currently majoring in Business Entpreneurship.

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  • Marian

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    If you are planning to Start a BPO/ Call Centre of 100-150 Seats or planning to Expand the existing capacity,

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  • Vince Espiritu

    For those who are looking to start their BPO business in the Philippines, please email me so that we can explore if there’s a fit. We provide services from Market analysis, vendor selection, recruitment process management, training, comp and ben design etc. that’s all customized based on our client’s specific needs and investment allocation. My email is


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