Before you hire someone to help you expand into overseas markets: 15 questions to ask a service provider

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When you hire a service provider to expand into overseas markets, first get clear answers on four kinds of things: whose name the registration is under, where the money goes, how to stop if it does not work, and who is on the ground. Each of the 15 questions comes with the kind of answer to be wary of, and where you can check against official sources, such as the Philippine FDA's official processing times and the threshold for foreigners setting up a company.

Short answer: When you hire a service provider to expand into overseas markets, first get clear answers on four kinds of things: whose name the registration is under, where the money goes, how to stop if it does not work, and who is on the ground. If they cannot answer, do not sign yet.
Scenario: three service providers, three different pitches
This is a hypothetical scenario, not a story about a specific client.
You are responsible for evaluating your company's first overseas market, and you have proposals from three service providers. The first says “all-inclusive, you'll be on the shelf very soon”; the second says “it depends on the case” and gives no quote; the third gives a quote split into stages. All three say they have experience.
How do you compare them? The most direct way is to ask each one the same set of questions and write the answers in the same table. Below is that set of questions, in four groups, 15 in total.
Start with the free resources
The FAQ of the Trade Administration, Ministry of Economic Affairs, says that companies without export experience can use the International Marketing Consulting Center, run by TAITRA on the Trade Administration's behalf: register online and a consultant will hold an initial discussion 1. Hearing the free advice first, then the paid proposals, makes it easier to see what the other side is adding.
Group 1: registration and regulation (Questions 1–5)
| No. | Question to ask | Answers to be wary of |
|---|---|---|
| 1 | Whose name will the product registration be under? | “Under ours, you don't need to worry,” but they cannot say what the contract says |
| 2 | Will I get copies of the registration documents? Does the contract require cooperation with a transfer? | “We'll deal with that when the time comes” |
| 3 | How long does official processing take? Which steps does your timeline include? | A number of days far below the official charter, with no explanation |
| 4 | What needs to change on the label and copy? Who is responsible for changing it? | “Just translate the Taiwanese version directly” |
| 5 | In whose name will the local trademark be filed? | “Filing under our company is faster” |
Using the Philippines as an example, all five questions can be checked against official sources:
- Only a local company can hold the registration. Importers must obtain an LTO from the FDA before importing, and must also obtain a CPR for the product 3; for cosmetics, only a company registered to do business locally can file a notification 2. So the registration will always be under someone else's name; the question is what the contract says, see your product registration is under the importer's name: what if you want to switch later.
- Official processing days are published. The FDA Citizen's Charter lists 14 working days for an initial LTO for food distributors 4 and 23 working days for cosmetic notification 5, neither counting time to prepare documents or supply missing ones.
- The copy has red lines. Food supplements must not carry curative or therapeutic claims 6; see the food and cosmetics label checklist.
- Trademark rights come from registration. In the Philippines, rights in a mark are acquired through valid registration under the law; an applicant without a domicile or business establishment in the Philippines must designate in writing a Philippine resident to receive notices 7. Filing in your own name and designating a recipient is a different thing from putting the whole mark under the service provider's name.
Group 2: where the money goes (Questions 6–9)
| No. | Question to ask | Answers to be wary of |
|---|---|---|
| 6 | How many stages is the quote split into? Can I stop after each stage? | A full year signed at once, with no stopping midway |
| 7 | Which items are official fees and which are service fees? | Everything rolled into one total that cannot be broken down |
| 8 | Who buys the inventory? What happens if it does not sell? | You are asked to commit to a full container at the first step |
| 9 | Do you want exclusivity? What do I get in return? | They want exclusivity but will not discuss sales thresholds or a term |
For Question 7 you can check the official fees: a 1-year cosmetic notification in the Philippines costs Php 500 plus a 1% legal research fee 5. The official fee itself is usually not much; the service fee is the real money, and only when the two are listed separately can you compare the three providers.
For Question 6, LUFÉ's own services page says: “Each chapter is priced on its own. At the end of each chapter, you can decide to keep going, stop, or change direction.” You can ask us the same question.
For how to judge Question 9, see agent, distributor, exclusive agent: what is the difference.
Group 3: how to stop if it does not work (Questions 10–12)
| No. | Question to ask | Answers to be wary of |
|---|---|---|
| 10 | What numbers mean it is time to stop? Who decides? | “Keep going and it will take off” |
| 11 | How much notice is required to terminate? What happens to inventory and data after termination? | The contract has no termination clause |
| 12 | If the conclusion is not to go ahead, will you tell me directly? | They cannot think of a single time they advised a client to stop |
The US Department of Commerce's Philippines Country Commercial Guide says agent and distributor contracts usually specify a 30-day termination notice 8. If the other side's contract has no termination clause, or a much longer notice period, ask why. For what to close off when you pull out, see how to exit a market cleanly.
Group 4: who is on the ground (Questions 13–15)
| No. | Question to ask | Answers to be wary of |
|---|---|---|
| 13 | Who does the work locally? Your own team or a partner? | They cannot say who the local partner is or what they have done |
| 14 | Can I see a sample of a past report or a public case study? | Only verbal stories, no documents at all |
| 15 | If I want to set up a local company, what is the threshold? | “A few hundred thousand is enough to open a company” |
Question 15 has a legal threshold you can check: in the Philippines, micro and small domestic market enterprises with paid-in equity capital below US$200,000 are reserved for Philippine nationals 9. For a comparison of the thresholds of four entry modes, see the market entry modes comparison table.
When this article does not apply
- You already have an overseas buyer placing orders. Handle that order's quote and shipping terms first; see Jumping's Incoterms guide.
- You are looking for a logistics or customs company. What to ask then is freight rates, transit times and customs documents, not these 15 questions.
- You only want one-off translation or design. The scope is small; just get the deliverables clear.
Frequently asked questions
How do agents make money? The US Department of Commerce's Philippines Country Commercial Guide says there are two common types of importers in the Philippines: stocking distributors that buy and hold inventory, and agents (indenters) that act as intermediaries between foreign suppliers and buyers without holding stock; agents earn a commission, with standard commissions of 5–10% depending on the industry 8.
A service provider says they can handle everything through to listing. Can I trust that? First ask what they mean by “listing”: which channel, who decides whether it accepts the product, and what happens if it does not get listed. Whether a channel accepts a product is the channel's decision; if someone presents it as certain to happen, ask one more question.
How many providers should I compare? There is no standard answer. What matters is asking each one the same set of questions and writing the answers in the same table; hearing the free consultation from TAITRA on the Trade Administration's behalf first 1 makes it easier to see what the paid ones are adding.
One small next step
Copy these 15 questions into a table, ask each provider the same set, and leave blank any cell they cannot answer. Do not sign yet with the one with the most blanks. The same goes for LUFÉ: you are welcome to bring this table to us. Send it over on LINE and we will answer it question by question.
This article is a summary of experience and practice, not legal advice. Last verified: 2026-10-25.
Frequently asked questions
Sources and verification (9 sources) · Last verified 2026-10-25
- [1] Trade Administration FAQ: export promotion resources・Trade Administration, Ministry of Economic AffairsCompanies without export experience can use the International Marketing Consulting Center, run by TAITRA on the Trade Administration's behalf: after registering online, a consultant holds an initial discussion and offers export advice or referrals to government resources.
- [2] ASEAN Cosmetic Directive: Frequently Asked Questions on Cosmetic Product Notification・Philippine FDAQuestion 7: only a company registered to do business locally can file a notification.
- [3] FAIRS Country Report Annual: Philippines (RP2026-0009)・Foreign Agricultural Service, US Department of AgriculturePhilippine importers must obtain an LTO from the FDA before importing; importers must also obtain a CPR for the product.
- [4] FDA Citizen's Charter 2024 (1st Edition, July 18, 2024)・Philippine FDAInitial LTO application for food traders and distributors (importer, exporter, wholesaler): total processing time of 14 working days.
- [5] Citizen's Charter: Issuance of Cosmetic Product Notification・Philippine FDAOfficial processing time of 23 working days and 15 minutes; 1-year validity costs Php 500 plus a 1% legal research fee.
- [6] DOH Administrative Order No. 2014-0029 (rules on licensing of food businesses and registration of processed food)・Philippine Department of Health (via FAOLEX)Food supplements must not carry curative or therapeutic claims.
- [7] Republic Act No. 8293 (Intellectual Property Code of the Philippines)・Congress of the Philippines (full text on Lawphil)Section 122: rights in a mark are acquired through valid registration under the law; Section 125: an applicant without a domicile or business establishment in the Philippines must designate in writing a Philippine resident to receive notices.
- [8] Philippines Country Commercial Guide: Distribution and Sales Channels・International Trade Administration, US Department of CommerceTwo common types of importers: stocking distributors that buy and hold inventory, and indenters that act as intermediaries without holding stock; agents earn a commission, with standard commissions of 5–10% depending on the industry; contracts usually specify a 30-day termination notice.
- [9] Republic Act No. 11647 (amending the Foreign Investments Act)・Congress of the Philippines (full text on Lawphil)Micro and small domestic market enterprises with paid-in equity capital below US$200,000 are reserved for Philippine nationals.

Aaron Yu
LUFÉ founder · from Jumping Freight
The founder comes from Jumping Freight, backed by 43 years of international logistics experience. Freight forwarders get goods there; the story starts after arrival. This column is about what happens next.
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