If you’re thinking of buying in a bakeshop franchise in the Philippines, then you’re in luck because there’s really no better time than now as the franchising business in the country is slowly but surely starting to take off.
A couple of years ago, the Philippines was branded as the “Franchise Hub of Asia” because of the astonishing growth of the industry. Despite the industries relatively young age of 11 years, 2,000 franchise brands – both local and international – have already been established in the country. There’s no sign of the industry slowing down as the numbers just keep on rising. Experts are even expecting for the industry to breach the ₱1 trillion revenue mark sometime within the next two years.
The incredible success of the franchising industry can really make one wonder about what it is that makes franchise stores so enticing for both foreign and local investors, and this is exactly what we’re going to get into today. If you’re interested in opening a franchise or want to know more about the appeal of the industry, then simply keep on reading!
Everyone’s probably aware of how much is needed to start a business from the ground up. In case you weren’t, you’re going to need more or less ₱5 million to open up shop and keep it running for at least six months. Naturally, all expenses are already included in this such as supplies, equipment, furniture, lease, and registration fees. It’s still possible for the cost to be lower but at the very least you’re going to need ₱1 – ₱2 million to really get your business going.
With franchising, you can start what technically is your own business with less than ₱1 million in your pockets. Everything’s also included then and you won’t have to stress about anything but how to make the business a success. Even though you’re sharing part of the income with the franchisor, you’re still going to gain enough profit to get your investment back.
Cost is one of the main reasons franchising is so popular in the country. Aside from people having only so much, very few are willing to gamble their hard-earned money by opening a business of their own.
Franchising is known to be the business with the least fears and tears because literally, anyone who has enough funds can get into it. Not only that, there’s also less risk involved in it as everything’s already been tried and tested – the business structure, strategies, and even the product itself.
Opening a franchise means you don’t have to take a wild shot in the dark and hope you hit something. You’re basically just expanding the reach of an already established brand that already has a pretty loyal customer base. There’s no need for you to go through the early business drought of catching people’s attention and differentiating yourself with competition because that’s already been done.
We have to make one thing clear though, and that’s the fact that there still are risks in buying a franchise as with any business venture; only significantly less compared to starting your own business.
When you buy a franchise, you aren’t just buying the right to distribute someone’s product and use someone’s name, you’re also purchasing the franchisor’s years of experience – their methods, strategies, techniques, and systems. These are things they’re going to share with you to make your own business as much of a success as theirs.
On top of trading business secrets, franchisors also offer support to their franchisees by giving them training seminars, programs, and lectures. This is done in order to make sure that, even though the owner of the business is different, the values and beliefs that make it run are still the same. At the end of the day, all franchises are still going to be consistent in terms of product and service quality.
In essence, anyone—even those who don’t have any business experience—can start their very own business and have a great chance of success; this is one of the many reasons why people are so attracted to franchising.
Across all business models, franchising is among those with the highest rates of success. As said previously, buying a franchise means taking advantage of an already established name and proven ideas and techniques. These things amount to lower calculated risk and significantly higher chances of success.
Franchisors do all the heavy work and all the franchisees – you – have to do is carry on what they started. Many may still find this challenging but with enough due diligence, you’re sure to achieve your goals without running into too many problems. Metaphorically speaking, there’s nothing more for you to sow, but there will be a lot of things to reap.
Opening a business is a gamble and you have to bet on the right things in order to make a profit. In this case, the right call might be opening a bakeshop franchise in the Philippines.
With this, you’d never have to worry about purchasing equipment as they’re going to be provided to you. You also won’t have to think about baking recipes and techniques that are going to make you popular among the people because the franchisor has already got that covered.
All you’re going to have to do is focus on managing the business with the same mission and vision as your franchisor and then reap the many benefits afterward. If you can do that, then you’re well on your way to becoming a successful entrepreneur!