Philippine Franchise Association (PFA), cites franchising as the fastest method for business expansion. He must know where he is and where he wants to see himself in the future, and how he will go about it. The Philippines is considered the franchising hub of Asia, where franchising has experienced phenomenal growth in the past decades. Of the entire franchising sector, food brands make up 41 percent, service establishments 32 percent, and retail outlets 27 percent. In the Philippines, where over 45 percent of retail sales in shopping centers are from franchised enterprises, franchising contributes $6 billion or five percent of the Philippine GDP and provides employment for one million Filipinos. There is already a system in place, and all a franchisee must do is to follow that system - no more hit and miss. The franchisor can do this on his own if he is qualified enough, or consult with franchise experts at the Philippine Franchise Association. Franchising, a proven business model with a 90 percent success rate, makes use of other peoples money, time and organization, allowing for rapid expansion.
We have posted this topic before but we want to add something up about the advantages of Philippine Franchise and also give some seminar and conference schedules that you can attend if you want to get into franchising in the Philippines. Comparing franchising to a marriage, Limjoco emphasizes the importance of screening potential franchisees thoroughly: "Franchising must be done with the right partner; it should stay in business for the longest time. Simply speaking, franchising works because it duplicates an already successful business," states Limjoco. From only about 50 brands in the 1980s, there are now 1,000 brands franchised in the Philippines (68 percent of them homegrown concepts), in five principal franchise sectors: fastfood; retail clothing; cafes, confectioneries and bakeshops; hospitality and wellness; and food carts. To set up a franchise, the potential franchisor must undergo a franchise development process that will define the franchise structure. Alegria "Bing" Sibal-Limjoco, CFE (uFranchise Sales and Mgt. All business endeavors must also be registered at the Department of Trade and Industry (DTI) for single proprietorship and at the Securities and Exchange Commission (SEC) for corporations.
Your product or service must stand out; there must be something unique about the idea you are franchising and you must look for your niche," notes Limjoco. For those considering franchising, it is recommended that the business must have been running for at least a year already, to be able to have a benchmark for future franchises. The franchisor must have a solid business plan," Limjoco adds. While there is no mandatory registration exclusive for franchising, it is important to get a trademark for your idea at the Intellectual Property Office to claim ownership of your brand," advises Limjoco. And of course, the concept must be profitable - that is the bottomline of business. The potential franchisor can then lay down the franchise agreement, develop the franchise operations manual, and then begin franchise marketing and sales, either through a franchise broker or their own department. With the prime mover advantage, a franchise brand can penetrate and saturate the market faster, easily attaining market leader status.
franchise philippines
The Philippines is among the fastest growing economies within Southeast Asia. For this reason, business is gradually starting to increase and much more investment is coming into the nation. If youre thinking about starting a company, you must undergo several procedures. Bear in mind that like other countries, you cannot just set up shop and hang up an open sign. Philippine business registration could be a laborous task. If youre not familiar with the process, working with a consultancy firm will probably be your best option.
With the help of consultants, Philippine business registration may be a breeze.In most situations, the whole process will take somewhere between two or three weeks. With larger ventures, expect another couple of days to address any complexities that may come about. Working with a well-informed consultancy firm will reduce possibility of you encountering any major troubles. Here are a few of the steps youll need to take.
The 1st step to setting up in the country is the registration of your company name. The government agency you deal with will depend on the kind and scale of your venture. Single proprietorships must register with the Department of Trade and Industry (DTI). Foreign-owned firms must also present a minimum capitalization requirement coming from a local bank. If the department deems it necessary, you might even need to register with the Securities and Exchange Commission (SEC).
Partnerships call for most of the same requirements with a couple of modifications. Those with a capital of below 3,000 Philippine Pesos only have to deal with the DTI. If your capital is higher than that amount, youll need to register with the SEC. Additionally, if one of your associates is a foreigner, the submission of SEC form F-105 is required, as well as notarized copies of your Articles of Partnership.
Setting up a corporation in the country is more complex. This endeavor has two types: Filipino-owned and foreign-owned domestic corporations. To qualify as a Filipino-owned corporation, the split is required to be 60% Filipino, 40% foreign-owned; anything above 40% is foreign-owned. When it comes to latter, submission of SEC form F-100 is vital. Dont forget that for all the varieties, theres a listing of common paperwork required. These include permits and clearances from a variety of government offices, tax detection and confirmation from the Bureau of Internal Revenue (BIR), and business permits from city units.
Another critical part of the entire system is trademark registration. Philippines is part of the World Intellectual Property Organization, and thus it values the patents and trademarks of other member countries. Trademark registration in Philippines may last for a minimum of 10 years. It is essential that you register with the Intellectual Property Office in the country to make certain you are not violating any policies.
Philippine business registration may appear overwhelming at the outset, but the assistance of a consultant can certainly make things go smoothly. Pick a consultant thats highly informed in the field. A qualified consultancy firm will have the knowledge to make the whole process smooth and trouble-free. Seek advise from one that will give you an extensive amount of services to get your company in the Philippines up and running right away.
franchise philippines
With the help of consultants, Philippine business registration may be a breeze.In most situations, the whole process will take somewhere between two or three weeks. With larger ventures, expect another couple of days to address any complexities that may come about. Working with a well-informed consultancy firm will reduce possibility of you encountering any major troubles. Here are a few of the steps youll need to take.
The 1st step to setting up in the country is the registration of your company name. The government agency you deal with will depend on the kind and scale of your venture. Single proprietorships must register with the Department of Trade and Industry (DTI). Foreign-owned firms must also present a minimum capitalization requirement coming from a local bank. If the department deems it necessary, you might even need to register with the Securities and Exchange Commission (SEC).
Partnerships call for most of the same requirements with a couple of modifications. Those with a capital of below 3,000 Philippine Pesos only have to deal with the DTI. If your capital is higher than that amount, youll need to register with the SEC. Additionally, if one of your associates is a foreigner, the submission of SEC form F-105 is required, as well as notarized copies of your Articles of Partnership.
Setting up a corporation in the country is more complex. This endeavor has two types: Filipino-owned and foreign-owned domestic corporations. To qualify as a Filipino-owned corporation, the split is required to be 60% Filipino, 40% foreign-owned; anything above 40% is foreign-owned. When it comes to latter, submission of SEC form F-100 is vital. Dont forget that for all the varieties, theres a listing of common paperwork required. These include permits and clearances from a variety of government offices, tax detection and confirmation from the Bureau of Internal Revenue (BIR), and business permits from city units.
Another critical part of the entire system is trademark registration. Philippines is part of the World Intellectual Property Organization, and thus it values the patents and trademarks of other member countries. Trademark registration in Philippines may last for a minimum of 10 years. It is essential that you register with the Intellectual Property Office in the country to make certain you are not violating any policies.
Philippine business registration may appear overwhelming at the outset, but the assistance of a consultant can certainly make things go smoothly. Pick a consultant thats highly informed in the field. A qualified consultancy firm will have the knowledge to make the whole process smooth and trouble-free. Seek advise from one that will give you an extensive amount of services to get your company in the Philippines up and running right away.
franchise philippines
There are two types of franchises:
1. Product Distribution Franchises
2. Business Format Franchises
The most important part of product distribution format is the product manufactured by the franchisor. Some pre-sale preparation is often required on the franchisee end before they are sold. Another major difference between the two types is that in the product distribution type, the franchisor licenses its trademark and logo to the franchisees but does not provide the entire system to run the business. In the business format ones, the whole system is provided by the franchisor to run the business. Most of the franchises these days are business format franchises. In the United States, 80 percent of the total 770,000 franchised businesses are business format franchises.
Product Distribution Franchises
In these, the franchisees sell the franchisor manufactured products. These can often be found in the drinks, automobiles and automobile accessories industries. These look somewhat like the supplier-dealer relationship. But in product distribution franchises, the franchisee gets more services from the franchisor as compared to what a dealer will get from its supplier.
Business Format Franchises
In these, the franchisee uses the franchisors brand name and trademark. And most importantly, the franchisee uses the entire business system of the franchisor. This format helps in achieving consistency which results in sustained success. In this structure, the franchisee is provided with a detailed plan which explains almost everything related to the operation of the franchise. The franchisee is given the training about the management of the building, marketing and advertising of the franchise, recruitment, dressing of the staff, greeting the customers and every other thing related to the franchise operation.
Both of these types have their pros and cons. Only hard work and good interest in your business can guarantee your success. The franchise technology has grown significantly lately. You can use to make your experience a much successful one. These softwares simplify the nature of running the franchisor business model. The main features, good franchise software provides are data collection, corporate communications, administration, new store management, and marketing management, thus making your life easy.
franchise
1. Product Distribution Franchises
2. Business Format Franchises
The most important part of product distribution format is the product manufactured by the franchisor. Some pre-sale preparation is often required on the franchisee end before they are sold. Another major difference between the two types is that in the product distribution type, the franchisor licenses its trademark and logo to the franchisees but does not provide the entire system to run the business. In the business format ones, the whole system is provided by the franchisor to run the business. Most of the franchises these days are business format franchises. In the United States, 80 percent of the total 770,000 franchised businesses are business format franchises.
Product Distribution Franchises
In these, the franchisees sell the franchisor manufactured products. These can often be found in the drinks, automobiles and automobile accessories industries. These look somewhat like the supplier-dealer relationship. But in product distribution franchises, the franchisee gets more services from the franchisor as compared to what a dealer will get from its supplier.
Business Format Franchises
In these, the franchisee uses the franchisors brand name and trademark. And most importantly, the franchisee uses the entire business system of the franchisor. This format helps in achieving consistency which results in sustained success. In this structure, the franchisee is provided with a detailed plan which explains almost everything related to the operation of the franchise. The franchisee is given the training about the management of the building, marketing and advertising of the franchise, recruitment, dressing of the staff, greeting the customers and every other thing related to the franchise operation.
Both of these types have their pros and cons. Only hard work and good interest in your business can guarantee your success. The franchise technology has grown significantly lately. You can use to make your experience a much successful one. These softwares simplify the nature of running the franchisor business model. The main features, good franchise software provides are data collection, corporate communications, administration, new store management, and marketing management, thus making your life easy.
franchise