MANILA, Philippines - Do you have enough time, money or people to grow your business?
If you’re like most entrepreneurs, chances are you lack one or more of these and this may be holding you back from growing your business.
Why is it that companies like the The Generics Pharmacy can grow from one to 1,600 stores in just a few years, while you’re still struggling to open your 2nd branch?
Their secret is franchising.
Franchising allows you to replicate the success of your business using other people’s time, money, and organization.
Using other people’s money:
In exchange for the use of your brand, product, and your system, franchisees pay an upfront franchise fee and monthly royalties. This allows you to raise money and capital that you can reinvest in growing your business.
With over 1,600 stores and a franchise fee of P290,000, The Generics Pharmacy has been able to raise and reinvest almost half a billion pesos back into the business.
Using other people’s time:
The people who franchise your business are entrepreneurs who put in their time to growing the business. They invested their own capital in the business and have a big incentive to make it grow.
Unlike salaried employees who get paid a fixed fee no matter how a business does, franchisees only profit when the business is doing good, so you get access to a very committed and dedicated team of franchisees who grow the business.
Using other people’s organization:
Connections, understanding the local area, and keeping close ties with customers is key to any business. Franchising allows you to tap into the organization of millions of entrepreneurs around the Philippines. These strong local connections helped The Generics Pharmacy connect more with various communities and build a large and loyal customer base.
Franchising is a proven system, both in the Philippines and around the world, and it is all because of the simple formula of being able to replicate your business using other people’s time, money, and organization. So take the time and evaluate if franchising can help your business grow from one to many.
Franchise Talk is a content partnership of ABS-CBNNews.com with Francorp Philippines. Learn more by joining the “How to Franchise Your Business Seminar” on Jul 19 & 20 at Franchise Asia 2014 in SMX, for more information contact [email protected] or visit www.francorp.com.ph
About the author:
Sam Christopher Lim is the Senior Vice-President for marketing & strategy at Francorp Philippines. He has over a decade of global marketing experience from Bangkok, Shanghai and most recently London. He is a multi-awarded marketer who graduated with distinction from Oxford University and was awarded with the Young Market Masters award. He is also currently Chair for ASEAN integration for the Philippine Franchise Association.