Many of us dream of going into business but are often hampered by the problem of where to get the capital. The amount of money needed will vary as to what kind of business we want to put up and how big we would like it to be. We can start with a food cart set up on a street sidewalk which may need P5,000 or thereabout. Or we can open a small sari-sari (variety) store that may require P10,000 and up. A sari-sari store requires a smaller capital than a bakery which needs some relatively expensive equipment. A hardware will require at least a million. If you don't have P30 million or more, you cannot dream of franchising a Jollibee outlet.
A brief note: If you are not a Filipino reading this, I am talking about setting up businesses in the Philippines.
Unless we have the money, however small is the business we want to put up will entail the problem of capitalization. A family from the slums will have to think of where to get a few hundred or a thousand bucks to set up a food cart on the sidewalk. I will assume that a middle-class family will not go into street hawking but would rather dream of setting up a sari-sari store, a mini-grocery or whatever that will be in keeping with its perceived social status. If you are a millionaire who do not want to be tied to a store or the likes, you would most likely invest in the proven franchising business or in safe stocks. We can make our imagination go on and on.
So where do we get the capital? From the bank? We all know that a business loan from any bank needs collateral or whatever to guarantee that you will not abscond with the money. Even OFWs or overseas Filipino workers are required to put forward a collateral when applying for a loan to start a business because the Overseas Workers Welfare Administration (OWWA) will refer you to the Land Bank or other state-owned financial institutions. And even if you have, say, a piece of real estate property to offer as collateral, you will most likely get cold feet to get a business loan from a bank, knowing that all businesses are risky.
I don't know where you can get your capital but I can only think of saving part of our income if we dream of going into business. You may have your own money source, probably a rich boyfriend, girlfriend or even a deparate wealthy matron, whom a friend from Bacolod City (the capital of the central Philippine province Negros Occidental known for its vast sugar plantations) fondly calls as central azucarera de mama. Pardon the pun but it's just my way of saying that how you will save is your own business because you are more familiar with your own finances.
If we don't have enough income to save, probably we can look for extra income without sacrificing our main source of livelihood to accelerate the process of saving. But then if we look around us we can hardly see any opportunity for extra income without putting a seed money upfront. If we sell T-shirts or Avon products to our office mates, we will need some capital, however small. There is only one free investment I know - will power. As one of my favorite cliche goes, "If there's a will, there's a way."
I am tempted to take this opportunity to go into an ego trip. Please allow me. When I nurtured a dream to go to college in the small farming village called Ginablan in Romblon, I knew the odds were tremendous. There was no college in Romblon, Romblon. then, so when I graduated from high school I decided to pursue my dream initially working as a laborer in Bacolod City, Cebu City, Batangas and Manila, where I later found I a job as a security guard that enabled me to pursue journalism at the Lyceum of the Philippines. And as another cliche goes, the rest is history. The gamble paid off. I became a journalist.
Going back to our discussion on capital, yes, the biggest most enigmatic capital we have is our will power. Let that will power fuel a dream you want to pursue, whether it's putting up a business or whatever, it will pave the way.
Now time for commercial break: Want to earn in dollars working at home using the Internet? Here's an opportunity to do it - if you can't click it here, copy and paste the link . Or contact me on Facebook.
https://www.facebook.com/notes/money-matters-unlimited/earn-upto-10k-15k-pesos-kahit-nasa-bahay-ka-lang/187120818126436
Note: The Gypsy Soul and Other Essays is my book currently available at amazon. com
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| A sari-sari store |
Unless we have the money, however small is the business we want to put up will entail the problem of capitalization. A family from the slums will have to think of where to get a few hundred or a thousand bucks to set up a food cart on the sidewalk. I will assume that a middle-class family will not go into street hawking but would rather dream of setting up a sari-sari store, a mini-grocery or whatever that will be in keeping with its perceived social status. If you are a millionaire who do not want to be tied to a store or the likes, you would most likely invest in the proven franchising business or in safe stocks. We can make our imagination go on and on.
So where do we get the capital? From the bank? We all know that a business loan from any bank needs collateral or whatever to guarantee that you will not abscond with the money. Even OFWs or overseas Filipino workers are required to put forward a collateral when applying for a loan to start a business because the Overseas Workers Welfare Administration (OWWA) will refer you to the Land Bank or other state-owned financial institutions. And even if you have, say, a piece of real estate property to offer as collateral, you will most likely get cold feet to get a business loan from a bank, knowing that all businesses are risky.
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| Food cart franchising: Capital from P25,000 and up |
If we don't have enough income to save, probably we can look for extra income without sacrificing our main source of livelihood to accelerate the process of saving. But then if we look around us we can hardly see any opportunity for extra income without putting a seed money upfront. If we sell T-shirts or Avon products to our office mates, we will need some capital, however small. There is only one free investment I know - will power. As one of my favorite cliche goes, "If there's a will, there's a way."
 |
| The needed capital as I know it is about P30 million |
I am tempted to take this opportunity to go into an ego trip. Please allow me. When I nurtured a dream to go to college in the small farming village called Ginablan in Romblon, I knew the odds were tremendous. There was no college in Romblon, Romblon. then, so when I graduated from high school I decided to pursue my dream initially working as a laborer in Bacolod City, Cebu City, Batangas and Manila, where I later found I a job as a security guard that enabled me to pursue journalism at the Lyceum of the Philippines. And as another cliche goes, the rest is history. The gamble paid off. I became a journalist.
Going back to our discussion on capital, yes, the biggest most enigmatic capital we have is our will power. Let that will power fuel a dream you want to pursue, whether it's putting up a business or whatever, it will pave the way. Now time for commercial break: Want to earn in dollars working at home using the Internet? Here's an opportunity to do it - if you can't click it here, copy and paste the link . Or contact me on Facebook.
https://www.facebook.com/notes/money-matters-unlimited/earn-upto-10k-15k-pesos-kahit-nasa-bahay-ka-lang/187120818126436
Note: The Gypsy Soul and Other Essays is my book currently available at amazon. com
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