When times are hard, people cut their hair

Did you know 1: In the span of a year, the number of businesses registered with the Department of Trade and Industry – these are basically single proprietorships – has dropped from 900,000 to 800,000.

When the underground economy is included, that total should rise to about three million.

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Did you know 2: Here’s a quick economic indicator. When times are hard, people – mind you, not just women – seem to go more often to the hair salon for some affordable pampering.

Why, even high-end salons such as the Philippine franchise of England-based Tony & Guy along Ayala Ave. (which is headed by Cherry Reyes) is doing so well that it will be opening an outlet on the same building where the BMW-Alabang showroom is located sometime this August.

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Did you know 3: Unlike traders in the treasury departments of bankers, which are certified by the Bankers Association of the Philippines, only a few bankers involved in wealth management – these are the guys who handle your money if you have at least P5 million in deposits and related businesses with the bank – are certified financial planners.

As a result, what bankers usually hand out to clients is transactional rather than advisory services, with some disastrous results.

So, ask your banker to show his certification from the US-based organization before you let him/her handle your money.

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Did you know 4: Mobius.ph director for international development Gregory Kittelson has tied up with Globe Telecom, which enables online players of Korean-developed games, MU and Gunbound, to use their cell phone credit or load to buy stuff/accessories for their favorite game character while they interact with other players.

The usual way to buy such accessories is to buy prepaid game cards.

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SB Corp. president Benel Lagua has an interesting proposal for universities offering four-year entrepreneur programs.

Here’s the deal. SB – which is short for small business – will partially finance the required feasibility studies of student-entrepreneurs so that these can be brought to the market.

So far, no university has expressed willingness to put up a counterpart seed money. Then again, perhaps these schools do not think their students have the creativity and marketing know-how to succeed as entrepreneurs right after graduation.

As everybody knows, SB Corp. has been customizing its financing of different industries. Take the case of franchisees. So long as they intend to open an outlet of a members of either the Philippine Franchising Association, which is headed by Alegria Sibal-Limjoco, or of the Association of Filipino Franchisers Association, which is headed by Teresita Ngan Tian, SB will extend a working capital loan (read: the franchise fee is not included).

The reason why SB Corp. can do this is because the franchisor is the guarantor of the franchisee’s loan.