Upbeat business climate spells good prospects for franchising

CEBU, Philippines - The country's general positive business climate presents good opportunities for franchising.

In an interview last Friday at the sidelines of the 18th Cebu Franchise Expo at SM City Cebu, RK Franchise Consultancy founder Rudolf Kotik said there's a growing interest among prospective entrepreneurs to invest into franchising.

"People have money to invest, they are willing to invest," the franchising expert said.

"Franchising is the easiest way to get into business because its tried and tested. It's profitable," he said.

Kotik noted that a lot of people are interested to get into franchising.

The concept of franchising is particularly attractive to Filipinos working overseas, retirees and those who have enough cash to invest as such investment provides an extra stream of revenue. 

Franchise concepts would require investors as low as P500,000 to start. But there are some that requires around P250,000.

Kotik said the food sector remains a top choice among prospective franchisees, accounting for about 60 percent of all franchises nationwide.

Vanity, he added, is also a growing sector as more and more people get lured into beauty products and services, accounting for about 20%.

He this trend is reflected in the rising number of restaurants and food shops and beauty-related shops such as salons and spas seen in retail areas. (FREEMAN)