Investing in a small business

Mr. M uiligan,

I forgot to add some suggestion. Use only 40% of your money for doing business, the other 30% is for holding on to your business till its grow and the remainder 30% is for your rainy days.

I have lived in Cavite, just outside Manila for 15 months already and I am not a rich man and I am not doing any business cos I still haven't found what I am loping for. I didn't live like pauper nor like a Duke. I just lead a simple and humble life and always look out for a better tomorrow.

Please take care and God bless.

Honestly if i were you i would certainly not start a business here, as far as i am aware you must have a Filipino business partner... I am yet to meet one person here who i would trust as my partner since most are not thinking about long term and just want a quick buck or wouldnt need a business partner in the first place.

What I would recommend you do is keep your eggs in your own basket, get yourself a great camera and travel around here taking beutiful pictures and then sell them in an online store, people out there are willing to pay a lot of money for good photography and you can make some decent cash from this, you can pay a small fee to have your business marketed or spend time online marketing it yourself. It's easy enough to learn the basics and you wouldnt need to sell much each week to survive here.

Most people i know who have gone into business with a partner here especially with their girlfriends have not had good endings.

I wish you the best of luck.

If you want to start a serious business, not a sari sari/food stand, etc, then you need to go to places that expats hang out. Spend time to get to know them and then ask advise. They have been here for years and have good businesses in construction, mining, manufacturing.  If your in Makati, then go to the Sports Bars - Handlebar, H&K, or Howzat. Also, join clubs, churches, etc.

Get off the pc and do some leg work, and you will get to know more people and have more fun.

Hi my name is Miranda
Nice to meet you here

Welcome to the Philippines
I am happy about your intent to live happily in the Philippines for good
we are sharing the same goal.

I would like to let you know about my  idea on your plan for your business
Your money is a big money but it wont last
You need to keep it for youself as much as possible until you have found something that you will benefit on a long term

I offer you to invest on the condo that i will be purchasing
$350,000 since i will be putting this on a loan meaning you can share at minimum of $5000 for our down payment  and renovation of the unit
We will put the unit on rental for tourists whos visiting the country and wants to stay here for an affordable price

How ever I want to set your expectation about your earnings since I would like to make sure that this will be successful.
You will get the ff:

$50 a moth on the first 12 months
$100 a month on the next 6 years
$240 for 12 months
$1200 =$7200 for 6 years
total $7,440 not much yet this will help you in your daily expenses for 7 years

If interested please let me know so that we can start asap
contact +639237261770

PS. I also have a lot/land with Proof of ownership i can give this to you as a collateral 65sqm located in Cavite Luzon located in a private village

Mirandainvestment wrote:

I offer you to invest on the condo that i will be purchasing
$350,000 since i will be putting this on a loan meaning you can share at minimum of $5000 for our down payment  and renovation of the unit
We will put the unit on rental for tourists whos visiting the country and wants to stay here for an affordable price

How ever I want to set your expectation about your earnings since I would like to make sure that this will be successful.
You will get the ff:

$50 a moth on the first 12 months
$100 a month on the next 6 years
$240 for 12 months
$1200 =$7200 for 6 years
total $7,440 not much yet this will help you in your daily expenses for 7 years

So for a $5,000 investment in a $350,000 property he will get $100/month for 6 years?
Owning 1/70 and getting $100 means the entire income for the month would be $7,000?  You gonna clear $7,000 every month for 6 years?  $230/day?  Not happening.

You can invest in a property that can be rented out, my aunt has a 3 storey building has 13 bedrooms all with bathrooms. It is a great investment, since the property is located in a strategic location a tourist spot in the Philippines at Tagaytay City. She is now selling the place since she was always away, and now living in Canada.

3 STOREY BLDG W/ GROUND FLOOR near Tagaytay Nasugbu Hwy

1st flr=Total of 6 rooms (all with toilet &bathroom), 1 kitchen for first floor with toilet and bathroom

2nd floor= Total of 7 rooms all semi furnished (beds,tv, toilet & bathroom), 1 kitchen with toilet and bathroom, 1 lounge room with toilet & bathroom

3rd floor= Recreational, convention room, 1 kitchen with dining table and salas, 1 bahay kubo with table, 1 toilet &bathroom

GROUND FLOOR= a mini chapel
PARKING AREA
3 water tank 250 gallons
371sqm=lot area
600+=floor area

sulit.com.ph/index.php/view+classifieds/id/35904867/3+storey+bldg+13+BR+recreational+Grea

annlovete wrote:

You can invest in a property that can be rented out, my aunt has a 3 storey building has 13 bedrooms all with bathrooms. It is a great investment, since the property is located in a strategic location a tourist spot in the Philippines at Tagaytay City. She is now selling the place since she was always away, and now living in Canada.

AND ONE WOULD EXPECT TO COLLECT HOW MUCH RENT EVERY MONTH?
iF EVERY ROOM IS RENTED EVERY DAY, YOU WOULD NEED TO CLEAR $538.42 PER ROOM TO HIT THE $7,000 AMOUNT PER MONTH  REALISTIC?

Hi Sir, I have read the posting you have posted and also read the comments & replied of other members to you. I noticed many advices are given to you. I think you are a bit confused, right?

Some advice you to invest in properties or stocks and etc. Or even run a small bar, internet cafe, landscapping and etc. In the end you are the best person to decide and make judgement. Your USD20K can last you one year or slightest more if you are careful or even lost it overnight if not careful. Just open your eyes and be careful of everyone around you.

For me I have stay in Visayas region for five years and now staying in Manila. I have lived in Philippines for almost ten years. I did some small business in the Visayas region but I found out that the spending power of the people there isn't as good in the Manila. I did make some profit but over a long period of time. The average spending power there is less than half of those people spend in Manila.

Maybe you can try your luck in Manila and not necessary in Metro Manila, maybe outside the Metro Manila. There are quite a number of profitable business you can try here. But never invest in properties as the properties bubble is going to burst and many foreigner will be leaving the country and your rental will fall.

As for me since I stayed in Manila, I didn't do anymore business and yet I can survive all these years here. I am not a millionaire nor I am from a rich Chinese family. I am just an average man on the street. Everyday I spend half an hour in the casino and they pay my salary. Sometime I win P5k a day but sometimes I only make P15k to P20K a week, depending on my luck.

I am a very strict and discipline person, I never spend more than 30 mins in the casino. Once I win or lose I get out and I tell myself, there is always a tomorrow. I am not a professional gambler nor a cheater at the casino but I gamble for a living. I am as I am for 5 years playing at the casino...minsan (sometimes) I can made P120K a month. No tax, no headache just concentrate on that half an hour,

But this is only my suggest to you.Not everyone have this strict discipline in the casino. Please don't try if you aren't sure of it. Thank you.

The average amount of renting rooms in Tagaytay area is around $129 - $215 per day. Lets say you can have it rented out at $150 up to $200 x 13 rooms x 30 days = ?? . Not only you can have the rooms rented out there is a basement where if you are resourceful enough you can build a mini bar. Plus the building has an existing mini shop that includes all of the basic necessities, also snack, liquor etc. It depends on the person on how he will handle the business. Different approach, and the willingness to earn.

3 storey 13BR

mugtech wrote:

annlovete wrote:

You can invest in a property that can be rented out, my aunt has a 3 storey building has 13 bedrooms all with bathrooms. It is a great investment, since the property is located in a strategic location a tourist spot in the Philippines at Tagaytay City. She is now selling the place since she was always away, and now living in Canada.

AND ONE WOULD EXPECT TO COLLECT HOW MUCH RENT EVERY MONTH?
iF EVERY ROOM IS RENTED EVERY DAY, YOU WOULD NEED TO CLEAR $538.42 PER ROOM TO HIT THE $7,000 AMOUNT PER MONTH  REALISTIC?

The average amount of renting rooms in Tagaytay area is around $129 - $215 per day. Lets say you can have it rented out at $150 up to $200 x 13 rooms x 30 days = ?? . Not only you can have the rooms rented out there is a basement where if you are resourceful enough you can build a mini bar. Plus the building has an existing mini shop that includes all of the basic necessities, also snack, liquor etc. It depends on the person on how he will handle the business. Different approach, and the willingness to earn.

an adventure holiday sound interesting...that might do well.
I would suggest you get a popular local franchise like Potato Corner, in the meantime. This is relatively a low cost business , but it is a "turn key" operation so you can continue with your travels and develop your other business idea. Such a franshise will cost around $8 to 10k.

Hi schroeder888,

Why not sharing this information with us here on the forum, so as everybody can beneficiate from your advices.
I think that the advices about how to live in the philippines happily for life may interest some members.

Thank you,

Priscilla
Expat.com team

Priscilla wrote:

Hi schroeder888,

Why not sharing this information with us here on the forum, so as everybody can beneficiate from your advices.
I think that the advices about how to live in the philippines happily for life may interest some members.

Thank you,

Priscilla
Expat.com team

Yes, we all want to know how happy a family of four is living on less than $800/month

Hi Petrih,
My name is Georges. I am French.
As I am thinking of moving to the Phils, I vould appreciate having more information with regards to your message stating that you know the way to get a steady earning of 50 to 90K per month.
Would you accept to tell me more about it ?
If so then feel free to send your info to my personal email.

Thanks very much indeed.

Georges
[email protected]

Dear mugtech

Im not sure why do you have to make fractions out of my equation with the earnings of  a $5000 Investment. but basicaly heres the direct equation

the capacity of a $5000 investment
is to earn $50 Per month for the first 1 year

and   $100 per month From the second year up to the 7Th year

50(12)= $600
100(12)=1200(6)= $7200
in seven years the money will Going to be
$7800

Dear Georges

I appreCiate your interest with the 50k~90k earnings every month
Im not sure who  Petrih is but havent seen any post aside from mine that is near to your description of the said earning amount.


My offer is like this

I will be purchasing a property which i am going to put into rental.

You can invest $5000 which im going to use for fully furnishing the condo unit.

And as a return youll get $50 per month on the first 12months Equals to 600dollars
then the next 6years will going to be 100 dollars per month 1200 per year times six equals 7200 plus 600 your money from 5000 turns 7800 dollars. My email address is [email protected]

first come first serve

Mirandainvestment wrote:

Dear mugtech

Im not sure why do you have to make fractions out of my equation with the earnings of  a $5000 Investment. but basicaly heres the direct equation

the capacity of a $5000 investment
is to earn $50 Per month for the first 1 year

and   $100 per month From the second year up to the 7Th year

50(12)= $600
100(12)=1200(6)= $7200
in seven years the money will Going to be
$7800

So after 7 years I got back my $5000 investment plus $2,800 of income over 7 years.  How will
you report this?
What is the $600 I receive the first year, i.e. how much is income and how much is return of capital?  Am I earning interest or is this rental income?  What will the breakdown be for the $1200 the next six years?  Am I an owner or just a lender?

Dear mugtech

thank you for elaborating on this

basicly the person will just going to be a lender for his $5000
well i can let him use the property for day or so for free Especially if have earned my quota already for the month

going back
with his $5000 Being returned within seven years in an installment return that earns at the same time

I made sure that the return will not be high on the first year as the business is just  starting

return of capital i not asap as you might realize  as i have put the money on a business making sure its functional

If your asking when can you get your money back and when can you get your interest

basically five years and a half youll get your 5000 back and the next 1 and a half year will follow the income or interest

Im not sure how would you like me to break down the 1200

i hope this one make sense

1200 is the yearly return of your investment from the second year up to the seventh year

its 100dollars cash or check tht im going to give you every month 100times 12 is 1200

oh i forgot your asking me how to report this . i dont want to complicate things with the reporting as soon im going to be busy with advertising of the property for rental. Its like this I will loan the property the investor will put in his 5000 for the furnishing etc and

miranda.
It seems a slow rate of return on the investment
What form of guarantee does the lender have from you
Do you have contract documents for this investment

I think you need to be very transparent and concise about this before anyone will take you up on this.

I am sure you can make better interest by opening a term deposit account at a bank.

$2800 profit on the $5,000 lending of the money works out to $400 a year for 7 years or 8% not compounded.  But the amortization process does not make sense, for each year should consist of principle and interest payments, for if the first $5,000 is all returning the investment, then there are no earnings to report, it is an interest free loan.  If the first $5,000 is returning the loan, then at that point the lender's interest is zero.  This makes no business sense.

8% is not good at all especially if you take into account an average inflation rate of 4%

  thats the minimum i can handle and wouldnt put big amount that wouldnt last

Mirandainvestment wrote:

  thats the minimum i can handle and wouldnt put big amount that wouldnt last

Fine.  But how much in each year will be interest income and how much will be return of investment?

Not that I would ever want to start a small business here or anywheres else but,

My taught on investing in a small business would be to start a repair shop for used bicycles.
Very low investment and its something that you can get into at your own pace.
If your a hands on type of person and like repairing stuff like that ,it could be fun and maybe even make some money at it.Labour here is very cheap ,a person can probably hire 2 to 3 mechanic type guys for less than 1000 ph a day to do the repairs.
Why I am thinking this is because I just finished buying two bikes in Quiapo ,where there is numerous bike stores,they had bikes from 2,000ph to 200,000ph or more ,and people were lined up buying.
And all you have to do is look around and can see all the people riding them,old and new.
But good luck to whoever is thinking about starting  a business ,just make sure that whatever you chose its going to be fun to do and you will want to get up in the morning excited about going to do it other wise it will turn into a job.

Hi! I have your article and made me interested to reply though it's been a year from your last post. By the way, we are looking for investors who wanted to put up small business (food business). We have a Chinese style menu and also we can give you the ingredients. If you are interested in cooking or somehow wanted to learn or you have someone you know you think who can handle your kitchen then we will be happy to teach you everything in our menu. Thanks!

[Moderated: please post in the Business partners classifieds in Manila section]

hi i m frm pakistan n working in ksa i m a proffesional cheff i wanto work in philipine can u help me to find a job there r make my own buisness if i wanto put restsurent how much need money pls reply i m waiting fr your answer thanks lot

Hi there,

I think the best business that you can have in the Philippines is Build and Sell Property. You can earn more. Property Investment. Like Condo Property because you can now acquire 100% ownership in the Philippines then. you rent it out you have the property and then it will be an income generated. Especially, if you acquire property in the Tourist Belt in Manila.

You may check this link:

www.olx.ph/index.php/view+classifieds/i … tion,1-8,8

Cheers,

Jerry Aguilar

maybe i can help you ...
lets talk... pm me thanks

@macsramos > why not give some information on the forum?

Christine wrote:

@macsramos > why not give some information on the forum?

Most real estate "deals" are better suited for the shadows.

Wow its good idea to strat landscaping company but i dont think this amount is enough to start and run any business as of services providers
Anyway do let me know if u r starting landscaping business i have 18year experience in middle east as landscaper plus 7year running my own landscaping company in Dubai.

Food business is profitable in the Philippines but don't test the water with both feet.
Roasted chicken and pork belly business seems to survive for more than 3 decades here.
If you see Andok's , Baliwag, and Lydia's lechon they are the pioneer of roasted chicken or pig business. But I think they cost 2 million Philippine Pesos. There is a 2009 entry which is Lembest lechon the owner checks the proposed site before you proceed to operation.
see here: lembestlechon.com/s708cx1

I am selling a Training Center in the Philippines (located in Makati City but transferrable to any location in the Philippines). Equipments and furniture included.

Licensed by  the  Technical Education and Skills Development Authority (TESDA) to provide English and Hospitality  Training (F&B) but you can also add other programs like welding, caregiving, meat processing, etc.

Please email me at [email protected], if interested and I will provide more details.

if your profession is it-based, you may put up a satellite office in cebu since ur gf is bisaya... i could guide you along the way if you want.

naveedguj71 wrote:

Wow its good idea to strat landscaping company but i dont think this amount is enough to start and run any business as of services providers
Anyway do let me know if u r starting landscaping business i have 18year experience in middle east as landscaper plus 7year running my own landscaping company in Dubai.

of course its enough. you only need 500k to start your own landscaping business. i think its a hit business since the real estate business in the philippines is booming

dear taqiazad,
    I am wondering if you already invested or still looking. My husband who is American and myself are going to the Philippines this month and are planning to start a restaurant business. My husband was a chef in Hollywood and Beverly hills. I saw that you are a chef too. We are looking for business partners/investors.  If you are interested or if anybody is interested, pls pm me at [email protected]. serious partners/investors only.
Thanks
krys

Hello. What kind of restaurant. U want do i m working in restaurant too and are many need investor i know philippines ve stay there 7 nonths

dear defre
  its gonna be an italian and french resto with some asian flavors. do you know investors there? pm me kpmartorella@yahoo thanks