May 8, 2014 | Valerie Wong
The tough economic global scenario caused a significant number of medium to large scale businesses to experience a financial crisis with some eventually folding-up even after 50 years of doing business. This predicament led to high casualty in terms of employment. There are just not enough jobs to accommodate retrenched employees and new job hunters.
It is a fact that new college graduates end up in call centers and fast food crew for lack of industries in the Philippines. Then there are those who opt to seek greener pastures abroad and join the growing throng of OFWs (Overseas Filipino Workers). The hard blows on established businesses and lack of and shortage of employment give a favorable start to various home-based businesses in the Philippines.
Perks of Home-based Businesses
There are many advantages of doing business while staying at home. The most obvious reason is the small startup cost since a stay-at-home entrepreneur does not need to shell-out a sizeable amount of money for his office or place of business. There is no need to pay for extra in utilities and maintenance since he basically runs the business at home. For starters, there is no need to pay for the services of office staff for the whole household will be more than happy to pitch in on very short notice, without expecting overtime or holiday pay.
Everyone's time is basically flexible. It is interesting to note that there are many home-based businesses in the Philippines that blossomed into mainstream businesses with some transforming into multimillion dollar ventures even if run at home.
Small Home-based Businesses Ideas
The Filipinos are an enterprising lot. Visit an average neighborhood in the Philippines and one can readily see small to medium-sized sari-sari stores (variety store) that sell just about every basic commodity in units rather than whole packs, which an average Filipino needs. For example, one can buy just a stick of cigarette instead of a whole pack in a local sari-sari store. A variety store is unlike any other franchise 24/7 convenience store and is considered the backbone of grassroots economy. Owners of such variety stores buy items in bulk then retail them at the store at mark-up prices. According to statistics, the net sari-sari stores nationwide account for about 70% of sales of consumer food products and accounts for 13% of Philippines GDP in 2011.
Bakery and Cake Business
As with a sari-sari store, there is bound to be a bakery or two in an average Filipino neighborhood. Filipinos love to eat pandesal, which is a sort of unsophisticated yeast-raised bread roll indigenous and staple to the Philippines, eaten anytime of the day. A bakery in an average neighborhood normally sells from 1,000 to 4,000 pieces of pandesal daily. The average price per bread roll is 3PhP. There are plenty of start-up bakeries that eventually flourished into a chain of bakeries available for franchise.
The cake and cupcake industry is a blooming business venture in the Philippines, thanks to the renowned sweet-tooth of Filipinos. The Filipino taste bud is getting more sophisticated and discerning that there seem to be a trend towards high-quality, customized, “home-made” cakes and cupcakes. A number of first-rate bakeshops in Manila started out as hobbies for stay-at-home mommies.
Retail and Wholesale Selling: The internet phenomenon opened many doors and one of these doors is doing business online. Peruse any social networking site and almost always, there is “someone” who is “selling” something - from used clothes and home items to previously-owned or brand new designer items. The most popular sites for free auctioning of items are eBay and Sulit. It is also possible to create a Facebook or Instagram account to sell one's products or services. The key for a successful online store is to “supply” the “needs” of consumers. Affiliate and/or networking marketing is also feasible, though some caution is advised to avoid getting into Ponzi schemes.
Blogging and Freelance Writing: Niche blogging is certainly very profitable if the particular blog has quite a following and advertisers. The proverbial money in blogging actually comes from companies that advertise on that particular blog for possible exposure and conversion of its readers. A Filipino fashion blogger is now internationally known and it is speculated that his income from advertisers alone is in the 6-digit level in USD.
Freelance writing entails good writing skills and patience to do research work. Finding the right client is another thing. Website designing and software programming are also plausible home-based business in the Philippines.
Other home-based online business possibilities are airline ticketing, remittances, travel & tours, hotel & booking, online bill payment, tutorial services, event planner, photography and more. The portal for home-based business in the Philippines is wide open.
If you are set on putting up a home-based business in the Philippines, it is best to look at your options with the help of Servcorp. The company is equipped to help you view the pros and cons of a business with a home set-up.