Best Franchise Business in the Philippines
Franchising is an excellent option for enterprising Filipinos. With many Filipinos laid off from their jobs or furloughed due to the pandemic, they have turned to franchising to embark on a risk-free business endeavor. Franchising is a good option for new entrepreneurs because it is backed and supported by an established brand.
If you are looking for the best franchise businesses in the Philippines, you have come to the right place. Aside from the initial cost of buying the franchise, you can skip the steps in building a business from scratch. You already have a proven business concept and the brand name to leverage for your business venture.
Top 10 Best Franchise Businesses in the Philippines
Here are the best options for enterprising Filipinos that are interested in venturing out into the franchising business.
10. Bayad Center
Bayad Center is the leading outsourced payment collection franchise in the Philippines. This franchise is a solid investment because it offers a convenient bill payment service to the public – from government services, credit card payments, utilities, etc. Bayad Center is also a reliable remittance center.
To own a Bayad Center franchise, the fee is PhP 350,000. The franchise fee is valid for a 5-year term. The franchise package includes training and marketing support from the Head Office.
There is a minimum cash bond of PhP 600,000 for the franchisees. There are additional costs to account for such as site renovation and equipment. The projected ROI for a Bayad Center franchise is within two years.
Before the current boom of the milk tea franchises in the Philippines, there was Zagu. It is one of the frontrunners in the iced and flavored shakes industry in the country.
Zagu launched in 1999 and is the recipient of many awards. Among its notable awards are the 2001 Most Innovative Business Venture, the 2001 Most Outstanding Business Venture, and the 2006 Business Excellence Award.
There are two options available for interested franchisees: 1) indoor store (such as a standard cart or kiosk) and 2) outdoor store (such as a roadside stall or kiosk).
There are currently more than 400 Zagu outlets nationwide. Zagu offers a variety of products such as shakes with tapioca pearls and flavored drinks. Their most popular flavors are hazelnut cappuccino, cookies & cream, chocolate, and four seasons, etc.
The Zagu franchise fee starts at PhP 650,000 up to PhP 850,000. The franchise fee is inclusive of the use of the trademark and its proprietary recipes and ingredients, training and operational support, design and décor, site selection, and discounts for future supplies.
Turks is one of the best food franchises in the Philippines and also among the most popular shawarma brands. The growing customer base and aggressive campaigns by Turks make it a solid investment for any Filipino.
There are currently over 500 outlets of Turk’s franchise in the country.
The franchise fee for a Turk’s franchise starts at PhP 1 Million and can go up to PhP 1.4 Million. You can choose from three different franchise packages: food cart, food stall, and in-line.
Interested franchisees must fill up the form on the company’s franchising page. You will be sent an Initial Screening Requirement to your email, which you must complete along with the submission of a letter of intent and the details of your proposed location. Once approved, you must attend the Business Opportunity Meeting for the evaluation of your application. The final step is the payment of the franchising fee and the completion of the franchise agreement.
A water refilling franchise is another profitable franchise business idea in the Philippines. Aquabest is one of the top opportunities available for enterprising Filipinos.
Aquabest is a member of the Philippine Franchise Association and is one of the most foolproof business opportunities. The franchise fee for Aquabest is PhP 100,000, which has the following inclusions: machine installation, branding, logistical support, training, and water treatment service. There is also an option to include the delivery van in your package.
Interested franchisees must fill out a questionnaire on their website and attend orientation. Once you have completed the above two steps, the Aquabest team will conduct a site inspection. You can pay the franchising fee upon the approval of the site.
6. Master Siomai
Master Siomai is one of the country’s top food cart franchises. The company started as a distributor of food products like siomai, burger patties, ham, and bacon in 1999. In 2007, the company ventured into the food franchising business.
It is currently one of the top franchise opportunities in the Philippines with over 900 outlets nationwide. The company runs ads and sponsorships as part of the effort to push the brand to the forefront of the franchising industry in the country.
The franchise fee for Master Siomi starts at PhP 280,000 and can get up to PhP 315,000. Each franchise includes one unit of the Japanese-inspired food cart, chest freezer, steamer, juicer, kitchen and plastic wares, food and paper products, crew uniforms, cleaning supplies, and marketing collateral.
The franchisors require a site evaluation and a lease proposal before you can apply for a franchise.
5. Generika Drugstore
The pharmacy business is another booming and consistently growing business opportunity in the Philippines. Owning a Generika Drugstore franchise is a good business venture for aspiring entrepreneurs.
The franchise package for Generika Drugstore starts at PhP 210,000. The overall investment can be up to PhP 1.7 million including the business permits, POS system, security deposit, operating capital, fixtures, store renovation, and operations and marketing supplies. As a franchise owner, you will be the one to handle the business permit processing, staff hiring, and store renovation.
Generika Drugstore makes a great franchise opportunity because of the brand’s track record, advanced information system, a wide range of products, and strong franchisee support.
The iconic global brand is one of the best franchise businesses in the Philippines. This company is the benchmark for retail innovation and technology. Hence, it isn’t surprising why it is one of the most sought-after convenience store franchises in the country.
The 7-11 franchise is notable for its product variety and quality, customer service, and cleanliness. It is the world’s largest convenience store franchise and is built for expansion.
The franchise fee for 7-11 in the Philippines is PhP 600,000, which will be paid once your application is approved. The franchise fee is exclusive of the construction cost, initial store supplies, initial merchandise, and the rent and deposits for the store. The average total cash outlay is around PhP 3.5 million.
The courier service business took off during the pandemic and is expected to continue its growth rate in the post-pandemic era. While a newbie in the delivery service industry, Toktok has quickly become a household name due to its aggressive marketing approach. It is also the winner of the 2021 Achiever’s Best Fast Growing Delivery Courier Franchise Business.
There are three franchise packages to choose from and the cost will vary accordingly. The initial package consists of 25 rides and costs PhP 17,880. The Junior Operator package consists of 100 riders and costs PhP 53,664. Meanwhile, the Mega Operator package consists of 175 riders and costs PhP 125,216.
A franchise will give you access to the Toktok Operator Portal, operator training and support, and a referral commission for every successful delivery. The ability to earn from home is part of the reason why this is one of the most successful new franchise opportunities in the Philippines.
2. PCSO Lotto
A PCSO Lotto franchise is one of the best opportunities for a business franchise in the Philippines. There is no franchising fee for a PCSO Lotto outlet. However, you must settle a PhP 10,000 installation fee and a PhP 1,700 processing fee. This payment includes the bet slips and thermal rolls.
A cash bond of PhP 500,000 is added to your PCSO Lotto franchise outlet. This won’t be paid in full but through an annual surety bond. The franchise owner has a commission of 5% per sale but you have a quota to meet. The quota will vary based on your location.
1. Potato Corner
Established in 1992, Potato Corner has emerged as one of the most profitable food business franchises in the Philippines. The reason for its success is attributed to the variety of franchise options suited for your budget.
Potato Corner is also the recipient of multiple awards such as the 2003 Franchise Excellence Hall of Fame Award and the Global Franchise Award. The brand’s tagline is “World’s Best Flavored Fries”. This franchise opportunity is also available in the USA, Singapore, Hong Kong, Australia, etc. As of today, up to 70% of the Potato Corner outlets are franchise-owned.
The franchise fee for Potato Corner varies based on the type of franchise: school cart, standard cart, kiosk in-line counter, and in-line dine-in. The franchising fee starts at PhP 230,000 to PhP 1.2 Million. The franchise fee is inclusive of the cart or kiosk, equipment, crew training, and initial supplies.
Future of Franchise Businesses in the Philippines
The Philippines has a reputation as Asia’s franchising business hub. According to the Philippine Franchising Association (PFA), the franchising industry grew 25% in the year 2020. It’s incredible to see the success of this type of business even at the height of the pandemic, which makes it a recession-proof business model.
There are many benefits to a business franchise (as mentioned above) but you can increase your chances of success by choosing the most profitable and best franchise businesses in the Philippines.