Everyone wants to earn money but the question is how? There is a saying that goes “if you want to be rich go into business” and I think that saying is true, some of the successful people i know have a business. But how can you start a business? Some people started doing it in a “palengke”, variety store, and in the mall.
But before you start doing business you must also have the characteristic on how to become an entrepreneur. I will not discuss more about it but your attitude and passion in business should sync before you continue this journey. Characteristic is caught not being taught
There is a lot of things you should consider in starting a Business, like what is the Product/Service you are going to sell?, Where are the strategic location I can start my business? Etc.
Foot Traffic is one of the criteria you should look, when considering a business. The most obvious place where tons of people hang around is mall. In Manila we have a numerous number of Malls, some of them you might know like SM, Robinson, Ayala Malls, Cash and Carry, Super8, Puregold etc. But what are the procedure in entering a Business inside the Mall?.
First, you must think of the products/services you can sell to your customer it’s either a Food or Non-food business. After knowing what you want to sell, look for a strategic location where you can sell your business. For example, Trinoma is most likely packed with Family and some Class A people, if you’re planning to sell a luxurious item, handcrafted bag, and other high-end looking things you might want to consider this place. Eastwood is the place where group of friends hang-around; they are usually the type of person that is in gimmick mode, try doing food business like coffee shop or restaurant. Greenhills is for the budget wise people, I wouldn’t say they are thrifty but they are more likely like a newlywed who wants to invest in a non-expensive but highly functional things, selling a nice house decoration would be hit in this place and Lastly Robinson Galleria is for those people who want to be updated in fashion, so if you are in clothing business you’re a fit in this Location.Please take note that doing business inside the mall needs very high cash out for the initial start of the business. Price may vary depending on the place you are located, below are some of the renting rates on the different malls.
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| *The following figures above are not guaranteed accurate; this blog was resourced by the information passed by other fellows to help other entrepreneur to have an estimated idea on dealing business inside the mall. If there is any information that is wrong kindly email me at https://www.admin.infomanila.org |
You can also inquire for the latest renting rates by asking the leasing manager of each respective mall by applying direct through them. Application Procedure –can also be done while the building was still in construction. Because of limited slot, it is wise to submit your application ahead of time because some of the mall owner prioritizes those people who have food franchised, like Lapids, Purefood hotdogs, Master Siomai etc. Now I will describe the process you will take upon application of the Mall Stall.
First, you must complete all the requirements needed for your Application. The following documents are needed upon your application:
1.) Letter of Intent
2.) Layout (blueprint)
3.) Colored Perspective
4.) Electrical Consumption
5.) Floor Plan – to calculate approximate renovation costs
*Please take note that upon your occupancy of the stall, the whole place is bare
No Flooring, No Ceiling, No Glass Doors and Rough Walls.
Second, once your application requirement is complete, submit it to the Admin Office/Leasing Department and wait for their call, they will inform you about the next meeting when you will present your Product.
Third, you will be interview by the supervisor. After the product presentation and interview wait for the approval of your business. They will send the letter by post. Once you received the letter, expect a call from different leasing manager about your space and your renting rate. Please note that there are different rate per branch and which floor your space belong. The leasing manager will assign your designated place; you will not have an option thus please remember that you can always decline to the offer if you don’t like it, because there are other leasing managers that will contact you.
Congratulation, you successfully own a stall inside the mall, it’s time for the business. Mall owner observe a very strict rules in operating the Kiosk. Here are some rules you should follow:
1.) Permits
a. Business Permit
b. Mayor’s Permit
c. Sanitation Permit (for the Food Business)
d. Health Permit for the Employee
2.) BIR
a. Filling of Tax
b. Issuing of Receipt
3.) Employee rights
a. SSS, PhilHealth and Pagibig
b. Labor Code for wages
After knowing how much the rent you need to pay per month and the application procedure you should go through, now I will discuss the Fees and bond you need to pay for your stall. Listed below are the fees you need to pay in order to sustain your business
FEES
1.) Rents – may vary depending on location and floors
2.) CUSA*(Common Use Service Area) – ranges around P80.00 to P150.00 per square meter
3.) A/C – Centralized Air-condition - 100 to 200
4.) Electricity – metered
5.) Marketing fees – ranges around P1,000 to P2,000 – funds to increase foot traffic like events, mall shows
6.) Upfront – construction bond. It is normally cost ,your monthly rent in a year (x12mo)
7.) Advance deposit – normally 4 to 6 months.
8.) Fire Insurance – P2,800/year
9.) Percentage rate rent – it is either the actual sales or minimum monthly gross sales, whichever is higher
Note: Some of the fees may not apply, it depends on the mall.
Example Computation:
SM Davao: P750.00/sqm. I own a 62sqm =P46, 500 plus (electricity, CUSA, A/C etc.) = P69, 000 +P15, 000 for advertising + P2, 800 for insurance + P13, 000 x 3 Saleslady = P125, 800 Target Average Sales per Month is P130, 000
It really needs a large capital for a business when starting but don’t worry because your return of investment is for sure, you just need to be patience. Success rate might be slow at first but don’t be discourage, below are some knowledge you need to remember when still starting a business:
1.) Don’t depend on one business , you must have another sources of money
2.) Look for product that you can atleast put a 200 or 300 percent markup
3.) It pays to be patience.
4.) Have integrity
