Franchise Financing Pushed by local
Food Player
Recent robust growth of the
Philippine economy, more notably the 6.4% first quarter growth earnings in
Gross Domestic Product (GDP) and the recent upgrade in the country’s credit
rating, makes the country an attractive option both in foreign and domestic
investments.
According to Franchise Guru and AFFI
President Butz Bartolome, there are 2,300 companies franchising concepts in the
Philippines today; 40% non-food and 60 in food industry with the success rate
now at 85%.The failure is attributed to proliferation of mediocre franchises.
Despite this fact, the franchise industry’s growth rate is pegged at 38%, an
increase compared to last year’s 20%.
Binalot Fiesta Foods Inc. (BFFI) aims
to open more stores in more locations by making its franchise packages more
affordable and accessible for potential franchisees. Binalot, the home of the
“Ultimate Filipino Food Experience” forges a new partnership with BPI Family
Savings Bank through its Ka-Negosyo Franchising Loan Program in a formal
handshake event last July 16, 2012 at BPI Head Office in Makati City with
Binalot CEO Rommel Juan and BPI Family Savings Bank Division Head Ma. Mercedes
R. Roces. The financing scheme aims to fuel the growth of the franchising
industry through affordable franchise financing for individuals who want to
start a franchise.
The BPI Family Savings Bank
Ka-Negosyo Loans is available in two variants: Ka-Negosyo Lite Mode and
Ka-Negosyo Zero Collateral Program. Under both loan schemes, a franchisee may
borrow 500,000 to 1.8 million pesos to partially finance acquisition of
Franchise Package and pre-operating overhead cost.
In the Ka-Negosyo Lite Mode loan
package, a franchisee may borrow the 60% of the total franchise package and
pre-operating overhead cost payable within a maximum of five (5) years, with
annual re-pricing based on prevailing market value with indicative interest
rate of 9.25% per annum with real estate property serving as collateral.
Meanwhile, the Ka-Negosyo Zero
collateral loan package offers the same 60% of the total franchise package and
pre-operating overhead cost payable within a maximum of three (3) years with
10-14% interest rate without the need of collateral.
“We make it easy for potential
franchisees to open a franchise. We just recently launched the Ka-Negosyo Best
List - which is our growing list of accredited Franchise Brands. We've narrowed
down the choices for the market and we make it even easier by making the
financing component lighter on the pocket. A No-Collateral franchising loan is
available for those who will apply for a Ka-Negosyo best list brand” says BPI
VP Ma. Mercedes R. Roces.
Prospective franchisees can take
advantage of the BPI Family Savings Bank Ka-Negosyo Loans and enjoy shorter
processing time for loans, preferential exposure for bank marketing
initiatives, preferential space in the Ka-Negosyo Website Directory and
inclusion in the BPI Family Savings Bank’s Best List of Brands for the year.
New franchisees are invited to take
advantage of the loan provided they have at least 2 years of gainful employment
with no negative findings on the firm and principals. Existing Binalot
franchisees can also avail if they have a minimum three (3) years profitable
business operations and must meet the bank's acceptable GMIR (Gross Monthly
Income Ratio) in relation to the projected monthly amortization) and a minimum
assets of P15M, excluding land.
Check out Binalot’s
franchise packages and start earning today! For inquiries, visit
www.binalot.com or call 822-6483 or 0932-8441807.