Investing in a business is like gambling because there is no assurance if you will win or lose. With the great competition in the market, investors must be constant with disruptive innovation and be tough enough to penetrate the market. Although there is no assurance at all that it will be a smooth sailing process, there are ways to worry less because there are businesses that already have their perfect formula for a higher success rate.
For a safer bet, you may try franchising food business because franchisers already eliminated possible business errors for you and there is already an established name in the market. If you are looking for the best choice, the leading franchise in the Philippines is Potato Corner, which dominated the franchise industry in the country.
It started with a cup of fries in a kiosk two decades ago, until it became a hit because of its novelty – the first French fries in the Philippines that come with flavors. Now, it has been shaking in 10 other countries for a decade including Indonesia, Malaysia, Thailand, the USA, and Panama.
So, if you are thinking about how to be part of this wildly popular franchise, here is a cliff-notes made simple for you on how to franchise potato corner.
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Tick the Boxes
Let us start with the requirements needed for the franchise… yeah, the paperwork. Working on legal documents is the preliminary of applying for a franchise, but in Potato Corner, you do not have to buckle down. The company will not give you a hard time dealing with a pile of papers because they made everything simple, perhaps one of the reasons why the business grows quickly in a short period of time.
For you, probably this checklist is just easy as ABC, that’s why you can leap to it one by one without breaking a leg.
- Letter of Intent. The first thing you have to do, just like applying for any job, is to write a letter of intent showing your interest in franchising Potato Corner. State your best reasons why you want to franchise. Included in the letter is/are the desired location/s. In what corner you want to stall the kiosk or store? It might be at the park, school, bus terminal, or theme parks. The target corner must be places where people usually go to.
- Map of Your Desired Location. You do not literally have to create your own detailed map, but rather a sketch of the location that you are eyeing. It is important to include the landmarks and the specific location. Other areas may be included such as if it is near a church or school, or waiting areas so that the franchiser will be more interested in your application for having a wise choice of location. Aside from the sketch, you should also include photos of the place where you desire to put up the business so the franchiser will have an idea of what the place looks like even though they haven’t visited the site yet.
- Updated Resume/Curriculum Vitae. Flaunting your management skills through a resume or curriculum vitae is a clever move because it creates a good impression. Like in trying to enter a company, you must include your best skills and specializations that will be useful to the position that you are applying to. It is just almost the same as applying for a franchise. You have to impress them through papers so there is a greater chance that they will phone you back and schedule a meet up to settle important matters.
- 2 Valid (preferably government) IDs. It is always convenient to have more than one backup ID most especially the government-issued ones because most of them have digital identity verification. Government IDs usually contain some of the important personal information such as name, address, and birthday. These are preferable to give a more sold verification about your identity.
Everything seems just like a piece of cake, isn’t it? There is a big chance that the majority of the requirements were already available even before you have thought of becoming a franchisee of Potato Corner.
After ticking all the boxes, make yourself ready to go through a not so painful process in applying for the franchise. It might take some time, but there is no need to worry about the steps because Potato Corner won’t shake you down.
Timeline to Franchise Potato Corner
You need to count a few weeks for the approval process after you accomplished all the requirements needed. Even it takes a month for your application to be processed, the procedures before the full completion of the approval are not as hard as you think. Potato Corner will be your guide to get through the process and to be completely part of this global food franchise that gives the highest net income margin in the franchise industry.
Here is the process you need to undergo before you see those fries lovers forming a long line at your kiosk to taste the brand that everybody likes.
Wait for Call Back. Once you submitted all the requirements, you must wait for at least a month before they will schedule a meeting. The processing of paper does not happen overnight given that there are many potential franchisees who are trying to invest in Potato Corner. You need to wait patiently, and once the meeting is scheduled, it may be the same day for the site visit of your desired location or may be scheduled at another time.
Site Visit. After you receive a call, the next step is to have a meeting with the franchiser and have a site visit. During the site visit, the location will be analyzed by considering the potential buyers of the area who might want to get quick snacks. They will also analyze the price range of other stores around the desired location and how tight the competition in that particular place is. Through this inspection, the success rate of the business can be calculated.
Get Ready for the Shaking. Once approved, you and your crew will be trained on how to cook the tasty and crispy fries as well as some basics of the brand. Here, you will learn their iconic shaking ritual and serve the fries fresh and fast. Setting up the stall and utilizing the equipment will also be part of the training. In-store immersions will also be done so that the franchiser will have a big picture of what usually happens on a day-to-day basis. This scrutinized yet light training and inspections assure the quality not just of the product but of the service as well. It also gives the confidence of the franchisee that they are not alone in their entrepreneurial journey.
Seal the Deal. After submitting all the requirements and meeting their standards through the rolled-out training for beginners, it is now time to close the deal. Grant meeting and contract signing will follow. You are about to start securing payment for the package that you want to franchise. Their franchise package includes a cart, small wares and equipment, initial supplies, and franchisee and crew training. Take a look at these package deals and make your best choice that will fit your capability to invest.
|Store Outlet Type||Area Necessity||Amount of Investment|
|School Cart||1.2 meters||P230,000|
|Standard Cart||1.8 meters||P385,000|
|Kiosk||2 x 2 meters||P400,000 – P600,000|
|In-Line Store||approx. 4 x 4 meters||P600,000 – P800,000|
|In-Line Dine-in Store with Seating||approx. 4 x 4 meters||P800,000 – P1,200,000|
There you go. There is no stressful process to go through in franchising Potato Corner because everything was already perfectly modeled—just enough to push the entrepreneurial spirit of Filipinos. Upon closing the deal, the care for their franchisees does not end there. Potato Corner continues to roll out training and seminars to help the franchisees become better entrepreneurs.
The business success and their simple requirements and process win many investors because the company proves that entrepreneurs can make a lot of money without the need of putting up fancy restaurants.
How Much Will You Earn
Finally, the most important thing that you will consider is the return on investment of the franchise. But take note that these are just projections and may vary any time, but at least you already have projections to help you track how your business is doing.
Based on the own calculations of Potato Corner, if have approximately P5,500 income a day which sums up to gross sales of P165,000 within a month, you can gain at least P32,576 net worth per month after deducting the costs for food, the electric bill, rent, and labor costs among others.
Of course, these are just estimations and may still vary at any time. The profit will greatly base on the corner where the food cart is put up. The common anticipated gross margin is about fifty percent which is much higher than other franchises. If you want a pot of gold within a short period of time, you must consider the most fundamental component – the location of your kiosk or cart.
In every corner, there is someone who loves Potato Corner. Once you already secured the most crowded corner then you do not have to think about the ages of people around it because almost everyone drools over French fries.
For more information about Potato Corner check their website here.