Building From the Ground Up

"We've got the pieces," Leo said, addressing his managers, "now we need to build a solid foundation."

He'd realized that sustainable growth wasn't just about finding new revenue streams; it was about refining his operational processes, strengthening his team, and developing a long-term strategic plan.

"Our employees are our greatest asset," he told Carla and Mang Ben. "We need to invest in their training and development."

He organized workshops on customer service, food safety, and operational efficiency. He also encouraged his employees to take online courses and attend industry seminars.

"We need to create a culture of continuous learning," he said. "Everyone should have the opportunity to grow and improve."

Team Development Expenses:

Employee Training Workshops (materials, facilitators): 15,000 PHP/month Online Course Subscriptions and Seminars: 5,000 PHP/month

He then turned his attention to developing a long-term strategic plan for his businesses. He envisioned a future where his businesses would not only thrive in Manila but also expand to other regions and potentially internationally.

"We need to think big," he said to Ana. "We need to plan for the next five years, the next ten years."

He started exploring the possibility of franchising his cafe/food stall business. He saw potential in replicating his successful model in other cities and provinces.

"Franchising could be a great way to expand our reach," he said. "But we need to do it right."

Franchise and Expansion Planning Expenses:

Franchise Legal Consultation (initial): 20,000 PHP Franchise Documentation and Manual Development (estimated): 30,000 PHP

For his dried fish business, he recognized the need for a better location, one that could also function as a warehouse. His current storage space in Quezon City was becoming too small.

"We need a centralized location," he said. "One that's easily accessible and has ample storage space."

He started scouting potential locations, considering factors like accessibility, security, and cost. He also looked into purchasing a property, recognizing the long-term benefits of ownership.

Warehouse and Location Expenses (Potential):

Warehouse Rental/Purchase Consultation (real estate agent): 5,000 PHP Potential Warehouse Lease Deposit (estimated): 100,000 PHP

Operational Efficiency and Customer Service Improvements:

Increased Cafe/Food Stall Revenue (improved customer service): 5,000 PHP/week Increased Dried Fish Business Revenue (streamlined operations): 3,000 PHP/week

Potential Franchise Income Example (Hypothetical):

Initial Franchise Fee (estimated): 150,000 PHP

Calculations:

Increased Revenue (Operations): 5,000 PHP (cafe) + 3,000 PHP (dried fish) = 8,000 PHP/week

Adjusted Weekly Revenue:

Dried Fish Business: 563,000 PHP + 3,000 PHP (operations) = 566,000 PHP Rental Property (Monthly converted to weekly): 4,250 PHP (consistent) Cafe/Food Stall: 133,000 PHP + 5,000 PHP (operations) = 138,000 PHP Total Weekly Revenue: 566,000 PHP + 4,250 PHP + 138,000 PHP = 708,250 PHP

Adjusted Weekly Expenses:

Dried Fish Business: 14,000 PHP (consistent) Rental Property (Monthly converted to weekly): 250 PHP (consistent) Cafe/Food Stall: 51,000 PHP + 3,750 PHP (training) = 54,750 PHP Total Weekly Expenses: 14,000 PHP + 250 PHP + 54,750 PHP = 69,000 PHP

Adjusted Weekly Profit:

Weekly Profit: 708,250 PHP - 69,000 PHP = 639,250 PHP

Remaining Capital Update:

Previous Capital: 2,432,350 PHP Franchise Legal Consultation: -20,000 PHP Franchise Documentation: -30,000 PHP Warehouse Consultation: -5,000 PHP Potential Franchise Fee: +150,000 PHP Potential Warehouse Lease Deposit: -100,000 PHP Weekly Profit: 639,250 PHP Remaining Capital: 2,432,350 PHP - 20,000 PHP - 30,000 PHP - 5,000 PHP + 150,000 PHP - 100,000 PHP + 639,250 PHP = 3,066,600 PHP

"We're building a strong foundation," Leo said, "one that will support our growth for years to come."

He was learning to think strategically, to invest in his team, and to plan for the future. He was building a business that was not only successful but also sustainable and scalable. He was proving that with careful planning and a commitment to excellence, anything was possible.