What to do when you're ready to expand your business
MANILA, Philippines – Filipinos are an enterprising lot: in this country, almost every street corner has a sari-sari store, every neighborhood a homegrown café or restaurant.
And in the age of social media, a quick look on Instagram or Facebook would show budding businesses selling organic cosmetics, clothes and shoes, bags – even potted succulents!
In business-speak, these are just some of the many small and medium-sized enterprises (SMEs) thriving today.
If you’re an SME owner looking into expanding your own business, here are some things you need to keep in mind.
The Filipino SME landscape
There are thousands of SMEs in the Philippines today. They make up 9.63% of all businesses in the Philippines.
In 2015, SMEs were able to generate 2.5 million jobs, proving its invaluable role in driving the economy forward.
Whatever business you have, it’s possible for you to grow it in time. According to the Department of Trade and Industry, the top industries SMEs are engaged in are wholesale and retail, accommodation and food services, manufacturing, information and communication, and finance and insurance.
Running your own business is advantageous in so many ways. It’s fulfilling, especially if it’s something related to your personal passion. You also grow financially while helping others, whether they’re customers or your staff, along the way.
Most importantly, running your own business enriches your life as you become more business-savvy, creative, resilient and at the same time helping the community by providing service or employment in the process.
And when the time is right, you might want to consider expanding your business. Whether it's by acquiring a larger space, building a new branch, or simply adding more to your existing equipment and inventory to augment production.
The right time to expand
But how do you know if it’s the right time to expand?
Ask yourself these questions. Is my profit stable? Is there a growing demand for my products/services? Are my competitors growing and evolving? Do my customers have more needs and wants? Do I want to tap new audience markets?
If your answer is yes to all these, then you are ready to take your business to the next level. (READ: Are you ready for more?)
However, if you can't merely depend on your personal savings to fund your expansion, it’ll be wiser to consider a bank loan instead.
BDO offers you financing options with your specific business needs in mind. With BDO SME Loan, you can immediately respond to prospects and manage challenges in your business. You can borrow up to P20 million and enjoy flexible payment terms.
BDO offers competitive rates, expert loan advice, and accessibility and convenience when you apply for a BDO SME Loan at any of the over 1,100 BDO branches nationwide or online.
Expect expansions to demand more from you, may it be time, energy, or money. You’ll definitely need more than resilience and creativity in order to grow your business.
Ready to take on that next step and grow your business to its full potential? Find out how you can apply for a BDO SME Loan here. – Rappler.com
Take your business further. BDO SME Loan has credit facilities that can help finance your expansion plans. To know more, click here.