Sari-sari stores have been a tradition of community-based micro consumer businesses and have in fact become a basic entrepreneurial institution in the Philippines. They pop up here and there, often side by side.
But do they really make money?
A decent start with this business costs about P50,000. Some start it with P30,000 or less. But if the sari-sari store itself is not yet constructed a capital of P70,000 to P100,000 could be realistic enough.
A 16 square meter area ought to make for a spacious sari-sari store and would cost some P48,000 to P50,000 to construct if we use a P3,000 per square cost estimate factor. With a P70,000 capital and a P48,000 sari-sari-store construction cost, P22,000 is left for merchandise capital.
This remaining capital is distributed to at least 5 basic product items: canned items, sweets items, drinks items, plain food items, and miscellaneous items. We have left out wet items, hardware items, accessory items, and gifts and novelty items---items that can also easily make money. They may be added at a later time.
Say, for canned items we put P5,000, for sweets P2,000, for drinks P7,000, for food P5,000, and for miscellaneous P3,000. Drinks need more capital for buying drink cases and bottles in this business. Often, the experience among sari-sari store owners is that drinks, sweets, and canned items are the top three products that really make money. Under drinks are included soft drinks and beer and liquor. Sweets include affordable chocolates and candies. Canned items are sardines, corned beef, tuna, salmon, and cooking oil.
Then, we need to have a return of investment at the soonest possible time. If daily sales of the sari-sari store amount to P3,000 and three quarters of that is capital, we earn clean P750 daily. Not bad for a business to make money. We allot P150 of that for food for a day, P15 for next year’s business permit renewal, P135 for light and water bills for the month, P100 for miscellaneous. So we have P350 as daily savings. Now we have a good idea of how long before a capital of P50,000 or P70,000 can be returned to us. A P50,000 investment will take some 143 days or some 5 months to break even. That is if we make P3,000 sales daily.
Sari-sari stores have been around to make money for countless small proprietors. It is a business worth considering for a gradual entrepreneurship take off.
Thank you for the information..it helps me so much for my assignment.
I found your article on Sari-Sari Stores insightful and interesting I looking at soon other business maybe you can help. Between these for business I sure I am not the only person enterested in this information.
question #1 How feasible are bakery's
question #2 How feasible are internet cafes
question #3 How feasible are carenderia's
This article is interesting, can you email to me tha business plan and budget to start this business like business permits & other.
thanks.
i think a 25 percent gross profit specially for drinks is way too high even for a sari sari store. a 15 percent gross is more sustainable considering the fact that many drinks today have their srp printed on them
Great info. would like to get extra hidden cost ,permits etc...thank you,,great site
I really enjoyed reading this and I want to start my own sari-sari store in our neighborhood in Quezon Province or in Sucat Paranaque. I am currently working abroad and would like to more of the estimated budget if I have my own space to put it up and other requirements like business permits and all. Please email me the details at the soonest possible time. Thank you.
I am planning to build a sari sari store,,then am renting a place,,,do you think i can gain profits here?
i love this site.....
That's really informative...My colleagues and I are planning to put up this business near a University in Cebu City(not a bad place to start with,huh?)...We'll also need all the help we need to avoid too much expenses... getting free fridge from Coke/Pepsi will also help...We'll definitely need your advise in the future.. as of now, we're consolidating the budget aloted for this business... we'll start from there... until then... thank you for the shared knowledge...
hello! i found the article interesting -- it has the detailed explanation specifically on the financial aspect. i am currently doing a research on daycare centers/ play school as i am interested to put up one in baguio city. How feasible are playschool-daycare centers? thankyou
I really interested in this...Please email me the plan and the requirement for me to start..Thanks and God Bless
i would want to know the estimate budget of sari-sari store and karinderia including all other requirement business permit? thank you, hope you can reply it to me all the details...
Hi! I found your post very interesting because i would like to put up a sari sari store. Can you please email me the detailed information on how to plan and run the business even if i am not the one managing it. Please help me out because my sister will be the one to manage it and i would like her to see your business plan. Id like to name it 24 hours store, the location is great, it is accessible to the commuters. thank you so much. I appreciate your great help. keep on posting and more power
I love making money of my own. Since I was in Elementary life, I'm dreaming about sari-sari store someday or a small business like this. I was able to do everything of my own and taking advantages of what I really want to do. This was a simple yet small to large making money. thanks for this site..
Godblesss!
I'am really happy that you share your information here online..but I need a detail business plan . Please kindly send me your SAri sAri store business plan.
Thank You.
Thank you so much for the interesting article. I'm just renting a space to put up a small business. I would like to know more of the estimated budget for a small business and requirements needed. Please email me the details. Thank you.
Hi there,
just after the same as as jasmine. I am looking at doing something like that in Cebu. With a combined Eload, Cellphone sales and repairs, and Internet Cafe. would love some of your advice. Really enjoyed the article. I am an australian married to a filipino wife. We are both 25, and are looking to live there in 5-10 years. With a plan to do a start with a Sari Sari+the above ideas, a year later a Bar, then eventually a Resort...then finally on the resort a Golf Course. We will continue to work and save in Australia. Before we even consider step one.
Hope to hear from you.
CJ
Finally, the article I've been looking for. If you have some more articles on sari-sari stores, please give me links.
Thanks so much
May I request for a data as to how many Sari-sari-store in the philippines per region. I'm thingking of SSS as a new target account for my products. Thanks!
how to write a business plan for sari-sari store?
Thank you for the information,i really enjoy reading this, because I want a sari - sari store business someday, me and my boy friend plan about this business.I got some idea. Thank you.....
hello good afternoon can i ask u how to write a business plan for mini groceries,, and what requirements do i need to have permit what kind of permit i will take, business or building permit???? please email me asap thanks and more power!!!!
thanks!atleast i've learned how to budget my 150t in constructing and putting sellable goods in it.thanks to phil insider for giving business advice to new comers who wants to be an enterpreneurs
Thank you for this very informative content about the sari sari stores set up that you published here online. I will appreciate more if someone can give me a detailed practical guide in handling a sari sari store. I am forecasting a capital worth 500,000 for this. We owned the land. I believe construction of the store eats much of the portion of my budget but what I need badly is on how to manage the store efficiently and effectively. Hope to hear a response from you. Please send me if you have an information about effective store management in general.
Hi,
Can i have a list of a few contact numbers of Sari sari stores, at any city at Philippines
I'm glad to read this article and it could really help a lot in our thesis. Can I ask a question, how feasible the advertising campaign in a sari-sari store? That's our resarch study. Thank you.
how can we make a business plan with in the sari_sari store?
Everyone here is asking how to start a sari-sari store including write a whole business plan. If this is what the author intended please write a further article or write an ebook and sell it. That ebook would really be worth something.
I must remind you all that your income is not something you can easily budget when it comes to Sari-Sari stores.
Try, fail and learn is what it usually takes. Many OFW's are letting their family run a store because the income is not that important. More important to not just let them sleep outside on a bench. This business does not demand much investment and therefore way too many businesses are put up.
how to make a business plan for sari sari store and some tips to make it successful.tnx
Hello Sir! My parents put me through college by starting on a small sari-sari store years back when me and my brother were just babies. Now It has really become sucessful. I need help sir in my research. Please send me your whole name so I can quote you in my research. Thank you very much! and Blessed day to you always. 🙂
Can you pls. Help me how to handle internet cafe and what are important things to know about it .. Where do i can apply internet and where do i can borrow some computers .. Some says there are some companies like smart promo of 5+1 computers and internet .. I dont know much or knowledge about running a business like this .but im planning to have this in my place .. Can you pls. Email me some details about it . By the way how much capital it will cost .. Thank you ,hope you could help me !
I am interested in putting a business like this and your article gives me information about the capital requirement but I'd like to ask what are the things to consider in putting up this kind of business(sari-sari store) aside from that stated above(capital). how about permits? your answer will be so much of help. thank you.
but how they manage a sari-sari store?
may i know the author?
may i know the author?
may i know the author?
may i know the author?
may i know the author?
may i know the author?
may i know the author?
may i know the author?
im conducting studies regarding market potential for an alternative sari-sari store enterprise.. do you have a feasibility study that might help me in this endeavor?
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nice business