By Bernie Cahiles-Magkilat Homegrown start-ups in the franchising sector have proven themselves more viable, generating P54.07 billion in gross sales and receiving P450 million in new investments from aspiring small Filipino entrepreneurs in 2018. The Association of Filipino Franchisers Inc. (AFFI), which is slated to mount the 17th Franchise and Business Expo on February 1-3 at the World Trade Center, revealed that their 221 members have achieved a total of 16,093 outlets of which 64 percent have been franchised and only 36 percent are company-owned. These franchisers have been in operation for 10 years. AFFI members employ 96,558 Filipinos. AFFI Vice-President Jorge Noel Y. Wieneke III said the 2018 gross sales reflect a 35 percent increase versus the 2017 sales of P40 billion. AFFI expects between 25-30 percent growth in sales this year. For the new investments, Wieneke said the amount was based on an average of 5 new franchisees that each member was able to close in 2018. Each franchise has average cost of P450,000. AFFI President Marie Joyce Co Yu stressed that AFFI focuses on homegrown and small franchises with price range of P350,000 to P1 million although they have franchise members that offer franchise opportunities of as much as P3 million. Wieneke attributed the strong performance of their members to the popularity of franchising to Filipinos as the government has strongly encouraged entrepreneurship and franchising as one sure way to succeed in business. Returning overseas Filipino workers are getting franchises while those still working abroad have put up franchise business for their families back home. AFFI Chairman Eric Caeg said they have a good success rate of 8 out of 10. This means their franchises attain faster return of investments and they did not close within the contract period. Majority or 60 percent of franchisers are in the food business and 40 percent in the services sector. Meantime, Yu said the three-day expo with the theme “Galing ng Pinoy: Local is the new Focal” will focus on local businesses by encouraging more investors and would-be entrepreneurs to invest in local brands. “We will continue to showcase the inherent creativity and innovative mindset of our entrepreneurs at the expo, which remain part of our commitment to our mantra: ‘Para kay God, Para sa Bayan, Para sa AFFI,” said Yu, who owns Trueblends Tea & Coffee. More than 300 exhibitors from food retailers to service providers are expected to grace the event. Some of the highlights during the expo include entrepreneurship talks, on-stage demonstrations, mentoring sessions, in-depth seminars, a business walk tour, and cultural and product presentations.