Something you might want to remember as we explore this avenue of helping others in your family while also helping yourself:
Entrepreneurship is about solving the problems of society, not starting a business for one’s own sake
Hardly a day goes by that I don’t get a personal request for help about starting an Internet Cafe (or as they are almost always called here in the Philippines, a “Computer Shop” … if you didn’t know that you are already way behind.
It is possible to start and successfully run a computer shop … but … there are so, so many better opportunities to my mind. Read that quote again and think about the highest and best purpose of a computer shop, versus the highest and best purpose of something that, perhaps, raises food, tutors children and adults, provides cheap transportation, a restaurant that provides 20 jobs from the local barangay, etc., etc.
I’m really not trying to dictate what people ought to do, but I question, myself, if the fixation on “Computer Shops” isn’t, in large part, due to the fact they seem to resemble playing online a lot and the hard work, communication and control that has to go into any business just seems to somehow get lost in the ambience.
Whatever business you may decide to employ family members in, or to help family members start and run, is going to face a number of challenges. The central issues, from my perspective, is control and communication … and the two go hand and glove.
For every horror story anyone can come up with regarding a family business failure here i the Philippines, I can pretty much guarantee that poor communication is going to be a root cause.
Let’s look at a typical example. A bright sister-in-law has no income. Someone proposes the idea that she start a sari-sari store in her home. Sounds ideal. She knows all the neighbors, she has a pleasant, out-going personality and she can earn a small living while still being at home with her children.
So some rudimentary planning takes place (ignoring, often, how many other sari-sari stores are right on her same block … an amount of money for conversion of the front room into a store and initial stock to sell is decided upon, money changes hands and then … what?
A month or more later the benefactor .. usually a foreigner relative or an OFW family member in the States, finds out that:
a. The store conversion never really happened
b. The initial stock got purchased, but mainly other family members and fiends ‘ate it up’. (There is probably a shoebox full of IOU’s)
c. In an effort to avoid the embarrassment of confessing failure, the sister-in-law is now in hock for more than the original investment to some local “boombay” (money lender) at 5/6 rates (20% PER MONTH interest.
If you happen to be on the investment side of this transaction, nobody could blame you for being pretty disappointed and even downright pissed off … but let’s think this through.
Nobody involved on the Philippine side really had any practical business knowledge. Nobody had anybody to talk to, receive guidance, or even be told NO when needed. And anything and everything that was done wor0ng was done wrong over time … it could easily be corrected … if anybody (I have been waiting for hundreds of words now to say this) …had been minding the store
How could communication have helped prevent this disaster? I don’t have all the answers, but here’s a few tings I would have done as a non-negotiable part of the initial investment.
Put a cheap PC (a laptop would be best for reasons I’ll go into later) in the store area, as close to the point of sale as possible.
Hook that PC to the Internet, and if the connection is Wi-Fi, secure it from day one so you aren’t providing Internet service to all the neighbors also.
Set yourself up as the administrator of that PC and DO NOT allow anyone else administrator access.
Install a remote monitor and control program like TVNC or any of the dozens of other good, free ones out there.
Install a headset (or USB keyboard with telephone handset, my favorite) and Skype or Yahoo Messenger
Buy a USB video surveillance package … less than P5,000 for four cameras, and put the cameras in strategic locations.
Install a simple home finance application like Microsoft Money, Quicken or (free and a good one) PLCash
Work with your prospective store manager until s/he understands how to enter sales, expenses and other transactions and keep the simple account balanced.
Go to a local bank with a good online banking service and open a Peso account, joint, with the storekeeper. Get an ATM card and your login data for the bank account.
Sounds like a lot of steps but you can do this all in a day or two. You can also have someone on the Philippine end do it for you remotely if you can’t come to the Philippines yourself (you won’t be able to pen the account jointly, but you can demand the log in to the online banking service so that you can monitor the account and all transactions regularly)
Last step? Train, practice, love and encourage.
Once you have the storekeeper following a daily routine, entering all transactions in the computer, taking money to the bank to deposit regularly, using the ATM card to withdraw so there is a permanent record, and (most important, I think) after you are back home, talk to and encourage your storekeeper on a daily basis … hourly when s/he has problems …it’s totally free to talk computer to computer with Skype or one of the other VOOIP programs like it, ad you can watch your nieces and nephews grow up in front of the camera as well.
One thing I have found for sure, living here in the Philippines now for nearly 4 years. When something gets watched, it gets done. When people get watched AND ENCOURAGED, they do great wok. When money gets tracked and properly managed, it doesn’t disappear.
Use the power of the Internet connecting people to people and see if it doesn’t make your sari-sari store 9or whatever other venture you try) stand out as a success story in a sea of failures.
A few technical notes.
Why a laptop? Small footprint, low power consumption, built in uninterruptible power supply … it’s called a battery.
Why maintain administrator control? You know others are going to use this machine .. and why not, it’s there. But let kids explore the ‘net in the Philippines and in a week the machine will be so clogged with viruses, Trojans, etc. you may never get it running right. Lock it down, control downloads and installation of outside software, and use a good antivirus program set to run daily.
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I then told her something else. I was not interested in her
g> being sorry. In fact, I hate that aspect of living almost everywhere in Asia. If a mistake is made, ok already. A simple apology is enough. You know, most every time I have made another person deeply sorrowed, I probably have been in a situation where I was sorry myself. I said something like this:





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