The Philippine economy is significantly driven by micro, small, and medium-sized enterprises (MSMEs), which make up nearly 100% of the 1,109,684 businesses recorded in 2022, according to the Philippine Statistics Authority (PSA). Most of these are micro-enterprises, while large corporations account for only 0.41% of the total.
If you’re considering starting your own business, understanding how to write a business plan and choosing the right structure (e.g., sole proprietorship or one-person corporation) are essential first steps. Below are 15 small business ideas to explore, categorized by initial capital requirements.
Low-Capital Businesses (₱60,000 or Less)
- Fashion and Beauty Reseller
- Initial Costs: Clothing, beauty products, packaging.
- Market: Highly competitive but profitable with a niche (e.g., sustainable fashion).
- Tip: Build a strong supplier network and focus on online marketing.
- Home-Based Hair and Grooming Services
- Initial Costs: Grooming tools and products.
- Growth Potential: Build a steady client base through word-of-mouth and an online presence.
- Event Planning or Hosting
- Initial Costs: Networking and basic equipment (laptop, tools).
- Specialization: Weddings, birthdays, or corporate events for higher success rates.
- Business Consulting
- Initial Costs: Networking, certifications, and software tools.
- Scope: Cover areas like finance, marketing, or sustainability planning.
- Bookkeeping and Accounting Services
- Initial Costs: Licensing, bookkeeping software, and a scanner.
- Demand: Growing needs from small businesses and freelance professionals.
Moderate-Capital Businesses (₱60,000–₱200,000)
- Cleaning Services
- Initial Costs: Cleaning supplies and protective gear.
- Clients: Residences, offices, or condo units.
- Future Expansion: Implement online booking systems for convenience.
- Repair Services
- Initial Costs: Basic repair tools and training.
- Opportunities: Appliance and gadget repairs, with potential for niche services.
- Meal Planning and Delivery
- Initial Costs: Cooking equipment, packaging, and ingredients.
- Market: Target busy professionals with healthy meal options.
- Graphic Design Services
- Initial Costs: A computer and professional software.
- Scope: Offer logo creation, marketing materials, or social media templates.
- Web Development
- Initial Costs: Web-building tools and a computer.
- Clients: Small businesses and professionals in need of online portfolios.
High-Capital Businesses (₱200,000 and Above)
- Photography or Videography Services
- Initial Costs: Cameras, lighting, and editing tools.
- Focus: Niche markets like weddings, editorial, or product photography.
- Food Cart or Kiosk Franchise
- Initial Costs: Franchise package and site preparation.
- Brands: Popular options include Potato Corner and Siomai King.
- Laundry Shop
- Initial Costs: Washing machines, detergent, and a rental space.
- Location: Essential to target high-demand neighborhoods.
- Real Estate Consulting
- Initial Costs: Licensing and marketing tools.
- Specialization: Residential, commercial, or property management services.
- Car Wash or Detailing Services
- Initial Costs: Cleaning tools, space rental, and hiring staff.
- Strategy: High visibility locations with competitive pricing.
Key Considerations Before Starting
- Register Your Business: Small businesses with annual income under ₱250,000 are exempt from income tax. Prepare required documents and register with the Department of Trade and Industry (DTI), Bureau of Internal Revenue (BIR), and your local government unit.
- Invest in Growth: Over time, additional expenses like certifications, equipment upgrades, and marketing will be necessary to sustain your business.
Kickstart Your Entrepreneurial Journey
With these ideas, you can choose a business aligned with your skills, passion, and budget. For assistance with business registration or renewal, consult organizations like Loft for professional support.