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Showing posts from February, 2009

How To Build An Emergency Fund And Why It Is Important

Having an emergency fund is a necessity for everyone. It’s quite common sense to always have readily available cash for unforeseen expenses.
However, despite this fact, many do not have an emergency fund. And even if they do, it’s usually not enough.
I asked some friends if they have an emergency fund and fortunately, 6 out of 10 have one. Nevertheless, only 2 of them have more than one month’s worth of expenses saved. Which brings us to a common question about emergency funds:

How much money should you save and keep as your emergency fund?

There is no precise answer to this question. But it’s best practice to have at least 3 month’s worth of your usual monthly expenses saved. The optimal amount actually depends on the stability of your income sources. Single regular employees are usually good at 3 months but married professionals should consider having at least 6 to 12 months worth of expenses as their emergency fund.
I guess the most practical way to know how big your emergency fund shou…

How Banks Work

The funny thing about how a bank works is that it functions because of our trust. We give a bank our money to keep it safe for us, and then the bank turns around and gives it to someone else in order to make money for itself. Banks can legally extend considerably more credit than they have cash. Still, most of us have total trust in the bank's ability to protect our money and give it to us when we ask for it.

How do banks make money?

Banks are just like other businesses. Their product just happens to be money. Other businesses sell widgets or services; banks sell money -- in the form of loans, certificates of deposit (CDs) and other financial products. They make money on the interest they charge on loans because that interest is higher than the interest they pay on depositors' accounts.The interest rate a bank charges its borrowers depends on both the number of people who want to borrow and the amount of money the bank has available to lend. At the same time, it may also be affe…

How to put up a pawnshop business

As promized, here's the manual on how to put up a pawnshop business. I bought this from TRC e-library.


I tried to make a thorough research on this one, but sources are limited. I will try to add info once I get more details.

Call Bangko Sentral ng Pilipinas (BSP) pawnshop hotline, (02)524-8713, to check if the pawnshop name you want is already taken.Register your business either at the Department of Trade and Industry (DTI) for single proprietorship, or the Securities and Exchange Commission, for partnerships or corporations.Only Filipinos may own a pawnshop organized as a single proprietorship. For partnerships and corporations, foreign ownership should be limited to 30 percent.Secure a business permit from the city or municipality where pawnshop will be located.Register with the BSP. For the complete checklist of registration requirements, check here. These include permits from the DTI or SEC …

How Pawnshops Work

A pawnbroker makes loans on personal property left as collateral. The property can be redeemed when the loan plus interest is repaid.

The interest rates for pawnshops, may range from 5% to 7% a month. Loans can usually be renewed, but only if the interest for the original period has been paid.

Pawnbrokers will accept a variety of personal property as collateral. Aside from jewelry items and appliances, most pawnshops accept electronic gadgets such as mobile phone, digicam, videocam, magic sing, and the like. Inquire from the pawnshop nearest you for the other items accepted for pawning. Pawnshops won't lend more money than they think they can get if the pledged item is not redeemed and has to be sold. They would need to test the item you submit so that they can give you the proper appraisal value for your item.

When a pledged item is not redeemed, brokers are required to notify pawners that the loan period has expired and to give them a final opportunity to redeem their personal pr…

How to Register Your Business in the Philippines

If you are putting up a business in the Philippines, it is mandatory to register it before you start operating. If it is a sole proprietorship, you have to register with DTI (Department of Trade and Industry). If it is partnership or corporation, register with SEC (Securities and Exchange Commission).

I. Business NameYou have to choose your business name carefully to distinguish it from your competitors. Your name must describe the nature of your business. It is your identity in the marketplace.

A. Choose a business name - Think of at least 3 business names
Guidelines for acceptable business names:The root word or words of the name shall be considered.Describes the nature of businessComprised solely of letters and/or numeralsPunctuation that are part of English and Filipino languageNames that are not acceptable:Those which are or whose nature of business is illegal, offensive, scandalous, or contrary to propriety.Those which are identical or which nearly resemble business names already r…

Get Creative in Recycling

Now with some creativity, earning more money from waste is within every Pinoy family’s reach. Ever heard of Bazurabags? How aboutvermi-casts, organic fertilizers, briquettes, and flower pots out of sando bags and polystyrene? These are garbage, recycled and converted to “new” products, with the potential to rake money for the “creative entrepreneur”.

Take the case of the K.I.L.U.S. Foundation (in Barangay Ugong, Pasig), makers of the internationally-famous Bazurabags. K.I.L.U.S. Foundation is an association of the women of Barangay Ugong, who pioneered the search for livelihood opportunities from garbage, converting non-recyclable juice containers to colorful, fashionable bags.

Who would have thought that discarded doy packs could again be made useful? The women of K.I.L.U.S. Foundation did, and now, they are earning dollars from the bags. So for families with doy packs to discard, sell them to the K.I.L.U.S. Multi-purpose Environmental Cooperative at 36 C. Santos St., Ugong, Pasig City…

When Recession Equals Opportunity

It's a sad fact that pretty much everybody knows people who have lost their jobs in this recession. But sometimes, hard times can turn into opportunity. An article in USA Today states that a recession is a great time to start a business.Did you know that Trader Joe's, Disney and Hewlett-Packard started during recessions? But it's not just big companies arising in troubled times. Many mompreneurs view the recession as an opportunity to launch their businesses. Starting a business at any time is hard work. But these economic times create a fierce desire for success. Many moms are rethinking their careers after being let go or thinking about what career move works best for their families, and more than a few are choosing to chase their dreams rather than be at the mercy of an employer. After losing their jobs, what do they have to lose?

Certified meeting planner Cynthia Capizzo has worked in the meeting and event planning business for 15 years. In the back of her head, she…

Cross-stitching anyone?

I started cross-stitching way back college days and I still continue up to now. I find it very fun and rewarding. I bought an angel pattern (Angel of Grace) last November 2008, and now it's done. I just need to set aside some bucks and get it framed.

There are so many free patterns online! Now you can also convert your favorite photo into a cross-stitch pattern without purchasing stitch-a-photo software and the like. So if you have a favorite photo or a favorite postcard that you would like made into a cross stitch pattern, you can try uploading them through pinoystitch.

Your photos should be in jpg format. If you are not sure your photo will make a good pattern, you can email them your photo and they will give you immediate feedback. Your photo to pattern service includes a generated image of the finished pattern plus a PDF file of easy to follow chart with estimated floss usage. It would take around 2 - 3 business days for the cross stitch chart to be delivered to your email.


Franchising Business

Franchising is a business model where a person buys the license to do business under an existing business’ trademark and methods in exchange of a royalty fee.

Franchise Opportunity Checklist:

Step 1: Do I Really Know Myself?
What are my natural aptitudes, skills and talents?Am I physically and temperamentally suited for self-employment?Do I have the ability to work hard?How will my family be affected by my decision and the calls the business will make on my time?Do I mix well with people?Am I prepared to deal with difficult employees and customers?Do I possess sufficient financial resources to enable me to start a business and survive while it is struggling to become established?Am I able to raise sufficient finance?Am I prepared to put whatever assets I now possess at risk?Will the business be sufficiently challenging for me? Does it excite me?Am I prepared to handle the everyday details of running a business?Am I determined enough to succeed?What do I want to achieve in life?What am …

Seminars and Training Programs

There are agencies who offer detailed and specific training programs on livelihood skills and technologies, as well as business management. Should you be interested in attending these programs, you can call the following organizations or visit their websites:
PTTC tel # (02) 4688962-64, 8319988TRC tel # (02) 727-6205 loc. 208, 209 TESDA tel # (02) 8175030, 8153360UP-ISSI tel # (02) 9287076-79Nego-skwela tel # (02) 4330637 / 4330621 Business Coach tel # (02) 727-5628 / 727-8860ABS-CBN Bayan Foundation tel # (02) 929- 3273 local 241/ 410- 3453You can also download the DTI-PTTC 2008 Compendium of HRD and Entrepreneurial Training Program here, which is a list of all the training and entrepreneurship development programs being offered by government agencies which seek to provide existing and potential entrepreneurs with the necessary skills and knowledge to become competitive players in the local or global market.

Some schools such as Entrepreneurs School of Asia {tel # (02) 638-1188} offer…

Where can I get capital for my business?

Start-up businesses can get capital by seeking loans from formal lending institutions like banks/ rural banks, cooperatives or Micro-Finance Institutions (MFI’s).

However, some budding entrepreneurs don’t access conventional financing because of fear of documentary requirements, lack of collateral, or inexperience. They end up digging into their savings, maxing out their credit cards or mortgaging their homes. In fact, home-equity loans are one of the most popular borrowing routes.

But there are other ways of getting capital funding. One is borrowing against your insurance policy -- provided it is a cash-value life insurance. It cuts the value of your insurance benefit, but if you’re relatively young, you’d still have a long time to pay it back. Interest rates typically run in single digits.

If you’re an employee, you can also access other sources of low-cost cash through your state pension funds – SSS or GSIS salary loans or a PAG-IBIG Fund Multi-Purpose Loan . They usually let you b…

What is a business plan (with template)

A business plan serves to:
Outline your foreseen company's finances, management team and marketing strategy.Present plans on how your idea will be commercialized.Prove your ideas’ financial viability.
If you are to avail of loans and other financing options, a business plan tells the lender why and how your business will be able to earn enough money to repay them within their terms.

Writing down your ideas and plans also takes out the guesswork. Consider the following questions:
Which consumer need/s will your service or product address?Who are your potential customers and why will they purchase from you?How will you reach your potential customers? How will the idea be transformed into a viable product and brought to market?Where will you get the financial resources to start your business? A rock-solid business plan does not only convince a lender that your idea can do well; as you develop it, even in writing, it teaches you a lot about the business you’re going to go into along the…

How do I start a business?

A good business venture starts with a good idea; the more creative or unique it is, the better. Good ideas don’t need to be totally new, but it has to be different or better than existing product or service offering and offered at good value to make your venture competitive.

Conduct a competitive analysis of your market and industry, trends, specific consumer insights and needs, products/brands that address those needs (if at all or maybe partially), their pricing, quality, promotions, distribution, service. Be aware of the outside influences that affect your business. You must be able to clearly identify your target market, product differentiation, product positioning (or the unique selling proposition) why the market should buy your product, your projected sales volume and revenues, your distribution channels, your costings, sources of materials, labor, capital, your expected profits, and project this year-by-year. Many good ideas fail as businesses because aspiring entrepreneurs…

Tocino Recipe

Tocino or tosino is a cured meat product native to the Philippines. It is usually made out of pork and is similar to ham and bacon. It is often reddish in color and has a sweetish taste. Its name derived from the Spanish word tocino, which is used to describe bacon or cured meat.

I prepared tocino yesterday and it was my first try. I bought 1 kilo of pork (pigue) and 1/4 pork fat sliced into 1/4-inch thick. I researched (online) for its recipe but I found out that some of the ingredients are not available at our public market, so I experimented a bit. I didn't put any food coloring.

1 kilo of pork and 1/4 kilo of pork fat, sliced into 1/4 inch thick1-1/2 tablespoons of salt10 tablespoons of brown sugargarlic powderblack ground pepper
100 mL of soda (i used sprite)400 mL pineapple juicevetsinProcedure:
Combine sugar, salt, pepper, vetsin and garlic powder.
Coat the sliced pork evenly in the mixture. Put in a container then pour soda and pineapple juice. Cover it and keep ref…

Pinoy Fear Factor: Fearless Four

I've been following this show for some time now. There are only 4 participants left. Who do you think will emerge as the ultimo participante?

The other night, I saw how frustrated Manuel was. He obviously made the wrong strategy and he also hurt his leg, and now he is in danger of being eliminated. But when I saw Janna's performance last night, I also felt sorry for her, though I wanted Jommy and Manuel to compete.

I used to like Jommy before, but when I saw how happy he was and the way he laughed when he learned about Manuel's poor performance, I was annoyed and I wanted to spank him hehehe :) We shouldn't take pleasure from other's misfortune, right? But I do understand it's a competition.

About Marion, well, he topped last night. He was able to finish the stunt successfully. But I hate it when he always say, "You're going down Manuel." I'm a Manuel fan, you know :)

So who do you think will go home tonight? My guess would be Janna.

List of Recycling Centers


Philippine Recyclers, Inc.
Ramcar Center, Roces Ave.,
Diliman, Quezon City
Mr. Irving Guerrero/Mr. Steve Ofilanda
+632 3701000

Philippine Batteries Incorporated
Mr.Poe C. Alcazaren
Manila +63-2-3739158, +63-2-3737912


HMR Super Surplus Bodega
Pioneer cor. Reliance St.,
Mandaluyong +632 6340526
*electronics, base metals, computer/appliance recycling, telephone systems, racking & shelving, precision testing, spare parts

YGARC Trading Co.
2/F 8434 Perpetua Bldg.
Dr. A. Santos Ave., Sucat, Parañaque
+632 7880102, 7880156, 8252077 or 09189183237

HMR Group of Companies
Days Star Industrial Park, Pulong
Sta. Cruz, Sta. Rosa, Laguna
+632 5208618 to 19 (Manila)
+6349 8370577

Alzul Junkshop
Los Baños Laguna
Alain C. De Venecia
+63-49-5452364, +639212947105


Lucky Tableware Factory, Inc.
Guadalupe, Cebu City
Engr. Edmundo Solon
+6332 2541341

Asia Brewery Inc
Km 43 National Highway,
Bo. Sala, Cabuyao, Laguna
Mr. William Tam
+6349 8102701 to 10 (Laguna)
+632 8163421 to 25 or 8165116 (M…

List of Recyclable Materials

When I started in this business, I focused on three types of scrap materials: metals, plastic and bottles. I wanted to add scrap paper in my list but I didn't have a storage area that is covered.

Anyway, there are too many types of scrap materials so I will only be listing those I am familiar with. Here's a list of recyclable materials:


Two Types of Scrap Metal:

Nonferrous metals - metals that contain little or no iron. They are not magnetic and are usually more resistant to corrosion than ferrous metals.They include precious metals such as gold, silver, platinum, magnesium. Nonferrous metals also include specialty metals such as titanium, cobalt, chromium, tungsten and metal alloys made of a combination of two or three metals such as brass which is made of copper and zinc, bronze which is a blend of copper, tin and zinc.
copper red & copper yellowalum jalousy (most expensive type of alum)aluminum light & aluminum heavy
alum cans - used beverage cansalum caps/cr…

Starting a Junkshop Business

One cannot immediately see the profitability of this business but the fact that junkshops continue to exist is proof that "there's cash in trash." We can say that this enterprise which is actually a simple buy and sell business is here to stay.
For a start-up, I would suggest focus on two or three scrap materials (ex. scrap metals, scrap paper, scrap plastic) because if you are going to take all junk products, it is hard for a start-up to secure volume stocks especially if you have a limited space, plus you'll be having a hard time getting a good price. But if space is not a problem and you have established contacts, then you can expand to a variety of scrap materials.How to start:Weighing scale - is the most important tool since we are buying all the scrap materials per kilo, except for glass bottles, non-working batteries and some e-wastes, which are paid by piece.Kariton, ecobike/bicycle with sidecar - you need these to easily collect/buy scrap from house to house…