The Top 5 Myths About BIR CAS-Ready Cloud Accounting Software: Debunked
By Johnny Kawa Introduction In recent years, cloud accounting software has gained…
At first glance, turning the front of your yard into a sari-sari store is just as easy as buying from the grocery store to displaying and selling it.
Well, that’s what you think! Setting up a sari-sari store as a small business is more than that and is much more tedious, but if you are in search for a small business opportunity that is both profitable and at the same time, saves you from paying taxes, then starting a sari-sari store may be the best one for you.
Although there are some requirements to fulfill, it is relatively simple if you are really interested in setting up one.
But first, what is a sari-sari store?
Basically, these are small businesses that are initiated and built by a single owner.
Most often, sari-sari stores sell in retail and offer the most essential and basic commodities for daily living like coffee, sugar, sardines, canned goods, rice, junk foods, sauces, cooking oil, spices, vinegar, etc.
Despite many sari-sari stores selling retail in a community and some closing just as quickly as it opens, most Filipinos still choose to open one because it requires less capital, is easy to open and thrives, given a good location.
Read on to learn more about the requirements in setting up a sari-sari store and the tax exemptions that are included.
Here are some things that you need to know in coming up with a sari-sari store as a small business.
What you need when setting up a Sari-sari store
Capital
– Starting a small business needs capital. This is the first thing to consider before anything else. Whether you use your savings, your retirement money or some borrowed funds, the capital needed varies from P15,000 – P25,000 depending on the goods and merchandise you are selling.
Business Name
– It is typical for someone to use just the name of the owner plus the sari-sari store like this: Jun’s Sari-sari Store. A good business name can be catchy and unique so your retail business will have a recall among customers
Business permit/registration
– It is important to have the name registered if you want to grow your small business. One advantage of having a business registration is that you can have a good wholesale deal with your suppliers, helping you gain a more profitable margin. There are LGUs that have one-stop-shop departments that provide small business owners the convenience in securing documents and permits needed for the whole process. A DTI name and its certification is good for 5 years, so this is a great opportunity to grow.
Location
– Before clearing your garage or front yard to put a sari-sari store, check your location first. Conduct a bit of research. Are there other competitors near your place within a 5-kilometer radius? Is your location suitable enough and accessible for foot traffic? Is your place marketable where there are many people passing by? If your place is not accessible, it is sound advice to look for a better one where there would always be people and potential customers. Target a place that is not just limited to your subdivision or location but some place that are usually filled with people like near schools, public transport terminals and town plazas.
Merchandise
– Sell basic necessities, food products, drinks, toiletries and many other products that may not be found in a regular sari-sari store. You can opt to sell liquor, also frozen and processed foods that can be used for breakfast. Some even sell first aid, tablets and medicines like paracetamol and meds for cough and colds. This pandemic has required masks. Buy in bulk and you can retail masks and face shields as well.
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Click to Learn More.Supplier
– Suppliers provide the best deal especially when you go wholesale. Buying items in bulk provides you the opportunity to have a better price for retail.
Supplier relations
– Establish a good relationship with your suppliers. Try to become a suki so you can avail of some perks along the way.
Selling price
– Know the pricing of your competitors and base the pricing from there. Overpricing your products is no-no. Just because you have a good location doesn’t mean you name your price. Retail is the way to go just make sure that your prices are reasonable and affordable.
Business Accounting
– To succeed in your business, you might consider having an accounting system that can track your revenue as well as your expenses. Traditional ledgers are necessary when you have a small business like a sari-sari store. But having a computer spreadsheet can also do wonders too. How much more a point-of-sale system to guide you in your growing business.
A Big X to Creditors
– Starting out is difficult but with hard work, there is hope for the small business to flourish. But the worst thing you can do is to allow store credits. This is definitely a big X.
Saving Profits
– Profits are important for revolving funds to your business. If you need to get something from your sari sari store supply, pay for it. Separate the earnings from the sari sari store from your personal money. Save the profits of the small business for future expansion and growth.
Opening a retail store such as the sari-sari store calls for some administrative work.
From making sure that there is enough supply of merchandise to putting together sales and inventories, these are necessary for your store to operate efficiently.
Having a dependable point-of-sale system (POS) can go a long way in ensuring that all your efforts are effective and operations are smooth.
Although point-of-sale may not be applicable to some really small retail stores, a growing business may really need a point-of-sale (POS) system in the long run.
Do you think your retail store is too small to have an accounting system?
EasyFIS is a Software-as-a-service (SAAS) sales, inventory and accounting system designed specifically for micro, small and medium (MSME) enterprises.
Monitor your sales, check your merchandise quantity and most importantly the status of your retail store’s financial health with EasyFIS.
Also, there is EasyPOS. It sets your retail business the right way by helping you manage day-to-day transactions on the dot.
Starting at a one-time payment of Php 15,000, you will be able to enjoy its key features:
- Complete sales and inventory system with item components for backflushing inventory
- Two- user Interface: Barcode (for grocery) and Touch screen (for restaurants).
- Unlimited discounting, Multiple price levels, Unlimited pay types, e.g., Cash, Credit Cards, Gift Certificates, etc.
- Customizable restaurant setups, from menu items to table groupings.
- Multiple users with ordering capability for pharmacy and restaurants.
- BIR Accredited
To learn more about EasyFIS and EasyPOS, call us at +63-32-256-2904 or +639088601619 or send us your inquiry by filling -in this form.
easyFS gives you a highly-accurate and real-time view of your financial statements.
Sign-up for a FREE easyFS Accounting System now!easyFS gives you a highly-accurate and real-time view of your financial statements.
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