Author - semi retired business entrepreneur leader who is now a senior citizen. Current posts are about his current business experience and learnings. A former lecturer at a top GSB in the PHL for more than a decade. We had great successful entrepreneur graduates
Nation building via learning and being the best in business
We are finally increasing our price by true mark up formula by end of the month. We thought that its not just going to be increase in features and benefits to the customers that should include
1. Set up
2. Features;
Flowers
Soc Media posting
Ceremonies
Music
Food
3. Operations
Mechanizing; obtaining an excavator and dump truck
TO MAKE OUR SERVICE DELIVERY UNIQUE AND EXCEPTIONAL
3. Catalysts
Incentives for our staff to do job well and deliver the features
Nation building via learning and being the best in business
Why we cant be equal even for philosophies espousing egalitarianism
There was a story about a fox who wanted to be a leader. After a hunt, he aspires to divide the spoils equally for every one in the team. But at the end of the day, the leader was ousted by the members who ganged upon him And tearfully the fox left the team.
Then it was chance of the lion. The lion say allotted 30% of the catch to him and let the others fight over the 70%. So the followers, the rest of the team spent time and energy fighting each other
Fot the next hunt, the lion alloted himself 50% of the hunt and left 50% for the rest. The team fought each other savagely until one was left to deal with him, which was easier rather than fighting all of the cohort.
Nation building via learning and being the best in business
There was a FB post on mashabooks about a man selling eggs. A passer by a girl, inquired as to how many dozens of eggs he has sold. He said only one and two hours had passed. How much is selling price: $3/dozen. How much are others selling? Also the same.
The girl made the following suggestion:
1. Have two piles of eggs. One is to be sold at $5/dozen and the other is the regular $3/dozen. But why increase the price if the $3/dozen cant sell.
2. The first inquiry came from two pregnant ladies and asked why sell $5 expensive pile. He said it is organic and the chickens are fed organic feeds no artificial feeds, antibiotics and hormones and good for the babies. So the ladies bought two dozens each. And another and another using the same organic good for the body/health talk. Very soon the organic eggs were sold out.
3. For the second pile, the eggs were segregated between a $3 pile and $2 pile: the one pile is regular egg, the second pile is the seconds/small size. Of course the cheaper one sold out and then the regular.
LESSONS LEARNED:
1. It the system that sells not the price Its the system of:
1. Segmenting the market; divide and rjule
2. Giving a customers a choice
3. Benefits first before price
2. People value health not the savings or being cheap. People will pay premium for their health and longevity
3. Its not so hard to sell or make money. Closed mind makes it difficult
4. You cant enter the market if you are the same as others. You have to be different and unique
Segmentation makes the segment unique: features and sales talk. Talk about the Purple Cow
Nation building via learning and being the best in business
This post reviewed the posts that have been made over the years. And it makes me feel so good and proud of what I have accomplished. These were nice posts: full of knowledge and critical thinking. They were aligned with my purpose of finding my gifts and sharing this with others. Many of the posts are valuable business insight and could have guided others on their path towards business success and start up journey. No desire for php income. Others post to get fees for seminars and mentoring. Others make money on their posts.
Maybe I am rewarded by business insights on opportunities which come aplenty.
Or had some followers and viewers from amongst former GSB students.
How much contribution the posts have made to fellow Filipinos (and the rest of the world) I can never measure and tell. Perhaps its none, or perhaps some. Or plenty.
Nation building via learning and being the best in business
We had lending business before but for one reason or another the chosen successor neglected this Then there will be sales where 50% are funds for maintenance. At the same time we have thousands of customer who can be ripe customers for lending
Hence the insta cash business. (INSTA CREDIT INSTA UTANG - Meron na pala East West na trade name) For most of our buyers nationwide. Steps:
Launch
1. We mine our customers data base say 100 prospects for leads/prospects
2. Then we approve a credit line for each one depending on the amount of product bought
3. Amount: 20,000 to P500,000. Pre approved or approval upon application (in 48 hours after application
4. Interest 0.9% up to 1.5% per month (for relatives and of the principal)
5. Product: Insta Cash
6. Channel/platform: via website or apps, documentation via apps, release via G Cash or Pay Maya
or FT
7. Whats unique: insta loan, 48 hours time line, available to house relatives; pre approved for
big buyers.
We would also use this for intra company sbu lending for development, discounting of receivables; and trading of plots where we could earn up to 30-40%. The level of assets could be 1.4B in 1 year and our margins could be 12% weighted. And thats a lot. No need for additional assets. All we need is platform and website and 5 employees
We can earn 9 numbers without resorting to a govt contracting
Financing business is still one of the best way to get wealthy. No losses in processing or manufacturing or distribution. All you have to be wary about is collection % and fraud detection among your people
Simply compounding the same amount of asset will triple your business by 300% in 10 years
This post had the following all ready prepared: Business Model, Business Plan, Marketing Plan (the job descriptions are all ready enumerated in the marketing plan under people and processes enumerated)
Nation building via learning and being the best in business
Other nations: Bangladesh, Nepal and Indonesia rampaged and rioted vs the corruption of their own respective govt. In Indonesia, citizens protested vs the $3,000 plus housing allowances of ministers (the equivalent of congressmen here)
Here in the Philippines what used to be pork barrel funds, the PDAF became later the flood control funds amounting to billions not merely millions. Couple that with scandals showing:
1. Nepos splurging more than P700,000 in meals in USA and saying that it is Dads money not that
of govt
2. Bell Helicopters and Gulfstream jets by the Speaker and their cohorts
3. Budget insertions
4. Ransacking the treasury for their excess funds to finance the insertions
5. Blatant presence of: congressmen and senators link with contractors, contractors contributing
campaign funds to Senators
and blatant lying connected with the above
are clearly demotivators for the citizens and taxpayers, contributing to the lard that the thieves are partaking of. We work so hard to finance the waste and profligacy of the children of the tibs, and their luxury homes, cars and what have you. And you question why you pay taxes.
Will you work still hard to contribute to the largesse that these people are plundering?
Nation building via learning and being the best in business
This post has encountered a lot of management material professionals and even rank and file who have not overcome the habit of bringing in trucks of alibis and lame excuses. Not accepting responsibilities and worse of all throwing back the responsibility on the approving parties.
1. The design was approved by the boss: but did the employee inspect the quality of the outcome
or was present in the implementation. And oftentimes, they did not
2. We cant do this because....
3. Some do not understand PERT cpm and think linearly. One gets ahead of others. Not system
or simultaneous tasks. So they will not touch permits unless this task is complete
Excuses will not make you grow and do not expect promotion with this type of behavior and mindset.
Nation building via learning and being the best in business
For personal growth and mental health, thats the advice to focus on the now because the past and future burdens your psyche with so much mental baggage.
However for business, if you focus on the now:
1. Now becomes the past, the future becomes the present; thus focusing on the present
makes your business a past tense.
2. Now means therefore: old business model, key process and manpower and may be uncompetitive
3. If you are real estate company that means soon you willl be out of inventories, and pretty soon
you have nothing to sell. If you do not produce new inventories, you will soon be out of business
If you do not innovate, you will stagnate, and others who overtook you will not only make you eat the dust but will bury you 6 ft underground
This happened to company this post used to lead. The children took over and they stagnated. We were the prime movers and leaders in the industry. Now we are the laggards. How said
Nation building via learning and being the best in business
Is it strategy, financial management, marketing?
Early on in my career as a businessman, right after MBA, and fresh from stint as a marketing guy in a Filipino pharma multinational, we decided to put up a business. And this post was frantic on what essential skills and knowledge must I be prepared with to handle the unknown task ahead. Was it strategy, HR, marketing, finance or operations? No.
I weighed things and said it was Entrepreneurship. I had only one book on the subject and it was even based in USA and not with practical PHL examples. Thats all I had.
And there was this Regional Head of a computer company who decided she will marry and reside in USA. She will put up a business. What skills will she need? Entrepreneruship. And thats what I taught at GSB.
Thats what you need as a start up - knowledge of ENTREPREURSHIP
Nation building via learning and being the best in business
There is a book being peddled at the social media that promises to solve difficulties in leading people Some mentions:
1. Being strict rather than being lax in the beginning;
2. Do not concentrate power and authority in few hands;
3. Job rotation
4. Establish competition:
1. Keep on hiring
2. Challenge the team members to be competitive with other team members or other departments
3. Practice career paths while you maintain your won
5. Setting examples: both negative and positive rewards.
There is a book from Matsushita that says: Iron hand, velvet gloves. Be affable in dealing with people bet be strict in enforcing processes and policies
There is such a thing as management prerogative:
1. The management and the leader has the moral authority to lead; They are the ones who holds the authority over jobs, pay and promotion. So it cant be shy or timid in imposing disciplien
2. I encountered this when we were dealing with KMU union that struck our company. I became tentative in handling discipline and my boss an MIT grad, said No It is business as usual, even with a CBA the staff are mandated to respect the labor laws. We have our lawyers. Even if they have NPA - armed vanguards. We still provide the jobs and we deserve equal protection the law
3. Sampolan. Latayan ang kabayo para madala kalabaw. A harsh rules execution done in public for all to know will discourage future trouble makers. As the Romans did with public crucifixion, or the Germans firing squad for the Jews
Nation building via learning and being the best in business
We have stories about companies getting under or being slowed down by competitors getting in their board. Like Samsung a primary supplier for Apple, who learned their secret and made their Samsung phone faster and better than Apple or Google executive sitting on board of an Adroid company and later on applying the technology to their Google product.
Stories are replete of these events and I see for myself events or stories that surround our business deal
For example in contracts making and drafts, the other parties try to obtain hard copies of the agreements and very clearly they do not understand the deal. Why.? Such contracts are expensive to order from a law firm and eventually they will learn to use this to expand their business, and or get a better deal from future partners.
Or that conflict can arise because some other parties got wind of the deal. And they can oppose the deal in offices of the regulatory bodies
So better include:
NDA - "This transaction is private and confidential, and contents of this document and negotiations being conducted shall not be revealed to the public and/or 3rd parties without consent of the future contracting parties"
IPR " This document and the contents herein are the intellectual property of the owner and shall not be used without the author's /owner's written consent.
Fair enough protection.
A competitor was planning to sell his adjoining property to us and wants to get hold of our financials and process. Should we give. I said no. What would you do?
Would a non compete clause be enough?
For emplyees, the three clauses they say cant keep the employees from squealing on you. Others prescribe keep on improving, Keep on innovating.
Nation building via learning and being the best in business
This post this morning was mad and was complaining about a relative whom she hired take care of her hobby, business. Her costs on an input doubled, one of her pets died due to negligence. And the daughter was having difficulties also because of the increasing feed costs could not pay her salary.
This was in addition to the niece hired by wifey who could not give me the link to the work assigned for almost half a year. Was clearly not accountable and irresponsible.
Coupe this with my experience that my brothers and sisters removed from the board of the company used to head and which I organized.
We have an sil being a project officer. I am beginning to believe that:
1. He does not know his job, the outcome of contracts being substandard
2. He is ill trained to be project officer because even contract administration lacks the
necessary pre qualification and specification documentation, and even inspection
3. He cant comply with the following: attendance requirement, minutes submission and
observance of timelines/deadlines.
So be careful of relatives. In my case, they destroyed me, and my daughter. Of course you have to hire those who can defend take care of business. And the theory is that relatives will care for you. But most of the time they are the ones who are jealous and the truth about Cain and Abel persists up to now.
If you have one existing;
1. Clarify rights: ownership, voting rights
2. There must be strong leader to weaken those who have loud voices
3. Familial relationship and business relationship must be made distinct and seprate
Nation building via learning and being the best in business
We were in a business negotiation for a project. And the major initiator or the project who invited us to support her: as adviser, as engineers marketing and management lost focus as to what she would be; a project owner or a broker. In the deal she was brokering. Despite agreeing on a partnership with the owner., since we arrived at her place/that of owner:
1. She had the document initially drafted as partnership changed to a Contract to Sell. And then
said she was in COI since she would receive commissions
2. In front of the principal, the document which was reviewed prior by her was shot down and criticized
The project/deal is on the verge of being lost, because of the shift in focus. If she wanted the deal to be that she would be an owner
A reminder of the original thrust/goal must be reviewed and this party must keep eyes on the ball if we are to succeed. We do not collapse under the adversary pressure. We must be strong by sticking to the original objective/goal
Nation building via learning and being the best in business
Is it the vision that really matters in creating a business that will succeed. Most strategies mention VMOKRAPI. V is for vision. This was mentioned by Gino Wickman in the Book "Traction "
But street smart guys would laugh off that paradigm and insist on having a system for making money. Vision is only for bookish, academician who receive salaries but do not know how to make money on the street.
And that means having a sharp eye on what sells, and what customers really want and being smart enough what makes money for the firm. Sometimes it is the ancilliary things that are not noticed that makes the most money For instance, we were struggling on how to make an operation make money: there were a lot of equipment, personnel and complex process needed. But people who were doing maintenance work were said to be raking in as much as P300,000 per month doing simple maintenance work for our customers. We make only 1/3 as much So we plan to integrate that service with us. Why let outsider makes more money than us in our own territory.
So what could be the PHP money making schemes (strategies) or systems
1. First find out what the majority of the Class DE and market want or need if you are going for volume or what premium services the top tier client want (where price does not matter) We know of a business here in Laguna making tons of money by rebuilding cps in US under insurance of $100.00 a year. So maybe a phone is insured for 5 years yielding $500.00 for the insurer. The cp conks out and they rebuild for $90.00 and sells the same say for $120.00. There could be hundreds of thousands CPs being serviced by this firm
Where is value most created that is not being fulfilled now. Find recurring needs and wants for
existing customers as maintenance agreement for computers, laptop
1. Say in gasoline stations, the repairs, routine service such that: quick cheap oil changes
firm such as Rapide are sprouting. Kasi, peripheral business lang for oil companies. Their focus
is on oil and lubricants
2. Still on gasoline stations, they make more money on running the real property as free parking
lots but as malls: leasing front stores for groceries and fast food
3. Car dealers make more money on repairs and parts such that they are instructed to upsell on
expensive parts: ECU fuel injectors to the detriment of pockets of car owners. Or for
once a lifetime battery change for an EV, or the charging stations.
4. For non life insurance, the thickest market with all the floods, is AOG for cars. (Acts of God)
5. The freemium model as in Google: free Google mail, maps, drive but make money at You
Tube lots of it. So you can sell P1 airline ticket for the 1st 1,000 or up to 5,000 buyers but make money on rest of 200,000 or so who will flood your website for such a free ridiculous almost free offer
6. Membership cards, privilege cards. Now it is a common knowledge that frequent flyer points are asset of airlines
Nation building via learning and being the best in business
Seen in book being sold as a guide for money making.
Many times we say its the capital that counts. Again we say its the head the capito Cunning, being smart counts. (Many would say it is scam) So this post thinks that many businessmen cross the lines of morality.
Lets say you were lent P1 million to be returned in a short period of time - one week to to one month. How would you do it.? Of course the long term business planning will not work. It has to be ingenious.
The book says that this could be the way to do this (but this is fraught with risk and loopholes that could cause you to fail:
1. First, open a CTD with the bank for one million
2. Then borrow up to 90% of the CTD - P900,000.
3. Use the 900,000 to purchase Real property. (Most would require 30% dp and that means you can acquire up to P2,700,000 real property )
Buy a property worth P500,000 cash
Buy a property with P400,000 dp, P1,200,000 total
4. That means now that you now have the P1,700,000 + P1,000,000 = P2,700,000 total assets. You are now rich
5. The big problem is now paying back the 1 million . Thats where it gets challenging and sticky:
6. How.
1. Flip the house bought for cash at P1,000,000;
2. Or say sell for P900,000,00, borrow against mortgaged property for P100,000 to add to P900,000 for 1 million total. Bur we did not include here: the interest expense on the loans and the P1 interest. But the scheme can be learned on how to create something from nothing From zero to one And yet many of us struggle on 8- 5 jobs
Nation building via learning and being the best in business
Many slip ups and accidents with the 737 and lately the 787 have made Airbus the plane maker of choice of the world. However the 747 is making a huge comeback for the freight and cargo side of air transport
Airliners have abandoned the 4 engine jumbo jets in favor of the two engine configuration that can carry less passenger but same range. A two engine plane consumes 700 to 1000+ gallons per hour saving many airlines millions of dollars in fuel charges.
Two engine has lesser effect on carbon emissions, on noise pollution And is favored in passenger air transport. But its another story for cargo side of business. More payload, more flexibility in cargo configuration which can translate to lower cost. Most of the cargo carried are pharmaceuticals and electronics
Nation building via learning and being the best in business
Really you should not have a sense of comfort nor stay in your comfort zone. My mother, the matriarch of business then said that your business should be compact and can be reached within 10 minutes of your waking up. Had this post complied with this, we would have been out of business decades back.
So in the trip last Thursday these were the business opportunities:
1. Presenting LOI for receipt to the owner of the land for a 4.6 project. We have to show the JPA and CTS
2. A 4 hectare developed project owned by a Lendng investor, located in a lst class municipality located next to the queen city of the Province
3. A 10 hectare property located the bridge of the queen city
4. A 4.4 hectare project in the Western part of the province. Just needing to close the paper works for the right of way. JPA has been signed.
5. 5 hectare expansion of a 7 hectare mem project near the existing one we have built
5 Funding opportunities:
1 From a priest who loves projects and business P5M
2. From a govt employee who is looking for investment P5M
This post hopes to seize, close 80% of these so that 1. jobs may be created; 2. towns appearance will improve, 3. generate more taxes. 4 generate more jobs and employment
Nation building via learning and being the best in business
PHL is now considered one to the giants in the BPO industry. It brings in about $30 billion a year to the Philippine economy, one of the legs of PHL industry, the other is OFW remittances and the remaining 1/3 are from agri and electronics subcontracting.
That is about 30% of the PHL gdp. It fuels a lot of industry: housing, food and retail, transportation, retails etc. It is fraught with danger because US wants to bring back job to USA and this includes the call center.
What would happen to the Phil economy if the BPO were to shrink. You can see the effect of POGO closure on office and housing rental market.
Nation building via learning and being the best in business
This post was invited for a consultation by a professional running a facility and which is now experiencing financial difficulty: low revenue, low gp. Their chairman wanted the firm to declare bankruptcy and/or undergo dissolution Surely jobs will be lost and investments too.
However the person whom I talked too was in canvassing mood and therefore was in 2nd and 3rd opinion. I was the 2nd opinion and verbally voiced out some options. For his 3rd option, he invited a CPA and gave out all the financials. I hope the said professional, trained only in producing fs, not doing business analysis can come out with something solid to turn around the firm. Surely, this will take time, and no propert rx can be done. It will be more of an audit, rather than coming out with rehab/turn around plan
Surely you go a business consultant, an expert Someone who has run numerous businesses before
Nation building via learning and being the best in business
This post was a GSB professor and a businessman. However, the experience with other group of professionals was not very pleasant. A cousin specialists asked me to accompany her in business deals. She however charged my daughter a pf when she consulted the latter.
Another relative a medical specialist likewise invited this to a dinner, talked about their business problem but charges me for the check up
Just the other week end, had talks with another specialist and was seeking ways to turn around his failing business. But we did not talk about fees. How come? He was shopping around. He did not bother to ask HM ang fees. His business is in danger of failing without professional help
Nation building via learning and being the best in business
Michael Milken, a financial genius back by his boss Joseph at Drexel Lambert found opportunities in junk REIT bonds, and backed Steve Wynn in his Golden Nugget in Atlantic city.
Such opportunities can exist in the retail (not in subprime mortgage)
1. You must have higher purpose if you are go to expand business. Just shooting for money stunts business growth
2. Its not about more money: but building a system, and using your mental capital that counts, that mean more rather than having more php
3. Money velocity is more important than the quantity of money
(Kuwento: In a town where people were indebted to one another. A wealthy man deposited $1,000 to the hotelier for him to get a great place to stay. Immediately he paid the butcher who owed him $1,000 for the meat delivered, and butcher paid the farmer, to whom he likewise owed $1,000 who immediately paid the trucker to whom he owed $1,000, wh in turn paid the hotelier to whom he owed board and lodging. The wealthy man changed his mind and got back his deposit. Nothing was gained or lost, but the debt was paid)
Each of transaction increased economic activity but m0ney being utilized is the same. Money velocity though is x 4
4. Love connects matter to persons and persons to persons. We cant go by the matters, physica and chemistry alone.. You must have passion for life, and for the
business. You must be aman for for others. No love (passion) no big business
5. Discipline, knowledge, determination are key ingredients for business success
6. You must build a business that is exceptional, that is amazing so that the product sell by itself. From zero to one. If you build a me too product, its 0 to n. A me too business will not last long
2. Applications/explanations
1. Higher purpose: In the service of humanity and others
1. Helping churches
2. Helping needy individuals
3. Education Foundation
4. Health care - hospital, meds, assistance (tie with Malasakit
^
^
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2. Intermediate purpose
1. Generate profits
2. Generate sales
3. Create products and services
3. Beginnings
1. Scanning opportunities
2. 2. Seizing opportunities feasibility and business/marketing plan preparation
3. Seizing
1. Organizing the team recruitment
2. Finalizing ITO (coding, process flow, having a software)
Nation building via learning and being the best in business
It was posted yesterday that a newly elected Congressman from an island province defended on line gaming and its ban could mean loss of revenue for the govt and loss of job.
Maybe its no longer a question of good or bad economics but bad morality, and ill effect on society.
As a businessman, I have been against gambling. It is a zero sum game. It does nto create anything new - there are losers and winners. A good business creates value like agriculture, manufacturing, schools, but not Casinos. They can take your money away and can improverish you. You cant win vs a casino but the lure of free shuttle, free hotel for the high rollers always draws in crowds. Its a big business that is why most tycoons are into it: Razon, Tan etc. Even VC bet big in gambling; casinos. Even the biggest controversy now E sabong and mainiyope debts show ill effects of gambling.
Phil is now the number 1 gaming center in South East Asia, beating even Macau. And so many on line gambling what with POGOS converging in the Philippines.
It may be good for investors, tycoons, but definitely not for the lives of many. Owners of casinos and on line gambling rake it but not the msses
Nation building via learning and being the best in business
This started in China. It has now 45,000 stores valued at $10B, and spread across SEA (low cost low income markets). What will happen if it moves to US and Europe.? Started by Zhang Hangshao He started with ice cream (just like Tan Cak Tiong Jollibee) priced at 1 Yuan = 15 US cents
Its theme: "I love you, you love me"
Its strategy: low cost, franchising (low entry) and its own logistics.
This post would favor low cost, low price, low margin vs other business model that favor higher margins and profit. What would you favor?
The trillionaire companies like Alphabet, Meta are in the FREEMIUM business model.
Nation building via learning and being the best in business
When there were news that there were disenfranchised (for the secondary license) lending investor, I checked with the scion running the company if we were included. The feedback was that it was non op for several years, and declared at SEC.
Now I told in the meeting last night that this lending investor can ride the fintech revolution The payment apps, since are not authorized by BSP cant take advantage of the opportunity to take in deposits or make advances with interest.
For the deposit taking side, .....
For the lending side we can have an app that takes in borrowers on line through the fintech and offer 24 hour approval loans, no visit, other than they are verifiable and of good standing (even in the internet - we will go to that later)
We can go into the details later. We can start with our existing customers
Nation building via learning and being the best in business
An elementary school classmate, now fmr President of the Company she founded is aghast over her non election as Board Member and ultimately as CEO. It was the company she founded. My wife joked that they did not request mentoring from me, or that did they really take up MBA as required by law if you are going to be head of such a health unit. Yes they did But they simply dined the professor so as not to make the study hard. This post did not fall for that. Yes I could see through that but they have to comply with academic standards. They had to study and work hard.
Now I researched why this happened It seemed that their adversary purchased a lot of common stocks and they became the majority. Their group had the majority and elected the board, and the board elected their President of choice.
Lessons:
1. The right of first refusal should be exercised to prevent loss of control majority;
2. The Pres should really have defended watched what was going on had security strictly observed;
3. May be they did not observe the protocol of some such unit that only founding shareholders to elect board, and other common as non voting They had a smart lawayer employed to devise such a strategy to oust my classmate.
Huhuhu. I idont know how she will ever get back to power. fIt will be a long legal battle to be fought in courts, not in the board room
Nation building via learning and being the best in business
Our group was offered an existing project in Southern Tagalog region and these were some of our salient findings/observation:
1. The seller wants to price it at P15,000/sm of the developed area;
2. There are four similar projects in the area;
3. Ite is located in populated area 160,000 but mostly dormitory residents in an industrial zone in nearby PEZA town That means 50% of that number of 80,000 would be active buyers or 20,000 households 30% of that would be active buyers or only 6,000. Inventories in the locality would be about 25,000. Inventories is 5x of possible demand, hence the very low sales
4. The project has sold only 112 u nits since 2021; thats roughtly 30 year. This year only 7!!! How come. Price too high
It was reported that owner who is a US resident plans to go back to the state
Negotiation points:
1 Price - At 15,000/sm of developed area, the pricing would be roughtly P200m. Only 20% of the project is built up
PV, DCF pricing for next 20 years would place its selling price at only P30M!
2. Why is the owner selling? Low sales
3. Why is the number of sales low? Bad/non existing marketing?
4. What is unique about the product?
The business is going to be challenging for both the prospective buyer and seller. It may not be sold at
Nation building via learning and being the best in business
Last year, we spent an entire year trying to negotiate for development of a 3.2 hectare property in this Rizal town. However, we entered into a dead end since there is this so called title over the vast area of this town which are entitled known as xxxx Estate (the SC doctrine mandates that this no longer a subject of a discussion). You cant have a titling completed unless you get a waiver or DOAS from the now owner of the Estate. They are not selling.
Lately this post read that Infradeve, the developer who lost P44 b on a subway project (they signed the project with Makati but later on SC ruled that the site of the project now belongs to Taguig) the Pres Tiu transferred the HO to this town to focus on the 2,000 land they have in this town.
Tius company has so far developed the Sunshine, Aurora Casistas, and lately Bauhinia at Mahabang Parang.
Many tax dec. owners will definitely feel the heat soon as Infradev goes on full scale development in this Rizal town
Nation building via learning and being the best in business
He was a pilot of RAF. His invention was never acknowledged by UK govt. He had nervous breakdown whiel the jet engine was being developed. He moved to the US, where he eventually died because of lung cancer.
The world owed so much to this inventor who made air travel affordable, convenient and safe. (Except for occasional rogue weaather, pilot error and freak accident)
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The story of Frank Whittle, RAF pilot, mathematician of genius, and inventor of the (turbo) jet engine (April 1937) months before Hans Von Ohain and Heinkel's first mixed axial and centrifugal turbojet engine (September 1937).
In 1929, a twenty-two-year-old maverick named Frank Whittle - a self-taught aeronautical obsessive and risk-takingly brilliant RAF pilot - presented a blueprint for a revolutionary, jet-powered aircraft engine to the Air Ministry. His idea could potentially change the course of history, but it was summarily rejected.
Air Commodore Sir Frank Whittle, OM, KBE, CB, FRS, FRAeS (1 June 1907 – 8 August 1996) was an English engineer, inventor and Royal Air Force (RAF) air officer. He is credited with inventing the turbojet engine. A patent was submitted by Maxime Guillaume in 1921 for a similar invention, which was technically unfeasible at the time. Whittle's jet engines were developed some years earlier than Germany's Hans von Ohain, who designed the first-to-fly (but never operational) turbojet engine.
Whittle demonstrated an aptitude for engineering and an interest in flying from an early age. At first, he was turned down by the RAF, but determined to join the force, he overcame his physical limitations and was accepted and sent to No. 2 School of Technical Training to join No 1 Squadron of Cranwell Aircraft Apprentices. He was taught the theory of aircraft engines and gained practical experience in engineering workshops. His academic and practical abilities as an Aircraft Apprentice earned him a place on the officer training course at Cranwell. He excelled in his studies and became an accomplished pilot. While writing his thesis, he formulated the fundamental concepts that led to the creation of the turbojet engine, taking out a patent on his design in 1930. His performance on an officers' engineering course earned him a place on a further course at Peterhouse, Cambridge, where he graduated with a First.
Without Air Ministry support, he and two retired RAF servicemen formed Power Jets Ltd to build his engine with assistance from the firm of British Thomson-Houston. Despite limited funding, a prototype was created, which first ran in 1937. Official interest was forthcoming following this success, with contracts being placed to develop further engines, but the continuing stress seriously affected Whittle's health, eventually resulting in a nervous breakdown in 1940. In 1944 when Power Jets was nationalized, he again suffered a nervous breakdown and resigned from the board in 1946.
In 1948, Whittle retired from the RAF and received a knighthood. He joined BOAC as a technical advisor before working as an engineering specialist with Shell, followed by a position with Bristol Aero Engines. After emigrating to the U.S. in 1976, he accepted the position of NAVAIR Research Professor at the United States Naval Academy from 1977 to 1979. In August 1996, Whittle died of lung cancer at his home in Columbia, Maryland. In 2002, Whittle was ranked number 42 in the BBC poll of the 100 Greatest Britons.
Whittle was born in a terraced house in Newcombe Road, Earlsdon, Coventry, England, on 1 June 1907, the eldest son of Moses Whittle and Sara Alice Garlick. When he was nine years old, the family moved to the nearby town of Royal Leamington Spa, where his father, a highly inventive practical engineer and mechanic, purchased the Leamington Valve and Piston Ring Company, which comprised a few lathes and other tools and a single-cylinder gas engine, on which Whittle became an expert. Whittle developed a rebellious and adventurous streak, together with an early interest in aviation.
After two years attending Milverton School, Whittle won a scholarship to a secondary school which in due course became Leamington College for Boys, but when his father's business faltered there was not enough money to keep him there. He quickly developed practical engineering skills while helping in his father's workshop, and being an enthusiastic reader spent much of his spare time in the Leamington reference library, reading about astronomy, engineering, turbines, and the theory of flight. At the age of 15, determined to be a pilot, Whittle applied to join the RAF.
Nation building via learning and being the best in business
Follow SNAP for more productive sales pitches presentation. Rather than clutter your presentation with details on background on history features focus on this instead:
SNAP
S - tory
N - eed
A - nswer
P - roof.
We may start the pitch by saying: We are 40 years in business, We have __memorial parks. Here we do the following. Compare this with
Story: There was this person in an island province who inquired about a MP lot at need. We said it is P130. My its too big. Yes because it is at need and it +30%
Need: You can buy ahead and for small amount monthly, we can own a lot shortly
Answer: You can reserve now, by making a reservation fee of P______and complete the dp in 45 days. All you need is to make a monthly of ____for __years
Proof: There are now thousands of invidivual who own lots and are prepared for any eventuality regarding end of life events.
Nation building via learning and being the best in business
Clessie Cummins was imbued with deep passion for building things. At 11 he built his own first diesel contraption. He made the world take note of diesel engine so that it will be the workhorse for commercial transportation. Diesel being dirty, slow and heavy.
Cummins was alsmost bankrupt but in 1931 Clessie did an audactious publicity of having a car with diesel engine race at Indy. It finished 13th but made the world notice the diesel engine - the car did not refuel for the entire race. (Audis diesel engine did likewise at Le Mans. Even BMW diesel engines have fantastic torque)
He was almost hanged for treason (for having collaaborated with enemies to license his diesel engine - not proven)
In 1955 he was ousted in company he founded. Who says only Steve Jobs was fired from the company he founded.
Cummins continued ot invent for diesel engine although he was no longer the company. Today Cummins continue to make engines to meet stringent pollution regulations and to assist green earth.
Now cummins engine are specified for heavy equipment, tractor heads, military equipment.
My uncle (as seasoned agri businessman) and I were discussing what possible businesses to introduce to constituents of an elected relative to provincial positions. While mine was agri forestry which takes 5 or more years to harvest, he proposed cassava. It grows every where is not dependent on too much water, not prone to diseases and not very much affected by typhoons. It bears tubers in five years or less.
Why not try?
He suggests area of 100 hectares or more mechanized. Cassava can be used for flour, startch (as what Liwayway now Oishi did) ethanol, pharmaceutical and confectionary and beauty products (as sorbitol)
and even biogradable plastic
While the issue of rice importation, tariffs are highly politicized, may it be suggested that we work on substitutes or alternatives.
It could be at par with Vietnam at 6.1% and only India would surpass Ph at 7%. China would only be 4.5%
Is PHL be poised for growth due to PBBM or it would grow inspite of its Presidency. Domestic consumption would be a prime driver. Countries dependend on exports would be vulnerable to external shocks. Inflation is down to 2.4% and BSP is expected to lower interest rates (The governor was a batchmate in college)
The phenomenal rise to power in 2022 and achievements at Bukina Faso under the leaders of Capt Ibrahim Traore is nothing short of phenomenal. After removing fetters of colonialism (not entirely 100% because he depended on little help from China) his country are into dam developments, irrigation, Renewable energy, military hardware, highways, infrastructure, healthcare, gold refining, and many more
We have seen that having military dictators, if they have nation building in their hearts and head can be good for the country. They are forceful, mission oriented and clear. And this is the new model - for African nations to get clear of multinationals and Western colonists.
We must congratulate Capt Ibrahim for his achievements and let this be a motivation for our leaders to lessen eyeing each other, destroying each other, but build our nation/country to greatness.
This post was wondering whether this should be posted under scams. But it should be here. There are legal loopholes on how not to pay taxes at all. Tax avoidance - legal, vs tax evasion (illegal)
1. Not selling stocks when they rise in value but rather borrowing against it, and paying off the same with dividents or partial sale of shares of stock. Unsold shares are not taxed with capital gains. So the wealthy simply borrow vs their shares
2. Declaring all legal business expenses which are deductible
3. Having perks: clubs, memberships, travel charged vs business (but there now de mimimis provision at least in local BIR rulings
4. Saving on CGT, donors tax donees tax. A large bank's owner (not deceasedd) set up a foundation that does art patronage, awards to teachers saving on donors and doneees tax and estate tax. He donated all his shares to the foundation, and appointed his sons and daughters to the foundation. The foundation votes on the shares of the stock of the bank electing the directors. As a matter of fact the President of the foundation is the EVP of the bank (he just retired)
So they say, taxes are only for the poor.
Take note also why sale of art work is flourishing. Buying an art work is an expense, not an investment and profits from the appreciation of the works of art are likewise treated as expenses and thus untaxed. So ever wondered why art works (even those ugly ones) comman high prices. They are tax shelters.
This post has criticized the practice of junior officers of sharing their computations to the adversary in negotuation or emailing vibering dm, information being requested by the other parties or customers.
The negative effect is once the customer or the adversary learns of this: he/she can formulate at his own time his counter attack on your proposal, go to others for the same deal, or leave you turn down your offer.
It is better:
1 To give the info face to face. Avoid the email or viber thing. It is the fastest way to lose the deal
Give only limited info, and ask if this the thing he needs to close the deal. Make him/her work hard to to get info from him. This is the porcupine effect. Even on sales. No info is free. You give it in'
exchange for something
2. Find out his situation why he she needs the deal
