The Cost of Franchising 7 Eleven in the Philippines

A well-known chain of convenience stores with a long history is 7 Eleven. It began in the United States in 1927 and has since spread throughout the world. Due to its well-known brand, tested business plan, and robust support system, 7 Eleven has become a well-liked franchise option in the Philippines for ambitious company owners. But how much does a 7 Eleven franchise in the Philippines cost?

Depending on the size and location of the store, the initial investment for a 7 Eleven franchise in the Philippines can range from Php 3 million to Php 5 million. This covers everything from store building to equipment and inventory to the franchise fee. The franchisee must pay a one-time charge of Php 600,000 in order to use the 7 Eleven name, logo, and operating system.

In addition to the initial investment, franchisees must also pay a minimum security deposit of Php 50,000, a monthly royalty fee of 4.5% of gross sales, and a marketing cost of 1% of total sales. Franchisees must also have liquid assets worth at least Php 1 million to cover operational fees and other expenses.

A 7 Eleven franchise’s profitability in the Philippines can vary depending on a number of variables, including location, market competition, and management. Nevertheless, according to studies, a 7-Eleven location may generate a net profit of between Php 200,000 and Php 300,000 every month. Depending on how well the store performs and how well the franchisee manages the business, this may go up or down.

In addition to 7 Eleven, tea shops have grown in popularity as a business model in the Philippines. Depending on the brand and region, franchising a tea store might cost anywhere between Php 200,000 and Php 500,000. A tea shop’s profitability can vary, but according to studies, an owner can make an average net profit of Php 50,000 to Php 100,000 each month.

The worldwide food and beverage industry is one of the most lucrative industries. Popular Canadian coffee shop chain Tim Hortons has also just opened a branch in the Philippines. Tim Hortons franchise fees in the Philippines are not made public, however based on rumors, they may range from Php 25 million to Php 35 million. Although reports indicate that a Tim Hortons franchise can make an average net profit of CAD 265,000 (Php 9.6 million) annually, the profitability of a Tim Hortons franchise can also vary.

Finally, it should be noted that opening a 7-Eleven franchise in the Philippines can require an initial investment of Php 3 million to Php 5 million and generate an average net profit of Php 200,000 to Php 300,000 every month. Franchise fees for tea stores can range from Php 200,000 to Php 500,000, while monthly net profits can range from Php 50,000 to Php 100,000 on average. The average net profit from a Tim Hortons franchise in the Philippines is CAD 265,000 (Php 9.6 million) per year, and it might cost anywhere from Php 25 million and Php 35 million to open one. In the end, a number of variables, including a company’s location, its competitors, and its managerial capabilities, affect its profitability.