How to Franchise Mang Inasal in the Philippines

One unique trait of us Filipinos is our fondness of eating chicken. We have different ways of cooking chicken cuisine. From the very popular tinolang manok, variety of flavorful fried chicken and our local roasted chicken, we are endeared by the way chicken is cooked especially the Filipino inasal style.

2 Years is What It Needs

This is where one popular business started. Having captivated the hearts of millions of Filipinos, Mang Inasal offers what many of us are craving for. With its well-cooked and saucy-flavored chicken, Mang Inasal became an instant sensation as business expansion is inevitable. From an ordinary fast food chain in the Visayas, it swiftly made 26 branches for the span of only two years.

As a young architect, Edgar J. Sia II started his Mang Inasal branch in December of 2003 in Iloilo City. Despite facing tough competition from other restaurants who offered grilled chicken cuisine, his initial business venture can be called a success.

First Branches

Mr. Sia opened its other branches in the Visayan region before expanding to its neighboring island of Mindanao. After conquering the South, he tried his luck in the populous city of Metro Manila and he was not disappointed.

Mang Inasal continues to widen its doors to entertain upcoming entrepreneurs. It has started franchising by 2005 and by 2008 or five years after it opened, the company has a total of 23 branches, 10 of which coming from franchising. Today there are over 460 branches across the country and with this kind of business vision it contributes to the alleviation of unemployment in the Philippines.

Acquisition Period

Jollibee, the leading fast food chain in the country, acquired 70% of Mang Inasal’s stakes at the stock market worth ₱3 billion. Six years after, in April 2016, the remaining 30% of the company’s stakes was acquired by the same company.

Although Jollibee has full control in operating Mang Inasal, the latter proves to be different in the eyes of Filipinos. In terms of the food Mang Inasal serves, it is entirely unique and more native in style that Jollibee. Aside from its popular grilled chicken or locally known as chicken inasal, its products consist of pork and bangus served with unlimited rice. It also offers pancit bihon, sisig and dinuguan paired with puto.

Franchsie Details

As a subsidiary of Jollibee Foods Corporation, Mang Inasal is now known as one of the world’s fast food chains in terms of quick service. Joining forces with the success framework of Jollibee, Mang Inasal was able to reach out to some of the most strategic locations on the country.

Doors are Open for Franchising

As it continues to welcome entrepreneurs who want to be part of the fast growing, quick service Mang Inasal business community, the company has lend its hands for franchising. For interested parties, the company offers a complete package. In this package, the operational system not to mention the marketing and promotional support, are included. The franchisee will also enjoy extensive training of the store team, store construction and many more.

Requirements and Qualification for Franchising

Mang Inasal is looking for someone who will not destroy the name of the company. The franchisee must be enthusiastic, highly motivated and has this immeasurable interest in running a business. Furthermore, this individual is highly engaged and always focuses on the success of the company.

Just like any franchising requirements, Mang inasal needs the following to jumpstart the operation. They are as follows:

• Letter of Intent
• Fully accomplished Application Form
• Vicinity Map of the proposed site. This includes the total area, floor plans, lot or land site.
• Site Development Plan
• Legal Documents that certifies ownership of the property.

Terms of Investment

After setting up the initial fee of ₱1.2 million, there are other things included in the package, namely:

Renewable franchise term of 7 years (sole option or franchisor discretion)
5% Royalty Fee from net sales
2% Advertising fee from net sales

From the looks of it, the estimated investment a franchisee actually landed amounts to ₱12 – 14 million in which the estimated Return on Investment is greatly dependent on factors like sales, control of operating expenses and market of potential investment.

Benefits of Owning Mang Inasal

Because Mang Inasal is already successful and has a creative business idea, franchising for them is a way to expand the business.

Since the company is already recognized, name recalling is already easy. The franchisee may have the exclusive rights to ads and market its products.

As part of the terms agreed, the franchisee always enjoys the support of the owner/franchisor. The keys to success are already in place all you need to do is follow them religiously.

If There are Pros, There are also Cons

Some of the disadvantages of owning a Mang Inasal outlet can be stated by the following:

Although Mang Inasal is a proven business system, costs are still higher than starting a business from scratch.

Since you bought a franchise, you are not free to do your own thing. In this case you have to submit yourself to the rules, regulations and policies of Mang Inasal. You do not have the control of the products to be sold because the franchisee is always bounded by the franchise agreement.
Since you are mostly reliant to your franchisor’s system, bad reputation in business will be felt if things are not coming the way your franchisor wanted it to be. If your franchisor goes out of business, so are you.

There are more legal and pertinent papers needed when you want to enter a franchising agreement. This is in stark contrast when you will start your own business. Worse, you will have additional fee by hiring your own lawyer when reviewing the 60-or-more pages of franchise agreement.

It is admissible that owning a big time company is advantageous in most of the business angles. Yet there are questions to be answered once your franchise is compared to a start-up one. It is sometimes hard to handle things that you are being told to do rather than making things on your own.

Contact Information

If anyone is interested in franchising Mang Inasal, the contact information is as follows:

Office Address: Mang Inasal Manila Corporate Office

Unit 613, 6/F, Globe Telecom Plaza II,

Pioneer Highlands Condominium, Pioneer cor. Madison Sts.,

Mandaluyong City, Philippines

Contact Person: Ms. Madz @ Tel. No.: (02) 724-1111 local 6567

You can also send your Email to franchising@manginasal.com. For further details, you can check out its website at http://www.manginasal.com.