Notes on the Side: “The Importance of Business Planning”

Posted: February 1, 2008 in Notes on the Side
Tags: , , , ,
Just recently, someone bluntly asked me if I was a “business-minded” person, or more aptly, if I was into “business.” My initial reaction, of course, was to smirk and stare back. What was going on in my mind, which I couldn’t verbalize, was that “you never ask that question to people you just met” and that is a question that has to be qualified in a given context. Little did that person know that I have tried my hand in different “business” ventures before but never had enough time to really concentrate on it. Recently, I have been thinking of going into the e-business route. Inspired by, I have blogged about putting up a site for my DIY stuff, which was something my friends and I have always wanted.  But then again, TIME is of the essence in ventures like this, and time I lack. If there’s one thing I learned from my Fil-Chinese relatives who are negosyantes since birth, it is that you have to pour all your heart and soul into a business if you want to make it work.You have to have passion to go into business. And of course you have to have money.

If you’re starting up, you need capital. That’s probably basic. Even I know that, granting that I don’t have a MBA, and I’m an artist who’s stereotypically perceived as somebody with no “business sense.” Most of the people I know who decide to go into a business venture, almost always end up applying for business loans from banks and other loan agencies. Some of them are able to pay up their loans once their businesses hit the rights marks, but most also end up with hands tied, drowning in debts to pay, and losing money instead of increasing profit.

My personal take is that business is not for everybody, in the same way that not everybody can be a good businessman/woman.  It’s always important to be in the right perspective, to analyze your market for instance, before going into a business venture. I think that even those who decide to put up sari-sari stores need to consider planning as an important factor in starting up.

The same is true with applying for loans. Even simple personal loans for emergency purposes still need rumination. One of the basic questions to ask is that “how are you able to pay your loan?’ But in this country of ours, it is not surprising that the rate in which people apply for loans in govt agencies, such as the GSIS or Pag-ibig, is still high. Poverty is still the main issue here. What is important I think is the need to teach citizens (that means including me) the importance of planning your finances before rushing into business ventures, investing in products, or applying for a loan. Educating people about simple ways to ensure that you don’t end up drowning in a pile of bills to pay is as important as teaching them the basic ways to ensure a good lasting marriage.  If this is addressed then lesser people would die having loans /debts hanging over their graves. It is as though they have made a Faustian deal.

A pity.

  1. BongSeg says:

    bah, biglang negosyo seryoso ah. hehe

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