How to Franchise: 7-11 in the Philippines (7-Eleven Convenience Store)
Looking to franchise a 7-11 store in the Philippines?
Here are relevant information that can help you understand how to franchise, how much you need and who to contact to start your own 7-Eleven store franchise.
In 1927, a company in Texas called Southland Ice Company pioneered the convenience store concept wherein they sold bread, eggs, and milk even after store hours. In 1946, the company changed its name to 7-Eleven which reflected then the operating hours from 7AM to 11PM.
In 1982, Philippine Seven Corporation (PSC), acquired the license for 7-Eleven in the Philippines. In 1998, PSC opened its stores for franchise. In 2000, PSC partnered with a Taiwanese company for expansion plans. In 2010, PSC also partnered with Chevron Philippines (Caltex) to convert their Mini Mart to 7-Eleven stores. In 2012, PSC launched the Store of the Future design and started its expansion to Visayas, particularly in Cebu.
Number of 7-11 Branches
From the company’s website, it was stated that as of 2016, there were a total of 1,741 stores nationwide. The breakdown is as follows:
- Company Owned Units: 756
- Franchised Units: 985
Recently in 2017, however, it was announced that the company achieved another milestone when it opened its 2,000th 7-11 store in the Philippines.
The franchise fee for a 7-11 store is P600,000 and must be paid upon approval of the application.
Total Franchise Investment
Aside from the franchise fee, there are other costs that the franchisee also needs to pay. These include:
- Initial Store Supplies: P170,000
- Initial Merchandise: P800,000
- Construction Cost: approximately P2.03 Million
- Advance Rent and Deposit (depending on the lease terms): Settled before store opening
Total cash outlay for a 7-11 franchise investment ranges from P3.5 Million to 5 Million Pesos. Take note, though, that the amounts are mere estimates and do not include the 12% VAT yet.
Standard Package Inclusions:
- Use of logo and name
- Construction of the store
- Advance payment and deposit for rent
- Initial Merchandise
- Franchise Fee
- On-going support
- Equipment Maintenance
The expected payback period for the 7-11 franchise investment is 3.5 to 4 years. The actual payback period would, of course, depend on a number of factors, including location, foot traffic, store costs, and products sold.
For more information about the 7-11 franchising offer, contact them at:
Telephone Number: (02) 726-9968
Mobile Phone Number: 0920-9508651 / 0917-8711686
View other franchising opportunities: Complete list of Philippine companies available for Franchising
Join the Discussion: Share your experience franchising 7-11, Family Mart or Ministop
Sources: BPI Family Ka-Negosyo, Philippine Franchise Association (PFA), Association of Filipino Franchisers Inc. (AFFI), Official company website
View Related Posts