Fail, Pivot, Feed: Lessons Learned Hustling in Baguio, Philippines

Photo Credit: CornerMonkey

This is a life snippet, a picture of a moment in someone’s life to see how different people around the world navigate the complexities of life (here are some other snippets). This time about a local entrepreneur I met in Baguio, Philippines: 

She is one of eight children: four boys and four girls. She studied psychology in undergrad. One of her brothers, who was a professor I believe also in psychology, committed suicide at the age of 22. She said that she felt like the family did not ask him how he was doing enough or show him positive affection. She finished her degree but decided not to work in psychology because she associated that with her brother. She also said she has had to forgive herself and others and to heal from this, which has been a process. 

She loves cooking and serving others food. She much prefers that, finding it very life giving. She currently runs a small, counter-serve restaurant. This is her fourth or fifth business. The others failed, and she finally learned how to be successful in it. 

Her first business was a restaurant that she co-started with a friend. She and her friend had several disputes. In particular, her friend bought stuff without her permission, which caused the business to blow through its budget. She said the core problem was that they weren’t on the same page on who would run the business. Her friend wanted to have someone fund her to do her own business, and she wanted to be equals in the process of the business. She also said she had to learn the hard way value of first approaching the person positively instead of accusatorily. 

Her friend offered to split the business 50-50 with each person controlling their portion to do their thing or cash out and cut her losses. She chose the second because the lack of an amicable partnership made continuing to work with her seem unrealistic. She said she had to learn to make sure that you and the person you are working with are on the same page before working together on a business. 

She then set up an online clothes store with her sister, but she eventually gave this up because it was not generating enough revenue. She also started a food stand near Baguio’s main university, but this too failed because she was not prepared on how to run the ins and outs of making food in a cost-effective manner. 

With this business, she finally has success, though. She started in February of last year. On her opening day, she made 3,000 Filipino pesos (about USD $32) and the next day 6,000 pesos (about $64). She broke even from her starting expenses 3-4 months in. She generally makes about 30,000 pesos (or $320) a month, which is good enough to get by on. She tends to sell out on her food everyday with a line of customers going around the corner of her block during peak hours, a clear sign of success. 

She said she learned the lessons from her past businesses. She set this restaurant up by herself instead of getting anyone else involved. It’s next to a big grade school and gets a lot of business in weekday afternoons when the kids finish school. Her strategy is to sell significantly cheaper than other nearby restaurants so that she sells more of it, and it seems to be working.

Her restaurant is a single room that’s about a meter/yard wide and maybe 3 meters/yards long. That’s her kitchen full of her stove, cookingware, food, etc. In the front is a little wooden board facing the street where people come up and place their order. Once she makes it, she hands it to them, and they go on their way. 

She works practically nonstop. She works six days a week except Sundays, her one day off. She wakes up at like 2:00 am or 3:00 am to buy her food for the day at the market. She then works until around 9:00 pm when she closes (but sometimes she closes earlier, closer to 8:00 or even 7:30 pm if she has already sold all her food). 

I suggested she may need to take some time off to rest by eventually hiring an assistant to work some of the time instead of her. She said that moments during the day when she doesn’t have customers is her rest. She took a week-long vacation to go to Manila a few months ago as well. 

Her plan is to save money to retire by at least 48 (she’s currently 37), even if that means hustling now. For retirement, she wants to go to the rural province where part of her family is from. 

Many of her siblings work abroad, since wages are low in the Philippines. One is in Saudi Arabia; another Japan. Others have traveled to other bigger cities in the Philippines where they can make more money. She had a job offer for a white collar job in Thailand, and she refused it. She prefers staying here in Baguio with her parents. (In Filipino culture, often one daughter – generally the youngest – is expected to stay back with her parents.) 

She also said she helps others. She said that when a person asking for food walks by, she gives it to them, giving them whichever dish they want. Similarly, she gives her leftovers to the street cleaning lady who comes by with a broom to sweep the street or sidewalk in the evening. She believes in karma, and that if you help others, you help make the world around you (the community, nature, etc.) a better place for yourself.