How to Franchise Generika Drugstore in the Philippines?

Generika Drugstore, a leading Philippine chain known for its affordable generic medicines, offers franchising opportunities to healthcare entrepreneurs. This guide equips you with the knowledge and cost estimates to navigate the process.

Step 1: Research the Opportunity and Costs

• Brand Immersion: Dive into Generika Drugstore’s world! Explore their website and social media pages to understand their brand philosophy, target market, product offerings, and commitment to quality healthcare. Generika.com.ph
• Cost Considerations: Franchising requires investment. Here’s a breakdown of the main cost categories:
  • Franchise Fee: This grants you the right to operate a Generika Drugstore franchise for a specific period. Generika offers tiered packages with varying fees (subject to change):
    • Package A (Small Store): 3-year franchise – PHP 600,000 (estimated)
    • Package B (Medium Store): 3-year franchise – PHP 800,000 (estimated)
  • Store Build-out and Equipment: This includes renovation or construction costs to meet Generika’s specifications, pharmacy counters, shelves, signage, air-conditioning, and security systems. Budget PHP 1,000,000 to PHP 1,500,000 for this category.
  • Inventory and Working Capital: This covers the initial stock of generic medicines, medical supplies, personal care products, and operational needs. Expect around PHP 500,000 to PHP 1,000,000.
  • Licenses and Permits: Secure necessary licenses to operate a pharmacy, such as those from the Philippine Food and Drug Administration (FDA) and the Department of Health (DOH). Costs can vary depending on location and permits required. Budget PHP 50,000 to PHP 100,000.

Step 2: Application and Approval Process

1. Letter of Intent: Download and complete the Letter of Intent (LOI) form from their website and submit it via email: [email protected].
2. Initial Screening: Generika will assess your LOI and contact you for an initial interview to discuss qualifications and proposed location.
3. Site Inspection: They will assess your proposed location for suitability based on foot traffic, demographics, and regulatory compliance.
4. Franchise Agreement and Payment: If your application and site are approved, a formal Franchise Agreement will be presented, outlining terms, fees, royalty structures, sourcing of medicines, and operational procedures. Sign the agreement and settle the initial franchise fee (details on payment terms not publicly available).

Step 3: Pre-Opening Preparations

1. Store Build-out and Construction: Renovate or construct your store based on Generika’s design and space requirements. They provide assistance with finding qualified contractors.
2. Licensing and Permitting: Secure all necessary licenses and permits to operate a pharmacy. Generika may offer guidance in this process.
3. Staff Hiring and Training: Recruit qualified pharmacists and pharmacy assistants. Generika provides comprehensive training on product knowledge, customer service, and pharmacy operations.

Step 4: Grand Opening and Beyond

• Grand Opening Support: Generika Drugstore assists with your grand opening by providing promotional materials and marketing suggestions.
• Ongoing Support: As a franchisee, you’ll receive continuous support through operations manuals, product updates, marketing tools, and assistance from their team.

Beyond the Costs: Additional Considerations

• Return on Investment (ROI): While specific figures aren’t available, research suggests the average ROI for a pharmacy franchise can take 24 to 36 months. Remember, this is an estimate, and your success depends on various factors like location, management, marketing efforts, and adherence to regulations.
• Financing Options: Explore financing options if needed. Generika Drugstore doesn’t offer in-house financing, so consult banks or lending institutions.

Important Resources

• Generika Drugstore Franchising: Generika.com.ph/open-a-franchise
• Contact Generika Drugstore: Call their hotline (632) 8828-1818 or email [email protected]

By following this guide, conducting thorough research, and understanding the potential costs involved, you can make an informed decision about becoming a Generika Drugstore franchisee. Remember, a passion for healthcare, a strong work ethic, a commitment to ethical practices, and adherence to Generika’s standards are key ingredients for your franchising success!