Tubong lugaw is a popular phrase which denotes earning more than your invested capital. Have you ever wondered why people came up with this silly idea? It is mainly because the lugawan business is a very profitable business venture that lets you shed only a small capital. Lugaw is the Filipino version of congee or rice porridge. Most people love to have it for breakfast, it is usually served with side dish such as egg, tofu and pork or lumpia. Some have lugaw even for mid-day snack or even for dinner especially during the rainy season when you just want to have some warmth and to eat a scrumptious meal.
Step 1: Intensive research
Before plunging into the lugawan business, you have to do your homework and do the necessary intensive research. Getting the vital information from the existing lugawan business owners would be a good idea or you can simply observe how their business is going. You can also read some articles or even attend business seminars to enhance your knowledge.
Step 2: The small capital
Tubong lugaw is such a catchy phrase isn’t it? And now it is time to talk about the initial investment for your lugawan business. There are some lugawan entrepreneurs claiming that they have started with as low as Php 1000 as capital and now are earning millions! The starting capital may depend also on your preferred location, set up and your preferred menu. You can start setting up your lugawan at the comfort of your own home, you can also set up a mobile cart or rent a place with high foot traffic. For the mobile cart lugawan, the initial capital is approximately Php 15,000 if you would have a wooden cart because this is more or less Php 3500 and the rest would go to the equipment, utensils and ingredients.
Step 3: Choose your target location
If you prefer to have a mobile cart lugawan business then it’s better to park it near schools, offices, wet markets or in a compound or in any high foot traffic location.
Step 4: Business registration and other legal matters
Before you get to start with your operations, legal matters and business permits should be settled first. Health and sanitation permit is also required since you are handling food and you need to accomplish all of these prior to your grand opening.
Step 5: Menu and the price list
Once you have finished with the steps above, the next thing to think about is your menu and the price list. We know that lugaw is the star of your business but you need to be innovative and keep a variety of options for your customers. Think of delicious toppings or other food menu so that your customers would have delicious options to choose from. When setting your price list, you have to ensure that you would profit from your lugawan business but you also need to consider your target market’s spending capability as well.
Step 6: Excellent customer service
Delicious lugaw maybe you’re selling factor but having excellent customer service would generate more profits for you as well. You need also to ensure that you have a hygienic lugawan to keep your customers coming back for more.