If you prepare a long list of beloved comfort foods in the Philippines, pares will easily be among the top five. It’s not hard to imagine why several readers implored me to create an article on how to start a pares business in the Philippines.

Pares is a rich and savory beef stew served with garlic fried rice and, depending on where you’re buying, you might get extra light beef broth soup, siomai, or lumpiang shanghai. Needless to say, pares has etched its way into the hearts of many Pinoys.

If you’re looking for solace after a tiring day at work, savoring a bowl of pares is like the equivalent of receiving a warm embrace. That’s precisely why a pares business in the Philippines is a lucrative venture for aspiring entrepreneurs… because every working Filipino could use a hug.

But Wait… Why Is It Called Pares Again?

Like every other popular dish, there’s a rich history behind pares’ humble beginnings and naming conventions. 

As the name suggests, “pares” literally means pairs in English. This name originates from the practice of pairing an asado-style beef stew dish with sinangag or fried rice. While the complete pares package has evolved through the years with the addition of sides, the infamous pares-sinangag tandem remains unchanged. Therefore, it goes without saying that you must keep the above tradition alive when you start your pares business in the Philippines!

Trivia: In the history of humankind, we’ve had food disputes that almost initiated wars and international conflict. Pares, too, flourished in a heavily watered-down and miniature version of a “war” between two small karinderya? 

Zoy explains the food war drama between Jonas and The Original Pares Mami House that birthed the pares we all know and love. It’s an interesting read if you’re interested!

Anyway, going back, if you’re planning to start a pares business in the Philippines, there are a few things you should consider. Keep reading to learn what they are.

5 P’s in Starting A Pares Business in the Philippines

Starting a pares business is a little more complicated than just enjoying a bowl of the famous Filipino dish. The entrepreneurial world is riddled with measurable business expenses and incalculable amounts of headaches to get the business off the ground. We just thought you should know that before going into the specifics.

Below are 5 Ps to remember before putting your money into your very own paresan:

1. Perform A Thorough Market Analysis

Market analysis, also called market research, is the initial step to launching a successful Filipino pares business, or any business for that matter. Market research’s goal is to determine your product’s viability to your intended market.

Why?

Believe it or not, I have a few friends who told me they aren’t fans of pares (boo!). If that’s the case, it is possible to have more others sharing that sentiment toward the dish. In that case, a pares business might not pan out in your area.

The goal of the market research is to provide you with a “grassroots understanding” of your audience’s needs and preferences. Unless a need for pares arises, there is no reason to pursue one, otherwise, you’ll waste time and resources for little to no avail.

It’s crucial to answer the following questions during your market analysis:

  • How big is your market?
  • Who are your target customers?
  • Who are your biggest competitors? 
  • What struggles do your customers face?
  • Does your product solve a problem in your community?
  • What is your unique value proposition?

2. Prepare Your Pares Business Capital

Only when you’ve completed the market analysis should you proceed (or not!) with the second P— preparing your pares business capital.

Think of your market research as the roadmap that shapes the direction of your pares business. If you have a small market, you might want to kick it off with a food cart first while building a reputation. In other words, startup costs will vary depending on your analysis.

Any funding you gather for the business should have intended uses. The following are a few examples of enterprise expenses when starting a business in the Philippines:

  • Buying supplies and ingredients
  • Construction costs (for buildings)
  • Fabrication costs (for food cart-style businesses)
  • Salary of employees, if any
  • Covering the operational and overhead expenses
  • Registration of business to DTI and other agencies

A pares business is pretty straightforward. It is arguably one of the best businesses to start even with a limited capital.

3. Purchase Pares Business Equipment

The good thing about a pares business is that it doesn’t require any heavy or hard-to-find machinery to operate. Even with a large enough cauldron and a big wok, you can already put up a paresan of your own. However, for sophistication’s sake, you may want to invest in business equipment that sets you apart from competitors.

Believe it or not, Facebook is a wonderful place to find suppliers for your pares business. For instance, for food carts, you may contact Gutz Metal and Stainless Fabrication to craft you a customized pares cart or cooking station based on your needs.

Public Facebook groups like Pares Mami Beef Supplier are also perfect hubs for like-minded pares entrepreneurs. There you can find equipment suppliers and even quality ingredients like beef and condiments.

Below is a general list of all the necessary equipment and ingredients you need for a pares business.

Common equipment used for pares business:

  • Cooking range/stove
  • Large cooking pots
  • Rice cooker
  • Refrigerator
  • Utensils and cookware
  • Serving bowls
  • Condiment containers
  • Tables and chairs
  • Countertop/service area
  • Cash register (for medium to large operations)
  • Ventilation (for medium to large operations)
  • Safety equipment like fire extinguishers and first aid kits (for medium to large operations)

Common ingredients used in pares:

  • Beef (and beef entrails)
  • Soy sauce
  • Sugar
  • Garlic
  • Onions
  • Ginger
  • Star anise
  • Beef broth
  • Salt and pepper
  • Flour or cornstarch
  • Rice
  • Scallions
  • Calamansi
  • Fish sauce
  • Chili oil

4. Price Your Pares

Pares is a wonderful food. Unfortunately for many Filipinos, the value of food is always closely paired with its price tag. If you want to succeed in the pares industry, finding the sweet spot of food prices is a must!

We have a dedicated article on pricing strategies for products in the Philippines, which we suggest you read. But here is a quick rundown of some pricing conventions you may want to consider:

  • Cost-plus pricing strategy: Sum of your material, labor, and overhead costs plus a fixed markup amount.
  • Competitive pricing: Selling pares based on the existing competitive price in the locality.
  • Penetration pricing: Or disruptive pricing by selling products at a significantly lower cost compared to competitors to attract consumers.

The above are only some pricing strategies you can employ for your business. It all boils down to your market research. Only you can find the best pricing strategy that puts you at the forefront of your target consumers.

5. Promote Your Business

Alas! The final P is perhaps the most overlooked but important step in business establishment— promoting your business. 

The concept of promotion goes beyond word-of-mouth marketing. In this modern age, having an online presence is crucial to capture the younger segment of your customers. 

There are several ways you can go about promoting your business:

  • Find a catchy name: Business names are entirely subjective, but a catchy name might go a long way as far as brand recall is concerned.
  • Create a dedicated page: Instead of relying on your profile, a page has higher chances of gaining traction thanks to ads and post boost options. Moreover, a page separates your personal life from your business, which can hamper your brand’s growth.
  • Run ads if necessary: Sometimes running ads is needed to break through noise and effectively penetrate your market. Working with ad specialists and copywriters may cost a little, but the returns are surely lucrative with the right business and messaging.

Considering Franchising Your Dream Pares Business?

Starting your own line of paresan is always a satisfying and rewarding venture. However, in some cases, it’s also better to franchise a pares business instead of starting from scratch. 

Franchise exists because a brand reputation has already been established. Therefore, being a franchisee means having immediate access to brand recognition, which benefits your bottom line in the short run.

If you’re considering getting a paresan franchise, here are some to consider:

Pares Retiro

Pares To Go

  • Email: N/A
  • Number: 0916 655 3904

BIG BANG PARES 

  • Email: N/A
  • Number: 0995 342 3166

The Original Pares

  • Email: N/A
  • Number: 287412637

Happy Pares

  • Email: N/A
  • Number: 0956 226 9288

At the end of the day, your business is still your business. Whether you prefer a franchise or not is your preference. The above are merely suggestions. You have the primary responsibility to screen every franchiser and choose the ones that fit your needs and budget.

Is Pares Business Profitable in the Philippines?

With the overarching popularity of pares, it’s possible that pares might also be profitable in your locality. However, that’s where your responsibility to conduct market research comes in. More importantly, your dedication and patience to grow the business is also critical to the success of your venture.

If you ask me, pares is one of my go-to foods at midnight. And if your business happens to be nearby, expect another buying customer in me to support you!

Go and get that pares!


Related Posts:

How to Start A Pares Business in the Philippines

By Ameena Rey-Franc

Recognized as one of the Top Finance Blogs in the PH. Ameena Rey-Franc (founder of TTP) is a former Banker and BS Accountancy graduate turned Blogger, Keynote Speaker, and entrepreneur. Currently an RFP delegate, she is also the Author of a book about Financial Resilience and has held seminars for reputable companies like GrabFoodPH, Pru Life UK, VISA, JPMorgan Chase& Co., Paypal, Fundline, Moneymax, and many more. The Thrifty Pinay's mission is to empower women to LEARN, EARN, and be FINANCIALLY-INDEPENDENT no matter what life stage they are in.