Abroad Filipino employees (OFWs) are rightfully referred to as modern-day heroes. Their sacrifices have sustained numerous households and propped up the Philippine economic system by way of billions in remittances.
Nevertheless, behind the success tales, many OFWs face heartbreaking realities—particularly relating to beginning companies.
Entrepreneurship is commonly seen as the final word dream for OFWs, a solution to lastly come house for good and revel in monetary independence. Whereas the intention is noble, the chance is actual.
READ: Prime 10 tricks to obtain monetary freedom–from the Bible
In reality, the hazard is highest when OFWs try to begin companies whereas nonetheless working overseas.
Listed here are the explanation why:
1. Funding with out main
One of many largest errors OFWs make is turning into “absentee entrepreneurs.” You present the capital, however another person runs the enterprise.
In lots of instances, this particular person is a member of the family or pal. Whereas there are exceptions, the unhappy actuality is that belief doesn’t all the time translate to competence—or integrity.
You’re working 12-hour shifts overseas, sending your hard-earned a reimbursement house, and hoping your sari-sari retailer, tricycle enterprise or mini grocery will develop.
However you’re not there to watch the day by day operations. You’re not seeing the place the cash goes. You don’t know if the earnings are being reinvested or spent.
I’ve heard numerous tales the place the OFW is left with nothing: the enterprise folds, relationships are strained and years of sacrifice are misplaced.
Entrepreneurship requires hands-on management. Capital alone doesn’t assure success.
2. Lack of enterprise know-how
Many OFWs dive into enterprise with out the right coaching or expertise. They is likely to be nice at their jobs abroad—as nurses, engineers or technicians—however enterprise is a special world. It calls for data in operations, advertising and marketing, accounting and extra.
Beginning a enterprise simply because a relative or pal suggests it—or as a result of it labored for another person—will not be a clever technique. Each enterprise includes danger, and with out schooling and preparation, that danger multiplies.
Earlier than placing cash right into a enterprise, OFWs ought to make investments first in monetary literacy and entrepreneurial coaching.
Study earlier than you launch.
3. Over-romanticizing the ‘come-home-for-good’ dream
It’s pure for OFWs to dream of coming house for good.
But it surely have to be backed by a stable plan, not simply emotion. Many OFWs are so desperate to return that they rush into enterprise with out counting the fee.
A enterprise isn’t a magic exit from working overseas. In reality, it could possibly create extra stress, particularly when it begins to fail. As a substitute of being a pathway to freedom, it turns into a entice of debt and remorse.
The transition from employment to entrepreneurship ought to be gradual and well-planned. Don’t use your online business as a ticket house except it has already confirmed to be secure, worthwhile and sustainable.
4. Stress from household and neighborhood
Let’s be sincere. Many OFWs are pressured to help not simply their speedy household however their prolonged kinfolk.
Typically, the thought of beginning a enterprise is influenced by well-meaning—however generally entitled—relations who promise to “care for it.”
This dynamic can result in emotional manipulation:
“Kaya mo na ‘yan; ikaw na ang nasa overseas!” (You may care for it; you’re the one primarily based abroad.)
“Para naman makauwi ka na!” (It’s so to come house)
And so, out of guilt or need to please, OFWs pour cash into companies they didn’t examine or plan for.
Entrepreneurship requires objectivity. It can’t be pushed by stress or utang na loob (debt of gratitude).
All the time keep in mind: your hard-earned cash deserves clever stewardship.
5. Beginning with the improper mindset
One other hazard is the idea that entrepreneurship is the reply to all monetary issues. It’s not. Most small companies within the Philippines don’t final past three years. Success in enterprise will not be assured.
Some OFWs pour every little thing they’ve—retirement cash, financial savings, even borrowed funds—into one enterprise enterprise. It’s an all-or-nothing transfer.
When it doesn’t work out, the result’s devastating: no financial savings, no earnings and in some instances, no manner to return overseas.
If you will begin a enterprise, do it with the mindset of a steward, not a gambler.
Begin small. Check the waters. Develop step by step.
Focus first on constructing a robust monetary basis. This implies having an emergency fund, insurance coverage, zero debt and financial savings put aside for capital, not borrowed cash.
On the identical time, educate your self by way of enterprise programs or mentors. Begin small whereas overseas, and wait till you’re house or have a trusted associate earlier than going all in.
I consider many OFWs can grow to be nice entrepreneurs. But it surely have to be completed properly, not emotionally. Don’t let your years of sacrifice go to waste due to poor planning and misplaced belief.
Bear in mind: A enterprise generally is a blessing—however provided that constructed with imaginative and prescient, self-discipline and stewardship. INQ
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Randell Tiongson is a registered monetary planner of RFP Philippines. To be taught extra about private monetary planning, attend the 112th RFP program this July 2025. E mail [email protected] or go to rfp.ph.
