• By quade
• 12 October 2023

The Incubation Scheme Designed to Cultivate Growth and Excellence for Small BPOs in the Philippines

With the BPO industry growing at a fast pace, many new companies have begun to emerge across the Philippines in hopes of taking their share of the market. But with many new businesses come many new problems.

As the market becomes saturated, newer companies have a harder time competing with more established businesses. That is why the online platform Payoneer has emerged with its new incubation plan to assist small BPOs during these crucial years of development.

What is An Incubation Plan?

Incubation programs are special projects designed to assist small- and medium-sized businesses by providing them with mentorship, support, and resources. This will allow them to successfully compete in high-competition industries like the BPO market. To accomplish this, many necessary steps must be taken.

1) Evaluation of Needs: Research and evaluate the needs of the BPO businesses and identify their potential challenges. This involves researching the partner’s business model and identifying ways it can be improved.

2) Infrastructure and Workspace: Creating an environment where these challenges can be overcome. This means setting up necessary infrastructure like a stable internet connection, meeting rooms, and workspaces.

3) Mentorship and Consultation Support: Pair partners with mentors specific to their needs. They will provide expertise and guidance in developing a business strategy, gathering clients, and improving operations.

4) Access to Funding and Capital: Setting up meetings with investors and other financial backers who can provide the necessary resources to get the business moving.

5) Training and Skill Enhancement: Training employees and program members specific to their needs and specialty. This includes customer service, quality assurance, and much more. Training programs usually come in the form of talks and workshops.

6) Market Analysis and Client Acquisition: Conducting tests that will analyze the market and find potential clients. This will give program members important data they can use to develop their marketing strategy.

7) Legal and Regulatory Adherence: The Incubation Plan will also handle all necessary legal requirements that ensure the program member can operate legally. This includes tests for data privacy, copyright, and work permits.

8) Creating and Monitoring Key Performance Indicators (KPIs): Establish the KPIs of the program members and monitor how likely they are to reach those requirements.

9) Networking and Community Development: Continue to build the collaborative atmosphere by setting up gatherings and forums where members can share their knowledge and build connections with each other and other important parties.

Payoneer is well positioned to accomplish this, as over the past eight years, they have conducted 270 incubation programs in 134 countries. This led to almost 4,000 businesses and entrepreneurs being matched with partners. Many of these businesses attribute their success in part to these programs.

Payoneer’s Development Plan for Small BPOs

The Bridge for Billions Incubation Program of Payoneer has become the title of their new incubation plan. This program aims to help freelancers, recruiting agencies, as well as small- and medium-sized information technology-business process management (IT-BPM) businesses. The only requirement these businesses have is that they are part of the digital economy in the Philippines.

So far, 70 local entrepreneurs stand to benefit from a new plan, as it will provide them with guidance during the challenging phase of starting a business.

Some of Paynoeer’s executives gave statements discussing the program in a recent interview about the program’s launch.

“Since the beginning, we’ve been supporting the small- to medium-sized businesses. So that will include independent gig workers. We think that they’re the best profile for this program because usually they’re a one-man team—from acquiring their clients [to] building their portfolio, [or] like doing their finances.”

– Jen San Antonio, Payoneer Marketing Lead

“In terms of [agency] freelancers themselves, they have the same needs as any other type of small business. They’re entrepreneurs. They’re growing their business. They’re trying to connect with other stakeholders across their ecosystem or crossborder. So it’s our desire to make sure they’re included, given the right set of tools, and empowered to grow,” 

– Nagesh Devata, Payoneer Senior Vice President for Asia Pacific

Payoneer will accept applications until December. After that, the selection process, announcement, and onboarding calls will happen in February 2024. The main incubation plan will happen from March to June 2024. The chosen 70 participants will be paired with experts in their respective fields for one-on-one mentorship.

After four months, everyone will be required to submit a business case that shows their readiness for success after the program. 15 to 20 members who create well-defined business plans can advance to the pitch competition. The first-place winner will receive a prize of $2,000, the second-place winner will be awarded $1,500, and the third-place winner will receive $1,000.

“Seventy-five percent of those entrepreneurs registered their business formally two years after the program, and then 65 percent of those have created an average of five jobs during the same period. So this is the same impact that we’re expecting for this program with us, Payoneer, and Bridge for Billions. Both mentees and mentors of this incubation program can also have their share in nation-building, thus promoting innovations and economic prosperity in their respective industries.”

– Jen San Antonio, Payoneer Marketing Lead