MANAGEMENT ASPECT

LEGAL FORM OF THE BUSINESS

Eco Gecko will form a partnership registered under the Securities and Exchange
Commission. A partnership, as defined by law is a “contract between two or more individuals
who bind themselves to contribute money, skills, property, industry and other resources to a
common fund, with the intention of dividing the profits among themselves.”

There are several advantages of forming a partnership. A partnership is generally easier

to form, manage, and run. They are less strictly regulated than corporations, in terms of the laws
governing the formation. In terms of sourcing capital, having more partners, more money can be
put into the business, which will allow better flexibility and more potential for growth. Also
having more partners, there are several suggestions and more options for decision making.

The essential legal requirements necessary for starting a partnership:

A. Register the Business Organization

Securities and Exchange Commission (SEC)

SEC is a governmental agency in the Philippines responsible in the regulation of the

securities industry in the country.

Documentary Requirements for Partnership:

Basic Requirements

a. Name Verification Slip;

b. Articles of Partnership (AP); and
c. Joint affidavit of two partners to change partnership name (not required if
already stated in AP).
Additional Requirements

a. Endorsement/clearance from other government agencies, if applicable;

 b. For partnership with foreign national as partner I. FIA Form – 105 Note:
For limited partnership, the word ―Limited‖ or ―Ltd‖ should form part of
the partnership name.

B. Obtain a Mayor’s or Business Permit

Local Government Unit (LGU)

All businesses in the Philippines are required to secure a business permit from the
LGU of the municipality where the business is located.

Documentary Requirements for Business Registration:

1. SEC registration
2. Lease contract or title covering the property where the business is located,
whichever is applicable
3. Locational or zoning clearance
4. Building permit and occupancy permit
5. Public liability insurance
6. Barangay clearance
7. Fire safety certificate

C. Register with the Bureau of Internal Revenue (BIR)

Bureau of Internal Revenue (BIR)

The registration process involves obtaining and registering a tax identification
number (TIN), obtaining BIR-registered official receipts and invoices, registering the
business’s books of accounts, and paying the applicable fees.

The registration must be done at the Revenue District Office (RDO) of the BIR,
which covers the registered address of the business.
Documentary Requirements for Business Registration

Basic Requirements

A. Copy of SEC Registration and Articles of Incorporation/Articles of Partnerships,

as the case may be; and
B. Copy of Mayor’s Business Permit or duly received Application for Mayor’s
Business Permit, if the former is still in process with the LGU.
Documentary Requirements for Registration of Book of Accounts
A. Permanently bound books of accounts for registration/stamping or the bound
journals and/or ledgers; and
B. Proof of payment of Annual Registration Fee (BIR Form 0605) - current year.
Documentary Requirements for Application of Authority to Print Receipts and Invoices
a. Job Order;
b. Final and clear sample;
c. Photo copy of COR/paid ARF of TP & Printer;
d. Last booklet or previous ATP;
e. Permit to Use Loose-leaf, if applicable; and
f. Printers’ Certificate of Delivery (PCD).
D. Register with the Social Security System (SSS)

Social Security System (SSS)

The SSS provides replacement income for employees in times of disability, sickness,
maternity, and old age. It also provides assistance during death and for funeral expenses.

Documentary Requirements for Application

a. Accomplish the SS Forms R-1 and R-1A; and
b. Photocopy of the Approved Articles of Partnership
E. Register with the Philippine Health Insurance Corporation (PhilHealth)
 Philippine Health Insurance Corporation (PhilHealth)
All employers are required to register themselves and their employees with
PhilHealth, the government health-care system. Upon registration, an employer shall be
issued an employer number.

Documentary Requirements for Application

Register through the Philippine Business Registry (PBR), if failed to register, must
submit SEC registration;
a. Employer Data Record (ER1) Form (in duplicate); and
b. PhilHealth Membership Registration Form (PMRF) for each employee (in
duplicate).

F. Register with the Home Development Mutual Fund (Pag-IBIG Fund)

Home Development Mutual Fund (HDMF/Pag-ibig)

All employees who are or ought to be covered by the SSS are also covered by
mandatory membership in the Pag-IBIG Fund.10 The Pag-IBIG Fund provides various
types of housing loans to employees

Documentary Requirements for Application

a. Duly accomplished Employer’s Data Form (EDF, HQP-PFF- 002);

b. Specimen Signature Form (SSF, HQP-PFF-003);
c. Present the following as proof of business existence:
I. SEC Certificate of Partnership
II. Approved Articles of Partnership and By-Laws

ORGANIZATIONAL STRUCTURE
Organization Structure

General Partners

Supervisor
 Stall Crew/ Store Clerk
Cashier

QUALIFICATIONS OF PARTNERS
The partners and supervisor of Eco Gecko, are the ones in charge in monitoring the flow
of the business operation, overseeing the store employees, and in general, ensuring that the
business runs smoothly. For these reasons, officers must possess some qualities for them to be
able to put everything in order. Here are the qualifications of an officer:

 Knowledge of Industry
Formal education is one of the most important qualifications that an officer must have. A
degree holder in Management is expected to have knowledge, experience and a good
grasp of business operations.

 Good Communication Skills

Being an officer must not only work at the office but have more interaction with people
especially to the users of business such as customers, suppliers and employees. A good
communication skill results to understanding, problem solving and good impression, and
these are some advantages from competitors.

 Ability to Direct People

Employees are part of the daily operations of the business and officers are the ones
directing their activities. Therefore, it is important that an officer brings everyone
together towards the common goal.

 Time Management Skills

An officer must learn how to budget his/her time and the time of the employees.
Prioritization and task delegation must be practiced so as to avoid procrastination and to
be able to meet deadlines.
  Problem-Solving Ability
When problems occur, an officer should have a clear mind, a calm personality, and a
wide range of alternative solutions in mind.

ADMINISTRATIVE AND PERSONNEL REQUIREMENTS

SUPERVISOR

Job Description:

 Sets goals and aligns operation performance with the company’s mission, vision, and
strategic objectives
 Settles complaints and problems
 Hires and trains employees
 Evaluates and gives feedback to other team members

Job Qualifications:

 Must have a pleasing personality

 Must have good communication skills
 Must have good customer service skills
 Must have the ability to efficiently and effectively train employees

Month Salary: ₱ 15,000

Employment Benefits: 13th month pay, sick leave, SSS, Pag-IBIG, PhilHealth premiums

CASHIER

Job Description:

 Receives payment in cash, credit card, or debit card

 Issues change to customers
 Safeguards the cash register
 Recounts and reconciles beginning and ending balance of money

Job Qualifications:
  Must have a pleasing personality
 Must have good customer service skills
 Must have basic knowledge in math

Month Salary: ₱ 11,400

Employment Benefits: 13th month pay, sick leave, SSS, Pag-IBIG, PhilHealth premiums

STORE CLERK

Job Description:

 Greets customers when entering and exiting the store

 Looks out for possible theft and safeguard the items
 Assists customers with their needs and other inquiries

Job Qualifications:

 Must have a pleasing personality

 Must have good customer service skills
 Must have good communication skills

Month Salary: ₱ 11,400

Employment Benefits: 13th month pay, sick leave, SSS, Pag-IBIG, PhilHealth premiums

SECURITY GUARD

Job Description:

 Is responsible for the safekeeping of the store premises

 Looks out for possible theft and safeguard the items
 Greets customers when entering and exiting the store

Job Qualifications:

 Must have a pleasing personality

 Must have good customer service skills
 Must have acquired proper training especially when handling firearms
Month Salary: Based on the contract with the security agency

Employment Benefits: Based on the contract with the security agenc

OFFICE PROPERTY AND EQUIPMENT

Machinery & Cost Useful Life Annual % Annual

Equipment (In years) Depreciation Depreciation
Electronic Cash ₱ 28,307.77 10 ₱ 2,830.78 10%
Register
Air Conditioner 25,000.00 10 2,500.00 10%
Exhaust Fan ₱ 2,295.00 10 ₱ 229.50 10%

Furnitures & Cost Useful Life Annual % Annual

Fixtures (In years) Depreciation Depreciation
Boltless Rack ₱ 35,000.00 10 ₱ 3,500.00 10%

Selling and Administrative Expenses

 General and Administrative Expense

Expense Item Year 1 Year 2 Year 3 Year 4 Year 5

13th Month Pay ₱ 15,000.00 ₱ 15,000.00 ₱ 15,000.00 ₱ 15,000.00 ₱ 15,000.00
Office PAG- 3,600.00 3,600.00 3,600.00 3,600.00 3,600.00
IBIG Premium
Expense
Office 412.50 412.50 412.50 412.50 412.50
PhilHealth
Premium
Expense
Office Salaries 180,000.00 180,000.00 180,000.00 180,000.00 180,000.00
and Wages
Office SSS 20,460.00 20,460.00 20,460.00 20,460.00 20,460.00
Premium
Expense
Office Supplies 700.00 735.00 771.00 810.00 850.00
Expense
Permits and - 7,380.00 7,380.00 7,380.00 7,380.00
Licenses
Pre-Operating 57,740.00 - - - -
Expenses
TOTAL ₱ 112,912.50 ₱ 62,587.50 ₱ 62,623.50 ₱ 62,662.50 ₱ 62.702.50
General and
Administrative
Expenses

 Selling Expenses

Expense Item Year 1 Year 2 Year 3 Year 4 Year 5

13th Month Pay ₱ 22,800.00 ₱ 22,800.00 ₱ 22,800.00 ₱ 22,800.00 ₱ 22,800.00
Advertising 20,000.00 21,840.00 22,932.00 24,079.00 25,283.00
Expense
Store 6,330.78 6,330.78 6,330.78 6,330.78 6,330.78
Depreciation
Expense
Store PAG- 5,472.00 5,472.00 5,472.00 5,472.00 5,472.00
IBIG Premium
Expense
Store 7,524.00 7,524.00 7,524.00 7,524.00 7,524.00
PhilHealth
Premium
Expense
Store Rent 250,000.00 300,000.00 300,000.00 300,000.00 300,000.00
Expense
Store Salaries 273,600.00 273,600.00 273,600.00 273,600.00 273,600.00
and Wages
Store SSS 30,360.00 30,360.00 30,360.00 30,360.00 30,360.00
Premium
Expense
Store Supplies 500.00 525.00 551.00 578.00 607.00
Store Utilities 48,000.00 49,920.00 51,916.00 53,991.00 56,149.00
Expense
TOTAL Selling ₱ 664,586.78 ₱ 718,371.78 ₱ 721,485.78 ₱ 724,734.78 ₱ 728,125.78
Expense

GANTT CHART

July August September October November December January

Activities 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1
Formulation of a Feasibility Study
Capitalization
Rental of Business Space
Legal Documentation
Renovation/Leasehold Improvement
Acquisition of Furniture and Fixtures
Acquisition of Equipment
Acquisition of Supplies
Hiring and Training of Employees
Advertising/ Promotions
Start of Operations