Business Plan

New Era University
No.9 Central Avenue, New Era

Quezon City 1107, Philippines
DARLING RICE
A Business Plan
Presented to Professor Reynaldo D. Narra
New Era University (Integrated School)
Quezon City
In Partial Fulfillment
of the Requirement for the Subject
ENTREPRENEURSHIP
(G11-HUMSS PM3)
(Saturday Class/ 1:30 – 5:30pm/ rm. A508)
By:
GROUP 4
Leader: Vera Xyza Santos

Asst. Leader: John Emmanuel Arellano
Members:
1) Angelyn Telin 7) Laurence Camasora
2) Marielle Lalong-Isip 8) Dayanara Torres
3) Zyra Mae Tarayao 9) Juan Polo Toraldo
4) Alethea Kirsten Ollanas 10) Miko Pespenan
5) Jemmarose Mendoza 11) Gian Aldrin Cariaga
6) Ellysha Atacador
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Business Plan
I. PRELIMINARIES
A. Acknowledgement
This project or business plan would not have been possible without the
support of many people. We would like to thank our most loving Father in heaven
for giving us knowledge, strength, and our needs in conducting this project. We
want also to express our gratitude to our supervisor, Professor Reynaldo D.
Narra who was abundantly helpful and offered valuable assistance, support, and
guidance. Special thanks to our friends who always give suggestions and ideas
in order to become our business colorful. The support received from the
members who contributed and who are contributing to this project, was vital for
success of the project. In addition, we wish to express our love and gratitude to
our beloved parents for their understanding & endless love through the duration
of our studies.
Vera Xyza T. Santos ( CEO of Darling Rice Company)

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B. Introduction
Darling Rice is about rice trading. Our business will purchase the rice
from particular farm or rice mill and deliver it to the seller of rice. We can also
retail it to end consumers which is the customers. In other words, we will serve
as trader of rice. Additionally, our business have two purpose, first is to trade the
rice and second is we are going to plan a restaurant that allows our customers to
have a free taste on different kinds of rice or brands of rice that we’re trading.
The company conducted this business since January 2019.
C. History of the Business
Rice is a kind of grain, or grass, like wheat, millet, or barley, that provides
carbohydrates to people who eat it seeds. In South-East Asia, rice grows wild like
other grasses. Rice probably reached West Asia and Greece about 300
BC with Silk Road traders. The Greek word for rice comes from the Indian
word, vrihi, and all the other European words for rice come from the Greek word.
By the time of the Roman Empire, people were growing some rice around
the Mediterranean Sea, in southern Europe and North Africa including Egypt (but
not as much as in China or India). By 800 AD, thanks to trade with India and
Indonesia, people in East Africa were also growing rice. Soon people were
growing rice all over southern Africa, and by the Middle Ages people grew rice
in West Africa too. After the Civil War, in the late 1800s, with their slaves free, the
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rich planters gave up growing rice in the Carolinas, but other people began to
grow rice across the rest of the South, especially in Louisiana and Mississippi,
and parts of Texas and California. When British settlers came to North
America in the 1600s AD, they brought rice with them. They planted rice in the
south-east part of the continent where the climate was right for it (modern North
and South Carolina). In the 1660s, British settlers forced the Cherokee off their
land in order to grow rice on it. West African people who were forced to come to
North America as slaves also brought rice with them. By the 1700s a lot of
farmers were growing rice in North and South Carolina and exporting it
to Europe (mainly to Germany, but also to Spain and Portugal).
D. Reason of making the business plan being chosen
We all know that Philippines is rich in natural resources, especially rice,
because of its vast farms and it is in the tropical area. Rice Production in the
Philippines is an important aspect of the country’s food supply and economy. The
Philippines is the 9th largest rice producer in the world. Also, Philippines was the
world’s largest rice importer in 2010. Because of those facts, we realized that
making this business will help the country and the people living in it to spread the
importance and function of rice. In addition, our business can promote the rice as
part of the culture in the Philippines, because Philippine rice is much more than
food, it is sustenance with historical and numeral cultural values that are deeply
woven into Filipino culture. Lastly, we can help and deliver enjoyment to
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customers by allowing them to taste the different kinds of rice or brands of rice in
the Philippines.
E. Table of Contents
I. PRELIMINARIES
a. Introduction
b. History of the Business
c. Reason of making the business plan being chosen
d. Table of Contents
II. DESCRIPTION OF BUSINESS
a. Company Name
b. Company Logo
c. Tag Line
d. Mission, Vision, and Goals
e. Product/Services
f. Industry
g. Trends
h. Competitive Landscape
i. Competitive Advantage
j. Barriers to Entry
k. Proposed Entry Strategy

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l. Timeline of Activities
III. MARKETING ASPECT
a. SWOT Analysis
b. Marketing Program
1. Promotion Strategy
2. Service Strategy
3. Pricing Strategy
4. Placing Strategy
IV. MANAGEMENT ASPECT
a. Form of Organization
b. Organizational Structure
c. Job Analysis
d. Hiring and Selection of Employee Procedure
e. Compensation Schedule and Mandatory Benefits
f. Employees’ Rights
g. Restrictions and Policies
h. Offences
i. Rules and Regulations
j. Corporate Social Responsibility

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V. TECHNICAL ASPECT
a. Description of the Project
b. Land Area
c. Location
d. Route
e. Daily Work Schedule
f. Service/ Production Strategies/ Process
g. Process Flow Chart
h. Operating Cycles
i. Regulatory and Legal Issues
j. Partnership Cooperation Articles
k. Floor Plan
l. Area Lay-out
m. Machines and Equipment
n. Building, Facilities Improvement
o. Supplies
p. Waste Disposal
q. Research and Development
r. Risk Management
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V. FINANCIAL ASPECT
a. Total Project Cost
b. Service of Financing
c. Financial Statement Analysis
d. Conclusion
e. Recommendation
II. DESCRIPTION OF THE BUSINESS
A. Company Name
The name of our company is DaRice Trading short for Darling Rice
Trading. From the word “darling”, this means someone who is liked very much by
a person or a group. Our company will make sure that our customers will love
and like our service, especially the rice that we’re trading due to its cheap yet
high quality kind of rice.
B. Company Logo
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C. Tagline
“We Trade. You Taste!”
Our business is rice trading and we’re going to deliver that rice on rice shops and
especially to our restaurant then the customers will taste the incredible rice of
ours and that is the reason why our tagline is like that.
D. Mission, Vision, and Goals
Mission
 To deliver and promote great-tasting, healthy, and amazing rice and
create a beautiful everyday life for the people.
Vision
 Give higher quality and more reliable rice productivity will directly increase
the quantity of food availability.
Goals
 To become the world’s most loved rice trader.
 To enlighten the people about the rice as part of Filipino culture.
 To help the customers particularly Filipinos to taste different kinds of rice
or brands of rice in the Philippines.
 To have a vast knowledge about the importance of rice in our daily living.
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 To provide better customer service.
E. Product/Services
Our business is more on services based on the name of our company
which is the “Darling Rice Trading.” Our business is unique at some point that will
be discussed in Marketing Strategy and determine the services that we’re
offering to the customers to give color also on our business. It can contribute not
only to the owner and staffs of the company, but rather to our country by helping
the customers who have no big income, trading the rice and promoting the
Filipino culture lying on the rice at the same time.
F. Industry
In order to know the strengths, weaknesses, risks and advantages, the
company used the SWOT Analysis (Strengths, Weaknesses, Opportunities,
Threats) and did the Marketing Program which includes Promotion, Service,
Pricing and Placing Strategy.
G. Trends
Since rice is the staple food in the Philippines, it will help our business to
spread all over the country and will be trending in the near future, because all
age are available and can relate to our business and it will be in demand for
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them. The country, an archipelago, is the 8th top producer of rice in the world.
However, it is also the world's top rice importer.
H. Competitive Landscape and Advantage
The company thinks that the other rice trader with something creative on
their service is our great rival. We offer different kinds of services like doing jingle
in our restaurant, allowing the customers to do the free taste of our rice, and
promoting the culture of Philippine Rice to enlighten the customers who will try
this that’s why someone would choose our business over our competitors. And
also with the use of technology and social media (for advertisements,
commercials, announcements, updates, and promotions about our business or
services) it can help our business to spread and to arouse the interests and
attention of the customers.
J. Barriers to Entry
The amount of capital needed to buy the buildings for our restaurant,
machinery, pay the workforce, and so on all serve as a barrier to entry.
Additionally, one of barriers to entry is the Product Differentiation. Product
differentiation can be accomplished through strong brand recognition, great
customer service, or a network effect. If customers perceive existing products as
high quality, then a new business owner will need to spend extra money to
educate customers about the unique qualities and benefits of its specific
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products. Our business must obtain the “network effect” or the situation where
the service becomes more valuable as more people use it.
K. Proposed Entry Strategy
One of the proposed entry strategies is doing this business plan, because
through this, we can easily determine our strengths, weaknesses, limitations with
regard to people, costs and capitals, risks and assumptions. Also, this can help
to promote services that can attract more customers and services that give color
to our business. We’re going to check also from time to time our infrastructures
that can help to support our activities, developments, deliveries and services. We
will do the evaluation of employees, so that we can determine the qualities that
are missing, core competencies, capabilities or key skills set by our current and
future team members and staffs. Our business will make sure that our resources
are tangible and we will build relationship.
L. Timeline of Activities
This timeline of activities is for the bussiness’ initial start-up.
1st
WEEK 3rd WEEK 5th WEEK 7th WEEK 9th WEEK
(Legal (Product (Purchase (Purchase (Opening
Procedur Developme or lease of of date for
es) nt) equipment) Materials) business)
2nd WEEK 4th WEEK 6th WEEK 8th WEEK

(Finding office (Getting all (Hiring of (Start date
or necessary personnel) for
manufacturing permits and marketing
space) licenses) activities)
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III. MARKETING ASPECT
A. SWOT Analysis
Strengths
 Our business allow the costumers to taste our darling rice.
 Our business have 2 purposes; Trading and restaurant.
 Good location of our company or business.
 Loyalty of costumers
 We have our own farm
Weakness
 The process of trading particularly in far area.
 Climate change.
 Time Management
Opportunities
 Emerging need for your products or services.
 We will use social media to spread our business.
Threats
 Changing regulatory environment.
 Competition between to the other rice business.
 Climate Change.
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B. Marketing Program
1. Promotion Strategy
 The staffs will do the jingle every special occasion to entertain our
costumers inside the restaurant and to promote also our business.
 We will use the technology and social media to advertise and
spread our business.
2. Service Strategy
 When the costumer buy 5 sacks of rice, they will get free one sack
of rice.
 In our restaurant if the customers want unlimited rice, they will just
add 20 pesos in their order.
 In every first day of month, the customers have the chance to do
the free taste of our rice.
3. Pricing Strategy
 The shipping fee is included in the payment. The shipping fee
depends on how far the area is. For example, P100 per kilometer.
 The estimated price for 1 sack of rice is PHP450.00

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4. Placing Strategy
 Our farm is in Binalonan, Pangasinan, because this is the good
place to plant the rice.
 Our restaurant is located in an area with good human and vehicular
traffic in order to not struggle and make people to visit our
restaurant and make purchase.
 Our building is in the place with wide area for our trucks.
IV. MANAGEMENT ASPECT
A. Form of Organization
B. Organizational Structure
SALES AND
MARKETING EMPLOYEE
HEAD
SECRETARY
CUSTOMER
CEO SERVICE AND EMPLOYEE
MEDICAL
MANAGER
HEAD OF IT EMPLOYEE
HEAD OF
FINANCE
EMPLOYEE
a. CEO (Vera Xyza Santos) –the chief executive officer of the company
because she’s the one who is making decisions, managing the operations
and responsibilities and managing the resources.

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b. MANAGER (Angelyn Telin) - She is in charge of employees and the
facilities we work for. As a manager, her job is to plan and promote the daily
schedule of employees and the business, interview, hire, and coordinate
employees, create and maintain budgets, and coordinate with and report to
senior management in the company.
c. SECRETARY (John Emmanuel Arellano) – He’s assigned in answering
phone calls and redirect them when necessary. Managing the
daily/weekly/monthly agenda and arrange new meetings and appointments.
Preparing and disseminating correspondence, memos and forms.
d. SALES AND MARKETING HEAD (Alethea Kirsten Ollanas) - is responsible
for planning and implementing sales, marketing and product development
programs, both short and long range, targeted toward existing and new
markets by performing the following duties personally or through
subordinates.
e. HEAD OF IT (Juan Polo Toraldo) – He will be in charge of a team of IT
managers and manage the company's technology operations and the
implementation of new IT systems and policies. He have a solid technical
background while able to manage and motivate people.
f. HEAD OF FINANCE (Marielle Lalong-isip) –She’s the one who supervise
all financial tasks of our company and ensure we use capital and resources
beneficially. Her responsibilities include creating forecasting models,

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assessing risk in investments and ensuring all accounting activities comply
with regulations.
g. EMPLOYEES (Dayanara Torres, Gian Aldrin Cariaga, Miko Pespeñan,
Zyra Mae Tarayao, Laurence Camasora, Ellysha Atacador, Jemmarose
Mendoza) –They are the responsible for the other work given by the manager
or manager director.
C. Job Analysis
These are the following descriptions of employee that we need and also the
salary:
 Punctual
 Optimistic and Pessimistic
 Good in written and oral communication
 Can do the multi-tasking
 For higher positions, you must be graduated
 Organize
 The salary is depends on the position

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D. Hiring and Selection of Employee Procedure
These are the procedures of hiring a and selection of employee:
 Identify need for an opening
 Decide whether to hire externally or internally
 Review the job description and compose a job ad
 Set a deadline for applications
 Communicate their opening through newsletters, emails, word-of-mouth
or an Applicant Tracking System’s automated emails
 Review resumes in company database/ATS
 Source passive candidates
 Shortlist applications
 Proceed through all selection stages
 Run background checks
 Select the most suitable candidate
 Make an official offer
E. Compensation Schedule and Mandatory Benefits
We will base the wages on the budget of our company. The employee will
work 8 hours a day and PHP350.00 is the minimum. Employee benefits include
retirement plans, health life insurance, life insurance, disability insurance,
vacation, employee stock ownership plans, etc. Benefits are increasingly

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expensive for businesses to provide to employees, so the range and options of
benefits are changing rapidly to include, for example, flexible benefit plans.
Benefits are forms of value, other than payment, that are provided to the
employee in return for their contribution to the organization, that is, for doing their
job. Some benefits, such as unemployment and worker's compensation, are
federally required.
F. Employees’ Rights
These are the following rights of the employee:
 Employers must give their employees a place to work and make sure they
have access to it. They must give them the tools, equipment and other
things they need to do their work.
 Employers must pay their employees the salary and benefits they agreed
to, including vacation, paid holidays and other types of holidays.
 Employers must make sure their employees' working conditions are safe.
 In some cases, employers must give their employees written notice that
their contracts are ending or that they are being laid off. Note that
employers can pay employees a sum of money instead of giving the
notice.
 Employers must treat their employees with respect. They must make sure
their employees are not harassed or discriminated against.

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 Right to refuse unsafe work.
 Right to participate in the workplace health and safety activities through
the Health and Safety Committee (HSC) or as a worker health and safety
representative.
 Right to know, or the right to be informed about, actual and potential
dangers in the workplace.
G. Restrictions and Policies
These are the following restrictions and policies:
 Workplace Safety policies
 Disciplinary policies
 Device Use Policies
 Work Hours and Turnaround time
 Late Payment Policies
 Return/Refund Policies
H. Offences
 If employees don't respect their responsibilities, the employer is allowed to
take certain actions:
 discipline employees, such as giving a written warning, or suspending
them
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 take other action against employees, such as giving a letter evaluating
their performance, or demoting them (that is, giving them a lower job)
 fire employees if they do something very serious, such as stealing from
the office
 take employees to court to make them pay an amount of money (for
example, if an employee quits without telling the employer in advance, or if
an employee quits before the date in the employment contract)
 take employees to court to stop them from doing things that are harmful to
the business
I. Rules and Regulations
 Always pray before you start working.
 Wearing of proper attire in work.
 No to late
 Respect everyone
 Do not damage, deface or alter the furniture, furnishings, walls, ceilings,
floors, or make or suffer to be made any waste, obstruction or unlawful,
improper or the common area facilities. Do not cause damage to any part
of the building or our property or disturb the quiet enjoyment of any
member or occupant of the building.

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J. Corporate Social Responsibility
 Reduce carbon footprints to mitigate climate change
 Improve labor policies and embrace fair trade
 Engage in charitable giving and volunteer efforts within your community
 Change corporate policies to benefit the environment
 Make socially and environmentally conscious investments
 Reduce carbon footprints and climate change
V. TECHNICAL ASPECT
A. Description of the Project
Our company will serve as a Rice online wholesale arm of Rice Trading
companies, and as the go-between for the manufacturers/producers and the
wholesale buyer/importer to meet their needs in the market. We all know that
rice, the country’s staple food, has to be locally produced at quantity sufficient to
meet the rice requirement of the burgeoning population. We aim to produce local
and organic rice in the market, which would be healthy to consume and
affordable have.
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Over the years, rice has become more expensive in the Philippines than
in most developing countries of Asia. This business dream to expand in the near
future in the areas of farming and support to farmers and new entrepreneurs in
their ambitious and innovative plans to change the rice trading game for the
future progress of our country.
B. Land Area
 9 hectares and 110 per square meter in Binalonan, Pangasinan.
C. Location
 Pangasinan is where it is established. It’s progress in terms of tourist
destination and realty development is a strategic decision to establish a
commodity trading firm the clear tropical weather and the healthy and
organic rich soil is where it’s at.
D. Route
 Manila -> Quezon Boulevard -> SCTEX/Clark Airport -> McArthur Highway
-> McKinley St. -> Binalonan

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 By following these directions you can get to Binalonan from Manila faster
and making the trip easier
E. Daily work schedule
The schedule at the office, for organizing papers for shipment and
planning for future projects in the company would be Monday to Friday opening
at 8 am to 6 pm the chosen days that are scheduled makes the workers be more
efficient, productive, and reliable to do the work while having time for themselves.
F. Production Strategies
The production of rice is facing a fall in price. It is important to increase
the added value of rice by direct marketing from producers to consumers and
businesses as part of income - generating measures in the management of
individual rice production, particularly in large farms. Even such direct marketing
practices, however, face severe competition in prices. This situation requires a
business model that generates customer values and profits from production to
sales in a series of activities.

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G. Process Flow Chart
Get the
Promote
Necessary Get
our
Carry out License Supply of
Products
Feasibility Required Rice from
to
Study to Become the Rice
Retailers
a Farmers
Around
Distributor
H. Operating Cycles
I. Regulatory and Legal Issues
As an owner of a Rice Trading business, the danger of crippling litigation
should also be at the top of your priorities. Legal headaches, especially in
Pangasinan can take you by surprise and severely hurt your business' bottom
line. Here are some of the most common legal issues facing small businesses in
Pangasinan.
Disgruntled Employees
As a business owner, this will be one of the most common legal
headaches. In Pangasinan, employees have far more rights than other countries,
in the form of unions and reasons for "wrongful termination". If you terminate a
non-performing employee, make sure he or she signs documents carefully

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drafted by an attorney upon termination to make the terms of dismissal crystal
clear.
J. Sole Proprietorship
Some examples of businesses that are often Sole Proprietorships (NOTE:
just because a business is listed here does not mean that it couldn’t be
incorporated):
 Mang Inasal
 GERRY'S GRILL
 Puregold
K. Floor Plan
L. Area Lay-out
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M. Mechanics and Equipment
N. Building Facilities Improvement
O. Supplies:
P. Waste Disposal
Q. Research and Development
Rice trade includes procurement, shipping, storage, milling and
distribution. The main problem with the pale procurement was poor grain quality
caused by mixed varieties, discolored and spotted palates and high impurities.
Transportation issues were poor farming to ban load trucks on the market and
high transport costs. Insufficient drying facilities and the National Food
Administration's (NFA) non - selective and unlimited disposal of rice made palay
storage too time - consuming or too risky for traders because of the risk of
unnecessary losses, damage and unpredictability of future palay prices. Low
recovery from milling was the millers ' biggest problem. It is the result of a high
percentage of broken and unfilled grains, high palay impurities, and old rice mill
inefficiency. The rapid increase in the number of traders has resulted in
increased competition among traders and is compounded by NFA intervention.
Importing rice and NFA's involvement in rice trading further dampened traders '
interest in large - scale storage of rice. Local palay's reduced competitiveness
due to importation resulted in lower purchase price for palay traders passed on to
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farmers allegedly reducing their expected profit. Imports have stabilized the price
and supply of rice, but have destabilized the private sector's development in grain
trade.
R. Risk Management
This weekly report, published 48 times a year, is a key source of market
intelligence. We serve our subscribers by providing an integrated information
platform on the origins of rice, related markets and tools for risk management.
The Rice Trader combines market data with proprietary research to provide our
customers on a weekly basis with the world's most comprehensive rice report.

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New Era University

No.9 Central Avenue, New Era

Leader: Vera Xyza Santos

want also to express our gratitude to our supervisor, Professor Reynaldo D.

Vera Xyza T. Santos ( CEO of Darling Rice Company)

The company conducted this business since January 2019.

C. History of the Business

to Europe (mainly to Germany, but also to Spain and Portugal).

D. Reason of making the business plan being chosen

We all know that Philippines is rich in natural resources, especially rice,

b. History of the Business

c. Reason of making the business plan being chosen

II. DESCRIPTION OF BUSINESS

d. Mission, Vision, and Goals

k. Proposed Entry Strategy

III. MARKETING ASPECT

IV. MANAGEMENT ASPECT

d. Hiring and Selection of Employee Procedure

e. Compensation Schedule and Mandatory Benefits

g. Restrictions and Policies

i. Rules and Regulations

j. Corporate Social Responsibility

a. Description of the Project

e. Daily Work Schedule

f. Service/ Production Strategies/ Process

g. Process Flow Chart

i. Regulatory and Legal Issues

j. Partnership Cooperation Articles

m. Machines and Equipment

n. Building, Facilities Improvement

q. Research and Development

a. Total Project Cost

c. Financial Statement Analysis

II. DESCRIPTION OF THE BUSINESS

high quality kind of rice.

“We Trade. You Taste!”

D. Mission, Vision, and Goals

 To deliver and promote great-tasting, healthy, and amazing rice and

create a beautiful everyday life for the people.

the quantity of food availability.

 To become the world’s most loved rice trader.

 To enlighten the people about the rice as part of Filipino culture.

 To help the customers particularly Filipinos to taste different kinds of rice

or brands of rice in the Philippines.

 To provide better customer service.

Our business is more on services based on the name of our company

be discussed in Marketing Strategy and determine the services that we’re

Filipino culture lying on the rice at the same time.

In order to know the strengths, weaknesses, risks and advantages, the

company used the SWOT Analysis (Strengths, Weaknesses, Opportunities,

Pricing and Placing Strategy.

However, it is also the world's top rice importer.

H. Competitive Landscape and Advantage

commercials, announcements, updates, and promotions about our business or

attention of the customers.

machinery, pay the workforce, and so on all serve as a barrier to entry.

Additionally, one of barriers to entry is the Product Differentiation. Product

differentiation can be accomplished through strong brand recognition, great

customer service, or a network effect. If customers perceive existing products as

the service becomes more valuable as more people use it.

K. Proposed Entry Strategy

are tangible and we will build relationship.

This timeline of activities is for the bussiness’ initial start-up.