JACAAs

A Business Plan

Presented to

The Faculty of Business Administration Program

By

Armand James Grabador

Cristian Dave A. Buba

Charles Andrei Manigo

Albert Cavan

Alvin Lungay

October 2019

1
 ACKNOWLEDGMENT

First of all, we thank God for giving us strength and knowledge in doing

this business plan of ours.

We sincerely give thanks to our teacher, Ms. Lorribelle Ocenar, for giving

us opportunity to make our own business plan. To Ms. Michelle Galotera for

letting us borrow her laptop to make our business plan. To our classmates who

help us.

Our special thanks goes to our parents for helping us financially in the

expenses for this project. Without their help, we cannot provide the materials and

hard copy for this. We also thank them for undying support, understanding and

encouragement.

2
 EXECUTIVE SUMMARY

Every person has different kind of taste on choosing food. Sometimes we

want something sweet like chocolates, sour like mango, and food like French

fries. Now a day, selling French fries are very known but the thing is they all taste

similar.

French fries with twist is a product which makes customers wants more.

As we can observe in our surrounding, there are so many small business selling

products with the same quality of taste in terms of food. We partner Armand

James Grabador, Charles Manigo and Alvin Lungay are going to build a business

with the product of French fries with a twist of taste and we called it the “French

Fries with a twist”.

This fries is not just ordinary fries that you can see outside school or

beside the streets, it has a different taste. We create this business of course to

earn profit. Aside from that, we want to share the food we have made and get

good feedbacks from the customers. We will sell it inside Holy Cross of Davao

College were many people especially the students of the school. As an

assurance, they can purchase our product in an affordable price which is worthy

to pay for.

3
 French fries with a twist will prodive a budget worth of 20,000 pesos for

the expenses in starting the business and it is expected that the return of the

capital will double its value

4
 Table of Contents

Title Page 1

Acknowledgement 2

Executive Summary 3

List of Tables 8

List of Figures 9

Chapter 1

Product/Service Description 10

Location 10

Market Area 11

Main Customers 11

Total Demand 12

Selling Price 12

Projected Sales (in Volume & in Peso) 13

Marketing Strategy 13

Marketing Budget 14

5
 Chapter 2

Technical Description 15

Production/Operation Process 16

A. Step by step procedure 16

B. Duration per step per batch 17

C. Labor & Machines Requirements 18

Store Location and Layout 18

Machineries & Equipment 19

Sources of Equipment 19

Supplies 20

Raw Materials 21

Sources of Raw Materials 21

Labor Requirements 21

Production Cost 22

Chapter 3

Form of Business 23

Organizational Structure 23

Business Experience and Qualifications of the Entrepreneur 24

Pre-Operative Activities 26

6
Pre-Operative Expense 28

Store Equipment & Furniture & Fixtures 28

Administrative Expense

Chapter 4

Project Cost 30

Source of Capital 30

Profit and Loss Statement 31

Financial Analysis 33

7
 List of Tables

Table 1: Total Demand 11

Table 2: Total Amount of Ingredients 12

Table 3: Projected Sales 13

Table 4: Marketing Budget 14

Table 5: Labor & Machine Requirement 18

Table 6: Machineries & Equipment 19

Table 7: Supplies 20

Table 8: Raw Materials 21

Table 9: Production Cost 22

Table 10: Business Experience and Qualification 24

Table 11: Pre-Operating Activities 26

Table 12: Pre-Operative Expense 28

Table 13: Store Equipment & Furniture and Fixtures 29

Table 14: Administrative Expense 29

Table 15: Project Cost 31

Table 16: Profit and Loss Statement 32

Table 17: Financial Analysis 33

8
9
 Chapter 1

Marketing Plan

I. Product/Service Description

French Fries with twist; it is somewhat special and unique due to its taste

and smell. It is a good and affordable budget that you will really enjoy. French

Fries is a very popular in terms of selling products but our French Fries is more

delicate due to its more varied ingredients that the customers looking for. We

select and used fresh potatoes to make a long but not so thin French Fries so

that customers can say it is worth it. Our product is cheap price but with quality.

II. Location

The JACAAs is located at Sta. Ana Avenue, Davao City, inside Holy Cross

of Davao College in front of Office of Student Affairs. This location is easy to

recognize by the employees, staffs and especially by the students. Also it is

noticeable to the people who will visit the school.

10
III. Market Area

The JACAAs have placed a stall to service the employees, staffs, and

especially the students of the school campus of Holy Cross of Davao College.

The JACAAs offers a good and healthy product and delicacy to the people

inside the school such as employees, staffs, and mostly students of Holy Cross

of Davao College. Visitors of the school are also included, especially the French

Fries lover.

IV. Main Customers

The target customers of our product is the employees, staffs and mostly

the students of the school. The students are very familiar of this product

especially to those who are French Fries lover. For employees and staffs, our

product considers the health of our customers because our products based upon

providing health to our customers.

V. Total Demand

Table 1: Total Demand

VI. Selling Price

11
 Ingredients

Table 2: Total Amount of Ingredients

Products Pieces/Kilos/Packs/Bottle Price TOTAL

per day

Potato 2 kilos 100 200

Egg 2 dozen 7 168

Vegetable Oil 1 kilo 125 125

Bread Crumbs 3 packs 60 180

Mayonnaise 1 Bottle 182 182

Cheese Powder 3 Pack 25 75

Ketchup 1 bottle 125 125

Iced Tea 1 pack 229 229

12
 VII. Projected Sales (in Volume and in Peso)

Table 3: Projected Sales

Product Per day Price Sales per Sales per Sales per

(in day month year

Volume)

French Fries (Small) 25 35 875 20,125 241,500

French Fries (Medium) 25 45 1,125 25,875 310,500

French Fries (Large) 20 55 1,100 25,300 303,600

French Fries (Bucket) 10 80 800 18,400 220,800

VIII. Marketing Strategy

JACAAs has come up with the strategy to promote our product in social

media. Every person who buy our product will have free iced tea. And use the

“word-of-mouth” advertising to attract more customers and sell our product that

really works and provides great value to anybody who patronizes it. Also, to give

great experience to our beloved customers by communicating with them with a

positive attitude, respect and treat them well for them to return to enjoy that

happy experience again.

13
IX. Marketing Budget

Table 4: Marketing Budget

Particulars Cost Per Unit Quantity 2019

Tarpaulin 400 2 800

14
 Chapter 2

Operational Plan

I. Technical Description of the Product or Services

JACAAs product which is French Fries. A kind of French Fries that is

not just a common nor ordinary product, it is a very unique and unpopular

product. A flavorful French Fries that will give the customer a positive attitude

adding a sweet juice that will give the customer a relaxing atmosphere.

JACAAs will happily serve the customer and give them a good attitude,

respect and especially serve them with a smile.

15
 II. Production/Operational Process

A. Step by Step Procedure

The first step is preparing all Second is slice the potatoes Third step is deep fry the
the ingredients needed into long thin pieces potatoes until it will be half
cook
Remove
the
potatoe
s from
the
deep
fryer or
cooking
pot

Remove the fries from Put the fries at separate plate Beat eggs and mixed it together
Deep fry with fries
the bread crumbs which contains bread crumbs
it again
and wait
until the
color
turns
light
brown
Remove the fries’ potatoes and
transfer
4 it to a serving cup with paper Serve it.
towel

16
B. Duration per step per batch

 Preparation of Ingredients needed

 Minimum of 10 minutes

 Preparation of Materials

 Minimum of 15 minutes

 Slicing the potatoes into long thin pieces

 Minimum of 20 minutes

 Deep frying the potatoes until it will be half cook

 3 to 5 minutes

 Removing the potatoes from the fryer

 3 to 5 minutes

 Beating eggs and mixed with fries

 3 to 4 minutes

 Putting the fries at separate plate that contains bread crumbs

 1 minute

 Removing the fries from the plate

 1 minute

 Deep frying it again until it turns the color into light brown

 2 minutes

17
  Putting the fries to a serving cup

 5 minutes

C. Labor & Machine Requirement per step

Table 5: Labor & Machine Requirement

Labor Machine Requirement Specification

Cook Fryer The one who cook the fries

and mixed the ingredients

Assistant-Cook Knife, Serving Cup The one who slice the

potatoes and serve the

product

Juicer Jar, Plastic Cup The one who serve the

juice

III. Store Location and Layout

18
 IV. Machineries & Equipment

Table 6: Machineries & Equipment

Particulars Qty Unit Acquisition Salvage Net Value Est Life in Depreciation

Cost Value Years Cost (year)

(10%)

Fryer 1 Pc

Tupperware 1 Pc

Butane 1 Pc

Bowl 1 Pc

Plate 4 Pc

Knife 1 Pc

Chopping Board 1 Pc

Spoon 3 Pcs

Strainer 1 Pc

Jar 1 pc

19
 V. Sources of Equipment

The source of equipment of the business is Gaisano Mall near of

the business location.

VI. Supplies

Table 7: Supplies needed

Qty Unit Particulars Cost Acquisition/Total

Cost

1 Pack Paper Cup 70 70

(Bucket)

1 Pack Paper Cup 60 60

(Large)

1 Pack Paper Cup 55 55

(Medium)

2 Packs Paper Cup 47 94

(Small)

3 Packs Tissue 22 66

20
 5 Packs Plastic Cup 28 140

VII. Raw Materials

Table 8: Raw Materials

Raw Materials Classification

Potato

Egg

Bread Crumbs

Vegetable Oil

VIII. Sources of Raw Materials

 Gaisano Mall

 Public Market

IX. Labor Requirements

 Cook

 Assistant Cook

 Juicer

21
 X. Production Cost

Table 9: Production Cost

Qty Unit Materials Unit Cost Total Cost Cost/day Cost/month Cost/year

2 Kilos Potato 100 200 200 4,600 55,200

2 Dozen Egg 7 168 168 3,864 46,368

1 Kilo Vegetable oil 125 125 125 2,875 34,500

3 Packs Bread Crumbs 60 180 180 4,140 49,680

22
 Chapter 3

Organizational & Management Plan

I. Form of Business

The form of ownership of the enterprise is under of the Partnership

owned by three proprietors. Each owner of the enterprise will be given a

position to manage the business properly. Armand James Grabador will do

the financing, Charles Andrei Manigo for the production and Alvin Lungay will

be do the auditing. The partners will manage its business according to their

plans and agreed to dive the profit equally.

II. Organizational Structure

The JACAAs offers with 3 staffs only which are the owners of the

business. They will help each other in controlling their budget and as well

as in limiting their expenses.

23
 Armand James Grabador Charles Andrei Manigo Alvin Lungay

Financial Manager Production Manager Auditing Manager

III. Business Experience and Qualification

Table 10: Business Experience and Qualification

Job Position Job Description Qualification Salary

(monthly)

Financial Manager  Collecting, interpreting  Analytical mind

and reviewing financial  Negotiation skills and the 3500

position. ability to develop strong

 Developing long-term working relationship.

business plans based on  Good communicating skills

these reports.  Commercial and business

 Producing financial awareness.

reports related to  Ability to stick to time

budgets, accounts constraints

payable, accounts

receivable.

24
  Reviewing, monitoring

and managing budgets.

 Developing strategies

that work to minimize

financial risk.

Production  Planning and organizing  Technical skills

Manager production schedules  Organization skills 3500

 Ensuring that health and  Leadership and

safety regulations are interpersonal skills

met.  Communication skill

 Determining quality  Team working skills

control standards.

 The one who select,

order and purchase

materials.

Auditing Manager  Produce reports and  Experience of leading,

providing potential supervising and coaching 3500

solutions. members of staff.

 Supervise, coach and  Planning and organizing

develop junior members  Analyzing and presenting

of staff. recommendation.

25
  Active engagement with

senior staff to gain a

good understanding of

the business.

IV. Pre-Operating Activities

Table 11: Pre-Operating Activities

Critical Activities Time table of Completion of Jobs (in days)

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

1. Business Plan

Making

2. Finding Location

for the stall and

place it to the

location

26
3. Processing of

permits and

licenses

4. Purchasing

equipment needed

5. Purchasing

office and operating

supplies.

6. Installing

equipment needed

for making the

product

7. Opening books of

account

8. Hiring of

Employees

9. Orientation for

workers

10. Full marketing

operation

27
From day 1 to 4, JACAAs will make the Business Plan. Day 5 to 6, finding a

location of the stall and place it to the location. Day 7, processing for the licenses

and permits is done. Day 8, purchasing for the equipment needed. Day 9,

purchasing office and operating supplies. Day 10, installing equipment needed

for making the product. Day 11 to 13, Opening books of account. Day 14 to 16,

Hiring of Employees. Day 17, Orientation for workers. Day 18, Full marketing

operating will begin.

V. Pre-Operating Expenses

Table 12: Pre-Operating Expenses

Description Amount

Ingredients 1,284

Transportation Cost 100

Permits and Licenses 1,000

Business Plan 400

Store Equipment 1,000

Furniture and Fixtures 2,000

TOTAL 5,784

28
 VI. Store Equipment & Furniture and Fixtures

Table 13: Store Equipment & Furniture and Fixtures

Particulars Amount

Chairs 1000

Tables 1000

Calculators 1000

TOTAL 3,000

VII. Administrative Expense

Table 14: Administrative Expense

Description Amount

Office Supplies Expense 500

Salaries Expense 20,000

Licenses 7,000

TOTAL 27,500

29
 Chapter 4

I. Project Cost

Table 15: Project Cost

PROJECTED COST

Ingredients 1,284

Transportation Cost 100

Marketing Budget 800

Business Plan 400

Permits and Licenses 1,000

Store Equipment 1,000

Furniture and Fixtures 2,000

TOTAL PROJECTED COST 6,584

This total projected cost is the cost during 1-day operation

II. Source of Capital

The total projected cost is PHP 6,584. The owners decided to put up

their savings to use and for the remaining balance, they will ask from

their parents or it can be loaned. In addition to that, the owners might

look for a job that will help to have a beginning capital.

30
 III. Profit and Loss Statement

Table 16: Profit and Loss Statement

Particulars 1 Year

Sales for French Fries 1,076,400

Less:

Cost of Sales 30,828

Gross Profit 1,045,572

Less

Operating Expense 421,200

Net Income 624,372

31
IV. Financial Analysis

Table 17: Financial Analysis

1 Year

Current Assets:

Cash 122,028

Petty Cash Fund 30,000

Non-Current Assets:

Furniture & Fixtures 24,000

Office Supplies Equipment 12,000

TOTAL ASSETS 188,028

Partnership’s Equity

Grabador, Capital 62,676

Manigo, Capital 62,676

Lungay, Capital 62,676

TOTAL PARTNERSHIPS’ EQUITY 188,028

32