Professional Documents
Culture Documents
Final
Final
IN PARTIAL FULFILLMENT
BY
MARCH 2018
APPROVAL SHEET
This Project Feasibility Study entitled “A Proposed General Cleaning and Laundry
Services for Apartments in Cebu City”, prepared and submitted by Mathew Anthone
Geonica C. Candongo, Rosalie Escoreal in partial fulfillment of the requirements for the
Adviser
APPROVED by the Tribunal at the Oral Examination with the grade of __________
This Project Feasibility is the fruit of hard work and dedication of the proponents
whose barriers became their most powerful asset as they worked together. The
collaboration of different individuals and the members made this study a success. On that
account, the proponents would like to express their sincerest gratitude to countless
To the Almighty God, for enlightening the minds of the members with His
everlasting wisdom, and glory. Everything would seem impossible without Him.
researchers, for all the time, patience, knowledge, and insights that drive the members to
the crucial information for the study and to the tenants or owner and land lady of the
apartments that are keen in helping the proponents in gathering the data needed.
To the panelists, who willingly reached out a helping hand despite of the hectic
schedules.
To the Perez family for the accommodation, hospitality, food and other needs that
they have offered for the proponents or researchers in the span of their study.
To the proponents, who have given out their blood and sweat in making this
And last but not the least, to the family and friends of the proponents or
researchers, whose support and guidance inspired them in performing their best to the
completion of the Feasibility Study, as well as providing both financial and emotional
AIRES S. JUGALBOT
GEONICA C. CANDONGO
ROSALIE ESCOREAL
Researchers or Proponents
TABLE OF CONTENTS
EXECUTIVE SUMMARY
INTRODUCTION 1
RESEARCH DESIGN 5
Research Environment
Research Respondents
DEFINITION OF TERMS 6
SERVICE DESCRIPTION 9
SERVICE FLOW 10
SERVICE LOCATION 22
OFFICE LAYOUT 24
UTILITIES 24
DEMAND 31
SUPPLY 36
MARKETING STRATEGY 39
Company Logo 40
Project Timetable
Organizational Structure 48
Personnel
Working Schedule 51
Recruitment Program 54
Compensation 55
Employee Benefits 56
LEGAL ASPECT
TAXATION ASPECT
Income Taxes 67
Percentage Tax 67
SOURCE OF FINANCING 70
GENERAL ASSUMPTIONS 77
FINANCIAL SCHEDULES 88
SECTORS IDENTIFIED
THREATS ANALYSIS
AND RECOMMENDATIONS
BIBLIOGRAPHY
APPENDICES
CURRICULUM VITAE
LIST OF TABLES
10 Preferred Rate 30
16 Projected Demand 33
17 Projected Supply 34
22 Employee Compensation 55
24 Gantt Chart 43
27 Compensation 54
2 Cloth 11
3 Duster 11
4 Sponges 11
5 Toilet brush 12
6 Mop 12
7 Rubber gloves 12
8 Broom 12
9 Dustpan 13
11 Trash bag 13
12 Cleaning supplies 13
14 Cabinets/racks 14
15 Basket 15
16 Weighing scale 15
17 Laundry supplies 15
18 Table 15
19 Telephone 15
20 Computer 16
21 Office supplies 16
22 Vehicle L300 16
25 Schedule 1 18
26 Schedule 2 18
29 Location 22
30 Office View 22
32 Business Logo 39
33 Gantt chart 43
34 Organizational Chart 48
5 Production Supplies 73
7 Rent Expense 74
8 Office Supplies 74
9 Utilities Expense 75
LIST OF SCHEDULES
2 Salaries Expense 89
4 Production Supplies 97
5 Office Supplies 98
Letter to Panelist
Questionnaire
Contract of Agreement
Proprietorship
(1906)
EXECUTIVE SUMMARY
located in a building occupied by more than one household. Some people find it more
in the city means it would be a few meters from everything you need. The people living in
the apartment wanted convenience to lessen their burden. Mostly, they lack time on doing
their daily routine task like cleaning the room and washing their clothes because of their
strict schedules. The alternative available for them are to hire residential cleaner and
laundry wash provider rather than giving them the chance to invest their energy in
routinely activities that requires their minimal time. The proponents decided it to be an
opportunity to conduct a study about investing in a business in line with their needs. They
come up with the objectives to promote cleanliness for the health benefit and to address
the concern of tenants especially employees and students who seek convenience for not
having enough time due to activities that demands more of their time. The proponents
have chosen a group of women in Pasil, Cebu City who wanted to be employed in order
for them to have income for their daily expenses which is the aim of the proponents as a
contribution to the growth of our community. For the convenience of the employees, the
proponents decided to locate their main office which operates from 8 am to 5 pm in Pasil,
Cebu City. The proponents choose three apartments in Cebu City because it is accessible
to the workers. Thus, the proponent have decided that it would be effective to conduct a
feasibility study entitled “A Proposed General Cleaning and Laundry Services for
CHAPTER 1
INTRODUCTION
necessity are some of the reasons why people consider staying in an apartment.
Some would even consider staying in the apartment for maintenance, safety,
means you’ll be just a few meters away from satisfying every need you may have.
lessen their burden knowing most tenants are employees and students. The type
responsibilities demand much of their time living some of their works left undone
compromising their time for their chores, and duties. Hiring residential cleaners
and availing laundry services would be their alternative to address such concerns
rather than doing things by themselves. With their minimal time for routinely
chores, these available alternatives would already constitute a big help. It is the
opportune time to conduct a study about investing in a business like that. Thus,
To promote cleanliness for health benefit and to address the concern of the
tenants of not having enough time for routinely activities are two of the proponents’
convenience; as such, they are the major target market of the study. To be
successful, it should have a team of reliable cleaners and washer. Employees who
have just about the same passion for the business. With the aim of the proponents
to also employ for a contribution to the growth of our community, group of women
in Pasil, Cebu City are employed for income generation to help sustain for their
The business offers comfort room, living room, and laundry services. In the
conduct of the service the tenants’ privacy, security, and assets are considered.
Measures and protocols are laid down to ensure quality service. Hence, the
conduct of service proponents prepares control management that about the rules,
legal aspects and consequences for misconduct of the business to surely respond
to the need of the tenants. The study, proponents, and employees exist to attract
This study aimed to respond the lack of time of tenants for routinely activities
following queries:
The Problem and its scope |3
1.1 Management
1.2 Marketing
1.3 Technical
1.5 Financing
1.6 Financial
2. With the proposed project, what finding can be drawn out to make it
researchers who wish to engage in the same type of service or enhance the studies
Tenants
It is intently for the tenants being the main target of this study. The time for
routinely activities will not anymore bother them. Comfort room, living room, and
laundry are the services they could avail. Also, it can help them in their time
Government
The information related to this study will be used to evaluate the study’s
conclusions can be drawn out to know how efficient and effective the study is.
Proponents
accomplish their proposed research. In the course of their study, the proponents
opportunity for work was what the proponents made sure to offer.
Future researchers/readers
The study will serve as a reference for future researchers who would show
RESEARCH DESIGN
the different components of the proposed study. It involves the target market,
instruments that the proponents used and the respondents of the study.
Research Environment
The proponents will make use of surveys into its target market to determine
the feasibility of the proposed study. The scope of the study covered 110 units of
Research Respondents
The proposed study covers respondents from the tenants in the Apartments
in Cebu City where in most respondents are the employees and students.
additional data pertinent to the study were also accumulated from the internet to
DEFINITION OF TERMS
In the course of the study different terms have been used, with that definition
1. Amenities
2. Assets
order for the survey to be both reliable and valid it is important that the
4. Intensive
thorough or vigorous.
5. Invest
CHAPTER II
TECHNICAL ASPECT
this chapter where deemed essential for this study because this factor responds
appropriately exposed in the market and attract the target market. Every part of
the study must be taken into consideration for the business operation to have a
favorable result.
The technical aspect is also considered as the framework of the study since
it involves all the information from where and to how the service is administered. It
would help the proposed study to be more precise and to prevent failures.
This chapter contains the important data that would support the proposed
study. It also indicates how to manage and render it in the most constructive way.
In addition, this chapter also entails the service flows, designs, materials, tools,
equipment, and utilities that are used in the execution of the study. The capacity
of the service, location to which the service is to be rendered and the layout of the
study and can likewise be a reference for the fulfillment of the project. It is a
Technical Aspect |8
requisite to fully follow the technical aspects of the proposed study to prevent any
unpleasant result.
SERVICE DESCRIPTION
especially those who lack time for cleaning their rooms and for washing their
clothes in the apartment. What the proponents aim of this study is to promote
cleanliness for the well-being of each person in the apartment building and provide
For the comfort and satisfaction of the customers, the proponents decided
to offer specific services for general cleaning to lessen its price. Both cleaning for
The business will operate for the whole week. As a starting business, the
SERVICE FLOW
The proponents proposed general cleaning and laundry services laid down
1. The assigned workers for the day will gather at the main office situated at
2. At the same time, the operation officer assigns the workers to their
3. The operation officer together with the workers for cleaning and laundry
4. Upon the arrival to the Apartment, the operations start at eight (8) a.m. until
five (5) p.m. It has 1 hour and 30 minutes allocated to each apartment unit
and a 10-minute break after every apartment unit finished. For the lunch
5. As the household and restroom cleaning services start, the laundry workers
pick-ups the laundry from the apartment units. The operations officer
together with the laundry workers travels back to the office for the start of
washing.
6. To ensure the operations, the operation officer will travel back to the
7. As the household and restroom cleaning services end, the operation officer
is tasked to collect the money to each assigned room with the official receipt
given.
8. At the end of the month, list of transactions will be given to the apartment
• The laundry workers pick-ups the laundry from the apartment units.
•The operations officer travels back to the Apartment for tracking each room
to ensure the operations are done well.
Figure 1
T e c h n i c a l A s p e c t | 11
effective conduct of the proposed business and to carry out its business operation.
The following are the tools and equipment used for the operation of the study.
For Cleaning
Cloth
Figure 2
Duster
removes dust
Figure 3
Sponges
material.
Figure 4
T e c h n i c a l A s p e c t | 12
Toilet brush
Figure 5
Mop
Figure 6
Rubber gloves
Figure 7
Broom
sweeping.
Figure 8
T e c h n i c a l A s p e c t | 13
Dustpan
Figure 9
supplies.
Figure 10
Trash bag
trash or garbage.
Figure 11
Cleaning Supplies
Figure 12
T e c h n i c a l A s p e c t | 14
For Laundry
Figure 13
Cabinets /racks
drying.
Figure 14
Basket
Figure 15
T e c h n i c a l A s p e c t | 15
Weighing scale
Figure 16
Laundry Supplies
Figure 17
For Office
Table
offered.
Figure 18
Telephone
Computer
result.
Figure 20
Office Supplies
Figure 21
Vehicle L300
Figure 22
T e c h n i c a l A s p e c t | 17
UNIFORM
Figure 23 Figure 24
SERVICE SCHEDULE
activities to be done. It is highly expected that the schedule shown below must be
LAUNDRY SERVICE
TIME FRAME SCHEDULE ACTIVITY
07:00-07:30 AM Gathering of workers
Preparing of necessary materials
07:30- 08:00 AM Going to apartments
08:00- 08:30 AM Collecting clothes
08:30- 09:00 AM Going back to office
09:00- 12:00 PM Start of laundry
12:00- 01:00 PM Lunch break
01:00- 04:00 PM Start of laundry
04:00- 05:00 PM Start of packing laundry
Schedule 2
Figure 26
Service Capacity
is service planning in which case it meets the changing demand of its services.
should impart a thorough and careful attention on this aspect to achieve the
T e c h n i c a l A s p e c t | 19
objective and goals of the business. Part of competent and excellent management
is the verification of the capacity to meet the demands of the customers. Thus, to
attain such progress, the production capacity must be carefully and extensively
ascertained.
The total employees for each day depends on the demand of the cleaning
For household and restroom cleaning services, each employee can render
both household and restroom services for 5 apartment units in a day. The figure in
table 1 above explains the total capacity of each employee in a year is 1680. It is
Laundry Employees
Employee Monday Tuesday Wednesday Thursday Friday Saturday Sunday Total
6 24 24 24 24 24 24 24 8,064
7 24 24 24 24 24 24 24 8,064
8 24 24 24 24 24 24 24 8,064
24,192
Table 2
with 4 laundry processes in a day. The figure in table 2 above explains the total
figure 28.
Due to the increase in demand for the year 2021 onwards, the proponents
Laundry Employees
Employee Monday Tuesday Wednesday Thursday Friday Saturday Sunday Total
7 24 24 24 24 24 24 24 8,064
8 24 24 24 24 24 24 24 8,064
9 24 24 24 24 24 24 24 8,064
24,192
Table 4
The cleaning service has two options either cleaning for restroom or
household. Cleaning for restroom and household require 1 hour of service. Since
it has the same capacity in a week which is computed and shown in Table 1 and
Figure 27.
apartment. To finish one laundry cycle, 6 kilograms can be finish for 1 hour and 30
minutes. That would 24 kilograms in a day found in Table 2 and Figure 28.
SERVICE LOCATION
Location is one of the essential factors that dictate your business. It helps
increase your expected profit depending on its needs and wants of the specific
target market. Before we choose our service location, we consider different factors
like travel time, rush hour traffic, the price of rent and security.
Security
Figure 29
Figure 30
Our main office is located at Sto. Niño St., Cebu City, Cebu. The rental rate
Office Layout
Figure 31
UTILITIES
The use of utilities plays a vital role in different instances. It is one of the key
factors in ensuring its success. The needed facilities are the following:
Water
for cleaning are the uses of the water. The Metropolitan Cebu Water District
(MCWD) will be the one to provide for the water. Its water quality has been
T e c h n i c a l A s p e c t | 24
approved by the Department of Health (DOH) with regards to the safety and
health measures.
Electricity
Telecommunication
Internet
advertise through our website online and gathers more apartments which
CHAPTER III
MARKETING ASPECT
needs, wants and expectations through the conduct of the service specially
the proposed service. It also aims to investigate the data on supply and demand
study. This was done in order to obtain the needed information, which would help
Target Market
strategy. The target market is a group of consumers at which a company aims its
business to develop an effective strategy that will surely give the customer’s
satisfaction.
M a r k e t i n g A s p e c t | 26
The target market for the Proposed General Cleaning and Laundry Services
for Apartments in Cebu City are only the occupants of the identified
Apartment which includes (1) Kim Tons Apartment, (2) Femanel Apartment
decision. In order to gather information with regards to the feasibility study, the
following table.
n = 110
Student 41 37%
Worker 30 27%
Professional 35 32%
Others 4 4%
Table 5
M a r k e t i n g A s p e c t | 27
Based on the table 6, 41 out 110 (37%) are students, 30 out of 110 (27%)
are workers, 35 out of 110 (32%) are professionals and 4 out of 110 (4%) has no
n = 110
Everyday 26 24%
Once a month 0 0%
Table 6
Table 7 shows that out of 110 respondents, 50 out of 110 (45%) of them
cleaned their room once a week, followed by every weekend 34 out of 110 (31%)
n = 110
Interested 31 28%
Average 7 6%
Table 7
As shown in table 8, half of the total respondents are very interested to avail
the general cleaning services while 31 or 33% are interested, 17 or 18% are not
interested and 7 or 8% are average. In order to come up with the willingness rate
of the respondents, we get the total sum of responses very interested, interested
and average which is equivalent to 93%. This rate will be the basis to compute the
projected demand.
M a r k e t i n g A s p e c t | 29
DAYS RESPONDENTS
Monday 17
Tuesday 17
Weekdays Wednesday 20
Thursday 17
Friday 18
Saturday 18
Weekends
Sunday 28
Table 8
Table 9 shows that out of the days in a week, the respondents preferred the
(13%) and Saturday (13%) and also, Monday (13%), Tuesday (13%), and
Thursday (13%).
Table 9
M a r k e t i n g A s p e c t | 30
70 pesos 69 82%
Comfort Room Cleaning
Service 75 pesos 10 12%
n = 84
80 pesos 5 6%
70 pesos 58 83%
Household Cleaning Service
75 pesos 7 10%
n = 70
80 pesos 5 7%
Table 10
As shown on the table above, for comfort room cleaning service the
respondents preferred to pay 70 pesos, for laundry service at 40 pesos per kilo
Demand
Demand is the key factor why the business still exists. Demand is the
number of prospective customers that are willing to buy goods or to avail services
at a given price at a given set of assumptions about the product and the
To determine the projected demand for the next five (5) years the projected
population of the Apartments need to be computed using the past years’ population
as the bases.
M a r k e t i n g A s p e c t | 31
population of apartment since the start of their operation, 2014. Thus, the average
Projected Demand
The projected demand is necessary in the study because it will tell the
Table 11 Table 12
Note that the projected demand of 84 for restroom and 70 for living room
(see table 10) only pertains to units who will avail for the service. Table 11 and 12
The projected demand for household and comfort rooms will be stated in
Laundry Services
No. of
Apartments Kilograms Total
Monday 11 4 44
Tuesday 13 4 52
Wednesday 10 4 40
Thursday 12 4 48
Friday 12 4 48
Saturday 13 4 52
Sunday 10 4 40
Total 81 320
Table 14
Projected Demand
Table 16
M a r k e t i n g A s p e c t | 34
Supply
willing to sell or to provide at various given prices when all other factors being held
constant. It also refers to the competitors’ ability to supply the demand of the public.
Projected Supply
Projected
Services Year Demand Projected Supply
(Table 16)
2019 5616 0
2020 5616 0
Comfort Room Cleaning 5616 0
2021
Service
2022 5616 0
2023 5616 0
2019 4080 0
2020 4080 0
Household Cleaning 4080 0
2021
Service
2022 4080 0
2023 4080 0
Table 17
M a r k e t i n g A s p e c t | 35
Personal 43 17 14 74 80%
Table 17.1
Considering the existing laundry shop within the vicinity of the proposed
project we were able to determine the competitors share equal to 20%. The said
competitor share did not include those who prefer to wash personally since we
believe that with effective pricing we can capture the said market.
Projected
Projected Projected
Demand
Services Year Supply Demand-Supply
(Table 16 and Gap
18)
Table 18
Since the Proposed General Cleaning and Laundry Service for Apartments
in Cebu City is new to the market, its market share is equivalent to 100%. See
Projected Service
Demand Capacity
Services Year Market Share
(Table 16 and (See Chapter 2,
18) Table 1 and 2)
Table 29
MARKETING STRATEGY
One crucial part in the realization of the profit of the business is how to
connect the services offered to the consumer. The market strategy of the business
plays an extensive role in attaining the desired income and potential customers.
Marketing strategy is a business' overall game plan for reaching people and
turning them into customers of the product or service that the business provides.
key marketing messages, and information on the target customer. The marketing
strategy informs the marketing plan, which is a document that lays out the types
and timing of marketing activities. Marketing strategy should have a longer lifespan
M a r k e t i n g A s p e c t | 38
than any individual marketing plan as the strategy is where the value proposition
toward buying the offered services. The business institution might communicate in
person through direct selling or in a retail store, via the internet through a website
channels, but it's the intention to influence the consumer that defines promotion
and sets it apart from other communication with customers and/or clients. This is
one big factor in terms of marketing especially to a business that is new to the
market. As to the proposed business, it uses the following as part of the promotion:
Socialization
The propose business is a new entry to the market, this being said, it will be
Thus, the center of our marketing strategy will be socialization. We believe that in
order for our business to thrive, we must reach out to people and give them
genuine reasons to subscribe to our services. We believe that in order for our
business to thrive, we must reach out to people and give them genuine reasons to
marketing, as it allows us to connect with potential clientele and stay in touch with
M a r k e t i n g A s p e c t | 39
them at all times. We will be having our own website, blog and newsletter
programs, but we will also be taking our business to the social media platform,
where the goal would be to change people’s general perception towards cleaning
service businesses and keep them informed about the advantages and benefits of
hiring a cleaning service company, using both a direct and indirect (more subtle)
approach. our business to the social media platform, where the goal would be to
keep them informed about the advantages and benefits of hiring a cleaning service
Figure 32
M a r k e t i n g A s p e c t | 40
Company Logo
it from different companies. In a company’s logo is its nature, mission and what it
The researchers choose this design as the company logo, for it is a perfect
description of what the company has to offer like laundry and cleaning services.
The person in the left describes the employees who rendered their best services
for the satisfaction of the customers. Blue symbolizes the color of the water which
CHAPTER IV
MANAGEMENT ASPECT
The achievement of certain aims are the goal of all profit and non-profit
organizations. Aims are considered the heart of every organization for it is the
reason for the business’s existence. Strategies and processes that are set forth by
there is planning and organizing of the decisions and its enforcement to all the
personnel of the business. This chapter entails the qualifications of the selection
of the staff involved in executing the proposed project. Internal policies are also
laid out in this chapter for these are very beneficial in reinforcing and classifying
critical for it plays a relevant role. It also deals with the functions of managing a
involves how the management handles every situation especially problems that
affect the whole organization. This chapter also exhibits the timetable of activities
before and during the actual operating period of the proposed project.
M a n a g e m e n t A s p e c t | 42
operate. In this period, the administration should organize the needed activities
and requirements in running the business. Pre-operating activities will aid the
proponents in ascertaining the success of the project or the failure of the proposed
have sufficient knowledge of how the project operates and how to manage the
project appropriately.
3. Securing of Permits
5. Training
6. Sourcing of Funds
7. Acquisition of Materials/Equipment
8. Advertisement
M a n a g e m e n t A s p e c t | 43
9. Normal Operations
Project Timetable
Preparation before starting the proposal is the key to ensure success. To ensure
success, one must maximize the time allocated for each step. Before the
project timetable to guide its activities. It will use a project schedule to ensure the
quality of the service since it shows the schedule of tasks and undertaking.
Figure 33
Gantt chart
more detailed plans to achieve the optimum balance of needs or demands with the
planned and organized contribute to the success of every organization. This phase
includes the gathering of data and information needed in the analysis to know the
possibility of the project. In four (4) weeks this phase can be completed.
An office is needed to store the cleaning tools and other equipment for the
operation of laundry service. It will also be the place to gather the employees.
Negotiation with the owner of the apartment will also take place in during these
Securing of Permits
For the business to operate legally, it must comply with the requirements
set by the government. It comprises the permits and licenses. It includes the
employees will be coming from the abovementioned area and the owner of
Apartments where the business will operate. All these legal documents must be
filed and accomplish so that there will be a smooth flow of the operation. Within
determine the suitable workers that would cope-up with the aim of the proponents.
employees will only be less than ten persons. An allotment of four (4) weeks is set
for this process that shall include both hiring and orientation.
Training
In ensuring to provide best services for the clients, there should be training
for the hired employees to test how they do well in their work. The proponents
decided to hire a certified housekeeper to train the employees. The employees will
undergo practical and seminars to enhance their abilities. A period of two (2)
weeks.
Sourcing of Funds
A sole proprietor will run the business. The setting up of service will be fund
by the proprietor. Without it, the proposed study cannot be put into existence and
even start its operations. An allotment of 3 months is given to this phase. While
planning is ongoing, the sole proprietor will generate the necessary capital
Tools are also needed to assist the employees in rendering their service.
These are also the starter of the business operation without these tools no
operation or service will be done. Two moths will be allotted to quote and acquire
such tools.
Advertisement
proponents to introduce the proposed study and the aim of the project to help
unemployed women earn income by also providing a less hassle service for
tenants residing in apartments. The proponents will use social media as one of the
tools to advertise and promote the advocacy of the proposed study. Flyers will be
distributed, and tarpaulins will be posted not just in the identified apartment but
also to neighboring apartments’ for future purposes. This phase will be accomplish
Normal Operations
During this period, all the plans and preparations will be put into actions.
The efficiency of procedures, rules, policies, and regulations will be put into test
during this period. This is needed to organize the flow of operation to commence
this affects the management. With that being said, the proponents must choose
or businessman. The sole proprietor shall fund the business for the
Organizational Chart
Figure 34
Organizational Structure
execution of the roles, power, responsibilities and the flows of information between
operation of the business so that employees would know their responsibilities and
tasks fully.
everyone is on the same page. The organizational chart shows the proposed
Personnel
management must classify its personnel for the simplification and division of labor.
The management must look for personnel that is best fitted for the position to meet
the expectations of the tenants. Different positions in the service will be described
Owner/Operations Officer
the business
Apartments
Workers
cleaning service
the job and a reasonable quality of service. It includes personal data, educational
competitiveness.
M a n a g e m e n t A s p e c t | 51
Workers
Working Schedule
Our proposed study “Cleaning and Laundry services for Apartments in Cebu
City” will be operating for the whole week except all official holiday like Christmas
Day, Lenten Season and New Year, with 8 hours of operating time each day.
M a n a g e m e n t A s p e c t | 52
Table 20
Cleaning Service Schedule
Legends:
M a n a g e m e n t A s p e c t | 53
Table 21
Laundry Service Schedule
Legends:
M a n a g e m e n t A s p e c t | 54
Recruitment Program
Employing the right person is the most important part of any business. A
best recruitment and selection process reduces the turnover. This process
includes choosing the most efficient, productive, and effective employee that would
be suitable for that kind of specific job for the business to meet its goal. Effective
recruitment plan means getting the right people for the right job; this includes a mix
The applicants should personally submit their letter at the office. He/she
Supervisor
• Resume
• 2X2 picture
• Barangay clearance
• Police clearance
• NBI clearance
• Transcript of Records
• Driver’s License
M a n a g e m e n t A s p e c t | 55
Workers
• Bio-data
• 2X2 picture
• Barangay clearance
• Police clearance
• NBI clearance
• Medical certificate
Compensation
Sales commissions, overtime pay, bonuses, recognition checks and rewards, and
other non-cash benefits are also included apart from salaries and wages. A good
compensation package motivates and satisfies the workers for the work they
rendered. The table below shows the compensation of the employees. All figures
No. of Weekly
Position Rate per day
employees compensation
Supervisor/Driver 1 450 3150
Table 22
M a n a g e m e n t A s p e c t | 56
Employee benefits
Businesses must not only focus on how to earn income and profits, but he
must also consider and be aware of the benefits that an employee is entitled to
receive that are favorable at the employees’ side even though the law does
SSS is suitable to the needs of the people throughout the Philippines which
shall promote social justice and provide meaningful protection to members and
their beneficiaries against the hazards of disability, sickness, maternity, old age,
This is mandated by the Republic Act No. 8282, Section 9, otherwise known
as the “Social Security Act of 1997”. The employer will contribute to the social
security benefits of the employee. The monthly contribution will depend on the
Ikaw, Bangko, Industriya at Gobyerno) fund is an answer to the need of the national
savings program and an affordable shelter financing for the Filipino worker. The
fund was mandated by Presidential Decree No. 1530. The employer will contribute
M a n a g e m e n t A s p e c t | 57
not less than P100.00 to the employee’s PAG-IBIG fund, and he will remit this
PhilHealth
the Republic Act 7835 on Medicine Program that is administered by the Philippine
receive a bonus salary that is equivalent to one (1) month, regardless of the nature
Sick Leave
Employees can avail of this benefit when the employees cannot report to
work due to illness, accident, or any other debilitating medical issues. It is the
obligation of the company to pay the worker an equivalent full day salary as
mandated by the Philippine Labor Laws, given that the worker still has to leave
in the principal place of business for all the employees. For it to be effective, it must
below:
least 10 minutes before the time. Working time is from 8:00AM – 12:00NN
3. The employees who work more than six hours are provided with a 1-hour
lunch break and are allowed to take reasonable toilet breaks, whenever they
need to.
4. If there are unforeseen absences or there is a need for an early leave for
work, the employee must notify the manager the soonest. Unexcused or
M a n a g e m e n t A s p e c t | 59
unreported absence for more than three days are considered as job
7. The employees must be clean and well-groomed and must wear the
intangible, with respect and care and shouldn’t misuse company equipment
or use it frivolously.
10. The company discourages employees from accepting gifts from clients
or partners and prohibits briberies for the benefit of any external or internal
party.
11. The employees should fulfill their duties with integrity and respect
12. Employees who are proven guilty of doing physical acts of violence or
reported to officials.
limitations of all the employees or what we call rules are provided for them to act
Figure 35
L e g a l a n d T a x a t i o n A s p e c t s | 61
CHAPTER V
regulations implemented by the local and national government. These laws dictate
This chapter discusses information and steps that a business must take to
operate legally under the chosen jurisdiction. The legal aspect discusses
measures to keep the business legitimate. The taxation aspect, on the other hand,
it contains the different taxes which applies to the business and how these taxes
LEGAL ASPECT
securing licenses and permits, and with the Bureau of Internal Revenue for
taxation purposes. Failure to comply with the requirements will deem the operation
illegal. As for the service business, particularly cleaning service it is wise to operate
that protects you from personal liability, such as a corporation or a limited liability
consulting, your cleaning business will operate in other people’s offices or homes,
and you likely will have employees engaged in a significant amount of physical
activity. These facts increase the likelihood that an employee or another person
your workers—in which case you would want the business, not you personally, to
business with the proper agency in order to gain exclusive rights to the business
name.
the nationality of the applicant mattered. The owner must be a Filipino citizen, at
least 18 years old. Filipinos whose names are suggestive of alien nationality must
submit proof of citizenship such as birth certificate, PRC ID, voter’s ID, passport.
allegiance, - Valid ID card issued by the Integrated Bar of the Philippines (IBP) or
be accomplished:
Form.
After acquiring a DTI Certificate of Registration, you may now proceed and
register to Local Government Units (LGU), such as Barangay and Mayor’s Office:
application form
rules and regulations, the business should secure the permits and licenses
Business Permits
This permit is obtained from the City Treasurer's Office. After filing four (4)
copies of the permit, it will be forwarded to the Mayor's Office for its approval
Sanitary Permit
Zoning Clearance
3. The applicant will proceed to the Permit and Licensing Division to have the
application form issued. The Business Permit Line Office Personnel will interview
the applicant and assess the filled-up and notarized application form.
5. The applicant pays at the City Treasurer's Office Collection Section and receive
an Official Receipt.
6. After the compliance of all requirements and after payment, the Permits and
2. Fill-up the BIR Form 1901 – Application for Registration (for Sole Proprietor)
Barangay Clearance
and workers in the country. That is why through labor and social security laws, it
mandates and obliges businesses and employers to ensure that their hired
L e g a l a n d T a x a t i o n A s p e c t s | 66
and protection against the hazards of disability, sickness, maternity, old age,
death, and other contingencies resulting in loss of income (Republic Act No. 8282,
Social Security Act of 1997, Section 2. Thus, if you own a company and employs
people to carry out your business, you have to comply with the law and register
your business with the Philippine Social Security System (SSS). The requirements
Report of Employee-member
Monthly contribution
Quarterly contribution
Sickness notification
TAXATION ASPECT
Taxes are the sources of government revenue, which is used for government
services. Thus, taxation is an inherent power of the sovereign state which means
L e g a l a n d T a x a t i o n A s p e c t s | 67
that the state needs not be empowered by its constitution or any mandate for it to
be allowed to tax. Profits, in any sources are subject to taxation. Thus, the following
Income Taxes
by all entities within their jurisdiction. By law, businesses and individuals must file
an income tax return every year to determine whether they owe any taxes or are
eligible for a tax refund. Income tax is a key source of funds that the government
uses to fund its activities and serve the public. Since the propose business can be
avail for tax exemptions. An exempt BMBE is not liable to income tax on its
when the business expands in the future it may no longer be able to meet the
Percentage Tax
business tax imposed on persons or entities who sell or lease goods, properties or
services in the course of trade or business and are exempt from value-added tax
(VAT) under Section 109 (w) of the National Internal Revenue Code, as amended,
whose gross annual sales and/or receipts do not exceed Php 1,919,500 and who
An annual registration fee of P500.00 shall be paid on or before the last day
of January every year after the initial recognition. BIR Form No. 0605 must be filed
and paid upon payment of annual registration fee for new business and for
Chapter VI
FINANCING ASPECT
In the conduct of the business, more than idea and concept, sourcing of
fund does also need to be considered. While for humans the blood gives life, in
business the funds are similarly important with blood for humans. Funds, being the
source of life to every business, should be given focus and be wisely dealt with by
future proprietors.
because it is necessary for the initial set-up of the business which would determine
whether it has sufficient capital for the proceedings, an adequate amount of cash
to pay its debts, and enough resources to implement its service in the market.
Hence, these funds are intended to support the expenses incurred about its
operations. This aspect also provides benefits to the business in obtaining its
objectives.
by the proprietor. Such should be able to cover for the possible expenses the
institution may incur. A good source of financials can be beneficial if properly taken
advantage.
F i n a n c i n g A s p e c t | 70
SOURCE OF FINANCING
financing may be in any form – equity or debt. The proprietor should know where
to source its capital. This capital is necessary for the business activities such as
acquiring equipment, tools, machinery, rent on the production site, salaries and
wages of the workers and other preliminary expenditures. The capital to run the
business operation shall be coming from the sole proprietors’ own fund.
and equipment, and the estimated working capital. This initial capital is required to
Table 23
F i n a n c i n g A s p e c t | 71
Note 1
Project Feasibility Cost
Particulars Quantity Units Unit Cost Total Cost
Printing 1,000.00
Bookbinding 2,000.00
TOTAL 7,160.00
Note 2
Permits and Licenses
Particulars Total Cost
TOTAL 10,550.00
F i n a n c i n g A s p e c t | 72
Note 3
Furniture and Fixture
Particulars Quantity Units Unit Cost Total Cost
TOTAL 15,285.00
Note 4
Machineries and Office Equipment
Particulars Quantity Units Unit Cost Total Cost
TOTAL 469,700.00
F i n a n c i n g A s p e c t | 73
Note 5
Production Supplies
Particulars Quantity Units Unit Cost Total Cost
Detergents 10 Kg 85 850.00
TOTAL 28,180.00
F i n a n c i n g A s p e c t | 74
Note 6
Salaries and Wages
Particulars Employees Daily Monthly Total Cost
TOTAL 35,124.00
Note 7
Rent Expense
Particulars Unit Cost Total Cost
Note 8
Office Supplies
Particulars Quantity Units Unit Cost Total Cost
Tape 5 Pc 12 60.00
TOTAL 2,201.00
F i n a n c i n g A s p e c t | 75
Note 9
Utilities Expense
Particulars Quantity Unit Cost Total Cost
TOTAL 7,299.00
F i n a n c i a l A s p e c t | 76
CHAPTER VII
FINANCIAL ASPECT
investment returns, expenses and other monetary concerns are raised providing
business can help owners and executives accomplish desired profit. This aspect
can also help owners in choosing the best decision for the venture. Potential
investors may also see it as a means of gaining knowledge to help predict future
possible after improving its factors, circumstances and its total costs and which
would probably gain revenue. To put it clearly, it means that the proposed business
should yield higher rate than the expected return which would help in determining
GENERAL ASSUMPTIONS
Financial Assumptions
1. The pre-operation will start five months before the conduct of the
business.
5. The business will operate for the whole week with normal operation from
8am-5pm.
8. Every end of the month rent expense will be paid. In the first two months
9. The business shall make the SSS, Pag-ibig and Philhealth contributions
Service Capacity
F i n a n c i a l A s p e c t | 78
1. The service capacity will vary for the next five years of operation due to
2. The demand for comfort room and household will increase by 10% in the
third year of operation and remain constant for the next following years.
3. The demand for laundry services will increase annually by 10% starting the
third year of operation and remain constant for the next following years.
Revenues
2. Price will remain constant for first two years of operation and an increase
of 7% on the 3rd year and remains constant for the next years.
least six months during the calendar year are entitled to 13th-month pay
paid within the first week following the month applied. There will be an
4. There will be no increase in the employees’ salary for the first five years of
Depreciation
cash.
3. Depreciable assets are depreciated using the straight-line method over its
Expenses
1. During its first year of operation project study-related costs are charged as
an expense.
Particulars
Sponge
Mister Muscle
Room Refresher
Detergents
Plastic Bag
3. Production supplies below will be purchased every after six months and
Particulars
Feather Duster
Broom
Toilet Brush
Mops
Brush
Rubber Gloves
Towels
4. Production supplies not mentioned are assumed to last for the next five
years.
year of operation and remain constant until its 5th year of operation. This
F i n a n c i a l A s p e c t | 81
only applies to supplies acquired monthly and such are treated expensed
outright.
operation and will remain constant up until the 5th year and treated
expensed outright.
expense.
the 3rd year of operation and remains constant until the end of 5th year and
are to be billed after the end of the month and within five days after its
11. Rent Expense remains constant for the next five years.
12. Permits and licenses are expected to remain constant every year.
1. Will start on the 3rd year with estimated amount of P5, 000 fixed for the
next years.
F i n a n c i a l A s p e c t | 82
Rent
at the end of the lease term or if the lessee no longer occupies the premises.
F i n a n c i a l A s p e c t | 83
LIABILITIES
OWNER'S EQUITY
Net Cash Provided by (Used in) Operations ₱465,897.78 ₱462,057.75 ₱366,999.35 ₱365,046.73 ₱365,046.73
Cash Used from Investing
Schedule 1.1
Comfort Room Services
Particulars 2019 2020 2021 2022 2023
Comfort Room
Services 5616 5616 6177.6 6177.6 6177.6
Multiply x Service
Price 70 70 75 75 75
Revenue 393,120.00 393,120.00 463,320.00 463,320.00 463,320.00
Schedule 1.2
Household Services
Particulars 2019 2020 2021 2022 2023
Household Services 4080 4080 4488 4488 4488
Multiply x Service
Price 70 70 75 75 75
Revenue 285,600.00 285,600.00 336,600.00 336,600.00 336,600.00
F i n a n c i a l A s p e c t | 89
Schedule 1.3
Laundry Services
Schedule 2
Salaries Expense
Particulars Schedule 2019 2020 2021 2022 2023
Service Employee 2.2 281,088.00 281,088.00 289,872.00 289,872.00 289,872.00
Office Employee 2.3 - - 86,400.00 86,400.00 86,400.00
13 Month Salary 23,424.00 23,424.00 31,356.00 31,356.00 31,356.00
TOTAL 304,512.00 304,512.00 407,628.00 407,628.00 407,628.00
F i n a n c i a l A s p e c t | 90
Schedule 2.1
Service Employee
Particulars Note 2019 2020 2021 2022 2023
Monthly Salary 7 23,424.00 23,424.00 24,156.00 24,156.00 24,156.00
Multiply x 12 months 12 12 12 12 12
TOTAL 281,088.00 281,088.00 289,872.00 289,872.00 289,872.00
Schedule 2.2
Office Employee
Particulars Note 2019 2020 2021 2022 2023
Monthly Salary 7 7,200.00 7,200.00 7,200.00 7,200.00 7,200.00
Multiply x 12 months 0 0 12 12 12
TOTAL - - 86,400.00 86,400.00 86,400.00
F i n a n c i a l A s p e c t | 91
Schedule 2.3
13th Month Pay
Particulars NOTE 2019 2019 2020 2021 2023
Service Employee 7 23,424.00 23,424.00 24,156.00 24,156.00 24,156.00
Office Employee 0 0 7200 7200 7200
TOTAL 23,424.00 23,424.00 31,356.00 31,356.00 31,356.00
SCHEDULE 3
EMPLOYER'S CONTRIBUTION EXPENSE
PARTICULARS SCHEDULE 2019 2020 2021 2022 2023
SSS 3.1 27,000.00 27,000.00 46,812.00 46,812.00 46,812.00
PAG -IBIG 3.2 4,800.00 4,800.00 8,400.00 8,400.00 8,400.00
PHILHEALTH 3.3 22,487.04 22,487.04 94,485.36 94,485.36 94,485.36
TOTAL 54,287.04 54,287.04 149,697.36 149,697.36 149,697.36
F i n a n c i a l A s p e c t | 92
SCHEDULE 3.1
SSS Contribution Breakdown
Monthly Employees Employers
Year Employees No. Rate/day Salary Contribution Contribution TOTAL
CONTRIBUTION
Monthly Annually Monthly Annually
Office 0 450 - - - - -
Office 0 450 - - - - -
SCHEDULE 3.2
Philhealth Contribution Breakdown
Monthly
Year Employees No. Rate/day Salary Employees Contribution Employers Contribution TOTAL
CONTRIBUTION
Monthly Annually Monthly Annually
Office 0 450 - - - - -
Office 0 450 - - - - -
SCHEDULE 3.3
PAG-IBIG Contribution Breakdown
Monthly
Year Employees No. Rate/day Salary Employees Contribution Employers Contribution TOTAL
CONTRIBUTION
Monthly Annually Monthly Annually
Office 0 450 - - - - -
Office 0 450 - - - - -
SCHEDULE 4
Production Supplies
SCHEDULE 5
Office Supplies
Particulars NOTE 2019 2020 2021 2022 2023
Bond paper 9 240.00 240.00 252.00 252.00 252.00
Bond paper 260.00 260.00 273.00 273.00 273.00
Tape 60.00 60.00 63.00 63.00 63.00
Markers 170.00 170.00 178.50 178.50 178.50
Ink 870.00 870.00 913.50 913.50 913.50
Fastener 90.00 90.00 94.50 94.50 94.50
F i n a n c i a l A s p e c t | 99
SCHEDULE 6
Furniture and Fixtures, Net
PARTICULARS Cost 2019 2020 2021 2022 2023
Office Chair 669 535.20 401.40 267.60 133.80 -
Office Table Set with Chairs 3316 2,652.80 1,989.60 1,326.40 663.20 -
Cabinet for Finish Laundry 4600 3,680.00 2,760.00 1,840.00 920.00 -
Inventory Cabinet 4200 3,360.00 2,520.00 1,680.00 840.00 -
Locker 2500 2,000.00 1,500.00 1,000.00 500.00 -
SCHEDULE 7
Machineries and Office Equipment, Net
PARTICULARS 2019 2020 2021 2022 2023
Service Truck 260000 238,000.00 216,000.00 194,000.00 172,000.00 150,000.00
Washing Machine 195000 157,000.00 119,000.00 81,000.00 43,000.00 5,000.00
Computer Set 14700 12,760.00 10,820.00 8,880.00 6,940.00 5,000.00
SCHEDULE 8
Utilities Expense
Particulars NOTE 2019 2020 2021 2022 2023
Water Utilities Expense 10 2,500.00 2,500.00 2,625.00 2,625.00 2,625.00
Electricity Utilities Expense 2,000.00 2,000.00 2,100.00 2,100.00 2,100.00
Internet w/ phone Expense 1,299.00 1,299.00 1,363.95 1,363.95 1,363.95
Fuel 1,500.00 1,500.00 1,575.00 1,575.00 1,575.00
SCHEDULE 9
Rent Expense
NOTE 2019 2020 2021 2022 2023
Rental Fee 8 8,500.00 8,500.00 8,500.00 8,500.00 8,500.00
Multiply No. of months 12 12 12 12 12
Total Rent Expense 102,000.00 102,000.00 102,000.00 102,000.00 102,000.00
SCHEDULE 10
Prepaid Rent
Particulars NOTE 2019 2020 2021 2022 2023
Monthly Rent 8 8,500.00
x no. of months 2
Total Prepaid Rent ₱ 17,000.00 ₱ - ₱ - ₱ - ₱ -
F i n a n c i a l A s p e c t | 102
SCHEDULE 11
Security Deposit
Particulars NOTE 2019 2020 2021 2022 2023
Monthly Rent See Assumption 8,500.00 8,500.00 8,500.00 8,500.00 8,500.00
x no. of months 1 1 1 1 1
Total Prepaid Rent ₱ 8,500.00 ₱ 8,500.00 ₱ 8,500.00 ₱ 8,500.00 ₱ 8,500.00
SCHEDULE 12
Repairs and Maintenance Expense
NOTE 2019 2020 2021 2022 2023
Repairs Fee Assumption 0 0 5,000.00 5,000.00 5,000.00
Multiply No. of months - -
Total Repairs Expense 0 0 5,000.00 5,000.00 5,000.00
F i n a n c i a l A s p e c t | 103
SCHEDULE 13
DEPRECIATION EXPENSE
NOTE 2019 2020 2021 2022 2023
Furniture and Fixtures 3,057.00 3,057.00 3,057.00 3,057.00 3,057.00
Machineries and Equipment 61,940.00 61,940.00 61,940.00 61,940.00 61,940.00
SCHEDULE 14
SCHEDULE 15
SCHEDULE 16
Accrued Philhealth Payable
SCHED 2019 2020 2021 2022 2023
SCHEDULE 17
SCHEDULE 18
Accrued Salaries Payable
SCHED 2019 2020 2021 2022 2023
Accrued SSS Payable 2 304,512.00 304,512.00 407,628.00 407,628.00 407,628.00
Add: Utilities Payable, Beg. - 25,376.00 25,376.00 33,969.00 33,969.00
Total 304,512.00 329,888.00 433,004.00 441,597.00 441,597.00
Less: Prior Year Payment - 25,376.00 25,376.00 33,969.00 33,969.00
Current Year Payment 279,136.00 279,136.00 373,659.00 373,659.00 373,659.00
Total Payment 279,136.00 304,512.00 399,035.00 407,628.00 407,628.00
Accrued SSS Payable, End 25,376.00 25,376.00 33,969.00 33,969.00 33,969.00
SCHEDULE 19
Accrued Percentage Tax Payable
SCHED 2019 2020 2021 2022 2023
Accrued Percentage Tax Payable, End 2,925.60 243.80 281.85 281.85 281.85
SCHEDULE 20
Permits and Licenses
NOTE 2019 2020 2021 2022 2023
Barangay Clearance 2 100.00 100.00 100.00 100.00 100.00
Police Clearance 100.00 100.00 100.00 100.00 100.00
Notarial Fee 100.00 100.00 100.00 100.00 100.00
Mayor's Business Permit 700.00 700.00 700.00 700.00 700.00
Fire Safety Clearance 150.00 150.00 150.00 150.00 150.00
Sanitary Permit 150.00 150.00 150.00 150.00 150.00
BIR Certificate 600.00 600.00 600.00 600.00 600.00
DTI Registration 500.00 - - - -
VECO Installation 3,500.00 - - - -
MCWD Installation 4,950.00 - - - -
SCHEDULE 21
Project Feasibility Cost
NOTE 2019 2020 2021 2022 2023
Photocopy 1 50.00 - - - -
Printing 1,000.00 - - - -
Bookbinding 2,000.00 - - - -
Plagiarism and Grammar Test 250.00 - - - -
Food Expense 560.00 - - - -
Panelist's Honoraria 3,000.00 - - - -
Panelist's Snacks 300.00 - - - -
TOTAL 7,160.00 - - - -
F i n a n c i a l A s p e c t | 110
Schedule 22
Income Tax on
Threshold Amount 211,805.96 229,716.96 163,791.44 163,791.44 163,791.44
Current Ratio
The analysis measures the ability of the project to meet currently maturing obligations from existing current asset.
Equity Ratio
It is calculated by dividing a company’s total liabilities by its stockholder’s equity. It also shows the extent to which
shareholders’ equity can fulfill a company’s obligation to creditors in the event of a liquidation.
Return on Sales
This measures the rate of return on sales to calculate how efficiently a company is at generating profits from its
revenue.
Return on Investment
Payback Period
It involves the computation of the payback period, which refers to the length of time required by the project to return
2021
2022
2023
1.02
F i n a n c i a l A s p e c t | 117
SENSITIVITY ANALYSIS
Sales - 4% 4%
Direct Labor 5% 5%
Advertising Expense 5% 5%
Utilities Expense 6% 6%
F i n a n c i a l A s p e c t | 118
SCENARIO 1
20
Permits and Licenses 10,850.00 1,900.00 1,900.00 1,900.00 1,900.00
21
Project Feasibility 7,160.00 - - - -
22 -
Advertising - - - -
367,880.00
Net Income from Operations 403,349.08 421,260.08 367,880.00 367,880.00
Less: Income Tax 23 50,861.19 54,443.39 41,258.29 41,258.29 41,258.29
Net Income after Income Tax ₱454,210.27 ₱475,703.47 ₱409,138.29 ₱409,138.29 ₱409,138.29
SCENARIO 1
INCREASE 2019 2020 2021 2022 2023
Revenue - 1,170,240.00 1,170,240.00 1,352,880.00 1,352,880.00 1,352,880.00
Utilities Expense 6% 92,843.28 92,843.28 97,485.44 97,485.44 97,485.44
Salaries Expense 5% 319,737.60 319,737.60 428,009.40 428,009.40 428,009.40
Repairs and Maintenance 6% - - 5,300.00 5,300.00 5,300.00
Advertising Expense 5% - - - - -
F i n a n c i a l A s p e c t | 120
SCENARIO 1
RETURN ON SALES
2019 2020 2021 2022 2023
Net Income 454,210.27 475,703.47 409,138.29 409,138.29 409,138.29
Net Sales 1,170,240.00 1,170,240.00 1,352,880.00 1,352,880.00 1,352,880.00
Return on Sales 39% 41% 30% 30% 30%
SCENARIO 1
RETURN ON INVESTMENT
2019 2020 2021 2022 2023
Net Income 454,210.27 475,703.47 409,138.29 409,138.29 409,138.29
Owner's Equity 958,666.15 1,337,826.50 1,637,876.24 1,937,925.97 2,237,975.71
Return on Investment 47% 36% 25% 21% 18%
F i n a n c i a l A s p e c t | 121
SCENARIO 2
20 1,900.00
Permits and Licenses 10,850.00 1,900.00 1,900.00 1,900.00
21
Project Feasibility 7,160.00 - - - -
22 -
Advertising - - - -
SCENARIO 2
DECREASE 2019 2020 2021 2022 2023
Revenue 4% 1,123,430.40 1,123,430.40 1,298,764.80 1,298,764.80 1,298,764.80
Utilities Expense - 87,588.00 87,588.00 91,967.40 91,967.40 91,967.40
Salaries Expense - 304,512.00 304,512.00 407,628.00 407,628.00 407,628.00
Repairs and Maintenance - - - 5,000.00 5,000.00 5,000.00
Advertising Expense - - - - - -
F i n a n c i a l A s p e c t | 123
SCENARIO 2
RETURN ON SALES
2019 2020 2021 2022 2023
Net Income 427,881.55 449,374.75 381,222.53 381,222.53 381,222.53
Net Sales 1,123,430.40 1,123,430.40 1,298,764.80 1,298,764.80 1,298,764.80
Return on Sales 38% 40% 29% 29% 29%
SCENARIO 2
RETURN ON INVESTMENT
2019 2020 2021 2022 2023
Net Income 427,881.55 449,374.75 381,222.53 381,222.53 381,222.53
Owner's Equity 958,666.15 1,337,826.50 1,637,876.24 1,937,925.97 2,237,975.71
Return on Investment 45% 34% 23% 20% 17%
F i n a n c i a l A s p e c t | 124
SCENARIO 3
20
Permits and Licenses 10,850.00 1,900.00 1,900.00 1,900.00 1,900.00
21
Project Feasibility 7,160.00 - - - -
22 -
Advertising - - - -
SCENARIO 3
Advertising Expense 5% - - - - -
F i n a n c i a l A s p e c t | 126
SCENARIO 3
RETURN ON SALES
2019 2020 2021 2022 2023
Net Income 407,400.67 428,893.87 355,023.09 355,023.09 355,023.09
Net Sales 1,123,430.40 1,123,430.40 1,298,764.80 1,298,764.80 1,298,764.80
Return on Sales 36% 38% 27% 27% 27%
SCENARIO 3
RETURN ON INVESTMENT
2019 2020 2021 2022 2023
Net Income 407,400.67 428,893.87 355,023.09 355,023.09 355,023.09
Owner's Equity 958,666.15 1,337,826.50 1,637,876.24 1,937,925.97 2,237,975.71
Return on Investment 42% 32% 22% 18% 16%
F i n a n c i a l A s p e c t | 127
CHAPTER VIII
SOCIO-ECONOMIC DESIRABILITY
One of the important aspect that must take into consideration in establishing
the feasibility and viability of the proposed general cleaning and laundry services
is the socio-economic desirability. Such aspect takes into account the necessity to
consider the effect of the proposal towards the limitless sectors of the society.
one and the same – to gain profits, however, those persons composing the society
are in fact, the reasons of its being. Likewise, the said proposal is regarded to
affect the economy since income produced out of the offered services will boost
This chapter considers the desirability of the service not only from the
perspective of the proposal but from the viewpoint of the society as a whole.
Among the numerous sectors that can be benefited from the proposed study once
Government
The operation that are taken by the government have a great and important
revenues from the payments for permits, licenses, and tax collection done by the
proposed study. Such taxes and other dues levied by the government will be
utilized to improve the public funds appropriated for progressive projects and
stabilization, and growth. The said amounts will serve as financial aid of the
Community
Employment has been one of the basic human rights, yet, plentiful remain
proposed study will increase employment opportunities to the few people in the
community. Such opportunity will also, provide them a potential source of income
to support and provide assistance to their families. It could help address and lessen
the rate of jobless individuals and improve and promote economic stability.
Moreover, the ability of those persons to be hired would then be used, making
Related Industries
A business cannot stand on its own without the necessary help that are
provided from significant related industries and outside control, also, for them to
complement its operations and carry on its existence. The implementation of this
proposed study will able to generate more sales by increasing more clients which
leads to higher sales and profits. For this proposed study, among related industries
to be assist are the tools and machineries supplier and producer of the cleaning
Prospective Competitors
And so, the prospective competitors would also be benefited from the proposed
study as this could be their basis for improving the services that they are offering.
Target Market
Most, if not all workers and students at present don’t have enough time to
do other things aside from their daily works and of the tiring schedule. As an
outcome, most of them cannot manage to their cleaning and laundry works. With
the implementation of this proposed study, especially tenants of the three (3)
Apartments will have less burden in doing such chores and will be provided with
quality service and utmost care. In addition, they will also enjoy incentives for
A Proposed General Cleaning and Laundry Services for Apartments in Cebu City
Potential source of
Employment income, reduce
Community
opportunities unemployment, and
economic stability
Help other
industries to Higher sales and
Related Industries generate more profits
sales; promotes
their growth
FIGURE 36
F i n a n c i a l A s p e c t | 132
CHAPTER IX
which helps the company evaluate the strengths, weaknesses, opportunities, and
threats of the organization. It also entails the objective of the business and is
important to take into account the external and internal factors that affect the firm
both directly or indirectly. The SWOT analysis distinguishes the internal factors
(strengths and weaknesses) and also the external factors (opportunities and
threats). It plays a crucial part in planning the business because this involves
carefully since it all affects the performance and success of the business. SWOT
situational analysis. It is needed to help the business build platform in the market
Thus, the proponents greatly believe that the SWOT analysis is very
the business.
F i n a n c i a l A s p e c t | 133
SWOT ANALYSIS
business should be well-prepared for the possible barriers that the existing firms
would pose. The company should promulgate the quality and should aim to build
should not be taken negatively instead the business should take over it on a
positive note, new businesses also draws attention from the market. The quality of
operation. Having that theory, an establish reputation shall govern the industry by
Most tenants are hesitant to apply for this service because they are doubtful
that the money they will be paying will not be worth it for the service they will
receive.
F i n a n c i a l A s p e c t | 134
It is one reason why people are hesitant to indulge in this kind of service;
they feared that there would be theft or breakage in their home. They worry about
Future Competitor
Future Competitor In every market, there will always be existing and future
every business to introduce and improve the quality of the service rendered to
customers. The organization shall not focus on the threat of future competitors;
threat can be aided by improving facilities in order to sustain and give quality
service to customers.
Downturn Economy
downturns in the economy that cannot be prevented On a positive note, this threat
can prove the viability and stability of an organization when it deals in such
situations. It makes room for the development of managerial abilities and wise
decision-making.
F i n a n c i a l A s p e c t | 135
VERSA
STRENGTHS:
The proposed business services benefits are mold to meet the needs and
demand of the people living in an apartment in the city. Inside the busy town, the
people that are mostly occupying in an apartment are students or people with a
career to uphold, with this kind if people time is precious for them and a little time
available for them to have would likely be spent for relaxing. Hence, their needs to
Convenience of Service
The offered services will be provided directly to the consumers. Hence there
is no need for the tenants to travel to look for external laundry service provider.
With this said, delivery system is set-up to facilitate the flow of operation. The
industry will provide its services in the manner that is most convenient to the
customer, including arranging for visits according to the tenants suitable and
preferred time. The business also has limited competitors in laundry services and
no competitors with the other services offered. Through this, the proponents
The consumers are assured that all employees will be well taught to exude
professionalism from all of their actions and conversations. Thus, the tenants can
trust that the employees will provide them the best and comprehendible quality
service.
Assurance of assets
and the possibility of theft and breakage. These concerns have been eliminated
for employees. , Along with that tenants should be around when the service is
OPPORTUNITIES:
The tenants in the apartment are mostly students and people with a career
to uphold which requires due amount of time and their attention hence, the least
of their concern would be cleaning their rooms. This situation will give an
opportunity for cleaning services to be an option in the market. Thus, the shifts in
Limited Competitors
The services that the business is proposing is basically new to the market
with only a few active competitors in the market. Hence, the proposed business
has the advantage of gathering more customers, and since the industry is focusing
proposed business to reach more potential customers who are in needs of its
SWOT MATRIX
STRENGTHS WEAKNESSES
Convenience of the New Entrants in the
service Industry
Well train employee CONVERT Poor Quality of the
Assurance of assets Service
Doubts in the service for
their security of assets
MATCH
OPPORTUNITIES THREATS
Increase in the demand of Future Competitor
the market Downturn Economy
CONVERT
Limited Competitors
Steady growing of
Industries
FIGURE 37
F i n a n c i a l A s p e c t | 139
CHAPTER X
SUMMARY
This study was aimed to determine the feasibility and viability of the
Proposed General Cleaning and Laundry Services for Apartments in Cebu City.
1.1 Technical
1.2 Marketing
1.3 Management
1.5 Financing
1.6 Financial
2. Based on the findings, what recommendations can you give for the
proposed project?
F i n a n c i a l A s p e c t | 140
Research Methodology
In this study, the descriptive survey method of research was used. Using the
questionnaire made by the proponents, data were gathered from the total
population of the specific target market are the occupants of the apartments. The
and students. This amount has become the basis for sample size of this study.
The proponents decided that the sample size would be the total population of
the apartments
FINDINGS
The following findings have been achieved based on the data of the
Technical Aspect
The proposed office for the general cleaning and laundry services will is
located at Sto. Niño St., Cebu City, Cebu near the workers and the target market.
Marketing Aspect
general cleaning and laundry services is needed to cater the demand of the
respondents regarding cleaning and laundry. About 37% are students residing,
27% are workers, and 32% are professionals in the said apartments which make
F i n a n c i a l A s p e c t | 141
it demandable for their lack of time if they do their laundry and cleaning. Out of the
110 respondents, only 93 are interested or willing to avail of the service offered by
the firm.
Management Aspect
business since the owner will have full control on the business transaction and
operations. For guidance, the owner must employ a supervisor, driver, laundry
personnel and cleaning personnel. The desired business hour for this business is
The proposed business must comply with the requirements needed by the
Bureau of Internal Revenue (BIR), Department of Trade and Industry (DTI), and
Department of Labor and Employment. The business must secure permits and
other local permits, filling with BIR and the application of SSS, Philhealth, and Pag-
Financing Aspect
Allocated for the purchase of equipment, furniture and fixtures, supplies and other
costs and expenses needed to finance and support the establishment of cleaning
and laundry services. The source for the financial need of the firm relies on the
personal investment or account of the proprietor of the business or from any loan
Financial Aspect
If the proposed firm is pursued the capital investment of the proprietor will
be reacquired after 1.02 years. It is projected that in the first year of operation, the
409,138.29 respectively. The return of investment for the year 2019, 2020, 2021,
2022, 2023 are 37%, 28%, 18%, 15% and 13% respectively.
Socio-Economic Desirability
This business would bring benefit to the potential implementer, society, and
It will also offer a high-quality service to the public especially to the students and
employed individuals who will benefit from the usage of the service. The
government will also profit from the payment of taxes and other legal documents
SWOT Analysis
the proposed business such as being a new entrant in the industry, and because
of it, costly advertising is needed for it to be known and implemented. The high
cost of some expenses is also seen to be a weakness for the proposed business.
F i n a n c i a l A s p e c t | 143
The proponents also predicted that there might have an increase in demand by the
steady growing of industries and the presence of limited competitors, but the
proprietor would also have to consider the future competitors that may enter to the
same industry.
CONCLUSION
After a thorough study of all the aspects in this feasibility study, the
proponents have concluded based on the data presented of the Proposed General
Cleaning and Laundry Services for apartments in Cebu City is attainable, socially
RECOMMENDATIONS
With the findings, to improve the profitability of the proposed business, the
the service
http://mpm.ph/register-a-sole-proprietor-business/
https://www.google.com.ph/maps/@10.2944878,123.8795522,14z
https://www.bir.gov.ph/index.php/registration-requirements.html
http://www.pagibigfund.gov.ph/benpromembership.aspx
http://mpm.ph/register-in-sss/
https://www.entrepreneur.com/slideshow/299865
http://smallbusiness.chron.com/tips-market-cleaning-business-2658.html
http://blog.mollymaid.com/2013/01/24/the-complete-list-of-house-cleaning-
supplies-and-equipment/
https://www.scribd.com/doc/316055159/Household-Services
University of San Jose – Recoletos
Magallanes Street, Cebu City, 6000 Cebu
(032) 417 9500
Respectfully yours,
Received by:
January 4, 2018
Greetings!
The Accountancy and Finance Department acknowledges that currently there is a need to bridge the gap
between what is being taught in the classroom and what is being demanded by the industry. As such, the
department has always been supportive of the emerging trends in the Philippine education system such
as the implementation of outcomes-based education.
As fourth year Bachelor of Science in Management Accounting students, we are currently conducting a
feasibility study entitled, “A Proposed General Cleaning and Laundry Services for Apartments in Cebu
City”. We will have our oral defense this coming January 6, 2018, 5:30 to 7 PM at the Business Resource
Center (BRC).
In this connection, we humbly ask you to be one of our panelists for the said activity. You are to critique,
evaluate, ask questions, and suggest recommendations to improve our study. We believe that your
knowledge and expertise can surely be of great help in the success of our study.
Respectfully yours,
Noted by:
January 4, 2017
Greetings!
The Accountancy and Finance Department acknowledges that currently there is a need to bridge the gap
between what is being taught in the classroom and what is being demanded by the industry. As such, the
department has always been supportive of the emerging trends in the Philippine education system such
as the implementation of outcomes-based education.
As fourth year Bachelor of Science in Management Accounting students, we are currently conducting a
feasibility study entitled, “A Proposed General Cleaning and Laundry Services for Apartments in Cebu,
City”. We will have our oral defense this coming January 6, 2018, 5:30 to 7PM at the Business Resource
Center (BRC).
In this connection, we humbly ask you to be one of our panelists for the said activity. You are to critique,
evaluate, ask questions, and suggest recommendations to improve our study. We believe that your
knowledge and expertise can surely be of great help in the success of our study.
Respectfully yours,
Noted by:
January 4, 2017
Greetings!
The Accountancy and Finance Department acknowledges that currently there is a need to bridge the gap
between what is being taught in the classroom and what is being demanded by the industry. As such, the
department has always been supportive of the emerging trends in the Philippine education system such
as the implementation of outcomes-based education.
As fourth year Bachelor of Science in Accountancy and Management Accounting students, we are
currently conducting a feasibility study entitled, “A Proposed General Cleaning and Laundry Services for
Apartments in Cebu, City”. We will have our oral defense this coming January 6, 2018, 5:30 to 7PM at the
Business Resource Center (BRC).
In this connection, we humbly ask you to be one of our panelists for the said activity. You are to critique,
evaluate, ask questions, and suggest recommendations to improve our study specifically on the
Marketing Aspect. We believe that your knowledge and expertise can surely be of great help in the
success of our study.
Respectfully yours,
Noted by:
www.wiseangcleaningandlaundryservices.com
Agreement for Services, Policies, and Procedures
The Client would like to have the above mentioned apartment maintained on a regular basis. The Client
and Contractor hereby agree to the following terms:
1. Client will give Contractor access to the inside of the apartment during regular business hours and any
additional mutually agreed upon times.
2. Client will receive 10% of net sales every end of the month commission from the Contractor as
compensation for the
3. Services to be performed by Contractor include the following: washing and folding clothes; vacuuming
of carpets, dusting, and polishing of furniture; cleaning of floors, bath tubs and shower stalls, toilets, sinks
and all sink fixtures; in addition removal of trash from the interior trash containers and brought to the
outdoor dumpster.
4. For the mode of payment, the tenants will have to pay for the contractor and at the end of the month,
the contractor would provide a summary of transactions for that month to the client.
5. Contractor will begin performing Cleaning and Laundry Services on January 3, 2019 Thereafter,
Cleaning and Laundry Services shall be performed on a mutually agreed upon schedule.
6. Either party may terminate this contract with written notice. Any payment for above mentioned services
owed by the Client shall be due and payable at the time the agreement is terminated.
Either party may terminate this contract at any time by supplying a written notice of termination on a
specified date to the other party, with at least two weeks’ notice prior to the stated date of termination.
If there is any litigation needed between the Client and Contractor it shall be filed and tried in the
Contractor's local jurisdiction.
In agreement to the above mentioned terms the Client and a representative of the Contractor shall sign
below:
______________________________________ Date____________
Signature of the Client
______________________________________ Date____________
Signature of Contractor
APPENDIX A
APPENDIX B
BARANGAY CLEARANCE
(Required under Sec. 152, Par. (c))
This is to certify that ___________________, doing business under the style and
name _______________________, (if any) is legitimately engaged in the business of
______________ (refer to footnote), with address at ____________________ Cebu
City, Cebu.
The applicant has been doing business within the barangay since __________
and known to the community as peace loving and law abiding citizen. (Write “Not
applicable” at the blank space in case of first application).
His/Her business establishment does not encroach on any public road or street.
Issued pursuant to Sec. 152, par (c) of R.A 7160 otherwise known as Local
Government Code of 1991.
______________________
PUNONG BARANGAY
APPENDIX C
APPENDIX D
APPENDIX E
APPENDIX F
APPENDIX G
APPENDIX H
APPENDIX I
APPENDIX J
APPENDIX K
APPENDIX L
APPENDIX M
APPENDIX N
APPENDIX O
APPENDIX P
APPENDIX Q
APPENDIX R
CURRICULUM VITAE
PERSONAL DETAILS
Nationality: Filipino
EDUCATIONAL BACKGROUND
TERTIARY EDUCATION
SECONDARY EDUCATION
PRIMARY EDUCATION
PERSONAL DETAILS
Nationality: Filipino
EDUCATIONAL BACKGROUND
TERTIARY EDUCATION
SECONDARY EDUCATION
PRIMARY EDUCATION
PERSONAL DETAILS
Nationality: Filipino
EDUCATIONAL BACKGROUND
TERTIARY EDUCATION
SECONDARY EDUCATION
PRIMARY EDUCATION
PERSONAL DETAILS
Nationality: Filipino
EDUCATIONAL BACKGROUND
TERTIARY EDUCATION
SECONDARY EDUCATION
PRIMARY EDUCATION
PERSONAL DETAILS
Nationality: Filipino
EDUCATIONAL BACKGROUND
TERTIARY EDUCATION
SECONDARY EDUCATION
PRIMARY EDUCATION
PERSONAL DETAILS
Nationality: Filipino
EDUCATIONAL BACKGROUND
TERTIARY EDUCATION
SECONDARY EDUCATION
PRIMARY EDUCATION