Professional Documents
Culture Documents
Business Plan
Business Plan
(Manufacturer of Ubesol)
Barangay Sta. Maria, Sto. Tomas, Batangas
By:
Lanting, Danica F.
Mercado, Apple Nerry, R.
Parra, Angel Faye C.
Paulite, John Paul P.
Raquipiso, Rizelle Marie R.
ABM 12 – C
March 2018
CHAPTER I
Vision Statement
business and one of the leading proponents of Filipino Delicacies innovation and the first
ever producer of espasol filled with native products. It also envisions itself to be a partner
of root crop and coconut farmers particularly in Batangas to help their production grow
Mission Statement
The Gelamerpien Food Company is dedicated to give food products like espasol
with good quality and to help farmers in intensifying the use of root crops and coconut.
The proponents intend to make enough profits to help entrepreneurs in expanding their
Company Objectives
To help the farmers on the extension of the use of their native products and
eventually help the country gain more tourists and profit through food innovation.
To expand the business in the near future and discover more innovative food for
the customers.
To satisfy the customers with their needs for certain nutrients that they could get
1
from the product and as well as their sweet teeth satisfaction.
Description of Product
they noticed that most Filipinos already forgot to patronize the said native delicacy.
Instead of offering a plain espasol, they decided to fill it with different native products
like ube, macapuno, etc. to let the customers have something different to taste and to love
as well.
Espasol is made up of glutinous rice flour, coconut milk and sugar. It is also
known as hinagum in Bicol. But it actually originated from the province of Laguna.
This is made with love and patience, passing through a process which needs a
great effort in mixing the ingredients. The glutinous rice flour is toasted in a pan and will
be set aside afterwards. Then the coconut milk and condensed milk will be mixed
together until boil in the same pan where the flour is toasted.
The glutinous rice flour and sugar will be incorporated to the liquid substance
until it thickens and everything is well mixed already. Remaining toasted glutinous rice
flour will be spread out to a container before the espasol will be transferred to it.
Eventually, after it has cooled the sliced ube will be put over the espasol, and then it will
be rolled.
2
CHAPTER II
MARKETING PLAN
Socio-cultural Factor
Health Consciousness
This factor may affect the sales of the proponents especially if a certain customer
is on a diet or if they don’t like sweets. Some other people may or may not like foods like
rice cakes as it is unfamiliar to their tastes. The products contains carbohydrates which if
If the target market’s prefers to patronize more the local products rather than the
imported ones, Ubesol may be patronized by the customers as it is locally made and
promotes nativity.
Technological Factor
The business proponents created different social media accounts where the
customers may contact them. They also posts to those sites some update about their
products, the product itself that they offer, and sometimes, how customers can avail
Ubesol.
3
Expensive Use of Technology
To store the products and to ensure that it will last longer, the advocates must use
comes to pricing.
Environmental Factor
would be hard for the proponents to produce their products especially if there is a supply
shortage. If ever they would be able to provide during those times, the price of their
Economic Factor
Inflation Rate
The price of the materials and ingredients may increase due to inflation rate. This
could affect the price of the products that are offered to the customers. According to the
Statista website, the inflation rate of the Philippines last 2015 has been, 1.41%, 1.78% on
the 2016, and estimated 3.07% in 2017. That could possibly cause the products to cost
higher.
Interest Rate
High interest rate makes the price of the product more expensive due to different
factors like operating expenses. The higher the price, the more the customers are
4
discouraged to buy the products. In Gelamerpien Food Company, the proponents ensure
that the interest rate that they include in their products is just enough to earn for the
Political Factor
Tax Exemption
Given the level of sales of the business and the capacity of the proponents, it is
tax exempted. The only tax that they have to pay is the value added tax of the ingredients
Consumer Rights
The Gelamerpien Food Company considered the Republic Act No. 7394 or the
Consumers’ Bill of Rights to ensure that the target market of the business enjoys their
Legal Factor
Business Requirements
The business proponents have to comply with the licensing requirements and
agencies. Since it is a business that is simply built in the school premises, the advocates
have to ask for the permission of the school officers and especially the class advisers to
5
Health and Safety Law
The business will consider the safety standards of the product including the
process and the health and safety of the proponents who also create the product. This is to
ensure that the Safety Law is properly followed. The company ensures that the workplace
Ethical Factor
Each of the proponents are encouraged to motivate each other establish and run
the business well. They are informed and discouraged about unethical behaviors toward
the customers and even to the other advocates. Discrimination is also discouraged to
Environmental Concerns
The business should cooperate with the different programs that are proposed in
the location of the business with respect their ethical standards and for the health
This is also for the good of the people and for the products to be offered a lot
and in line with this, their packaging is designed for a reusable way as a gift pouch for the
customers.
6
Demographic Factor
Age
The product is available for any ages as it is a food which contains a lot of
Since it has a very affordable price which even a child could afford, it doesn’t
entail a certain income for a certain person to buy the product that the proponents offer.
MICROMARKET ANALYSIS
Customer
The target market of the product is composed of three groups: students, teachers,
and individuals from outside the campus who are interested in the product. This product
will be offered to the customers to satisfy their sweet tooth and to help them see how
useful and delicious the products that we could find here in our country are. They may
have this product as their stress reliever, an answer for their cravings, a comfort food and
Customer Segmentation
The following are the primary target market of the Gelamerpien’s Food Company
7
(FAITH)
(FAITH)
Individuals from outside the campus – Other people who are interested in the
Geographic
Country: Philippines
Demographic
Psychographic
Behavioral
8
Curious customers - people who are interested in trying innovated products and
People who likes taking pictures of their instagramable food products and its
packaging.
The following are the secondary target market of the company which will serve as
Pasalubong Shops – stores like these may sell the Ubesol as it is one of the
famous delicacies that can be found here in Batangas and it may be attracted to
certain customers.
Food Bazaars – because the company offers an innovative product, it may also
Supplier
Since the ingredients of Ubesol like Ube, Glutinous Rice Flour and Coconut are
always available in the market, it would not be hard for the proponents to find what they
need for their product making. The supplies will came from different stalls in the
Tanauan Public Market. The suppliers were chosen with how the ingredients were priced
products, the advocates assure alternative resources. Supplies may also come from Sto.
9
Tomas or Malvar Public Market. Waltermart Tanauan is in the last option.
Competition
The tables below project the direct and indirect competitors of the business which
could affect how it earns money. This also determines how the business will be operating
Direct Competitors
Company Product Price Target Distributor
Name Market
Pasalubong Espasol PHP Tourists Food Stalls
Shops 35.00 and
Travelers
Others (Bus Espasol PHP Tourists Food Stalls
Stop 35.00 and
Peddlers and Travelers
Vendors)
Table 2. Indirect Competitors
Indirect Competitors
Company Name Product Price Target Distributor
Market
Foodicted Desserts, PHP Students, Food Court
Bread and 15.00 especially Stalls
Pastries and Senior High
above School
Students
Chauncylicious Desserts PHP Students, Food Court
and Rice 15.00 especially Stalls
Cakes or and Senior High
Kakanin above School
Students
Others (Kakanin Kakanin PHP Budget Tanauan Public
Vendors in Tanauan or Rice 10.00 conscious Market
Public Market) Cakes and Customers
above
10
Competitive Analysis (Porter’s Five Forces Model)
The Gelamerpien Food Company believes that the threat of new entrants in the
food industry will be quite low as the proponents sell sweet foods. Some competitors
have already established a name in this industry as they also sell sweet foods in different
kinds. They may also have already captured the customers’ interests as they build their
businesses earlier than the proponents have, but as budding entrepreneurs, the proponents
will do a great job in introducing the product to the target market as they reach the
expected profit and sale. On the other hand, the Filipinos are fond of sugary foods as
majority of them have sweet tooth which made the product more marketable.
The raw materials of the product are glutinous rice flour, brown sugar, coconut
milk, margarine, condensed milk, yam and cardboard for the packaging. Since Tanauan
City is a center of Agricultural trading, it was easy to find the ingredients needed. The
raw materials can be found anywhere in the public market. Traders and suppliers can
never set the prices higher than it should be since the competition is tough. With this
information, the proponents analyzed that the bargaining power of supplier is low.
Customers will tend to seek for discounts and lower prices since Ubesol is a new
entrant. As one of the target markets is the students in First Asia of Technology and
Humanities, it is expected that they will ask for affordable prices. As proactive
11
entrepreneurs, the proponents also considered offering retails which is marketable to the
consumers. Given that the customers are price sensitive, advocates assessed that the
The threat of substitute products is low. The Ubesol product is a unique snack or
merienda that the proponents invented for a new tasteful and sweet food that the
customers might like. The proponents came up with this kind of product to establish an
original and interesting food also to help promote the root crops like yam. Though the
preferences. There is no exemption to businesses that might capture the attention of the
consumers like other sweet foods as well. So the proponents will continue to improve the
product and maintain its good qualities that attract those loyal and other more customers.
rivalry is high since various food products are being offered in the market place. Some
companies and businesses have already established their names in this industry as they
have operated in their longer years. The product has been given a chance to commence as
it gives out a different vibe among the others given that its sweetness is different from the
12
SWOT ANALYSIS
Strengths
The proponents offer an espasol filled with ube which was first offered by the
proponents. Since this is new to the market, many people will be interested to buy and try
the product.
The proponents can easily obtain the materials and ingredients needed since
Tanauan Public Market is present near the market place. The location is also near from
for them gain more profit. Good character has become one of the things that consumers
look for when they are buying certain products. In this case, the budding entrepreneurs
make sure that they are practicing good behavior and develop a good and harmonious
Because the proponents are just new to the industry, their capital doesn’t need to
have large money to run the business and they could easily acquire the money that they
13
used for their production.
Because the ingredients and materials are also affordable, the price of the product
Weaknesses
Raising capital has been a problem for different businesses especially for the
proponents who are still students and depends on their parents to provide for their
allowances and personal needs and wants. Collecting the enough amount of capital to be
The product needs to be sold immediately as it could only last for about five days.
Native delicacies like espasol undergoes a thorough and fussy process to make a
perfect texture and combination of taste, the process of cooking, slicing the Ubesol,
Opportunities
1. Availability of internet
Since many people are using internet, it will be a huge opportunity to use it in
14
2. Having a lot of connections
The proponents know a lot of people who can help them in selling their product.
There is no visible seller of espasol in the FAITH Space Lounge or nearby stores.
well.
FAITH Space Lounge offers products that are not so affordable for the students
and some are offered in bundles. So the advocates decided to offer their product in retail
so that everyone would be able to enjoy the Ubesol in a price which is not too exorbitant.
Threats
Customers may also avail the similar product in the Tanauan public market, in
different bus stops in areas in Batangas which a lot of peddlers and vendors exist who
offer the product in its original taste which does not include ube as its feeling.
The proponents are not the only one who is selling in the market place. Other
15
businesses may take attention of the customers.
16
MARKETING MIX
PRODUCT
glutinous rice flour. This was incorporated with sugar, coconut milk, margarine, and
condensed milk. Its difference from an ordinary espasol is that it has an ube filling to
create a new taste and a product that was never been offered in the market. This product
can be offered as a pasalubong, gift, dessert in a party, and a simple merienda that could
The Taste
Gelamerpien’s Ubesol is a mixture of the taste of an Espasol and the Ube Halaya.
The filling makes the product taste creamier and richer. Its sweetness is enough and in
mild level only for the customers to taste the flavors that was offered in the products and
for them not to feel surfeit with the food and be indulged with it.
Economic Benefits
It could help the country with how it introduces the native products of the
Philippines and possibly help in the increase of the economic rate. It could help in
attracting more tourists because as we all know, there's a lot of people who are truly
17
Societal Benefits
The business aims to help the farmers in their root crops and coconut production
and maximize its uses. To provide jobs especially if the business could expand and
The product special features can be categorized using the three level concept of
Philip Kotler:
Carbohydrates, protein and fiber. Ube or Yam can also help us to lower blood pressure; it
has more antioxidants that helps to prevent colds, flues, and even scurvy which is
heavy and it is also handy that makes it convenient for the buyers. It is also tied with a
ribbon and has a sticker to secure the product inside. Aside from the logo of Gelamerpien
Food Company, it also has the contact number and social media accounts of the company
consumer. In Gelamerpien Food Company, when the customer buy 20 pieces or 1 pack of
18
PLACE
In terms of the location of the Gelamerpien Food Company, they will be using
different strategies to gain customers for their target area of marketing their products.
Their physical location is the place where they sell their products which is on the FAITH
campus. There will be times that it would be hard for the customers to gain a lot in the
said location because there is a wide range of different food products available at the
school’s canteen and to the other budding entrepreneurs as well. But, they would also
offer their products within the respective communities of the proponents to eventually
earn more profit to let the business capital grow bigger. They also have their cyber
location which people could interact with the owners especially if they want to send some
orders, feedbacks and suggestions. Social media has been a very helpful tool especially
for newbie in business as they would be able to show their product to a lot of customers
and have a wider range of those who want to avail the product that they offer.
Gelamerpien Food Company may be accessed through, Facebook as they have their own
page there, on Instagram where they update photos of their product, and on Twitter which
the customers could also get latest information about the business and what it offers.
19
Figure 1. Facebook Page
20
Figure 2. Twitter Account
21
Figure 3. Instagram Account
PRICE
The Gelamerpien Food Company will use Economy pricing. The business entity
take a low-cost approach in selling their products to make it reasonable for the customers,
just the bare minimum to keep prices low and attract people especially which nowadays
become very price sensitive. The table below presents the cost of the product and the
22
Table 3. Raw Materials
23
PROMOTION
the proponents decided to fill it with different native products. The proponents will create
different promotional strategies that aim to help the farmers on the extension of the use of
their native products and eventually help the country gain more tourists and profit
through food innovation. There are a lot of students and faculty members in First Asia
Institute of Technology and Humanities that serves as an opportunity for the proponents
Direct Selling
the occupation affords the proponents pursuing it the ability to work whenever they want
to. This is a better way since the proponents are offering new products which are different
from a normal espasol. This also requires a person to interact with a lot of people and
serves as a way to meet and socialize with new individuals of all demographics. This can
be an opportunity for the proponents to know more about their consumers’ preferences.
Product Sampling
Product sampling can be a powerful first step in getting a consumer to try the
product for the first time. It can also be the first step in creating a connection between the
Gelamerpien Food Company’s product and their target consumer. When consumers test a
new product, they often make mental notes about what they love or hate about the new
product, and quite often, they compare the product with a competitor's product. This
serves as an opportunity for the proponents to learn more about the target market and
24
how they improve the product.
Social Media
The proponents will create social media accounts that include the information and
details about our product. This aims to increase brand recognition since there will be a
network of individuals, which can lead them to becoming potential customers, and the
This kind of promotion helps the proponents to sell more products. They will
offer a promo wherein if you will buy twenty pieces of espasol the consumers will get it
for only twenty-five pesos which is cheaper rather than its normal price which is two
Entrepreneurial Bazaar
promos to attract more customers and gain more profit for the business. They arranged
and decorated their stall to make it more appealing to the customers as well as their
business poster which showed the product offered and the contacts of the business. They
upgraded their packaging to make it appropriate to the event which was Valentine’s Day,
gave free tags and offered free delivery for every customer. They also added different
products like nachos and cheese, cookies, flowers, and bottled water. Those additional
products have helped the business have more income. The advocates have sold nine
pieces of water, ten boxes of cookies, thirty-six packs of nachos and cheese, ninety pieces
25
of flowers, and 241 pieces and 31 packs of Ubesol all in all. They had total net sales of
Php 1751.50 for all the products and a total of Php 1136.50 just for the Gelamerpien’s
Ubesol.
PEOPLE
The Gelamerpien Food Company is has been led by Ms. Angel Faye C. Parra as
the Officer-in-charge of the business. The rest of her business partners are in charge in
Finance which is managed by Mr. John Paul Paulite, Human Resources by Ms. Rizelle
managed by Ms. Apple Nerry R. Mercado. They are looking forward for an expansion of
the business in the near future and if they are going to hire their future employees, they
will make sure that each of the people who will be given a chance to be part of the
some job experience to prove their work performance, and documents that will provide
the employer the things that are about the applicants like Resume, Certificates, and
Clearances. Trainings will also be required for the employer to discover what his skills,
abilities and expertise are to know if a person could do the job or the tasks that his future
bosses will ask him to do. But for now, the four owners of the business which has divided
the tasks among themselves will take responsibility of the things that are needed to be
done for the business to run properly. They will work together as one especially if there is
a high demand for the product to make sure that they could satisfy the needs of their
PACKAGING
A packaging that is well designed and crafted can create convenience to the
26
customers and also another promotional value as people nowadays are attracted with
products which look good at picture for their posts in different social media sites. Aside
from being sold in retail, Ubesol is also offered in boxes containing 20 bite-size slices.
The boxes have different designs and colors made from different printed wraps and tied
up with a ribbon. The logo of the Company is also stickered with it together with the
business contact, address, and the tagline. The packaging reflects the following attributes
of the products:
Creativity. The product including its packaging projects the creativeness of the
proponents. The way of cooking, rolling and slicing the Ubesol is actually an art
itself. Additional to this is how the packaging is made and presented to the
Quality. The product portrays an image of quality. With the cleanliness, how it is
packed, how it is served and everything, the proponents ensure a higher quality
Responsibility and Dignity. As the advocates put their contact number, business
address, and company name, they commit responsibility to their customers for
whatever could happen in case of emergency as they offer food products. With
dignity, they stand with the name of their business as they offer the product that
they have.
Eco-friendly. The packaging could be used another time around by the customers
as a gift pouch for their loved ones. They just have to remove the stickers and
Product Logo
27
Figure 4. Gelamerpien’s Logo
The Gelamerpien Food Company created this logo to represent the business as
well as the product that they offer to their customers to help them distinguish what could
they have when they avail the product that they offer and to help them be familiar with
the business and why it is built. In the logo, the name of the business is emphasized t let
the people remember it easily and recall it whenever they want to buy espasol. The grain
represents rice which is the main ingredient of the product. The espasol itself and the Ube
are both made of Glutinous Rice. The quoted sentence at the bottom part is the
company’s tagline which could give the customers the idea of what the business really is.
Not just from the product that they offer but also on what they could do to sustain the
nativity of the Philippines up to the incoming generations. Colors are just played around
to form a good combination and increase the attractiveness of the packaging. Because it
The Gelamerpien’s Ubesol has a unique and innovative taste that would let the
customers discover a new product. It also promotes that nutritional benefits for the
28
customers to be physically fitter especially the energy that it could give for the consumers
to be ready for their everyday living. Their packaging was also made with creativity for
the customers to be able to reuse it and for them to be fond of it. The product will be
worth the price as a package of ubesol may be available for one to three persons
29
CHAPTER III
OPERATIONAL PLAN
Production Process
Step 1: Toast the glutinous rice flour in a pan and set it aside afterwards.
Step 2: Mix the coconut milk and condensed milk together and boil it in the same pan
Step 4: If the liquid substance is already boiling, incorporate the glutinous rice flour and
Step 5: Spread out the remaining toasted glutinous rice flour to a container.
Step 7: After it has cooled, put the sliced ube over the espasol.
Step 10: Add the stickers, contact information and expiry date. Seal it with the ribbon.
30
PRODUCTION PROCESS
NO Quality Control
(checking of
appearance, Heating up the
attractiveness, and pan again in
YES durability) medium fire
Proceed to the
package- Put over the Ube
making on the espasol Mix coconut milk
then Roll and slice and condensed
into bite sizes milk until boil
Packaging and
sealing of
product
Incorporate
Mix until it glutinous rice flour
has thickened and Sugar
and transfer
to a container
Quality control
(checking the
taste, color,
consistency, and
texture)
31
Facilities and Location
The Gelamerpien Food Company plans to sell and distribute their products at the
FAITH Campus because it is where their primary target market is in. The proponents also
decided to sell their products on their respective communities to gain more profit. They
will also utilize the use of internet for their marketing tool for massive information
dissemination. Their Facebook page, twitter and Instagram account would be their way to
make the public aware of the product that they offer. The production area is located at
Brgy. Sta. Maria, Sto. Tomas, Batangas, residence of one of the advocates. The raw
Supplier
The supply of the ingredients of Ubesol will never be a problem since root crops
for the Ube filling, glutinous rice, and coconut are very abundant especially here in
Batangas. The traders might increase the price of the ingredients especially sugar and rice
depending on the inflation rate of the Philippines. The advocates will buy their
they need in the production of their product. Some other materials will be bought in
Formosa Tanauan.
Inventory Policy
The Proponents would use the First-In First-Out (FIFO) Method as an inventory
policy. They believe that the first good that is produced and manufactured should also be
the first good to be sold or out in the market. With this method, the proponents would be
able to avoid spoilage. Through this, they could also maintain the freshness and the
32
quality of the product to also assure the customer’s health, safety and as well as their
satisfaction.
Production Requirements
Gelamerpien Food Company will use different kitchen tools and equipment, and
materials to produce Ubesol during their business operations. The tools and equipment
needed would be provided by each member whom they will bring out from their
respective homes. The materials that they will use would come from Formosa Tanauan
Branch and Tanauan Public Market to ensure the quality and also because of the
affordability. Ingredients will be coming from the Tanauan Public Market as well which
The proponents can produce 1kg of ubesol based on the quantity of ingredients.
The 1kg ubesol is sliced into pieces and they can produce 15 packs of ubesol which
consist of 20 ubesol per pack and 100 pieces of ubesol which is used for retailing. The
proponents purchased the ingredients in Tanauan Public Market. Below are the
ingredients needed to make 1kg of ubesol with their corresponding unit cost.
33
Table 4. Raw Materials
The total amount of the expenses which is Php 320.00 is the basis of the price of
product. Each pack of Ubesol costs Php 25.00 while in retail, Php 3.00 for every 2 pieces
of Ubesol.
Manpower Requirements
The Gelamerpien’s Food Company will need five personnel. One will manage the
production and actual selling to maintain the good quality of the product as well as the
good quality of other personnel's. Two personnel are assigned in the actual production
34
Quality Control Requirements
The proponents will make sure that the product is in good quality with the right
taste, good aroma and acceptable appearance. If the product is a defect, the proponents
will repeat the process in order to reach its desired quality. The proponents will also
35
Utilities
The Gelamerpien Food Company will use different utilities to operate the
business. As they prepare their product at Brgy. Sta. Maria, Sto. Tomas, Batangas, the
utilities that they will be using are water, electricity and gas.
Water
The proponents estimated water consumption for the production within a month is
billed Php 50.00. This was consumed for production and for cleaning purposes.
Electricity
The advocates used electricity to refrigerate the product to make it last longer.
Since the proponents make their products at the residence of one of their business
partners, they decided to allot Php 50.00 for the monthly electricity bill.
Gas
The proponents used liquefied petroleum gas in their production to cook the
espasol. They preferred Saver’s gas which has 11 kilos and costs Php 580.00. They have
only used 1/15 of the gas for their production which only cost Php 38.67.
36
CHAPTER IV
BUSINESS ORGANIZATION
A. Organizational Chart
M
z
R
.
F
c
i
n
a
D
r
N
e
l
p
A .
E
e
i
r
y
o
y
F
e
g
A
J
l
u
a
P
n
h C
e
.
P
o
s
p
u
q
R
g
i
t
n
L
d
a
c
r
e
M
l
P
R
m
u
H
s
o
p
O
g
n
i
t
e
k
r
a
M s
e
c
r
u
o
l
r
G
M
e
c
a
n
i
F r
e
g
n
a
r
e
g
n
a
M
The form of business is partnership since the proponents contributed money, skills,
labor and other resources equally and they divide the profits among themselves. Angel
Faye Parra as Officer in Charge, she is the one who will monitor the progress of the
business. John Paul Paulite will be the Finance Manager. The Operations Manager will
be Danica Lanting. The Marketing Manager will be Apple Nerry Mercado. The Human
Resource Manager will be Rizelle Marie Raquipiso. The proponents decided to choose
partnership as form of ownership because it will be a lot easier to establish the business if
ownership:
37
source of capital.
Decision Making Partners share the decision making and can help each
Job Description
Officer-in Charge
responsible for the maintenance of peace and order to the organization. She
communicates with remaining four managers regarding matters about the business to
clarify things that they have to know and to keep them informed. She maintains the
operating system and supervises her staffs to make sure that each are doing their job well.
She also take charge of the maintenance of the business efficiency by planning all the
activities that the business would do for it to be sustained and be able to succeed in the
near future and if possible, for it to expand and be a more effective promoter of nativity
Finance Manager
financial report and interpreting financial information to the business which can be used
in decision making. He is also the one who monitors the cash flows of the company in
38
order to make sure that the business is gaining profit. He is also responsible for
Human Resource
implementing and evaluating employee relations which could help the organization
sustain its unity, peace and respect to each of the people who are part of the business
entity. She is also the one who manages and monitors the business policies, practices and
programs that would lead the company to its success and to a good work run and
relations.
Operations
plans about the operations of the company. She is also the one who handles the activities
responsible for formulating policies, managing daily operations and planning the use of
materials and human resources. She also makes sure that the whole operation is efficient.
Marketing
The marketing manager of Gelamerpien Food Company is the one who manages
engagements and promoting the product. The marketing manager determines the demand
of products and services offered by a firm and its competitors and identify potential
customers.
39
B. Personnel Policies
2. During production, the employees are not allowed to use phones or any gadgets.
3. While preparing the product, wearing proper attire like hairnet, apron, gloves, and
mask is a must.
4. Each of the proponents must finish their assigned tasks on or before its deadline.
6. The advocates must ensure the cleanliness and safety of the workplace.
7. The business partners of the Gelamerpien Food Company must divide the profit,
assets, and liabilities of the business equally to maintain peace and equality.
40
CHAPTER V
FINANCIAL PLAN
The proponents invested five hundred pesos (Php 500) as an initial capital to meet
their initial capital expenditure and working capital needs. The exact amount is mainly
for the two to three months of operation to purchase the needed materials and ingredients
to produce Ubesol.
Source of Funding
The proponents considered various source of funding in order to raise funds for the
proposed business that will be used for their productions and operations.
Personal Savings
The proponents decided to use their own savings to contribute money for the capital
since they can afford the amount needed if they contribute their savings.
Daily Collection
The advocates of the business decided to collect money on a daily basis which
was deducted from their daily allowance to have some additional fund for their business.
41
Table 5. Total Manufacturing Cost per Product
Month Percentage
1 47.67%
2 99.6%
3 156.11%
42
Projected Income Statement for Three Months
43
Future Business Prospects
The proponents used different strategies during the first month of operation. It
includes free taste, discounts, and promos. These strategies helped in increasing the
demand of the product. In order to further increase the demand, the proponents will
advertise their product through social media. The proponents plan to use any means of
The proponents are also planning to distribute their product through the help of
other established businesses like pasalubong shops, food bazaars, malls and sari-sari
stores. A new line of flavors and new native products will be offered to the public to gain
more customers, to meet their expectations and satisfactions to the business enterprise
and to its products for the whole year and the incoming years. The new products in line
would be, macasol (macapuno-filled espasol), lechesol (Espasol with Leche flan fillings),
Cheesy espasol (Espasol filled with kesong puti), and yemasol (Espasol with yema
filling).
The proponents of the business wll acquire additional raw materials and
equipment to produce the new and innovative products for the target customers. For the
development of the product and the company itself, certain researches will be conducted
to measure as well the shelf life of the product and if the taste would be satisfying to the
consumers. The organizational structure would always be updated to run the business
entity properly and orderly as it expands and grows into a bigger venture.
44
Funding Plan
The business’ funds would be dependable on how the business abides itself to be
profitable. For the business to develop and guarantee that the business plan up to the
future, the proponents invested their personal allowances to be used in the activities of
the business. After making those decisions, the business will be well operated and there
would be a greater chance for it to expand, grow and be sustainable for the incoming
years.
Improved Plan
2018
Find another suppliers who could offer more affordable and quality raw materials
2019
Produce another native product with different flavors also like the Espasol
larger population
45
Promote the product through connecting with different magazine and newspapers
publishers
2020
Hire more employees for the business operations, production and distribution
Create business branches in different places in the Philippines and be open for
franchise
Connect with another mass media platform like radios and television to improve
Coordinate with different cooking shows and reality shows that may introduce the
Per Year
2018
Seeking for good quality and cheaper raw materials from suppliers
46
Estimated increase in sales by 50%
2019
Business starts to participate with food bazaars and introduction of the product on
bigger population.
2020
country.
47
Statement of Financial Position
48
GELAMERPIEN FOOD COMPANY
Statement of Financial Position
As of Q3 2018
Assets
Current Assets
Cash on Hand Php 10,005.03
Cash on Bank Php 15,466.25
Total Current Assets Php 25,471.28
TOTAL ASSETS Php 25,471.28
Liabilities and Owner's Equity
Owner's Equity
Gelamerpien, Capital Php 19,922.56
Add: Net Income Php 5,548.72
Total Owner's Equity Php 25,471.28
TOTAL LIABILITIES AND OWNER'S EQUITY ₱ 25,471.28
49
Statement of Comprehensive Income
ASSUMPTIONS:
1. Increase to the cost of sales and supplies expense due to the By 3%
TRAIN Law
2. Increase in Sales By 5%
3. Increase in Marketing and Promotion Expenses By 5%
50
Earnings Before Interest & Taxes Php 4,822.56 30%
NET INCOME Php 4,822.56 30%
ASSUMPTIONS:
1.Increase in Sales By 7%
2. Increase in the Cost of Sales and in Supplies Expense due to
By 5%
the rainy season
3. Increase in Marketing and Promotion to help the business By 3%
increase its sales
ASSUMPTIONS:
1. Increase in Sales By 10%
2. Seeking for Good Quality and Cheaper Raw Materials from
Suppliers which would lead to decrease in cost of sales and in By 3%
supplies expenses
3. Increase in Transportation Expense By 5%
51
GELAMERPIEN FOOD COMPANY
Statement of Comprehensive Income
As of Q4 2018
Sales Php 18,677.71 100%
Less: Cost of Sales Php 7,475.57 40%
Gross Profit Php 11,202.14 60%
Less: Operating Expenses
Research and Development Php 183.00 1%
Transportation Php 105.00 1%
Utilities (Gas, Water) Php 500.00 2.68%
Marketing & Promotion Php 180.07 1%
Supplies Expense Php 253.35 1%
Salaries Expense Php 2,500.00 13%
Operating Expenses Php 3,721.42 20%
Earnings Before Interest & Taxes Php 7,480.73 40%
NET INCOME Php 7,480.73 40%
Quarter Percentage
1 26.01%
2 57.11%
3 84.14%
4 104.19%
Profitability Ratios Q1 Q2 Q3 Q4
Gross Profit Margin Ratio 53% 54% 55% 60%
Profit Margin on Sales 38% 30% 33% 40%
Return on Total Assets 33% 28% 19% 26%
Return on Equity 33% 28% 19% 26%
52
APPENDICES
A. Passbook
53
This passbook was accounted to Ms. Rizelle Raquipiso and the total it all started
with a Php 800.00 initial deposit including the maintaining balance. The total money that
we deposited was Php 15,100.00 and it represented the sales that we had during the 200-
54
Danica F. Lanting
Education:
Achievements:
Grade 10:
Leadership Award
55
Apple Nerry R. Mercado
Education:
Achievements:
56
Angel Faye C. Parra
Education:
Achievements:
Grade 6:
1st Honorable Mention
57
Grade 10:
Grade 11:
Second Honors
Speech Reading – 1st Runner Up (School Level)
58
John Paul P. Paulite
Education:
Achievements:
Grade 6:
Grade 10:
Grade 11:
Second Honors
Sudoku Competition – 1st Place (School Level)
59
Rizelle Marie E. Raquipiso
Education:
Achievements:
Achiever Award
60