Confidential

QuaranTea
Milktea and Snack Bar

Business
Plan
Prepared: January 09, 2021
Contact Information:

Charlote Jennifer N. Fetalino

09105211267
charlotefetalino3@gmail.com
Jean P. Ligan
09203956838
Jeanligan7@gmail.com
Johna L. Balangkig
09504398233
balangkigj@gmail.com
Joanie L. Paler
09518682815
Joan10paler@gmail.com
Tracy Danielle Pinat
09104818038
tracypinat@gmail.com
Frances Barry Tanquilan
09207915712
francistanquilan@gmail.com
Ursula Mae Dominguez
09526140076
dominguezursulamae@gmail.com
 EXECUTIVE SUMMARY
I. Opportunity
QuaranTea Bar is a start-up milktea café that will also offer a selection of snacks
located in Alruras Mall third floor . The milk tea craze has been one of the most
talked about food trends in the Philippines for the past years. QuaranTea Bar is
offering with variety of flavours and some selections of snacks perfect for everyone’s
craving especially at this moment people are always craving for something.
Quarantea Bar is way different from other milktea shops. In our bar you can create
your own combo of flavors, you can mix different flavors in your own choice to make
sure that your sweet tooth cravings is fully satisfied. Your taste is our priority to
ensure that you can have the taste that you want. Quarantea Bar also offers different
variety of snacks.
Most of our target market would be the millennials and the generation Z since
Milktea is one of the most cravings from these generations. Many milk tea shops are
opening at this moment ever since this food trend started. And now we are opening
the QuaranTea Bar is offering a delicious and affordable milk tea and snacks perfect
for your cravings.
We ensure to excel among other shops because we are different and unique.
Though Quarantea Bar is special in terms of variety and class we are still a budget
friendly milk tea shop and this made our bar even more special. We will promote a
healthy competition between other milk tea shops for us also to promote a healthy
community within the same industry of business.
II. Expectations
The QuaranTea bar is expected to sell more than half of the sales in this current
year. And as years goes by there will be lots of improvements of the milk tea bar and
that one of the reason why more sales are expected to gain for the next years.
 Net Profit
by year
700,000

600,000

500,000

400,000

300,000

200,000

100,000

0
year 1 year 2 year 3

OPPORTUNITY

I. PROBLEM AND SOLUTION

Problem Worth Solving

No other milk-tea shops lets the customer create his own combo of
flavors or make his own choice to make sure his cravings are fully satisfied.

Solutions
Our market niche has several needs which we strive to meet:
 Various ingredients and flavors are being offered leaning towards the
cravings of the student population.
 Excellent Customer Service. Each customer will be treated as would an
honored guest in our homes.
 Broad cross-seasonal offerings. In addition to milk teas, we offer a
selection of snacks to cover seasonal variations in customer demand.
 Providing the highest quality product with personal customer service.

II. TARGET MARKET

Market Size and Segmentation

Adults
QuaranTea Bar primary target market is men and women aged 25 to 40. They
account for almost 35 percent of its total business QuaranTea Bar appeal to this
consumer age group through hip, contemporary design that is consistent in its
advertising and décor, and working to keep its products current as status symbols.
The target audience grows at a rate of 3 percent annually.
Young Adults
Young adults aged 16 to 24, total 55 percent of QuaranTea Bar sales.
QuaranTea Bar positions itself as a place college students can hangout, study, write
term papers and meet people. QuaranTea Bar appeal to this consumer directly
through introducing technology as soon as it comes available, focusing on social
networking and actively cultivating a “cool” image. The young audience grows 4.6
percent each year.

III. Competition
We use the scale of 1-4 to evaluate the strength and weaknesses of competitors
as shown in the table below:
FACTORS QUARANTEA TEA SHOP HAPPI TEA
BAR
Product 4 3 4

Quality 4 3 3

Service 4 3 3

Selection 3 2 2

Price 4 2 4

Location 4 4 4

Company 3 2 4
Reputation
Appearance 4 2 3

As you can see the table, Happi Tea is taking advantage about the product and
quality. Tea shop is one of the first brands that have been sold the milktea but they
cannot keep their performance when they established. The service of our
competitors is about the same. In tea shop and Happi Tea, the customers don't have
their unique flavor to attract more customers.
About the price, the Teashop is higher than the other competitor. The location is
important for business, the location of our competitors is very good. QuaranTea Bar's
company reputation and appearance is still very low because we are still on process
to become successful company.
As an advantage, QuaranTea Bar will offer full range of teas (hot and iced) as well
as pastries, premium chocolates and tea accessories for taking home or giving as
gifts. We will train all of our teatenders in the proper storage, brewing, and serving of
each kind of tea. Take-out and delivery is also available in our shop.
 EXECUTION
STRATEGY AND IMPLEMENTATION
I. Marketing Plan
Our plan is to create and sell a product that will generate customer buzz and
excitement. Getting our name to the scores of local businesses and residences
quickly will greatly improve our business. A satisfied customer will be an integral in
spreading the word about our company and products; this positive word of mouth
network will push sales and drive business. Most importantly, QuaranTea Bar will
garner a strong reputation as a great neighbourhood food/drink and social hangout.
This will be invaluable to the success of the business. This is the perfect high profile
location to promote our brand for future expansion.
Social Media
Advertise through promoter friends that utilize Facebook/Twitter/ASmallWorld
databases with a collective social network of 10,000 plus. Email blasts announcing
the opening of the restaurant will be sent out to everyone in the network and
periodically thereafter, participate in charity events that will introduce new customers
Direct Advertising
Our location is located in the CPG North Avenue wherein it is surrounded by many
people. And the good things that is nice to hear are it can easily found because it is
near in some schools and we easily found our target customers there, which are the
students and other. The location that we’ve chosen to build in our business is a very
safe place. Where there is order and no fear in this place. Public Relation
Professional public relations contacts that are personal friends have offered to help
publicize our milk tea bar for free. Create and execute promotional press materials
for the grand re-opening and monthly events thereafter.
II. OPERATIONS
Location
The surroundings were filled with many people, and the space is so wide and well
organized. The location is great and there is no commotion in the area. The
surrounding are very effective to the business, because it could help to boost the
sales of the business. Our location can have our clients to park their cars when they
come to our shop.
Technology
The founders also used the social media to market the product. The social will let
everyone that the business existed and they can put their reviews there about the
feedbacks of the product.
 III. MILESTONE & METRICS

MILESTONE DUE DATE WHO’S DETAILS

RESPONSIBLE
 Reconfigure social Completed Charlote
media accounts
 Investigate inventory Completed Johna & Ursula
Turns
 Meet with Secretary to January 07,2021 Johna & Joanie
review Market Strategy
 Top 20 customers list February 02,2021 Charlote Need to adopt more
customers and make a
promo.
 Social media Program February 28,2021 Charlote Let’s make sure we’re all on
the same page with the last
month, social media
priorities, content, emphasis,
specific plans.
 Monthly review March 15,2021 Tracy Check the rating of sales
 Promotion Plans April 10 2021 Tracy A target to get the exact
income.
 Another flavour of Milk May 03,2021 Jean Make another taste or create
tea more mixture.
 Summer Marketing May 10,2021 Charlote Time to establish specific
Program social media content, and
events for the summer.
Participation in community
events.
 Summer Financial May 15,2021 Frances Annual financial check-up on
Strategy cash flow, working capital,
and financial needs during
the summer slow season.
 Review Summer June 25,2021 Charlote & Check and compare the
Inventory Plan Frances previous sales.
 Promotion Program August 20,2021 Tracy Make sure that price will
getting slow attract
customers.
 Annual Strategy October 10,2021 Tracy SWOT session, strategy and
Review Session tactics review.
Key Metrics

QuaranTea Bar
Key metric
40,000

35,000

30,000

25,000

20,000

15,000

10,000

5,000

0
Jan. Feb. March April May June July August Sept. Oct. Nov. Dec.

COMPANY
ORGANIZATIONAL SUMMARY
I. Overview
QuaranTea Bar is a Milktea a snack bar shop which is popular to all. We focus on
offering delicious drinks and snacks suitable for everyone’s cravings. The Milk Tea
bar is a partnership business and it will be located at CPG North Avenue wherein it is
surrounded by many people. Most important to us is our financial success, but we
believe this will be achieved by offering high-quality service and extremely clean,
non-greasy food with interesting twists.
II. Team
The founders of this Milk Tea bar was the group of friends namely: Charlote Jennifer
Fetalino, Tracy Danielle Pinat., Jean Ligan, Johna Balangkig, Ursula Mae
Dominguez, Frances Berry Tanquilan, and Joanie Paler.Charlote, Jean, and Tracy
focuses on financial issues while Johna, Ursula, Joanie, and Frances focuses on the
personal issues. They have different skills and that is a good start for our business
since all of our skills will be used to run this business.
III. Advisors
The founders are very much lucky to have their family and friends always at their
back support their decisions in starting this business. And not just their moral support
but also the financial support, they can’t start this business with this support and
guidance.
FINANCIAL PLAN
I. FORECAST
Our Financial Plan is based on solid analysis into comparable industries in
similar communities and on projections of expenditures for supplies, rental
and other operating expenses. As an owner-operated company, we have
some leeway to change our own rewards if profits are down in a given
month, but our estimates are cautious. Our top financial priorities for the
first three years are to repay our long-term debt, pay our workers equally,
fund our costs on schedule, and earn moderate income.

We're opening this shop because we love milk tea, we are milk tea lovers,
and we're going to enjoy all the hard work we have to do to keep the
company going. Sales growth will be aggressive for the first 12 months as
we sharpen our variety of products, size ranges, and stock sizes to help
satisfy the demands of our consumers. We expect a rise in revenue of
nearly 10% in our second year of service. Marketing spending is budgeted
at about 3% of gross revenue. We would spend remaining earnings in debt
reduction.
Revenue by Month

Revenue by month
70,000

60,000

50,000

40,000

30,000

20,000

10,000

0
ry ar
y ch ril ay ne Ju
ly st be
r
be
r
be
r
be
r
ua ru ar Ap M Ju gu m to m m
J an e b M Au te Oc ve ce
F
S ep N o De

Column1
Expenses by month

Expenses by month
12,000

10,000

8,000

6,000

4,000

2,000

0
ry ar
y ch ril ay ne Ju
ly st be
r
be
r
be
r
be
r
ua ru ar Ap M Ju gu to
a n b M Au em c ve
m
ce
m
J F e pt O
Se No De

Series 1

Net profit (or loss) by year

 Net Profit
by year
700,000

600,000

500,000

400,000

300,000

200,000

100,000

0
year 1 year 2 year 3

II. Financing
Use of Funds
Invested at least 280,000 from the founders as a capital to purchase

Source of funds
Invested ₱50,000 for the capital and currently receiving profits from the
interest of our investment and receiving sales from the equipment and
supplies sold aside from the profits of the main business.

III. STATEMENTS
QuaranTea
Projected Profit and Loss
For the year 2021
Revenues
Service Revenues ₱ 300 000
Expenses
Rent Expense ₱ 74 400
Advertising Expense 13 900
Utilities Expense 11 700
Total Expense ₱ 9 850
Net Income ₱ 400 000

QuaranTea
Projected Balance Sheet
For the year Ended 2021
 ASSETS
Cash ₱ 96 800
Accounts Receivable 16 800
Supplies 19 200
Equipment 84 000
Total Assets ₱ 216 800

LIABILITIES AND OWNER’S EQUITY

Liability
Accounts Payable ----------
Owner’s Equity
Group 2, Capital 280,000
Total Liability and Owner’s Equity ₱ 280 000

QuaranTea
Projected Cash Flow Statement

Cash flow from Operating Activities

Cash receipts from customers ₱ 39 600
Cash payments to suppliers and employees (23 400)
Net cash provided by operating activities 16 200
Cash flow from Investing Activities
Purchase of equipment ₱ (12 000)
Net cash used by investing activities (12 000)
Cash flows from financing activities
Investment by owner ₱ 50 000
Drawings by owner (2000)
Net cash provided by financing activities 48 000
Net increase in cash 52 200
Cash, December 2020 ---------
₱ 52 200
 APPENDIX

I. Profit and loss statement

Profit and loss statement monthly detail
Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec.

Service 10,000 15,000 20,000 30,000 33,000 30,000 34,000 38,000 39,000 43,00 50,000 58,000
Revenue
Rent 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200 6,200
Expense
Utilities 1,250 900 980 1,900 1,790 900 800 1,000 1,000 880 500 2,000
expense
Advertising 2,400 2,400 - - 2,000 2,400 - - 900 - 800 800
expense
TOTAL 150 5,500 12,820 21,900 23,010 20,500 27,000 30,800 30,900 35,920 42,500 49,000

Profit and loss annual detail

Year 1 Year 2 Year 3

Service Revenues 400,000 498,400 690,400
Rent expense 74,400 74,400 74,400
Utilities expense 13,900 15,000 10,000
Advertising expense 11,700 9,000 6,000
TOTAL 300,000 400,000 600,000
 II.
Balance Sheet
Balance sheet monthly detail

Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec.
ASSETS
Cash 9000 8000 7000 8000 8900 7000 6000 6900 7000 8000 7000 6700

Accounts 2000 2000 2000 1000 1000 1500 2000 1200 1300 1000 1000 1000
Receivable
Supplies 3000 2000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
Equipment 10 000 9000 8000 7000 8000 9000 6000 8000 9000 9000 9000 8000
Total 24000 21000 18000 17000 18900 18500 15000 17100 18300 19000 18000 16700
LIABILITIES
---
Owner’s
equity
Capital 50 000 46000 45000 40000 30000 45000 23000 24000 23000 34000 45000 27000
Total 50 000 46000 45000 40000 30000 45000 23000 24000 23000 34000 45000 27000
Liability
and
Owner’s
Equity

Balance sheet annual detail

ASSETS
Cash 96 800 100 000 150 000
Accounts Receivable 16 800 19 900 21 000
Supplies 19 200 21 000 23 000
Equipment 84 000 86 000 25 000
Total Assets 216 800 226 900 219 000
LIABILITIES
---
Owner’s equity
Capital 280 000 340 000 400 000
Total Liability and 280 000 340 000 400 000
Owner’s Equity

III. Cash flow statement

Cash flow statement Monthly detail
 Jan. Feb. Mar. Apr. June July Aug. Sept. Oct. Nov. Dec.
Cash flow from
Operating Activities

Cash receipts from 500 398 380 272 300 300 230 210 200 290 220
customers
Cash payments to (300) (200) (200) (250) (250) (200) (150) (100) (100) (100) (100)
suppliers and
employees
Net cash provided by 200 198 180 22 50 100 80 110 100 190 120
operating activities
Cash flow from
Investing Activities

Purchase of (2000) (1000) (900) (690) (700) (550) (360) (300) (390) (210) (200)
equipment
Net cash used by (2000) (1000) (900) (690) (700) (550) (360) (300) (390) (210) (200)
investing activities
Cash flows from
financing activities

Investment by owner 80 000 43 000 20 100 19 000 18 000 16 000 17 000 17 16 900 17 000 16 000
000
Net cash provided by (10 (9 000) (8500) (9500) (9000) (9000 (9000 (9000) (9000 (9000 (9000)
financing activities 000) ) ) ) )
Net increase in cash 70 000 39 000 11600 9500 9000 7000 8000 8000 7900 8000 7000
71 800 39 802 12 320 10 168 9650 7450 8280 8190 8190 8020 7080

Cash flow statement annual detail

Year 1 Year 2 Year 3

Cash flow from Operating
Activities

Cash receipts from 3300 5300 6500

customers
Cash payments to suppliers (1950) (2900) (3500)
and employees
Net cash provided by 1350 2400 3000
operating activities
Cash flow from Investing
Activities

Purchase of equipment (7000) (9000) (9 400)

Net cash used by investing (7000) (9000) (9 400)
activities
Cash flows from financing
activities
Investment by owner 280 000 300 000 450 000
Drawings by owner (100 000) (98 400) (90 400)
Net cash provided by 180 000 201 600 440 600
financing activities
Net increase in cash 185 650 208 200 447 000