HOTSPOT HUB

Hotspot and chill

Submitted to: Prof. Rosenda Gulane

Submitted by:

Jerika C. Cervantes
Shailyn F. Menrajal
Jessa Balaba
Mark Alfred Dale Lorenzo
Patrick Castro
Abigael V. Belinario
Jeanrose Dalmino
Alisa Micah Balanay

Manga St. Narra p. 09462164768 [Email]

Palawan. jerikaming@gmail.com
Table of Contents

Executive Summary .............................................................. 2

Our Services
Objectives
Mission

I. The business ......................................................................... 3

Description of business
Location
Company ownership/Legal entity
Interior
Products/services
Hour of operation
Market analysis
Start-up acquisition summary

II. Marketing ............................................................................. 6

III. Financial Data ...................................................................... 9

IV. Appendix ............................................................................ 14

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Executive Summary

HotSpot Hub offers a Wifi hotspot connectivity in an environmental friendly

sanctuary for those who want to focus on their task, modules and even online business.

Our place ensures to give a better internet connection and peaceful workplace.

Our services

Hotspot Hub are for those who want a peaceful ambiance for work, as well for those

who do not have a stable internet access.

We also offer,

• Comfy room

• Snack Booth

• Instagramable backgrounds

So that customer could relax while working as well take something as they leave

since our company wants you to have comfy time while you are working.

Objectives:

Tend to the customer needs and offer a fast internet connection.

Mission:

Hotspot Hub aims to provide a comfy haven for those who wanted a tranquil place

to work.
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I. The Business

Description of Business:

The hotspot hub is a start-up business by a sole proprietorship where we offer

a hotspot area where the customer can chill while doing online activities. In a time of

the pandemic, this business would be relevant to everyone especially since wifi

connection is faster data, more importantly, the emergence of PLDT here in Narra and

the upcoming DITTO would be the perfect way to utilize this opportunity to turn it in

a business.

Location: The business is located at Mangga St. Narra Palawan.

Company Ownership/Legal Entity:

This business is a sole proprietorship ownership. It means that is a type of

enterprise that is owned and run by one person and in which there is no legal

distinction between the owner and the business entity.

Interior:

The start-up interior design aims to keep it minimalistic while having some

artwork on the background from low-key artist. Trendy memes and with a mixed of

attractive plants. In the way we can minimize the cost in interior design. Also, we also

plan to add a sound proof rooms. For Live business transaction and online classes

Products/services:
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The Hotspot hub offers a fast internet hot-spot at an affordable price while

giving a tranquil environment to the customer. We also offer a variety of homemade

foods and refreshment beverages for the customer and instagramable background for

them to take something as they leave with glee. In the time of pandemic and in the ne

eds of use internet Hotspot hub cease this opportunity to meet the needs of the

people in our community. Would like also to create business opportunities for other

aspiring business for collaboration once the business is fully established meaning we

offer opportunities to other aspiring business people.

Thus, gaining customer will be easy since it caters the modern needs.

Hour of operation

The business opens at 8am and closes at exact 8pm.

Market Analysis

The hotspot hub is open for everyone who are need of internet connection as

well those who wanted quiet and comfortable meeting place. But specifically, the

people within our community. We expect students especially high-school student.

For now, we will maximum people we can cater are 6 people but our business plans

to grow, we have bigger ideas that we cannot reveal yet but the aim is to help and

promote other business. This is the stepping stone of a hotspot hub business but it

will continue to evolve as time passes on.

Startup acquisition summary:

The main items that are necessary to purchase are the installation of WIFI

plan for the hot spot hub. Furnitures that compel a minimalistic design and local

wallpaper art to minimize the budget while creating an aesthetic decoration.

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Renovation to the location doesn’t need much budget since the place is already fixed

it only requires little adjustment like the flooring and the walls. For the

advertisement, paying Facebook to advertise your page will be cheaper and provide

more engagements. Printed out brochure will be distributed in other local stores that

we have connection. So overall the start-up will go smooth.

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II. Section 2: Marketing

Market analysis

The main target or the business are students who are in need of internet

connection as well a haven of a workplace. Other entrepreneur or our online business

enthusiast also belong to our target. So in order to gain the target customer, it is

necessary to use Fb algorithm on advertisement to reach them.

Fb Engagment target

5%

15%

50%

30%

Student's Business enthusiast Adults Others

Data shows the FB engagement target through ad’s.

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Market Segmentation:

The business will offer promotion and student discounts. There is also a

Premium offer that is a perfect deal for specific people. The number of students in

Narra and the limited internet connection means student will find ways gain internet

access. So we aim to provide student’s discount, but also in a means of not falling

into break even into our business.

Market Segments

25%

50%

25%

Student discounts Promotion Prenuim Pass

Competition

Competition will not be much of that problem since there are one or two hot

spot business in Narra for now. But our business stands above them since we offer

not just hotspot hub but a workplace. Therefore, the goal is to grind our business as

possible so that if the future competition arise then hotspot hub will stand strong.
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Pricing

The refreshment and other add-on items are just similar to any business retail

price. The internet usage will be differ, the data below is the proposed usage fair.

Internet Price Data offered

Php 1.00 4 minutes of unli-data

Php 5.00 Student promo: 1 hour of internet access

for Google Research (Restricts Data

Upload and Download)

Php 20.00 1gb of internet connection

Php 10.00 Online Selling promo: 1 hour internet

access (Restricts Download)

Php 100.00 1 hour of Sound Proof room+ 1gb of

internet connection +10 pesos for

another gb and +10 for another hour

Advertisement and Promotion

As said earlier we will make use of the Facebook algorithm for Facebook ad’s.

For the price of Php 300.00 we culd reach 4k-12k facebook user who lived in Narra

and another closest barangay within it. Making brochure to be posted on some of our

business friends would be another effective way. As well targeting the Facebook

groups for ad’s.

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III. Section 3: Financial data

Fixed assets/start-up expense list

Fixed asset description: Cost:

Renovation: Php 5,000.00

Equipment: Php: 5,798.00

Furnitures: Php: 5,452.50

Startup expenses:

Legal/Organization cost: Php 500.00

Initial marketing Promotion: Php 500.00

License and Permit: Php 500.00

Beginning Inventory: Php 6,525.75

Total fixed assets and startup

expenses: 24,275.25
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Unit Selling Price and cost analysis

Product/Services #1: 1gb Hotspot connectivity

A. Selling Price: Php20.00

B. Total cost per unit: Php5.00

C. Unit Gross: Php 15.00

D. Gross profit: 0.75

Products/Services: Soft drinks 300ml

A. Selling Price: Php 20.00

B. Total cost per unit: Php 15.00

C. Unit Gross: Php 5.00

D. Gross profit: 0.33

Products/Services: Fruit Soda 237ml

A. Selling Price: Php 17.00

B. Total Cost per unit: Php 12.00

C. Unit Gross: Php 5.00

D. Gross Profit: 0.71

Products/Services: Assorted Chips 60g

A. Selling Price: Php 50.000

B. Total cost per unit: Php 30.00

C. Unit Gross: Php 20.00

D. Gross Profit: 0.67

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A. Cont. Optional Method to Calculate Needed Capital

Total Required capital

Six-month fix expenses + Asset Purchases + Start Up expenses

Column 1 Column 2

Monthly Fix Expenses

Salaries: Php 12,000.00

Pay-roll Taxes: Php 688.00

Marketing and Advertisement: Php 500.00

Supplies: Php 1,000.00

Wifi plan: Php 6,000.00

Monthly Fix

expenses Subtotal: Php 20,188.00 (x6) Php 121,128

Asset Purchase:

Remodeling: Php 5,000.00

Installation: Php 2,999.00

Beginning Inventory: Php 6,525.75

Asset purchase subtotal Php 14,524.75

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Start-up Expenses:

Legal Organization: Php 500.00

License and Permit: Php 500.00

Initial advertising promotion: Php 500.00

Startup expenses subtotal: Php 1,500.00

Total estimated cash needed to start: Php 28,000.00

Break even analysis

Unit Sale Price: Php 20.00 Monthly Fixed Expenses:

Unit contribution Margin: Php 20.oo Salaries: Php 12,000.00

Pay-roll Taxes: Php 688.00
Marketing and Advertisement: Php 500.00
Supplies: Php 1,000.00
Wifi plan: Php 6,000.00
CM: 100%
Monthly Fix
expenses Subtotal: Php 20,188.00

Monthly Break Even expenses is exactly Php

20,188.00
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Source and use of funds

Source:

Personal Equity: Php 15,000

Outside Equity: Php 20,000

Total Sources: Php 35,000

Uses:

Renovation: Php 5,000.00

Equipment: Php: 5,798.00

Furnitures: Php: 5,452.50

Legal/Organization cost: Php 500.00

Initial marketing Promotion: Php 500.00

License and Permit: Php 500.00

Beginning Inventory: Php 6,525.75

Cash Reserve: Php 10,000.00

Total Use: Php 34,003.25

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Appendix

Start-Up Expenses

Business Licenses Php 500.00

Incorporation Expenses Php 500.00

Interior Modifications Php 5000.00

Equipment/Machinery Php 5798.00

Required:

Advertisement Php 500.00

Opening Inventory Php 6,725.75

Furnitures Php 5,452.50

TOTAL STARTUP PHP 24,476.25