Wander Spa

“Hands at your service”

A Feasibility Study Presented

to the Academic’s Department of

STI College Dasmariñas

in partial fulfillment of the requirements for the Degree of

BACHELOR OF SCIENCE IN TOURISM MANAGEMENT

Presented by:

Chill P. Corales

Dante M. Dagandangan

Juan Miguel D. Malihan

Carmie T. Manuel

Argan Faye D. Medina

Michael S. Geron

Adviser

May 2021
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ACKNOWLEDGEMENT

The completion of this feasibility study could not have been possible without

the participation and assistance of so many people whose names may not all be

enumerated. Their contributions are sincerely appreciated and gratefully

acknowledged. However, the group would like to express their deep appreciation and

indebtedness particularly to the following:

We are highly thankful to our learned faculty Mr. Michael Geron for his active

guidance, endless support, kind and understanding spirit throughout the completion of

our feasibility study project.

To all relatives, friends for their guidance and encouragement in carrying out

this study, who in one way or another shared their support, either morally, financially

and physically, thank you.

Above all to the Great Almighty, the author of knowledge and wisdom, for his

countless love.

We thank you.

DEDICATION
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We would like to humbly dedicate this piece of work to the Almighty God

who gives us power and good health while doing this, to our loving family for

financially supporting us whenever we need some, to our classmates and friends for

the encouragement and pieces of advice they give in connection with our feasibility

study and to our instructors. This research paper is also lovingly dedicated to the

professor of this project for the long patience who never failed to teach and guide us.

The success of this study will not be possible without the help and

determination given by each other, the effort and contributions that everyone gives

make a big impact for this study to be successful. This study will serve as a strength to

remind us how durable and determined we are despite the pandemic, and still be able

to finish this work.

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Recommendations and Acceptance

The feasibility study entitled “Wander Spa” prepared by Chill P. Corales,

Dante M. Dagandangan, Juan Miguel D. Malihan, Carmie T. Manuel and Argan Faye

D. Medina. In partial fulfillment of requirements for the degree of Bachelor of

Science in Tourism Management is hereby recommended and accept for oral defense.

Michael S. Geron

Adviser

Approval

Approved and accepted as partial fulfillment of the requirements for the

degree of Bachelor of Science in Tourism Management.

Panel of Oral Examiner

(Name of Panel) (Name of Panel)

 IV

Ms. Anna Lisa I. Abello, MIT

 Table of Contents

Acknowledgement i

Dedication ii

Approval Sheet iii

I. Introduction 1

II. Concept 4

A. Background of the Study 4

B. Mission and Vision Statement 5

C. Objectives 5

D. Products and Services 6

E. Atmosphere Design 6

F. Marketing Strategies and Sales Marketing 7

III. Market Study

A. Current Market Study 8

B. Potential and Demand Marketing Strategy 9

C. Competitors 10

Direct Competitor 10

Indirect Competitor 11

D. Market Segmentation 11

IV. Product Study

A. Menu Design 12

B. Interior/Exterior 14

C. Logo 15

D. Employees Uniform 16
V. Site Location Study

A. Geographical 17

B. Demographical 18

C. Traffic and Foot Counts 19

D. Zoning 20

E. Economic Indicator 21

VI. Management Study

A. Types of Business Organization 23

B. Human Resources 24

C. Standard Operating Procedures 30

D. Weekly Schedule 31

VII. Financial Study

A. Financial Assumptions 34

B. Initial Capital Requirement 37

C. Sources of Financing 37

D. Financial Statements 39

E. Financial Projections 42

1. Profitability Ratio

VIII. Marketing Study

A. S.W.O.T. Analysis 44

B. Opening Day Program 11

C. Marketing Mix 11

 Product 11

 Price 11
  Place 11

 Promotion 11

 People 11

 Process 11

 Physical Environment 11

IX. Technical Study 11

A. Business Structure 11

1. Perspective 11

2. Floor Plan 11

3. Plumbing 11

4. Electrical 11

B. Product Flow and Traffic Flow 11

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I. INTRODUCTION
The International Spa Association (ISPA) defines a business as a spa if it

offers at least two of these services to spa-goers: Skincare (includes makeup) massage

care, body treatments (includes salon services and hair removal). The term ‘spa’

encompasses a wide range of services and experiences, and can mean everything from

a small facial and massage business to expansive destinations of pampering. The word

spa was first used as far back as the eras of Ancient Greece and Rome to describe

naturally occurring thermal springs. These locations of bathing and relaxation were

believed to benefit health and wellbeing, and in this sense not much has changed to

date.

Spas remain havens of luxury and the only difference today is that they have

changed shape and form to fall into various different categories. First category is Day

Spas, it’s a spa in its most basic form, which is not to say it is any the less pampering.

Usually providing facials, massages and occasionally other treatments, they also often

offer salon services such as waxing, manicures and pedicures. Second category is

Hotel Spas, as the name suggests, are to be found in many upmarket hotels. Facilities

can be more extensive than in your average Day Spa, with pools and thermal suites

available either within the spa itself or as part of the hotel’s leisure center. Third

category is called Destination Spas. These are a step up again from Hotel Spas,

offering accommodation as part of the spa as opposed to in an adjoining hotel.

Guests will often be seen walking around the grounds in robes and slippers,

attending either for the purpose of relaxation or as a boost to health for yoga, pilates

and meditation on offer in many Destination Spas. Fourth category are Resort Spas

that often focus on health and wellbeing rather than just pampering. Some offer
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weight loss and fitness programs while others are popular for detox regimes. Last but

not the least, Medical Spas or Medi-Spas, offer cosmetic rather than traditional spa

treatments. Depending on the nature of the procedures offered, Medical Spas should

be run, or at least supervised, by a qualified medical practitioner. Starting with

chemical peels, microdermabrasion, laser treatments and the like, some go so far as to

offer botox and collagen injections and other minimally invasive enhancements.

Since world are still in the middle of a pandemic, with a lot of health protocols

and government restrictions, only a limited number of people can enter the mall and

most of the spa clients choose to stay at home because they don’t want to keep up

with a lot of people due to the risk of COVID19. The researchers saw that opportunity

to come up with an idea of having a mobile spa business. Where it can offer the same

type of services remotely as clients would find in their local day spa. They provide the

perfect union of luxurious spa therapies infused with the intimacy and comforts of

home. A mobile spa business will allow clients to luxuriate when and where they

wish. By offering mobile spa services like a mobile manicure and mobile massage,

clients can have fun and feel pampered while minding their work-life balance. It is

composed of a network of traveling spa professionals and offers the essentials in day

spa treatments all with an atmosphere of tranquility created just like in a regular spa.
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II. CONCEPT

A. Background of the Study

A mobile spa will give you a way to take your business to clients who want

massages, facials and body scrubs while eliminating the costs of leasing space. It

consists of a network of traveling spa professionals and offers the essentials in day spa

treatments such as facials, massage, bridal hair and make-up, body massages and

treatment, manicures, and Pedicures, all with an atmosphere of tranquility created just

like in a regular spa. Yet a mobile spa has the potential to be quite lucrative and

rewarding, though Wander Spa is going to be a lot pricier than the normal spas. But

before the researchers plan anything about this, they think about the spa name first,

which has to be “Wander Spa”.

However, the mobile spa offers even more. It completes the spa experience

with the intimate atmosphere of home and an approach considering the individual’s

body and spirit to the maximum extent. Excellent for getting over the tired and

stressful period of life, restoration of spiritual balance, temporarily upset, special

(difficult, painful movement) physical problems, strengthening self-esteem or simply

to achieve increased attention to everyone. Wander Spa can make a surprise as a gift

for smaller family programs, birthdays, name-days, wedding anniversary, Valentine’s

Day, Mother’s Day, hen party or difficult days of pregnancy. Moreover, the mobile

spas take the spa experience to the elderly and people who are limited in their

mobility. But the attention, the pampering and some minutes from the real world,

don't have to happen because of something, for special reasons away.

B. Mission and Vision Statement

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Mission

Wander Spa is rooting to provide therapy to all people in order to relieve stress

and tension, to improve range of motion and circulation, to enhance a state of well-

being and offer a preventive lifestyle through all services provided by the spa in a

professional manner.

Vision

Wander Spa vision is to serve and pamper the guests in the most indulgent

way. To create a harmonious healing environment for all to enjoy and offer exquisite

experiences each and every time.

C. Objectives

The researchers’ business goal is to take care of others' health and wellness.

Many people become massage therapists out of a desire to heal others and contribute

to their well-being. The researchers’ goal is to also make the customers/clients happy

and satisfied. As a business owner, they want them to come back and experience the

service again from Wander Spa. They know this business will be successful if they

are getting a lot of clients. This mobile wandering spa is appealing to everyone’s eyes,

since it looks unique, and the researchers will do their best to give service 24/7 while

roaming around some specific place. Another thing, this can be challenging but the

researchers will strive hard to make this big and in demand. Also, Wander Spa should

not be distracted from wrong doings while roaming in some town.

D. Products and Services

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The business can incorporate a spa’s signature treatments, products, massage

techniques or packages into the home setting. Also offer services, especially in

weddings to make everyone in the wedding look their best.

E. Atmosphere Design

The Wander Spa has a suitable cosmetic display, necessary and appropriate

design. The ambience that we have is aesthetically satisfying and relaxing. Since,

people go to the spa to relax. Then showers, body lotion, and massage oil, massage

gloves, thermal face masks. We also have a scent that soothes your mind and scented

candles, because it will give a nice flavor to the room.

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F. Marketing Strategies and Sales Marketing

The optimal spa marketing strategy should include social media and client

promotions as key parts of the plan. The first step in creating a spa marketing strategy is

to determine what the marketplace wants. This will help the business to create a

competitive service, based on benefits and price. Social media is a powerful tool when it

comes to reaching a broad and varied audience. It is among the best spa marketing

strategies because it is personal, it is budget-friendly, and it is effective. It works well for

a number of reasons. Social media will help the business to promote actively and

passively.

III. MARKET STUDY

A. Current Market Study

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Running a mobile spa business comes with a unique array of challenges. The

business has less control over the environment in which spa services are performed, so

the proponents will need to work a little harder to create a relaxing and memorable

experience for the clients. It is also important to be upfront with the policies for the

benefit of the clients but also for the safety and welfare of the staff. Here are some

policies the business should make clear to our customers:

 Reservations – It is recommended to require clients to schedule at least 24 hours

in advance and set a minimum for services and a distance fee for locations outside

a certain range.

 Cancellation – To decide how much leeway willing to give to clients in terms of

cancellations. The business may want to make different requirements for

individual services (maybe 4 to 6 hours in advance) and spa parties (at least 24

hours in advance).

 Gratuity – If do not plan to accept gratuity, Wander Spa have to make it clear in

the policies. If do accept the gratuity, a simple statement on the booking

agreement will tell the clients what is really appropriate.

 Safety – It is important to inform the clients of the health and safety precautions

taking in terms of sanitizing any equipment and other details like mask wearing or

touch-free services.

B. Potential and Demand Marketing Strategy

The potential market is those who simply crave the comfort and convenience of

an in-home service, the researchers are also discovering that we can turn a healthy profit
 9

by targeting a wide range of other off-site individuals from corporations seeking in-office

wellness services for stressed employees, to housebound folks who may not be able to

swing a spa visit due to health or travel issues. With the growing awareness among

people regarding their health and wellbeing, the chosen spa market will be gaining

popularity across the town. Moreover, growing mental health problems, such as

depression, anxiety, and stress, which are becoming more common these days is driving

the demand for spa services. As regular massage was proven to improve the wellness of

people, coupled with the pricey but services are qualitative which makes the market more

popular. Body and foot reflexology and head and back massages have also proven to

relieve pain or stress from a specific body part, thus, promoting healthy outcomes.

Tiredness being a factor, people prefer to have services in the city that help them

rejuvenate and relax, in order to keep themselves fit and healthy.

C. Competitors

The researchers found competitors are probably just going to be everywhere,

since the mobile spa is roaming in town, the mobile spa are the ones who are going to

come to the clients. Wander Spa all know that a lot of people are lazy so the mobile spas

are the ones who are going to come for them. The logo is very appealing, people are

going to think that we really do offer good service. When it comes to operating hours, it

is open at 10:00 in the morning to 9:00 in the evening. The main office of Wander Spa is

also located in Dasmariñas, Cavite.

Direct Competitors
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The one who competes in the same sector that offers the same products.

Monique’s Mobile Spa is one of the direct competitors of our Wander Spa. Both are

located in Makati, Metro Manila, and Cavite that offer similar services along with

Instagrammable interiors and target the same consumers. Serving good quality

concoctions of every pressure in the massage area, the business “Wander Spa” aims to

provide excellent massage and gracious service creating memorable experiences for

people.

Indirect Competitors

These kinds of competitors are the one who compete in the same sector but offer

different products. Sensefinity Spa in Makati, Metro Manila is considered as one of the

indirect competitors of Wander Spa. The said spa is clearly just a stall spa, in short, this

spa is immobile. This Spa focuses only on beauty. Not too much in body massage, and

they have a cheaper price list than what we offer. Competition is an inevitable part of the

business world, for businesses of any size. It is not a necessary negative, but rather an

important part of the business ecosystem. In fact, competition can be an effective tool for

growing and improving your business whether it is direct or indirect. Knowing who your

competitors are, and what they are offering, can help you to make your products, services

and marketing stand out. It will enable you to set your prices competitively and help you

to respond to rival marketing campaigns with your own initiatives.

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D. Market Segmentation

The target market will be divided by salon customers and spa customers. Salon

customers will be from every age and gender; however, since the salon and spa will be in

direct association with each other, we expect that the spa market segment will greatly

affect the salon market segment. Thus, the target market segment will all be female, from

the age of 15 to 50 plus.

IV. PRODUCT SUDY

A. Menu Design

Figure 1. Services Menu

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Figure 2. Services Menu

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B. Interior/Exterior

Figure 3. Interior Design

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C. Logo

Figure 4. Wander Spa Logo

Wander Spa’s logo is something to be proud of because the target markets will

easily recognize the mobile spa due to how it was being constructed. The researchers

choose to make the background green to make it more relaxing in the eye. While a simple

font will be enough to make it readable for the public and not be confused by how the

business name is imprinted. Aside from that, the trees and the buildings represent the city

since the mobile spa is going to standby and move around the city. Lastly, the pink

mobile spa is the highlight of this logo and a color pink to outstand its existence.
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D. Employee Uniform

Wander Spa Staff Uniform 3.96 2.72"

Figure 5. Massage Therapist Uniform

Figure 6. Driver’s Uniform

V. SITE LOCATION STUDY

A. Geographical
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Wander spa would be located in Dasmarinas Bagong Bayan, which is under the

administration of the government of Cavite.  Dasma has a land area of 90.1 square

kilometers (34.8 sq. mi)] and is located 30 kilometers (19 mi) south of Manila. The

growing congestion and outward urban expansion of the Metropolitan Manila Area has

led to rapid development of the city. The geographical location of Dasmariñas shows that

there is a potential opportunity of having a higher percentage of market demand. Most of

the establishments there are: restaurants, schools, and cafés. This proves that the

location is well developed in terms of business.

Dasmariñas is situated at 14.33º North latitude, 120.94º East longitude and 78

meters elevation above the sea level. Dasmariñas is a big town in the Philippines, having

about 441.876 inhabitants.

Figure.7 Satellite View

Figure 8. Topography
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B. Demographical

Wander spa is in the Dasmarinas City located Cavite province. Its population as

determined by the 2015 Census was 659,019. This represented 17.92% of the total

population of Cavite province, or 4.57% of the overall population of the CALABARZON

region. Based on these figures, the population density is computed at 7,312 inhabitants

per square kilometer or 18,937 inhabitants per square mile.

Dasmariñas is the wealthiest local government unit in the province of Cavite

according to the 2006 Commission on Audit report. In addition, prior to its conversion

into a city, it was the only municipality in the Philippines that had both SM and

Robinsons Mall. Aside from that, Dasmariñas is politically subdivided into 75 barangays.
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C. Traffic and Foot Counts

Table 1. Male foot count

MALE 10AM- 12NN- 2PM- 4PM- 6PM- 8PM- TOTA

11AM 1PM 3PM 5PM 7PM 9PM L

MONDAY 21 13 20 19 22 10 105

TUESDAY 23 15 21 21 21 15 116

WEDNESDAY 26 12 25 31 25 14 133

THURSDAY 21 10 26 25 20 9 111

FRIDAY 28 15 30 21 21 18 133

SATURDAY 35 17 33 30 31 20 166

SUNDAY 34 20 31 29 36 16 166

Table 2. Female foot count

MALE 10AM- 12NN- 2PM- 4PM- 6PM- 8PM- TOTAL

11AM 1PM 3PM 5PM 7PM 9PM

MONDAY 11 7 12 20 17 5 72
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TUESDAY 6 6 15 15 12 7 61

WEDNESDAY 12 2 13 20 21 5 73

THURSDAY 7 5 12 12 12 8 56

FRIDAY 13 6 12 15 17 9 72

SATURDAY 7 4 14 21 12 10 68

SUNDAY 14 3 18 25 19 9 88

D. Zoning

The City of Dasmariñas is a 1st class component city in the province of

Cavite, Philippines. According to the 2015 census, it has a population of 659,019 people.

E. Economic Indicator

The landlocked city has also been regarded as a steady market for real estate

ventures given its favorable location and other geographical features. Dasmariñas, located

30 km south of Metro Manila, is elevated, with its highest point at 250 meters, causing it

to have a natural drainage system. It is also outside the typhoon belt and is far from any

fault line.
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In recent years, some of the developments that have been established in the city

include. Strategically located in Dasmariñas, Cavite, Green 2 Residences is expected to

provide an ideal home alternative to students and faculty members of three of the

province’s most populous universities. With a combined population of more than 20,000

students, the booming “University Town” is also near a number of high-foot-traffic

establishments like SM City Dasmariñas, Waltermart and Central Mall Dasmariñas, to

name a few.

Green 2 Residences will house amenities like wi-fi ready study areas, a gym, lap

pool, multi-purpose lawns, a function room, and lounges that would truly make the lives

of its student residents a breeze. The residential project also features a retail strip with

shops that are targeted to provide all the necessary conveniences needed to help students

achieve that perfect study-life balance. In terms of access, those coming from Metro

Manila or nearby provinces can easily travel to the area given the continuous outpour of

infrastructure investments from the government.

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VI. MANAGEMENT STUDY

A. Types of Business Organization

A service type of business provides intangible products (products with no

physical form). Service type firms offer professional skills, expertise, advice, and other

similar products. The products and services facials, massages and occasionally other

treatments, they also often offer salon services such as waxing, manicures and pedicures.

Or, there are salons that specialize in one or two different areas. For example, salons such

as Great Clips offer cuts, styling and perms but do not color hair, while Master Cuts

offers cuts, color, perms and styling. Marketing is a process of planning and executing

the conception, pricing, promotion and distribution of goods and services to exchange the

individuals satisfy and organizational objective. The role of marketing can be considered
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as one of the most critical parts of the business organization because it generates income

to the business. The success of each business is dependent on the achievement of the firm

or company that offers products or services that are suitable and really needed by the

consumers. The type of our business ownership is a corporation is a business organization

that has a separate legal personality from its owners. Ownership in a stock corporation is

represented by shares of stock. The owners (stockholders) enjoy limited liability but

have limited involvement in the company's operations. The board of directors elected

from the stockholders, controls the activities and direction of the corporation.

B. Human Resources

Table 3. Employees’ Positions and Job Descriptions

POSITIONS JOB DESCRIPTIONS AND

SPECIFICATIONS

● To plan, implement and control

the overall management of the

business

● To plan and monitor the

General Manager strategic progress of the

business

● To be accountable for the

overall performance of the

business
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● To provide a promotion

strategy to promote the

business

● Responsible for the effort to

Marketing Manager increase the total employees and

customers.

● Responsible for the

marketing activity.

● Responsible for broadening the

company name to the future

customers.
● To manage all the business

flow during operation

● Order product

● Responsible for the

overall performance of

Operation Manager the general workers

assigned to them.

● Delegate duties according to

the schedule given.

● To manage the financial flow of

the business

● To control the cash flow

● To make a report for profit

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business or lost

● To prepare budget in the

certain period to monitor

expenses

Financial Manager ● Hand in invoices to the

clients for that particular

month for each location

● Hand in invoices to the

clients for that particular

month for each location

● Supervise and coordinate

activities of staff

● Interview job applicants

Administration Manager ● Administer salaries and

work out leave entitlements

● Be involved in staff training

and development, the

preparation of job

descriptions, staff

assessments and promotions

● Locate suitable business

premises and negotiate

reasonable leasing agreements

● Provide and maintain

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business premises and

other facilities including

plant and equipment

 Greet guest

 Receive payment from guests

Cashier  Make and receive phone call

● Responsible for transporting

clients or handling deliveries in

a timely manner, and they may

have to work nights and

weekends to accomplish their

Driver duties.

● Common duties and

responsibilities for drivers are

to: Transport clients and/or

packages to and from

destinations.
● Providing treatments to groom

fingernails and toenails.

● Use a variety of tools,

Manicurists and Pedicurists including nail clippers, nail

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files, and specialized cuticle

tools.

● Advise clients about nail and

skin care for hands and feet

● Promote and sell nail and skin

care products

● Clean and disinfect their work

area and tools

● Do the treatment

Massage Therapist ● Check material stock that uses

in massage treatment

C. Standard Operating Procedures

The key steps or phases in the operations process towards producing the product

or providing the service. In the mobile spa business, the researchers put more practice

into the service such as massage, slimming packages, facial and other services. All of this

service is for generating customer satisfaction. This operational process includes three

components: output, input and transformation process.

Figure 7. Output, Input and Transformation

Output Input

Products & Services Labor, Raw Material,

Equipment Capital
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Transformation

Process

Based on the above, it is a general flow about operation management which refers

to a process of marshaling resources to produce output through the transformation

process.

Input refers to all resources required to produce a particular output, while the

transformation system refers to the activities involved in transforming input into output.

The output refers to the ended. Product created as the result of a transformation process.

D. Weekly Schedule

Figure 8. Weekly Schedule

Position Mon Tue Wed Thurs Fri Sat Sun

General DAY 10AM 10AM 10AM – 10AM 10AM 10AM

Manager OFF – 7PM – 7PM 7PM – 7PM – 7PM – 9PM

Financial 10AM DAY 10AM 10AM 10AM 10AM 10AM

Manager – 7PM OFF – 7PM – 7PM – 7PM – 7PM – 7PM

Marketing 10AM 10AM DAY 10AM 10AM 10AM 10AM

Manager – 7PM – 7PM OFF – 7PM – 7PM – 7PM – 7PM

Operation 10AM 10AM 10AM DAY 10AM 10AM 10AM

Manager – 7PM – 7PM – 7PM OFF – 7PM – 7PM – 7PM

Administra-tion 10AM 10AM 10AM 10AM DAY 10AM 10AM

Manager – 7PM – 7PM – 7PM – 7PM OFF – 7PM – 7PM

Massage DAY 10AM 10AM 10AM 10AM 10AM 10AM

Therapist 1 OFF – 7PM – 7PM – 7PM – 7PM – 7PM – 7PM

Massage 10AM DAY 10AM 10AM 10AM 10AM 10AM

Therapist 2 – 7PM OFF – 7PM – 7PM – 7PM – 7PM – 7PM

Massage 10AM 10AM DAY 10AM 10AM 10AM 10AM

Therapist 3 – 7PM – 7PM OFF – 7PM – 7PM – 7PM – 7PM

Massage 10AM 10AM 10AM DAY 10AM 10AM 10AM

Therapist 4 – 7PM – 7PM – 7PM OFF – 7PM – 7PM – 7PM

Massage 10AM 10AM 10AM 10AM DAY 10AM 10AM
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Therapist 5 – 7PM – 7PM – 7PM – 7PM OFF – 7PM – 7PM

Massage 10AM 10AM 10AM 10AM 10AM DAY 10AM

Therapist 6 – 7PM – 7PM – 7PM – 7PM – 7PM OFF – 9PM

Cashier 1 DAY 10AM 10AM 10AM – 10AM 10AM 10AM

OFF – 9PM – 9PM 9PM – 9PM – 9PM – 9PM

Cashier 2 10AM DAY 10AM 10AM – 10AM 10AM 10AM

– 9PM OFF – 9PM 9PM – 9PM – 9PM – 9PM

Cashier 3 10AM 10AM DAY 10AM – 10AM 10AM 10AM

– 9PM – 9PM OFF 9PM – 9PM – 9PM – 9PM

Cashier 4 10AM 10AM 10AM DAY 10AM 10AM 10AM

– 9PM – 9PM – 9PM OFF – 9PM – 9PM – 9PM

Cashier 5 10AM 10AM 10AM 10AM – DAY 10AM 10AM

– 9PM – 9PM – 9PM 9PM OFF – 9PM – 9PM

Cashier 6 10AM 10AM 10AM 10AM 10AM DAY 10AM

– 9PM – 9PM – 9PM – 9PM – 9PM OFF – 9PM

Driver 1 DAY 10AM 10AM 10AM – 10AM 10AM 10AM

OFF – 9PM – 9PM 9PM – 9PM – 9PM – 9PM

Driver 2 10AM DAY 10AM 10AM – 10AM 10AM 10AM

– 9PM OFF – 9PM 9PM – 9PM – 9PM – 9PM

Driver 3 10AM 10AM DAY 10AM – 10AM 10AM 10AM

– 9PM – 9PM OFF 9PM – 9PM – 9PM – 9PM

Driver 4 10AM 10AM 10AM DAY 10AM 10AM 10AM

– 9PM – 9PM – 9PM OFF – 9PM – 9PM – 9PM

Driver 5 10AM 10AM 10AM 10AM – DAY 10AM 10AM

– 9PM – 9PM – 9PM 9PM OFF – 9PM – 9PM

Driver 6 10AM 10AM 10AM 10AM 10AM DAY 10AM

– 9PM – 9PM – 9PM – 9PM – 9PM OFF – 9PM

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VII. FINANCIAL STUDY

A. Financial Assumptions

Table 4. Depreciation

Depreciation

Price Useful Life Annual

Depreciation
Vehicle 5,715,000.00 10 571,500.00
Machinery and Equipment 250,000.00 5 50,000.00
Fixtures and Furnitures 120,000.00 5 24,000.00
Total depreciation ₱645,500.00

expense:

Figure 9. Sales Average Check

Sales Average Check

Massage: Reflexology:

Lowest Price – 250.00 Lowest Price – 200.00

Highest Price – 650.00 Highest Price – 750.00

Total: ₱850.00 ÷ 2 =425 425 Total: ₱950.00. ÷ 2 = ₱475.00

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Body Scrub: Hand Services:

Lowest Price – 550.00 Lowest Price – 120.00

Highest Price – 750.00 Highest Price – 1,450.00

Total: ₱1,300.00 ÷ 2 = ₱650.00 Total: ₱1,570.00 ÷ 2 = ₱785.00

Foot Services: Packages:

Lowest Price – 150.00 Lowest Price – 1,450.00

Highest Price – 550.00 Highest Price – 1,499.00

Total: ₱700.00 ÷ 2 = ₱350.00 Total: ₱2,949.00 ÷ 2 = ₱350.00

Massage 425.00 Reflexology 475.00

Body Scrub 650.00 Hand Services 785.00

Foot Services 350.00 Packages 1,475.50

Facial Services 400.00

Total: ₱4,560.50

Guests per day 8 x 5 = 40

Sales per day ₱4,560.50 x 40 (guests) = ₱182,420.00

Sales per month ₱182, 420 x 30 (days) = ₱5,472,600.00

Sales per year ₱5,472,600 x 12 (months) = ₱65,671,200.00

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Salary

Table 5. Salary

Position Daily Salary Number of Monthly Yearly Salary

Employee Salary
General ₱685 1 ₱17,810 ₱213,720

Manager
Financial ₱680 1 ₱17,680 ₱212,160

Manager
Marketing ₱620 1 ₱16,120 ₱193,440

Manager
Operation ₱650 1 ₱16,900 ₱202,800

Manager
Administration ₱550 1 ₱14,300 ₱171,600

Manager
Massage ₱520 6 ₱13,520 ₱162,240

Therapist
Cashier ₱450 6 ₱11,700 ₱140,400
Driver ₱640 6 ₱16,640 ₱199,680
TOTAL ₱4,795 23 ₱124,670 ₱1,496,040

B. Initial Capital Requirement

Table 6. Initial Capital Requirement

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Rent ₱120,000.00

Fixtures & Furniture ₱40,000.00

Vehicle ₱5,715,000.00

Machines and Equipment ₱250,000.00

Permits and Certifications ₱23,000.00

TOTAL ₱6,148,000.00

C. Sources of Financing

The 50% of Chill Corrales’ share will be coming from her father, Mr. Nelson

Corales, a doctor who is working in King’s College Hospital Dubai. Mr. Mr. Nelson’s

salary is 22,919.06 AED or ₱300,000.00. The other 50% of Chill Corales’ share will

come from her bank savings.

The 50% of Dante Dagandangan’s share will be coming from her mother, Mrs.

Kehlani Dagandangan, a café owner Stellar Brew Café located at Brgy. Salawag,

Dasmariñas City. The other 30% of Dante Dagandangan’s share will come from his bank

savings and the other 20% of his share will come from his aunt, Mrs. Ella Mai Reyes who

is a salon owner at Imus City.

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The 100% of Juan Miguel Malihan’s share will be coming from his father, Mr.

Tpain Malihan, who is working as an aircraft mechanic for 15 years in Qatar Airways.

Mr. Tpain Malihan’s salary is approximately 18,931.79 QAR or ₱250,000.00 per month.

The 50% of Carmie Manuel’s share will be coming from his boyfriend, Mr.

Aaron Piper, a general manager from Gangnam Korean Restaurant at Dasmariñas City.

The other 50% of Carmie Manuel’s share will come from her bank savings.

The 60% of Argan Faye Medina’s share will be coming from her gay best friend,

Mr. Rannie Alonte, a pilot from Philippine Airlines whose salary is ₱125,000.00 per

month. While the other 40% of Argan Medina’s share will come from her mother, Mrs.

Summer Medina, who owns a grocery store.

D. Financial Statements

Table 7. Income Statement

Sales ₱65,671,200.00

Cost of Good Sold ₱32,453,310.00

Gross Profit ₱33,217,890.00

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Expenses

Utilities ₱240,000.00

Salary and Wages ₱1,496,040.00

Overall Depreciation ₱645,500.00

License and Permit ₱23,559.00

Rent ₱120,000.00

Total Expense ₱2,525,099.00

Earnings Before Tax ₱15,040,518.00

Tax (32%) ₱2,377,106.00

NET INCOME ₱12,663,412.00

Table 8. Balance Sheet

ASSET
Cash ₱9,450,320.00
Rent ₱120,000.00
Total Current Asset ₱9,570,320.00

FIXED ASSET
Rent ₱120,000.00
Fixtures & Furniture ₱40,000.00
Vehicle ₱5,715,000.00
Machines and Equipment ₱250,000.00
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Permits and Certifications ₱23,000.00

Total Fixed Asset ₱6,148,000.00

Total Assets ₱15,898,320.00

Less: Depreciation ₱9,750,320.00
Total Assets less Depreciation ₱6,148,000.00

LIABILITIES AND OWNER’S EQUITY

Utilities ₱240,000.00
Salary and Wages ₱1,496,040.00
License Permit ₱23,559.00
Rent ₱120,000.00
Tax 32% ₱2,377,106.00
SSS Premium ₱193,825.00
PhilHealth ₱77,355.72
Pag-Ibig ₱38,400.00
Total Expense ₱4,566,285.72

OWNER’S EQUITY
Corales. Chill ₱750,239.97
Dagandangan, Dante ₱750,239.97
Malihan, Juan Miguel ₱750,239.97
Manuel, Carmie ₱750,239.97
Medina, Argan Faye ₱750,239.97
Total Owner’s Equity ₱3,751,199.85

Total Liabilities and Owner’s Equity ₱8317485.57

E. Financial Projections and Analysis

Figure 10. Five Years Financial Projection

Year 1 Year 2 Year 3 Year 4 Year 5

Sales ₱65,671,200.00

Less: Cost of ₱32,453,310.00

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Good Sold
Gross Profit ₱33,217,890.00

Expense

Utilities ₱240,000.00

Salary and Wages ₱1,496,040.00

Depreciation

Expense ₱9,750,320.00

License Permit

Rent Expense ₱23,559.00

₱120,000.00

Premium Expense

SSS Premium

PhilHealth

Pag-Ibig ₱193,825.00

Total Expense ₱77,355.72

₱38,400.00

Earning Before ₱4,566,285.72

Tax

Tax (32%) ₱15,040,518.00

₱2,377,106.00
Net Income
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VII. MARKETING STUDY

A. SWOT Analysis

Strength

Wander Spa has the chance to provide wellness therapies for clients who seek

healthful beauty treatments and massages. Positioning this business in an area of upper

middle class and affluent people can lead to success, which makes location a strength as

well. Other points that bode well are the possibilities of offering many different types of

services, such as heated stone massage, deep tissue treatments, an assortment of facials

and body lotions and oils, forms of hydration therapies and aromatherapy. The
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atmosphere itself is an excellent one in which to work as well as enjoy as a client. A day

spa might just be the "ultimate feel-good business."

Weaknesses

The probable weaknesses in the business are the costs of providing quality

services, which include all the tools of the trade, including the creams, oils, massage

tables, and supplies including the gloves, robes, towels and slippers. Financing might be

hard to come by, as convincing investors that you can make a success of this type of

business is difficult. Relying on loans might be essential. You should also consider

limiting the services you offer in the beginning, such as hydrotherapy. According to

Entrepreneur, hydrotherapy equipment is extremely costly and may not be feasible.

Another weakness is that many people see a day spa as a luxury that is out of their

budget or can only be indulged in on special occasions, meaning the client base might be

thin, especially as the business is just becoming established. Finally, the employment of

competent wellness professionals is an expensive proposition and can hurt profitability.

Opportunities

An economic turnaround can greatly impact the success of this type of company.

A day spa also benefits by word-of-mouth advertising, which can greatly strengthen your

small business. As the number of clients increases, the smart owner can expand the types

of services offered. It is also possible to package several services together and sell them

as a package. Networking is another opportunity for the day spa owner who can reach out

to area businesses to offer discounts to employers who can bring in groups of clients.
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Selling the products, you use for various treatment provides a profitable opportunity as

well.
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Threats

Unfortunately threats to the day spa business exist. One important

consideration is the possibility that you might not be able to find or afford

professional staff members certified in the treatments you would like to offer. Another

potential problem, even with qualified personnel, is complaints from customers

regarding such things as dissatisfaction with amount of product used, discomfort

during a treatment and allegations of rude behavior from therapists. There is also the

very serious possibility of lawsuits from customers who experience a reaction to a

chemical, or suffer a burn or other injury at the premises.