MINDANAO STATE UNIVERSITY-NAAWAN

College of Business Administration and Accountancy

Department of Hotel and Restaurant Management

Swab Taste Pizzto

Jessielle G. Achas

Kimberly Charm L. Galorio

Krizel Kate H. Laquibla

Archelyn Q. Manos

Kiefer Mae L. Planca

Mary Grace P. Relevo

 Acknowledgement

First of all, we thank our gracious Heavenly Father for the guidance, strength
and divine invention when we were making this paper.

This Business Plan is part of the subject ‘’ Entrepreneurship in Tourism and

Hospitality Industry’’. We would like to express our deepest gratitude towards our
Professor Stephen John Mangoncia for imparting knowledge and guiding us to do it
in a correct way.

The completion of this Business Plan could not have been accomplished
without the time and effort of these following contributors: Jessielle G. Achas,
Kimberly Charm L. Galorio, Krizel Kate H. Laquibla, Archelyn Q. Manos, Mary
Grace P. Relevo and Kiefer Mae L. Planca. Thank you for your cooperation as well as
your understanding. Without the honorable mentioned above, we, the students
would face more hardships while doing this paper.
 Table of Contents

1.0 Executive Summary 1

2.0 Company Description 2
2.1 Name of The Company 2
2.2 Nature of the Business 2
2.3 Form of a Business 2
2.4 Vision, Mission and Objectives 3
3.0 Marketing Plan 4
3.1 Description of the Product 4
3.2Competition Analysis 4
3.3 Target Market 7
3.4 Market Area 7
3.5 Distribution Strategy 7
3.6 Promotional Measure 8
3.7 Pricing Strategy 8
3.8 Summary of Marketing Mix 9
3.9 Sales Forecast 13
4.0 Production Plan 14
4.1 Product Classification and Specification 14
4.2 Production Schedule 14
4.3 Production Location 14
4.4 Raw Materials 15
4.5 Manufacturing Process 17
4.6 Tools and Utensils 18
4.7 Production Equipment 19
4.8 Utilities 19
4.9 Supplies 19
4.10 Labor 20
4.11 Manufacturing Head 21
4.12 Production Cost 21
5.0 Organization and Management Plan 23
5.1 Form of a Business 23
5.1.1 Articles of Partnership 23
5.2 Organizational Structure 27
5.3 Job Description 29
5.4 Pre-Operating Activities 31
6.0 Financial Plan 33
6.1 Income Statement 33
6.2 Balance Sheet 34
 List of Tables

Table 1 Manticao Competition Analysis(Direct) 5

Table 2.Manticao Competition Analysis( Indirect) 6
Table 3 Marketing Budget 8
Table 4 Promotional Budget 9
Table 5 Marketing Mix Objectives 11
Table 6 Total Demand Per Capita(Manticao) 11
Table 7 Swab Taste Pizzto Market Share 12
Table 8 Sales Forecast for Puto Pizza 13
Table 9. Monthly Production Schedule 14
Table 10.Direct Materials Required per Production 15
Table 11 Monthly Direct Material Cost 15
Table 12.Indirect Materials Required per Production 16
Table 13 Monthly Indirect Material Cost 16
Table 14 Tools and Utensils Cost 18
Table 15 Monthly Utility Cost 19
Table 16.Monthly Maintenance Supply 20
Table 17 Monthly Labor Costs 20
Table 18 Monthly Manufacturing Overhead 21
Table 19 Monthly Production Cost 21
Table 20. Production Cost per Unit 22
 List of Figures

Appendix 1.Company Logo 35

Appendix 2.Product Picture 36
Appendix 3.Market Area 36
Appendix 4.Store Design 37
Appendix 5.Store Location(Manticao) 38
Appendix 6.Leaflet 39
Appendix 7.Tarpaulin 40
Appendix 8 Production Area Location 41
Appendix 9. Production Area Layout 42
Appendix 10 Manufacturing Process Flow Chart 43
Appendix 11.Computation of Per unit Cost 44
Appendix 12.Organizational Chart 45
Appendix 13 Gantt Chart 46
 1

1.0 Executive Summary

Our company name which is Swab Taste Pizzto is inspired by different

terms like "swab test" and "pizza and puto". Swab Taste is from the term "swab test,"
a way to obtain examination material or a sample. This term is known during this
pandemic since some people are required to have a swab test in order to check if
they are positive. Swab Taste Pizzto, on the other hand, is simply a merger of the
names of the main products, pizza and puto to produce one product and this is
‘’Puto pizza’’.

The business is formed through partnership with six partners who agreed
to invest equal capital, skills, profit and liabilities. The capital investments of each
partner is ₱5,000 with a total of ₱30,000.00 as working capital, this amount would be
the source of funds for pre-operating expenses, purchasing of raw materials,
supplies and etc that is needed in our business. The company expect to have a 215%
return on investment with 43.03% net profit margin and a payback period of at least
59 operating days.
 2

2.0 COMPANY DESCRIPTION

2.1 Name of the Company

Swab Taste PizzTo is the company name. The company name defines and
explains that our business offers Puto Pizza, a combination of the local and foreign
taste. This catchy and unique company name can also help customers to remember
our food product, and we all strive to be memorable and retain our customers. The
company aims to ensure satisfaction and build a repeat-customer base by providing
innovated product, good services, delicious and fair price for our market/customers.

2.2 Nature of a Business

Swab Taste Pizzto is a business that offers good quality of a food product
which we called “Puto Pizza’’. The business started with the motivation of
innovating food to introduce a new way to present the existing puto and pizza
product. Introducing this new product idea to the market will probably excite the
customers. They will be amaze on how the traditional products were combined to
produce a unique product which is new to the eyes of the people. Manufacturing is
the nature of the business that involves the process of turning raw materials,
components and operations into finished items that fulfill the needs of customers.

2.3 Form of a Business

The business is formed through partnership with six (6) partners who will
direct the business and contribute equal working capital as an investment to operate
the business. The business owners are group of the following individuals namely:
Jessielle G. Achas, Kimberly Charm L. Galorio, Archelyn Q. Manos, Krizel Kate H.
Laquibla, Kiefer Mae L. Planca and Mary Grace P. Relevo.
 3

2.4 Vision, Mission, Objectives

Vision:
To introduce a new way to present the existing two products by combining
them into one. We would like to be recognized as the company that shares the new
idea with the market, which will then be included as one of the famous delicacies
here in our place.

Mission:
We will work harder to meet the needs and expectations of our customers,
increasing profitability as a result of our consistency and maintaining the quality of
our innovative product.

Objectives:
The Swab Taste Pizzto Company aims the following objectives as to the
existence of the business:

 To be known as all time favorite innovative product makers in all social

media platforms such as Instagram, Facebook and Posters.

 To produce and generate profit through our new and satisfying quality of
Puto Pizza product that customers will love at its most affordable price.

 To expand our business in all other potential market areas and strengthen our
product.
 4

3.0 MARKETING PLAN

3.1 Description of the Product

The product is called Puto Pizza. The concept of this product is that it is a delectable
and unique Puto that uses the same ingredients as the classic version but adds a
twist. The Puto is the base and topped with pizza toppings. The toppings will be
similar to those seen on standard pizzas. The Puto Pizza size basis is (medium puto
molder) 6cm x 3cm. By looking at it, it has a yellowish color due to due to its
toppings and a shape like a traditional Puto, which has a circular base. Its unique
feature among traditional Puto is that it taste like a pizza . Bringing traditional Puto
to a new level, we innovate the product to be more pleasing to everyone’s taste. The
Company’s product Puto Pizza will be sold at a reasonable price of ₱ 15.00 per piece.
See Appendix 2.

3.2 Competition Analysis

Competition Analysis will be used to assess the strategies between the

company( Swab Taste Pizzto) and its competitors in terms of this 4 Ps in marketing
often known as the product, price, place and promotion. By evaluating the company,
the business partners will be able to understand its competitive advantage as well as
its shortcomings that must be address in the real operation.
 5

Table 1 Manticao Competition Analysis(Direct)

Company Product Price Promotion Place
Name
Swab Taste Puto Pizza ₱15.00 Social Media Prk. 4Manticao
Pizzto Marketing, near Public
Personal Market
selling and
word-of-
mouth
marketing,
Print
Advertisement
Kerd’z Pizza Pizza ₱99.00 Social Media Prk.3 near
Marketing, Manticao
Personal Hospital
selling and
word-of-
mouth
marketing.

The Swab Taste PizzTo company in Manticao is shown in Table 1. The indicated
company and store are considered as direct competitor. It also shows the Swab Taste
PizzTo Company's advantage in terms of 4Ps in marketing mix often known as
product, price, promotion, and place.
 6

Table 2. Manticao Competition Analysis( Indirect)

Company Product Price Promotion Place
Name
Swab Taste Puto Pizza ₱15.00 Social Media Prk.
Piztto Marketing, 4Manticao
Personal near Public
selling and Market
word-of-
mouth
marketing.
Royal Panda Siopao ₱45.00 Social Media Prk.1 along
Marketing and the highway
word-of-
mouth
marketing.
Yahong Burger ₱30.00 Social Media Prk.10
Marketing and Poblacion ,
word-of- Manticao
mouth
marketing.
Hunger Buster Siopao ₱30.00 Social Media Prk.4
Marketing, Poblacion ,
and word-of- Manticao
mouth
marketing.
The competitive analysis of the Swab Taste PizzTo Company and its rivals in
Manticao is shown in Table 4. The indicated company and stores are considered
indirect competitors. The table also shows the Swab Taste PizzTo Company's
competitive advantage in terms of 4Ps in marketing mix often known as product,
price, promotion and place.
 7

3.3 Target Market

The Swab Taste Pizzto focuses its efforts on the consumer sector that is
accomplished through the use of geographic segmentation, psychographic
segmentation using interest variable and demographic segmentation using the
allowance or income variable .The company’s market comprises of employees that
are working and studentsstudying in the geographical area of Manticao, Misamis
Oriental.

3.4 Market Area

The Swab Taste PizzTo’s market area will focus only with the group of
people( employees and non- employee) living within Manticao area. The location of
the store will be along the highway so it will be visible and accessible to our target
market in this manner. With that it will be convenient location for them to contact us
or to visit and avail directly our Puto Pizza. See Appendix 3.

3.5 Distribution Strategy

The Swab Taste Pizzto will do the direct distribution that will allow to
distribute our product directly in one (1) covered market area to easily reach our
target market. The business will be using a direct distribution channel through a
store that will be located in Purok 4 Poblacion Manticao, Misamis Oriental. The store
is projected to cost for about ₱ 3,500. The store is considered as a depreciable asset of
the company with a monthly depreciation of ₱75.00. As computed below:
Depreciation = 𝑪𝒐𝒔𝒕−𝑺𝒂𝒍𝒗𝒂𝒈𝒆𝑽𝒂𝒍𝒖𝒆/𝑼𝒔𝒆𝒇𝒖𝒍𝑳𝒊𝒇𝒆 = ₱3,500− ₱220 /48
months= ₱68.33 per Month.
See Appendix 4 for Store Design and Appendix 5 for Store Location.
 8

3.6 Promotional Measures

Generally, we will introduce a new product , the innovative Puto Pizza
with the use of social media (facebook, instagram ) and etc .The Puto Pizza cannot
rely on their place alone to entice customers’ taste buds so aside of conducting a free
taste test prior to the official launch of the business. The business partners will
launch an event in which health protocols should be followed .In that way we can be
able to determine whether customers will like the product. The business partners
would also like to conduct a promotional campaign using email that includes the
company’s tarpaulins and flyers featuring the offered Puto Pizza to reach our target
market and beyond as part of the marketing strategy. See Appendix 6 for Leaflet and
Appendix 7 for Tarpaulin.

3.7Pricing Strategy

The Swab Taste Pizzto will be adding a mark-up on a total costs incurred
in making the Puto Pizzas. The company agreed to add a mark-up to cover up the
expenses as well as to create a profit. Each of the Puto Pizza has an estimated cost of
₱8.10 and by adding the 40 % mark-up which is equivalent to 6.90 the selling price
will be ₱ 15.00.

Table 3 Marketing Budget

Marketing January February March April May
Budget
Promotion ₱1,055.00 ₱1,055.00 ₱1,055.00 ₱540.00 ₱540.00
Total ₱1,055.00 ₱1,055.00 ₱1,055.00 ₱540.00 ₱540.00
Table 3 above shows the total marketing budget for the month of January, February,
March, April and May will be ₱1,055.00, ₱1,055.00, ₱1,055.00,₱540.00 and ₱540.00
respectively. The company’s promotional expenses will be composed of print ads,
sales promotion and packaging then the business partners decided not to have a
sales attendant yet since we want to operate the business personally.
 9

Table 4 Promotional Budget

Promotional January February March April May
tool
Print ₱485.00 ₱485.00 ₱485.00 ₱485.00 ₱485.00
Advertisement
Sales ₱300.00 ₱300.00 ₱300.00 ₱150.00 ₱150.00
Promotion
Tool ₱785.00 ₱785.00 ₱785.00 ₱635.00 ₱635.00

Table 4 above shows promotional budget which will be comprises of print

advertising, sales promotion and packaging for the product. The total promotional
expense will be ₱1,055.00, ₱1,055.00, ₱1,055.00, ₱540.00, ₱540.00 respectively. For the
first 3 months, the promotion will be more expensive prior to the start up of the
operation and will be less for the months of April and May.

3.8 Summary of Marketing Mix

Table 9 summarizes the company’s objectives in terms of its marketing

mix, often known as the 4Ps (Product, Price, Promotion, and Place). The summary of
marketing mix objectives will assist the business in staying on track with their
objectives in terms of these 4P's. Furthermore, the company can design strategies
that will be required in order to improve it in order to obtain more sales, profit, and
customers.
 11

Table 5 Marketing Mix Objectives

Marketing Mix Objectives

Product  To provide unique and delicious

product that will satisfy our
buyers/customers.
Price  To sell Puto Pizza at a reasonable
price
 To make the product be recognize
and stand out by producing
Promotion  To promote our innovated product
’’Puto Pizza’’ by informing
customers personally and/or
through online.
 To make the product be recognize
and stand out by producing
innovative one.
 To increase demand for the newly
develop product by boosting
brand awareness through social
media.
Place  To grow our business by
establishing branches in the
covered market area.
 To distribute product in a place
that is easily accessible to the
potential buyers/customers

Table 6 Total Demand Per Capita(Manticao)

Products Units per week Units per days

Kerd’z (Pizza) 105 units 15units

Royal Panda(siopao) 280units 40units
Yahong(Burger) 315units 45units
Hunger Buster(siopao) 280units 40units
Total 980units 140units
 11

Table 6 shows the overall demand for a competitor's products in Manticao, both
direct and indirect. The table also indicates their daily and weekly demand. This
comprises the total market demand of 140 units per day and 980 units per week,
respectively.
 12

3.8 Market Share

Table 7 Swab Taste Pizzto Market Share
Months Location Market Share
Percentage Units per day Units per
week
January Manticao 35.71% 50units 350units

February Manticao 50% 70units 490units

March Manticao 64.29% 90units 630units

April Manticao 78.57% 110units 770units

May Manticao 92.86% 130units 910units

Table 7. above shows the market share of the company, the total units produced per
day and per week in Manticao. The company will have 1 market area from 1st
month to the 5th month which is Manticao. During the second month of the
company’s market share, it will increase at least 14.29%, because in the first month
the company is just starting to introduce the product and to build customer’s loyalty.
During the 3rd up to 5th month of operation, the company will have an increase
market share in Manticao .
 13

3.9 Sales Forecast

Table 8 Sales Forecast for Puto Pizza
Month No. Of Price No. of Monthly Total
Products Operating Production Monthly
Daily Days Sales
Produce
January 50units ₱15.00 23 days 1,150units ₱17,250.00

February 70units ₱15.00 20 days 1,400units ₱21,000.00

March 90units ₱15.00 23 days 2,070units ₱31,050.00

April 110units ₱15.00 22 days 2,420units ₱36,300.00

May 130units ₱15.00 23 days 2,990units ₱44,850.00

The Table 8. Below shows the forecast sales of Swab Taste Pizzto Company during
five (5) months operations. In the month of January the company will operate 23
days, in February the company will only have 20 days operation, in March the
business partners will operate 23 days and in the month of April the company will
going to operate for about 22 days and in the 5 th month of the operation, the
company will be having 23 days operation.
 14

4.0 PRODUCTION PLAN

4.1 Product Classification and Specifications

Puto Classification

The Swab Taste PizzTo Company will offer a product which is called “Puto Pizza”.
The Puto is the base and topped with pizza toppings. The toppings will be similar to
those seen on standard pizzas. The Puto Pizza size is 6cm x 3cm. By looking at it, it
has a yellowish color due to its toppings and a shape like a traditional Puto, which
has a circular base. Its unique feature among traditional Puto is that it taste like a
pizza and will be available in Hawaiian pizza topping flavors.
4.2 Production Schedule
Table 9. Monthly Production Schedule
January February March April May
Daily 50units 70units 90units 110units 130units
Production
Volume
Operating 23days 20days 23days 22days 23days
Days
Total Units 1,150units 1,400units 2,070units 2,420units 2,990units
of
Production
Table 9 above shows the total monthly units of the Swab Taste Pizzto Company
production from January up till May. From January it has a total units of 1,150, 1,400
from February, 2,070 from March, 2,420from April and 2,990 from May. The
following total units of production are based on one (1) market area: This is
Manticao, Misamis Oriental.
4.3 Production Location

The Swab Taste Pizzto Company has decided to choose its production location in
Manticao. It will be located at Prk.4 Barangay Poblacion Manticao, Misamis Oriental.
See Appendix 8 for the production Location and Appendix 9 for production area
layout
 15

4.4 Raw Materials

Table 10. Direct Materials Required per Production
Direct Materials Require Per Unit Unit Cost Cost Per Unit
Flour 0.375 g ₱36.00 per kilo ₱0.010
Ham 2.5 g ₱35.00 per 200 g 0.437
Sugar 6.90 g ₱55.00 per 0.125
kilo
Cheese 2.06 g ₱50.00 per 165 g 0.624
Pineapple Chunks 2.84 g ₱54.50 per 432g 0.355
Baking Powder 0.9 g ₱29.00 per 50 g 0.522
Salt 0.78 g ₱24.00 per kilo 0.033
Onion 6.50 g ₱80.00 per kilo 0.081
Bell Pepper 6.50g ₱120.00 per kilo 0.054
Evaporated Milk 4.88 g ₱43.60 per 370mL 0.575
sauce 6.25 g ₱33.00 per 200g 1.031
Total ₱3.847
Table 10 above shows the direct materials required per production of the Puto Piza.
It composes of direct materials, required per unit, unit cost, and cost per unit. In
summary, the total cost per unit is ₱3.847.

Table 11 Monthly Direct Material Cost

January February March April May
ProductionVolum 1,150 units 1,400units 2,070unit 2,420units 2,990units
e
DirectMaterial ₱3.847 ₱3.847 ₱3.847 ₱3.847 ₱3.847
Costper Unit
Monthly ₱4,424.00 ₱5,385.80 ₱7,963.29 ₱9,309.74 ₱11,502.53
DirectMaterial
Cost

Table 11 above shows the monthly cost of direct materials of the Swab Taste Pizzto
Company. It composes of production volume, direct material cost per unit, and its
total monthly direct material cost. For the month of January is ₱34,424.00, ₱5,385.80
for February, ₱7,963.29 for March, ₱9,309.74 for April, and ₱11,502.53 forMay.
 16

Table 12. Indirect Materials Required per Production

Indirect Materials Required Per Unit Unit Cost Cost Per Unit

Oil 0.88g ₱60.00 per Kg ₱0.014

Packaging 1 pc ₱138.00 ₱0.200
Total ₱0.214

Table 12 above shows the indirect materials required per production of the Swab
Taste Pizzto Company’s product. It composes of indirect material, required per unit,
unit cost and cost per unit. In summary, the total cost per unit is ₱0.214.

Table 13 Monthly Indirect Material Cost

January February March April May
Production 1,150Units 1,400Units 2,070Units 2,420Units 2,990Units
Volume
Indirect ₱0.214 ₱0.214 ₱0.214 ₱0.214 ₱0.214
Material
cost per unit
Monthly ₱246.10 ₱299.60 ₱442.98 ₱517.88 ₱639.86
Indirect
material
cost

Table 13. above shows the monthly cost of indirect materials of the Swab Taste
Pizzto Company. It composes of production volume, indirect material cost per unit
and monthly indirect material cost. For the month of January is ₱246.10, ₱299.60 for
February, ₱442.98 for March, ₱517.88 for April, and ₱639.86 forMay.
 17

4.5 Manufacturing Process

Process/Procedure(See Appendix 10 )
Step1: Check equipments needed and prepare ingredients for the production. Make
two separate mixtures, one for the dry ingredients.

Step2: In a small bowl, beat the eggs. Add the evaporated milk and a pinch of salt.
Mix it until well incorporated.

Step3: In a separate large bowl, combine All-Purpose flour, white sugar and baking
powder.

Step4: Slowly combine the two separate mixture together in one bowl. Then
carefully add-in the water and mix gain until the right consistency is thin enough.

Step5: Sauce Making- saute tomato sauce then season to taste.

Step6: Prepare the puto molder and brush it with cooking oil.

Step7: Fill in the puto molder with puto mixture. Afterwards add the pineapple
chunks, generous amount of cheese, ham and sauted bell pepper. Do this for the rest
of the ingredients.

Step8: Steam for 10-15 minutes. Cover the steamer lid with a piece of cloth to avoid
water drips.

Step9:Transfer the finished puto pizza in a serving tray or serving container . Serve
it.
 18

4.6Tools and Utensils

Tools and Utensils are materials needed in producing the product. Table 21 below
shows the tools and utensils needed by the company to produce the product, the
quantity needed and how much would it cost. The total cost for tools and utensils
will be ₱6,764.00.
Table 14 Tools and Utensils Cost
Tools and Purpose/Use Quantity Unit Cost Amount
Utensils
Knife For cutting the 3 ₱ 40.00 ₱120.00
ingredients
Chopping This is where 3 ₱ 70.00 ₱210.00
Board the ingredients
will be chop
Pan use for cooking 2 ₱ 500.00 ₱1,000.00
other
ingredients
Measuring For measuring 3 ₱ 85.00 ₱255.00
cups the volume of
the ingredients
Container To separate the 5 ₱ 75.00 ₱375.00
dry ingredients
Wire whisk For mixing the 3 ₱ 60.00 ₱180.00
ingredients
Spatula For mixing 3 ₱ 65.00 ₱195.00
Fine Strainer For sifting 3 ₱ 120.00 ₱360.00
Molder For molding 3 sets ₱ 117.00 ₱351.00
the product
Sauce A container 2 ₱ 130.00 ₱260.00
Container where you put
the sauce
Steamer To steam 2 ₱1,249.00 ₱2,948.00
Large To place the 3 ₱ 170.00 ₱510.00
container container after
unmolding
Total ₱6,764.00
 19

4.7Production Equipment

The Swab Taste Pizzto Company will use a double burner gas stove in
producing the product called Puto Pizza. The company decided also to purchase
only one mentioned equipment above which cost ₱1,485.00 with a monthly
depreciation of ₱52.71.
Depreciation = Cost −Salvage/Useful Life = ₱1,485.00− ₱220 /24 months=₱52.71 per
month

4.8 Utilities (Electricity, Water and Heat)

The Swab Taste Pizzto Company will make use of these resources such as power and
water. During the operation, they require water and heat (LPG) as well as energy.
Water is needed to wash used pieces of equipment and utensils. Heat (LPG) will be
used to cook raw foods.

Table 15 Monthly Utility Cost

Utility January February March April May
Electricity 700.00 700.00 700.00 700.00 700.00
Water 800.00 800.00 800.00 800.00 800.00
LPG 1,080.00 1,080.00 1,080.00 1,080.00 1,080.00
Total ₱2,580.00 ₱2,580.00 ₱2,580.00 ₱2,580.00 ₱2,580.00

Table 15 above is the monthly utility cost. It composes of Electricity, water expense,
and LPG. In summary, the total cost for every month is ₱2,580.00.

4.9Supplies
The Swab Tatse Pizzto Company will ensure that its crucial part of this business is
hygiene and sanitation will be followed. The importance of daily cleaning in order to
be successful must be kept clean on a daily basis. A healthy environment necessitates
a clean kitchen. As we are to provide our product to our valued customers, strict
standards of personal and environmental hygiene must adhere to.
 20

Table 16. Monthly Maintenance Supply

Supplies January February March April May

Disposable ₱ 139.00 ₱ 139.00 ₱ 139.00 ₱ 139.00 ₱ 139.00

Gloves
Dishwashing ₱69.00 ₱69.00 ₱69.00 ₱69.00 ₱69.00
liquid
Hairnet ₱54.00 ₱54.00 ₱54.00 ₱54.00 ₱54.00
Hand Soap ₱285.00 ₱285.00 ₱285.00 ₱285.00 ₱285.00
Apron ₱249.00 ₱249.00 ₱249.00 ₱249.00 ₱249.00
Total ₱796.00 ₱796.00 ₱796.00 ₱796.00 ₱796.00
Table 16.above shows the monthly maintenance supplies which composed of
Disposable Gloves, Dishwashing Liquid, and Hairnet that the Swab Taste PizzTo
Company needs. The table also shows that from the month of January up till the
month of May, it has total monthly maintenance of ₱796.00.

4.10 Labor
In order to manufacture, the Swab Taste Pizzto Company need at least
three (3) laborer or production workers. In every manufacturing, the production
workers will be paid ₱10.00 per hour. The company will have six (6) productions per
week. Each lasting three (3) hours, with a total labor cost of ₱90.00 each day.
Table 17 Monthly Labor Costs
January Febraury March April May
No. 3hours 3hours 3hours 3hours 3hours
production
hours
Rate per ₱10.00 ₱10.00 ₱10.00 ₱10.00 ₱10.00
Hour
No. of 23 days 20 days 23 days 22 days 23 days
Production
Days
No. of 3 3 3 3 3
Production
Workers
Total ₱2,070.00 ₱1,800.00 ₱2,070.00 ₱1,980.00 ₱2,070.00
Table 17 above shows the breakdown of the labor cost or the production worker’s
wage and the total monthly cost for January, February, March, April, and May will
be ₱ 2,070.00,₱1,800.00, ₱2,070, ₱1,980.00 and ₱2,070.00 respectively.
 21

4.11 Manufacturing Overhead

Manufacturing overhead includes all expenditures incurred by a factory

that are not part of the variable costs of producing the product such as direct
materials and direct labor. Indirect materials, utilities, and depreciation expenses are
all included in manufacturing overhead.

Table 18 Monthly Manufacturing Overhead

January February March April May
Indirect ₱246.10 ₱299.60 ₱442.98 ₱517.88 ₱639.86
Materials
Utilities ₱2,580.00 ₱2,580.00 ₱2,580.00 ₱2,580.00 ₱2,580.00
Total ₱2,826.10 ₱2,879.60 ₱3,022.98 ₱3,097.88 ₱3,219.86

Table 18 above shows the monthly manufacturing overhead of the following

months. It composes of indirect materials, utilities. For 1st month it has a total
of ₱2,826.10, ₱2,879.60 for February, ₱3,022.98 for March, ₱3,097.88 for April, and
₱3,219.86 for May.

4.12 Production Cost

Direct material costs, direct labor costs, and manufacturing overhead will make up
the production cost. This will be the company’s foundation for determining the
product’s pricing. Monthly production costs are shown in table 20 and production
costs per unit are shown in table 21 for each month of operations ₱3,462.30.
Table 19 Monthly Production Cost
January February March April May

Direct Material ₱4,424.00 ₱5,385.80 ₱7,963.29 ₱9,309.74 ₱11,502.53

Cost
Direct Labor Cost ₱2,070.00 ₱1,800.00 ₱2,070.00 ₱1,980.00 ₱2,070.00
Manufacturing ₱2,826.10 ₱2,879.60 ₱3,022.98 ₱3,097.88 ₱3,219.86
Overhead
Total ₱9,320.10 ₱10,065.40 ₱13,056.27 ₱14,387.62 ₱16,792.39
 22

Table 20 above shows the monthly production cost. It composes of direct material
costs, direct labor costs, and manufacturing overhead. For the 1 st month, it has a total
of₱9,320.10, ₱10,065.40 for the 2nd month,₱13,056.27for the 3rd month, ₱14,387.62 for
the 4th month, and ₱16,792.39 for the 5th month.

Table 20. Production Cost per Unit

Cost Per Unit
Direct Material ₱3.847
Direct Labor 1.80
Manufacturing Overhead 2.46
Product Cost per Unit ₱8.10
Table 20 above shows the production costs per unit. It composes of direct material,
direct labor and manufacturing overhead. In summary, the total product cost per
unit is ₱8.10. See Appendix 11 for the computation of the direct labor cost per unit
and manufacturing overhead cost per unit.
 23

5.0 ORGANIZATION AND MANAGEMENT PLAN

5.1 Form of Business

Swab Taste Pizzto Hub will be formed as partnership by the following six(6)
Students namely: Jessielle G. Achas, Kimberly Charm L. Galorio, Krizel Kate H.
Laquibla, Archelyn Manos, Kiefer Mae L. Planca, Mary Grace P. Relevo which serves
as an owner at the same time manager and officer in charge that will manage the
business. All partners are obliged to contribute capital investments, skills and liable
to any damages and losses that the company may incur. The partners will share and
have equal parts in terms of business outcome and profits.

5.1.1 Articles of Partnership

ARTICLES OF PARTNERSHIP

OF

SWAB TASTE PIZZTO HUB

KNOW ALL MEN BY THESE PRESENTS:

That we, the undersigned, all of legal age, residents and citizens of the
Philippines have on this day voluntarily associated ourselves together for the
puprose of forming a partnership under the following and conditions and subject to
existing and applicable laws of the Republic of the Philippines:

AND WE HEREBY CERTIFY:

ARTICLE I. That the name of the company and partnership shall be:
SWAB TASTE PIZZTO company and shall do business under the name of the
aforementioned company.
 24

ARTICLE II. That the purpose for which this partnership is formed are:

1. To provide unique and delicious product that will satisfy our buyers/customer.
2. To sell Puto Pizza at a reasonable price.
3. To promote our innovated product “Puto Pizza” by informing customers
personally and/or through online.
4. To make the product recognize and stand out by producing innovative one.
5. To increase demand for the newly develop product by boosting brand awareness
through social media.
6. To grow our business by establishing branches in the covered market area.
7. To distribute product in a place that is easily accessible to the potential
buyers/customer.

ARTICLE III. This Swab Taste Pizzto’s main location will be Prk.4
Poblacion, Misamis Oriental near the Public Market wherein we will do the bulk
selling.

ARTICLE IV. This partnership will be led by Kiefer Mae L. Planca, who
will serve as General Manager and oversee the company's operations. She shall have
the authority to use the partnership name and to carry out such other activities that
are required in the management of the firm and the accomplishment of its
authorized objectives.
 25

ARTICLE V. That the names, citizenship and residence addresses of the

partners are as follow:

Name Citizenship Residence

Achas, Jessielle G. Filipino Manticao, Misamis
Oriental
Galorio, Kimberly Charm Filipino Sominot, Zamboanga Del
Sur
Laquibla, Krizel Kate H. Filipino Bonifacio, Misamis
Occidental
Manos, Archelyn Q. Filipino Lugait, Misamis Oriental
Planca, Kiefer Mae L. Filipino Lugait, Misamis Oriental
Relevo, Mary Grace P. Filipino Iligan City

ARTICLE VI. That the capital of this Partnership shall be the amount of
Eighteen Thousand (₱30,000.00), Philippine Currency, contributed in cash by the
partners, as follows:
Name Amount Contributed
Achas, Jessiele G. ₱ 5,000.00
Galorio, Kimberly Charm L. ₱ 5,000.00
Laquibla, Krizel Kate H. ₱ 5,000.00
Manos, Archelyn Q. ₱ 5,000.00
Planca, Kiefer Mae L. ₱ 5,000.00
Relevo, Mary Grace P. ₱ 5,000.00
Total ₱30,000.00
 26

ARTICLE VII. That incase one or more partners withdraw their capital
investment, they will both receive the invested money as well as the profit share
percentage that was generated in this business.

ARTICLE VIII. That partners will not be compensated throughout the

business's existence, but will instead be compensated through profit sharing at the
end.
IN WITNESS WHEREOF, we have hereunto affixed our signatures this 8 th
day of November, 2021 through virtual meeting.

Achas, Jessielle G. Manos, Archelyn Q.

Galorio, Kimberly Charm L. Planca, Kiefer Mae L.

Laquibla, Krizel Kate H. Relevo, Mary Grace P.

 27

5.2 Organizational Structure

The organizational structure depicts the officer-in-charge and the

company's members' positions. The Swab Taste Pizzto Organizational Structure will
be composed of three components. The highest level, which is the primary source of
authority and handles goals and objectives. It spends a great deal of time planning
along with integrating functions. The aforementioned is where the General Manager
comes in at which is overseen by Ms. Kiefer Mae L. Planca. The execution level is
accountable to the top management for the smooth operation of their department.
They dedicate more attention to administrative and directional responsibilities. The
aforementioned is where the head of the Production Department or Production
Officer, as the position is directed by Ms. Kimberly Charm L. Galorio and Ms. Krizel
Kate H. Laquibla managed the position of Chief Marketing Officer. The Financial
Department Head or Financial Officer of which is overseen by Archelyn Q. Manos,
The Inventory Department, often known as the Inventory/Purchasing Officer, Ms.
Jessielle G. Achas is in charge, and Quality Control Department Head or Quality
Control Officer is directed by Ms. Mary Grace P. Relevo. Workers at the Lower or
Operational Level include the Laborer and Sales Attendant.
 28

Appendix 12. Organizational Chart

SWAB TASTE PIZZTO

Kiefer Mae L. Planca

General Manager

Mary Grace P.
Relevo
Assistant General
Manager

Kimberly
Charm L.
Galorio
Production
manager

Krizel Kate H. Production Archelyn Q. Jessielle G. Achas

Laquibla worker 1 Manos Purchasing/
Marketing Financial Officer Inventory Officer
Manager
Production
worker 2

Production
Worker 3
 29

5.3 Job Description

Name: Kiefer Mae L. Planca
Position: General Manager
 To oversee the sales function as well as the day-to-day operation of the Swab
Taste Pizzto
 To communicate with ownership will all the decisions and financial needs of
the business
 To monitor and motivate staff.

Name: Kimberly Charm L. Galorio

Position: Production Manager
 To plan, estimate costs, negotiate and agree in budgets with both clients and
managers to guarantee that the production cost is effective.
 Evaluate and supply the resources required, as well as maintain adequate
stock levels.
 Quality control programs are in place to monitor production rates and
product standards.
 Manage people who work under her management.

Name: Krizel Kate H. Laquibla

Position: Marketing Manager
 To control and implement marketing initiatives and programs for the
organization
 To guarantee that all marketing operations succeed in reaching
management’s mission and target.
 Maintaining buyer communications through designing and developing new
creatives ways to transmit the company’s message to current customers.
 30

Name: Archelyn Q. Manos

Position: Financial Officer
 To create and implement financial policies to guarantee operational
efficiency.
 Oversee the preparation and planning budgets.
 Maintain records and receipt for all daily transactions.
 To ensure financial records are kept up-to-date with the latest transactions
and changes.
 To contribute to financial audits.
 To perform periodic financial analysis to detect and resolve problems.
 Prepare balance sheets and invoices.

Name: Mary Grace P. Relevo

Position: Assistant Manager
 Responsible for implementing workflow procedures based on direction from
the company’s general manager.
 Embody the presence of the general manager in times of absence. Make
executive decision, hold meeting and provide accountability.
 Supervising employees during day-to-day task and managing the overall
workflow of a workplace.

Name: Jessielle G. Achas

Position: Purchasing/Inventory Officer
 To maintain updated records of purchased products, delivery information
and invoices.
 To track orders, ensure timely delivery and review quality of purchased
products.
 To maintain stock levels and may also conduct research, negotiate with
vendors, and interview prospective suppliers.
 31

5.4 Pre - Operating Activities

Pre-operational actions are being carried out by the Swab Taste Pizzto Company in
preparation for the actual company operation. From September to November, the
company is putting together a business plan. The company will do a manufacturing
trial or prototyping of the product, as well as canvassing for supplies, tools, and
utensils, while preparing the business strategy. The company will execute a pre-
operational campaign in order for the market to be aware of the company's existence
and its product offering, which is Puto Pizza.
Appendix 13. Gantt Chart

Activities September October November December

Preparation of

Business Plan

Production

Trial

Canvassing of

Supplies

Product

Testing/Pre-

Launching

Purchasing of

Supplies,

Tools and

Utensils
 32

The pre-operational actions that the company will undertake before starting their
operations are depicted in the Gantt chart above. Before the company's actual
operations begin, the following tasks must be completed.

5.5 Pre - Operating Expenses

Pre-operating Expenses include the fees, costs, and expenses incurred in

connection with the Company's formation and the fees, costs, and expenses incurred
in connection with the Company's start-up operations. Any and all amounts
categorized as start-up expenditures are included in these charges. Pre-operating
expenses will be incurred by the Swab Taste Pizzto Company as a result of its pre-
operating activities, which are indicated in table 22 below.
Table 22. Pre-Operating Expense
Cost

Store ₱3,500.00

Tools and Utensils ₱6,764.00

Double Burner ₱1,485.00

Total ₱11,749.00
 33

6.0 Financial Plan

6.1 Income Statement
Swab Taste Pizzto Company
Projected Statement of Financial Performance
For the Months Ended May 2022

Pre-Operating January February March April May

Sales - ₱17,250.00 ₱21,000.00 ₱31,050.00 ₱36,300.00 ₱44,850.00
Less: Cost of Goods Sold
Direct Materials - ₱4,424.00 ₱5,385.80 ₱7,963.29 ₱9,309.74 ₱11,502.53
Direct Labor - 2,070 1,800 2,070 1,980 2,070
Manufacturing Overhead - 2,826.10 2,879.60 3,022.98 3,097.88 3,219.86
Total Cost of Goods Sold 9,320.10 10,065.40 13,056.27 14,387.62 16,792.39
Gross Profit 7,929.90 10,934.60 17,993.73 21,912.38 28,057.61
Less: Operating Expenses
Marketing Expense - 1,055.00 1,055.00 1,055.00 540.00 540.00
Utilities Expense - 2,580.00 2,580.00 2,580.00 2,580.00 2,580.00
Equipment Expense 1,485 - - - - -
Depreciation Expense(stove) 52.71 52.71 52.71 52.71 52.71
Supplies Expense - 796.00 796.00 796.00 796.00 796.00
Depreciation Expense - 137.00 137.00 137.00 137.00 137.00
Tools and Utensils Expense 6,764 - - - - -
Total Operating Expenses ₱6764 ₱4,034.00 ₱4,034.00 ₱4,034.00 ₱3,519.00 ₱3,519.00
Net Income (Loss) (₱8,249) ₱3,308.19 ₱6,313.89 ₱13,373.02 ₱17,806.67 ₱23,951.90
 34

6.2 Balance Sheet

Swab Taste Pizzto Company
Projected Statement of Financial Position
For the Months enede May 2022
Pre-Operating January February March April May
ASSETS
Current Asset
Cash ₱18,251.00 ₱21,749.90 ₱28,253.50 ₱41,816.23 ₱59,812.61 ₱83,954.22
Total Current Asset ₱18,251.00 ₱21,749.90 ₱28,253.50 ₱41,816.23 ₱59,812.61 ₱83,954.22

Non Current Asset

Store 3,500 3,500 3,500 3,500 3,500 3,500
Accumulated Depreciation-Store (137) (137) (137) (137) (137)
Accumulated Depreciation-Stove (52.71) (52.71) (52.71) (52.71) (52.71)
Total Non-Current Asset 3,500 3,320.29 3,310.29 3,310.29 3,310.29 3,310.29
Total Assets 21,751.00 25,070.19 31,563.29 45,126.52 63,122.90 87,264.51

LIABILITIES &PARTNER'S EQUITY

Achas' Capital ₱3,625.17 4,176.70 5,229.02 7,457.86 10,425.63 14,417.61
Galorio's Capital ₱3,625.17 4,176.70 5,229.02 7,457.86 10,425.63 14,417.61
Laquibla's Capital ₱3,625.17 4,176.70 5,229.02 7,457.86 10,425.63 14,417.61
Manos' Capital ₱3,625.17 4,176.70 5,229.02 7,457.86 10,425.63 14,417.61
Planca's Capital ₱3,625.17 4,176.70 5,229.02 7,457.86 10,425.63 14,417.61
Relevo's Capital ₱3,625.17 4,176.70 5,229.02 7,457.86 10,425.63 14,417.61
Total Liabilities and Partner's Equity 21,751.00 25,070.19 31,563.29 45,126.52 63,122.90 87,264.51
 35

7.0APPENDICESAppendix 1. Company Logo

Swab Taste

Pizzto
 36

Appendix 2. Product Picture

 36

Appendix 3. Market Area

 37

Appendix 4. Store Design

Legend:
39
Other Establishments Well-known Stores Store Location

Bus Stop Gasoline Station

To Cagayan de Oro City National Highway To Iligan City

M LHUILLIER AIM COOP Royal Panda

Bakery

School Supplies 7/11 Palawan Pawnshop

Shamma Drugstore

Rotonda Mt. Eyana

Eatery

Manticao Public
Market Bakery
 39

Appendix 6. Leaflet
 40

Appendix 7. Tarpaulin
Legend:
41
Other Establishments Well-known Stores Store Location

Appendix 8 Production Area Location

Bus Stop Gasoline Station

To Cagayan de Oro City National Highway To Iligan City

M LHUILLIER AIM COOP Royal Panda

Bakery

School Supplies 7/11 Palawan Pawnshop

Shamma Drugstore

Rotonda Mt. Eyana

Eatery

Manticao Public
Market Bakery
 42

Appendix 9. Production Area Layout

Legend:

Window-

:
-

INGREDIENTS TOOLS AND WASHING

STORAGE UTENSILS AREA

STEAMER PRODUCTION AREA EXIT

TABLE
WORKING AREA

ENTRANCE
 43

Appendix 10 Manufacturing Process Flow Chart

Legend:
- Raw Materials - Process - Finish Product

- process Transport - Inspect

Baking Bell Pineapple

Flour Sugar Milk Salt onion Ham Cheese
powder Pepper Chunks

Frying and Grating

Slicing
Mixing

Molding and
steaming Filling

Topping and
steaming

Pizzto
 44

Appendix 11. Computation of Per unit Cost

Labor Cost per Unit= Labor Cost÷ Total Product Produced

=90÷40
=₱2.25

Manufacturing Overhead Cost per Unit

=Manufacturing Overhead Cost/Operating Days ÷ Total Product Produced

=2,592.88/23÷40
=112.73÷40
=₱ 2.81
 45

Appendix 12. Organizational Chart

Kiefer Mae L. Planca

General Manager

Mary Grace P.
Relevo
Assistant General
Manager

Kimberly
Charm L.
Galorio
Production
manager
Krizel Kate H. Archelyn Q. Jessielle G. Achas
Laquibla Manos Purchasing/
Marketing Financial Officer Inventory Officer
Officer

Production
worker 1

Production
worker 2

Production
Worker 3
 46

Appendix 13 Gantt Chart

Activities September October November December

Preparation of

Business Plan

Production

Trial

Canvassing of

Supplies

Product

Testing/Pre-

Launching

Purchasing of

Supplies,

Tools and

Utensils