Professional Documents
Culture Documents
Deja Brew Final Business Plan
Deja Brew Final Business Plan
Course:
GTHENTRP | TOU194
Submitted to:
Prof. Victoria N. Nañagas
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Table of Content ........................................................................................ 1
I. Executive Summary .................................................................................................................. 2
II. Name of the Business ............................................................................................................... 3
Purpose ............................................................................................................................... 3
Mission ................................................................................................................................ 3
Vision .................................................................................................................................. 3
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I. EXECUTIVE SUMMARY
The DEJA BREW comes from the term Déjà vu, which indicates an odd
impression that you have previously experienced what is happening today. The
company name was inspired by the famous phrase “sa unang higop,
malalasahan mo ang tamis ng kahapong hindi na magbabalik”. The proponents
of this project, plans to operate the Deja Brew in 2022 with an agreement of
putting an equal investment to the business that enables to build and sustain
its operations until it is self-sustaining.
The business is a retail type store, classified as a specialty store that sells
and focuses on a specific product category to work with what they are good at
and provide customers with different types of products of their choice. Deja
Brew is a commercial organization through full partnership. A partnership is a
relationship between two or more individuals brought together to conduct a
transaction or business. Each partner contributed money, property, labor, or
skills and expected to share the profits and losses of the firm. Accordingly, each
partner has equal responsibility and authority to conduct business.
Deja Brew strives to be one of the leading coffee shops in the industry by
providing high-quality, affordable drinks and snacks tailored to the taste of its
customers. It also focuses on the production and sale of high-quality beverages
at affordable prices that meet the needs and preferences of customers. The
management aims to advertise the firm on social media, including making
tarpaulins and distributing flyers or brochures within the area.
The firm’s target customers are those who lives, shops, and works around
the business district, such as Makati, Bonifacio Global City, Ortigas, and
Eastwood. By weekend, the Deja Brew decided to go to MOA - Seaside or
Parks like Quezon City Circle and Intramuros to promote and sell their products
and services.
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II. NAME OF THE BUSINESS
The DEJA BREW came from the word Déjà vu means a strange feeling that
some way, you have already experienced what is happening now. The
proponents chose the name DEJA BREW because of the line that was famous
before "sa unang higop, malalasahan mo ang tamis ng kahapong hindi na
magbabalik" or with the first sip, you will taste the sweetness of yesterday that
will never return. Aside from that, there is another reason why the proponents
chose its name. It is because everyone believes that it takes one sip of a coffee
to remember all the good things in life.
Purpose
The proponents' goal is to give excellent beverages and snacks at a
reasonable price in order to satisfy their customers.
Mission
To produce and sell quality drinks yet low-cost goods that meet the needs
and preferences of customers.
Vision
Deja Brew aspires to be a leading coffee truck, offering high-quality, low-cost
beverages and snacks matched to the tastes of its customers.
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IV. DESCRIPTION PURPOSE OF THE PRODUCT/SERVICE
The mobile coffee business is a part of the Food Truck Industry which is
composed of different entities engaged in preparing and serving meals, snacks,
and drinks from a mobile truck. Mobile coffee truck is all the rage. Every day,
people across the country line up for a quick and tasty meal of fresh, hot local
coffee. These mobile coffee trucks are one of the fastest-growing segments in
the food trade. Its goal is to provide a simple and convenient way of distributing
specialty coffee, fruit smoothies and pastries to the workplace and movie
industry. Typically, food and beverages are produced, stored, and cooked
aboard the van. A coffee truck business, which consists of a mobile/truck coffee
stand outfitted with a coffee machine, pantry cabinet, tables, seats, a tent, and
other essential equipment, is a fantastic business to provide since it has
significantly cheaper set-up expenses, no rent, and is movable and adaptable.
Deja Brew has unique characteristics. These characteristics are as follows:
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V. USES OF THE PRODUCT/SERVICE
THE MENU
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VI. DEMAND-SUPPLY ANALYSIS
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Where does the Philippines stand in the coffee export across the Asia
Pacific Region?
Across the Asia-Pacific Region, the country placed 6th in 2019 for the export of
green coffee. The productivity level compared to other countries in Asia Pacific
was relatively small.
Even though the exports and production of coffee are low in the Philippines,
the market is still vibrant due to the demand for instant coffee. Globally, the
market size for instant coffee, as of 2016, was valued at 28 billion U.S. dollars.
The Philippines has been one of the leading consumption markets for soluble
coffee, also known as instant coffee, since 2011.
Reference:
(Philippines: coffee consumption 2020 | Statista, 2021)
https://www.statista.com/statistics/314989/philippines-total-coffee-
consumption/
The preliminary results of the 2016 Annual Survey of Philippine Business and
Industry (ASPBI) for the formal sector of the economy showed that a total of
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5,971 establishments with total employment (TE) of 20 and over were engaged
in Accommodation and Food Service Activities.
Restaurants and mobile food service activities led the sector with 4,312
establishments accounting for 72.2 percent of the total number of
establishments. This was followed by short term accommodation activities with
1,279 establishments (21.4%) and beverage serving activities with 285
establishments (4.8%). Combined total number of establishments for event
catering and other food service activities, and other accommodation was
registered at 95 (1.6%).
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References:
• 2016 annual survey of Philippine Business and Industry ... (n.d.).
Retrieved October 23, 2021, from https://psa.gov.ph/content/2016-
annual-survey-philippine-business-and-industry-aspbi-accommodation-
and-food-service-0.
• Philippines, f., 2021. Food truck industry analysis in the Philippines.
[online] Tekamixers.com.
Target Market
To achieve the target market objective, the proponents will utilize social
media, tarpaulins, and the distribution of brochures or pamphlets in the
surrounding region to make people aware of the products and business. Deja
Brew's Target Market segment approach will concentrate on one or two key
client groups:
• Demographics
- Upper, middle, lower-middle class, and low-income class.
- We expect that consumers aged 19 to 35 will account for 85% of
our income. These will be industry professionals with annual
salaries ranging from PHP 95,000 to PHP 150,000.
• Psychographics
- The coffeeholic. These customers are called coffee enthusiasts.
They are the customers who will try all the types of coffee you
have.
- The in-a-rush. These are the customers that are either running
late for a meeting or a boss that is breathing down their neck.
Even if they are running late, they will start their day with coffee.
- The wanderer. These people come in with no genuine intention
of buying anything. They usually come in because something
piqued their interest or to pass the time.
- The regulars. As they come through the door, these consumers
know precisely what to take. They are also called as loyal
customers.
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Competition
There are now coffee shops in the nearby areas where Deja Brew is
located. There are coffee shops that provide products similar to those offered
by Deja Brew. The possible competitors of Deja Brew are the following:
• Direct competitors are those who compete directly for Deja Brew’s
consumers. This type of competitor is the coffee shop within the location
of Deja Brew, and most coffee lovers are also their target customers.
• Potential competitors. Competitors that do the same thing as you and
target the same types of consumers but don't sell in your market area or
aren't likely to do so are considered potential competitors.
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Pricing
In terms of setting the rates for the coffees and snacks that Deja Brew
manage to sell; The proponents chose to sell their products at a lower price
while maintaining the quality to ensure the customer satisfaction and to attract
more consumers due to the low pricing.
The main idea is that when the consumers drink Deja Brew's coffee and eat
the snacks, they will feel satisfied. The proponents also intend to occasionally
discount their coffees and to reward their regular customers with free cups of
coffee.
Distribution
The distribution point is the Deja Brew’s sole coffee truck, which will be
located at various locations to meet demand. During the workweek, the coffee
truck will be located in the business district, such as Makati, Bonifacio Global
City, Ortigas, and Eastwood. On the weekend, we will be located at MOA -
Seaside or Parks like Quezon City Circle or Intramuros.
The proponents will also use social media or online platform to distribute
their product. The customer can book a food delivery services like GrabFood
and Food panda. The Deja Brew believes that these kind of distribution
networks they are providing will create and keep their loyal customers.
Promotions
To fulfill the company's objective, the proponents chose to conduct sales
promotions such as social media ads and the making of tarpaulins. The
management will publicize its firm and the items it offers to its consumers in
order to generate publicity and build public relations. These promotional
strategies can support the business in raising brand recognition and generating
favorable consumer feedback.
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offered. The social media examples that the firm will use are YouTube,
Instagram, Facebook, Twitter, TikTok, and other platforms to promote the
business. The Social Media Operator of Deja Brew will post on its social media
account to ask their customers where they are going to sell their service and
product.
STRENGTH
Innovative and Unique Concept - The fact that people enjoy dining outdoors with
modern places and making fun with dining spaces with fresh cool ambiance is already
an advantage of the shop. Millennials loves taking pictures and share photos in social
media sites that makes it free advertisements.
Experiment with Location - It is easy to fit in any type of lifestyle and places wherever
the potential customer is, unlike other coffee shop that stays in just one spot. There is
a big advantage in food service industry since it is not prone in decline of economy in
the next years. It follows the special events where there is more potential customers.
Compared to coffee shops, coffee truck can move away in one location that isn’t doing
well in sales.
Build Your Own Brand – with a Mobile truck, Deja Brew can build its own brand from
very small until it expands into something more significant such as franchising our
trucks. There is better control in terms of location, recipes and motif of the whole
physical store that allows the business to recognize more.
High Service Levels – potential competitors are less. Quick and fast service is one
of the possible tactics that coffee truck can offer. Drive thru is highly common already
and it consumes 15 minutes up in ordering while on food truck service, it serves
instantaneously as an advantage of an open store.
Prices Cheaper than Competitors - a Food trucks are all pocket-friendly and since
Deja Brew start on low start-up cost, there is no chance to sell it in high amount which
attracts plenty of customers. The business only pays for commercial space in different
locations that became their greatest cost.
WEAKNESSES
Less experience – Coffee truck is a moving business, it encounters a wide range of
people, from wealthy to the average, modest to impolite. The day-to-day challenges
is how to deal with them while still making a profit.
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Lack of information – In the moving coffee truck, there are details about styles and
methods, as well as information on the route and schedule at various locations.
Nobody will give information, keeping active in the trends and news is the way of
learning these things.
Limited Volume Sale – One of the challenges of managing a Coffee Truck is that
you’ll have a limited storage and refrigerator capacity. That indicates you’ll miss out
potential sales if you run out of stocks.
Mechanical Failure - A truck requires regular maintenance and will need to be fixed.
In case of breakdowns, make sure to have a reliable mechanic on call.
OPPORTUNITIES
Growing demand- Coffee consumption is increasing over the world, and this trend
appears to be poised to continue for the foreseeable future. In the Philippines, more
and more people want to consume freshly brewed coffee, and there's a great chance
to capitalize on this.
Strong profit margins - The gross profit margins on coffee sales are quite high —
more than 90% in certain circumstances. People are willing to pay a premium for a
nice cup of freshly brewed coffee, and company owners who capitalize on this can
make a lot.
Low start-up costs - Launching a mobile coffee business is really affordable when
compared to other enterprises, and you can do it all by yourself. Big Coffee is certain
to have a package to suit your needs, with vehicles to suit every budget and necessity,
as well as flexible financing options. While there is some upfront investment, the best
aspect is that you can immediately begin recouping your costs.
Year-round sales - Coffee, unlike many other food and beverage industries, is a year-
round product. There is a coffee for every season, from spiced gingerbread lattes at
Christmas to iced coffees on a scorching summer day. This is excellent news for
coffee cart owners, as it means they can trade profitably all year.
Flexible working - A coffee truck can be the ideal company for you if you're searching
for a part-time side project or want to establish a full-time career in coffee. It's a great
way to get started because it's flexible, profitable, and enjoyable.
THREATS
Vehicle Risks - We are vulnerable to road accidents, theft, fire, flood, wind damage,
and electrical breakdowns
Changes in Regulations - Staying on top of the rules which are often changing is
essential to maintain a competitive edge. Failing to do so means incurring penalties
and potential legal issues, which could cause us to fall behind our competition. The
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regulatory framework per cities should also include in our broader strategy, so it's
important to periodically be updated about what's changing.
Major Competitors - Our major competitors like the coffee shops, restaurants, and
other food trucks that offer the same product is a great threat for our business.
Because of these competitions, customers also have a high product substitute.
Change of Customer Preference - The demand for a commodity will increase if
consumer's taste changes in favor of the commodity and any unfavorable change in
taste or preference will reduce the demand for the commodity.
Growth of Gas Prices - The growth of gas prices will definitely affect the revenue of
the mobile business in a negative way. it is a well-known fact that we live in an unstable
world, where the prices for gas may drop or grow one day rapidly.
Easy to Duplicate - Since there are no copyrights involved. A competitor can come
into the market and offer the same product and taste but under a different brand name.
This competitor can steal our market share.
Supplies
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Equipment
Materials
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REVENUE
YEAR 2022
YEAR 2023
SALARIES
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Equipment Depreciation
Expenses
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Pre-Operating Expense
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DEJA BREW
STATEMENT OF COMPREHENSIVE INCOME
FOR YEAR ENDING DECEMBER 31, 2022-2023
2022 2023
Revenue: 3,162,170 4,045,785
Expenses
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CASH FLOW
Year 2022
Year 2023
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DEJA BREW
STATEMENT OF FINANCIAL POSITION
AS OF DECEMBER 31, 2022-2023
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Return of Investment
Year 1 Year 2
X. LEGAL CONSIDERATIONS
Localities often adopt ordinances that address food vending on public
properties. All mobile food operators must comply with health department
regulations for food service establishments, whether specific to food vendors
or generally applicable to all food service. Food truck has standards to
addressed licensed, business registration, health permit for vending on public-
rights-of-way.
In putting up a business, many several government agencies have to
work with in order to register with depending on the type of business. Below
are the agencies including among others the following:
Security and Exchange Commission (SEC)
The SEC is a national government regulatory agency for local and
foreign investors that intend to establish corporation and partnership in the
Philippines. Mobile truck business is a partnership type of business that is
required to register for enable it to legally engage in business, issue receipts,
trade financial asset, and to have certain rights under the country’s corporate
and investment laws.
The Deja Brew must undergo the following:
• Secure a Unique business name
• Accomplish an application form from SEC
• Draft the necessary documents whereas business entities plan to
register in the Treasurer’s Affidavit and Articles of Incorporation and By
Laws.
• Deposit minimum paid-up capital
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• Obtain necessary licenses or permits form appropriate government
agencies.
Business Permits
All forms of business in the Philippines required securing a mayor’s
permit or municipal license from each municipal where your business is
located. Philippine Law issued a Mayor’s Permit to secure TIN that is need for
anyone that is able to operate a business in the country. Since we are a mobile
food truck, our legal papers are specified based on the location of our truck
(Depends on the location, Deja Brew Coffee truck must undergo several
permits to every municipal and present the SEC registration and contract lease
to get validated.)
To process the permit, the most common and basic business permit
requirements are:
1. Barangay Business Clearance. Local barangay depends on the location
of your business.
2. SEC Registration. Done firsthand
3. Community Tax Certificate (CEDULA). Easily obtained at the City
Treasurer’s Office in City Hall.
4. Location Clearance
5. Certificate of Occupancy. A sketch or pictures of your business’ location
and fire inspection certificate is required.
6. Fire safety / Inspection Permit. Fiors.re Insurance and recommendation
from fire safety inspect
7. SSS Registration
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in registering the business. To make the Deja Brew business legal and
avoid risk of being tax evader, the business must take responsible with the tax law
in the Philippines.
Car Registration
Car registration and renewal are required in the Philippines. This is to make
formal ownership before the vehicle hit the road. To avoid troubles with the traffic
authorities the Deja Brew truck is LTO car register. Part of car ownership it will
inspected and registered every year after the first three years after rolling off the
lot.
The following requirements are for the following vehicles: brand new locally
assembled, manufactured completely built units (CBU), imported CBUs, and
brand-new local imported trailers.
Additional Requirements for Rebuilt Trucks and Buses (With New or Used
Imported Engine and/or Chassis)
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Sanitary Permit
For the inspection of the establishment the inspector will conduct the
following:
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XI. APPENDICES
Suppliers:
- Equilibrium Intertrade Corporation
Address: The Place Bldg., National Hi-way, Tunasan, Muntinlupa
City, Metro Manila, Philippines
- MK Kitchen Equipment
Address: No. 4 E Rodriguez Jr. Avenue, Bagong Ilog, C5, Pasig,
1600 Metro Manila
- Bontella Food Truck Builders Philippines
Address: No. 17 Block 87 A., Sampaguita St., PHHC, Camarin
Area D. Camarin, Caloocan, 1017 Metro Manila
- CK Bakers' Center
Address: 1200-K MCY Building, Epifanio de los Santos Ave, Project
8, Quezon City, Metro Manila
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