FIRST STOP Final Paper MM3B Group 6

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FIRST STOP
A Business Plan Proposal
Presented to:
College of Business Administration and Accountancy
Colegio de San Juan de Letran
Intramuros, Manila
In Partial Fulfillment of the Requirements for the Degree:

Bachelor of Science in Business Administration
Major in Marketing Management
Presented by Team Leader:

Mindaña, Gabriel T.
And Members:
Andal, Angelica Nicole M.
Domino, Maynard F.
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ENDORSEMENT LETTER
November 10, 2022,
Assoc. Prof. Virginia V. Salonga, DBA

Dean, College of Business Administration and Accountancy
Colegio de San Juan de Letran – Manila
Dear Dean Salonga,

Greetings!
Upon the review of the business plan of my advisees, Gabriel T. Mindaña, Angelica Nicole M.
Andal, and Maynard F. Domino and after conducting constant consultation with them on the paper
entitled FIRST STOP, I believe that their group is now in a position to defend the said paper.
I am therefore respectfully endorsing them to present the business plan proposal on the schedule set
by the CBAA’s Chairperson.
I am looking forward to your favorable response to this matter.

Thank you.
Sincerely,
Asst. Prof. John Carlo C. Timajo, MBA

Business Plan 1 – Adviser
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APPROVAL SHEET
In Partial Fulfillment of the requirements for the degree of BACHELOR OF SCHIENCE IN

BUSINESS ADMINISTRATION MAJOR IN MARKETING MANAGEMENT, this
Business Plan entitled “FIRST STOP”, has been prepared and submitted by Gabriel Mindaña,
Angelica Nicole Andal, and Maynard Domino, is hereby recommended for admission to the
Oral Examination.
Asst. Prof. John Carlo C. Timajo, MBA

Adviser
Approved by the Tribunal at the Oral Examination conducted on November 19, 2022, with
the grade of ____.
THE EXAMINING TRIBUNAL
Chairman
Member Member
Accepted as a partial fulfillment of the requirements for the degree of BACHELOR OF

SCIENCE IN BUSINESS ADMINISTRATION MAJOR IN MARKETING
MANAGEMENT.
Assoc. Prof. Virginia V. Salonga, DBA

Dean
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CERTIFICATE OF ORIGINALITY
v
CERTIFICATE OF LANGUAGE EDITING

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ACKNOWLEDGEMENT
We would like to give our warmest gratitude to our research professor Ms. Virginia V.
Salonga, who happens to be the Dean of the College of Business Administration and Accountancy.
She has shown us full support upon finishing this research, given the workload and responsibility
ahead of her. She also pushed us to work harder and stay motivated even if we are heaps of school
works.
We would also like to acknowledge our research adviser Mr. John Carlo Timajo. He has
been very vocal and hands-on every time we have a consultation about our paper. He guided us
from the start until the end by giving us sample research papers, formats, and other resources that
will serve as our guide as we finish our research paper.
As we acknowledge our professor and adviser, we would also like to thank Mr. Antonino
Alejandro, our marketing professor. He has been very easy with all the tasks he has given us as we
conducted this research. He also gave us tips on our marketing strategies that helped us be
comfortable and confident with our paper.
We cannot come up and finish this paper without the help of each of us. So, we would like
to acknowledge our efforts we have given upon creating this paper. Regardless of the
misunderstanding of many things of the group members, we are able to finish this paper on time.
As we finish this paper, the help, advice, and guidance of our classmates helped us to have
a vision for every chapter of this research. We had a hard time fulfilling all the required data in
this. However, with the help and unity of everyone in the class, we came to an end. So, we thank
them.
And finally, we thank God for guiding us throughout making this research paper. It hasn’t
been easy, but with the faith, strength, and trust he has given the members of this group, we are
finally in the end as we defend this with the panelist. You are the source of everything we put in
this paper, so we thank you for guiding us from the very start.
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LIST OF TABLES
Table 1: Product Offerings of First Stop 5
Table 2: Population of Carsadang Bago II, Imus City, Cavite for 2020 9
Table 3: Customer Segmentation 10
Table 4: Historical Population for the past 3 years 13
Table 5: Total Potential Demand for 3 years (Snacks) 14
Table 6: Total Potential Demand for 3 years (Beverages) 16
Table 7: Summary of Total Potential Demand of Snacks and Beverages 17
Table 8: Supply for the past 3 years 18
Table 9: Projected Supply 20
Table 10: Supply and Demand Gap Analysis for Snacks 21
Table 11: Supply and Demand Gap Analysis for Beverages 22
Table 12: Competitors 23
Table 13: Projected Sales in Volume per Month for Year 2023 24
Table 14: First Stop’s Projected Sales for Years 2023 – 2025 28
Table 15: First Stop’s Projected Sales in Volume and Pesos for Snacks 30
Table 16: First Stop’s Projected Sales in Volume and Pesos for Beverages 31
Table 17: First Stop’s Combined Projected Sales in Volume and Pesos 32
Table 18: Product Offerings of First Stop 34
Table 19: Price of First Stop’s Product Offerings 43
Table 20: First Stop’s Marketing and Selling Expenses 52
Table 21: Step by Step Procedure of First Stop’s Products: Churros 56
Table 22: Step by Step Procedure of First Stop’s Products: Pizza Rolls 66
Table 23: Step by Step Procedure of First Stop’s Products: Coffee 70
Table 24: Step by Step Procedure of First Stop’s Products: Lemonade 75
Table 25: Labor and Machine Requirement per Step of Churros 81
Table 26: Labor and Machine Requirement per Step of Pizza Rolls 83
Table 27: Labor and Machine Requirement per Step of Coffee 85
Table 28: Labor and Machine Requirement per Step of Lemonade 86
Table 29: Daily Production Schedule 88
Table 30: Production Schedule of Snacks in Units per Year, Month, and Day 88
for 2023
Table 31: Production Schedule of Beverages in Units per Year, Month, and 89
Day for 2023
Table 32: Monthly Production Schedule 90
Table 33: Labor Requirements 90
Table 34: Machinery/Equipment Required 91
Table 35: Raw Materials Required in a Daily Production 93
Table 36: Total Production per Year per Product 98
Table 37: Total Production per Year for Combined Snacks and Beverages 99
Table 38: Production Cost per Unit: Churros 99
Table 39: Production Cost per Unit: Pizza Rolls 100
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Table 40: Production Cost per Unit: Lemonade 100

Table 41: Production Cost per Unit: Coffee 101
Table 42: First Stop’s Total Projected Cost of Production 101
Table 43: Projected Price Increase for the Years 2023 – 2025 102
Table 44: Qualifications of First Stop’s Officers 104
Table 45: First Stop’s Office/Kitchen Equipment 105
Table 46: Gantt Chart of Activities 108
Table 47: First Stop’s Utilities Expense 109
Table 48: First Stop’s Office/Kitchen Equipment 110
Table 49: First Stop’s Furniture and Fixtures 111
Table 50: First Stop’s Office Supplies 111
Table 51: First Stop’s Pre-Operating Supplies 112
Table 52: First Stop’s Salaries Expense 113
Table 53: First Stop’s Taxes and Licenses Expense 114
Table 54: Return on Investment (ROI) of First Stop 122
Table 55: Payback Period of First Stop 122
Table 56: Break-even Point per Product of First Stop 128
Table 57: Projected Sales in Pesos of First Stop 130
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LIST OF FIGURES
Figure 1: MAG Food’s “First Stop” Company Logo 2
Figure 2: Location of First Stop 7
Figure 3: First Stop’s Brand Logo 37
Figure 4: Sample Packaging for Churros 39
Figure 5: Sample Packaging for Pizza Rolls 39
Figure 6: Sample Packaging for Takeout Snacks 40
Figure 7: Sample Packaging for Beverages 40
Figure 8: Sample Packaging for Carrying Takeout Orders 41
Figure 9: Sample Packaging for Takeout Drinks 41
Figure 10: Snack Picker/Fork 42
Figure 11: Sample Packaging for the Dips and Sauces 42
Figure 12: Sample Social Media Accounts of First Stop 45
Figure 13: First Stop’s Menu List Infographics 46
Figure 14: First Stop’s Free 20 Drinks on Opening Day Infographics 47
Figure 15: First Stop’s Tumbler Discount Infographics 48
Figure 16: First Stop’s Exclusive Monday Morning Discount Infographics 49
Figure 17: First Stop’s Eco-Card Infographics 50
Figure 18: First Stop’s Eco-Card Template 51
Figure 19: Duration per Step per Unit for Churros 78
Figure 20: Duration per Step per Unit for Pizza Rolls 79
Figure 21: Duration per Step per Unit for Coffee 80
Figure 22: Duration per Step per Unit for Lemonade 81
Figure 23: Plant Location 96
Figure 24: Plant Layout 96
Figure 25: First Stop’s Waste Disposal Management 97
Figure 26: Organizational Structure of First Stop 103
Figure 27.1: Schedule of Initial Capitalization of First Stop 115
Figure 27.2: Projected Pre-Operating Cash Flow of First Stop 116
Figure 27.3: Operating Expenses Schedule of First Stop 117
Figure 28: Statement of Changes in Owner’s Equity of First Stop 118
Figure 29.1: Statement of Cash Flows of First Stop 119
Figure 29.2: Projected Income Statement of First Stop 120
Figure 29.3: Projected Balance Sheet of First Stop 121
Figure 30: Projected Financial Ratios of First Stop 123
Figure 30.1: First Stop’s Liquidity Ratio 124
Figure 30.2: First Stop’s Solvency Ratio for Debt 125
Figure 30.3 First Stop’s Solvency Ratio for Equity 126
Figure 30.4 First Stop Profitability Ratios 127
Figure 31: Projected Sales Volumes of First Stop 131
Figure 32: Fixed Capital Investment of First Stop 132
Figure 33.1: Projected Production Cost: Churros 133
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Figure 33.2: Projected Production Cost: Pizza Rolls 134

Figure 33.3: Projected Production Cost: Coffee 135
Figure 33.4: Projected Production Cost: Lemonade 136
Figure 34: First Stop’s Cost of Goods Sold Schedule 137
Figure 35: First Stop’s Schedule of Supplies 138
Figure 36: First Stop’s Schedule of Fixed Assets and Depreciation 139
Figure 37: First Stop’s Projected Selling and Administrative Expenses 140
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TABLE OF CONTENTS
Title Page i
Endorsement Letter ii
Approval Sheet iii
Certificate of Originality iv
Certificate of Language Editing v
Acknowledgement vi
List of Tables vii
List of Figures ix
Table of Contents xi
I. EXECUTIVE SUMMARY 1
A. Types of Business 1
1. Nature 1
2. Name 2
3. Product 4
II. MARKETING PLAN 5
A. Products to Sell 5
B. Target Market 7
1. Area Coverage 7
2. Consumer/Costumer 8
C. Demand and Supply Analysis 12
1. Total Potential Demand 12
2. Present Supplier/Competition 22
D. Projected Sales 24
1. Per Month 24
2. In Volume and In Pesos 28
E. Marketing Strategies 33
F. Marketing/Selling Expenses 52
III. PRODUCTION/OPERATIONS PLAN 55
A. Technical Production Description 55
B. Production/Operations Process 56
1. Step by Step Procedure 56
2. Duration per Step per Batch 78
3. Labor and Machine Requirement per Step 81
C. Production Schedule 88
1. Monthly Schedule 90
D. Labor Requirement 90
E. Machinery/Equipment Requirement 91
F. Raw Materials Requirement 93
G. Plant/Factory Location 96
H. Plant Layout 96
I. Waste Disposal System 97
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J. Quality Control System 98

K. Production Cost 98
1. Total Production per Year 98
2. Production Cost per Unit 99
3. Projected Cost Production/Operations 101
IV. ORGANIZATIONAL PLAN 103
A. Legal Form Business 103
B. Organizational Structure 103
C. Qualifications of Officers 104
D. Office Equipment 105
E. Gantt Chart of Activities 108
F. Administrative Expense 108
V. FINANCIAL PLAN 115
A. Total Projected Cost 115
B. Sources of Financing 118
C. Projected Financial Statement 119
1. Projected Cash Flow Statement 119
2. Projected Income Statement 120
3. Projected Balance Sheet 121
D. Profitability Indices 122
1. ROI 122
2. Payback Period 122
3. Net Income: Sales Ratio 123
4. Break-even Point 128
E. List of Assumptions Used 129
F. Schedules 130
1. Projected Sales 130
2. Projected Sales Volume 131
3. Fixed Capital Investment 132
4. Projected Cost Production/Operation 133
5. Projected Cost of Goods Sold 137
6. Schedule of Materials Purchases 138
7. Projected Administrative and Selling Expenses 140
Appendices 142
References 148
Ethics Declaration 149
Curriculum Vitae 150
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CHAPTER 1
EXECUTIVE SUMMARY
A. Type of Business
1. Nature of the business
FIRST STOP is a start-up business under the food industry which primarily targets
residents of Legian 1 Subdivision in Imus City, Cavite. It is a partnership among three marketing
management students from Colegio de San Juan de Letran. It is a small stall that serves
refreshments, particularly appetizer-inspired snacks and beverages to the market. The brand will
focus on 2 snacks and 2 beverages with their choice of combination. The beverages can either be
warm/hot or cold depending on the customers’ preference. Since the target market of the business
are students and local passersby, it will make sure to provide quality products at affordable prices.
As a business that wants to help the environment, it wants to make sure that the packaging will be
eco-friendly and will apply the no-plastic policy. As the business continues to grow, it will slowly
add some variants with the offerings so that the customers will still have a reason to purchase.
After a year or so, the business aims to open small kiosks so that it can acquire more customers
and revenue with its product offerings.
1.1 Mission Statement
Our mission is to provide tasty and delightful snacks and beverages to consumers in the
most convenient way possible in order to satisfy hunger and cravings.

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1.2 Vision Statement
Our vision is to create a significant impact on consumers’ everyday eating lifestyle where
First Stop becomes everyone’s first choice.
1.3 Core Values
A: Accountability - We take responsibility for the actions and decisions we’ve committed -
may or it may not be a mistake.
C: Care for the Environment - We are concerned about the environment therefore we strive
to help by refusing plastic usage and by saving energy.
T: Teamwork - As a startup business with limited manpower, working together diligently
creates something bigger from small resources.
2. Name of the company
Figure 1. MAG Food’s ‘First Stop’ Company Logo

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The startup food business, First Stop, is owned by three third year marketing management
students under the partnership name, MAG Foods. In coming up with the partnership name, the
initials of the owners’ first names were combined together, thus MAG Foods came into place - M
stands for Maynard, A for Angelica, and G for Gabriel. The word MAG is short for the term
magazine which is a type of printed or digitally documented collection of texts for readers to read.
In the case of this group, three different individuals with different stories were put together for
their common interests such as food and business - just like magazines where genres vary. If
magazines tell stories, then MAG Foods wants the customers to have relatable and fun stories to
share through the food that they have purchased and consumed. The focus of MAG Foods in
producing quality snacks and beverages was inspired by the interests of the three owners in
pastries, street foods, and drinks. To sum it up, MAG Foods is a small group of business owners
in the food industry that aims to provide quality snacks and beverages to its customers.
The concept behind the name FIRST STOP is related to how appetizers are served. In the course
of a meal, appetizers always come first before the heavy ones, just like our products and services
that revolve around light snacks and drinks for the convenience of its consumers. The owners
thought of how refreshments are easy to eat and require little to no amount of effort in consuming,
therefore customers will be enticed in coming to our stall first before anything else. The goal of
First Stop is for consumers to be its ‘first stop’ or rather first choice when finding a place to eat
for snacks and beverages.
The explanation behind the FIRST STOP text and the various objects that can be seen in the logo
will be further discussed in the marketing strategies (brand logo) section of chapter 2. Lastly, the
company name MAG Foods’ is placed at the top of the logo to know the owner of First Stop brand.
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On the footnote, there is the word ‘refreshments’ which is the product offerings of the business.
EST 2022 implies that First Stop is established in the year 2022.
3. Products/Services
FIRST STOP will offer two kinds of snacks and two types of beverages. Since FIRST
STOP is a refreshment business, the term refreshment refers to take-out foods, snacks, and drinks
that are intended to be enjoyed within a short period of time after purchase. Our snack products
include churros and pizza rolls. While for beverages, the business offers lemonade and coffee. The
drinks can be served either warm/hot and cold, based on the customers’ preferences.
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CHAPTER 2
MARKETING PLAN
A. Products to Sell
FIRST STOP offers snacks & beverages as refreshment. Since the business is aiming to be
the first stop for consumers, it offers appetizer-inspired products, focusing on two snacks and two
beverages. The snacks will be served together with a stick so that it wouldn’t be difficult and messy
to eat. While for the beverages, coffee and lemonade can be served warm/hot or cold with ice
depending on the customers’ preference.
Table 1. Product offerings of First Stop
Name of Photo: Description:
Product:
Churros Churros is a deep-fried pastry made of flour, butter,
water, egg, and a touch of salt. It is coated with
sugar and cinnamon powder after frying for a better
taste.
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Pizza Roll Pizza Roll is basically a pizza taste compressed in a
rolled piece of bread. It has tomato sauce, cheese &
ham. It will also be served with a thousand island
sauce or combination of mayonnaise and ketchup.
Hot/Iced First Stop will use pure black coffee and will
Coffee be mixed with some sugar and milk. It can be served
hot or cold.
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Lemonade This beverage is composed of water, lemon, and
honey instead of sugar. The ingredients may
somehow look basic, but we decided to offer this
because we want something to combine with water
that we know is healthy.
B. Target Market
1. Area coverage
Figure 2. Location of First Stop

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First Stop is located in B2 L7 Phase A Langka St., Legian 1 Subd.,Carsadang Bago 2, City
of Imus Cavite. The location of the business is one of the researcher’s houses. The proponent
decided to focus on this location to save on rent fees and other expenses. They thought that the
money invested in the rental fee should be invested in ingredients and tools needed in the
production instead. One more reason why researchers decided to operate a home-based business
is because of the availability of production tools. Even if the location is inside the subdivision, it
is accessible and searchable for the customers outside of the given environment. The population
of Carsadang Bago 2 is increasing with an 11% growth rate from 2015-2020. Regardless of the
existing competitors, the proponent believes that First Stop will flourish because of its uniqueness
and affordability.
2. Consumer/Customer
The target market of First Stop is mainly the residents of Legian 1 Subdivision. Since the
product offerings are light snacks or appetizer-inspired, the researchers aim to be their first stop.
The proponent wanted to offer something new and unique to the market. To present the consumers
that they have different options aside from the regular snacks bought in sari-sari stores. The
generation today wants something new to their taste and environment. Innovation and being
creative for everyone are very in demand, so the researchers wanted to prove that they have
something to offer. Aside from that, First Stop is producing quality products at affordable prices.
That is why it is presumed easily patronized because of its affordability and convenience in eating.
This table shows the total population of Carsadang Bago 2, Imus, Cavite. With a total of 27,
716 that is divided into 3 brackets from age 19 and below to 65 and above.
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Table 2. Population of Carsadang Bago II, Imus City, Cavite for 2020
Age Number of Population Percentage
19 and below 9,423 34%
20 - 64 17,184 62%
65 and above 1,109 4%
Total: 27,716 100%
Source: Carsadang Bago II, Imus, Cavite Profile – PhilAtlas.
Over the course of 25 years, the population of Carsadang Bago II increased by 26,520,
from 1,196 in 1995 to 27,716 in 2020. From the previous population of 16,835 in 2015, the most
recent census numbers in 2020 show a positive growth rate of 11.06%, or an increase of 10,881
individuals. Table 2 shows the population of Carsadang Bago II for 2020, divided into 3 brackets
of age. On PSA’s current census, there was no classification of age brackets for 2020 therefore the
proponents assumed a similar age percentage from the 2015 record. With that said, 66% of the
population will be used as the targeted segmented population of First Stop. These age brackets are
aligned with the result of First Stop’s market survey of 100 respondents where the majority were
aged 19-25 years old.

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2.1 Customer Segmentation
Table 3. Customer Segmentation
Bases of Variables Reasons/Justifications
Segmentation Considered
Demographic 1. Age Majority of the respondents fall in the 19-25 age group that
involves students, working students, and employees.
Having consumers that are dominated by students, most of

2. Income
them have a weekly allowance of less than P500. Close
enough, others have an allowance of up to P1000 per week.
On the other hand, among the respondents composed of
working students and full-time employees, most of them
have a monthly income of less than P18,000.
Geographic 1. Barangay As mentioned, the business will be located at Carsadang
Bago II, Imus City, Cavite. The business is particularly
located inside Legian 1 subdivision where there are
residents. This barangay is near Imus National High School
where there is a volume of students and passersby.
Psychographic 1.Personality The target of this business is consumers who showed
willingness to buy the product offerings which are a variety
of snacks and beverages. Majority of the consumers were

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interested in having an eco-friendly or no-plastic type of
packaging. In addition, taste and price were revealed to be
the most important factors that these consumers considered
when buying snacks and beverages.
2. Lifestyle
It was found out that many of the target consumers often buy
their snacks and beverages at convenience stores due to easy
access and variety of goods to be purchased. It was also
revealed that most of the consumers spend P41.00 and more
when it comes to their snacks and beverages.
Behavioral 1. Usage In terms of the frequency of purchase, most of the consumers
buy their snacks and beverages either every day or twice a
week which is reasonable since it’s food and easy to eat.
The consumers had varying perceptions of how much they

2.Price
are willing to pay for the product offerings of First Stop but
Sensitivity
many of them seemed willing to pay around P50-P80.
The four bases of segmentation were used to identify and define the target market of First
Stop. These are demographic, geographic, psychographic, and behavioral. Each of those bases has
its variables to be considered to classify the target consumers. The following variables and their
corresponding justifications are based on the results of the market survey questionnaire conducted.
The only particular case was the geographic aspect because not all respondents were from
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Carsadang Bago II, Imus City. It was driven by the limitation of conducting physical or face-to-
face surveying. As an alternative, the survey was distributed through online platforms. Wherein
the majority of the respondents were students from different locations. To have at least a population
of respondents who came from the target location of the business, fifty percent (50%) of the chosen
respondents were particularly from Imus, Cavite.
C. Demand & Supply Analysis
1. Total Potential Demand
The researchers conducted a survey using Google Forms and distributed it via social media
to the Carsadang Bago II, City of Imus, Province of Cavite to determine the potential demand for
FIRST STOP's product offerings. The survey was also distributed in the Metro Manila area
because we wanted to know what the majority preferred, so respondents were divided into two
areas. Another reason is that it is still difficult to conduct a face-to-face survey owing to the
implementation of restrictions on public gatherings to prevent the spread of COVID-19, therefore
it was performed online, yet at least 50% of our respondents live in Imus, Cavite. There are a total
of 100 respondents who are able to respond to the survey. The sample size of 100 respondents was
derived using Slovin’s formula. Based on the survey result, out of the 100 respondents, 79% were
aged from 19-25. This result will be aligned with the data available in Table 2, therefore the
proponents decided to use 66% of Carsadang Bago II population who are aged 20 and above.
Sixty-six percent will be used as the targeted segmented population of First Stop.
The acceptance rate for purchasing snacks and beverages is based on the proponent's survey
responses in the question with a likert scale format. By converting those numbers, the proponents
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described 5 as "strongly agree," 4 as "agree," and 3 as "neutral." Following a survey of FIRST
STOP's products, the proponent received an acceptance rating of 75% in snacks and 77% in
beverages. The last census of the historical population acquired for the target market, according to
the Philippine Statistic Authority, was only in 2015 and 2020. The proponent subsequently
proceeds in following years by utilizing the district's annual population growth rate of 0.13 or 13%.
Table 4. Historical Population for the past 3 years
YEAR 2020 2021 2022
POPULATION (13% annual growth)

27,716 31,319 35,390
The historical population for Carsadang Bago II, Imus, Cavite is shown in this table. The
population for the years 2020 to 2023 was calculated using data from the last census of the
historical population, which was conducted in 2020. Carsadang Bago II had a positive growth rate
of 11.06% from 2015 to 2020, according to PSA. In order to get the annual growth rate, the 2015
population (16,835) of Carsadang Bago II was deducted to its 2020 population (27,716) which
resulted in 10,881. That result was then divided to the 2015 population which will yield 0.65. After
that, 0.65 was divided by 5 (five years gap), which will give 0.13. Then multiplied by 100, there
is 13% annual growth for Carsadang Bago II, Imus, Cavite.
Using the 27,716 population of 2020 as the base, it was multiplied by 0.13 then the result was
added to the 2020 population in order to get the 2021 population. Same computation was done in
order to get the 2022 population of Carsadang Bago, II, Imus, Cavite.
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Table 5. Total Potential Demand for 3 years (Snacks)
YEAR POPULA TARGETED & ACCEPTAN FREQUEN % TOTAL

TION SEGMENTED CE RATE CY POTENTIAL
POPULATION DEMAND (in
(75%) (days) units)
(66%)
2023 39,991 26,394 19,796
Once a 37 351,577
Week (48) %
Twice a 43 817,179
week (96) %
Once a 11 26,131
Month (12) %
Twice 9% 42,759
a Month
(24)
TOTAL POTENTIAL DEMAND: 1,237,645
2024 45,190 29,825 22,369
Once a 37 397,273
Week (48) %
Twice a 43 923,392
week (96) %
Once a 11 29,527
Month (12) %
Twice 9% 48,317
a Month
(24)

15
2025 51,065 33,703 25,277
Once a 37 448,920
Week (48) %
Twice a 43 1,043,435
week (96) %
Once a 11 33,366
Month (12) %
Twice 9% 54,598
a Month
(24)
Total: 1,580,319
The proponent projected total demand for First Stop’s snacks of 1,237,645, 1,398,509 and
1,580,319 in 2023, 2024, and 2025, respectively. It was solved by multiplying the acceptance rate
by 48 (once a week), 96 (twice a week), 12 (once a month), and 24 (twice a month), and then
multiplying the product by the survey's relevant percentage rate. The proponent generates various
findings, which are later summed up to reflect the venture's potential demand for the year 2023,
2024, and 2025.

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Table 6. Total Potential Demand for 3 years (Beverages)
YEAR POPULA TARGETED & ACCEPTAN FREQUEN TOTAL

TION SEGMENTED CE RATE CY % POTENTIAL
POPULATION DEMAND (in
(77%) (days) units)
(66%)
2023 39,991 26,394 20,323
Once a 38 370,692
Week (48) %
Twice a 40 780,403
week (96) %
Once a 15 36,581
Month (12) %
Twice 7% 34,143
a Month
(24)
2024 45,190 29,825 22,965
Once a 38 418,882
Week (48) %
Twice a 40 881,855
week (96) %
Once a 15 41,337
Month (12) %
Twice 7% 38,581
a Month
(24)

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2025 51,065 33,703 25,951
Once a 38 473,346
Week (48) %
Twice a 40 996,518
week (96) %
Once a 15 46,712
Month (12) %
Twice 7% 43,598
a Month
(24)
The proponent estimated that the overall demand for FIRST STOP beverages is 1,221,819
for 2023; 1,380,655 for 2024, and 1,560,174 for 2025. It is calculated by multiplying the
acceptance rate by 48 (once a week), 96 (twice a week), 12 (once a month), and 24 (twice a month),
and the product is multiplied by the corresponding percentage rate based on the survey. The
proponent obtained several conclusions, which were then summed up to show the venture's
potential demand for the years 2023, 2024, and 2025.
Table 7. Summary of Total Potential Demand of Snacks and Beverages
CATEGORY TOTAL POTENTIAL DEMAND
2023 2024 2025
SNACKS 1,237,645 1,398,509 1,580,319
BEVERAGES 1,221,819 1,380,655 1,560,174

Based on the data from the table above, the total potential demand increases every year as
it is directly affected by the increasing population.

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2.1 Supply for the past 3 years
Table 8. Supply for the past 3 years
Year Bretea Ph Nicdao Snack House Miss Cha’ Milk Tea Supply
2020 2,000 1,250 2,500 5,750
2021 3,750 3,750 5,000 12,500
2022 6,250 5,000 8,750 20,000
The presented data above showed the historical supply of the three identified competitors
of First Stop. These competitors sell snacks and beverages as well and were operating for at least
3 years already. The proponents interviewed each of the competitors in order to figure out their
supply for the past 3 years. The number of units sold per day during 2022 for Bretea, Nicdao Snack
House, and Miss Cha is 25, 20, and 35, respectively. The researchers also asked the estimated
number of units that they sold during the years 2021 and 2020. For 2021, Bretea, Nicdao, and Miss
Cha said 15, 15, and 20, respectively. As for the year 2020 when the pandemic started, Bretea had
8, Nicdao had 5, and Miss Cha had 10. The number of units sold per day is then multiplied by the
total number of working days assigned by the researchers which is 250 to get the supply.
The number of working days (250) was based on the total number of working days that a year
usually have which is 260. However, the researchers took into consideration the regular and special
non-working holidays where some businesses do not operate at all. There was a total of at least 20
holidays (regular and special non-working) every year in the Philippines but the researchers
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assumed and believed that some businesses still operate despite holidays therefore the proponents
only deducted 10 days from the usual 260 working days to make it 250. These 250 working days
will also be used to compute for the First Stop’s projected sales and other aspects as the paper goes
on.
2.1.1 Growth Rate
Based on the calculated results of the competitors’ supply for each year, the growth rate
for each competitor was computed. The growth rate has been calculated excluding the year 2020
because this fiscal year is considered odd or peculiar due to the occurrence of the COVID-19
pandemic. Quarantine and lockdown regulations were implemented, leading many businesses to
permanently shut down their operations. The sales of businesses were severely affected because
people who are supposed to be the customers and sellers were required to stay home to abide with
the health protocols. Since this phenomenon was unprecedented, it is safe for the proponents to
ignore the growth rate of 2020.
To calculate the growth rate of each competitor, the supply for 2021 was deducted from the supply
of 2022. The difference was then divided by the supply of 2021 which will give the growth rate.
By doing this method, it was revealed that Bretea Ph had 67% growth rate, Nicdao Snack House
had 33%, and Miss Cha Milk Tea had 75%. The aforementioned growth rates will be used to
compute the projected supply which is in the next section of this paper.
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2.2 Projected Supply
Table 9. Projected Supply
Year Bretea Ph Nicdao Snack House (.33) Miss Cha’ Milk Tea (.75) Total Supply
(.67)
2023 10,437 6,650 15,313 32,400
2024 17,430 8,845 26,798 53,073
2025 29,108 11,764 46,897 87,769
The presented data above showed the projected supply of the three identified competitors
of First Stop for years 2023, 2024, and 2025 which are 32,400, 53,073, and 87,769, respectively.
The annual growth rate per competitor was similar to the percentages in the historical supply. The
results from the historical supply data of 2022 became the basis to get the projected supply for the
year 2023 and so forth. The total supply for each year will be used to compute the supply and
demand gap analysis which will be in the next section. Same total supply is going to be used for
snacks and beverages.

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Table 10. Supply and Demand Gap Analysis for Snacks
YEAR POTENTIAL POTENTIAL DEMAND ASSUMED PROJECTED
DEMAND SUPPLY & SUPPLY MARKET SALES (in
GAP SHARE volume)
2023 1,237,645 32,400 1,205,245 1% 12,052
2024 1,398,509 53,073 1,336,436 2% 26,729
2025 1,580,319 87,769 1,492,550 3% 44,777
Table 10 shows the demand and supply gap, specifically on snacks, for years 2023, 2024,
and 2025. By subtracting the potential supply from potential demand, the gap was calculated. As
for the assumed market share, the researchers assigned a rate based on the capacity to produce for
the succeeding years. It is also important to note that the assumed market share of the researchers’
startup business should be smaller compared to its competitors who have been existing in the
market for years in the area. With that being said, the researchers assumed 1% market share for
the year 2023 as this is the first year of business operations where First Stop is new to the market
and waters are still being tested. As the business continues to the succeeding years, the researchers
assumed an increase in the market share which became 2% and 3% for years 2024 and 2025,
respectively. The projected sales in volume of First Stop’s snacks are 12,052; 26,729; and 44,777
for years 2023-2025, respectively. This implies that for 2023, the researchers are expected to
produce at least 48 units of snacks in a day; 107 units a day for 2024; and 179 units a day for 2025.
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Table 11. Supply and Demand Gap Analysis for Beverages
YEAR POTENTIAL POTENTIAL DEMAND ASSUMED PROJECTED
DEMAND SUPPLY & SUPPLY MARKET SALES (in volume)
GAP SHARE
2023 1,221,819 32,400 1,189,419 1% 11,894
2024 1,380,655 53,073 1,327,582 2% 26,552
2025 1,560,174 87,769 1,472,405 3% 44,172
Table 11 shows the demand and supply gap, specifically on beverages, for years 2023,
2024, and 2025. Similar to Table 10, a similar method was used which to compute the gap which
is the difference of potential demand and potential supply. The assumed market share on snacks
was also used for the beverages. As a result, the projected sales of First Stop for years 2023, 2024,
and 2025 are 11,894; 26,552; and 44,172, respectively. This implies that for 2023, the researchers
are expected to produce at least 48 units of beverages in a day; 106 units a day for 2024; and 177
a day for 2025.
2. Present Supplier/Competitor
2.1 Supplier
Since First Stop will be offering 4 products in total, 2 for snacks and 2 for beverages, the
proponent’s supplier would be in the market of Zapote. The ingredients for products of First Stop
are usual ingredients that can be acquired in the market or any other grocery store. As of the
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moment, the proponent doesn’t have a direct supplier since there are many stores in the said
market. That’s why we will be looking for a direct supplier or “suki” where we can get the
ingredients cheaper.
2.2 Competitors
The table below displays the prospective business's competitors. Below is also a list of the
rivals' descriptions and product offerings.
Table 12. Competitors
Competitor Logo Description Location
BreaTea PH was initially Legian 1

introduced in early May 2020, subdivision
with the slogan "Affordable Price Santol St.,
with a Great Taste Surprise" Carsadang
capturing the essence of Bago 2, 4103
Breatea Ph distinctive blended concoctions Imus,
rather than hiding less-than- Philippines
stellar business methods behind a
wall. They serve different series
of drinks, foods, and services and
for which, continuously evolve
over time.
Nicdao Snack House started Palazzo Bello 1,

operating during October of Carsadang
2019. This snack house offers a Bago II, Imus
variety of food and drinks such as Cavite,
burgers, sandwiches, milk and Philippines
fruit shakes.
Nicdao
Snack
House
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Miss Cha Milktea has been Blk 3 Lot 1,

operating since January 2019. Starkville 1
They offer a variety of snacks and subdivision,
beverages too. The snacks Carsadang
Miss Cha’ include pica-pica meanwhile the Bago II, Imus,
Milk Tea beverages include different milk Philippines
tea series and coffee-based
beverages.
D. Projected Sales
1. Per Month
Table 13. Projected Sales in Volume per Month for Year 2023
PRODUCTS MONTHS UNITS TO BE SOLD PRICE TOTAL SALES
Churros (49%)
JANUARY 423 19,881
FEBRUARY 397 18,659
MARCH 525 24,675
APRIL 649 30,503

PHP 47.00
MAY 682 32,054
JUNE 579 27,213
JULY 558 26,226
AUGUST 523 24,581
SEPTEMBER 416 19,552

25
OCTOBER 426 20,022
NOVEMBER 367 17,249
DECEMBER 360 16,920
TOTAL: 5,905 PHP 277,535
Pizza Roll (51%)
JANUARY 412 28,428
FEBRUARY 398 27,462
MARCH 597 41,193
APRIL 675 46,575

PHP 69.00
MAY 655 45,195
JUNE 595 41,055
JULY 521 35,949
AUGUST 539 37,191
OCTOBER 467 32,223
NOVEMBER 386 26,634
DECEMBER 399 27,531
TOTAL: 6,147 PHP 424,143
Coffee (47%)
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JANUARY 398 14,726
FEBRUARY 388 14,356
MARCH 546 20,202
APRIL 605 22,385
MAY 679 25,123
JUNE 558 20,646
JULY 477 17,649
AUGUST 369 13,653
SEPTEMBER 381 PHP 37.00 14,097
OCTOBER 366 13,542
NOVEMBER 402 14,874
DECEMBER 421 15,577
TOTAL: 5,590 PHP 206,830
Lemonade (53%)
JANUARY 459 12,852
FEBRUARY 444 12,432
MARCH 599 16,772
APRIL 697 19,516
MAY 670 18,760

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JUNE 578 PHP 28.00 16,184
JULY 547 15,316
AUGUST 553 15,484
OCTOBER 448 12,544
NOVEMBER 476 13,328
DECEMBER 423 11,844
TOTAL: 6,304 PHP 176,512
Table 13 shows the projected sales per month for each of First Stop’s product offerings for
the year 2023. The table was divided into 4 parts that correspond to each of the product offerings
of First Stop. The number of units to be sold pertains to a serving as a whole for snacks with 6
pieces each. The assigned units sold per month were based on the assumption that some products
would sell better in a particular season or month like summer where cold beverages could be in-
demand. Special occasions, holidays, and unforeseen events such as typhoons, suspensions, etc.
were taken into consideration as they could influence the operations of the business and its monthly
sales. Furthermore, the assigned prices per product were multiplied by the number of servings sold
per month to get the total sales for each month.
If the total units to be sold for the two snacks were added together, the sum would be equal to the
projected sales in volume (snacks) of First Stop for year 2023 as shown in Table 10 which is
12,052. As for the beverages, it is 11,894 as shown in Table 11. Moreover, the division of total
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units to be sold for each product as shown in the table above was based on the percentage of
willingness on the survey results. As for the 12,052 units on snacks, 51% or 6,147 units are
assumed to be sold for pizza rolls, and 49% or 5,905 units for churros. On the other hand, as for
the 11,894 units of beverages, 47% or 5,590 units are assumed to be sold for coffee, and 53% or
6,304 units for lemonade.
2. In Volume and In Pesos
Table 14. First Stop’s Projected Sales for Years 2023-2025
YEAR 2023 2024 2025
Product: Churros
No. of Units to be Sold: (49%) 5,905 13,097 21,941
Selling Price: PHP 47.00 PHP 49.00 PHP 51.00
TOTAL: PHP 277,535 PHP 641,753 PHP

1,118,991
Product: Pizza Roll
Selling Price PHP 69.00 PHP 72.00 PHP 76.00
TOTAL: PHP 424,143 PHP 981,504 PHP

1,735,536
Total No. of Units to be Sold (Snacks) 12,052 26,729 44,777
TOTAL (SNACKS) PHP 701,678 PHP PHP

1,623,257 2,854,527
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Product: Coffee
Selling Price PHP 37.00 PHP 39.00 PHP 41.00
TOTAL: PHP 206,830 PHP 486,681 PHP 851,201
Product: Lemonade
Selling Price: PHP 28.00 PHP 29.00 PHP 30.00
TOTAL: PHP 176,512 PHP 408,117 PHP 702,330
Total No. of Units to be Sold 11,894 26,552 44,172

(Beverages)
TOTAL (BEVERAGES) PHP 383,342 PHP 894,798 PHP

1,553,531
TOTAL PHP PHP PHP

(SNACKS & BEVERAGES) 1,085,020 2,518,055 4,408,058
Table 14 shows the summary of the projected sales of First Stop for the next 3 years. As
shown, the prices increase by 5% for the succeeding years. The number of units sold per product
for 2023 was also shown in Table 13. For years 2024 and 2025, the total number of units sold per
product would amount to the projected sales in volume shown in Tables 10 and 11 where the
increase was due to the assumed market share. The division of total units to be sold per product
was based on the percentage discussed in Table 13. If the sales of both snacks and beverages are
to be added together, First Stop is projected to accumulate PHP 1,085,020 for 2023; PHP 2,518,055
for 2024; and PHP 4,408,058 for 2025.

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Table 15. First Stop’s Projected Sales in Volume and Pesos for Snacks
YEAR TOTAL PARTICULARS TOTAL TOTAL

PROJECTED PROJECTED PROJECTED SALES
SALES IN SALES IN PESOS IN PESOS (DAILY)
VOLUME (YEARLY)
(YEARLY)
2023 12,052 Churros (49%): PHP 277,535 PHP 1,110

5,905
Pizza Rolls PHP 424,143 PHP 1,697

(51%): 6,147
TOTAL PHP 701,678 PHP 2,807
2024 26,729 Churros (49%): PHP 641,753 PHP 2,567

13,097
Pizza Rolls PHP 981,504 PHP 3,926

(51%): 13,632
TOTAL PHP 1,623,257 PHP 6,493
2025 44,777 Churros (49%): PHP 1,118,991 PHP 4,476

21,941
Pizza Rolls PHP 1,735,536 PHP 6,942

(51%): 22,836
TOTAL PHP 2,854,527 PHP 11,418
Table 15 presents the summary of First Stop’s projected sales in volume and pesos for the
next 3 years, focusing on snacks alone. First Stop offers two snacks, churros and pizza rolls that
are priced at PHP 40 and PHP 58, respectively.
As mentioned in Table 14, the price of First Stop’s products will increase by 5% every year, thus
the assigned price will be multiplied by the sales in volume in order to get the sales in pesos
(yearly). For year 2023 with churros and pizza rolls priced at P47.00 and P69.00, respectively, the
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total projected sales in pesos would be PHP 701,678; for year 2024 with snacks priced at P49.00
and P72.00, the total projected sales in pesos would be PHP 1,623,257; and for year 2025 with
snacks priced at P51.00 and P76.00, the total projected sales in pesos would be PHP 2,854,527.
In order to get the total projected sales in pesos (daily), the total projected sales in pesos (yearly)
will be divided by the total number of working days that the researchers assumed which was 250
days, as aforementioned in the other sections of the paper. With that, the researchers are projected
to accumulate PHP 2,807 daily in 2023; PHP 6,493 daily in 2024; and PHP 11,418 daily in 2025
- for snacks alone.
Table 16. First Stop’s Projected Sales in Volume and Pesos for Beverages
YEAR TOTAL PARTICULARS TOTAL TOTAL

PROJECTED PROJECTED PROJECTED
SALES IN SALES IN PESOS SALES IN PESOS
VOLUME (YEARLY) (DAILY)
(YEARLY)
2023 11,894 Coffee (47%): PHP 206,830 PHP 827

5,590
Lemonade (53%): PHP 176,512 PHP 706

6,304
2024 26,552 Coffee (47%): PHP 486,681 PHP 1,947

12,479
Lemonade (53%): PHP 408,117 PHP 1,632

14,073
2025 44,172 Coffee (47%): PHP 851,201 PHP 3,405

20,761
32
Lemonade (53%): PHP 702,330 PHP 2,809

23,411
TOTAL PHP 1,553,531 PHP 6,214
Table 16 shows the summary of First Stop’s projected sales in volume and pesos,
particularly on the beverages, for the next 3 years. The beverages offered by First Stop, which are
coffee and lemonade, are priced differently at P37.00 and P28.00, respectively. It was mentioned
that the price increases by 5% every year, therefore the same method will be used to compute the
projected sales in pesos (yearly). For 2023 with coffee and lemonade priced at P37.00 and P28.00,
the projected sales in pesos would be PHP 383,342; for 2024 with drinks priced at P39.00 and
P29.00, the projected sales in pesos would be PHP 894,798; and for 2025 with drinks priced at
P41.00 and P30.00, the projected sales in pesos would be PHP 1,553,531.
As for the projected sales in pesos (daily), the sales in pesos (yearly) were also divided by the total
number of working days which is 250 days. As a result, First Stop is projected to gain PHP 1,533
daily for 2023; PHP 3,579 daily for 2024; and PHP 6,214 daily for 2025 - focusing on drinks
alone.
Table 17. First Stop’s Combined Projected Sales in Volume and Pesos
YEAR PARTICULARS TOTAL TOTAL TOTAL

PROJECTED PROJECTED PROJECTED
SALES IN SALES IN PESOS SALES IN PESOS
VOLUME (YEARLY) (DAILY)
(YEARLY)
2023 Snacks 12,052 PHP 701,678 PHP 2,807
Beverages 11,894 PHP 383,342 PHP 1,533

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TOTAL PHP 1,085,020 PHP 4,340
2024 Snacks 26,729 PHP 1,623,257 PHP 6,493
Beverages 26,552 PHP 894,798 PHP 3,579
TOTAL PHP 2,518,055 PHP 10,072
2025 Snacks 44,777 PHP 2,854,527 PHP 11,418
Beverages 44,172 PHP 1,553,531 PHP 6,214
TOTAL PHP 4,408,058 PHP 17,632
Table 17 shows the summary of First Stop’s overall projected sales in volume and pesos
for years 2023 to 2025. The business is expected to gain PHP 1,085,020; PHP 2,518,055; and PHP
4,408,058, respectively within 3 years.
E. Marketing Strategies
1. Product Strategies
The snacks were made as bite-size so customers won’t get cloying. A small portion of food
will make consumers want to buy more. This strategy will be most effective in gaining profit. The
snacks are also accompanied with dips – chocolate for the churros while a thousand islands dip for
the pizza rolls. We have decided to integrate some so that consumers can taste something aside
from the product itself. And to open to the market that these types of offerings will be tastier with
dip. As for the beverages, coffee and lemonade, they will be served cold with ice. However the
customers have a choice of ordering their coffee hot.

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Table 18. Product Offerings of First Stop
Name of Product Photo
Churros
Pizza Roll
35
Hot/Iced Coffee
36
Lemonade
1.1 Product category
First Stop is inclined with the food and beverages industry, as the products of the company
are appetizers-inspired. The products in the food and beverage sector are requirements, and for
certain people who depend on snacks for their daily activities, snacks are a daily necessity. The
company wants to supply the market with convenient and high-quality goods. The difference
between First Stop’s products among its existing competitors is the taste and the quality of
ingredients used in every product. The business made sure that they can give satisfaction to the
market through the signature taste they can produce. The company also uses quality ingredients to
fulfill the desired taste for every product and is not spared.
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1.2 Brand
a. Brand Logo
Figure 3. First Stop’s Brand Logo
In terms of First Stop’s brand logo, it is characterized by its octagonal shape with dominant
colors, red and yellow. Common associations for color red are warmth and energy, meanwhile
color yellow mostly depicts happiness and positivity. Through those colors, First Stop wants the
customers to feel the satisfaction from consuming the product offerings, resulting in them feeling
energized and ready-to-go for the whole day. The octagonal shape is a reference to the STOP road
signs, implying that customers will get this feeling of stopping by the food stall.
For the First Stop text in the logo, there are two important details to point out - the letters
I, T, and O. Instead of using the normal font style for letters I, T, and O, they were replaced by
objects representing some of the business’s product offerings. The letter I was represented by the
bamboo snack picker or fork held by a hand that was picking out the food. Small bamboo snack
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picker or fork will serve as a utensil when eating the snacks because First Stop refuses to use any
plastic-related objects in its packaging. As for the letter T, it was represented by churro and pizza
roll shaped as letter T to show First Stop’s snack offerings. On the other hand, the letter O was
represented by the top view of the beverages in a cup. One half is represented by coffee while the
other half is lemonade. As for the other letters in the word FIRST STOP, a bold Etna Sans Serif
font style was used to adhere with the road sign theme for the logo.
b. Unique Selling Proposition (USP)
A refreshment business that serves appetizer-inspired snacks and beverages at an
affordable price.
c. Positioning Statement
For local residents who need to grab some fresh quick snacks, First Stop is a startup food
business that offers appetizer-inspired refreshments so customers can lightly fill their stomachs
before getting into a full-heavy meal.
d. Tagline/Slogan
“First Stop: Your first choice.”
This tagline simply summarizes the goal of the startup business - to be the customers’ first
choice when it comes to snacks and beverages to satisfy their cravings and quench their thirsts.
With appetizer-inspired products, First Stop should be the first choice before going into a full
heavy meal in a day.
1.3 Packaging
First Stop firmly believes that protecting the environment is important, that is why it must
contribute to the protection by lessening the use of harmful substances or objects through the usage
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of non-plastic packaging. In line with this, paper packaging will be utilized because it degrades
fast, and can be recycled or reused. Still, First Stop assures that the packaging will be convenient
for the customers.
Figure 4. Sample packaging for churros
This is a hotdog paper tray that is deemed appropriate for foods that are long in size or
shape and are easy to eat. Specifically, churros is the snack offering that will use this tray because
its size is long and thin. This packaging is intended for customers who want to consume the churros
immediately after purchase.
Figure 5. Sample packaging for pizza rolls

40
This is a nacho paper tray that is appropriate for snacks that are medium to large in size.
First Stop’s pizza rolls are the specific snack offerings that will utilize this packaging because each
slice is thicker in size compared to churros.
Figure 6. Sample packaging for takeout snacks
This is a paper meal box intended for takeout snack orders. It is enclosed to ensure the
safety of the snacks. Similar packaging will be used when customers ordered a 2-in-1 snack combo
or the combination of churros and pizza rolls. The small container for dips/sauces will also be put
inside and will serve as the divider.
Figure 7. Sample packaging for beverages

41
For the beverages, the double wall paper cups with lid will be utilized by First Stop. Since
the drinks offered by First Stop can be served either hot/warm or cold, it is appropriate to use
double-wall paper cups to protect the customers from the extreme heat or coldness of the drink.
The size of the cups is medium or 12 oz only. These paper cups come with lids where customers
can sip directly from it because no straws will be distributed as they are harmful for the
environment.
Figure 8. Sample packaging for carrying takeout orders
Paper bags will be used to put the orders intended for takeout so that it will be more
convenient for customers to carry the food. The sample packaging seen in Figure 6 will always
come with paper bags for easier handling.
Figure 9. Sample packaging for takeout drinks

42
A holder will be used to properly place and package the paper cups for takeout. It has a
handle so customers can conveniently grasp it.
Figure 10. Snack picker/fork
In every order of the snacks, there will be a bamboo snack picker or fork along with it that
will serve as the utensil of the customers. In the survey, most of the respondents prefer eating their
snacks using spork, however that kind of cutlery is usually made of plastic so First Stop will refuse
to use such. Sporks have wooden versions however the researchers chose to go with the utensil
that is cheaper yet feasible. As an alternative, these bamboo pickers are smaller, convenient, and
non-plastic.
Figure 11. Sample packaging for the dips or sauces

43
This is a small condiment paper cup with a lid that is intended for the dips and sauces of
First Stop’s snacks. This will be used if the customer wants their dips separated from the snack
and also whenever there is a takeout order to prevent the sauce and the snack from getting messy.
2. Pricing Strategies
Table 19. Price of First Stop’s Product Offerings
PRODUCT QUANTITY/SIZE PRICE
Churros 6 pcs per serving P47.00
Pizza Rolls 6 pcs per serving P69.00
Coffee (hot/cold) 12 oz P37.00
Lemonade 12 oz P28.00
Churrzza Combo 6 pcs churros P110.00

6 pcs pizza rolls
Snack & Drink Combo Any of the snacks with 12 oz drink P80.00
The business will use the cost-based pricing strategy. It is a pricing technique that bases
prices more heavily—but not exclusively—on the cost of producing the products. The proponents
added a percentage of direct labor, overhead costs, and markup in order to come up with the final
selling price. This aspect will be further discussed in Chapter 3. By looking at the survey results,
the researchers have determined the customers' perception regarding the product offerings. The
survey results also revealed the desired price of the customers for each product therefore the
researchers will also consider their perceptions in order to match the range of assigned prices.
44
The survey revealed that the respondents are willing to pay for First Stop’s product offerings at
the price between P50.00 to P80.00. Close enough, many of them were also willing to pay more
than P81.00 in order to purchase the products based on the survey results. The proponents have
the capacity to price First Stop’s offerings within this price range to satisfy the willingness and
capacity of the customers, therefore the markup costs will be assigned properly to still fit the
affordable and reasonable price that First Stop aims for the offerings. There will also be combo
offerings in which the prices can be cheaper.
3. Place/Distribution Strategies
Since First Stop is a starting business, only people who will pass by Carsadang Bago II,
Imus, Cavite will have the opportunity to grab the product offerings. It is specifically located inside
the Legian 1 Subdivision. As a startup business, deliveries cannot be catered yet, but rest assured
that this will be prioritized in the future. The business wouldn’t have a dine-in setup. Since it is a
home-based start-up business, the space is limited for such a plan. However, for the plans of First
Stop, a kiosk will be put up once they have accumulated enough budget for a bigger space.
Direct distribution is the type of distribution strategy that First Stop will utilize. This is a type of
distribution that occurs when the business directly sends its products to the consumers without the
use of other intermediaries or entities. This is applicable for First Stop because customers can
directly purchase the products on the exact location of the stall. By having this type of distribution,
the channel level is zero because there are other parties involved in distributing the products to the
customers.
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4. Promotion Strategies
4.1 Advertising
Based on the survey, practically all of our respondents choose online and other digital
advertising for our business. To attract more customers, get customer feedback, and foster
customer loyalty, First Stop products will be advertised and delivered to the identified target
markets using online channels such as Facebook and Instagram. First Stop will create a Facebook
page for the brand in order to provide customers with regular updates on product features and
availability. The Facebook marketplace will also be a field of marketing for the business because
it will give a broader source of potential buyers. Furthermore, First Stop will leverage Facebook
Ad/Page boosting to reach a larger audience that isn't confined to our page followers. Facebook
boosting also allows the business to define parameters for its audience to attract particular groups.
An Instagram business account will also be established that will supply customers with additional
details on product information. Customers will also receive updates on product launches and
regular announcements from the photo-sharing platform.
Figure 12. Sample social media accounts of First Stop

46
Apart from that, First Stop will still utilize printing materials that will be posted on the
business’s home location for customers’ perusal on menu list, prices, and various discount
offerings. These infographics will also be posted on First Stop’s official Facebook and Instagram
pages.
Figure 13. First Stop Menu List Infographics
4.2 Sales Promotion
The proponent will make advantage of the business's social media platforms. FIRST STOP
will use its social media platforms to promote its brand and increase sales. Product offerings will
also be shared on the business's social media channels. FIRST STOP will give its products to the
47
first 20 customers as an initial sales promotion, with free drinks when they order the snacks we
offer. Proponents think that this method will boost sales and persuade target customers to purchase
or try FIRST STOP offerings.
Figure 14. First Stop’s Free 20 Drinks on Opening Day Infographics
Furthermore, FIRST STOP will provide a discount to customers who own any brand of an
insulated tumbler, including AquaFlask and HydroFlask. People nowadays have the habit of
always getting their morning coffee on the go, drinking from an insulated tumbler, or working out
with a water bottle. The discount is based on the size of the insulated tumbler, with 14-30 oz of
tumblers, there will be a 30% discount: from P37, the coffee will be priced at P26; and from P28,
the lemonade will be priced at P20. For tumblers above 30 oz, a 40% discount will be given,
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making the coffee priced at P22 and lemonade at P17. The proponent believes that developing an
eco-friendly sales promotion is something that First Stop is really passionate about.
Figure 15. First Stop’s Tumbler Discount Infographics
First Stop will also offer a special discount on drinks every Monday morning because it is
the start of the week for schools, offices, and other jobs. The business believes that its coffee and
lemonade will help the customers feel energized early in the morning, especially during the day
where the majority would feel lazy to go to work. With all the aforementioned, First Stop will offer
an exclusive 20% discount on both coffee and lemonade every Monday morning from 7 am to 11
am. From P37, the coffee will be offered at P30; and from P28, the lemonade will be offered at
P22 only.
49
Figure 16. First Stop’s Exclusive Monday Morning Discount Infographics
4.3 Public Relations
FIRST STOP will concentrate all of its public relations efforts on social media. Because it
magnifies our message and helps our brand to speak from a position of strength, as well as because
our product packaging is designed with environmental considerations, the business will convey its
campaign to be an eco-friendly brand. The act of bringing good intentions to the environment
while producing quality products will give FIRST STOP a positive reputation and make people
trust the brand and its products.

50
Aside from this, First Stop ensures it has a direct relationship with the public and its customers.
The business will have signage saying, “DONATE YOUR RECYCLABLES AND GET AN ECO-
CARD". Every customer or passerby who will notice this signage, they can get engaged and
motivated to donate their recyclables, including plastics, wrappers, and plastic bottles, instead of
just wasting them.
Figure 17. First Stop’s Eco-Card Infographics
The eco-card will have ten slots for every chance they avail of First Stop products. For the
5th time, they will get a free drink. And for the 10th time, they will have a free combo of chosen
snacks and drinks. A customer can get 1 sticker per 1 gram of recyclable donations. The business
used this idea so they can have a direct connection to their market. They also believe that with this
strategy, they can justify and contribute to the proposed brick wall project in their waste disposal
management.
51
Figure 18. First Stop’s Eco-Card Template
4.4 Other Marketing Strategies
FIRST STOP has other opportunities to reach a wide range of audiences that will help
increase sales. The business will join various Facebook groups that are intended for buy and sell
in order to let other people know about the products. Particularly, these Facebook groups are
focused mainly on Carsadang Bago II and its nearby barangays in Imus, Cavite. FIRST STOP will
also consider creating its own audiovisual content in TikTok and other social media platforms
through My Day and Stories by creating short tutorials on how to create the various product
offerings.
52
F. Marketing and Selling Expense
Table 20. First Stop’s Marketing and Selling Expenses
ACTIVITIES UNIT QUANTITY PRICE AMOUNT

COST
Advertising PHP 1x Facebook post boost PHP PHP

Costs 1,000 1,000.00 2,000.00
PHP 1x Instagram post boost PHP

1,000 1,000.00
Promotional PHP 20 free drinks during opening day PHP PHP

Costs 37.00 (10 coffee; 10 lemonade) 370.00 18,830.00
PHP PHP
28.00 280.00
PHP 7.00 360 Monday 20% Drink Discount PHP

for Coffee 2,520.00
PHP 6.00 360 Monday 20% Drink Discount PHP

for Lemonade 2,160.00
PHP 50 Tumbler 30% discount for coffee PHP

11.00 550.00
PHP 8.00 50 Tumbler 30% discount for PHP

lemonade 400.00
PHP 50 Tumbler 40% discount for coffee PHP

15.00 750.00
PHP 50 Tumbler 40% discount for PHP

11.00 lemonade 550.00
PHP 100 Eco-Card free snack and drink PHP

80.00 combo 8,000.00
PHP 50 Eco-card free coffee PHP

37.00 1,850.00
PHP 50 Eco-card free lemonade PHP

28.00 1,400.00
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Printing PHP 25 pages of logo stickers (500 PHP PHP 980.00

Expenses 10.00 stickers in total) 250.00
PHP 3 pages of mini stickers for eco-card PHP 30.00

10.00 (495 mini stickers in total)
PHP 25 pages for eco-card 100 templates PHP

10.00 in total) 250.00
PHP 5 Sticker papers (10 pcs per pack) PHP

50.00 250.00
PHP 4 pages for menu list PHP 40.00

10.00
PHP 16 pages for promotion PHP

10.00 poster/infographics 160.00
Packaging PHP 5 packs medium-sized long paper PHP 75.00 PHP

Costs 15.00 tray (40 pcs each) 3,835.00
PHP 8 packs medium-sized nachos paper PHP

54.00 tray (25 pcs each) 432.00
PHP 8 packs paper meal box (25 pcs PHP

75.00 each) 600.00
PHP 3 packs kraft paper bags (100 pcs PHP

70.00 each) 210.00
PHP 8 packs 12 oz double-wall paper PHP

150.00 cups (25 pcs each) 1,200.00
PHP 4 packs beverage cup holders (25 PHP

230.00 pcs each) 920.00
PHP 3 packs bamboo snack picker forks PHP

76.00 (100 pcs each) 228.00
PHP 2 packs condiment paper cups (100 PHP

85.00 pcs each) 170.00
TOTAL PHP
25,645.00
The table above shows the marketing and selling expenses of First Stop. The advertising
costs include the post boost for Facebook and Instagram. For the promotional costs, it involves the
54
costs coming from the various discount offerings of First Stop such as the free drinks during the
opening, tumbler discounts, and eco-card. The units to be sold per discount are all based on the
proponents’ assumptions. As for the printing expenses, it includes printing of the stickers of First
Stop’s logo that will be used for the packaging and the eco-card. It also includes printing the
templates of eco-cards, as well as providing the special sticker paper to be used in printing. Lasty,
there will also be printing expenses for the infographics/posters of First Stop’s menu and discounts
that will be placed in front of the proponent’s home for customers’ perusal. The last particular of
marketing and selling expenses is the packaging costs which involves every type of packaging to
be used for First Stop’s products. Overall, the projected marketing and selling expenses of First
Stop is PHP 25,645.

55
CHAPTER 3
PRODUCTION / OPERATIONS PLAN
A. Technical/Production Description
First Stop is a starting business that aims to offer affordable yet quality refreshments to the
market. In producing the product, the researchers will go to the market every day to ensure that all
raw ingredients are fresh and new. As the raw materials are bought by small entrepreneurs, it
means that the proponents are supporting small businesses as well. The business will also use
paper-made yet high-quality packaging so it can lessen the non-biodegradable products that can
be harmful to our environment. First Stop products are accessible and easy to eat. The researchers
will make sure that all packaging and serving techniques are convenient to the customers.
Purchasing first-stop products is efficient, especially for those who are in a rush. Because the
proponents chose on-the-go packaging so it will not be difficult for them. The snacks would be in
paper trays accompanied by a bamboo snack picker as a serving tool that is accessible to all. For
the takeout packaging, the products will be in a paper meal box to ensure that they will be safe
until it reaches their destination. For the beverages, they will be using double wall kraft paper cups
with a lid. This is an eco-friendly packaging approach as well and convenient at the same time.
While for the beverage takeout, it will be in a cup holder which can accompany 2 cups together.
First Stop’s operation would be on a weekday only (Monday-Friday from 7:00 - 11:00 am & 1:00
- 5:00 pm). Weekends will serve as the proponent's rest and will be used to think of new tactics
for the next operating days. The proponent decided to have a separate time of production in the
morning and afternoon to have time to prepare the next batch of products for fresh and new aspects.
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B. Production/Operations Process
1. Step by Step procedure
Table 21. Step by Step Procedure of First Stop’s Products: Churros
CHURROS
PROCEDURE PHOTOS
Prepare all the raw ingredients.
Put butter in a pan.
Add salt.
57
Mix it.
Add flour.
Stir all the ingredients until no more crumbs are left.
Turn on the fire in low heat, and continue mixing until

ingredients are well-combined.
58
Remove the mixture from the pan and put it in a bowl.
Add egg.
After mixing, put the mixture in a piping bag. With the

help of the glass to hold.
Put the mixture in the piping bag and gently push it to

go downwards.
59
After putting all the mixture in the piping bag, heat a

casserole or pan with oil.
Gently push the piping bag to release the mixture.
Wait until the churros become golden brown and ready

to remove from the pan.
Put the fried churros in a tissue to remove the excess

oil.
60
In a separate bowl, mix the sugar with cinnamon

powder.
After removing the excess oil, put it all in a container

and put cinnamon powder and sugar. Shake it gently
so all the mixture will be into churros.
On a separate casserole or pan, turn the fire in low heat.
Put the chocolate bars.

61
Mix it until the consistency becomes smooth and

watery.
Once reaching the preferred consistency, put it in a

container and be ready to serve it with churros.
Final product.
62
Table 22. Step by Step Procedure of First Stop’s Products: Pizza Rolls
PIZZA ROLLS
PROCEDURE PHOTOS
Prepare all the raw materials.
Chopy bell peppers
And cheese.
63
Boil the hotdog for around 3-5 minutes to remove the

preservatives.
Chop the hotdog according to desired size.
After heating a pan with oil, put ham on it.
Wait until it cooks.

64
Remove the ham from the pan, and put it in the tissue
to remove the excess oil.
Flatten the tasty bread using a rolling pin or a glass

until it becomes thin.
Prepare the bread for the next procedure.
Spread pizza sauce or tomato sauce covering the whole

bread.
65
Put the chopped hotdog, cheese, and bell peppers.
And then roll it until it becomes like this.
Crack an egg and beat it.
Put the rolled bread in the beaten egg and make sure
that all the area is covered.
66
After covering it with egg, cover it with some bread

crumbs.
Ready the pizza roll for frying.
Heat a pan with oil.
Once the pan has the desired heat, gently put the
prepared pizza roll.
67
Wait until it becomes golden brown.
Remove the pizza roll once it reached the golden crispy

brown look.
Ready the pizza roll for plating.
Cut the bread slant into 3 pieces

68
Ready the cut pizza roll for plating.
For its dip, add mayo in a bowl.
Add some ketchup on it.
Mix it until it's well-combined.

69
Ready the dip for the plating.
Final product.
70
Table 23. Step by Step Procedure of First Stop’s Products: Coffee
COFFEE
PROCEDURE PHOTOS
In a bowl, put the classic coffee.
Then add sugar

71
Add a bit of water.
Enough to dissolve the mixed coffee and sugar.
Mix until it reaches this consistency.
Heat a casserole in medium fire

72
Put milk
And mix it. Wait until it boils or become hot
In a glass or serving cup, put one tablespoon of the

mixed coffee and sugar.
Then gently add the heated milk.

73
Put milk until it reaches the desired amount.
Mix until the ingredients are well-combined.
Final product.
74
Add ice for iced coffee.
Final product.
75
Table 24. Step by Step Procedure of First Stop’s Products: Coffee
LEMONADE
PROCEDURE PHOTOS
Cut the lemon into half.
Put it into a squeezer to get all the juice.
Transfer it to a container.
76
Heat a casserole,
And put water in it.
Once the water is the casserole, add some sugar.
And mix it.
Wait until it boils or becomes hot, and put it in the

container where the lemon juice is.
77
Mix it.
Add water to adjust the taste if needed.
And mix it again.
Add ice for iced lemonade,
And get ready to serve.

78
Final product.
2. Duration per Step per Batch
Figure 19. Duration per Step per Unit for Churros

79
Figure 20. Duration per Step per Unit for Pizza Rolls
80
Figure 21. Duration per Step per Unit for Coffee

81
Figure 22. Duration per Step per Unit for Lemonade
3. Labor and Machine Requirement per Step
Table 25. Labor and Machine Requirement per Step of Churros
CHURROS
Procedure Duration Labor Machine or Tool

Requirement Requirement
Prepare all the raw ingredients. Staffs & General Apron, Chopping
Manager Board, Knives,
20 minutes Strainer, Gloves
Put butter in a pan. 10 seconds Staffs Pan
Add salt. 5 seconds Staffs Pan

82
Mix it. 20 seconds Staffs Pan
Add flour. 5 seconds Staffs Pan
Stir all the ingredients until no more

crumbs are left.
30 seconds Staffs Pan,
Turn on the fire in low heat, and

continue mixing until ingredients
are well-combined. 5 minutes Staffs Pan, Ladle
Remove the mixture from the pan

and put it in a bowl.
1 minute Staffs Ladle
Add egg. 5 seconds Staffs Fork
After mixing, put the mixture in a

piping bag. With the help of the
glass to hold. 1 minute Staffs Ladle
Put the mixture in the piping bag

and gently push it to go
downwards. 20 seconds Staffs Piping Bag
After putting all the mixture in the

piping bag, heat a casserole or pan
with oil. 2 minutes Staffs Casserole
Gently push the piping bag to

release the mixture.
3 minutes Staffs Piping Bag
Wait until the churros become

golden brown and ready to remove
from the pan. 10 minutes Staffs Pan, Tongs
Put the fried churros in a tissue to

remove the excess oil.
1 minute Staffs Pan, Tongs, Tissue
In a separate bowl, mix the sugar

with cinnamon powder.
30 seconds Staffs Container / Bowl
After removing the excess oil, put it

all in a container and put cinnamon
powder and sugar. Shake it gently
1 minute Staffs Tongs, Container
83
so all the mixture will be into

churros.
On a separate casserole or pan, turn

the fire on low heat.
15 seconds Staffs Casserole
Put the chocolate bars. 10 seconds Staffs Casserole
Mix it until the consistency

becomes smooth and watery.
3 minutes Staffs Spoon
Once reaching the preferred

consistency, put it in a container
and be ready to serve it with 3 minutes Staffs & General Spoon, Container
churros. Manager
Table 26. Labor and Machine Requirement per Step of Pizza Roll
PIZZA ROLL

Prepare all the raw materials. Staffs & General Apron, Chopping
Manager Board, Knives, Strainer
20
minutes
Chop bell peppers and cheese. 5 minutes Staffs Knife, Chopping Board
Boil the hotdogs to remove the

preservatives.
5 minutes Staffs Pan
Chop the hotdog according to desired

size.
3 minutes Staffs Knife, Chopping Board
After heating a pan with oil, put ham

on it.
3 minutes Staffs Pan, Tongs
Wait until it cooks. 5 minutes Staffs Tongs

84
Remove the ham from the pan, and

put it in the tissue to remove the
excess oil. 1 minute Staffs Tongs, Tissue
Flatten the tasty bread using a rolling

pin or a glass until it becomes thin.
10 Staffs Rolling Pin
minutes
Prepare the bread for the next 1 minute Staffs Plate

procedure.
Spread pizza sauce or tomato sauce

covering the whole bread.
10 Staffs Spoon
minutes
Put the chopped hotdog, cheese, and

bell peppers.
10 Staffs Gloves
minutes
And then roll it until it becomes like

this.
10 Staffs Gloves
minutes
Crack an egg and beat it. 20 Staffs Fork

seconds
Put the rolled bread in the beaten egg

and make sure that all the area is
covered. 30 Staffs Gloves
seconds
After covering it with egg, cover it

with some bread crumbs.
30 Staffs Gloves
seconds
Ready the pizza roll for frying. 1 minute Staffs Plate
Heat a pan with oil. 3 minutes Staffs Pan
Once the pan has the desired heat,

gently put the prepared pizza roll.
3 minutes Staffs Pan, Tongs
Wait until it becomes golden brown. 8 minutes Staffs Tongs

85
Remove the pizza roll once it reaches

the golden crispy brown look.
2 minutes Staffs Tongs, Tissue
Ready the pizza roll for cutting. 30 Staffs Knife, Chopping Board
seconds
Cut the bread slant into 3 pieces 2 minutes Staffs Knife, Chopping Board
Ready the cut pizza roll for plating. 30 Staffs Plate

seconds
For its dip, add mayo in a bowl. 45 Staffs Bowl

seconds
Add some ketchup on it. 45 Staffs Bowl

seconds
Mix it until it's well-combined. 1 minute Staffs Spoon
Ready the dip for the plating. 30 Staffs & General Spoon
seconds Manager
Table 27. Labor and Machine Requirement per Step of Coffee
COFFEE

Prepare all the raw ingredients. 10 Staffs & General Apron, Gloves
minutes Manager
In a bowl, put the classic coffee. 30 Staffs Bowl

seconds
Then add sugar 30 Staffs Bowl

seconds
Add a bit of water. 10 Staffs Bowl

seconds
Enough to dissolve the mixed coffee

and sugar.
Staffs Bowl, Stirrer/Spoon
86
10
seconds
Mix until it reaches this consistency. 3 minutes Staffs Stirrer/Spoon
Heat a casserole in medium fire. 30 Staffs Casserole

seconds
Put milk. 20 Staffs Casserole

seconds
And mix it. Wait until it boils or

becomes hot.
5 minutes Staffs Ladle
In a glass or serving cup, put one

tablespoon of the mixed coffee and
sugar. 1 minute Staffs Glass, Spoon
Then gently add the heated milk. 30 Staffs Glass

seconds
Put milk until it reaches the desired

amount.
30 Staffs Glass
seconds
Mix until the ingredients are well-

combined.
1 minute Staffs Stirrer
Add ice for iced coffee. 30 Staffs Gloves

seconds
Ready to serve. 3 minutes Staffs & General Plate

Manager
Table 28. Labor and Machine Requirement per Step of Lemonade
LEMONADE

87
Prepare all the raw ingredients. 10 Staffs & General Apron, Knife,
minutes Manager Chopping Board,
Gloves
Cut the lemon into half. 3 minutes Staffs Knife, Chopping

Board
Put it into a squeezer to get all the 3 minutes Staffs Juicer

juice.
Transfer it to a container. 1 minute Staffs Pitcher
Heat a casserole and put water on it. 2 minutes Staffs Casserole
Once the water is the casserole, add

some sugar.
10 Staffs Casserole
seconds
And mix it. 30 Staffs Casserole, Ladle

seconds
Wait until it boils or becomes hot,

and put it in the container where the
lemon juice is. 6 minutes Staffs Casserole
Mix it. 30 Staffs Ladle

seconds
Add water to adjust the taste if 30 Staffs Ladle

needed. seconds
And mix it again. 30 Staffs Ladle

seconds
Add ice for iced lemonade, 30 Staffs Gloves

seconds
And get ready to serve. 3 minutes Staffs & General Plate

Manager
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C. Production Schedule
To fulfill the target units manufactured per day, the proponent created a production
schedule for the employees and general manager. A total of 8 working hours intended per day of
First Stop. For the production schedule, refer to the tables below.
Table 29. Daily Production Schedule
Time Steps
4:00 - 5:30 am Buying of the ingredients
5:31 - 6:30 am Preparing of the raw ingredients
6:31 - 7:00 am Sanitation of workplace and preparing of the tools needed
7:01 - 11:00 am Start of production
11:01 - 12:00 nn Lunch Break (Stall Closed)
12:01 - 12:45 pm Restocking of the products/ingredients needed
12:46 - 1:00 pm Finalization of the 2nd batch
1:00 - 5:00 pm Start of production (2nd batch)
5:01 - 6:00 pm Cleaning and Inventory
Table 30. Production Schedule of Snacks in Units per Year, Month, and Day for 2023
PRODUCTS PROJECTED SALES IN PROJECTED SALES IN TOTAL PRODUCTION

VOLUME PER YEAR VOLUME PER MONTH PER DAY
Churros 5,905 492 24
Pizza Rolls 6,147 512 24
TOTAL: 12,052 1,004 48

89
Table 31. Production Schedule of Beverages in Units per Year, Month, and Day for 2023
PRODUCTS PROJECTED SALES IN PROJECTED SALES IN TOTAL PRODUCTION

VOLUME PER YEAR VOLUME PER MONTH PER DAY
Coffee 5,590 466 22
Lemonade 6,304 525 25
TOTAL: 11,894 991 47
Tables 30 and 31 show the production schedule of First Stop’s products in units per year,
month, and day. The projected sales in volume for the year were gotten from the previous presented
data in Chapter 2. In order to get the projected sales in volume per month, the units for the year
were divided by 12 as there are twelve months in a year. The resulting figures will then be divided
by 21 in order to get the projected sales in volume per day. To get 21, the 250 working days were
divided by 12, meaning in a month, First Stop will operate for a total of 21 days.
As shown in the Tables above, the production units per day are 48 units for snacks and 47 units
for beverages, with a total of 95 units within a day. Each snack is expected to have a production
of 24 units. On the other hand, coffee is expected to have 22 units to be produced each day, while
25 units for the lemonade.

90
Table 32. Monthly Production Schedule
Sun Monday - Friday Sat
Week
1
Process of Raw Production Process & Product Preparing of Raw
Week Materials Distribution Materials
2
Week
3
Week
4
Table 32 shows First Stop’s monthly production schedule. The business will do a day-by-
day process of manufacturing and distributing products at the same time. Weekdays will be the
proponent’s schedule of availability. There is an intended time before the operation hours every
day to make stocks of the product, so when the operating hours begin, the staff will just fry and
serve the offerings. Customers will no longer need to wait for a long time.
D. Labor Requirement
Table 33. Labor Requirements
Position No. of Job Description

Worker
General 1 Oversees all corporate activities, including management,

Manager marketing, and finance. Can also aid in the product's manufacture.
Staff 2 In charge of producing the prospective venture's products.

91
E. Machinery and Equipment
Table 34. Machinery/Equipment Required
Equipment Photos Purpose
Mini Refrigerator Used to store the raw and excess ingredients to

prevent spoilage
Stove Used to cook food by providing heat directly
Gas Tank Used to support the stove for cooking
Clip Electric Fan Used to provide air for the staff
Used to give light for a clearer look to what the

staff is doing in the production area
Bulb
Dishwashing sink is used to wash and clean

some of the ingredients and the kitchen
Sink tools/supplies used in the operations
92
Food Containers
Used to store extra ingredients and mixture that
were not fully consumed within a day
Weighing Scale Used to weigh some of the ingredients but will

be mainly used to measure the trash donated by
customers of First Stop for its public relations
activity.
Garbage Bins This is where the trash and garbage will be

thrown or put into. There will be 3 garbage bins
to segregate the trash properly.
Extension Cord Used to connect electrical cords to the outlet if

the main cable falls short. This is where
gadgets and fans can be connected to power it
up.
Pan Used for frying or making sauces
Strainer To remove the excess oil from the fried snacks
Oil Colander To get the small fried sizes and remove the oil
immediately
Tongs To grip and pick the cooked products

93
Chopping Board Where the products are put to be cut or

chopped
Kitchen knife To slice/chop ingredients
Stainless Bowl Where to put the mixture of churros
Glass Where the beverages will be mixed
Stirrer To easily stir the beverages
F. Raw Materials Equipment
Table 35. Raw Materials Required in a Daily Production
Raw Material Purpose Price Quantity Total
CHURROS
Flour Used for Churros

PHP 50.00 3 kg PHP 150.00
Egg Used for Churros PHP 8.00 20 pcs PHP 160.00
Butter Used for Churros PHP 80.00 600 grams PHP 240.00
94
Salt Used for Churros PHP 30.00 1 kg PHP 30.00
Chocolate Used for Churros PHP 50.00 5 packs PHP 250.00
Cinnamon Powder Used for Churros PHP 179.00 500 grams PHP 179.00
Milk Used for Churros PHP 54.00 370 ml PHP 108.00
Sugar Used for Churros PHP 25.00 5 packs PHP 125.00
Cooking Oil Used for Churros PHP 35.00 5 bottles PHP 175.00
TOTAL: PHP 1,417.00
PIZZA ROLLS
Hotdog Used for Pizza Roll PHP 180.00 1 pack PHP 180.00
Ham Used for Pizza Roll PHP 35.00 5 packs PHP175.00
Egg Used for Pizza Roll PHP 8.00 10 pcs PHP 80.00
Cooking Oil Used for Pizza Roll PHP 35.00 5 bottles PHP 175.00
Bell Pepper Used for Pizza Roll PHP 10.00 5 pcs PHP 50.00
Cheese Used for Pizza Roll PHP 65.00 160 g PHP 195.00
Pizza Sauce Used for Pizza Roll PHP 35.00 115 g PHP 245.00
Loaf Bread Used for Pizza Roll PHP 80.00 600 grams PHP 800.00
Breadcrumbs Used for Pizza Roll PHP 110.00 1 kg PHP 110.00
Mayonnaise Used for Pizza Roll PHP 90.00 470 ml PHP 180.00
Ketchup Used for Pizza Roll PHP 28.00 2 bottles PHP 56.00
TOTAL: PHP 2.246.00
LEMONADE
Lemon Used for Lemonade PHP 15.00 20 pcs PHP 300.00
Water Used for Lemonade PHP 20.00 1 gallon PHP 20.00
Sugar Used for Lemonade PHP 80.00 1 kilo PHP 80.00

95
Ice Used for Lemonade PHP 27.00 10 packs PHP 270.00
TOTAL: PHP 670.00
COFFEE
Instant Coffee Used for Coffee PHP 79.00 100 grams PHP 158.00
Fresh Milk Used for Coffee

PHP 291.00 3 pcs PHP 291.00
Sugar Used for Coffee

PHP 80.00 1 kilo PHP 80.00
Ice Used for Coffee PHP 27.00 10 packs PHP 270.00
Total: PHP 799.00
G. Plant/Factory Location
The plant is located inside of Legian 1 Subdivision in Imus City, Cavite. The chosen area
gives the customers a homey feel since it is from one of the researchers’ homes. It is accessible to
homeowners and is easy to find for the customers outside the subdivision. The plant’s address is
also a major benefit for non-food businesses employees that are looking for something unique and
affordable.
96
Figure 23. Plant Location
Plants Size and Layout
TRASH PREPARATION AREA SERVING

BIN
AREA/CASHIER
COOKING AREA
SHELF OF STOCKS
Figure 24. Plant Layout
L: 3m W: 4m
7 sqm
97
H. Waste Disposal System
The implementation of a waste disposal system at the business premises will help provide
proper sanitation, which will protect employees, assure product quality, the business has a good
reputation, and have a good influence on the environment. The proponent preferred waste
segregation since FIRST STOP's primary waste items are peels of other ingredients, plastics,
paper, and so on. There will be recyclable, biodegradable, and non-biodegradable trash bins for
convenient waste collection. Furthermore, the business intends to recycle non-biodegradable
wastes during production, which will be promptly set aside by the proponent to be used as eco-
bricks, a plastic bottle packed with used plastic to set density, it can be donated, or be utilized in
future business establishments. Because eco-bricks can be an alternative for building blocks and
may also be used to make a variety of products such as furniture, garden walls, and other structures.
To maintain a clean and orderly workplace, garbage will be collected regularly as soon as the
manufacturing is completed.
Figure 25. First Stop’s Waste Disposal Management

98
I. Quality Control System
FIRST STOP ensures the production of high-quality refreshment products, from the
purchase of raw materials through the finished product. Concerning our products' ingredients,
which are the key raw materials utilized in the manufacturing process, the business would
guarantee that the ingredients purchased are of high quality and fresh. FIRST STOP would get its
ingredients, such as fruits and frozen foods, from a public market that offers high-quality goods
produced by local farmers and manufacturers. Furthermore, the proponent will verify the
expiration dates of each ingredient and store the fruits, vegetables, and frozen foods in the
refrigerator or cooler to prevent the goods from decaying. Moreover, the proponent will make sure
that staff will be using PPE (Personal protective equipment), we will guarantee that our staff should
wear PPE, especially our production staff because by providing staff with high-quality PPE, FIRST
STOP will be less likely to experience contamination in our products due to parasites, bacteria,
dust, mold, and other human-related debris.
J. Production Cost
1. Total Production per Year per Product
Table 36. Total Production per Year per Product
PRODUCTS CHURROS PIZZA ROLL COFFEE LEMONADE
2023 5,905 6,147 5,590 6,304
2024 13,097 13,632 12,479 14,073
2025 21,941 22,836 20,761 23,411

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Table 37. Total Production per Year for combined snacks and beverages
YEAR No. of Units
2023 23,946
2024 53,281
2025 88,949
2. Production Cost per Unit
Table 38. Production Cost per Unit: Churros
Churros
Ingredient Unit Quantity Price per Ingredient in Pesos
Flour ½ cup 3
Egg 1 piece 7
Butter 56.7g 5
Salt ⅛ tsp 0.50
Chocolate ⅛ cup 2
Cinnamon powder 1 tsp 0.50
Milk 2 tbsp 4.37
Sugar 2 tbsp 0.62
Cooking oil 5 tsp 2.50
Total Base Price per Unit 25.49

100
Table 39. Production Cost per Unit: Pizza Roll
Pizza Roll
Hotdog ¼ lengthwise sliced 3
Ham 1 strip 1.46
Egg 1 piece 7
Cooking oil 5 tsp 2.50
Bell pepper 2 strip 0.8
Cheese 1 strip 3.6
Pizza sauce 30 ml 0.35
Sliced Bread 2 pieces 8.4
Breadcrumbs 62 ml 4.74
Mayonnaise 2 tbsp 3
Ketchup 1 tbsp 2.6
Table 40. Production Cost per Unit: Lemonade
Lemonade
Lemon 1 piece 8
Water 1 cup 4
Sugar 3 tbsp 0.93
Ice 4 pieces of tube ice 2.4

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Table 41. Production Cost per Unit: Coffee
Coffee
Instant coffee 2 tbsp 6
Milk ½ cup 11
Sugar 2 tbsp 0.62
Ice 4 pieces of tube ice 2.4
Water 2 tsp 0.17
Tables 38-41 show the production cost per unit for each of First Stop’s offerings. Just a
reminder that for the 2 snacks - churros and pizza rolls, per unit refers to a single serving with 6
pieces because they will not be sold per piece. For the 2 beverages, per unit is sold in a 12 oz cup
only. With that said, the total base price per unit of First Stop’s products are as follows: churros -
PHP 25.49; pizza rolls - PHP 37.45; lemonade - PHP 15.33; and coffee - PHP 20.19.
3. Projected Cost of Production/Operation
Table 42. First Stop’s Total Projected Cost of Production
Product Base With 15% With 20% With Final Selling

Offering Price/Unit Direct Labor Overhead 50% Markup price
Costs
Churros 25.49 3.82 5.10 12.75 PHP 47.00
Pizza Roll 37.45 5.62 7.49 18.73 PHP 69.00

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Coffee 20.19 3.03 4.04 10.10 PHP 37.00
Lemonade 15.33 2.3 3.07 7.67 PHP 28.00
Table 42 above shows the margins mentioned as well as the total anticipated cost of
producing one unit of FIRST STOP snacks and beverages. FIRST STOP sells two (2) different
snacks and beverages; churros and pizza rolls have a base price of PHP 25.49 and PHP 37.45,
respectively, with a total cost per product and final selling price of PHP 47.00 and PHP 69.00. For
beverages, coffee and lemonade have a base price of PHP 20.19 and PHP 15.33, respectively, with
a total cost per product and final selling price of PHP 37.00 and PHP 28.00.
Table 43. Projected Price Increase for the Years 2023 - 2025
Product Offering 2023 2024 2025
Churros PHP 47.00 PHP 49.00 PHP 51.00
Pizza Rolls PHP 69.00 PHP 72.00 PHP 76.00
Coffee PHP 37.00 PHP 39.00 PHP 41.00
Lemonade PHP 28.00 PHP 29.00 PHP 30.00
Table 43 shows the projected price increase for the years 2023-2025 for each product
offering of First Stop. All of the prices are expected to have a 5% increase for the succeeding years,
thus the figures above.

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CHAPTER 4
ORGANIZATIONAL PLAN
A. LEGAL FORM OF BUSINESS
First Stop is a partnership business among three individuals. Each one of them is
accountable for the overall operations of the business. Gabriel Mindana is the general manager of
First Stop. It will succeed in its goal of developing into a prosperous small business with the help
of his partners, Nicole and Maynard, with numerous franchises thanks to the proponent's
commitment, knowledge, and passion. The business is a partnership of these 3 entrepreneurs that
wants to enhance their knowledge and skills in terms of managing a business by starting up their
own business.
B. ORGANIZATIONAL STRUCTURE
General
Manager
Gabriel Mindana
Marketing Officer Production &

Finance Officer
Operations Officer
Nicole Andal Maynard Domino
Gabriel Mindana
Staffs
Nicole Andal &
Maynard Domino
Figure 26. Organizational Structure of First Stop

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C. QUALIFICATION OF OFFICERS
Table 44. Qualifications of First Stop’s Officers
GENERAL MANAGER
JOB DESCRIPTION JOB QUALIFICATIONS
• Handle business transactions • Graduate of any business

• Hire and train staffs course·
• Organize cash flows and other • Must have a verbal and non-verbal
financial activities skills
• Develops promotional and marketing • A risk taker
strategies • Can work under pressure
• Deals with customers’ queries and • Should have an excellent knowledge
complaints of different business functions.
• Receive payments and issues receipt • Must have decision-making skills
from customers • Must have a leadership skills
• Ensures that all goals are achieved and • Must have the ability to solve
customers’ satisfaction are met problems with analytical skills
• Manage the overall function of the • Must have a knowledge in financial
business budgeting and reporting
• Makes sure that everything is going • Must have knowledge with digital
accordingly to plans marketing tools
• Does financial inventory at the end of • Must have a pleasing personality
the day
STAFF
JOB DESCRIPTION JOB QUALIFICATIONS
• Ensure the product quality • At least high senior high school

• Counting the inventory graduate
• Manufacturing the products • Honest, Dedicated, & Passionate in
• Handles the complete number of raw work
materials • Fast Learner
• Will contact the suppliers • Must have a verbal and non-verbal
• Will help the general manager in skills
product distribution • Can work under pressure
• Facilitate the production area • Must have a pleasing personality
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D. OFFICE/KITCHEN EQUIPMENT
Back in Chapter 3 Table 34, the kitchen machinery, equipment, and tools needed for the
production of First Stop’s products were introduced. These office and kitchen equipment are
needed for the operations and production of First Stop. It includes machines and utensils that could
last a year and more.
Table 45. First Stop’s Office/Kitchen Equipment
Equipment Photos
Mini Refrigerator
Stove
Gas Tank
Dishwashing Sink
Food Containers
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Weighing Scale
Clip Electric Fan
Extension Cord
Light Bulb
Garbage Bins
Pan
Strainer
Oil Colander
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Tongs
Chopping Board
Kitchen knife
Stainless Bowl
Glass
Stirrer
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E. GANTT CHART OF ACTIVITIES
Table 46. Gantt Chart of Activities

MONTH July Aug. Sept. Oct. Nov. Dec. Jan.
ACTIVITY
Business Planning
Sourcing of raw materials and equipment
Acquisition of raw materials and

equipment
Hiring of Staff
Training Staff
Product Sampling
Product Promotion & Launching
Start of Business Operation
F. ADMINISTRATIVE EXPENSE
Administrative costs for First Stop would not include rent expenditure but utilities, office
equipment and supplies, salaries, and tax expenses. The business will run along the current typical
model, with the proponent handling all financial, marketing, production, and operational tasks
from their home office.

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Table 47. First Stop’s Utilities Expense
UTILITIES EXPENSES
Particulars Monthly Cost Percentage Monthly Annual Utilities

Contribution Contribution Expense
Electricity 5,000.00 1,150.00 13,800.00
Water 750.00 172.5 2,070.00

23%
LPG 900.00 (semi- 34.5 414.00

annual)
Internet 1,700.00 391.00 4,692.00
TOTAL PHP 1,748 PHP 20,976.00
Despite First Stop being a home-based business, it is important that the researchers
contribute to the utilities being used for the operations such as electricity, water, LPG, and Internet.
After some calculations, the proponents come up with a 23% monthly contribution for the utilities
of the home. In order to get that percentage, the total hours within a month was computed first: [24
hours x 30 days = 720 hours]. As mentioned on the previous sections of this paper, First Stop will
operate for a total of 21 days within a month, with 8 hours each, which amounts to a total of 168
hours: [21 days x 8 hours = 168 hours]. The 168 hours will then be divided to 720 hours to get
0.23 then multiplied by 100 to get the percentage of 23% as the monthly contribution of First Stop
as a home-based business.
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Table 48. First Stop’s Office/Kitchen Equipment
Particulars Unit Cost Quantity Total
Mini Refrigerator 8,000.00 1 PHP 8,000.00
Stove 1,700.00 2 PHP 3,400.00
Dishwashing Sink 3,000.00 1 PHP 3,000.00
Light Bulb 250.00 3 PHP 750.00
Food Containers 55.00/pack of 1 PHP 55.00

10 pcs
Weighing Scale 2,500.00 1 PHP 2,500.00
Clip Electric Fan 170.00 2 PHP 340.00
Extension Cord 1,000.00 1 PHP 1,000.00
Garbage Bins 500.00 3 PHP 1,500.00
Pan 95.00 3 PHP 285.00
Strainer 170.00 1 PHP 170.00
Oil Colander 55.00 1 PHP 55.00
Tongs 75.00 2 PHP 150.00
Chopping Board 50.00 2 PHP 100.00
Kitchen knife 60.00 4 PHP 240.00
Stainless Bowl 160.00 1 PHP 160.00
Glass 50.00 2 PHP 100.00
Stirrer 30.00 2 PHP 60.00
TOTAL PHP 21,865.00
This table shows the kitchen equipment that are used for the operations and production of
First Stop. It includes machines and utensils to be used that can last for a year and even more. The
total cost of equipment is PHP

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Table 49. First Stop’s Furniture and Fixtures
FURNITURE & FIXTURES
Particulars Quantity Unit Cost Total
Monoblock Chairs 3 PHP 400.00 PHP 1,200.00
Folding Table 1 PHP 2,500.00 PHP 2,500.00
TOTAL PHP 3,700.00
This table shows the necessary furniture and fixtures for the operations of the business.
First Stop is home-based which makes the other F&F available however there is additional stuff
needed for the convenience such as the aforementioned particulars.
Table 50. First Stop’s Office Supplies
OFFICE SUPPLIES
Ballpen 2 PHP 10.00 PHP 20.00
Record Book 1 PHP 50.00 PHP 50.00
500ml Isopropyl Alcohol 2 PHP 85.00 PHP 170.00
Pack of Plastic Gloves 1 PHP 100.00 PHP 100.00
Box of Facemask 1 PHP 50.00 PHP 50.00
Tissue Rolls 5 PHP 20.00 PHP 100.00
Washable Hair Net 3 PHP 30.00 PHP 90.00
Desk-top Mini Calculator 1 PHP 75.00 PHP 75.00
Post-it pads 2 PHP 15.00 PHP 30.00
Sponge 5 PHP 10.00 PHP 50.00

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Broom 2 PHP 40.00 PHP 80.00
Dustpan 1 PHP 50.00 PHP 50.00
Spin Mop 1 PHP 400.00 PHP 400.00
Garbage Bags 6 packs (10 pcs each) PHP 30.00 PHP 180.00
175ml Dishwashing Liquid 3 PHP 50.00 PHP 150.00
TOTAL PHP 1,595.00
This table shows the office supplies that the researchers will use in the day-to-day
operations of the business. It includes items needed for health and safety, and daily records of
orders and sales.
Table 51. First Stop’s Pre-operating Supplies
PRE-OPERATING SUPPLIES
Ballpen 1 PHP 10.00 PHP 10.00
Record Book 1 PHP 50.00 PHP 50.00
500ml Isopropyl Alcohol 1 PHP 85.00 PHP 85.00
Pack of Plastic Gloves 1 PHP 100.00 PHP 100.00
Box of Facemask 1 PHP 50.00 PHP 50.00
Tissue Rolls 1 PHP 20.00 PHP 20.00
Washable Hair Net 3 PHP 30.00 PHP 90.00
Desk-top Mini Calculator 1 PHP 75.00 PHP 75.00
Post-it pads 1 PHP 15.00 PHP 15.00
Sponge 1 PHP 10.00 PHP 10.00

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Broom 1 PHP 40.00 PHP 40.00
Dustpan 1 PHP 50.00 PHP 50.00
Spin Mop 1 PHP 400.00 PHP 400.00
Garbage Bags 2 packs (10 pcs each) PHP 30.00 PHP 60.00
175ml Dishwashing Liquid 1 PHP 50.00 PHP 50.00
TOTAL PHP 1,185.00
Table 51 shows the pre-operating supplies to be consumed by the business. These are the
supplies needed for the pre-operations, meaning these are the initial supplies to be needed. By
adding the supplies expense of Table 50 and the pre-operating supplies on Table 51, the total
annual supplies of First Stop would be PHP 2,780.00.
Table 52. First Stop’s Salaries Expense
SALARIES EXPENSE
2023 2024 2025
Daily Salary 235 247 259
Monthly Salary (21 days) 4,935 5,187 5,439
TOTAL ANNUAL SALARY 59,220 62,244 65,268
TOTAL ANNUAL SALARY FOR 3 STAFFS 177,660 186,732 195,804
The 2023 daily salary of First Stop’s staff is the minimum wage for non-agriculture based
on Region IV-A (CALABARZON)’s Wage Order No. IVA-19 (2nd Tranche) that is effective
starting on December 30, 2022 which is PHP 470. However, as a startup business, the proponents
thought of having lesser salaries because it would lessen the burden on the total annual expenses
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of First Stop. Salaries are not much of a big deal during the first year of operations. As a result,
the daily salaries of each staff will be 50% of 470 which is 235 pesos. The daily salary would
increase by 5% for the succeeding years.
Source: https://nwpc.dole.gov.ph/wp-content/uploads/2018/06/Published-WO-No.-IVA-19.pdf
Table 53. First Stop’s Taxes and Licenses Expense
Particulars Cost
Mayor’s Permit PHP 225.00
Sanitary Permit PHP 100.00
Safety Permit PHP 500.00
BIR Registration PHP 500.00
Barangay Clearance PHP 25.00
DTI Registration PHP 200.00
Business Tax PHP 4,924.00
TOTAL PHP 6,474.00
The table above shows First Stop’s expenses regarding the official documents and permits
registration along with the business tax. The Mayor’s permit cost and business tax were based on
Imus, Cavite’s business permits and licensing office for 2022 with the source attached below.
Source: BUSINESS PERMITS AND LICENSING OFFICE (BUSINESS ONE-STOP SHOP)

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CHAPTER 5
FINANCIAL PLAN
A. Total Projected Cost
1. Initial Investment
Figure 27.1. Schedule of Initial Capitalization of First Stop
Figure 27.1. Indicates the researchers' contribution of 20,000.00 Pesos for each member
(shareholder) and has an initial capitalization of 60,000.00 Pesos, which will be used to acquire
the business's needed assets and manage the start-up business. Furthermore, these funds must be
utilized to pay wages and other administrative and promotional expenses that have been incurred
or are necessary.
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2. Pre-Operating Expenses
Figure 27.2. Projected Pre-Operating Cash Flow of First Stop
Figure 27.2. Shows the pre-operating projected cash flow of FIRST STOP. The total cash
contribution attributable to capitalization by the investment partner amounts is PHP 60,000.00,
with no-advanced rentals to be paid due as the business shall not lease any real property and is a
home-based business. Moreover, fixed assets of PHP 25,565 and supplies of PHP 1,185.00 are
deducted from total capital to yield PHP 33,250.00 to be employed in business operations.
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3. Operating Expenses
Figure 27.3. Operating Expenses Schedule of First Stop

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Figure 27.3 shows the FIRST STOP operating expenses for the years 2023-2025. There
will be no rental expense since the business is home-based. The annual utilities for 2023 amounted
to PHP 20,976 and is expected to increase 5% annually. The annual supplies cost PHP 2,780 and
is also expected to increase by 5% in the succeeding years. The total annual salaries for the 3
salaried workers of First Stop is PHP 177,660 and is also assumed to increase by 5% rate every
year. The total selling expense of the business is PHP 25,645 for 2023 and is expected to rise by
5% over the next two years. Lastly, the taxes and licenses expense has a total amount of PHP
16,824 for 2023 and is also assumed to rise by 5% over the succeeding years.
B. Sources of Financing
Figure 28. Statement of Changes in Owner’s Equity of First Stop

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Figure 28 highlights the sources of financing for business operations, expenses, labor, and
other similar use cases. The figure represents the income distribution of business owners. Based
on the operations plan, Mr. Gabriel Mindaa, Ms. Nicole Andal, and Mr. Maynard Domino would
each contribute 20,000.00 Pesos for a total investment of 60,000.00 Pesos.
C. Projected Financial Statement
1. Projected Cash Flow Statement
Figure 29.1. Statement of Cash Flows of FIRST STOP
Figure 29.1 indicates the business's ending cash balance for the years 2023 to 2025. The
ending cash balance in 2023 is PHP 182,562, with PHP 747,598 in 2024 and PHP 1,842,541 in
2025.
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2. Projected Income Statement
Figure 29.2. Projected Income Statement of FIRST STOP
Figure 29.2 shows FIRST STOP's projected income statement, which depicts the estimated
financial results for the years 2023, 2024, and 2025 with a 30% income tax rate. The assumed
spoilage allowance of the proponents is 2% because industry’s standard of spoilage rate is two
units of normal spoilage divided by 100 units produced. With all the expenses and cost of goods
sold deducted from the sales, First Stop’s net income after tax for 2023 is projected to be PHP
142,350; PHP 537,427 for 2024; and PHP 1,060,312 for 2025.
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3. Projected Balance Sheet
Figure 29.3. Projected Balance Sheet of FIRST STOP
Figure 29.3 shows that the projected balance sheet of FIRST STOP indicates that the total
assets of the business matches peso for peso, with the total liabilities and capital of the business
balanced from the first to the last projected year.

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D. Profitability Indices
1. Return on Investment (ROI)
Table 54. Return on Investment (ROI) of FIRST STOP
The table shows that the ROI (Return on Investment) of First Stop is 2.3725. To get the
percentage, that figure will be multiplied by 100 which will result in 237% ROI within the first
fiscal year of operations. This is considerably a very good result because having a 200% ROI
means that the business has tripled its money. The following formula was used to calculate ROI:
2. Payback Period
Table 55. Payback Period of FIRST STOP
Based on the table, the payback period for the initial investment of 60,000.00 is 0.40. This
implies that the investment will be repaid in a very short amount of time which is estimated to be
4-5 month.
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3. Net Income: Sales Ratio
Figure 30. Projected Financial Ratios of FIRST STOP

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Interpretations of Financial Ratios:
A. Liquidity Ratio
Figure 30.1. First Stop’s Liquidity Ratio
FIRST STOP’s liquidity ratios exhibit a healthy result or desirable situation as all of them
are greater than 1.0. Current ratio measures whether the business has enough current assets to pay
its current or short-term obligations. On the other hand, quick ratio measures the extent to which
the business can pay its short-term obligations with its liquid assets. It can be seen in the graph
that First Stop will have an increasing liquidity ratio over the next 2 years, starting from 2023, but
is still a desirable result.

125
B. Solvency Ratio
Figure 30.2. First Stop’s Solvency Ratio for Debt
The figure depicts the solvency ratio for First Stop’s debt, which reflects the company's
capability to meet its obligations should loan or other forms of incurred interest-based payments
be used. Furthermore, the data indicates the company is in good standing in this regard. A debt
ratio of less than 100% indicates that the business has more assets compared to its debts. With First
Stop’s debt ratio, it can be interpreted that it has a healthy debt ratio as it is a very low percentage
and for the succeeding years, it will continue to decrease significantly.

126
Figure 30.3. First Stop’s Solvency Ratio for Equity
The figure illustrates the solvency ratio for equity of First Stop. The equity ratio presents a
rising pattern or trend. This indicates that the company has outstanding financial leverage and is
capable of acquiring required assets with the least amount of debt incurred. This ratio indicates
how financially stable First Stop may be in the long run.

127
C. Profitability Ratio
Figure 30.4. First Stop’s Profitability Ratios
The figure above shows a primarily positive trend in First Stop profitability, with rises in
Net Income Ratio, Gross Profit, and Return on Assets. This is expected when net income rises in
relation to projected units sold over the following three (3) years of operations. As a result, gross
profit increases. Overall, the results indicate a viable business model with several opportunities for
product and business expansion, as well as growth and diversification.

128
4. Break-even Point
Table 56. Break-even Point per product of FIRST STOP
Table 56 shows the breakeven point per product of First Stop. Break-even point means the
point at which the total cost and total revenue are equal. It is the level of production at which there
is no gain nor loss for the business. If the product reaches that number of units sold, the business
has to make sure that it will exceed in order to gain profit or else a loss might occur. In order to
compute the break-even point per product, the cost of goods sold for each product will be divided
by their corresponding final selling price.

129
In the case of First Stop’s products the breakeven point are as follows: Churros have a projected
5,905 units to be sold for 2023 and the breakeven point is 3,308 units; Pizza Rolls have a projected
6,147 units to be sold for 2023 and its breakeven point is 3,408 units; the coffee has a projected
5,590 units to be sold for 2023 and the breakeven point is 3,184 units; lastly lemonade has a
projected 6,304 units to be sold for 2023 and its breakeven point is 3,628 units.
E. List of Assumptions Used
• Monthly wages of the employees are assumed to increase by 5% every year.
• Monthly utilities are expected to increase by 5% annually.
• Cost of supplies is expected to increase 5% every year.
• Desired ending inventory is 3% of current year’s sales.
• The final selling price of products is expected to increase by 5% annually.
• The selling price of the cost of goods sold (COGS) is assumed to rise by 5% annually.
• Every year, 2% of sales is allotted for spoilage allowance every year.

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F. Schedules
1. Projected Sales
Table 57. Projected Sales in Pesos of FIRST STOP
YEAR PARTICULARS TOTAL PROJECTED SALES TOTAL PROJECTED

IN PESOS (YEARLY) SALES IN PESOS (DAILY)
2023 Snacks PHP 701,678 PHP 2,807
Beverages PHP 383,342 PHP 1,533
TOTAL PHP 1,085,020 PHP 4,340
2024 Snacks PHP 1,623,257 PHP 6,493
Beverages PHP 894,798 PHP 3,579
TOTAL PHP 2,518,055 PHP 10,072
2025 Snacks PHP 2,854,527 PHP 11,418
Beverages PHP 1,553,531 PHP 6,214
TOTAL PHP 4,408,058 PHP 17,632
Table 58 shows the summary of First Stop’s overall projected sales in pesos for years 2023
to 2025. The business is expected to gain PHP 1,085,020; PHP 2,518,055; and PHP 4,408,058,
respectively within 3 years. As for the projected sales in pesos daily, it is expected to gain PHP
4,340 for 2023; PHP 10,072 for 2024; and PHP 17,632 for 2025.
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2. Projected Sales Volumes
Figure 31. Projected Sales Volumes of FIRST STOP

132
Figure 31 presents the projected sales volume of First Stop. It shows the projected number
of units to be sold for each price, multiplied by their selling price to get the total sales revenue.
The projected sales volume for churros is 5,905 while pizza rolls is 6,147 - with a total of 12,052
units for 2023. The coffee has projected sales volume of 5,590, while lemonade has 6,304 - with a
total of 11,894 units for 2023. The projected sales volume for 2023 is 23,496 units; for 2024 is
53,281 units; and for 2025 is 88,949 units.
3. Fixed Capital Investment
Figure 32. Fixed Capital Investment of FIRST STOP
Figure 27. FIRST STOP's fixed capital assets are the long-term assets of the business
(equipment, furniture, and fixtures, etc.) that are utilized in the production of goods and services.
The total current assets for the pre-operating year were PHP 34,435, followed by PHP 200,861 for
the first operating year (2023), PHP 790,312 for the second operating year (2024), and PHP
1,917,484 for the final projected operating year (2025). As required initial capital, total assets for
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the pre-operating year are therefore PHP 60,000; PHP 220,314 for the second operating year, PHP
803,653 for the third, and PHP 1,924,713 for the final year. This indicates that the initial capital
invested is adequate to cover the first startup expenses in the first year of operations.
4. Projected Cost Production/Operation
Figure 33.1 Projected Production Cost: Churros

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Figure 33.2 Projected Production Cost: Pizza Rolls

135
Figure 33.3 Projected Production Cost: Coffee

136
Figure 33.4 Projected Production Cost: Lemonade
Figures 33.1 to 33.4 presented the projected production cost per product of First Stop. The
material cost is based on the projected daily production of the product. For the direct labor cost,
the monthly salary of a staff is used then divided by the projected yearly units to be sold for that
product. The resulting unit cost per product will be used to compute the cost of goods sold.
137
5. Projected Cost of Goods Sold
Figure 34. First Stop’s Cost of Goods Sold
This figure presents the projected cost of goods sold for First Stop. Cost of goods sold
refers to the direct costs of producing the products sold by the company. Each of First Stop’s
products has its very own projected units sold to be rendered every year which was from the supply
138
and demand analysis - these figures were also presented back in chapters 2 and 3 of the paper. The
unit product cost for each product was calculated through costing which was presented in the
section prior this part. By multiplying the units sold by its unit product cost, the cost of goods sold
for the product will be gotten. By getting the sum of the 4 products’ cost of goods sold, First Stop
is projected to have PHP 609,966 for 2023; PHP 1,423,773 for 2024; and PHP 2,498,116 for
2025.
6. Schedule of Materials Purchases
Figure 35. First Stop’s Schedule of Supplies
The figure shows the supplies to be purchased by the business for its operations in a year.
These items are those that cannot last for more than a year as they can be either consumer or broken
down easily. The supplies amounted to PHP 1,595 for the year 2023.
139
Figure 36. First Stop’s Schedule of Fixed Assets and Depreciation
The figure shows the fixed assets and their accumulated depreciation for the years 2023-
2025. It involves equipment and furniture and fixtures which are items that could last for more
than a year in the business. The equipment has a total cost of PHP 21,865, with a yielded PHP
5,372 depreciation cost. In terms of furniture and fixtures, the total is PHP 3,700 with a total
depreciation cost of PHP 740. Moreover, First Stop will have no vehicle nor building acquisitions.
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7. Projected Administrative and Selling Expenses
Figure 37. FIRST STOP’s Projected Administrative and Selling Expenses

141
Figure 37 shows the projected annual selling and administrative expenses of First Stop or
what is also called the Operating Expenses. Similar to what was presented in Figure 27.3, First
Stop’s administrative and selling expenses include utilities, supplies, salaries, marketing/selling,
and taxes and licenses. For the year 2023, First Stop has a projected administrative and selling
expenses of PHP 243,885. The projected expenses for the years 2024 and 2025 would also increase
as each of the expenses are expected to rise by 5% every year.

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APPENDICES
Market Survey Results Summary
I. DEMOGRAPHICS
Questions Frequency Percentage

(100 (100%)
respondents)
1. Which of the following age groups do you belong to?
A. 12 & under A. 0 A. 0%
B. 13-18 B. 19 B. 19%
C. 19-25 C. 79 C. 79%
D. 26 & above D. 2 D. 2%
2. What is your occupation?
A. Student A. 88 A. 88%
B. Employee B. 10 B. 10%
C. Non-employee C. 2 C. 2%
3. Weekly allowance (for students)
A. Less than PHP 500 A. 38 A. 40.9%

B. PHP 500-PHP 1000 B. 38 B. 40.9%
C. Above PHP 1000 C. 17 C. 18.3%
4. Monthly income (for employees and working students)
A. Less than PHP 18,000 A. 20 A. 69%

B. PHP 20,000-PHP 30,000 B. 6 B. 20.7%
C. PHP 31,000-PHP 45,000 C. 3 C. 10.3%
II. PRODUCT
5. Do you prefer having snacks and beverages served together?
A. Yes A. 96 A. 96%
B. No B. 4 B. 4%
6. What do you prefer using when eating snacks?
A. Stick A .20 A. 20%

B. Spork B. 52 B. 52%
C. Fork C. 20 C. 20%
D. Others (Fingers/hands) D. 8 D. 8%
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7. What is the most important factor you consider when buying

snacks and beverages?
A. Appearance A. 3 A. 3%
B. Price B. 38 B. 38%
C. Quantity C. 5 C. 5%
D. Taste D. 54 D. 54%
III. PLACE
8. Where do you usually purchase your snacks and beverages?
A. Street Vendors A. 6 A. 6%
B. Sari-Sari Stores B. 26 B. 26%
C. Convenience Stores C. 33 C. 33%
D. Coffee Shops/Fast Food Chains D. 15 D. 15%
E. Grocery/Supermarket E. 18 E.18%
F. Others (Vending Machine, Food delivery) F. 2 F. 2%
IV. PROMOTION
9. Which type of advertisement do you think is the most effective in

promoting snacks and drinks?
A. Personal Connections/Word of Mouth A. 41 A. 41%

B. Fliers and other Printed Materials B. 4 B. 4%
C. Online and other digital materials C. 54 C. 54%
D. Others D. 1 D. 1%
V. FREQUENCY OF PURCHASE
10. How often do you purchase snacks?
A. Once a week A. 37 A. 37%

B. Twice a week B. 43 B. 43%
C. Once a month C. 11 C. 11%
D. Twice a Month D. 9 D. 9%
11. How often do you purchase beverages?
A. Once a week A. 38 A. 38%

B. Twice a week B. 40 B. 40%
C. Once a month C. 15 C. 15%
D. Twice a month D. 7 D. 7%
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VI. WILLINGNESS TO BUY
12.1 On a scale of 1-5 (1 being the lowest and 5 being the highest),
how willing are you to buy the following snacks? (CHURROS)
A. 1 (strongly unwilling) A. 14 A. 14%

B. 2 (unwilling) B. 13 B. 13%
C. 3 (neutral) C. 25 C. 25%
D. 4 (willing) D. 22 D. 22%
E. 5 (strongly willing) E. 26 E. 26%
how willing are you to buy the following snacks? (PIZZA ROLLS)
A. 1 (strongly unwilling)
B. 2 (unwilling) A. 11 A. 11%
C. 3 (neutral) B. 13 B. 13%
D. 4 (willing) C. 28 C. 28%
E. 5 (strongly willing) D. 32 D. 32%
E. 16 E. 16%
how willing are you to buy the following snacks? (COFFEE)

C. 3 (neutral) C. 9 C. 9%
D. 4 (willing) D. 23 D. 23%
E. 5 (strongly willing E. 40 E. 40%
how willing are you to buy the following snacks? (LEMONADE)
C. 3 (neutral) C. 24 C. 24%
D. 4 (willing) D. 27 D. 27%
E. 5 (strongly willing) E. 31 E. 31%
VII. SPENDING BEHAVIOR
14. How much do you usually spend on snacks?
A. PHP 20 and below A. 12 A. 12%

B. PHP 21 - PHP 30 B. 22 B. 22%
C. PHP 31 - PHP 40 C. 21 C. 21%
D. PHP 41 and above D. 45 D. 45%
145
15. How much do you usually spend on beverages?

B. PHP 21 - PHP 30 B. 21 B. 21%
C. PHP 31 - PHP 40 C. 22 C. 22%
VIII. PRICE
16. How much are you willing to spend for the following product
offerings? (Churros, Pizza Rolls, Coffee, Lemonade)

B. PHP 21 - PHP 50 B. 25 B. 25%
C. PHP 51 - PHP 80 C. 34 C. 34%
146
SWOT Matrix
STRENGTHS WEAKNESSES
- Customers love to eat, especially food - Few numbers of manpower

that are easy to consume - Offerings might be common
- Snacks and drinks are good to go for - Small capital
many - No outstanding product offering due to
- Variety of snacks and beverages to variety
choose from - Time-consuming food preparation due to
- Affordable many offerings
- Easy to make products
- Very profitable if executed properly
OPPORTUNITIES THREATS
- Use of plastic-free and reusable - Inflation rate resulting to increase in

packaging for less trash commodities’ price
- Consumers also incline themselves - Tough competition in the food and
with healthy options beverage industry
- Convenience is of importance - Customers’ changing tastes and
nowadays satisfaction
- E-commerce and delivery services - Health concerns like COVID-19 and
- Social media helps promote and spread Monkeypox
the news regarding the business
ACTION ITEMS AND GOALS
1. Pursue the opportunity of making use of plastic-free packaging so that the business can
contribute to the protection of the environment. As customers like convenience and
promos, they can provide their own tumblers and containers when purchasing the
products to avail some discounts.
2. The problem of having no main product offering can be worked on by choosing one
product that has the most potential of being improved. Make the best out of the offering
that the customers loved the most.
3. Lessening the costs as much as possible to combat the rising price of ingredients.
147
Porter’s Five Forces of Analysis
a. Threat of New Entry (HIGH)

• Cost Advantage - First Stop assures to use the most cost-effective resources and mode of
production
• Specialist Knowledge - First Stop's owner and production team are familiar with and
knowledgeable about its offerings.
• Time and Cost of Entry - Regardless of the new business entry in the market, the proponent
will focus on offering appetizer-inspired products. Since we are focusing on light snacks,
the cost would be minimal.
b. Supplier Power (HIGH)

• Number of suppliers - there are a lot of suppliers we can get our main ingredients from.
Since all of our ingredients are primarily visible in the market, we just have to look for a
direct supplier so we can get a huge discount.
• Cost of changing - since First Stop’s ingredients are basic and the demand for those
ingredients is high, the product cost may vary upon the change of the supplier’s price.
c. Threat of Substitution (HIGH)

• Substitute Performance - there are a lot of existing substitutes who offer varieties of snacks
as well.
• Cost of Change - products' prices may rise annually because rising costs are projected as a
result of inflation.
d. Buyer Power (HIGH)

• Number of Competitors - First Stop is inspired by customers who have minimal allowance.
Also, to offer something light and new to the market aside from the usual rice combo meals.
• Differences among Competitors - The proponent will focus on offering affordable, and
presentable refreshments.
e. Competitive Rivalry (HIGH)

• Number of Competitors - although First Stop faces numerous competitors, the proponents
contend that customers will continue to buy its products because they stand out from the
crowd.
• Customer’s Loyalty - the proponents will not just offer refreshments, but will also make
sure that customers will get used to First Stop by giving them mini-games. This technique
will not engage the customers with the products but with the service as well.
148
REFERENCES
City of Imus, Cavite. (2022). Business Permit and Licensing Office. Retrieved from
https://imus.gov.ph/departments-and-units-underscontruction/business-permit-and-licensing-
office/
PhilAtlas. (2022). Carsadang Bago II, City of Imus, Province of Cavite. Retrieved from
https://www.philatlas.com/luzon/r04a/cavite/imus/carsadang-bago-
ii.html#:~:text=Carsadang%20Bago%20II%20is%20a,the%202020%20Census%20was%2027%
2C716
Regional Tripartite Wages and Productivity Board. (2022). Wage order no. IVA-19. Department
of Labor and Employment: National Wages & Productivity Commission. Retrieved
from https://nwpc.dole.gov.ph/wp-content/uploads/2018/06/Published-WO-No.-IVA-19.pdf
149
ETHICS DECLARATION
We, GABRIEL MINDAÑA, ANGELICA NICOLE ANDAL, and MAYNARD DOMINO,

declare that the enclosed Business Plan Proposal contains a balanced and objective discussion on
the various topics covered in the research work. This research paper holds sufficient details and
references to permit others to use it as a guide in conducting similar or related research in the
future.
We are fully aware that fraudulent or knowingly inaccurate statements constitute unethical
behavior and therefore unacceptable. The researchers ensure that they have written original work,
and if they have used the works and/or words of others, these were appropriately cited or quoted.
All substantive and possible conflict of interests that might be construed to influence the results of
this research work are fully disclosed.
GABRIEL MINDAÑA ANGELICA NICOLE ANDAL

Researcher Researcher
MAYNARD DOMINO
Researcher
150
CURRICULUM VITAE
Mindaña, Gabriel T.
Student Number: 4200473
Phone Number: 09429895731
Email: gabriel.mindana@letran.edu.ph
Address: Blk 17 Lot 26, Meadow Lark St., Addas Greenfields, Mambog IV, Bacoor, Cavite
------------------------------------------------------------------------------------------------------------------
Personal Information
Date of Birth: October 8, 2001

Nationality: Filipino
Status: Single
Sex: Male
Age: 21 years old
Mother: Tida T. Mindaña
Father: Rodulfo E. Mindaña
Language Spoken: Filipino & English
------------------------------------------------------------------------------------------------------------------
Education
College Colegio de San Juan de Letran - Manila (2020-present)

College of Business Administration and Accountancy (CBAA)
Manila 151, Intramuros, Philippines
Senior High School Saint Alphonsus Liguori Integrated School (2018-2020)
Junior High School Saint Alphonsus Liguori Integrated School (2014-2018)
Elementary Saint Alphonsus Liguori Integrated School (2008-2014)

151
Andal, Angelica Nicole M.

Email: angelicanicole.andal@letran.edu.ph
Address: Blk 2 Lot 7, Phase A, Legian 1 Subd., Carsadang Bago II, Imus City, Cavite
------------------------------------------------------------------------------------------------------------------
Date of Birth: November 7, 2001

Status: Single
Sex: Female
Age: 21 years old
Mother: Janel M. Andal
Father: Edgardo V. Andal Jr.
------------------------------------------------------------------------------------------------------------------
Education

Senior High School University of Perpetual Help - Molino Campus (2018-2020)
Junior High School Imus Institute of Science and Technology (2014-2018)
Elementary Our Lady of the Pillar Catholic School (2008-2014)

152
Domino, Maynard F.
Email: Maynard.domino@letran.edu.ph
Address: Blk 6 Lot 15, Cedar Street, Grand Walnut Grove, Llano Caloocan City
------------------------------------------------------------------------------------------------------------------
Date of Birth: October 14, 2001

Status: Single
Sex: Male
Age: 21 Years old
Mother: Nelny F. Domino
Father: Guillermo L. Domino
------------------------------------------------------------------------------------------------------------------
Education

Senior High School Good Shepherd Cathedral School (2018-2020)
Junior High School Ina ng Buhay Catholic School (2014-2018)
Elementary Ina ng Buhay Catholic School (2008-2014)

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FIRST STOP Final Paper MM3B Group 6

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i

A Business Plan Proposal

In Partial Fulfillment of the Requirements for the Degree:

Presented by Team Leader:

November 10, 2022,

Assoc. Prof. Virginia V. Salonga, DBA

Dear Dean Salonga,

I am looking forward to your favorable response to this matter.

Asst. Prof. John Carlo C. Timajo, MBA

In Partial Fulfillment of the requirements for the degree of BACHELOR OF SCHIENCE IN

Asst. Prof. John Carlo C. Timajo, MBA

THE EXAMINING TRIBUNAL

Accepted as a partial fulfillment of the requirements for the degree of BACHELOR OF

Assoc. Prof. Virginia V. Salonga, DBA

CERTIFICATE OF LANGUAGE EDITING

Table 40: Production Cost per Unit: Lemonade 100

Figure 33.2: Projected Production Cost: Pizza Rolls 134

J. Quality Control System 98

1. Nature of the business

and revenue with its product offerings.

1.1 Mission Statement

most convenient way possible in order to satisfy hunger and cravings.

1.2 Vision Statement

First Stop becomes everyone’s first choice.

1.3 Core Values

may or it may not be a mistake.

to help by refusing plastic usage and by saving energy.

T: Teamwork - As a startup business with limited manpower, working together diligently

creates something bigger from small resources.

2. Name of the company

Figure 1. MAG Food’s ‘First Stop’ Company Logo

for snacks and beverages.

depending on the customers’ preference.

Table 1. Product offerings of First Stop

Name of Photo: Description:

Churros Churros is a deep-fried pastry made of flour, butter,

water, egg, and a touch of salt. It is coated with

sugar and cinnamon powder after frying for a better

Pizza Roll Pizza Roll is basically a pizza taste compressed in a

rolled piece of bread. It has tomato sauce, cheese &

ham. It will also be served with a thousand island

sauce or combination of mayonnaise and ketchup.

Coffee be mixed with some sugar and milk. It can be served

Lemonade This beverage is composed of water, lemon, and

honey instead of sugar. The ingredients may

somehow look basic, but we decided to offer this

because we want something to combine with water

that we know is healthy.

Figure 2. Location of First Stop

Age Number of Population Percentage

19 and below 9,423 34%

65 and above 1,109 4%

Total: 27,716 100%

Source: Carsadang Bago II, Imus, Cavite Profile – PhilAtlas.

aged 19-25 years old.

2.1 Customer Segmentation

Table 3. Customer Segmentation

Bases of Variables Reasons/Justifications

involves students, working students, and employees.

Having consumers that are dominated by students, most of

enough, others have an allowance of up to P1000 per week.

On the other hand, among the respondents composed of