Business Name: Native Knots

Location: Poblacion, Dumalag, Capiz

Name of Owners: Jee Ann Fresas and Mary Danielle Dimo

Introduction:
Native Knots is a registered business in Poblacion, Dumalag, Capiz that
specializes in designing, manufacturing, and selling a wide range of bags,
including shoulder bags, handbags, and purses, using locally available
materials like buri palm. This business is owned by Jee Ann Fresas.

Business goals are as follows:

a. The operation started on: January 20, 2024

b. The location could be reached by: individuals who value sustainability,

cultural authenticity, and ethical manufacturing methods, as well as
other people, which includes students, professionals, and fashion
oriented individuals.

c. The business could be expanded by: promoting the product through social
media platforms and establishing physical stores around Dumalag, Capiz.

Table of Contents
Section 1. THE BUSINESS
1. Description of the business
The Native Knots business specializes in creating sustainable and eco-friendly
Buri bags using fibers from the Buri palms. Our mission is to offer high-
quality, handcrafted goods that celebrate traditional craftsmanship while
prioritizing environmental sustainability. With a focus on sustainability,
quality, and community support, we aim to provide customers with unique and
eco-conscious lifestyle bags that showcase the natural beauty and versatility
of Buri palm fibers. Through our commitment to traditional techniques, fair
trade practices, and eco-friendly packaging, we strive to create a positive
impact on both the environment and the communities we work with.

2. The product/Service
The product or service are bags made from buri palms with the tagline “Weaving
stories into every bag.” Our product line will feature a variety of locally
made bags that are meticulously crafted from native materials. These bags will
highlight the distinctive textures and elaborate weaving methods associated
with buri palm. We will provide a wide range of sizes and styles suitable for
both regular usage and special events, ensuring there is something for every
customer.
3. Market
The production or service will be distributed to individuals who value
sustainability, cultural authenticity, and ethical manufacturing methods. It
will be distributed at Dumalag Public Market and other stores in Dumalag,
Capiz. Our products can also be found on our social media accounts on Facebook,
Instagram, and Twitter at Weavers Inc.
The product is bought by clients for following reasons:
Quality: the bags offer high-quality craftsmanship and durable materials,
providing clients with reliable products. Cultural appeal: The bags may
resonate with clients due to their connection to indigenous cultures or
traditional craftsmanship. Fashion Statement: The design of the bag may align
with current fashion trends or offer a unique and stylish accessory.
Sustainability: The brand’s eco-friendly practices, such as using fibers from
buri palms or reducing environmental impact, could be appealing to
environmentally-conscious clients. Functionality: Clients may appreciate the
bag’s practical features, such as ample storage space, comfortable straps, or
convenient compartments.

4. Location of the business

The “Native Knots” business is located at Dumalag Public Market, Poblacion,
Dumalag, Capiz so it can easily be reached by consumers who value
sustainability, cultural authenticity, and ethical manufacturing methods since
it is located at the center of the town and can be found easily.

5. Competitors are as follows:

Businesses in Dumalag, Capiz or near our area premises, which also focuses on
bags; Stores that specialize in eco-friendly or sustainable bags made from
other natural materials; Businesses found in online shops that feature wide
range of bag options where consumers can easily compare styles and prices; and
Retail businesses that are selling bags made from similar natural materials.

6. Price
The current price is Php 50.00 . It is derived from the following factors:
material quality, craftsmanship, labor costs, branding, and market demand.
Product Style/Size Price
Pouch/purse Php 50.00
Shoulder bag Php 75.00
Hand bag Php 100.00

7. Marketing Strategies
The product will be distributed in the following manner:
Online Presence and E-commerce Optimization: We will develop our website and
utilize a search engine to improve visibility, ensure seamless navigation, and
secure transactions. Social Media Marketing: We will establish a strong
presence on popular social media platforms such as Facebook, Instagram, and
Twitter to share visually appealing contents. Content Marketing: Through our
social media accounts, we will create compelling contents such as videos,
photos, and blog posts to persuade the target audience while showcasing the
significance of Native Knots’ bags. Community Engagement: We will engage with
the local community and other relevant organizations through events and
collaborations that promote cultural exchange, environmental awareness, and
social responsibility.
By implementing these market strategies, Native Knots can effectively prove its
brand presence and capture the attention of consumers.

8. Management
The management group is composed of the following:
Chief Executive Officers: Jee Ann Fresas and Mary Danielle Dimo - Is the leader
of the management and the one who’ll approve the plans and designs of the
product.
Managers: John Mark Fresco and Julien Nicole Pajoganoy - Is the one who will
manage and lead the group and is responsible for handling finances and
coordinating logistics.
Strategist: Romar Fanuga, Jhon Paol Denosta, John Melvin Gallaza, and Jey
Naysayo – The ones who is responsible for making plans and strategies on how to
promote our product or business, manage the sales channels, and interact with
customers.

9. Personnel
The personnel needed are the following:
Weaver/Designers: Ma. Nicole Ferrer and Althea Faye Febrada – they are
responsible for making creative designs, plans for the product, and make
handmade products.
Seller: Klyd Frebaldos

Summary of Section One

Section one outlines the plan to establish a brand focused on local bags made
of indigenous materials, particularly buri. Our business aims to honor the rich
cultural legacy of indigenous communities while providing customers who value
ethical and environmentally friendly products with distinctive, sustainable,
and artisan-crafted bags. Our business will specialize in designing,
manufacturing, and selling a wide range of bags, including shoulder bags,
handbags, and purses, using locally available materials like buri palm. It
will be distributed in Dumalag Public Market and other stores in Dumalag,
Capiz.

Section II : FINANCIAL DATA

1. Sources and application of funding:

Secure financial assistance from:
(1) Bank loans
 (2) Sponsors
(3) Personal Savings

For the following purposes:

Capital – it will be used to startup a business. The fund will be used to
purchase inventory and raw materials, rent a space, utility expenses, purchase
things needed, and hire employees. Equipment Purchase – the money borrowed will
be used to purchase equipment and machinery needed for business operations.
Marketing and advertising – to fund marketing and advertising campaigns aimed
to increase brand name, attract costumers and drive sales. Expansion and growth
– to expand business operations, enabling the business to capture new
opportunities and increase revenue.

Using the following collaterals:

Cash savings, equipment, inventory and accounts receivable. These tangible
assets will serve as security for the lenders in case there will be a default
on the loan.

2. Capital Equipment List

The capital equipment lists are the following:
Cutting Machine – it is used to cut the woven buri into the appropriate
dimensions for the bags. Cutting machines ensure uniformity in size, precision,
and improve the quality of the bags.
Sewing Machine – is used for stitching the woven buri fibers (already formed as
a bag) with the fabric that will act as the base/foundation of the bags. It
will be used to stitch the zippers of the bags. Sewing machine enable efficient
assembly of the bags and the designs of the bags.
Finishing Equipment – Finishing equipment such as presses and steamers can be
used to finalize the appearance of the bags. It is used to give the bags a
polished and professional look, and enhance the bag’s visual appeal.

3. Financial Plan
Monthly Expenses of Native Knots
Product/Service Unit Price Quantity Total
Fixed Cost:

Rent Php 2,000 1 month Php 2,000

Utility Expenses
a. Electricity Php 1,000 1 month Php 1,000
b. Water Php 700 1 month Php 700
c. Internet Php 400 1 month Php 400

Employees’ Salary Php 150 3 people (1 Php 10,800

month)
 (A) Total Fixed Cost Php 14900
Variable Cost:

Buri fibers Php 100/kg 10 kg Php 1,000

Zipper Php 6 90 pcs Php 540

Fabric Php 16/yard 20 yards Php 320

Crochet thread Php 22 20 pcs Php 440

Thread Php 18/500M 15 pcs Php 270

Shipping Php 120 2 Php 240

(B) Total Variable Cost Php 2,810

(A+B) Total Cost of Production: Php 17,710

4. Balance Sheet
Quarterly
ASSETS LIABILITIES

Current Assets Current Liabilities

Cash Php 25,000 Accounts Payable Php 7,500

Accounts Receivable Php 10,000 Utilities Payable Php 6,300
Inventory Php 15,000
Noncurrent Liabilities

Noncurrent Assets Bank Loan Payable Php 6,000

Mortgage Payable Php 4,200
Equipment Php 9,000
Furniture Php 5,000
Vehicle Php 20,000 Capital
Prices, capital beginning Php 55,000

TOTAL ASSETS: Php 79,000 TOTAL LIABILITIES: Php 79,000

5. Income Projection (Profit-Loss Statement)

Monthly
Sales Php 30 000
Less: Cost of Sales
Direct labor – Salaries of Workers Php 10 800
Supplies Php 2 810
Utilities Expenses Php 2 100

Gross Profit on Sale Php 14 290

Less: Operating Expenses
Rentals Php 2,000

Net Profit for the Month Php 10 290