Business Plan of Coco Yema

Submitted by:
Jannine D. Gendrano
John Kenneth J. Elot
Jonel L. Buban
Nervin L. Rosilla
Marilyn A. Roldan

Submitted to:
Mr. Alfredo Yamat
 A. INNOVATIVENESS

•coconut milk and coconut meat flavor

• fit for health conscious people
B. SOCIAL IMPACT
• looking forward for healthy candies
• helps the farmers by buying coconut from
them
C. GREEN MARKETING
•Lessen the use of plastic
•Conducting activities such as tree planting and
Clean-up drives as care to the environment
D.
PROFITABILITY
COMPANY LOGO
VISION AND MISSION
OF THE BUSINESS
 Our Vision
KJNJM Enterprise envisions itself to be
well-known competitive coco yema
producer as well asleader and provider of
healthy products, offering cheap prices but
quality products. And also to enlarge the
number of customers while improving and
innovating products that will be consistently
trusted by satisfied customers.
Our Mission
To consistently provide a high quality product
and healthier as it can be. To reach the highest
level of satisfaction of the customers. And to
build a strong long-term relationship with them.
 STRENGTHS WEAKNESSES

 Good Business Location

 Competent Firm who has a
committed employers in ensuring  Product is not widely known in some
the success of the business places
 Coco Yemas is affordable, nutritious  Minimal employers
and is fit for health conscious
citizens

OPPORTUNITIES THREATS

• Loyal customers.  Consciousness of consumers

• Business Expansion by franchising, • New entrant in the food business
expanding or other retail outlet to all the
wherein creates another demand
corners of Sta. Elena
• Development of varieties of products from the market in which the
and flavors that will maintain partnership is in.
customer’s satisfaction. • Unfortunate events
GOALS AND
OBJECTIVES
Goals:
•To be one of the leading competitive
business in the future
•To ensure maximum satisfaction to the
customers
•To achieve prosperity
Objectives:.
•To innovate the existing product—yema
•To enrich Filipino delicacy
 TARGET MARKET
The target market of the enterprise are those
consumer in all ages, any status, even any kind
of work they have, because the product of the
enterprise is for everyone. Its aim is to satisfy
everyone’s craving for coconut. It is a product
which can satisfy their appetite regardless of
their age.
MARKETING MIX
 PRODUCT
DESCRIPTION
•Brief description of the product---
extra sweet yema, contains coconut meat
and milk
 FUTURE PRODUCT
PLAN
•Variety of yema flavors with its
highlighted ingredients
•Carts
 PRICING SCHEME
• cost-plus pricing
•P6.00 per piece
•P67.30 per 1 box (12 pcs)
FUTURE PRICING
PLAN
•Discounts and freebies
 PLACE /
DISTRIBUTION
CHANNEL
•Doria St. Purok 10, Brgy. Poblacion
Sta. Elena Camarines Norte
•Seller to buyer, no middle man or
intermediary involved
 FUTURE PLACE /
DISTRIBUTION
CHANNEL PLAN
•To sell products in some places around
Sta. Elena
•Will be distributed among school canteens
and stores
 PROMOTIONAL
TECHNIQUE
•refers to raising customer awareness of a
product or brand, generating sales, and creating
brand loyalty
•technique of convincing or persuading the
customers to buy what’s being offered
 FUTURE
PROMOTIONAL
TECHNIQUE PLAN
•Advertisement
•Promos
VIDEO COMMERCIAL
DEMAND
 Demand is the ability and need or desire to
purchase a commodity service and it is
important to know the demand to give
emphasis on the total market share of total
volume and a group of customer that can able
to buy the product.
Computation of the Demand:
Population 40,786
Percentage of Respondents
98%
eating yema
39,970
Percentage of Respondents
willing to buy coconut 95%
flavored coco yema
37, 972
Market Share 10%
3,797
Multiply by annual repeat
96 times
purchase order
Total Demand 364,529
YEAR SUPPLY
2020 291,623
2021 306,204
2022 321,515
2023 337,590
2024 354,470
DEMAND AND SUPPLY
ANALYSIS
 Unsatisfied
Year Demand Supply Gap Rate %

2020 364,529 291,623 72,906 20%

2021 382,755 306,204 76,551 20%

2022 401,893 321,515 80,378 20%

2023 421,988 337,590 84,398 20%

2024 443,087 354,470 88,617 20%

 PROJECTED SALES

Sales
Budget
2020 2021 2022 2023 2024
Sales 277,04 290,89 305,43 320,71 336,74
Volume 2.00 4.10 8.81 0.75 6.29
Selling
8.88 9.33 9.80 10.28 10.80
Price
Gross 2,461,3 2,713,6 2,991,8 3,298,4 3,636,5
Sales 74.69 65.59 16.31 77.49 71.43
STAFFING AND COST
 SSS, PAG- Total
Monthly Annual
POSITION Rate per Day IBIG, Monthly
Salary Salary
Philhealth Salary

General
P480.00 P14,400 P1,664.25 P12,735.75 P152,829.00
Manager

Accounting
P320.00 P9,600 P1,099.50 P8,500.50 P102,006.00
Staff

Cashier P320.00 P9,600 P1,099.50 P8,500.50 P102,006.00

Operating
P248.00 P7,440 P896.30 P6,543.70 P78,524.40
Staff

Operating
P248.00 P7,440 P896.30 P6,543.70 P78,524.40
Staff

TOTAL: P1,616.00 P48,480.00 P5,655.85 P42,824.15 P513,889.80

PROJECTED COST

A. Property Plant and Equipment COST

Office furniture & fixture 19,000.00

Manufacturing tools & equipment 31,920.00

sub - total 50,920.00

B. PRE-OPERATING COST 1,495.90

C. WORKING CAPITAL
Raw Materials & Direct Labor
Raw materials 10,790,057.03
Direct labor 178,560.00
sub-total 10,968,617.03

MANUFACTURING OVERHEAD
Repair & maintenance 1,527.60
Indirect materials 1,824,109.73
sub-total 1,825,637.33
 OPERATING EXPENSES
Administrative 288,000.00
Lease of land / building 120,000.00
Telephone expense 20,388.00
Office supplies 2,601.50
Cleaning materials 600.00
Waste Disposal Expense 7,200.00
SSS,Philhealth, & Pag-ibig 2,763.75
Advertising expense 18,500.00
sub-total 460,053.25

Contingency 662,715.38

TOTAL PROJECTED COST 13,969,438.88

 KJNJM Enterprise

BREAK EVEN ANALYSIS

2020 2021 2022 2023 2024

VARIABLE COST
11,869,062.7 13,085,641. 15,905,679.2
Raw materials 10,790,057.03 3 66 14,426,919.93 2

Direct labor 462,951.20 508,811.52 532,361.52 568,609.98 586,894.84

1,915,315.2 2,011,080.9
Indirect materials 1,824,109.73 1 7 2,111,635.02 2,217,216.77
TOTAL VARIABLE 14,293,189. 15,629,084. 18,709,790.8
COST 13,077,117.95 46 15 17,107,164.93 3

PRODUCTION
VOLUME 291,623.16 306,204.32 321,514.54 337,590.26 354,469.78
VARIABLE COST /
UNIT 44.84 46.68 48.61 50.67 52.78
 FIXED COST 2020 2021 2022 2023 2024

Factory Overhead
Repairs and
maintenance 957.60 1,005.48 1,055.75 1,108.54 1,163.97

Indirect Materials 1,824,109.73 1,915,315.21 2,011,080.97 2,111,635.02 2,217,216.77

Depreciation-Mfg 6,384.00 6,384.00 6,384.00 6,384.00 6,384.00

Administrative

Salaries 288,000.00 302,400.00 317,520.00 333,396.00 350,065.80

Fringe Benefits 34,000.00 35,700.00 37,485.00 39,359.25 41,327.21

SSS/Philhealth/Pag-ibig 2,763.75 2,915.25 3,060.45 3,194.41 3,355.94

Depreciation 3,800.00 3,800.00 3,800.00 3,800.00 3,800.00

Telephone 20,388.00 21,407.40 22,477.77 23,601.66 24,781.74

Advertising 18,500.00 19,425.00 20,396.25 21,416.06 22,486.87

Light and water 19,200.00 20,160.00 21,168.00 22,226.40 23,337.72

Waste Disposal
Expense 7,200.00 7,560.00 7,938.00 8,334.90 8,751.65

Land and Building rental 120,000.00 126,000.00 132,300.00 138,915.00 145,860.75

Office Supplies 2,601.50 2,731.58 2,868.15 3,011.56 3,162.14

Pre-operating exp
amortization 1,495.90 1,495.90 1,495.90 1,495.90 1,495.90

2,351,420.48 2,468,320.82 2,591,052.25 2,719,901.71 2,855,214.46

 SELLING PRICE 67.30 70.67 74.20 77.91 81.81
VARIABLE COST /
UNIT 44.84 46.68 48.61 50.67 52.78
Contribution
Margin/unit 22.46 23.99 25.59 27.24 29.02

2,591,052.2
Fixed Cost 2,351,420.48 2,468,320.82 5 2,719,901.71 2,855,214.46

Break Even in units 104,698.25 102,898.06 101,255.95 99,865.65 98,377.73

7,513,186.5
Break Even in Pesos 7,046,354.11 7,271,458.44 0 7,780,528.08 8,047,833.93
(4,803,137.6 (4,922,134.2 (5,192,619.47
Variable Cost (4,694,933.63) 3) 5) (5,060,626.37) )
2,591,052.2
Contribution Margin 2,351,420.48 2,468,320.82 5 2,719,901.71 2,855,214.46
(2,468,320.8 (2,591,052.2 (2,855,214.46
Fixed Cost (2,351,420.48) 2) 5) (2,719,901.71) )

Net Income 0.00 0.00 0.00 0.00 0.00

 KJNJM Enterprise
Cashflow Statement
Year 2007-2011

2020 2021 2022 2023 2024

Cashflow from operating activities:
Net Income 3,944,092.57 3,933,064.12 4,420,120.67 4,980,450.50 5,618,080.04
Depreciation 10,184.00 10,184.00 10,184.00 10,184.00 10,184.00
Amortization of Pre-operating Exp 1,495.90 1,495.90 1,495.90 1,495.90 1,495.90
Increase in Raw Material Inventory (539,502.85) (55,299.04) (60,967.19) (67,216.33) (74,106.01)
Increase in work in Process Inventory (130,844.60) (13,469.64) (13,494.15) (14,916.28) (16,175.98)
Increase Finished Goods Inventory (647,680.75) (99,058.75) (71,748.96) (77,423.02) (83,942.23)
Increase in rental deposit (20,000.00) 0.00 0.00 0.00 0.00
Pre-operating expenses (7,479.50)
Increase in Accounts Payable 1,132,955.99 59,480.19 122,224.71 134,752.74 148,564.90
Increase in Income Tax Payable 1,690,325.39 (4,726.48) 208,738.52 240,141.36 273,269.80
Increase in SSS/Phil health/Pag-ibig
payable 4,759.55 1,206.03 210.88 694.71 (90.12)
Net cash provided by operating
activities 5,438,305.70 3,832,876.32 4,616,764.37 5,208,163.58 5,877,280.30

Cashflow from investing activities:

Purchase of Fixed Assets (50,920.00) 0.00 0.00 0.00 0.00

Cashflow from Financing activities

Cash received from partners 3,492,359.72 0.00 0.00 0.00 0.00

Increase in Cash 8,879,745.42 3,832,876.32 4,616,764.37 5,208,163.58 5,877,280.30

Add: Cash Beginning   8,879,745.42 12,712,621.74 17,329,386.11 22,537,549.70
Cash End 8,879,745.42 12,712,621.74 17,329,386.11 22,537,549.70 28,414,830.00
COMPUTATION OF SELLING PRICE

COST PROD'N COST PER

VOLUME UNIT
Raw Materials 10,790,057.03 291,623.16 37.00
Direct Labor 462,951.20 291,623.16 1.59
Factory
Overhead 1,831,451.33 291,623.16 6.28
UNIT COST PER UNIT 44.87

TOTAL
MANUFACTURI
NG COST PHP 44.87
MARK UP
(50%) PHP 22.43
SELLING
PRICE PHP 67.30
 KJNJM Enterprise
Balance Sheet
Year 2011-2015

ASSETS 2020 2021 2022 2023 2024

Current Assets
Cash 8,879,745.42 12,712,621.74 17,329,386.11 22,537,549.70 28,414,830.00
Raw Materials Inventory 539,502.85 594,801.89 655,769.09 722,985.42 797,091.42
Work In process Inventory 130,844.60 144,314.24 157,808.38 172,724.66 188,900.63
Finished Goods Inventory 647,680.75 746,739.50 818,488.46 895,911.48 979,853.72
TotalCurrent Assets 10,197,773.61 14,198,477.37 18,961,452.05 24,329,171.26 30,380,675.77

Property Plant and Equipment

Manufacturing tools and equipment 31,920.00 31,920.00 31,920.00 31,920.00 31,920.00
Office Furniture and fixture 19,000.00 19,000.00 19,000.00 19,000.00 19,000.00
Less: Accumulated Depreciation 10,184.00 20,368.00 30,552.00 40,736.00 50,920.00

Total Property Plant and Equipment 40,736.00 30,552.00 20,368.00 10,184.00 -

Other Assets

Pre-operating Expenses 5,983.60 4,487.70 2,991.80 1,495.90 -

Rental Deposit 20,000.00 20,000.00 20,000.00 20,000.00 20,000.00

TOTAL ASSETS 10,264,493.21 14,253,517.07 19,004,811.85 24,360,851.16 30,400,675.77

LIABILITIES AND PARTNER'S EQUITY

Accounts Payable 1,132,955.99 1,192,436.18 1,314,660.89 1,449,413.63 1,597,978.52

Tax Payable 1,690,325.39 1,685,598.91 1,894,337.43 2,134,478.79 2,407,748.59
SSS/Philhealth/Pag-ibig Payable 4,759.55 5,965.58 6,176.46 6,871.17 6,781.05
Total Liabilities 2,828,040.92 2,884,000.67 3,215,174.77 3,590,763.58 4,012,508.16

Partners Equity
Beginning Capital 3,492,359.72 7,436,452.29 11,369,516.41 15,789,637.07 20,770,087.58
Add: Net Income 3,944,092.57 3,933,064.12 4,420,120.67 4,980,450.50 5,618,080.04
Less: Withdrawals -
Ending Capital 7,436,452.29 11,369,516.41 15,789,637.07 20,770,087.58 26,388,167.61

TOTAL LIABILITIES AND PARTNER'S

EQUITY 10,264,493.21 14,253,517.07 19,004,811.85 24,360,851.16 30,400,675.77
 KJNJM Enterprise

Income Statement

For the year ended 2011-2015

2020 2021 2022 2023 2024

Gross Sales 18,645,354.86 20,556,503.74 22,663,545.37 24,986,558.77 27,547,681.05

Less:Sales Return and Allowances 186,453.55 205,565.04 226,635.45 249,865.59 275,476.81

Net Sales 18,458,901.32 20,350,938.70 22,436,909.92 24,736,693.18 27,272,204.24

Less: Cost of Goods Sold

Raw Material used 10,790,057.03 11,869,062.73 13,085,641.66 14,426,919.93 15,905,679.22

Direct labor 462,951.20 508,811.52 532,361.52 568,609.98 586,894.84

Factory Overhead 1,831,451.33 1,922,704.69 2,018,520.73 2,119,127.56 2,224,764.74

Total Manufacturing Cost 13,084,459.55 14,300,578.94 15,636,523.91 17,114,657.47 18,717,338.80

Add: Work In Process Beg   130,844.60 144,314.24 157,808.38 172,724.66

Total Mfg Cost put to process 13,084,459.55 14,431,423.54 15,780,838.14 17,272,465.86 18,890,063.46

Less: Work in Process End 130,844.60 144,314.24 157,808.38 172,724.66 188,900.63

Cost of Goods Manufactured 12,953,614.96 14,287,109.30 15,623,029.76 17,099,741.20 18,701,162.83

Add: Finished Goods Beg   647,680.75 746,739.50 818,488.46 895,911.48

Total Goods Available for Sale 12,953,614.96 14,934,790.05 16,369,769.26 17,918,229.66 19,597,074.31

Less: Finished Goods End 647,680.75 746,739.50 818,488.46 895,911.48 979,853.72

Cost of Goods Sold 12,305,934.21 14,188,050.55 15,551,280.80 17,022,318.18 18,617,220.60

Gross Profit 6,152,967.11 6,162,888.15 6,885,629.12 7,714,375.01 8,654,983.64

Less: Administrative & Selling Expenses

Salaries 288,000.00 302,400.00 317,520.00 333,396.00 350,065.80

Fringe Benefits 34,000.00 35,700.00 37,485.00 39,359.25 41,327.21

SSS/Philhealth/Pag-ibig 2,763.75 2,915.25 3,060.45 3,194.41 3,355.94

Depreciation 3,800.00 3,800.00 3,800.00 3,800.00 3,800.00

Telephone and Internet expense 20,388.00 21,407.40 22,477.77 23,601.66 24,781.74

Advertising 18,500.00 19,425.00 20,396.25 21,416.06 22,486.87

Electrihity Expense 19,200.00 20,160.00 21,168.00 22,226.40 23,337.72

Waste Disposal Expense 7,200.00 7,560.00 7,938.00 8,334.90 8,751.65

Cleaning Materials 600.00 630.00 661.50 694.58 729.30

Land and Building rental 120,000.00 126,000.00 132,300.00 138,915.00 145,860.75

Office Supplies 2,601.50 2,731.58 2,868.15 3,011.56 3,162.14

Pre-operating exp amortization 1,495.90 1,495.90 1,495.90 1,495.90 1,495.90

518,549.15 544,225.13 571,171.02 599,445.72 629,155.02

Net Income Before Tax 5,634,417.96 5,618,663.03 6,314,458.09 7,114,929.29 8,025,828.62

Less: Tax 30% 1,690,325.39 1,685,598.91 1,894,337.43 2,134,478.79 2,407,748.59

Net Income After Tax 3,944,092.57 3,933,064.12 4,420,120.67 4,980,450.50 5,618,080.04

 CONCLUSION INTENT
 
As the proponents analyze and evaluate the target market, it can be anticipate
that the proposed business plan has great potential to generate accumulative
profits as business takes its journey. Nonetheless, the proponents are planning
to make any other services to fully package the needs of the target market.
 
As shown in the previous paragraphs, there is a big possibility that the business
will attain its success, if does, it will help the local economy through hiring
atleast 4 to 5 unemployed people. It is also possible to the business to
establish its branches after 8 years of consistency achieving its target sales.
Therefore, we conclude that the business will reach its point of being famous
when it comes to the production of extra-sweet and healthy coco yema.