Chapter 1:
Introduction
Proposed Name of Business
Our proposed name for the business that we so chose to acquire in the
near future is “S.M.L. Boutique” or Sul-ot Mo Lang? Boutique.
Why have “S.M.L. Boutique“as a name for our business?
Here in the Philippines clothing industries are rampant in the form of “UkayUkays” where products are cheap yet still have good quality. Considering this
fact we still yearn to excel in the clothing industry and we will do so by engaging
our target markets with hospitality and using a famous phrase here in the
Philippines as a business name. Thus, S.M.L. Boutique or commonly known here in
the Philippines as “Share mo lang”. We also seek to attract and create customer
value to our target customers with our tagline “Experience clothes with S.M.L. (So
Much Love) here at S.M.L. Boutique”.
To be successful in the clothing industry we have search far and wide in
Leyte for a specific area where clothing businesses is nonexistent or lack in this
particular industry. We have considered various factors in deciding where we will
establish our boutique namely its accessibility, environment, topography etc.. We
have decided to establish our Boutique in an area where there are lots of
sceneries so we not only attract target customers that live near the area but also
1
foreigners or families that are out to experience the beauty of nature, considering
this we also seek to offer souvenirs portraying the beauty of nature in the area.
SML (Sul-ot mo lang?) Boutique – we provide high end and trendy clothes.
We yearn to also accommodate foreigners and families with souvenirs. Thus we
want to enable and adapt a MP boutique were we not only sell clothes but also
figurines. Considering the fact that we have chose a landscape that also
highlights its beautiful sceneries.
Address of the business
Maharlika Highway Pawing Palo Leyte
Figure 1: Aerial view of the area where our business will be established.
2
Business Owners
Mr. Romar Rebato, Mr. Aldjon Letran, Mr. Reggie Rebato, Ms. Ma.Rose
Ortega
Location of the business
The location of our business it quite good for the people who loves to buy
clothes because the location where our business was located is near the
national road and it is located also near the fast-food chain. Our business is the
only clothing in the place where it is located.
Figure 2: picture of the Vicinity where we will establish our business
3
Funding requirement and sources
Our estimated fund to start our business is 22 million. The 20 million will be
coming from the partners, each contributing 5 million and the 2 million will be
used for the establishment of the business that will come from the bank where we
are going to ask a loan.
4
Chapter 2:
Executive Summary
VISION, MISSION, GOALS, AND OBJECTIVES OF THE BUSINESS
Vision
-
To be the number 1 preference clothing industry in the region
-
To be a business in the clothing industry that is referred to by the majority
of our target market.
Mission
-
To make sure our customers experience while in our store as well as
provided customers with amazing quality, modern clothing, fashion
clothing in hopes of having the competitive andvantage.
Goal
“To become a well-known clothing business regionally and to become a
praised business in the clothing industry.”
Objectives

To gain a strong market presence regionally

To establish a strong competitive status to other clothing businesses
through our value proposition which is, amazing products for highly
affordable prices/ offers.
5
BUSINESS MODEL
BUSINESS AND PRODUCT POSITION
Table 1: Business Model
6
BUSINESS AND PRODUCT POSITIONS
S.M.L Boutique would be the best clothing retailer in Palo, Leyte.
This
business not just offers a high quality brand of cloth at highly affordable prices
that came from known suppliers and brand of clothes, but it also meet the
needs and wants of the buyers and feel the “ Sul-ot Mo Lang?, Experience So
Much Love here in S.M.L. Boutique”.
WEALTH IMPROVEMENT APPROACHES
o Invest money for the business purposes and for other improvement of the
business.
o Develop services that will attract every customers that will help the business
to gain more.
o Expand business by opening other branch across Palo, Leyte and Tacloban
City
7
Parties Supporting the Business
Department of Trade and Industry (DTI)
-
Main economic catalyst that enables innovative, competitive, job
generating inclusive business and empowers consumers
Bureau of Product Standards (BPS)
-
Responsible for developing/adopting implementing and promoting
Philippine National Standards (PNS)
BFP (Bureau of Fire Protection)
-
With our coordination with the bureau of Fire Protection, we can be rest
assured that our security is always taken into account. With this not only will
our employees feel secure also our beloved customers.
BIR (Bureau of Internal Revenue)
-
The Bureau of Internal Revenue is mandated by law to assess and collect
all national internal revenue taxes, fees and charges, and to enforce all
forfeitures, penalties and fines connected therewith, including the
execution of judgments in all cases decided in its favor by the Court of Tax
8
Appeals and the ordinary courts (Sec. 2 of the National Internal Revenue
Code of 1997).
DTI (Department of Trade and Industry)
-
The DTI is responsible for realizing the country's goal of globally competitive
and innovative industry and services sector that contribute to inclusive
growth and employment generation. DTI will ensure consumer access to
safe and quality goods and services that we will offer in our business.
SEC (Securities and Exchange Commission)
-
The SEC has absolute jurisdiction, supervision, and control over all
corporations, partnerships, and association. It is also responsible for
administering, and implementing such laws as the Corporation Code, the
Securities Regulation Code, Investment Houses Law, the Financing
Company Act, and the Investment Company Act.
9
Chapter 3:
Environmental Analysis
I.
Global Analysis
Country
Products
Arizona (AZ), Phoenix
Whole
Wheat,
Mesquite
Flour,
Dried Pima Lima Beans, Dried
Cholla Buds, Jam from We B Jamin
Farm,
Sonoran
Sonoran
Desert
Blend
Dried Ground
Honey,
Granola,
Chiltepines,
Mole
Spice Blends, Sonoran Cocoa
Colorado (CO), Denver
Perky Jerky, Boulder Organic Ice
Cream, L’il Hottie’s Salsa, Quinn
Popcorn, Rocky Mountain Soda,
Trü Pickles, New Avalon Cider, Olde
Man
Granola,
Temerity
Chocolates, Diego’s Hot Chipsx.
10
Hawaii (HI), Honolulu
Koa
Accessories,
Jewelry,
Hawaiian
Hawaiian
Print
Fabric, Black Pearls, Macadamia
Nut Oil, Ukulele, Koloa Rum, Kona
Coffee, Hawaiian Quilts – Classic
and Traditional Styles, tropical Fruit
Preserves and Butters.
Idaho (ID), Boise
Cowboy
mix,
Tom’s
Wagner
Flapjack
Mustard or Mom’s
Mustard, Treasure
Valley
Salsa, Sweet Valley Cookie, Killer
Whey! , Gourmet local chocolate,
Apple Pancake mix, Apple syrup,
Huckleberry Cocoa, Deluxe Ballard
cheese
Indiana (IN), Indianapolis
Noble Coffee & Tea, King David
Dogs, Inga’s Popcorn, Just Pop In,
Tell City Pretzels, LM Sugarbush
Maple Syrup, Crazy Charlie’s Salsa,
11
Sechler’s Pickles, Todd Pletcher
Pottery, Dick Lehman Pottery.
Iowa (IA), Des Moines
Country
Candies,
Hansen's
Dairy,
Sterzing's,
Frisian
Farms,
Country View Dairy, DoBiz Frozen
Cookie Dough, Thelma's Treats,
Zaza's Artisan Pasta, Heart and Soul
Vegetables, Oasis, La Reyna
Louisiana (LA), Baton Rouge
Steen’s
Cane
Syrup,
Blanca
Isabel’s Purple Rice, McIlhenny Co.
TABASCO® Sauce, The Ambrosia
Bakery’s Strawberry Cake, Cajun
Land Seasonings, Big Easy Foods
Tur-Duck-Hen, Slap Ya Mama’s
Cajun Pepper Sauce, Camellia
Brands Red Beans, Zatarain’s Rice,
Massachusetts (MA), Boston
CAINS All
Natural
mayonnaise,
Frozen Foods, Drum Cymbals, Beer,
Raisins
and
cranberry
juice,
Bicycles, Bottled spring water and
12
soft
drinks,
otato
chips,
Customizable jewelry
Nebraska (NE), Lincoln

Classic
Beard
Oil,
Peel
Garlic
Cloves Hassle Free In An Instant,
Specialty
Cakes
Beatrice Bakery,
from
Johnny's
Cafe
House Salad Dressing, Nebraska
Star Beef Filet
Sweets
By
Gift
Packages,
Suzanne
Heartland
Toffee,
Gourmet
Grain Bread Mix,
10
Franke's
Sweet Corn Nuts
Texas (TX), Austin
Austin
Eastciders,
Texas
Saké
Company, Live Oak Beer, High
Brew Coffee, Alamo Drafthouse,
Good
Flow
Honey,
Yellowbird
Sauce, Deep Eddy Vodka, Amy's
Ice Cream, Waterloo Sparkling
Water
Table 2: Global Analysis of products from U.S.A.
13
Philippines, Manila
Happy skin, Human Heart Nature,
Zenutrients, Anthill Fabric Gallery,
Renegade Folk, Risque Designs,
Kenneth
Cobonpue,
Common
Room, Tsaa Laya, Bayani Brew
Japan, Tokyo

Matcha (Green Tea),
Wagashi,
Hato Sabure, Kendama, Koma
(Spinning Tops), Koinobori, Sensu,
Tenugui, japan themed key chains,
Yukata
India, Nepal
Britannia biscuits, Sandwich and
coffee
at
Café
Coffee
Day,
Haldiram's snacks, Lakmé Rose
Powder, Kingfisher Premium Lager,
Patanjali
toothpaste,
ITC,
Big
Bazaar, Amul, Raymond
Russia, Moscow
1. Tretyakov Gallery Photo Album,
Samovar, Artisan Jewelry: Finifty
and Amber,Palekh and Fedoskino
Lacquer Boxes, Caviar, Zhostovo
Trays, Honey, Matryoshka (Russian
14
nested doll), Orenburg Shawls,
Krasnaya Moskva Perfume
South Korea, Seoul
Hallyu
paraphernalia,
Quirky
Korean socks, Unique kitchenware,
K-beauty products, Korean paper
products or Hanji, Ginseng, Cute
stationery, Tea, Dried seaweed,
Hanbok
Iran, Tehran
Giveh, Sweets, nuts, and spices for
the
foodie,
Home
Home
furnishings,
furnishings,
Minakari,
Khâtamkâri,
Ceramics
pottery,
set,
Tea
and
Ghalamzani,
Turquoise
Thailand, Bangkok
Fruit Soap, Inhaler (Ya Dom in Thai),
Thai Silk, NaRaYa Bag, Spa &
Aroma
products,
Takabb Anti Cough Pill., Coconut
oil,
Snake Brand Prickly
Heat Powder, Tiger Balm, Chewy
Milk Candy
15
Pakistan, Islamabad
Traditional Shoes, Carpets and
Rugs, Garments, Bedding, leather
products,
Clay
Dishes,
Wicker
crafts, Handmade jewelry, Brass
and
silver
Handicraft,
Marble
crafts.
China, Beijing

Cloisonne, Ivory Carving, Carved
Lacquer Ware, Jade Article, Inside
Painting
Snuff
Figurines,
Bottle,
Silk Flowers,
Lanterns,
Facial
Dough
Palace
mask
and
Jinghu,kites
Malaysia, Kuala Lumpur
Baju
Kebaya,
Hand-Woven
Dodol,
Pewter
Crafts,
Songket,
Pua
Goods,
Malaysian
Kumbu,
Malaysian Batik, Kerongsang, Labu
Sayong, Nyonya Beaded Slippers
Table 3: Global Analysis of products from Asia
16
II.
Social Analysis
II.A. Political Analysis
Republic Act No. 8293. An act prescribing the Intellectual Property Code,
otherwise known as the Intellectual Property Code of the Philippines.
This republic act will help us to protect and keep our business logo,
and other intellectual property and use it for the purpose of advertising the
business.
Republic Act No. 10173. Otherwise known as the Data Privacy Act of 2012,
is one formidable piece of legislation. Its application encompasses all walks
of business, from banking and finance sector, to labor and and human
resources, schools and even non-profit organization.
This republic act will ensure the security of data in an organization,
data coming from the employees, employers and other external and/or
internal people or part of the organization. This will ensure the security of all
individuals that are participating in the business to the security of their
personal data.
17
Republic Act 11058. A law meant to ensure employers, contractors, and
sub-contractors, comply with occupational safety and health standards
(OSHS).
This will help in maintaining the cleanliness and provide safety not
only to the customers but also to the employees. This will help the people
that are part or participating in an organization to be more knowledgeable
about certain hazards that are there in a workplace, and how to be more
prepared to face these hazards.
II.B. Economic Analysis
Country
Unit
Symbol
United States
Philippine
Dollar
Peso
Equivalent
Equivalent
USA
Dollar
USD
1.000000
52.6250
Japan
YEN
JPY
0.009303
0.4896
India
Rupee
INR
0.014265
0.7507
Russia
Ruble
Rub
0.01478
1.28
South Korea
WON
KRW
0.00090
0.047
Iran
Rial
IRR
0.000024
0.0012
Thailand
Baht
THB
0.031095
1.6364
18
Pakistan
RUPEE
PKR
0.007210
0.3794
China
Yuan
CNY
0.145497
7.6568
Malaysia
RINGGIT
MYR
0.241488
12.7083
Table 4: Economic Analysis :currency equivalent of peso and US dollar
II.C. Socioeconomic Forces
The annual employment rate in Eastern Visayas slightly increased to 95.6
percent in 2017 from 95.5 percent in 2016, ranking the region sixth in the country
with high employment rate. Employment rate is the proportion of employed
persons to total labor force.
Out of the estimated 3.0 million population 15 years old and over in 2017,
about 1.9 million were economically active or in the labor force. This number
translates to an annual Labor Force Participation Rate (LFPR) of 60.3 percent, 1.8
percentage points lower compared to the previous year’s LFPR of 62.1 percent.
Among the regions, Eastern Visayas registered the sixth lowest annual LFPR.
The underemployed persons or those employed persons who express the
desire to have additional hours of work in their present job or to have additional
job, or to have a new job with longer working hours was estimated at 402,000. This
is equal to an underemployment rate of 22.6 percent, lower than the 28.3 percent
recorded a year ago. The region had the fourth highest underemployment rate
in the country.
19
Meanwhile, about 82 thousand persons in the labor force were
unemployed. This translates to an unemployment rate of 4.4 percent, slightly
lower than the 4.5 percent rate recorded in 2016. Eastern Visayas ranked sixth
among the regions with low employment rate.
II.D. Technological Forces
To enable our employees and customers to have a motivating
environment towards our product, we yearn to provide them with a secure, clean
and well ventilated environment. To be able to do so the following materials are
essential:

CCTV cameras

Air Con(s)

Cash Register(s)

Barcode Reader(s)
II.E. Ecological Forces
This city of Tacloban has a tropical climate. Tacloban is a city with a
significant rainfall. Even in the driest month there is a lot of rain. The average
annual temperature is 27.1 °C in Tacloban. The rainfall here averages 2282 mm.
CLIMATE GRAPH // WEATHER BY MONTH TACLOBAN
20
Figure 3: CLIMATE GRAPH // WEATHER BY MONTH TACLOBAN
The least amount of rainfall occurs in April. The average in this month is 119
mm. Most of the precipitation here falls in December, averaging 315 mm.
AVERAGE TEMPERATURE IN TACLOBAN
21
Figure 4: AVERAGE TEMPERATURE TACLOBAN
The temperatures are highest on average in August, at around 27.9 °C.
January is the coldest month, with temperatures averaging 25.8 °C.
The Philippines is known to be prone to disasters. We especially the people
of Tacloban City had already experienced the severity of its disaster. To enable
the safety of our customers and employees, we will do weekly drills to help our
employees on what to do and how to do it when there is danger. We will make
22
contingency plans and coordinate with the DRRM for further knowledge on how
to be prepared for any disaster.
II.F. Legal Forces
Republic Act No. 8293. An act prescribing the Intellectual Property Code,
otherwise known as the Intellectual Property Code of the Philippines.
This republic act will help us to protect and keep our business logo,
and other intellectual property and use it for the purpose of advertising the
business.
Republic Act No. 10173. Otherwise known as the Data Privacy Act of 2012,
is one formidable piece of legislation. Its application encompasses all walks
of business, from banking and finance sector, to labor and and human
resources, schools and even non-profit organization.
This republic act will ensure the security of data in an organization,
data coming from the employees, employers and other external and/or
internal people or part of the organization. This will ensure the security of all
individuals that are participating in the business to the security of their
personal data.
Republic Act 11058. A law meant to ensure employers, contractors, and
sub-contractors, comply with occupational safety and health standards
(OSHS).
23
This will help in maintaining the cleanliness and provide safety not
only to the customers but also to the employees. This will help the people
that are part or participating in an organization to be more knowledgeable
about certain hazards that are there in a workplace, and how to be more
prepared to face these hazards.
III.
Industry Analysis:
Suppliers
1. Kily.ph
Address : Unit 1-D Ground Floor, #80 Maginhawa St., Quezon City
Kily.ph is a Philippine-based online store set up to satisfy the growing demand in
the online market. Many buyers still need to visit manufacturers directly if they
want to make wholesale orders and that can be stressful.
Kily.ph provides several categories of products to choose from, like bags,
furniture, clothes, shoes, and lingerie. Their products are of great quality and their
customer service is top-notch. In fact, one of the things this company prides itself
in is the quality of their product and their amazing customer service.
24
2. Viajero Wholesale
Address : Dalandan, Angono, Rizal
It is a wholesale clothing supplier based in the Philippines since 2011. They
mainly offer apparels and accessories for women, men and children. You can
not choose color and specific print as they sell pre-packed and assorted.The
minimum order generally is 4pcs, but it also depends on the product.
Competitors
Bench - Robinson North Tacloban
Clothing Store
Tacloban City, Leyte
Contact no.: not available
Penshoppe
Clothing Store
Justice Romualdez St, Downtown, Tacloban City, 6500 Leyte
(053) 832 2399
25
Levi’s Robinsons Tacloban
Clothing Store
Ground Floor, Robinsons Place Tacloban, Tacloban City, 6500 Leyte
(053) 523 1199
Uniqlo
Clothing Store
Robinsons Place Tacloban
Contact no.: not available
Natasha
Clothing Store
Magsaysay Blvd., Fatima Village, Tacloban City, Leyte
(053) 321 0501
Giordano
Clothing Store
26
Robinsons Place Tacloban, Tabuan National Hwy, Fatima Village, Tacloban,
6500 Hilagang Leyte
Contact no.: not available
Reggatta – Robinsons Place Tacloban
Clothing Store
Tacloban - Baybay S Rd, Fatima Village, Tacloban City, Leyte
Contact no.: not available
Avon
Clothing Store
Real St, Downtown, Tacloban City, 6500 Leyte
Contact no.: not available
H&M
Clothing Store
Fatima Village, Tacloban City, 6500 Leyte
(053) 832 0809
27
IV.
Customers
We thrive to attract our target markets which are fashionable individuals
especially teenagers. We will provide our customers trendy cloths and any of
which they inquire to buy. We as a growing business want to manifest this value,
so that we are able to attract our target customers.
V.
Competitors
In Palo Leyte, there are no direct competitors offering our unique services or
targeting millennials specifically. In the Maharlika Highway, the shops most closely
competing with SML (Sul-ot mo lang) Boutique are as follow:
Bench - Robinson North Tacloban
Clothing Store
Tacloban City, Leyte
Contact no.: not available
28
STRENGTH
WEAKNESS

High quality product

High price

Original and trusted

Identical brand
OPPURTUNITY
THREAT

Endorsement

Competitors

Online selling

Nature of services and products
offered
Table 5: SWOT Analysis of Bench
Penshoppe
Clothing Store
Justice Romualdez St, Downtown, Tacloban City, 6500 Leyte
(053) 832 2399
29
STRENGTH
WEAKNESS

Quality fabrics

High price

Trend

Millennial oriented products
OPPURTUNITY
THREAT

Advertisement

Competitors

Online selling

Environment of stores
Table 6: SWOT Analysis of Penshoppe
Levi’s Robinsons Tacloban
Clothing Store
Ground Floor, Robinsons Place Tacloban, Tacloban City, 6500 Leyte
(053) 523 1199
30
STRENGTH

Strong global presence

Connected with youth
WEAKNESS

Dependence on contract
manufacturers

Duplicity of brand name
OPPURTUNITY
THREAT

Online retailing

Competitors

Growth in the US apparel market

Increasing labor costs
Table 7: SWOT Analysis of Levi’s
Uniqlo
Clothing Store
Robinsons Place Tacloban
Contact no.: not available
31
STRENGTH

Sound operational strategy

In-store experience
WEAKNESS

Inability to penetrate
successfully in foreign markets

Weather sensitive apparel
OPPURTUNITY
THREAT

New segments

Foreign competitors

Foreign markets

Weather changes
Table 8: SWOT Analysis of Uniqlo
Natasha
Clothing Store
Magsaysay Blvd., Fatima Village, Tacloban City, Leyte
(053) 321 0501
32
STRENGTH

Trusted brand

Locally known brand
WEAKNESS

Inability to successfully penetrate
foreign markets

OPPURTUNITY
Online selling competition
THREAT

Foreign markets

Foreign and local competitors

More employees

New market environments
Table 9: SWOT Analysis of Natasha
Giordano
Clothing Store
Robinsons Place Tacloban, Tabuan National Hwy, Fatima Village, Tacloban,
6500 Hilagang Leyte
Contact no.: not available
33
STRENGTH
WEAKNESS

Style of leadership

Rapid expansion

Instilled flexibility amongst

Decentralized form of
employees
management
OPPURTUNITY
THREAT

Ideal location of retail stores

New rivals

Substantial capital base

Nature of products And services
offered
Table 10: SWOT Analysis of Giordano
Reggatta – Robinsons Place Tacloban
Clothing Store
Tacloban - Baybay S Rd, Fatima Village, Tacloban City, Leyte
Contact no.: not available
34
STRENGTH

Known for outdoor and leisure
WEAKNESS

clothing company

Unique outdoor products
Inability to penetrate successfully
in foreign market

High price
OPPURTUNITY
THREAT

Foreign markets

Competitors

Larger target consumer

New market environment
Table 11: SWOT Analysis of Reggatta
Avon
Clothing Store
Real St, Downtown, Tacloban City, 6500 Leyte
Contact no.: not available
35
STRENGTH
WEAKNESS

Clear target segment

Too high expectation

Strong recognition

Competition from online retailers
OPPURTUNITY
THREAT

Selling trough online portals

Competitor

More employees

Sudden change in trend style
Table 12: SWOT Analysis of Avon
H&M
Clothing Store
Fatima Village, Tacloban City, 6500 Leyte
(053) 832 0809
36
STRENGTH

Unique identity for all brands

Diversified global presence
WEAKNESS

Dependence to third party
suppliers

Affordable pricing effects quality
OPPURTUNITY

E-commerce as a platform

Improving lifestyle
THREAT

E-commerce allows new
entrants

Intense competition
Table 13: SWOT Analysis of H&M
VI.
Creditors
Terms and Conditions (PNB)
Commensing Business
You must comply with the Anti-Money Laundering Regulatuon/Criminal
Justice Act requirements before using our services. We reserve the right to hold or
decline any remittance transaction or payments of you fall to submit required
document.
37
How Communication will occur
1. We may contact you by post; and/or telephone and email using the
details you have provided.
2. You must ensure that the contact details you have provided us are
accurate and that you notify us promptly of any changes
3. You may contact us at the above address and telephone number, and email shown on your statement and/or transaction reciept. We will keep you
advised of any changes
4. We may record or monitor telephone calls between us so we can checj
instructions and make sure that we are meeting our service standards

If we recieve instructions and credits before our relevant cut-off time on any
regular business day on the date specified in your instructions. Instructions and
credits recieved after that cut off time or for non-banking day will processed
on the next regular business day

Information you need to give us to make a payment/remittance and where
applicable the Payment reference issued by us. We will not be responsible if
you give us the wrong information although we will help trace the payment if
you ask to.

We cannot cancel payment/remittance once the instruction has been
completed.
38
VII.
Suppliers
1. Kily.ph
Address : Unit 1-D Ground Floor, #80 Maginhawa St., Quezon City
Kily.ph is a Philippine-based online store set up to satisfy the growing demand in
the online market. Many buyers still need to visit manufacturers directly if they
want to make wholesale orders and that can be stressful.
Kily.ph provides several categories of products to choose from, like bags,
furniture, clothes, shoes, and lingerie. Their products are of great quality and their
customer service is top-notch. In fact, one of the things this company prides itself
in is the quality of their product and their amazing customer service.
2. Viajero Wholesale
Address : Dalandan, Angono, Rizal
It is a wholesale clothing supplier based in the Philippines since 2011. They
mainly offer apparels and accessories for women, men and children. You can
not choose color and specific print as they sell pre-packed and assorted.The
minimum order generally is 4pcs, but it also depends on the product.
39
VIII.
Government
I. BFP (Bureau of Fire Protection)
With our coordination with the bureau of Fire Protection, we can be rest
assured that our security is always taken into account. With this not only will our
employees feel secure also our beloved customers.
II. BIR (Bureau of Internal Revenue)
The Bureau of Internal Revenue is mandated by law to assess and collect all
national internal revenue taxes, fees and charges, and to enforce all forfeitures,
penalties and fines connected therewith, including the execution of judgments
in all cases decided in its favor by the Court of Tax Appeals and the ordinary
courts (Sec. 2 of the National Internal Revenue Code of 1997).
III. DTI (Department of Trade and Industry)
The DTI is responsible for realizing the country's goal of globally competitive
and innovative industry and services sector that contribute to inclusive growth
and employment generation. DTI will ensure consumer access to safe and quality
goods and services that we will offer in our business.
IV. SEC (Securities and Exchange Commission)
The SEC has absolute jurisdiction, supervision, and control over all
corporations, partnerships, and association.
40
It is also responsible for administering, and implementing such laws as the
Corporation Code, the Securities Regulation Code, Investment Houses Law, the
Financing Company Act, and the Investment Company Act.
IX.
Employees
Job openinngs:

Cashier

Security Guard

Gift wrapper

Saleslady

Manager

General Manager
CASHIER (female)
o 18 years old and above
o With or without experience
o SHS Graduate
o No criminal record(s)
o Has a pleasing personality
o Fulltime worker
Job description: accomodate customers. Be knowledgable about where the
specific aisle of cloths the customer is inquiring. Provide the exact change to the
customers.
41
SECURITY GUARD
o 25 years old and above
o No criminal record(s)
o With experience
o Has a pleasing personality
o Full time worker
Job description: Protect the store, the merchandise, the employees, and the
customers.
GIFT WRAPPER/ Bagger
o 18 years old and above
o No criminal record(s)
o Has a pleasing personality
o Fulltime worker
Job description: Accomodate products bought by the customer. And oblige to
their request whether to gift wrap it, box it, put it in a green bag, or just in a plastic
cellophane.
42
SALESLADY
o High School Graduate
o No criminal record(s)
o Has a pleasing personality
o Fulltime worker
Job description: Be approachable and accomodate their inquiries or request. Be
knowledgable about each merchandise that we sell.
MANAGER
o No criminal record(s)
o Has a pleasing personality
o Fulltime worker
o College Graduate
Job description: Coordinate with the entire group in the store and supervise their
interactions and actions with the customer(s). Must be competent enough to be
able to maintain cleanliness, motivate and consistently reach quotas.
GENERAL MANAGER
o No criminal record(s)
o Has a pleasing personality
o Fulltime worker
o College Graduate
43
Job description: Will be the one who manages the overall performance and
productivity of the business. He will be the one who inspires, leads and teaches
his fellow co-workers how to treat, converse and serve the customers in order to
be able to provide and create customer value.
X.
Market Forecast
We like to see ourself 5 years from now consistently developing and on the
way to the top of the clothing industry in our region. Our target customers
acknowledge and praise the affordability yet amazing quality of products we
merchandise. We'd also like to see ourselves expanding and reaching other
target customers in different cities here in the Philippines.
XI.
Market Position
S.M.L. Boutique itself is a clothing business where we provide, find and
accomodate the trendy cloths our customer wants. The products we will
merchandise will be highly affordable, with this in mind we will not disregard the
quality of our products. Our merchandises will be affordable and still of amazing
quality, through this we will be able to gain a competitive advantage and
perceived value proposition to our target customers effectively.
44
XII.
Market Strategy
We yearn to achieve a level of customer value that we can manifest to each
and every one of our target customers. To the extent to which not only us through
social media pages and posters advertise our business. But also our loyal
customers.
45
CHAPTER 4
BUSINESS DESCRIPTION
1. Nature of organization
S.M.L. Boutique is a clothing store that aims to attract target
consumers, which are the teenagers and fashion forward individuals. We
expect to effectively attract them with our merchandises. We will offer
trendy clothes and amazing quality merchandises.
S.M.L. Boutique offers trendy comfortable and high-quality cloths
with affordable prices.
2. Products and services
S.M.L. Boutique will offer wide range and varieties of clothes. We
have attires, jeans, jacket(leather, Denim, Knitted Jackets, et c.), sweater,
Philippine- inspired shits and pant for souvenir, souvenirs (figurines, key
chains, shirts, laces, et c.), dress, Long sleeve polo, polo, neck ties, Slacks,
vest, belts and many more just waiting for our target consumers.
3. Size of proposed business
Our business will be established through the efforts of partners. They
will manage aspects and parts of the boutique and monitor the business
expenses and revenues. Our Boutique will only require a small amount of
46
human resources. We may only need 23 people (1 general manager, 3
manager, 3 cashier, 6 saleslady, 3 security guard, and 2 gift wrappers and
baggers, 5 Research and development staff).
4. Future parties whom contracts may be necessary
Our business would like to partner with Kily.ph and Viajero Wholesale as our
supplier. We would like to showcase their products and also have our products
be put on online shopping for a wider reach to people in the region.
5. Personnel requirement
Job openings:
o Cashier
o Security Guard
o Gift wrapper
o Saleslady
o Manager
CASHIER (female)

18 years old and above

With or without experience

SHS Graduate

No criminal record(s)

Has a pleasing personality
47

Fulltime worker
Job description: accommodate customers. Be knowledgeable
about where the specific aisle of cloths the customer is inquiring. Provide
the exact change to the customers.
SECURITY GUARD

25 years old and above

No criminal record(s)

With experience

Has a pleasing personality

Full time worker
Job description: Protect the store, the merchandise, the employees,
and the customers.
GIFT WRAPPER/ Bagger

18 years old and above

No criminal record(s)

Has a pleasing personality

Fulltime worker
Job description: Accommodate products bought by the customer.
And oblige to their request whether to gift wrap it, box it, put it in a green
bag, or just in a plastic cellophane.
48
SALESLADY

High School Graduate

No criminal record(s)

Has a pleasing personality

Fulltime worker
Job description: Be approachable and accommodate their inquiries
or request. Be knowledgeable about each merchandise that we sell.
MANAGER

No criminal record(s)

Has a pleasing personality

Fulltime worker

College Graduate
Job description: Coordinate with the entire group in the store and
supervise their interactions and actions with the customer(s). Must be
competent enough to be able to maintain cleanliness, motivate and
consistently reach quotas.
49
6. Administrative Operations
Administrative management operations involves coordinating,
planning and directing services that support the running of an organization
like bookkeeping, telephone operations, front office operations, mail
distribution
and
data
management.
Recruiting
a
competent
administrative manager to handle these operations is effective if his job
description captures the needs and the goals of the organization.
Chapter 5
5.1 Form of Business Organization
50
The form of business organization that we have decided is partnership.
Partnership is a business owned by two or more people. There are three types of
partnership General Partnership, Limited Partnership and limited Liability
Partnership. We have decided to have a General Partnership as a type of
Partnership for our business. A general partnership is the default version of a
partnership. Each partner represents the organization and has equal right to
participate in the management, decision making and control of the business. In
terms of risks and returns, the assumption is that profits are distributed equally and
liability is shared equally. Debts or liabilities that impact the organization can be
distributed equally.
Some of the advantages of Partnership include ease of organization, very
little government regulations, and combined knowledge and skills, using the
strength of each partner for better decision making. While some of the
disadvantages of is unlimited liability, each partner is also liable for the debts
incurred by the actions of other partners, a partner cannot transfer interest in the
business without the unanimous consent of the partners, and it can potentially be
unstable because of the danger of dissolution if one partner wants to withdrawal
from the business or dies.
5.2 Organizational Structure
51
Figure 5: Organizational structure of the business
5.3 Roles and Responsibility
52
CASHIER
Job description: accommodate customers. Be knowledgeable
about where the specific aisle of cloths the customer is inquiring. Provide
the exact change to the customers.
SECURITY GUARD
Job description: Protect the store, the merchandise, the employees,
and the customers.
GIFT WRAPPER/ BAGGER
Job description: Accommodate products bought by the customer. And
oblige to their request whether to gift wrap it, box it, put it in a green bag,
or just in a plastic cellophane.
SALESLADY
Job description: Be approachable and accommodate their inquiries or
request. Be knowledgeable about each merchandise that we sell.
MANAGER
Job description: Coordinate with the entire group in the store and supervise
their interactions and actions with the customer(s). Must be competent
enough to be able to maintain cleanliness, motivate and consistently
reach quotas.
53
General Manager
Job description. The general manager will be the one who manages the
overall performance and productivity of the business. He will be the one
who inspires, leads and teaches his fellow co-workers how to treat,
converse and serve the customers in order to be able to provide and
create customer value.
5.4 Salary Requirement
Position
Yearly Pay
Overtime Pay
13th
54
Hourly
Daily
Monthly
(# of days
Ordina
Special
Month
Pay
Pay
Pay
worked in
ry Day
Day
Pay
(hourly
(Yearly
the year x
(125%
(130% x
pay x
Pay / 12)
Daily pay )
x
hourly
hourly
rate)
10)
rate)
General
₱ 39.00
₱ 390.00
₱ 139,230.00
-
-
₱11,603.00
₱ 124,950.00
-
-
₱ 10,413.00
₱ 114,240.00
-
-
₱ 12,020.00
₱ 114,240.00
-
-
₱ 12,020.00
₱ 114,240.00
-
-
₱ 12,020.00
₱ 108,885.00
-
-
₱ 9,074.00
11,603.00
Manager
Manager
₱
₱ 35.00
₱ 350.00
₱
10,413.00
Sales
₱ 32.00
₱ 320.00
12,020.00
Lady
Bagger
₱
₱ 32.00
₱ 320.00
₱
12,020.00
Gift
₱ 32.00
₱ 320.00
12,020.00
Wrapper
Security
₱
₱ 30.50
₱ 305.00
₱ 9,074.00
Guard
Table 14: Salary requirement of the employees
Chapter 6
Production/ Service Provision Plan
55
PURCHASING FLOWCHART
Purchase Requisition
Purchase Order
Receiving Materials
Approval Invoices
Making Payments
Figure6: Purchasing Flowchart
As a business under merchandising as an activity of the business. We will
coordinate with our chosen suppliers. We will set monthly purchase for our
merchandise.
56
The flowchart above entails the process in which we will undergo. First we
will determine the certain products that are lacking, nearly out of stock, or literally
out of stock. Then we will contact the supplier that we have contract with. Then
we will order the products that are lacking. After the purchase order we will
receive the products that e ordered, next we will approve and analyze the
invoices. Lastly, we will make the payment to our supplier.
Chapter 7
Operation Plan
57
EVALUATION OF SUPPLIERS
Kily.ph provides several categories of products to choose from, like bags
furniture, clothes, shoes, and lingerie. Their products are of great quality and their
customer service is top-notch. In fact one of the things this company prides itself
in is the quality of their product and their amazing customer service.
Viajero Wholesale is a wholesale clothing supplier based in the Philippines
since 2011. They offer a wide range of apparel for women, men and children that
are proudly locally made.
MATERIALS REQUISITION AND RECEIVING PROCEDURES
Purchase Requisition
58
Purchase Order
Receiving Materials
Approval Invoices
Making Payments
Figure7: Purchasing Flowchart
As a business under merchandising as an activity of the business. We will
coordinate with our chosen suppliers. We will set monthly purchase for our
merchandise.
The flowchart above entails the process in which we will undergo. First we
will determine the certain products that are lacking, nearly out of stock, or literally
out of stock. Then we will contact the supplier that we have contract with. Then
we will order the products that are lacking. After the purchase order we will
59
receive the products that e ordered, next we will approve and analyze the
invoices. Lastly, we will make the payment to our supplier.
STORAGE AND INVENTORY CONTROL SYSTEM
In our business we don’t have a lot of equipment but if we aim to run our
business smoothly we have to conduct an inspection on our equipment,
merchandise and inventory. We will set a particular day that focuses on
inspecting the equipments. We need to list all the equipments and merchandises
or products that we have to monitor for us to be formalized in what equipment
to check first and so-on. We need the listing of equipments to serve as our guide
and process of monitoring.
FUNCTIONS OF SUPPORT OF SERVICES (FINANCE, MARKETING OPERATION,
HUMAN RESOURCES AND RESEARCH AND DEVELOPMENT)
Finance. A term describing the study system of money, it includes all the money
that our business recieves. It is also an investment to our business or the other
financial instrument.Financial managers are responsible for the financial health
of our business. They produce financial reports, direct investment activities, and
develop strategies and plans for the long-term financial goals for the sucess of
our business.
Marketing Operation. An organization approach it helps our business in creating
demand for products and services .Marketing Operations (MO) is a next-level
concept engaged in the actual process of creating, manufacturing and
60
promoting products. A marketing operations department is likely to be a wild
blend of creative left-brain thinkers and buttoned up right-brain statistic ninjas, all
working in harmony towards a common goal.
Human Resources. The department within to every business that is responsible for
all the things worker related. That includes recruiting, selecting, hiring, training,
promoting.Human resources are defined as the people employed by a company
or the department in a company or in a business.An example of human resources
is the department you would speak with to get more information about
employee benefits.
Research and Development. The department that is valuable for the growing and
improving of a business. This department is involve in researching the market and
customer needs. They also develop new products to fit the needs of the target
market being studied.
Chapter 8
Marketing Plan
PRODUCT
The products are all quality products made to impress and satisfy
teenagers and fashion forward individuals. S.M.L. Boutique focuses on the
61
popular trendy style of clothing, and retailing from different manufacturers of our
products some of our products are Oversized shirt, off shoulder, croptop, denim
skirt, denim jacket, jacket, long sleeve, dress, polo, high waste pants, rip jeans, Tshirt (plain), slacks, coats, sleeveless, jogger, high waste shorts, crop pants,
jumper, and turtleneck shirt. These specified products are from our market
forecast where we have predicted our top 20 products that will be bought in our
boutique.
PLACE
SML Boutique Is located in Palo a place where clothing industry
competitors is not a problem, the place that we have chosen to establish our
business is where most people stop by to eat, drink or refuel to travel to a specific
place. We have the advantage of having working people around having money
and carrying their phone. The place is mostly visited by foreigners traveling view
the amazing sites of Leyte. The location of our place is surrounded by restaurants
and evidently clothing business is still nonexistent here. Considering the fact that
there is no clothing industry in the area that we have chosen. This led us to having
a firm decision to establish our business in Palo.
PRICE
In SML Boutique we sell many different products some might be expensive
some might not but all our products will be in compliance of what is needed in a
clothing product. Though our products are for teenagers and socially active
62
people and most of them is on an average income and it is our job to arrange
our products to have cheaper more affordable quality products. Our prices will
increase depending on the customers’ population and the rate they will give us.
PROMOTION
We will mainly promote our business through advertising, say for example
through television, radio, and especially social media. But we will also yearn to
be able to create customer value and loyalty to the extent where our business is
already able to be advertised through our beloved customers.
PEOPLE
The people that we are referring to here is our target market, suppliers,
creditors and employees. Our target markets are fashion forward individuals and
teenagers. Our suppliers are Kily.ph and Viajero Wholesale. Our creditor is PNB
(Philippine National Bank). While our employees or job opening will be cashier,
security guard, gift wrapper, saleslady, manager and general manager and the
our competitors are Bench - Robinson North Tacloban, Penshoppe, Levi’s
Robinsons Tacloban, Uniqlo, Natasha, Giordano, Reggatta – Robinsons Place
Tacloban, Avon, and H&M. We have considered the relevance of each of the
people in the business. Through this we have been able to formulate a value
proposition for our sstarget market.
PACKAGING
63
Our employees will practice the value of always treating our customers our
last. They will always put smile on their faces and always value the customers. In
our packaging we will always make sure that all the products that our customers
will buy will always meet their expectations in how we manage and package the
products.
POSITIONING
Four years from now, our business will be a high earning clothing business
in Palo, Leyte particularly in Maharlika, Palo. We will be the number 1 preference
for the aspect of clothing. The people who are involve in this business will be
provided and be able to indulge on our amazing products yet highly affordable
offers.
Chapter 9
Financial Plan
5 YEAR FINANCIAL PLAN
S.M.L. Boutique 2020-2021
FORECASTED REVENUE
64
Units Sold
Annually
1. Over Sized Shirt
2. Off shoulder
3. Crop top
4. Denim Skirt
5. Denim Jacket
6. Jacket
7. Long Sleeves
8. Dress
9. Polo
10. High Waist Pants
11. Ripped Jeans
12. T-shirt (plain)
13. Slacks
14. Coat
15. Sleeveless
16. Jogger
17. High Waist Shorts
18. Track Pants
19. Jumper
20. Turtle Neck Shirt
2,970
2,970
2,673
2,376
2,376
2,376
2,079
1,782
1,485
1,485
1,188
1,188
1,188
1,188
1,188
891
594
594
594
594
Average
Price per
Unit
250
200
199
399
400
450
380
450
355
380
400
175
300
500
199
389
300
450
399
200
TOTAL OF FORECASTED REVENUE:
Table 15: 1st year financial plan
Annual
Revenue per
Product
742,500
594,000
531,927
948,024
950,400
1,069,200
790,020
801,900
527,175
564,300
475,200
207,900
356,400
594,000
236,412
346,599
178,200
267,300
237,006
118,800
10,537,263
COST OF GOODS SOLD
Expected Gross
Margin
1. Over Sized Shirt
2. Off shoulder
3. Crop top
4. Denim Skirt
7%
6%
5%
9%
Annual Cost
of Goods
Sold
51,975
314,640
26,596.35
85,322.16
65
5. Denim Jacket
6. Jacket
7. Long Sleeves
8.Dress
9. Polo
10. High Waist Pants
11. Ripped Jeans
12. T-shirt (plain)
13. Slacks
14. Coats
15. Sleeves
16. Jogger
17. High Waist Shorts
18. Track Pants
19. Jumper
20. Turtle Neck Shirt
9%
10%
7%
8%
5%
5%
5%
2%
3%
6%
2%
3%
2%
3%
2%
1%
TOTAL COST OF GOODS SOLD:
Table 16: 1st year financial plan
85,536
106,920
55,301.4
64,152
26,358.75
28,215
23,760
4,158
10,692
35,640
4,728.24
10,397.97
3,564
8,019
4,740.12
1,188
978,903.99
ANNUAL MAINTENANCE, REPAIR AND OVERHAUL
Factor (15%) on capital equipment
1,580,589.45
ASSET DEPRECIATION
Number of Years
5
TAX
66
Annual Tax Rate (30%)
3,161,178.9
INFLATION
Annual Inflation Rate (4%)
421,490.52
FUNDING
Loan Amount
Annual Interest rate
Term of Loan (months)
Monthly Rate
Payment
Tax Amount Payable
Balance for second year
2,000,000
7%
60
.58%
35,666.67
2,140,000
1,712,000
Table 17: 1st year financial plan
S.M.L. Boutique 2021-2022
FORECASTED REVENUE
Units Sold
Annually
Average
Price per
Unit
Annual
Revenue per
Product
1. Over Sized Shirt
2,970
257.50
764,775
2. Off shoulder
2,970
206.00
611,.820
3. Crop top
2,673
204.97
547,884.81
4. Denim Skirt
2,376
410.97
976,464.72
67
5. Denim Jacket
2,376
412.00
978,912
6. Jacket
2,376
463.50
1,101,276
7. Long Sleeves
2,079
391.40
813,720.6
8. Dress
1,782
463.50
825,957
9. Polo
1,485
365.65
542,990.25
10. High Waist Pants
1,485
391.40
581,229
11. Ripped Jeans
188
412.00
489,456
12. T-shirt (plain)
1,188
180.25
214.137
13. Slacks
1,188
309.00
367,092
14. Coats
1,188
515.00
611,820
15. Sleeveless
1,188
204.97
243,504.36
16. Jogger
891
400.67
356,996.97
17. High Waist Shorts
594
309.00
183,546
18. Track Pants
594
463.50
275,319
19. Jumper
594
410.97
244,116.18
20. Turtle Neck Shirt
594
206.00
122,364
TOTAL OF FORECASTED REVENUE:
10,853,380.89
Table 18: 2nd Year Financial Pla
COST OF GOODS SOLD
Expected Gross
Margin
Annual Cost
of Goods
Sold
1. Over Sized Shirt
7%
52,274.25
2. Off shoulder
6%
36,709.2
3. Crop top
5%
27,394.24
4. Denim Skirt
9%
87,881.82
68
5. Denim Jacket
9%
88,102.08
6. Jacket
10%
110,127.6
7. Long Sleeve
7%
56,960.44
8.Dress
8%
66,076.56
9. Polo
5%
27,149.51
10. High Waist Pants
5%
29,061.45
11. Ripped Jeans
5%
24,472.8
12. T-shirt (plain)
2%
4,282.74
13. Slacks
3%
11,012.76
14. Coats
6%
36,709.2
15. Sleeveless
2%
4,870.08
16. Jogger
3%
10,709.90
17. High Waist Shorts
2%
3,670.92
18. Track Pants
3%
8,259.57
19. Jumper
2%
4,882.32
20. Turtle Neck Shirt
1%
1,223.64
TOTAL COST OF GOODS SOLD:
691,831.08
Table 19: 2nd Year Financial Plan
ANNUAL MAINTENANCE, REPAIR AND OVERHAUL
Factor (15%) on capital equipment
1, 628,007.13
ASSET DEPRECIATION
Number of Years
5
69
TAX
Annual Tax Rate (30%)
3,256,014.26
INFLATION
Annual Inflation Rate (4%)
434,135.23
FUNDING
Loan Amount
Annual Interest rate
Term of Loan (months)
Monthly Rate
Payment
Tax Amount Payable
Balance for third year
2,000,000
7%
60
.58%
35,666.67
2,140,000
1,284,000
Table 20: 2nd Year Financial Plan
S.M.L. Boutique 2022-2023
FORECASTED REVENUE
Units Sold
Annually
Average
Price per
Unit
Annual
Revenue per
Product
1. Over Sized Shirt
2,970
265.22
787,703.4
2. Off shoulder
2,970
212.18
630,174.6
3. Crop top
2,673
211.11
564,297.03
70
4. Denim Skirt
2,376
423.29
1,005,737.04
5. Denim Jacket
2,376
424.36
1,008,279.36
6. Jacket
2,376
477.40
1,134,302.4
7. Long Sleeves
2,079
403.14
838,128.06
8. Dress
1,782
477.40
850,726.8
9. Polo
1,485
376.61
559,265.85
10. High Waist Pants
1,485
403.14
598,662.9
11. Ripped Jeans
188
424.36
504,139.68
12. T-shirt (plane)
1,188
185.65
220,552.2
13. Slacks
1,188
318.27
378,104.78
14. Coat
1,188
530.45
630,174.6
15. Sleeveless
1,188
211.11
250,798.68
16. Jogger
891
412.69
367,706.79
17. High Waist Shorts
594
318.27
189,052.38
18. Track Pants
594
477.405
283,578.57
19. Jumper
594
423.29
251,434.28
20. Turtle Neck Shirt
594
212.18
126,034.92
TOTAL OF FORECASTED REVENUE:
11,178,852.28
Table 21:3rd Year Financial Plan
COST OF GOODS SOLD
Expected Gross
Margin
Annual Cost
of Goods
Sold
1. Over Sized Shirt
7%
55,139.23
2. Off shoulder
6%
37,810.47
71
3. Crop top
5%
28,213.85
4. Denim Skirt
9%
90,516.33
5. Denim Jacket
9%
90,745.14
6. Jacket
10%
113,430.24
7. Long Sleeve
7%
58,668.96
8.Dress
8%
68,053.14
9. Polo
5%
27,963.29
10. High Waist Pants
5%
29,933.14
11. Ripped Jeans
5%
25,206.98
12. T-shirt (plain)
2%
4,411.04
13. Slacks
3%
11,343.14
14. Coats
6%
37,810.47
15. Sleeveless
2%
5,105.97
16. Jogger
3%
11,031.20
17. High Waist Shorts
2%
3,781.04
18. Track Pants
3%
8,507.35
19. Jumper
2%
5,028.68
20. Turtle Neck Shirt
1%
1,260.34
TOTAL COST OF GOODS SOLD:
723,694
Table 22:3rd Year Financial Plan
ANNUAL MAINTENANCE, REPAIR AND OVERHAUL
Factor (15%) on capital equipment
1,676,827.84
72
ASSET DEPRECIATION
Number of Years
5
TAX
Annual Tax Rate (30%)
3, 353,655.68
INFLATION
Annual Inflation Rate (4%)
447,154.09
FUNDING
Loan Amount
Annual Interest rate
Term of Loan (months)
Monthly Rate
Payment
Tax Amount Payable
Balance for fourth year
2,000,000
7%
60
.58%
35,666.67
2,140,000
856,000
Table 23:3rd Year Financial Plan
S.M.L. Boutique 2023-2024
FORECASTED REVENUE
Units Sold
Annually
Average
Price per
Unit
Annual
Revenue per
Product
73
1. Over Sized Shirt
2. Off shoulder
3. Crop top
4. Denim Skirt
5. Denim Jacket
6. Jacket
7. Long Sleeves
8. Dress
9. Polo
10. High Waist Pants
11. Ripped Jeans
12. T-shirt (plain)
13. Slacks
14. Coats
15. Sleeveless
16. Jogger
17. High Waist Shorts
18. Track Pants
19. Jumper
20. Turtle Neck Shirt
2,970
2,970
2,673
2,376
2,376
2,376
2,079
1,782
1,485
1,485
1,188
1,188
1,188
1,188
1,188
891
594
594
594
594
273.17
218.54
217.44
435.98
437.09
491.72
415.23
491.72
387.90
415.23
437.09
191.21
327.81
546.36
217.44
425.07
327.81
491.72
435.98
218.54
TOTAL OF FORECASTED REVENUE:
811,314.9
649,063.8
581,217.12
1,035,888.48
1,038,525.84
1,168,326.72
863,263.17
876,245.04
576,031.5
616,616.55
519,262.92
227,157.98
389,438.28
649,075.68
258,318.72
378,737.37
194,719.14
292,081.68
258,972.12
129,812.76
11,513,889.27
Table 24: 4th Year Financial Plan
COST OF GOODS SOLD
74
Expected Gross
Margin
1. Over Sized Shirt
2. Off shoulder
3. Crop top
4. Denim Skirt
5. Denim Jacket
6. Jacket
7. Long Sleeves
8.Dress
9. Polo
10. High Waist Pants
11. Ripped Jeans
12. T-shirt (plain)
13. Slacks
14. Coats
15. Sleeveless
16. Jogger
17. High Waist Shorts
18. Track Pants
19. Jumper
20. Turtle Neck Shirt
7%
6%
5%
9%
9%
10%
7%
8%
5%
5%
5%
2%
3%
6%
2%
3%
2%
3%
2%
1%
TOTAL COST OF GOODS SOLD:
Table 25: 4th Year Financial Plan
Annual Cost
of Goods
Sold
56,792.04
38,943.82
29,060.85
93,229.96
93,467.32
116,832.67
60,428.42
70,099.60
28,801.57
30,830.82
25,963.14
4,543.14
11,683.14
38,944.54
5,166.37
11,362.12
3,894.38
8,762.45
5,179.44
1,298.12
735,283.91
ANNUAL MAINTENANCE, REPAIR AND OVERHAUL
75
Factor (15%) on capital equipment
1,727,083.39
ASSET DEPRECIATION
Number of Years
5
TAX
Annual Tax Rate (30%)
3,454,166.78
INFLATION
Annual Inflation Rate (4%)
460,555.57
FUNDING
Loan Amount
Annual Interest rate
Term of Loan (months)
Monthly Rate
Payment
Tax Amount Payable
Balance for fifth year
Table 26: 4th
2,000,000
7%
60
.58%
35,666.67
2,140,000
428,000
Year Financial Plan
S.M.L. Boutique 2024-2025
FORECASTED REVENUE
76
Units Sold
Annually
1. Over Sized Shirt
2. Off shoulder
3. Crop top
4. Denim Skirt
5. Denim Jacket
6. Jacket
7. Long Sleeves
8. Dress
9. Polo
10. High Waist Pants
11. Ripped Jeans
12. T-shirt (plain)
13. Slacks
14. Coat
15. Sleeveless
16. Jogger
17. High Waist Shorts
18. Track Pants
19. Jumper
20. Turtle Neck Shirt
2,970
2,970
2,673
2,376
2,376
2,376
2,079
1,782
1,485
1,485
1,188
1,188
1,188
1,188
1,188
891
594
594
594
594
Average
Price per
Unit
281.36
225.09
223.96
449.05
450.20
506.47
427.68
506.47
605.53
427.68
450.20
196.94
337.64
562.75
223.96
437.82
337.64
506.47
449.05
225.09
TOTAL OF FORECASTED REVENUE:
Table 27: 5th Year Financial Plan
Annual
Revenue per
Product
835,639.2
668,517.3
598,645.08
1,066,942.8
1,069,675.2
1,203,372.72
889,146.72
902,529.54
899,212.05
635,104.8
534,837.6
233,964.72
401,116.32
668,547
266,064.48
390,097.62
200,558.16
300,843.18
266,735.7
133,703.46
12,165,253.65
COST OF GOODS SOLD
77
Expected Gross
Margin
1. Over Sized Shirt
2. Off shoulder
3. Crop top
4. Denim Skirt
5. Denim Jacket
6. Jacket
7. Long Sleeves
8.Dress
9. Polo
10. High Waist Pants
11. Ripped Jeans
12. T-shirt (plane)
13. Slacks
14. Coats
15. Sleeveless
16. Jogger
17. High Waist Shorts
18. Track Pants
19. Jumper
20. Turtle Neck Shirt
7%
6%
5%
9%
9%
10%
7%
8%
5%
5%
5%
2%
3%
6%
2%
3%
2%
3%
2%
1%
TOTAL COST OF GOODS SOLD:
Table 28: 5th Year Financial Plan
Annual Cost
of Goods
Sold
58,494.74
40,111.03
299,322.54
96,024.85
96,270.76
120,337.27
62,240.27
72,202.36
44,960.60
31,755.24
26,741.88
4,679.29
12,033.48
41,312.82
5,321.28
11,702.92
4,011.16
9,025.29
5,334.71
1,337.03
1,043,219.52
ANNUAL MAINTENANCE, REPAIR AND OVERHAUL
78
Factor (15%) on capital equipment
1,824,788.04
ASSET DEPRECIATION
Number of Years
5
TAX
Annual Tax Rate (30%)
3,649,576.09
INFLATION
Annual Inflation Rate (4%)
486,610.14
FUNDING
Loan Amount
Annual Interest rate
Term of Loan (months)
Monthly Rate
Payment
Tax Amount Payable
Balance
2,000,000
7%
60
.58%
35,666.67
2,140,000
0
th
Table 29: 5 Year Financial Plan
Projected Statement Analysis
79
Our Projected revenue statement for the first year will have a total
forecasted revenue of Php. 10,537,263
Our Projected revenue statement for the second year will have a total
forecasted revenue of Php.10,853,380.89
Our Projected revenue statement for the third year will have a total
forecasted revenue of Php.11,178,852.28
Our Projected revenue statement for the fourth year will have a total
forecasted revenue of Php.11,513,889.27
Our Projected revenue statement for the fifth year will have a total
forecasted revenue of Php. 12,165,253.65
80