Saint Jerome’s Academy of Bagabag, Inc.
Bagabag, Nueva Vizcaya
Senior High School
In Partial Fulfillment of the requirements in
Entrepreneurship
Reminisce Condotel
Business plan
Submitted by:
Christopher D. Madronal
Cherry Ann C. Afalla
12 - St. John the Apostle student
Submitted to:
Mr. Alvin Jay P. Alquesor
Entrepreneurship Adviser
A.Y. 2018-2019
TABLE OF CONTENTS
I.
Title Page---------------------------------------------------------------------------------------------1
II.
Table of contents------------------------------------------------------------------------------------2
III.
Introduction------------------------------------------------------------------------------------------3
A. The Business Concept and the Business Model
B. The Business Goals: Vision, Mission, Objectives and Performance Targets
C. The Business Offering and Justification
IV.
Executive Summary---------------------------------------------------------------------------------8
V.
The Business Proponents: Organizers with their capabilities and contributions------------10
VI.
The Target Customers and the Main Value Proposition to the customer--------------------12
VII.
The Market, Market Justification based on the Industry Dynamics and the Macro
Environmental factors affecting the Opportunities and Threats in the Market, the size,
Potential and Realistic share of the market-------------------------------------------------------14
VIII.
The Product and Service offerings----------------------------------------------------------------22
IX.
The Enterprise Strategy and Enterprise Delivery Systems: Business Competitiveness----24
X.
The Financial Forecasts and Expected Returns, Risks, and Contingencies------------------28
XI.
Environmental and Regulatory Compliances----------------------------------------------------32
XII.
The Capital Structure and Financial offering: Returns and the Benefits to Investors,
Finances, and Business Partners-------------------------------------------------------------------34
XIII.
Bibliography-----------------------------------------------------------------------------------------37
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CHAPTER I
INTRODUCTION
A. The Business Concept and the Business Model
Reminisce Condotel is a condominium with hotel units and facilities. It is in vintage
ambiance, people can invest their money in units and let it earn. Upon purchasing a unit, it
includes free cleaning and maintenance anytime needed by the owner. The Reminisce Condotel
also offer up to 5 star rated rooms and units. The condotel advertise “home away from home”.
Diagram 1.1
Customers
Business profit
and Customer's
benefit
Smart
Advertising
In the Diagram 1.1 it represents our business model. Customers plus our smart advertising
were in customer can bargain on what set up they want and upon their decision and the business
administration’s decision it will result to win situation between the business and customer.
Customers are highly accommodated by the professionally trained staff in the lobby.
3 P a g e |The Reminisce Condotel
To make the business possible investors from any part of the world are open to invest and
we assure the security of their investment and the return will be high as much as possible as we
promise. The reminisce condotel is different from others because we value the bargaining power
of customers by simply asking them what they want and agreeing to it in a profitable way. We
assure the control of everything from the very start up to the long run of the business.
B. The Business Goals: Vision, Mission, Objectives and Performance Target
Vision
The Reminisce Condotel envisions to provide a memorable and worth it
experience to all our customers in a way they feel secure and feel the vintage ambiance of
the Condotel.
Mission
As a condominium with hotel facilities, the Reminisce Condotel is committed to
excellence in local and hopefully global market.
We are committed to:

our customers that we provide a quality unit and rooms in affordable price.

our investors that we strive to give back high return in their investments.

our staff that we provide them proper training and seminars such as leadership training.

our management practice that we observe highly five star rated.
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The following objectives with its key result areas are in the diagram 1.2 below and this
will be achieved by the vision and mission of the business Reminisce Condotel.
Key Result Area’s
Objective
1. To establish a good
1a. Increase in number of new customers
customer relationship.
1b. Percentage of repeat customers
2. To make good profit and
2a. Increase in annual income
make good return to the
2b. Return of investment
owner and investors.
2c. Return on Asset
3a. Expansion of the Condotel
3. To be part of the global
3b. Growth in sales
market place.
3c. Increase in number of customers
4a. Benefits of staff and employees are above the
4. To make satisfaction on
industry rates
the part of employees and
staffs on higher department.
4b. Retention of the satisfaction on customers,
employees and staff
Diagram 1.2
The diagram 1.3 below show the key result areas and performance indicator and it will be
the assigned project and goal for the next 10 years of running the business.
Key Result Area’s
Performance Indicator
2021
(depend on the year
upon the opening)
2026
(5 years upon
service)
2031
(10 years upon
service)
1a. Increase in number of new
customers
10%
30%
50%
1b. Percentage of retained
customers
5%
20%
50%
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2a. Increase in annual income
Php 1 million
Php 5 million
Php 15 million
2b. Return of investment
10%
30%
50%
2c. Return on Asset
5%
15%
30%
Start of building new
establishment next
to the main building.
Opening of new 50
rooms and units.
7%
20%
40%
200
(Accommodations)
500
(Accommodations)
1000
(Accommodations)
4a. Benefits of staff and
employees are above the industry
rates
5% higher than
industry
10% higher than
industry
20% higher than
industry
4b. Retention of the satisfaction on
customers, employees and staff
6 out of 10
7 out of 10
8 out of 10
3a. Expansion of the Condotel
3b. Growth in sales
3c. Increase in number of
customers
Diagram 1.3
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C. The Business Offering and Justification
The Reminisce Condotel offers a program were in unit owners can make their unit
profitable by agreeing to the terms and condition of the management that other customers can rent
the unit it as a hotel room in a short time, the cleaning and maintenance is free but it depends on
the square foot coverage of the free service. Unit owners can assure the security of their belongings
by putting individual secret security locker in every room that the management and the owner has
only access.
The bargaining power of customer is highly observed, by having a separate accommodating
desk for the owners to bargain and new customers to bargain, present at the lobby. Vintage
collection will be the decorations in the lobby but the rooms can be so modern that when you went
inside the unit you will feel the futuristic technologies present and awkwardly saying when you go
out you felt like you timed travel but all rooms are not the same and that depends upon the terms
and conditions signed by the customer from the management of the condotel.
A wide range of choices are present in every room but modification of the rooms such as
painting the walls has to pass the management’s regulation and justification. We assure the terms
and conditions clear to the customers before signing and again bargain in those terms and
conditions are allowed to gain win and win situation to both parties.
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CHAPTER II
EXECUTIVE SUMMARY
The reminisce condotel is a condominium with hotel units and facilities. The business is
owned by the business partner Christopher Madronal who is a business entrepreneur and Cherry
Ann Afalla who is a medical doctor. It is the first establishment of the said business and it is built
it the New City, Clark, Pampanga.
The condotel has its vintage and antique ambiance to blend with its business brand. The
business is committed to its vision to give justice to what the customers invest on the business, its
mission to provide customers quality unit and rooms in affordable price, its objective to value
customers and establish good customer relationship. This is to show the business focus on
hospitability.
The target customers of the business are local and international investors, balikbayans,
locals who wants to own a unit in a prime location, parents with children studying near the
condotel. The condotel offers wide range of choices in its hotel the commercial, superior, deluxe
and presidential rooms. Also in its residential condominium there are commercial units, deluxe
and presidential units with dining area, receiving area, kitchen, comfort rooms. The business also
offers its customer the right to bargain and a home away from home establishment where
everything is almost provided.
The business has made partnerships to big companies like Microsoft, Samsung, LG for the
software providers and Sm investments, Lucio Tan, Ayala and others to supply the hardware,
financing needs of the business to be established and for its long run operation. They will support
the business operation of offering up to 5-star rated hotel rooms and residential units.
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For the advertising and promotions of the business it will be through the hotel brand
website, social networking, advertising gimmicks, commercials, radio broadcasting and the
business will be launching its own application for fast and convenient customer service of the
condotel.
The business will be challenge by the macro environment, micro environment, its own
weaknesses, and possible treats but the business will be responsible for its operation and the
business as one will be going through this challenges with ease because the business has prepared
sufficient financial needs, staffs, strategies to be on top of the game and back up plans for untimely
changes of the market.
Before the business will start to operate the business will further ensure that everything is
with its proper condition to accommodate its residents, that the business passed different regulatory
test safety and security and lastly that the business is capable of sustaining itself in the long run.
The business value its customer so much that the business will be positioning its brand on
hospitability and having priority on the customer’s bargaining power. All of this is to fulfill the
business promise and it is to provide the customers a home away from home.
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CHAPTER III
THE BUSINESS PROPONENTS: ORGANIZERS WITH THEIR CAPABILITIES AND
CONTRIBUTIONS
1. Resource Mobilizer and Financial Backers
The resource mobilizer and financial backers will be the investors and these
investors have their own capabilities, skills, and interests. They believe that giving them
the opportunity to become part of the business will be a success and it is true because they
have the money and know how to control how much and how many.
In addition, it is not just the investors who will provide the financial need but also
the owner who will be the financial backer in case of emergency. The success if the
business is once again from the investor and owner’s interest and dedication for the
business future.
2. Technology Providers and Applicators
The owner has made partnership to some large technology providers in the world
because the owner once again wants to provide its customer the best of the best technology
present. Some of the technology providers are Samsung and Lg plus Microsoft for the
software. Lastly on the security and safety are studied and placed strategically and secretly
in all part of the condotel.
In addition to that, employees will be hired to monitor the security and safety of all
inside and near the condotel 24 hours in 7 days a week. Every identical part will have a
way of communication to the main security for fast response.
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3. Governance and Top Management
For the top management and governance, the owner will hire and promote a general
manager with its assistant manager and deputy assistant manager for the purpose of not
having any trouble in managing the business. The financial director will be hired with its
accountant and cashier for the financing purposes. There will be a front office manager that
will facilitate the lobby and will be in charge in monitoring the assistant front office
manager, font desk agents and the valet parking. The human resource (HR) manager will
be responsible of taking care of the employee recruitment, arrange staff training, make
promotion and disciplinary decisions and check the staff attendance, the one in charge will
be assisted by HR assistant. There will also be food and beverage director for the restaurant
management. The sales manager is responsible on selling a room or a unit and services to
individuals and groups. Lastly, the logistics department is responsible for tracking for daily
supplies, purchasing appliances, and keeping security.
4. Operating and Support Team
All of the business employees and staff are the operating and support team.
Seminars and workshops will be made and team building activities in order to build and
strengthen themselves on the challenges that may encounter in the progress of the condotel.
Although seminars and workshop will takes place the owner will still put effort of checking
the condition of the staff because the operating and support team are one of the key for the
success of the business.
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CHAPTER IV
THE TARGET CUSTOMERS AND THE MAIN VALUE PROPOSITION TO THE
CUSTOMERS
The Reminisce condotel is a place home away from home with its antique ambiance and
unique characteristics. Since the reminisce condotel branch will be built in the new city in Clark,
Pampanga, most of its target customers will be the people there. In addition to that a nearby airport
and this will be an attraction to that place.
Target market for the hotel

Successful balikbayans who deserves a unit in the condotel who would like to have
a comfortable home to reside in every time they visit the new city (capital) of the
Philippines.

Local investors who would appreciate the big potential of the business.

International Investors who sees the potential of profit in the business.
Target market for the condominium

Parents with kids studying in the new city who would like to provide their kids less
hassle travel to their school, provide security and home.

People who want the advantage of home ownership at the new city and capital of
the Philippines.

People who wants to own a unit and let it earn for them.
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Building features
Everything below is at its updated software provided by Microsoft and the technologies by
LG and Samsung only.
1. Elevators, staircases and garbage chutes
2. Generators, water tank, storage facility every floor
3. Telephone lines and TV cables
4. Security system
5. Fire alarm all rooms has fire extinguisher with Emergency exits every floor
6. 3 swimming pools
7. Free Wi-Fi at the lobby and airconditioned anywhere in the condotel except the parking
area
8. Separate parking space for residential condominium customers and condotel customers.
9. Shock proof
10. Rooftop is open for reservation, for pool parties and etc.
The condotel owners enjoy:

A unit in a very prime location

Well trained and monitored staffs

Loyalty Cards

A good return of their investment

And a chance to make a profit on their units.

Treated like VIP’s
The business doesn’t limit its target market all who wants to book in the hotel and to buy
residential units are accommodated as long as the rooms and units are still available to occupy.
The target customers are just to focus of the business to market itself to them and also this is to
show its relevance and need for it in the market. The Reminisce Condotel will provide temporary
living spaces for the buyers whenever they visit the new city, whether for business or pleasure and
an investment tool that earns for them when not in use.
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CHAPTER V
THE MARKET, MARKET JUSTIFICATION BASED ON THE INDUSTRY DYNAMICS
AND THE MACRO ENVIRONMENTAL FACTORS AFFECTING THE
OPPORTUNITIES AND THREATS IN THE MARKET, THE SIZE, POTENTIAL AND
REALISTIC SHARE OF THE MARKET
A. The Market
The market for hotel and residential condominium industries are quite big and very
different the market where product and service are being sold. The market of these industries
depend so much on the demography and its environment, if a place is some way near some tourist
attractions, schools especially universities, big businesses this industry easily blooms out of
nowhere but if these industry is not located any nearby gateways it could hardly sustain itself in
short it won’t be progressive compared to those alike industries near gateways.
The Reminisce Condotel is built in the New City, Clark, Pampanga and its most target
customer will be people around the city and those who want to invest a unit in a prime location.
The market is in need and a big demand for hotel and condominiums specially to those who are
looking for a prime location like near the school and near to some attractions. The market trend in
the past year until today is that owning a condominium unit is already a privilege to other culture.
The reminisce condotel provides its target market a home away from home, it provides
them a complete package where short time stay or long time or even an invest of room is present
because we combine the function of hotel and condotel and its offering. On the other hand,
reminisce condotel is undeniably support its customers on their demand of hospitality and their
high standards and this condotel will surely penetrate its market.
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B. Industry Dynamics
The reminisce condotel will be facing some of the best hotels and condominium businesses
in the country because of the big opportunity that open in the New City, Clark, Pampanga. Some
hotels and condominium will surely arise but being the combination of both those businesses is
already a game changer with them and also we are going to provide 5-star rated customer service.
Small businesses that offer small time stay with super affordable price also will be threat
to us so we ensure that our business ambiance will be friendly and very accommodative to all
customers. Being a condotel is a benefit indeed, wider range of market, bigger number of
customers and bigger potential market also market share. The customer service of our condotel is
a game changer to the competition because we value the bargaining power of customers that it is
not just us who value them and we give them reason to value as also.
The reminisce condotel will ensure its place on top of every competitor by maintaining its
5-star rating in every areas and providing customer the best and worth it experience to all its
customer.
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C. Macroenvironment Analysis
Hotel industries and condominiums are growing steadily, this creates a new face to the
society where customers won’t be a problem where and how they will stay because investing to
condominiums and going to a hotel in a place they normally go is very much less hustle and very
much an investment. Macro environment is everywhere in affect both people/ customers and the
business.
a) Politicolegal
Increasing legislation enhances limitations on businesses, particularly as legislation
is constantly changing and every continent adopts different laws. Business legislation is
enforced to protect consumers, companies and the interests of society. In the part of our
Team Members we provide them sufficient seminars and workshops such as leadership
trainings, workshop for customer service and the like for them to be certified and work
sufficient. The reminisce condotels prepares and ensure the quality and integrity of the
building that it passed all necessary requirements to operate the business.
b) Economic
The Philippines inflation rate has made a big impact to the Filipinos which made
the decrease of customers to invest for a residential condominium and reduce the local
tourist of staying longer in the place because of high cost of products. Thus this changes
with the Politicolegal environment result for the reminisce condotel to enhance and
recognizes the bargaining of customers for them to ask what they want, terms and
conditions plus the price and can be agreed upon by the management.
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c) Sociocultural
Travel & tourism industry represents one of the key sectors in the national
economy. Philippines are known in having hospitable citizens, where it welcomes its
tourist like no other countries. Reminisce condotel provides global hospitality; their
services are provided accordingly with their customer’s needs. The condotel contributes
revenues to the government that serves the community in need. The culture that is already
just memories to other are being preserve in the condotel with its own small museum with
antiques displays in the condotel such as the lobby and hallways, thus adding more value
to its social responsibility.
d) Technological
Technological advancement is growing rapidly with this the Reminisce condotel
adapts with these technologies and utilizing it inside the condotel such as advance cctv
cameras, biometric lock, finger print locks, solar panels and the like provided by the
condotel technology provider LG company and Samsung and Microsoft for the software.
Adding to this is the reminisce condotel launching its own application where it
offers browsing for the room availability and reservation of course only with loyal
customers. Also the condotel offers loyalty programme where you can earn points and
receive rewards such as free parking, discounts, free meals and the like.
e) Natural
Big establishments such as hotels, industries and some corporations are
contributing a considerable amount towards carbons emissions with negative implications
to the issue of global warming. The reminisce condotel are facing tight regulations to
17 P a g e |The Reminisce Condotel
reduce carbon footprints at the same way increasing the operational cost of the condotel.
Thus, this result for the Reminisce condotel to invest for solar energy to decrease both
carbon emissions and operational cost for the long run.
D. Opportunities and Threats
All business in the market present in the whole world has its stable line of operation where
opportunities opens and it is now for the business to grab and make use of it. The reminisce
condotel feels this too and here are some of its opportunities where it will be the reason to stand
differently.
OPPORTUNITIES:

The new city in Clark, Pampanga
The condotel will provide the people who visits the new city, a shelter for some
time or a home to stay. Plus, in the new city, residential houses are not welcomed if not a
very expensive lot and the condotel will be a game changer available for everybody.

Being a condotel
Being a condotel scopes a wider range of market, bigger number of customers and
surely by being condotel it is an eye magnet to investors and to those willing to invest.
Customers has high expectations with condotel and this greatly benefits the condotel to
grind to be the top.

The world starts to Globalize
There are more booking and travelling options meaning more and more tourist
going inside and out different places and hotels will be a good business.
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Businesses also are experiencing threats and some business lets this threat to degrade them.
Sometimes this causes their downfall, most business do prepare for these threats even future threats
such as renovations. The reminisce condotel’s present threats are the following:
THREATS:

Small Lodging Places
This small lodging places are providing customers super affordable motels for short
time stay and is a big treat to reminisce condotel because they take small time travelers in
the market.

Untimely changes in Macroeconomic Climate
The untimely change in Macroeconomic environment such as the immediate
implementation of inflation rate, it greatly affects the customers, business and staffs where the
business has to come up with this immediately by implementing new strategy to address this
change.

Nearby Hotels and Condominiums Unit establishments
The nearby businesses who offers hospitality services getting a part to the market and
affecting the business performance.
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E. Market Size and Potential Share of the Market
The target market of the reminisce condotel are both the hotel and condominium customers.
The target market for the hotel are the balikbayans who wants to find a room to reside while visiting
the new city, the local investors and international investors who foresee the potential of the
business. The target market for the condominium units are families who wants to have a secure
investment, customers who seeks advantage for home ownership in a prime location which is the
New city in Clark, Pampanga and those customers who wants to own a unit and interested for the
benefit of the ownership.
The market size of the Reminisce Condotel is larger than the market size of the hotel and
condominium industries because of course of the capacity and the big offers of our condotel.
For the hotel, the number of customers (per family) expected to be market is 2500 and their average
visit to the hotel will be twice a year.
Market size = 2500 families × 2 visits × 365 days
= 1,825,000 families expected customers in a year
Market size profit = 1,825,000 customers × 500
= 912,500,000 per annum
Potential Market Share = 912,500,000 per annum × 20%
= 182,500,000
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For the residential condominium, the number of buyers (per family) expected to be market is 650
every year and it is a rent to own condominium units.
Market size = 10 families × 365 days
= 3,650 families expected customers in a year
Market size profit = 3,650 buyers × 30,000
= 109,500,000 per annum
Potential Market Share =109,500,000 per annum × 15%
= 16,425,000 per year
21 P a g e |The Reminisce Condotel
CHAPTER VI
THE PRODUCT AND SERVICE OFFERINGS
The Reminisce Condotel offers complete package in security, recreational areas,
convention rooms and the like. One part of the package offers a program were in unit owners can
make their unit profitable by agreeing to the terms and condition of the management that other
customers can rent the unit it as a hotel room in a short time, the cleaning and maintenance is free
but it depends on the square area coverage of the free service. Unit owners can assure the security
of their belongings by putting individual secret security locker in every room that the management
and the owner has only access.
The right for the customer to bargain is highly observe, by having a separate
accommodating desk for the owners for inquiries and new customers to query, present at the lobby.
The reminisce condotel offers a home away from home service to its customers. A restaurant with
wide range of menu is also offered to both residential and hotel customers even visitors which is
also 5-star dining.
All rooms are not the same and that depends upon the terms and conditions signed by the
customer from the management of the condotel. A wide range of choices are present in every room
like in hotel rooms we have many choices like of single commercial room, 2-3 bedrooms a
presidential suite all with bathroom and a table. On the other hand, the residential condominium
will also be having the choices like single bedroom commercial unit, 2-3 bedrooms a presidential
unit with dinning are, receiving area, kitchen and toilet and bathrooms but modification of the
rooms such as painting the walls has to pass the management’s regulation and justification. We
assure the terms and conditions are clear to the customers before signing and again bargain in those
terms and conditions are allowed to gain win and win situation to both parties.
22 P a g e |The Reminisce Condotel
Per Room Pricing
A rate is given per room without taking into account the number of people being
accommodated in that room. The same rate is applied whether one person or two people stay in
the room. Then, the difference for breakfast is applied per person.
Pricing model: Per Room
According to this, the rate would be as below:
Food rate: Php 250.00 / per person
Single / Double Room Only: Php 5,000.00
Difference for Third Person: Php 1,500.00
Triple Room Only: Php 6,500.00
Note: With this pricing model, you should not ignore the fact that there are many price variations: 4
room types (Commercial, Superior, Deluxe, Presidential) 2 rate types (Room Only, Non Ref Room
Only).
For the residential condominium units, it is sold by rent to out and it can be semi-annual,
monthly, and annual payment. The ordinary condomium unit with single bedroom commercial unit,
2-3 bedroom superior, deluxe and presidential units with dining area, receiving area, kitchen and
toilet and bathrooms. The price of the commercial unit ranges from Php 30,000 – 50, 000, the upper
unit ranges from Php 80,000 to 300,000. All the customers who wants to inquire are accommodated
in the customer service area where they can bargain about the price, modifications, design and the
like to come up with an acceptable agreement and the signing of contract.
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CHAPTER VII
THE ENTERPRISE STRATEGY AND ENTERPRISE DELIVERY SYSTEMS:
BUSINESS COMPETITIVENESS
A. Enterprise Strategy
The reminisce condotel wants to establish itself in the local market and will start in the
new city, Clark, Pampanga. The business will be focusing on its hospitality, making the
business the reflection of the Filipinos at the same time sustaining business financial need and
building its good image and reputation as a head start for the business to reach its future goals
like being part in the global market.
Since the business will be a part of the new city therefore it will be focusing its
strategies major to the international tourists and locals who will be visiting Clark, Pampanga.
One of its strategy will be the business having a website and it will provide the visual treat for
the visitors, in just a matter of clicks you can make a book on your chosen hotel rooms and you
will be informed about anything on the hotel with those clicks. Secondly the condominium
will be accommodating customer’s inquiry in a customer based bargaining power which will
be having a separate customer service section in the lobby. Thirdly, all of the things used to
construct the building, design the building, software and technologies are high end qualities
provided by big names and companies such as LG, Samsung, Microsoft and Tox Hardware.
Lastly, resource mobilizer is not just the investors who will provide the financial need but also
the owner who will be the financial backer in case of emergency. The success if the business
is once again from the investor and owner’s interest and dedication for the business future.
The Reminisce Condotel will undeniably sustains its own and will satisfy a big number
of valued customer throughout its operation. The resource mobilizer, financial backers are
24 P a g e |The Reminisce Condotel
sufficient, the technology providers and applicators are responsive and has already
made partnership with them, the governance and top management has already been set from
President up to the Service Crews, and the last operating and support team are overdosed with
seminars and workshop to maximize and perform a 5-star service for the hotel and
condominium operations.
B. Enterprise Delivery System
Input

Throughput
Output
The concept of building a
hotel enterprise in the New
Planned and Set
City, Clark, Pampanga.

Resource
(the need for it is for business,
Mobilizer and
The High End made Reminisce
pleasure and visit)
Financial Backers
Condotel


Technology
1.
Hotel rooms
residential condominium in
Providers and
2.
Residential
the New City, Clark,
Applicators
The concept of building a
Pampanga.

(the need for it is for a home in
a prime location)

The prime location, New
Governance and
Top Management

Condominium units
3.
Restaurant with 5-star
facilities
Operating and
Support Team
City, Clark Pampanga
Diagram 1.4
The diagram 1.4 entail that the Reminisce Condotel’s input in the enterprise delivery
system are the cause and the origin of the concept of building a hotel enterprise, residential
25 P a g e |The Reminisce Condotel
condominium in the New City, Clark, Pampanga and the prime location opportunity which is a big
pro for the business. The business proponents and the people behind the business are the Resource
Mobilizer and Financial Backers, Technology Providers and Applicators, Governance and Top
Management, Operating and Support Team. The success of the business venture to operate result
to high-end made Reminisce Condotel offering up to 5-star rated hotel rooms, condominium units
and restaurant.
Marketing

Desired Outcomes
Positioning

The business centralized itself on hospitability at the same
time for the sustain of the financial needs


Product

situation with
The business offers up to 5-star rated hotel rooms, residential
customers
condominium units and restaurants. Also halls for some big
occasions, and a facility for meeting and events.


Place

The condotel is built in the new city, clark, Pampanga and it

Being part in the
Global Market
People

Customer’s
Satisfaction
is a prime location for the business.

Win to win
The business will be having people assigned in general

Local Expansion

Early return of
manager up to the service crew.

Promotion

Travel Assistants, Hotel Directories and Customers.

investments
The business is promoted through Internet, Media reports,

Big profit
Price

The condotel adopts the premium pricing policies for its upscale services.
Diagram 1.5
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The diagram 1.5 shows that the Reminisce Condotel also has its marketing mix as planned
to have an initial image to the market. The marketing mix will serve the business stepping stone
towards the common goal. Also the marketing mix will be one cause of the desired outcomes most
are the fulfillment of the business goal like local expansion, customer satisfaction and loyalty, with
its early return of investments and the like. Lastly the business enterprise delivery system shows
the business competitiveness and its stand out strategies to be on top of the game, plus the business
promotes the country’s hospitability.
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CHAPTER VIII
THE FINANCIAL F ORECASTS AND EXPECTED RETURNS, RISKS, AND
CONTINGENCIES
A. FINANCIAL FORECAST
Assets
Current Assets
Cash
10,000,000
Inventory
5,000,000
Pre-paid Insurance
15,000,000
Total Current Assets:
30,000,000
Non-Current Assets
Building
800,000,000
Accumulated Depreciation- Building
Automobiles
100,000,000
5,000,000
Accumulated Depreciation- Automobiles
Computer and Data processing Equipment
Accumulated Depreciation- Equipment
1,000,000
2,000,000
500,000
Land
100,000,000
Old antiques and Furniture
10,000,000
Technologies (Security and safety systems)
15,000,000
Permits and Licenses
3,000,000
Total Non-Current Assets:
1,036,500,000
Total Assets: Php 1,066,500,000.00
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Balance Sheet
Liabilities
Accounts Payable
10,000,000
Shareholders Loan
100,000,000
Bank term Loan
10,000,000
Total Liabilities: Php 120,000,000.00
Owner’s Equity
Initial Investment
170,250,000
Capital
200,000,000
Net Income
576,500,000
Total Equity: Php 946,750,000.00
Income Statement
Income
Sales
1,000,000,000
Less: Cost of goods sold (condo units)
300,000,000
Gross Profit:
700,000,000
Expense
Payroll expense
2,500,000
Utility expense
3,500,000
Repairs and Maintenance expense
1,250,000
Advertising expense
3,000,000
Insurance expense
10,000,000
Taxes and Licenses expense
5,000,000
Depreciation expense
101,500,000
Miscellaneous expense
250,000
Total Expense:
124,000,000
Net Income: Php 576,500,000.00
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B. Risk and Contingencies Plan
The business wants to fulfill the business’ vision, mission and achieve its objectives with
no other agendas and this needs 100% responsibility is upon the business management. With this
reason the business also admits the risk that the business may face and made some of the risk
contingency to handle the risks. These contingencies don’t reduce the probability of the possible
risk but to reduce the impact it will do with the business.
Risk
Contingencies

The business hires a business consultant/s that will work only for the
reminisce condotel and he/she will be in charge in monitoring the
Short Term Sale
sustainability of the business and its strategies for the long run. Lastly the
consultant will also be providing advance strategies for future risk.

The business prepares for natural calamities such as floods, hard
blowing winds, earthquakes by giving the infrastructure high quality
materials, making it shock proof, building it with a well-planned foundation,
Natural
big and thick shatter proof windows, thick walls that can ensure the life of
Calamities
the residents and people inside the building. Moreover the business prepares
a sufficient room to accommodate a large number of residents in
emergencies, plus the business allot financial need with this calamities both
restoration and emergency purposes.

Budget
Since the business is costly especially in its construction the reminisce
condotels has its financial back-ups and mobilizer to ensure the business will
run smoothly in any ways.
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
The reminisce condotel will be ensuring the staff benefits, trainings,
seminars and the like to make it up with the staffs and giving them no reason
Staffs Issues
not to work well. The condotel also hires back up staffs in case of illnesses
and death to sustain and provide a number of staff to accommodate all of the
business customers and residents.

The business foresees the risk of utility issues that’s why the business
has its own back-ups such in the power shortages, the business has a number
of generators and solar energies generated from the solar panels and this will
Utility Issues
sustain the business power for months. The water shortage also is well viewed
and the business has its own water well just for the water shortage
emergencies to support the needs of the customers and residents. A budget
for these issues are also has been allotted.

Equipments are like the mechanical way that supports the life of the
business functions and equipment issues are a big problem in the business.
The reminisce condotel sees and prepares back-ups with this like in having
Equipment
computer breakdowns, virus attacks and the like the business stores back-up
Issues
copies of the stats and information both with hard and soft copies to ensure
this the business hires an expert in software to ensure the data are safe. Also,
the business allots sufficient back-up financing need in this risk.
Owners Illness
or Death

The reminisce condotel is owned by two owners and the death of one
partner will result for the other one to take charge in the business.
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CHAPTER IX
ENVIRONMENTAL AND REGULATORY COMPLIANCE
The Reminisce Condotel is an environment friendly in a way it provides up to 5-starhotel
rooms/units to its valued customers. The business prepares with environmental and regulatory
compliance in as early as the first day of conceptualization of the business. The business hires a
consultants and a business lawyer to plan and prepare for the environment analysis, strategies that
will make the business eco-friendly business that will surely be benefited by the country, also with
regulatory compliance it will be monitored just in a way the business will adjust its offering to the
market tome the business still profitable and making sure that the service provided is one of a kind.
In the regulatory compliances, increasing legislation enhances limitations on businesses,
particularly as legislation is constantly changing and every continent adopts different laws.
Business legislation is enforced to protect consumers, companies and the interests of society. In
the part of our Team Members we provide them sufficient seminars and workshops such as
leadership trainings, workshop for customer service and the like for them to be certified and work
sufficient. The reminisce condotels prepares and ensure the quality and integrity of the building
that it passed all necessary requirements to operate the business.
On the other hand, for the environmental adjustments made by the business to make it ecofriendly, Big establishments such as hotels, industries and some corporations are contributing a
considerable amount towards carbons emissions with negative implications to the issue of global
warming. The reminisce condotel are facing tight regulations to reduce carbon footprints at the
same way increasing the operational cost of the condotel. Thus, this result for the Reminisce
condotel to invest for solar energy to decrease both carbon emissions and operational cost for the
long run.
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Lastly, the reminisce condotel ensure that the business is making a good relationship and
good image with the government and making the residents safety first as providing them a
residential permitted facilities and structures. Thus, the business will be making sure of sufficient
update of the deadlines of its contracts in regulatory compliance and the business will be monitored
and check more to ensure its eco-friendly status high and rated 5-star.
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CHAPTER X
THE CAPITAL STRUCTURE AND FINANCIAL OFFERING:
RETURNS AND BENEFITS TO INVESTORS, FINANCERS, AND BUSINESS
PARTNERS
A. CAPITAL STRUCTURE
Assets
Current Assets
Cash
10,000,000
Inventory
5,000,000
Pre-paid Insurance
15,000,000
30,000,000
Total Current Assets:
Non-Current Assets
Building
800,000,000
Accumulated Depreciation- Building
Automobiles
100,000,000
5,000,000
Accumulated Depreciation- Automobiles
Computer and Data processing Equipment
Accumulated Depreciation- Equipment
1,000,000
2,000,000
500,000
Land
100,000,000
Old antiques and Furniture
10,000,000
Technologies (Security and safety systems)
15,000,000
Permits and Licenses
3,000,000
Total Non-Current Assets:
1,036,500,000
Total Assets: Php 1,066,500,000.00
The reminisce condotel is an independent business in a way that its capital mostly came
from the shareholders and some only came from the investors, the business partners, and financers.
The equity capital is followed by the business as the capital structure.
34 P a g e |The Reminisce Condotel
The assets on top is where the invested and capital money will go. This structure is
beneficial for the company because majority of the financed used is the business operation came
from the shareholders, the owners but the cost can be very high. In the business world the higher
the investment, the higher the risk thus the profit.
Below are the liabilities and the owner’s equity that will balance and finance the assets:
Liabilities
Accounts Payable
10,000,000
Shareholders Loan
100,000,000
Bank term Loan
10,000,000
Total Liabilities: Php 120,000,000.00
Owner’s Equity
Initial Investment
170,250,000
Capital
200,000,000
Net Income
576,500,000
Total Equity: Php 946,750,000.00
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B. RETURNS ON INVESTMENT AND BENEFITS
Our investors are being well accompanied by the condotel business by the formula below,
which have been agreed upon by the investors for them to benefit from their investment:
ROI = (Revenue - Cost of Investment) x 2%
For example, the investment of Mr. Tom McKey is Php 5,000,000 and the money were
used to supply the financial need of the business and his investment made helped the business to
operate and this result for the annual revenue of 124,000,000 less 5,000,000 for his investment and
result is multiplied by 2% for their benefit and this is one way of the business to give thanks for
their trust. Moreover, after this first year of getting their benefit from their investment they can
now withdraw the 50% of their investment if they want, if not the second year will reduce the
benefit to 1.5% up to the 5 year they will be paid 100% and the recon tract of their investment will
follow if they will.
The return on investment is a contract signed by both the owner and the investor for
formality and ethics. The business ensures that the investors are aware of the terms and conditions
of the business upon their investment and also the terms that are suggested by the investors are
processed and let every investor of the business to know and talk about it.
And of course to our financers we do also give them shares annually as their reward for
supporting the business operations. Also, the money used to finance the business will be returned
semi-annually depending on the agreed term of both the business and the financers such as bank
loans. Lastly the business partners will be ensured that the business is making effort of making
them accommodated by fulfilling the contract and paying them sufficiently and giving them shares
as an exchange of their trust and loyalty.
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BIBLIOGRAPHY
Links:
https://yourbusiness.azcentral.com/examples-equity-capital-24292.html
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https://www.wordstream.com/blog/ws/2018/09/07/hotel-marketing
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Books:
Marketing by So Torres
Entrepreneurship by Eduardo A. Morato Jr.
37 P a g e |The Reminisce Condotel