NIGHT COLLEGE PROGRAM
In Partial Fulfillment of
Requirements for the Subject
FINANCIAL MANAGEMENT
Submitted to:
MR. VON JULIUS ERROL DAVID
Professor
Submitted by:
Isaguirre, Rodel
Medina, Darlene
Sola, Jestine Marie
Valebia, Regina
August 23, 2017
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ACKNOWLEDGEMENT
The researchers would like to thank our professors for giving us the
knowledge and advice to finish this project with ease and also to our loving
parents, guardians and employers who are always there for financial support and
they were the ones who showered us with encouragement in order for us to really
do our best on this project. Without these people, this project wouldn’t be
successful or possible.
And lastly, to our Almighty God who always give us strength, guidance and
wisdom in everything that we do. To God be the glory.
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Table of Contents
I. Executive Summary
II. GANTT Chart
III. Business Logo
a. The Company
b. Mission and Vision
c. Core Values
IV. Market Study
a. Objective
b. Customers
c. Respondents
d. Competitors
e. Survey Form
V. Survey Analysis
VI. Market Research
VII. Demand Analysis
VIII. Supply Analysis
IX. Demand-Supply Analysis
X. Sales Plan
XI. Marketing Plan
a. Price
b. Place
c. Promotion
XII.
Business Organization
XIII. Operation
XIV. Technical Study
XV. Conclusion
4
6
7
8
10
11
12
12
12
13
14
14
16-23
24
25
26
26
26
27-29
30
31-57
58
74
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I. PROJECT SUMMARY
Pandesal is a type of Filipino bread that is slightly sweet and baked as
small, oval loaves. The name comes from the Spanish word pan de sal, which
literally means 'bread of salt.' It is the most popular bread in the Philippines that is
traditionally served as a breakfast roll which is made of flour, eggs, yeast, sugar,
and salt. Filipinos usually pair it with their favorite cup of coffee or milk and
sometimes, it is also served during merienda or snacktime. DaJeReRo Panadero
made a twist on making a more delicious yet healthier flavored pandesal by mixing
fresh malunggay, also known as moringa leaves. Malunggay is named as the most
nutritious green leafy vegetable in the Philippines for its remarkable amount of
vitamins and minerals and health benefits. According to experts, malunggay has
over 90 nutrients, many different antioxidants, packed with different vitamins and
minerals especially iron and essential amino acids (e.g. methionine and cysteine)
and is able to cure over 300 health related problems.
Dajerero Panadero will be located at Unit 102, No. 114 R.O.M.S
Commercial Establishments Macario Asistio Sr. Avenue Corner M. Hizon St.,
Caloocan City. The chosen location enables the business to conduct its operation,
well exposed to its target market since it is situated near a wide range of
residential areas, different institutions, banks, churches, offices, hospitals and
schools such as the Caloocan City Hall, San Roque Cathedral, La Consolation
College, Caloocan City Medical Center to name a few.
The price of our product will be Php2.00 projected to the first and second
year of operation. since the standard price of usual pandesal is Php2.00 we
aligned the price based on the survey analysis.
Our competitors will be the nearby bakeries who also sell pandesal in the
area where we will be putting up our business. Though these bakeries were
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established and prominent in the market, the main objective of our business is to
produce a more nutritious and delicious pandesal – Malunggay pandesal.
After conducting its market research, supported by figures that we will be
providing on next chapters, the partners forecasted an average monthly sale of
Php 213,443.94 and annually it will be in Php 2.5M.
The owners will be responsible in the management of the business. We will
be hiring four personnel for the operation.
Malunggay pandesal or the malunggay flavored pandesal has been out in
the market place for quite a period of time. Though the product is existing, it is not
usual for a bakery to make it a front liner. A main product to compete with the
highly competitive bakery venture.
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II. GANTT CHART
Table 1
PROJECT TIME TABLE
ACTIVITIES
Aug
Sept
Oct
Nov
Dec
Jan
Feb
Mar
Apr
2017 2017 2017 2017 2017 2018 2018 2018 2018
Conduct a Feasibility
Study
Registration of the
Formation of the
Business to LGU and
to Brgy Micro
Business Enterprise
Signing of Contract of
lease
Rehabilitation of Unit
Purchasing of tools
and equipment
Training of Staff
Promotions
Purchasing of Raw
Materials
Start of Operation
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III. BUSINESS LOGO
Our business came up with this logo because we believed that it could
reflect and represent our main business essence thoroughly. The name
"DaJeReRo" was derived from the names of the partners which are Darlene,
Jestine, Regina and Rodel. We believed in making new sound in the market
is a high potential to be recognized because DaJeReRo Panadero is catchy
and easy to remember that will surely create impact to our target market.
"Panadero" because it is another term for 'Baker'. Included in the logo was an
authentic photo of Malunggay Pandesal. The four malunggay stalks also
represents its founders. The logo has stars in it which symbolizes excellency.
There is also a green star with a malunggay leaf in the baker's hat that
represents the Lasallian side of the partners and to symbolize our product's
nutritional content. It will be our first way of catching the attention of our
customers.
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Chapter 1
THE COMPANY
a. Description of the Business
Malunggay pandesal is known for its health benefits.
For this brand
perception that we formalize, we would like to linger the interest of the
buyers and also the consumer with our version of Malunggay Pandesal.
Nowadays, people would choose an artificially made food product that
has a less healthy nutritional content over the conventional foods that is
said to be “good for our health” that is available in the market. Promoting a
healthy and convenient way of eating by introducing DaJeReRo
Panadero's Malunggay Pandesal to the public consumers would also
benefit not just the consumers with its nutritional content but it can also
help the Filipino farming industries in the country as well.
Based on our efficient study about putting up this business including
market research, financial analysis, survey analysis and many others, we
assumed that DaJeReRo Panadero has gained income on its first year of
the operation, and it will be profitable in the next coming years.
As partners of DaJeReRo Panadero, we would contribute both cash.
Our estimated capital is around PHP 1,000,000.00 equally divided to. This
would include the store rental, promotional, and organizational costs,
equipment, furniture, supplies, and salaries and inventories for the first three
months. We would be the one who will handle major office works and sales
supervision.
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Since PHP 1,000,000.00 is a large amount, we have decided that each
one of us would contribute PHP 250,000.00 per partner. This contribution
would come from our savings.
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b. Mission and Vision of the Business
VISION
DaJeReRo Panadero, guided by the Filipino culture and traditions
will promote a healthier version of Pandesal. We will be a living proof that
caring, integrity, hard work and innovation at all levels create success.
MISSION
Our mission is to provide the highest quality malunggay pandesal
and the best possible services to the food industry to be able to become a
well-known product nationwide. We will continuously improve all aspects of
our business in order to sustain the long-term success of our customers and
ourselves. We partner with customers toward a healthier lifestyle and lead
the food industry in a more beneficial snack alternative that also support the
livelihood of our local farmers. We, at Dajerero Panadero, gives our special
attention in your healthy satisfaction.
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c. Core Values
Customers are the focus of everything we do.
 Actively listen, respond quickly and be honest
 Act with integrity, passion and enthusiasm
 Be
confident,
knowledgeable
and
follow
through
with
our
commitments
Associates are critical to our success.
 Be honest, consistent and responsible in the pursuit of organizational
goals and managerial actions
 Cultivate the desire and energy of people to identify with and buy into
the success of the organization
 Provide
people
recognition,
opportunities
interesting
and
for:
achievement,
meaningful
work,
responsibility,
growth
and
advancement
Services and products drive our growth opportunities.
 Attract and retain knowledgeable, technically skilled, experienced
and capable people
 Offer services and products that are “different” in some special way
to increase our competitive advantage
 Invest in new products on an ongoing basis to ensure the company
maintains current state-of-the-art products in the marketplace
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Chapter II
IV. MARKET STUDY
a. Objective
In every feasibility study conducted, market will always be the life of it. The
question of demand for the product is always the starting point of all financial
discussions, even though we try and find means to make a project profitable.
We cannot go further on discussing profitability and the other parts or aspect of
our project without the demand. This is why we give importance and a good
focus on the market which we put first in our consideration.
The market study aims to determine the following:
1. The size, nature and growth of total demand;
2. The supply situation and nature of competition;
3. The factors affecting the demand of the product;
4. The description and price of the product to be sold; and
5. The appropriate marketing program for the product.
b. Customers
Customers are referred to as the most important indicator to know if a
feasibility study is a viable in determining whether a certain starting business is
going to get well or not. And to give the proponents the idea on how to satisfy
their prospect customer needs and wants.
Dajerero Panadero will be located at Unit 102, No. 114 R.O.M.S
Commercial Establishments Macario Asistio Sr Avenue Corner M. Hizon St.
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Caloocan City. The chosen location enables the business to conduct its
operation, well exposed to its target market since it is situated near a wide range
of residential areas, different institutions, banks, churches, offices, hospitals and
schools such as the Caloocan City Hall, San Roque Cathedral, La Consolation
College, Caloocan City Medical Center to name a few.
c. Identifying Respondents
Below are the tables with the results of the population study. It shows the present
findings in our market research.
Taken from the Historical Population Table on year 2015, we have the size of
4,475 as population.
The distribution of the questionnaires was based on the proportion of each
barangay to the total population of our market.
Table 2
BARANGAY
POPULATION
PERCENTAGE
NO. OF QUESTIONNAIRES
Brgy. 13
1,411
31.53%
117
Brgy. 15
1,120
25.03%
93
Brgy.60
1,944
43.44%
160
Total
4,475
100%
370
In getting the Sample size, we will be using the Sloven`s Formula:
N=
N
1+ Ne
Where:
N=total population
e=error margin of 5%
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N=
4,475
1+4475(.05)2
=
4,475
12.1875
N=
370
d. Competitors
Within a market, businesses are faced by direct competitors. These are
firms that produce the same or very similar goods. With regards to our
consideration about our competition, we consider small bakeries because it will
threat in our business. However, most products are differentiated in some way. We
all need protein and the full complement of vitamins and minerals to keep us
healthy. Meat eaters find this easier but may also open themselves up to health
issues related to eating too much animal protein. It can be really difficult for
vegetarians and vegans to get enough protein and enough vitamins and minerals
especially the full complement of the B vitamins and the minerals that are
suspended in animal fats. A good part of the answer really is in bread. These
products bring you nature at its best – delicious and nourishing breads made with
a variety of 100% whole grains.
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DAJERERO PANADERO
e. Survey Questionnaire
Name: ___________________________________
Status: Employed__ Students___ Unemployed ___
Source of Budget: Income___ Allowance___
Gender: _____
If has an income, kindly check the bracket of your monthly income:
___1,000-10,000
___10,000-20,000 ___ 30,000 above
If student, kindly check the bracket of your monthly allowance:
___1,000-2,000 ___2,000-4,000 ___4,000 above
Questionnaire:
Number of Family Members:
 2-5
 6-10
 11 above
Age:





18-20
21-30
31-40
41-50
50 above
1. When do you usually buy bread? (You can choose more than 1)
 Breakfast
 Lunch
 Merienda
 Dinner
2. How much are you willing to pay for 1 pc. Malunggay Pandesal?
 P2.00
 P3.00
 P4.00
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V. SURVEY RESULT ANALYSIS
The following figures show the demographic profiles and the customer’s
preference as reflected in the questionnaires they answered.
Demographic Survey Analysis
Table 3
Status
Students
Employed
Unemployed
Total
Frequency
122
181
67
370
Percentage
32.97%
48.92%
18.11%
100%
Students
Employed
Unemployed
Figure 3
The figure shows that 48.92% of the respondents are employed, 32.97%
represents the students and the remaining 18.11% represents the unemployed.
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Number of Family Members
Table 4
Family Members
2-5
6-10
11-above
Total
Frequency
97
150
123
370
Percentage
26.22%
40.54%
33.24%
100%
11-above family
members
6-10 family members
2-5 family members
Figure 4
The figure shows that 40.54% or the bigger number of family members that usually
buy pandesal. 33.24% represent the medium size of family members and the
remaining 26.22% represents the small size of family members.
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Age Distribution of the Respondents
Table 5
Age
8-20
21-30
31-40
41-50
51-above
Total
Frequency
60
96
64
84
66
370
Percentage
16.22%
25.95%
17.28%
22.71%
17.84%
100%
8-20'
21-30
31-40
41-50
51-above
Figure 5
Figure 5 shows that most of the respondents are from age 21-30 yrs old or 25.95%
of the sample population. Followed by the respondents from ages 41-50 yrs old or
22.71% while 17.84 % is composed of respondent from ages 51 above and 17.28
% represents from ages 31-40 yrs old. The remaining 16.22 % is composed of
respondents from ages 8-20.
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Gender
Table 6
Gender
Female
Male
Total
Frequency
225
145
370
Percentage
60.81%
39.19%
100%
male
female
Figure 6
The figure 6 shows that 60.81% of the respondents are female and 39.19% are
male.
Income Status (Students)
Table 7
Monthly Allowance
1000-2000
2000-3000
4000-above
Total
Frequency
63
29
8
100
Percentage
63%
29%
8%
100%
1000-2000
2000-3000
4000-above
Figure 7
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The figure shows that of the students or 63% have a monthly allowance of 10002000, 29 students or 29% have 2000-3000, and 8 of the students or 8% have
monthly allowance of 4000 and above.
With Salary or Income
Table 8
Monthly Salary
1,000-10,000
10,000-20,000
30,000-above
Total
Frequency
91
159
20
270
Percentage
33.70%
58.89%
7.41%
100%
1,000-10,000
10,000-20,000
30,000-above
Figure 8
The figure shows that 159 of the respondents or 58.89% have monthly salary of
1000-10,000, 91 respondents or 33.70% have 10,000-20,000 monthly- salary, 20
respondents or 7.41% have monthly allowance of 30,000 and above
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Times when Respondents usually buy Pandesal
Table 9
Category
Breakfast
Lunch
Merienda
Dinner
Total
Frequency
226
27
94
23
370
Percentage
61.08%
7.30%
25.40%
6,21%
100%
breakfast
lunch
merienda
dinner
Figure 9
The figure shows that 61.08% of the respondents buy pandesal during morning for
breakfast, 25.40% for merienda time. 6.21% during dinner time and 7.30% during
lunch time.
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Respondents who are willing to buy malunggay pandesal
Table 10
Category
Yes
No
Total
Frequency
295
75
370
Percentage
79.73%
20.27%
100%
Yes
No
Figure 10
The figure 10 shows that 79.73% or majority of the respondents are willing to
patronize our product while the other 20.27% doesn’t want to patronize it.
Amount willing to spend in Malunggay Pandesal
Table 11
Category
P2.00
P3.00
P4.00
Total
Frequency
285
70
15
370
Percentage
77.03%
18.92%
4.05%
100%
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P2.00
P3.00
P4.00
Figure 11
Figure 11 shows that more than half of the respondents or 77.03% are willing to
spend P2.00 per piece of Malunggay Pandesal, while 18.92% are willing to spend
for P3.00 and P4.00 got 4.05% of the respondents.
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VI. MARKET RESEARCH
Initially, we gathered data regarding the location of our business. Through the
assistance of some Brgy officials by the coordination of Ms. Jestine Marie Sola,
one of the researchers and a Brgy councilor of Caloocan, We learned that the
nearby Brgys of Unit 102, No. 114 R.O.M.S Commercial Establishments Macario
Asistio Sr Avenue Corner M. Hizon St. Caloocan City are Brgys 13, 14, and 60.
From where our business is located has had an estimated population of 4,475 as
of 2015. has had an estimated daily population of 90,000 wherein 85% of it is at
ages 16 and above which is 76,500.
Population
Historical Population
Year
Growth Rate%
Brgy13
Brgy15
Brgy60
2000
-0.06%
1,354
1,663
1,913
2010
-1.03%
1,120
1,397
1,949
2015
0.02%
1,411
1,120
1,944
Data were gathered from sources
Projected Population
The total population of Caloocan City for the year 2015 is 4,475. Using the 1.2%
growth rate on population annual population growth at Caloocan City, we will be
using this basis of our projection.
The formula will be:
Projected Population = (previous population x growth rate) + previous population
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Projected Population
Year
Growth Rate
Brgy13
Brgy15
Brgy60
2018
1.14%
1,427
1,133
1,967
2019
1.15%
1,444
1,146
1,990
2020
1.14%
1,461
1,159
2,013
2021
1.15%
1,478
1,172
2,037
2022
0.21%
1,495
1,186
2,016
VII.
DEMAND ANALYSIS
Projected Demand
DEMAND
2018
Respondents
who are willing
Total
Demand
Total
Demand
Total Annual
Population
Respondents
who buy
Malunggay
Pandesal
to patronize
Malunggay
Pandesal
(Per
Customers)
(Per Unit)
4527
77.03%
79.73%
2,780,303
1,707,551.42
4580
77.03%
79.73%
2,812,854
1,727,542.95
4633
77.03%
79.73%
2,845,404
1,747,533.86
4687
77.03%
79.73%
2,878,567
1,767,901.26
4797
77.03%
79.73%
2,946,126
1,809,393.30
2019
2020
2021
2022
Total demand in # of customers= population x 77.03% x 79.73%

77.03%=percentage of respondents who are willing to buy Malunggay Pandesal

79.73%=percentage of respondents who are willing to patronize our product
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VIII.
SUPPLY ANALYSIS
Market
Share
75.00%
Total
Supply
1,280,664
75.00%
1,295,657
1,747,533.86
75.00%
1,310,650
2021
1,767,901.26
75.00%
1,325,926
2022
1,809,393.30
75.00%
1,357,045
YEAR
Demand
2018
2019
1,707,551.42
1,727,542.95
2020
IX. DEMAND SUPPLY ANALYSIS
YEAR
2018
2019
2020
2021
2017
DEMAND
(PD)
1,707,551
1,727,543
1,747,534
1,767,901
1,809,393
SUPPLY
(PS)
1,280,664
1,295,657
1,310,650
1,325,926
1,357,045
DEMAND GAP
(D-S)
426,888
431,886
436,883
441,975
452,348
VALUE
(DG/D)
25.00%
25.00%
25.00%
25.00%
25.00%
X. SALES PLAN
SALES PLAN
Malunggay Pandesal
Retail
Total Quantity Sold Per Year
Price
Total Sales
2018
2019
2020
2021
2022
1,280,664
1,295,657
1,310,650
1,325,926
1,357,045
2
2
3
3
4
2,561,327.13
2,591,314.43
3,931,951.19
3,977,777.84
5,428,179.90
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Chapter III
XI. MARKETING STUDY
The type of advertisement that the industry used are:
Social Media Advertisements
It is very effective for teenagers and young people in and out of school
because of the technology that is very available in the society. It is also very
timely because Social Medias are always the talk of the town for the
student.
It is free of charge and reaches a wide range of market
Personal- Approach Advertisement
It requires human resources
It is effective in communicating the real idea of the product and may prevent
misunderstanding due to presence of two-way communication
After the assessment of the prevailing form of adverisement in the
industyr we now formulate our very own marketing plan which we will
summarize in the four P`s which are Product, Price, Place and
Promotion.
I. PRODUCT
Pan de Sal, or bread with salt, is a staple in Filipinos' breakfast. Some fill it
with jams and spreads and some dunk it in their coffee, but it can be eaten
as is-- especially if it is freshly baked. DaJeReRo’s Malunggay Pandesal is
made by baking malunggay bits in the dough of flour and water added with
flavors. The added malunggay bits in the dough will serve as invaluable
27 | P a g e
nutrients added to our breads and have a cheap price and are easy to sell
in the market. The proposed project aimed to offer a healthier twist of a
popular Pinoy Pandesal.
a. Price
In this fast changing time, a lot of consumers are now price-conscious. On that
matter, we decided to offer our products on reasonable yet competitive prices.
We used the cost plus method in determining the price of our products. It is the
most common pricing method. The price of our products depends on the total
material cost each product plus the mark-up.
b. Place
Dajerero Panadero will be located at Unit 102, No. 114 R.O.M.S Commercial
Establishments Macario Asistio Sr Avenue Corner M. Hizon St. Caloocan City. The
chosen location enables the business to conduct its operation, well exposed to its
target market since it is situated near a wide range of residential areas, different
institutions, banks, churches, offices, hospitals and schools such as the Caloocan
City Hall, San Roque Cathedral, La Consolation College, Caloocan City Medical
Center to name a few.
c. Promotion
1. PRINT-AD MATERIALS

Tarpaulins will be optimized too.
2. WORD OF MOUTH

The healthy-goodness of our product will be emphasized

The message of our product will be communicated
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
Questions about our product will be answered

Customers will be treated in a friendly manner
We have come up with the various forms of advertisement to achieve our desired
results of customer feedback. We find that optimizing different ways will be
effective in tapping all the areas of our market and also this will help promote the
product we have, Dajerero Malunggay Pandesal. These are all strategically
assessed to give our entry to the market a blast that they cannot just simply ignore
our promise to our product and the irresistible product that we try to offer them.
Plans to promote its product in various ways. We will be optimizing the use of
different forms of advertisement to gain the attention of the target market that we
had in mind.
Vicinity Map of Store and Plant/Office Location
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Chapter IV
BUSINESS ORGANIZATION
This chapter tackles about the entire organizational arrangement of the business.
The management aspect suggests a clear and precise identification of duties and
responsibilities, flow of authority and manpower level requirement. This contains
the organizational chart and the qualifications of the people involved the formation
of the business organization, structure. It must be set up aimed at optimum
effectiveness. To attain this, management must be able to plan all activities, for the
company to become dynamic and competitive business over and done with human
resource, financial capability and new technologies. Form of Ownership The type
of business ownership will be a partnership; in which partners pool money, skills,
and other resources, and share profit and loss in accordance with the terms of the
partnership agreement. In the absence of such agreement, a partnership is
assumed to exit where the participants in an enterprise agree to share the
associated risks and rewards proportionately. Complementary skills and additional
contacts of each pattern can lead to the achievement of greater financial results
together than would be possible apart. Mutual support and motivation are needed
for the business to last longer.
OVERVIEW OF THE STRUCTURE
The members will form a partnership and they will be classified as capitalist. Every
member will be contributing their money also their expertise as we establish this
business. As agreed, every partner now will be liable or entitled for either loss or
profit in the business, in equal shares. As a partnership, the business must be
registered to Securities and Exchange Commission, before we can apply for
Mayors Permit in the Municipality of Caloocan..
Partners of the business will be in-charge of the over-all management in terms of
financial, production and marketing aspect of the business.
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ORGANIZATIONAL CHART
Supervisor
Cashier
2 heads
XII.
Baker
2 heads
OPERATION
PERSONNEL POLICIES
No person shall sit or lounge or be permitted to sit, lie or lounge upon any
of the tables, shelves, boxes or other equipment or accessories used in
connection with the production, preparation, packing, storing, display or sale of
bakery products.
No live animals or birds shall kept in any building or part thereof used as a
bakery for such production, preparation, packing, storing display or sale of bakery
products.
Before beginning the work or preparing. Mixing or handling of any
ingredients used in the production of bakery products, every person engaged in
such work shall wash the hands and arms , and after using toilets or water closet,
every person therin engaged shall wash the hands and arms thoroughly and then
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rinse in clean water, and for this purpose the owner or operator of the bakery shall
provide sufficient facilities and post notes to this effect.
No owner or operator of the bakery shall require or permit any person
affected with a contagious and/or infectious disease or physical ailment which
may render such employment detrimental to the public health, nor any person
who refuses to submit to an examination, to work therein.
Employees shall be prohibited from smoking while preparing and baking
malunggay pandesal.
PROFESSIONAL ETHICS FOR FOOD SERVICE PERSONNEL
A. Physical Projection
HAIR

Clean, neatly combed; no dandruff

Ladies hair should be clipped on both sides or breaded, wear hair net if
necessary

Length of men`s hair should not go beyond collar and the side hair must
not cover the ears

Bangs should be avoided
UNIFORMS

Must be comfortably fit; no sagging hemline

Properly buttoned; sleeves should never be folded nor rolled

Clean and well-pressed; free from stains nor wrinkles
32 | P a g e
FACE

Men-free of beard or moustaches

Ladies-must have light and appropriate make-up that should be
retouched from time to time
MOUTH

Free from bad breath; mouth wash to be used to ensure fresh breath

No tooth decay

Clean and free from visible dirt inside and outside

Earrings are never appropriate for men; ladies in uniform should never
EARS
wear dangling earrings
BODY

Free from body odor ; deodorant to be used daily

Daily shower is a “must”
FINGERNAILS

Clean and free for dirt

Men-nails should be short and properly trimmed

Ladies-avoid very long fingernails and must always be clean and well
manicured. If nail polish is used, it should look clear, fresh and not
tattered.
33 | P a g e
SHOES AND SOCKS

Should be clean and well polished, heels in good condition

Black socks and changed daily with fresh ones
PERFUMES

Not allowed as the smell may contaminate the food
EXCESSIVE JEWELRIES

Not appropriate
WORK BEHAVIOR AND HABITS
A professional server must behave with gentleness and in strict observance to the
rules of basic courtesy and work ethics.
Unpleasant Habits and Behavior

Yawning

Grouping together with other staff for a chat while on duty

Mannerisms like biting nails, crossing arms, biting lips, etc.

Using sign language

Shouting, giggling, loud conversations and horse playing

Daydreaming and eavesdropping

Indulging in customers private conversation

Putting hands on pocket and playing pocket coins

Sneering or starring look

Frowning look and show of irritation
34 | P a g e

Chewing gum

Suggesting or demanding for a tip

Counting tips in view of customers

Bluffing customers

Reading newspapers/magazines

Singing/whistling

Use of rude and insulting language
VI. Rules and Regulations
A. Store Service Operation
Store
Operating Days
Time
Monday-Saturday
4:00AM-8:00PM
B. Non Work Days/Holidays
No work no pay policy
C. Absences
Avoidable absent of employee because of personal reasons must
obtain approval from immediate manager two to three days before
the planned absence. However, in the event of unexpected
absence/s personnel should be notified and given the reason for
absence within the day. If she/he cannot report within the day, she/he
will be considered AWOL ( Absent Without Official Leave )
35 | P a g e
D. Leaving Workplace
Any employee should not leave his/her workplace except when a
member of upper management instructed him/her to do so and if job
or a specific duty requires it or for medical reasons. When one leaves
the workplace, he/she must get approval of his/her manager of the
medical officer if leaving the workplace for medical reasons.
E. Conduct and Behavior

1st offense-verbal warning

2nd offense-written warning(memo)

3rd offense-suspension

4th offense-termination
F. Compensation Policy ( Compensation Scheme)

No work, no pay

Every employee will be paid based on the fixed rate/amount for
specific position given by the administration.
G. Terms of Payment

Sales will be on cash basis only
H. Operation Policies

Operating hours will be from 4:00AM-8:00PM from Mondays to
Saturdays.

Strictly no under time
36 | P a g e

All employees should diligently perform duties assigned to them and
meet the working standard requirements.

Staff should wear proper uniform.

Any employees who destroys/loses any of the item or equipment
within the stall/plant, his/her salary will be deducted or would pay for
the amount damaged/lost property immediately.

Absences due to sickness must be presented with medical certificate
the following day he/she is present for the work again.

Late employees will receive following punishments at:
1. 1st offense-verbal warning
2. 2nd offense-verbal and written warning
3. 3rd offense-subject to salary deduction
4. 4th offense-suspension for 3 days
5. 3 consecutive-dismissed to his/her job

Overtime should be paid based on the hourly rate of the employee

Employees are entitled for one day off every week
(Tuesday/Wednesday/Thursday) one employee at a day
37 | P a g e
B. Relating to Customers
Personnel of the business must show friendliness to customers at all times.
Customers suggestions, comments and complaints must be given attention by the
right person in the business. The basic rules in customer relation will be:

Greeting of customers

Asking and suggesting of orders in a friendly way

Entertaining and answering questions of the customers in a hospitable
manner

Upon payment, thanking the customer and telling them to come again
STAFFING AND COSTING
Given that the area of the store is spacious enough and can be
accommodated one to two employees, the manpower is computed of one
supervisor and one store crew, while two production crew are needed in the
production area. The supervisor is one of the owners. She is responsible for the
overall supervision of the store and plant area. This includes the checking of
supplies and contracting with the store area administration, taking charge of store
crew’s duties during her day-off, depositing weekly sales, and evaluating the job
performances of the store crew and production crew. The store crew is in charge
of taking the customer’s order and payments, tallying of sales in the cash register
and liable in any loss in sales which is subject to salary deduction. The crew is
assigned to prepare the orders, clean the store, maintain store equipment’s
appearance, and assist the customers with their needs and concerns to ensure
quality customer service and satisfaction.
38 | P a g e
The production crew are responsible in the preparation of the Malunggay
Pandesal and also they are in charge for the operation and maintenance in the
production area of Dajerero.
The employee’s salary is below the minimum wage. Incentives shall be
granted depending on the performances of the employees and profits of the store
while the owners shall divide the profit according to the amount of share in capital.
Since only one owner’s works for their business, four personnel are needed
to fill the position two as the baker and two for the cashier. The applicants must
possess the job qualifications and willing to perform the designated duties and
responsibilities. Advertisements shall be posted to places near the proposed store
location. However, the owners may also hire someone they knew personally and is
qualified for the position.
PROJECTED SALARY OF EMPLOYEES
Staff
Salaries
Supervisor
500.00
Cashier 1
350.00
Cashier 2
350.00
Baker 1
450.00
Baker 2
450.00
Total
2,100.00
Total Projected Salary per Day
2,100.00
39 | P a g e
SHIFTING OF CREWS
Staff
Monday
Tuesday Wednesday Thursday Friday
4:00am
4:00am –
4:00am – 4:00am
–
–
2:00pm
2:00pm
2:00pm
2:00pm
Supervisor 4:00am
–
2:00pm
2:00pm
11:00am 11:00am 11:00am –
11:00am
Cashier 1
–
–
– 8:00pm –
8:00pm
8:00pm
4:00am
4:00am
–
–
2:00pm
2:00pm
4:00am
4:00am
–
–
2:00pm
2:00pm
Cashier 2
Baker 1
Baker 2
4:00am
–
OIC /
8:00pm
Saturday Sunday
11:00am 11:00am
8:00pm
4:00am –
4:00am – 4:00am
4:00am
2:00pm
2:00pm
–
–
2:00pm
2:00pm
4:00am –
4:00am – 4:00am
4:00am
2:00pm
2:00pm
–
–
2:00pm
2:00pm
11:00am
–
–
– 8:00pm –
8:00pm
8:00pm
8:00pm
11:00am 11:00am
8:00pm
Off
–
8:00pm
11:00am 11:00am 11:00am –
Off
Off
Off
Off
–
8:00pm
40 | P a g e
EMPLOYEES UNIFORM
PACKAGING
41 | P a g e
Production Process
The DaJeReRo Panadero’s Malungay Pandesal should include the
following ingredients:
Activating the Yeast

84 2/7 sachet
Instant Yeast 7g

29500 ml
Lukewarm Water

84 2/7 tsp
Sugar
Making the Dough

42142 6/7 grams
Class Flour (more for dusting)

42 1/7 cup
Sugar

84 2/7 tbsp
Salt

7585 5/7 grams
Shortening

1 bundle
Dried Malunggay Leaves

84 2/7 tbsp
Oil (for greasing the bowl)

84 2/7 cup
Breadcrumbs (for coating)
Step-by-Step Procedure:
o
ACTIVATE THE YEAST. Dissolve yeast in warm water, the add
sugar and let it stand for 10 minutes.
o
MAKING THE DOUGH. Combine the flour, sugar, warm water, salt,
dried malunggay leaves, and shortening in a large bowl and mix until
well combined. Add the yeast mixture and mix again. If the mixture is
too wet add more flour.
42 | P a g e
o
KNEAD THE MIXTURE. The dough can be kneaded by hand or in a
mixer with dough hook. To test the dough if it is ready, pinch a piece
off and stretch it into a square. The dough is ready if it is elastic
enough to be stretched into a translucent sheet of dough. If it tears
continue to kneading.
o
GREASE BOWL. Grease a large bowl with oil. Place the dough in
the bowl with cling film and let the dough rise to about twice its size.
o
PUNCH DOUGH. Punch down the dough and knead again to
redistribute the yeast.
o
ROLL DOUGH. Roll each piece of dough into a rectangular sheet
and then roll the sheet into a log, about 20 inches long and 2 inches
in diameter. Let the dough rest for an hour.
o
CUT THE DOUGH. Using a dough cutter or a sharp knife, cut the log
into 1 inch thick pieces them roll each piece in breadcrumbs. Place
on a baking tray with the cut side up, about 2 inches apart and let it
rest again for an hour. Preheat the oven at 180C.
o
BAKE. Bake the rolls for 20 minutes or until the rolls becomes lightly
toasted.
o
COOL DOWN. Put the rolls on the cooling rack for 10-20 minutes.
SERVE. Makes 2,950 pcs Malunggay Pandesal
43 | P a g e
Flow Operation Diagram and Production Process
Process Legend:
Flow Diagram of Operation Process:
44 | P a g e
Flow Diagram of Serving Process:
45 | P a g e
Project Layout
The stall should have a sufficient size and space to do the business activities.
Store Layout
The business should occupy a 35 sq.m space at Unit 102, R.O.M.S Commercial
Establishment in Caloocan City. The area should be divided according to the
production process, and selling. The store layout is tactically designed to support
the smooth process of the proposed business (DaJeReRo Panadero’s Malunggay
Pandesal).
This a proposed DaJeReRo Panadero store.
46 | P a g e
Production Schedule
Time
Activity
2:00-2:20am
Sanitation of equipments & preparation
of ingredients
2:20-2:30 am
Measuring
of
the
ingredients
of
Malunggay Bread
2:30-2:50 am
Kneading the dough
2:50-3:35 am
Rising the dough
3:35-3:50 am
Cutting of the dough into equal portions
and arrange on baking trays in cut side
up manner
3:50-4:00 am
Baking of the Malunggay Bread
4:00-4:20am
Preparation and Opening
4:20 am-1:00 pm
Store Hours
1:00-9:00 pm
Store Hours / Preparation and cooking
the second batch of Malunggay Bread
9:30-10:00 pm
Inventory / Cleaning of equipments and
checking the inventory for the next
production.
47 | P a g e
Floor Plan
The display rack in the Store area is a place where all finished products that
are ready to sell are being displayed. The bakery/store will be the place for the
customer to purchase the finished products of Malunggay Pandesal.
The pantry will be the area where the Malunggay Pandesal will be made by
the baker. We also have a small bedroom where our stay-in staff/baker can stay.
48 | P a g e
BUSINESS PERMITS AND LICENSES
ORGANIZATIONAL COST
Reservation for Business Name at SEC
COST
40.00
Notarize Articles of Partnership
500.00
Registration at SEC
130.00
(1/5 of 1% of capitalization)
Documentary Stamp Taxes
1,300.00
(P1 for every P200 of capital)
Community Tax Certificate
500.00
Brgy. Clearance
800.00
Mayor’s Permit
3,000.00
Sanitary Permit
900.00
Special Books of Accounts
400.00
BIR
260.00
Receipts
3,000.00
BFAD
1,500.00
TOTAL
12,330.00
49 | P a g e
EQUIPMENTS REQUIREMENT
No.
Particulars
Price per Unit
Quantity
Cost
400.00
1
400.00
1
Weighing scale
2
Electric Mixer
20,000.00
1
20,000.00
3
Oven
30,000.00
1
30,000.00
4
Gas
700.00
2
1,400.00
5
Refrigerator
10,000.00
1
10,000.00
6
Ceiling Fan
800.00
2
1,600.00
7
Fire Extinguisher
2,000.00
1
2,000.00
TOTAL
65,400.00
50 | P a g e
MATERIALS
No.
Particulars
Price per Unit
1
Set of Knife
2
Set of Measuring
Cups and spoons
(Plastic or stainless
steel)
3
Spatulas (1 Set)
4
Stainless Bowls
5
Dough Cutter
6
Baking Sheets
7
Plastic Wrappers
8
Cheesecloth
9
Apron
10
Pot Holders
11
Hair net
12
Face mask
500.00
200.00
300.00
150.00
80.00
70.00
100.00
50.00
20.00
5.00
5.00
5.00
TOTAL
Quantity
1
2
1
10
2
10
10
2
2
10
6
10
Cost
500.00
400.00
300.00
1,500.00
160.00
700.00
1,000.00
100.00
40.00
50.00
30.00
50.00
4,830.00
51 | P a g e
FURNITURE AND FIXTURES
No.
Particulars
1
Kitchen Table
2
Bread display rack
3
Tray Racks
4
Monoblocks Chair
Price per Unit
7,000.00
10,000.00
8,000.00
200.00
Quantity
1
Cost
7,000.00
1
10,000.00
1
8,000.00
5
1,000.00
TOTAL
26,000.00
CLEANING MATERIALS
No.
Particulars
Price Per
Unit
Quantity
1
Mop
70.00
2
2
Trash Bins
100.00
2
3
Dust Pans
50.00
2
4
Soft Broom
75.00
1
5
Tissue
50.00
10
6
Sponge
25.00
10
7
Dishwashing Liquid
35.00
3
8
Garbage Bag
75.00
10
9
Rugs
2.00
50
Total
Cost
140.00
200.00
100.00
75.00
500.00
250.00
105.00
750.00
100.00
1,070.00
52 | P a g e
OFFICE SUPPLIES
No.
Particulars
Price Per Unit
Quantity
1
Calculator
350.00
1
2
Monoblock Chairs
120.00
3
3
Drawer Table
2,000.00
1
4
Record Books
36.75
3
5
Ballpens
10.00
2
Total
Cost
350.00
360.00
2,000.00
110.25
20.00
2,840.25
UTILITIES
No.
Particulars
1
Water
2
Electricity
3
LPG
Cost per Month
Total
Cost per Year
400.00
4,800.00
1,500.00
18,000.00
700.00
8,400.00
31,200.00
53 | P a g e
RENT AND REPAIR & MAINTENANCE
Particulars
Cost per Month
Rent Expense
Cost per Year
15,000.00
180,000.00
500.00
6,000.00
Repairs and Maintenance
Total
186,000.00
DEPRECIATION
Depreciation Schedule
EQUIPMENT
Cost
Residual
Val
Qty.
Depreciated
Value per
year
Remaining
3
1
133.33
266.67
Estimated Useful
Life in years
Equipment
Weighing scale
Electric Mixer
Oven
Refrigerator
Ceiling Fan
Total
TOTAL DEP.
400.00
400.00
20,000.00
20,000.00
7
1
2,857.14
17,142.86
30,000.00
30,000.00
8
1
3,750.00
26,250.00
10,000.00
10,000.00
5
1
2,000.00
8,000.00
800.00
61,200.00
800.00
61,200.00
3
26
2
6
266.67
9,007.14
533.33
52,192.86
9,007.14
Furnitures and Fixtures
Kitchen Table
Bread
rack
7,000.00
7,000.00
4
1
1,750.00
5,250.00
10,000.00
10,000.00
5
1
2,000.00
8,000.00
8,000.00
8,000.00
4
1
2,000.00
6,000.00
25,000.00
25,000.00
13
3
5,750.00
19,250.00
display
Tray Racks
Total
TOTAL DEP.
5,750.00
54 | P a g e
RAW MATERIALS
NO.
PARTICULARS
QUANTITY
UNIT PRICE
(monthly)
1
Dried Malunggay
Leaves
30 bundle
10.00 /
bundle
2
Flour
1,500 kgs
30.00 / kg.
3
Instant Yeast
15,000 g
94.00 / 500 g
4
Sugar
150 kgs
52.00 / kg.
5
Salt
228 kgs
15. 00 / kg.
6
Shortening
100 kgs
200.00 / kg
7
Vegetable Oil
17kgs
1,000 / 17
kgs
8
Breadcrumbs
50 kgs
25.00 / kg
9
Take Out Paper Bags
8,850
pieces
.25 / piece
TOTAL
TOTAL
COST
(monthly)
TOTAL COST
(1 year)
300.00
3,600.00
45,000.00
540,000.00
2,820.00
33,840.00
7,800.00
93,600.00
3,420.00
41,040.00
20,000.00
240,000.00
1,000.00
12,000.00
1,250.00
15,000.00
553.13
6,637.56
82,143.13
985,717.56
The proponents should need electricity and water for the business to
operate. The electricity should be supplied by Meralco and the water will be
supplied by Maynilad
Raw Materials and Requirements:
Malunggay pandesal raw materials are consist of the following : flour,
yeast, sugar, salt, egg, milk, oil, and malunggay leaves.
All bakery products and ingredients thereof shall be stored, handled,
transported and kept to protect from spoilage, contamination, disease and
unwholesomeness. Boxes and other permanent receptacle or containers for the
55 | P a g e
storing, receiving or handling of bakery products shall be so placed and
constructed as to be beyond the reach of contamination from streets ,alleys and
sidewalks and from animals and shall be kept clean and sanitary by the bakery.
There shall not be used bakery products or in the ingredients thereof and
ingredient or material, including water, which is spoiled or contaminated or which
may render the product unwholesome, until for food or injurious to health.
Every room used for the manufacture of flour or meal food products shall
have the furniture and utensils therin so arranged that they and the floor may at
all times be kept clean and in good sanitary condition.
The bakery shall be constructed, drained, lighted, ventilated and
maintained in a clean and sanitary condition, and screened against flies, shall
have plumbing and drainage facilities, together with suitable wash basins, wash
sinks and toilets or water closets, which shall be kept in aclean and sanitary
condition. The said toilets or water closets shall be in rooms having no direct
connection to any room in which bakery products or ingredients are prepared,
stored, handled or displayed.
No person shall sit or lounge or be permitted to sit, lie or lounge upon any
of the tables, shelves, boxes or other equipment or accessories used in
connection with the production, preparation, packing, storing, display or sale of
bakery products.
No live animals or birds shall kept in any building or part thereof used as a
bakery for such production, preparation, packing, storing display or sale of bakery
products.
Before beginning the work or preparing. Mixing or handling of any
ingredients used in the production of bakery products, every person engaged in
such work shall wash the hands and arms , and after using toilets or water closet,
eveery kperson therin engaged shall wash the hands and arms thoroughly and
56 | P a g e
then rinse in clean water, and for gthis purpose the owber or operator of the
bakery shall provede sufficient facilities and post notes to this effect.
No owner or operator of the bakery shall require or permit any person
affected with a contagious and/or infectious disease or physical ailment which
may render such employment detrimental to the public health, nor any person
who refuses to submit to an examination, to work therein.
Employees shall be prohibited from smoking while preparing and baking
malunggay pandesal.
Production Capacity:
For the proposed project, oven of 3 deck 6 trays on each stand is used. So
the capacity will be: 180 malunggay pandesal in 20 baking minutes at 180
centigrade.
The proposed bakery outlet will be working from 4:00 am to 10:00 pm. Number of
working days has been taken as 365 with average 2 shifts per day.
Waste and Waste Disposal Materials:
The proper waste disposal should be done through placing the trash into
the garbage bag from time to time.The crew should check the garbage bag if it is
properly sealed and collected by the garbage truck.
57 | P a g e
Chapter V
TECHNICAL STUDY
We aim to make our product in the standard of supreme quality that
customers will be proud of patronizing. In order to achieve this, we have to
carefully study and formulate the process by which we will produce the goods that
we will be selling them. We will be continuously finding ways to develop every
aspects of our product, from preparation to delivery.
Throughout this chapter, we will be guided by these set of objectives:

To identify every resource that is required in manufacturing process.

To have the most knowledge when it comes to utilizing the
machineries and equipment’s.

To determine the availability, current and prospective sources of raw
materials.

To design the plant towards achieving maximum use of space

To develop a systematic production schedule.

To train and develop a goal-driven team with passion and openness
to learning.
MANUFACTURING PROCESS
The business process workflow will be the guide for us in producing our
products. It stretches from identification of the materials needed to serving the
customers the product. This will be their guide to avoid skipping steps and ensure
the quality in every step. It is also designed to effectively manage time and other
resources that we will be using.
The diagram will show every step that we will take in producing goods. This
is systematic considering that maximum precaution must be employed because
58 | P a g e
our line of product is food and cleanliness must be observed in every process. We
follow this strict sanitation because we cannot afford to lose the trust of our
customers, especially during the time that we are introducing the product.
OPERATING PROCESS
Customer will order directly the
MALUNGGAY PANDESAL
to the cashier/crew
The crew will receive the customer’s
payment and will issue receipt.
The crew will prepare the order
while the customer waits.
The MALUNGGAY PANDESAL
is served.
59 | P a g e
MANUFACTURING PROCESS
Combine the flour, sugar, water,
salt, dried malunggay leaves,
shortening and yeast. Mix until all
the ingredients well combined.
Knead the mixture by hand or in a mixer
until the dough is ready and elastic
enough to be stretched into a
translucent sheet of dough.
Roll each piece of dough into a rectangular
sheet and then roll the sheet, about 20
inches and 2 inches in diameter. Let the
dough rest for an hour.
Cut the log into 1 inch thick piece in
breadcrumbs and let it rest again for
an hour.
60 | P a g e
DESCRIPTION OF ACTIVITIES
A. REGISTRATION OF THE FORMATION OF BUSINESS
 SEC Permit application - The business name of Dajerero Panadero
must be registered with the Security and Exchange Commission (SEC) as a
partnership. It takes only a week before the permit will be released to know
if there is no other name of this type.
 Barangay Hall - Secure a Brgy. Clearance to operate your business.
 Local Government Unit (LGU)- Visit the municipality or city hall LGU Office
and process your Business Permit.
 Bureau of Internal Revenue - Apply for a Business Tax Payer Identification
Number (TIN), register your books of accounts, points of sale (POS)
machines, and receipts.
 Bureau of Food And Drugs - for food, chemical, health related business,
acquire a registration certificate from BFAD, Department of Health (DOHBFAD).
 Social Security System (SSS) - Secure a SSS Number for yourself and your
employees.
 Home Development Mutual Fund (HDMF) - As acquired by RA. 7742, SSS
Members earning 4,000/month must be registered with HDMF. This agency
administers the Pag-ibig Fund.
 Philippine Health Insurance Corporation (PhilHealth) - All employers are
required to register their employees to this agency as stated in the new
National Health Insurance Act (RA. 7875/RA. 9241). PhilHealth manages
and administers the government health care system.
61 | P a g e
B. RENTAL SPACE
The proposed project business will be located at the R.O.M.S Commercial
Establishments in Caloocan City. The rental on the store will only be a ticket, since
we will be establishing our business on the road. It is accessible to the highway
and so the target market.
C. BUYING OF MATERIALS, MACHINERIES AND EQUIPMENTS
Customize the stall based on the standard design of the chosen location of the
business. Involves the acquisition of the necessary equipment in the business as
mentioned in technical aspect.
D. CONTRACTING THE SUPPLIER
Deal with the supplier regarding the acquisition of raw materials.
E. ADVERTISEMENT AND PROMOTION
Includes advertising and personal selling partnership in a variety of promotional
activities to inform customers of the product (avail the service) and to encourage
them to buy.
F. PURCHASING OF RAW MATERIALS
Buy raw materials necessary for the production of Malunggay Pandesal from
different supplier and market.
G. PRODUCTION OF SUMENILICIOUS
Manufacture the product to be sold.
H. START OF OPERATION
After all the necessary permits and other needed materials are secured, the
business is now ready to operate. (see aappendix for form.)
62 | P a g e
For the Year 2018
Month
SALARY
SSS
(Gross
Income)
ER
PHILHEALTH
EC
EE
ER
EE
PAG-IBIG
ER
EE
WITHHOLDING
NET PAY
TAX
(Net Income)
January
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
February
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
March
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
April
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
May
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
June
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
July
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
August
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
September
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
October
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
November
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
December
25,200.00
1,891.80
50.00
908.20
500.00
500.00
500.00
500.00
Non Taxable
23,291.80
TOTAL
302,400.00
22,701.60
600.00
10,898.40
6,000.00
6,000.00
6,000.00
6,000.00
279,501.60
For the Year 2019
Month
SALARY
SSS
ER
January
(Gross
Income)
26,460.00
February
PHILHEALTH
EC
EE
ER
EE
PAG-IBIG
ER
EE
WITHHOLDING
NET PAY
TAX
(Net Income)
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
March
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
April
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
May
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
June
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
July
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
August
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
September
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
October
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
November
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
December
26,460.00
1,962.40
50.00
941.60
500.00
500.00
521.84
521.84
Non Taxable
24,496.56
TOTAL
317,520.00
23,548.80
600.00
11,299.20
6,000.00
6,000.00
6,262.08
6,262.08
293,958.72
63 | P a g e
For the Year 2020
Month
SALARY
SSS
ER
January
(Gross
Income)
27,783.00
February
PHILHEALTH
EC
EE
ER
EE
PAG-IBIG
ER
EE
WITHHOLDING
NET PAY
TAX
(Net Income)
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,739.32
27,784.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,740.32
March
27,785.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,741.32
April
27,786.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,742.32
May
27,787.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,743.32
June
27,788.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,744.32
July
27,789.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,745.32
August
27,790.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,746.32
September
27,791.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,747.32
October
27,792.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,748.32
November
27,793.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,749.32
December
27,794.00
2,033.00
50.00
975.00
525.00
525.00
543.68
543.68
Non Taxable
25,750.32
TOTAL
333,462.00
24,396.00
600.00
11,700.00
6,300.00
6,300.00
6,524.16
6,524.16
308,937.84
For the Year 2021
Month
SALARY
SSS
ER
January
(Gross
Income)
29,183.70
February
PHILHEALTH
EC
EE
ER
EE
PAG-IBIG
ER
EE
WITHHOLDING
NET PAY
TAX
(Net Income)
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
March
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
April
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
May
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
June
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
July
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
August
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
September
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
October
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
November
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
December
29,183.70
2,103.60
50.00
1,008.40
525.00
525.00
565.52
565.52
Non Taxable
27,084.78
TOTAL
350,204.40
25,243.20
600.00
12,100.80
6,300.00
6,300.00
6,786.24
6,786.24
325,017.36
64 | P a g e
For the Year 2022
Month
SALARY
SSS
ER
January
(Gross
ncome)
30,642.89
February
PHILHEALTH
EC
EE
ER
EE
PAG-IBIG
ER
EE
WITHHOLDING
NET PAY
TAX
(Net Income)
2,174.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,476.23
30,643.89
2,175.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,477.23
March
30,644.89
2,176.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,478.23
April
30,645.89
2,177.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,479.23
May
30,646.89
2,178.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,480.23
June
30,647.89
2,179.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,481.23
July
30,648.89
2,180.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,482.23
August
30,649.89
2,181.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,483.23
September
30,650.89
2,182.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,484.23
October
30,651.89
2,183.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,485.23
November
30,652.89
2,184.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,486.23
December
30,653.89
2,185.20
50.00
1,041.80
537.50
537.50
587.36
587.36
Non Taxable
28,487.23
TOTAL
367,780.68
26,156.40
600.00
12,501.60
6,450.00
6,450.00
7,048.32
7,048.32
341,780.76
65 | P a g e
DAJERERO PANADERO
Projected Salary for Employees
Staff
Salary (Daily Rate)
Salary (Monthy Rate)
Supervisor
491.00
5,892.00
Cashier 1
350.00
4,200.00
Cashier 2
350.00
4,200.00
Baker 1
450.00
5,400.00
Baker 2
450.00
5,400.00
Total
2,091.00
Total Projected
Salary
2,091.00
SSS
ER
EC
25,092.00
25,092.00
PHILHEALTH
EE
ER
EE
PAG-IBIG
ER
EE
452.00
10.00 218.00
100.00
100.00
100.00
100.00
304.70
10.00 145.30
100.00
100.00
100.00
100.00
304.70
10.00 145.30
100.00
100.00
100.00
100.00
415.20
10.00 199.80
100.00
100.00
100.00
100.00
415.20
10.00 199.80
100.00
100.00
100.00
100.00
1,891.80
50.00 908.20
500.00
500.00
500.00
500.00
1,891.80
50.00 908.20
500.00
500.00
500.00
500.00
NET PAY
(Net Income)
66 | P a g e
Chapter VI
FINANCIAL STUDY
Financial Aspect is a vital part in every business. The company considers
an ample time in preparing its complex financial statements that are used in
decision making and are frequently the basis for judgement and predictions about
the firm.
This chapter covers the complex effects of the over-all operations and
activities of the proposed business, Sumenilicious, their examinations and analysis
to determine the financial position and condition, whether it is profitable and has
potential for growth or not.
MAJOR ASSUMPTIONS:
 Sales are based in the projected market share of DaJeReRo computed in
the Market Study of this Project.
 All transactions will be on a cash basis only.
 Salaries of the employees are computed as per hour and it will increase by
5% per year.
 SSS, PhilHealth and PAG-IBIG will be remitted monthly as complied with
the guidelines are fixed.
 13th month pay is equivalent of the monthly net compensation of each
employees.
 Depreciation of Equipment’s and Furniture and Fixtures are computed
through straight-line method.
 Utilities expense such as electricity, water and are on monthly basis.
 Office supplies will have an increase of 2% every year.
 Advertising expense will vary each year.
 Rent expense is fixed for the succeeding years.
 Miscellaneous expense has an increase of 3% every year.
 Net income will be divided equally among partners.
 Income Tax Provision is 12%.
 Income Tax and VAT will be remitted quarterly.
67 | P a g e
Projected Income Statement
2018
2019
2020
2021
2022
Sales
2,561,327.13
2,591,314.43
3,931,951.19
3,977,777.84
5,428,179.90
Cost of Goods Sold
1,130,819.25
1,187,360.21
1,246,728.22
1,309,064.63
1,374,517.87
Gross Profit
1,430,507.88
1,403,954.21
2,685,222.96
2,668,713.20
4,053,662.03
Depreciation Expense- Furniture and Fixtures
5,750.00
5,750.00
5,750.00
5,750.00
5,750.00
Depreciation Expense- Equipment
9,007.14
9,007.14
9,007.14
9,007.14
9,007.14
301,104.00
316,159.20
331,967.16
348,565.52
365,993.79
13th month Pay
25,092.00
26,346.60
27,663.93
29,047.13
30,499.49
SSS Premium
23,301.60
24,148.80
24,996.00
25,843.20
26,756.40
Philhealth
6,000.00
6,000.00
6,300.00
6,300.00
6,450.00
Pagibig
6,000.00
6,262.08
6,524.16
6,786.24
7,048.32
Operating Expenses: (OPEX)
Salaries Expense
Advertising Expense
-
-
-
-
-
Supplies Expense
2,840.25
2,925.46
3013.2213
3103.6179
3,196.73
Miscellaneous Expense
1,070.00
1,102.10
1,135.16
1,169.22
1,204.29
31,200.00
32,136.00
33,100.08
34,093.08
35,115.87
Utilities Expense
Uniform Cost
1,200.00
Rent Expense
186,000.00
186,000.00
186,000.00
186,000.00
186,000.00
Taxes and Licenses
4,659.00
6,006.00
6,192.00
6,263.00
6,474.00
Organizational Cost
12,330.00
Material Cost
-
-
-
-
-
-
-
-
4,830.00
4,926.60
5,025.13
5,125.63
5,228.15
Total Operating Expenses
620,383.99
626,769.98
646,673.99
667,053.78
688,724.19
Profit before Income Tax
810,123.89
777,184.24
2,038,548.98
2,001,659.42
3,364,937.85
97,214.87
93,262.11
244,625.88
240,199.13
403,792.54
712,909.02
683,922.13
1,793,923.10
1,761,460.29
2,961,145.31
Income Tax
Net Profit
68 | P a g e
Projected Statement in Cash Flows
2018
Sales
2019
2020
2021
2022
2,561,327.13
2,591,314.43
3,931,951.19
3,977,777.84
5,428,179.90
Salaries Expense
279,501.60
293,958.72
308,937.84
325,017.36
341,780.76
Raw Materials Purchased
985,717.56
1,005,431.91
1,025,540.55
1,046,051.36
1,066,972.39
31,200.00
32,136.00
33,100.08
34,093.08
35,115.87
186,000.00
186,000.00
186,000.00
186,000.00
186,000.00
4,659.00
6,006.00
6,192.00
6,263.00
6,474.00
25,092.00
26,346.60
27,663.93
29,047.13
30,499.49
-
-
-
-
-
Office Supplies Expense
2,840.25
2,840.25
2,840.25
2,840.25
2,840.25
Employee Benefits - Uniform Allow
1,200.00
-
-
-
Operating Expenses
Utilities Expenses
Rental Expense
Taxes and Licenses
13th Month Pay
Ads & Promo Expense
Miscellaneous Expense
1,070.00
Income Tax
-
1,102.10
1,135.16
1,169.22
1,204.29
97,214.87
93262.1082
244625.8771
240199.1304
403,792.54
SSS Remittance
23,301.60
24,148.80
24,996.00
25,843.20
26,756.40
Philhealth Paid
6,000.00
6,000.00
6,300.00
6,300.00
6,450.00
Pag-ibig Fund
6,000.00
6,262.08
6,524.16
6,786.24
7,048.32
Petty Cash
3,000.00
3,000.00
3,000.00
3,000.00
3,000.00
Organizational Paid
12,330.00
-
-
-
1,665,126.88
1,686,494.57
1,876,855.85
1,912,609.97
2,117,934.32
Machinaries & Equipments
65,400.00
62,130.00
58,860.00
55,590.00
52,320.00
Furniture & Fixtures
26,000.00
24,700.00
23,400.00
22,100.00
20,800.00
0.00
0.00
0.00
0.00
0.00
804,800.25
817,989.86
1,972,835.34
1,987,477.86
3,237,125.58
VAT Paid
Net Cash Flow from Operating
Activities:
-
Investing Activities:
Vehicles
Cash, Ending Balance
69 | P a g e
FINANCIAL ANALYSIS
1. RETURN ON ASSETS
It indicates the profitability in the use of total assets.
RETURN ON ASSETS =
Year
2018
2019
2020
2021
2022
Net Income
712,909.02
683,922.13
1,793,923.10
1,761,460.29
2,961,145.31
Net Income
Average Total Asset
Total Assets
1,086,200.00
1,071,442.86
1,056,685.72
1,041,928.58
1,027,171.44
Ratio
66%
64%
170%
169%
288%
2. RETURN ON SALES
It indicates the amount of net income per peso of sales or the
profitability based on sales.
RETURN ON SALES =
Year
2018
2019
2020
2021
2022
Net Income
712,909.02
683,922.13
1,793,923.10
1,761,460.29
2,961,145.31
Net Income Before Tax
Net Sales
Total Sales
2,561,327.13
2,591,314.43
3,931,951.19
3,977,777.84
5,428,179.90
Ratio
28%
26%
46%
44%
55%
70 | P a g e
3. RETURN ON EQUITY
It indicates profitability in the use of invested capital or the amount of
return per peso of partner’s equity.
RETURN ON EQUITY =
Net Income
Owner’s Equity
Net Income
712,909.02
683,922.13
1,793,923.10
1,761,460.29
2,961,145.31
Owner's Equity
1,712,909.02
2,396,831.15
4,190,754.25
5,952,214.54
8,913,359.84
Year
2018
2019
2020
2021
2022
Ratio
42%
29%
43%
30%
33%
4. CURRENT RATIO
It indicates the ability to pay current obligations.
CURRENT RATIO =
Year
Current Assets
2018
1,712,909.02
2019
2020
2021
2022
2,396,831.15
4,190,754.25
5,952,214.54
8,913,359.84
Current Assets
Current Liabilities
Current
Liabilities
1,012,787.56
998,030.42
983,273.28
968,516.14
953,759.00
Ratio
169%
240%
426%
615%
935%
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5. QUICK RATIO
It indicates the ability to pay current obligations from the more liquid
current assets.
QUICK RATIO =
CA- Inventory
Current Liabilities
Year
Current Assets
Inventory
2018
1,712,909.02
985,717.56
2019
2,396,831.15
2020
4,190,754.25
2021
5,952,214.54
2022
8,913,359.84
1,035,003.44
1,086,753.61
1,141,091.29
1,198,145.85
Current
Liabilities
1,012,787.56
Ratio
72%
810,230.04
168%
162,046.01
1916%
518,547.23
928%
414,837.77
1860%
6. RETURN ON INVENTORY
RETURN ON INVENTORY =
Year
2018
Net Income
712,909.02
2019
683,922.13
2020
1,793,923.10
2021
1,761,460.29
2022
2,961,145.31
Net Income
Inventory
Inventory
985,717.56
1,035,003.44
1,086,753.61
1,141,091.29
1,198,145.85
Ratio
72%
66%
165%
154%
247%
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7. INVENTORY TURNOVER
RETURN ON INVENTORY =
Year
2018
Sales
2,561,327.13
2019
2,591,314.43
2020
3,931,951.19
2021
3,977,777.84
2022
5,428,179.90
Sales
Inventory
Inventory
985,717.56
1,035,003.44
1,086,753.61
1,141,091.29
1,198,145.85
Ratio
38%
40%
28%
29%
22%
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XV. CONCLUSION AND RECOMMENDATION
The proponent has come up with the outcome based from the figures and
records obtained from the gathering of data and after conducting a comprehensive
with the study.
There are many factors which help in finding out that this business is
feasible. The proponent has shown the details on how to arrive to this argument. In
financial feasibility, there several ways on how to determine whether a proposed
business is viable.
Based on the survey, the respondents in the area where are we going to
establish our business are willing and able to patronize our business. We are
looking forward for the stability of DajeReRo’s Panadero in facing difficulties, to
have branches in other places and to be known in public.
The management is not complicated because partners are involved. If any
misunderstanding would arise, policies will be determined to resolve it.
In terms of prices, the business decided to increase our price based on
inflation rate in order for us to give the same satisfaction to the customers as time
goes by.
The proponent recommended that in establishing a service kind of
business, they should put the customer into consideration. Make them your first
priority, give comfort and satisfaction, a timely service and most of all make a
friendly customer service that they will surely look forward to in their next visit in
your shop.
After the analysis of this study, the proponents agreed that the business is
feasible. The viability has been proven through the in depth study of the different
aspects of business. It is therefore recommended that the project be put into
operation.
74 | P a g e