ACKNOWLEDGEMENT

Creating a business proposal is one of the most challenging stage in every business

student. The deliberation of ideas, delegation of work and all the sleepless nights of the

researchers will just be paid-off after the presentation and defense of the paper. This will

not become possible without the following.

First and foremost, to our dear and almighty Father for His infinite goodness and tender

mercy on guiding us all throughout the way and giving us good health and presence of

mind to realized our ideas.

To our beloved professor on New Entrepreneurial Planning and Development course,

Prof. Czarina Siao-Saikol for letting us go out from our comfort zones and pursuing us

to strive for the best, and for the patience on guiding us with the stages of designing the

business plan and for all the reasonable considerations.

To the College of Business Administration and Accountancy, for molding us to become

better students and shaped us to be the people who will uplift the lives of others through

the education we gain in our Alma Mater- Mindanao state University.

Most of all, to our loving and supportive family especially our parents and guardians for

being there for us in every ways. For believing on us no matter how flawed we are and

for being our strength whenever we feel down. For being our vest whenever we are

drowning with the stress in our studies.

Nevertheless, to all the TEC members who have been there since the idea was born

and who in every ways give their best to develop the business plan. For holding on and

standing together till the defense day.

Thank you for being part of this wonderful and exciting journey!
 Table of Contents

Title Page………………………………………………………………..
Acknowledgement……………………………………………………... i
Table of Contents……………………………………………………… ii
List of Tables, Charts, and Appendices……………………………… iii

I. EXECUTIVE SUMMARY ……………………………………. 1

A. Brief Summary of the Plan

B. Major Objective of the Study/Proposal
C. Description of the Business

II. THE BUSINESS ……………………………………………… 2

A. Industry Analysis
i. International Profile ------------------------------ 2
ii. National Profile ---------------------------------- 3
iii. Local Profile --------------------------------------- 3
iv. General Assessment -------------------------------- 4
v. The Business Potential ---------------------------- 4

B. The Company
i. Company Name ------------------------------------- 5
ii. Company Mission and Vision ------------------- 5
iii. Company’s Objectives ------------------------------ 6
iv. SWOT Analysis --------------------------------------- 7-10
v. Location ----------------------------------------------- 11
vi. Form of Business Organization ---------------- 11

C. The Service
i. Brand Name ----------------------------------------- 12
ii. Service Feature/Uniqueness of the Service ---- 12
iii. Service Quality --------------------------------------- 12

III. ORGANIZATIONAL PLAN ………………………… 13

A. Manpower Plan
i. Organizational Chart --------------------------------- 13
ii. Personnel Qualification ------------------------------ 14
iii. Personnel Duties and Responsibilities ----------- 15
iv. Personnel Salary Structure -------------------------- 16
v. Human Resource Control Policies ----------------- 16-17

B. Strategic Management
i. GANTT Chart of Activities ---------------------------- 17

IV. PRODUCTION PLAN

A. Monthly Production Forecast ------------------------------------- 19

B. Location Strategy
1. Weigh Alternative vs. Criteria ------------------------------ 19
2. Location Map or Vicinity Map ------------------------------- 20

C. Process and Design Strategy

1. Process Flow
a. Service Procedures ----------------------------------------- 21
2. Plant/Shop Layout ---------------------------------------------- 22-24

D. Inputs and Management

1. Raw Materials --------------------------------------------------- 25-26
2. Facilities and Equipment --------------------------------------- 27
 3. Utilities and Waste Disposal ---------------------------------- 27
4. Technology Requirement --------------------------------------- 27
5. Manufacturing/Cost Data -------------------------------------- 28

V. MARKETING PLAN

A. Market Research Analysis

1. Target Market ------------------------------------------------------- 29
a. Demographic Profile------------------------------------------- 29
b. Psychographic and Behavioral Profile ------------------ 30
2. Market Size and Trends --------------------------------------- 30
3. Estimated Market Share --------------------------------------- 30

B. Pricing Strategy
1. Pricing Structure ------------------------------------------------ 30
a. Introduction or Launch Stage ---------------------------- 30
b. Growth and Maturity -------------------------------------- 31

C. Sales and Distribution Strategy 31

D. Promotions and Sales Strategy

1. Advertising Strategy ---------------------------------------------- 32
a. Launch or Introductory Stage
i. Advertising Strategy Mix --------------------------------- 33
ii. Sample TV Script, Radio Script, Print Ad & Website 34-36
b. Growth and Launching Stage
2. Promotion Strategy ----------------------------------------------- 37
a. Introductory and Launching Stage
b. Growth and Maturity Stage
E. Marketing Policies
1. Policies Imposed to Customer ------------------------------- 37
2. Similarities and Differences with other direct competitors 37

VI. FINANCIAL PLAN ……………………………………….. 38

A. Financial Forecast List

1. Total Project Cost --------------------------------------------------- 38
2. Financial Assumption ---------------------------------------------- 38-39
3. Financial Statements
a. Income Statement --------------------------------------------- 39-40
b. Statement of Cash Flow -------------------------------------- 40-41
c. Balance Sheet -------------------------------------------------- 41-43

B. Financial Analysis
1. Financial Ratio Analysis
a. Profitability Ratio Analysis ----------------------------------- 44
b. Turnover Ratio ------------------------------------------------- 44
c. Leverage Ratio ------------------------------------------------- 44
d. Liquidity Ratio ----------------------------------------------------- 44
2. Break-even Analysis
a. Cost Control ----------------------------------------------------- 45

C. Sources of Funds -------------------------------------------------- 45

D. Budgeting Plan ------------------------------------------------------ 45
E. Stages of Financing ----------------------------------------------- 46

VII. CRITICAL RISK ANALYSIS

A. Potential Problems ------------------------------------------------ 47
B. Obstacle and Risk ---------------------------------------------------- 47-48
C. Objectives ------------------------------------------------------------ 48
D. Areas of Consideration -------------------------------------------- 49-50
E. Alternative Course of Action ------------------------------------- 50-51
F. Conclusions and Recommendations --------------------------- 51

VIII. SOCIAL SIGNIFICANCE 52

Appendices
References
Curriculum Vitae

List of Tables and Illustrations

Tables
1. SWOT Analysis 14
2.1 Personnel Qualification 14
2.2 Personnel Duties and Responsibilities 15
2.3 Personnel Salary Structure 16
3 Raw Materials 26
4 Total Project Cost 38
5.1 Income Statement Year 1-2 38
5.2 Income Statement Year 3-4 39
5.3 Income Statement Year 5 39
6.1 Cash Flow Year 1-3 40
6.2 Cash Flow Year 4-5 40-41
7.1 Balance Sheet Year 1-2 41-42
7.2 Balance Sheet Year 3-4 42
7.3 Balance Sheet Year 5 44
8 Financial Ratio Analysis 44
Stages of financing 46
Illustrations
1. Proposed TEC Location 20
2. Organizational Chart 13
3. GANTT Chart 17
4. Monthly Forecast 19
5. Vicinity Map 20
6. Building Floor Plans 20
5.2Building Lay-out 23-24
6.1Demographic Graph 29
6.2Psychographic Segmentation 30
7.Web Page and Print Ad 35-36