National University

M.F Jhocson St. Sampaloc, Manila

College of Business and Accountancy

TechnoPen Co.

A Business Plan presented to the Faculty of

National University- Manila
College of Business and Accountancy

In partial fulfillment
Of the requirement for the course
Introduction to Entrepreneurship(BINTENT)

Submitted by:
Agacite, Jian Carlo M.
Atentar, Aprillyn N.

Corpuz , Jayson E.
Pagarigan, Lucky Joyce P.
Perez, Cristopherson A
Placente, AD Ryan L.
Romero, Chelsea

ACT 141

Mr. Ireneo R. Aguilan

Professor

May 11, 2017

 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy
I. Executive Summary
Nature of business
TechnoPens Co. (with its tagline “Write as gold as time”) is a company that
customizes mechanical pencils with a detachable digital timer. As a patented
innovation, the product is called the “Digipen.” The business will have branches located
in highly strategic business areas such as the university belt and malls. Primarily, the
business is formed with students and business professionals as its target consumers.
Aside from profit, the business will also practice social responsibility. The
“Digipens” will be created substantially out of recycled materials from the cover to the
graphite lead. In addition to being environmental-friendly, the Digipen can be used both
by students and professionals. It can be used by students during examinations; on the
other hand, it can be used by professionals who are time-conscious. During
celebrations or gatherings, the Digipen can be used as a token of appreciation or a gift.
As students, the owners are truly enthusiastic to put up a business wherein they
can hone their business skills and gain sufficient experience. They are not just helping
themselves in creating profit, but also the world through exercising social responsibility
and the country through promoting personal expenditure and customer demand.
Mission
To create digipens that can be used by time-conscious students and professional
To innovate the traditional mechanical pencil through addition of a timer and
customization according to the wants of the customer
To acquire profit and long-term value while being socially responsible

Vision
To become the pioneer company nationwide in innovating mechanical pencils
with a timer while instilling in all of its units the zeal towards holistic business growth,
pursuit of goodwill and friendly competition, and social responsibility

Objectives
Market standing
To obtain a large market share in the pencil industry
To provide its target customers quality and multi-functional products
 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy
Innovation
To constantly find ways to innovate its products through invention, addition, or
improvement
To expose the business to research and development ventures related to its
main product

Productivity
To achieve a manufacturing efficiency with minimal downtime as compared to the
industry average
To provide its labor force sufficient compensation and positive reinforcements

Profitability
To achieve profits and financial conditions which contribute to the company’s
long-term value
To consider both quantitative and qualitative factors in managing financial
matters

Physical and Financial resources

To create products through efficient consumption of physical and financial
resources
To build branches in strategic areas catering the needs of target customers

Social responsibility
To make use of recycled materials in creating its main products
To responsibly dispose all of its toxic waste materials

II. Company summary

Company ownership
TechnoPens Co. is a business partnership. The company is owned by seven
partners (composing of two managing partners and five other general partners).
Start-up summary
The idea of building the TechnoPens Co. business came from its original
partners, Lucky Joyce Pagarigan and Aprillyn Atentar, both undergraduates of Bachelor
 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy

of Science in Accountancy at National University-Manila. Lucky deals with financial

management while Aprillyn deals with costumer relations and expansion of operations.
To start-up the business, they acquire a long term loan worth P 250,000 for the
construction of the company.
Start-up funding
Start-up Expenses to Fund (See breakdown) 205,000
Start-up Assets to Fund (See Balance Sheet) 1,820,000
Total funding Required 2,025,000

Breakdown of Start-up Expenses

Legal fees 50,000
Stationary 50,000
Other 105,000
Total Start-up Expenses 205, 000

Start-up Balance Sheet

Cash required 850,000
Start-up Inventory 300,000
Other Current Assets 0
Long-term Assets 670,000
TOTAL ASSETS 1,820,000

LIABILITIES
Current Borrowing 0
Long-term Liabilities 550,000
Accounts Payable (Outstanding Bills) 25,000
Other Current Liabilities (interest-free) 0
TOTAL LIABILITIES 575,000
 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy
CAPITAL
Partner1 200,000
Partner2 200,000
Partner3 250,000
Partner4 300,000
Partner5 100,000
Partner6 200,000
Partner 7 200,000
Total planned investment 1,450,000
Startup expenses (205,000)
Total capital 1,245,000
Total liabilities and capital 1,820,000

III. Product
Product Description
TechnoPen Co. has been producing quality Digipen, a combination of
detachable digital clock and mechanical pencil. It is in normal size mechanical
pencil and contains a .5 tip of the lead. It comes with cool colorways such as
black and red for male and white and blue for female. Digipen is suitable for the
likes of students because of its crafty and classy design.

Competitive Analysis
Buying a pencil, a sharpener, and a wrist watch at the same time is costly
for a student’s limited financial resource. With this notion, students have to pay
for less for this Digipen that includes detachable digital clock and mechanical
pencil in one. Also, this detachable digital clock is a multifunctional clock that
allows the user to set the intended finish time. Evidently, this product is way
beyond the simple leaded pencil. Furthermore, this product is gender-sensitive
as compared to wooden pencils.
 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy
Product Development
While there is existing ‘ballpen with clock’ product in the market,
TechnoPen Co. comes to an idea of bringing the innovation of pencil with
multifunctional clock, not just for students but also for time-conscious
professionals.

IV. Management Summary

Organizational Structure

Initially, the business will be managed by the seven partners; however, all of the
partners shall employ ten (10) employees to lead all the departments and the sub-
departments as shown in the figure above. The partners have developed an effective
interview system starting from application to assessment and finally, to deliberation.
Each prospective applicant will be evaluated based on standards; these standards take
into consideration the start-up needs of the company and the job description. The
 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy
assessment part of the system shall include a background checking which may put the
legal and credit standing of the applicant into scrutiny. During the starting years, the
business will not spend that much on advertising; hence, the business will focus on
referrals and social media promotions to recruit applicants.

Management team
The Managing partners are Lucky Joyce Pagarigan and Aprillyn Atentar. Both of
them are undergraduates of Bachelor of Science in Accountancy from National
University-Manila. The two have thought of continuing their research proposal of
innovating a pencil with a timer. The other general partners assist the managing
partners in the vital decision-making processes and strategic planning for the business.

Management Team Gaps

Since the company is still starting, some positions not yet filled up have to be
assigned to the general partners. General Partner 1 (Cristopherson Perez) is more
concerned on the Administration department; General Partner 2 (Jian Carlo Agacite) is
on Production; General Partner 3 (AD Ryan Placente) is also on Production; General
Partner 4 (Jayson Corpuz) is on Quality Control; and General Partner 5 (Chelsea
Romero) is on Sales and Marketing.
The other general partners are expected to lead and manage these department
for the first two years of operation until they actually find deserving individuals for the
positions. However, even for the first two years of operations, departments with sub-
departments immediately need to have managers, so General Partner 1 and General
Partners 2 and 3 have the discretion to look for these managers and refer them for
application. The interview system shall be followed in recruiting all new employees.

Personnel Plan
The figure below shows the personnel plan of the business for its first three years
of operations.

Position Year 1 Year 2 Year 3

Managing partners
Equal proportions to all Net Income after taxes
General partners
Production - - Php 25,000
 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy
Manager monthly
Quality Control
- - 20,000 monthly
Manager
Sales and 20,000 monthly
Marketing Manager plus 10%
- - commission on
excess above
quota
Administration
- - 25,000 monthly
Manager
Sub-department Php 10,000 Php 10,000
managers monthly but cannot monthly but cannot Php 15,000
exceed share of exceed share of monthly
one partner one partner

V. Planning
TechnoPens Co. displays the process of planning throughout the entity's duration
from conceptualization up to evaluating ongoing courses of action. The enterprise
initiated the process typically with what type of business operation they will be engaged
with due consideration to existing markets. The company came up with a manufacturing
type of organization that features the qualities of a pencil and a clock as one, a digital
clock pencil. Subsequently, the owners decided to create the name, the logo, the
tagline, the mission and vision, the objectives and the kind of ownership that it will
adhere into. Thereupon, the owners proceeded the process with intellectualizing
appropriate location and facilities for their operation. Moreover, they also set their minds
on figuring out where the raw materials will be obtained as well as to how it will be
processed and designed accordingly. TechnoPens Co. hereafter formed their strategies
as it seeks to utilize the uniqueness of their products. Promotions had been made
through different ways after exhibiting successful product trials from target customers.
Furthermore, proper procedures where observed consequently as to where the product
will be available for purchase.

VI. Organizing
The course of organizing was executed primarily through the creation of the
organizational structure. TechnoPens Co. was systematized in such a way that it will
focus on functional areas such as production, marketing, sales and others. It was also
 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy
decided that managers will be designated on different areas based on their skills and
knowledge which aims to maximize such qualities for their respective departments.
Additionally, it was also made to establish orderly lines of authority. Moreover, the
organizing process was also exercised through the actual operation itself wherein
products were classified, grouped, and arranged accordingly based on their stages at
production.

VII. Staffing
In order for an organization to be successful, it is essential to assign the right
people into the right positions. According to ispatguru.com “Staffing is a critical
organizational function which consists of the process of acquiring, deploying, and
retaining a workforce of sufficient quantity and quality to create positive impacts on the
effectiveness of the organization.” It is an important part of managerial fuction that has
to be taken seriously of the company. Employee’s talent, skills, knowledge, and
experience are needed to achieve the organizational goals and objectives.
TechnoPens Co. will make sure that every personnel in the company are fitted to
their respective tasks. The Human Resource is given to take charge of recruitment and
hiring process making sure that the candidate employee has enough experience or
skills in doing their jobs. They will also provide development and training programs to
the employees for better carrying out of their tasks. They are also responsible to the
annual performance appraisal of the employees to give them rewards and motivation to
their woks.

VIII. Leading
Leading is “accomplished by communicating, motivating, inspiring, and
encouraging employees towards a higher level of productivity” (Hartzell, n.d.). A leader
has the power of influencing their followers to do thing they want to and the followers
will do things willingly and voluntarily when they are properly leaded. To make it
happen, TechnoPens Co. will give enough attention to employees; taking them
seriously by interacting to them, giving care to their well beings, and getting feedbacks
from them about their works. It is a mutual benefits that while working in our company,
 National University
M.F Jhocson St. Sampaloc, Manila
College of Business and Accountancy
we will be able to inspire them while us being inspired at the same time.

IX. Controlling
According to Brech, “Controlling is a systematic exercise which is called as a
process of checking actual performance against the standards or plans with a view to
ensure adequate progress and also recording such experience as is gained as a
contribution to possible future needs.” (as cited in “Controlling Function of
Management,” n.d.). Controlling is a management process that verifies whether
everything is going on according to plan. It ensures that the organization is efficient and
effective while having conformities with the established plan. Managers and Supervisors
are obliged to monitor and check the performance of employees to the operation of
TechnoPens Co. and give them proper actions to be taken in case of defaults.

References:
Controlling Function of Management. (n.d.). Retrieved May 10, 2017 from
http://www.managementstudyguide.com/controlling_function.htm
Hartzell, S. (n.d.) Four Functions of Management: Planning, Organizing, Leading &
Controlling. Retrieved May 10, 2017 from http://study.com/academy/lesson/four-
functions-of-management-planning-organizing-leading-controlling.html
Staffing – a Function of Management. (2015). Retrieved May 10, 2017 from
http://ispatguru.com/staffing-a-function-of-management/