CHAPTER I

I. INTRODUCTION

A. BUSINESS CONCEPT

Food Spot is a store in which you can buy excellent and quality foods and

drinks. It offers its main treat or snack which is the fried bread or a pie that comes

in four different flavors or fillings (meat, chocolate, butter and cream, and cheesy

egg.) The proponents call this as fun pie. The first flavor is inspired with the

famous empanada which is one of the favorite snacks of Filipinos. The owners

agreed to produce an innovative kind of this product which is the fried bread or

pie with its empanada like filling with twists in the inside. The entrepreneurs

agreed to call this as “funpanada pie”. The owners also develop another flavor of

this product which is the chocolate and they call it as “fun chocó pie”. In

accordance with this flavor, the entrepreneurs observed that many people love

this dessert or any food with chocolate in it. They knew that this is one of the

people’s comfort food. Next, is the “fun butter pie” which they made because of it

sweet and delicious taste which many people would love. Lastly, the “fun cheesy

egg pie” which they want to produce for those people who love cheese and egg.

The entrepreneurs’ wants to establish this business because people loves to eat

and they are fond in eating snacks and sweet foods. In addition, the business

wants to serve food that can satisfy their mind, heart and soul. As you can see,

food is man’s primary need and it is also one of their stress reliever so it caters to

both their wants and needs. It is different and unique with other products

because of the twists they added and its quality taste. This business is open to all
1
ages, gender and social status. The target customers of this business are the

Grade 12 Senior High School and College students of Mabini Colleges Main

Campus. Fun is added to its name because it wants the customer to feel happy

and satisfied with their every bites. The business will be established along Mabini

Colleges Main Campus, Gov. Panotes Avenue, Daet, Camarines Norte.

B. THE BUSINESS MODEL

The business will raise revenues by the products it offered. The quality

foods and services will help the business to gain more costumers thus building

loyalty and long lasting relationships. The place where the business will be

establish which is along the school is another factor that will help the business to

gain more revenues. The means of different marketing plans and strategies,

projects and product will bring revenues to the business. The Food Spot will sell

the fun pie by pieces and the other products can be sold according to the

customers demand. The fun pie can be market through bulk depending on the

customers’ wants and desires and can be get in the store. The entrepreneurs

also plan to sell it online thus making an official social media accounts where

more customers can notice the business and they can accept orders,

suggestions, comments and feedbacks. Moreover, they can also perform

advertisements and promotions attracting more customers. The factors that can

cause our revenues to materialize are the effective and efficient means of

promoting products, The critical factors that will ensure the realization of the

2
revenues are the following: proper management and execution on the business

operations and duties of each proponent, marketing strategies, increased

number of customers, right pricing, welcoming and friendly environment and the

superb and quality products and services.

The estimated total cost in establishing the business would be Php 60 000.

The costs that will be managed by executing resource planning, cost estimating,

and cost budgeting and proper utilization of the assets of the company as well as

getting partners on the locale suppliers. The critical factors that will affect the

costs are the production expenses constituting supplies, equipment, packaging

and the structuring of the business store. The cost can be controlled appropriate

and effective management of the operation of the business. The major

investment of the enterprise are the products itself and the store. This will give

the enterprise a competitive edge because of its delicious, quality and unique

taste. The enterprise will finance its investments by the shares of its owners or

the capital invested by its owners. As the enterprise grow, the revenues of our

business will be a great help for development and expansion but also we

considered opening for investors who would likely put their money on our

business or getting loan in the banks.

3
 C. BUSINESS GOALS: VISION, MISSION AND OBJECTIVES

Vision

Food Spot shall be a distinguished store that offers snack with the best quality of

taste among the rest. To be the pioneer maker of unique and innovative product.

We envision customer satisfaction with the greatness of our product.

Mission

Food Spot provides and offers a high quality of snack. To give the best and

unique food experience to everyone and consumer satisfaction above all else. To

bring and serve the public with the finest choices of taste with fun on it.

Objectives:

 To fulfill the needs and wants of the consumers.

 To offer products with reasonable price.

 To provide our customers a choice in the variety of our products.

 To ensure the consumer satisfaction towards our product.

 To bring convenient to the consumers.

 To introduce a new product and be in demand in the marketplace.

 To earn reasonable profit.

 To boost income for the proponents and investors.

4
 D. THE BUSINESS OFFERING AND JUSTIFICATION

This is a food service form of business. It is also a microenterprise and the

owners is under the general partnership form of business organization. Since we

are under micro enterprise type of business, capital invested by its owners will be

enough to operate the business. We’ll open for investors when our business

needs to undergo development and expansion to meet the demands of the

customers over the time.

This is projected annually (one year of business operation).

ROI= Net Income x 100%

Total Assets
= ₱ 535,840.00 x 100%
575,840.00

ROI = 93.05 %

For every one peso of the total asset invested, the business was able to generate

93.05 % net income or return.

ROE= Net Income x 100%

Equity
= ₱ 535,840.00 x 100%
575,840.00

ROE = 93.05%

For every one peso of capital invested, it generated 63. 51% net income.

Based on these financial ratios, the expected returns shows a positive feedback

about the business. (Note: Financial statements are found in the annexes.)

5
 CHAPTER II

II.EXECUTIVE SUMMARY

Name of the Business : FOOD SPOT

Name of the Product : FUN PIE

Location : MABINI COLLEGES, INC.

GOVERNOR PANOTES AVE.

DAET, CAMARINES NORTE

Proponents : APUYA, PATRICIJANE P.

IBASCO, JANINE O.

PICARANA, JEZHEL JADE L.

VISTA, KENNETH JOHN V.

Type of Organization ; GENERAL PARTNERSHIP

Total Project Cost : ₱80,000

Financing Sources : OWNER’S CONTRIBUTION

Return of Investments : 93.05%

Return on Sales : 34.35%

Return on Equity : 93.05 %

This summary contains information about the said enterprise. It also

includes the important details that serve as an overview to the enterprise. Food

Spot is a store in which you can buy excellent and quality food, it offers its main

treat or snack which is the fried bread or a pie that comes in four different flavors

6
or fillings (meat, chocolate, butter and cream, and cheesy egg.) The proponents

call this as “fun pie”. The owners agreed to produce an innovative kind of this

product. This is a food service form of business. It is also a microenterprise and

the owners is under the general partnership form of business organization.

The Proponents are Janine O.Ibasco as Manager, Jezhel Jade L.

Picarana as Finance Officer, Kenneth John E. Vista as Production Officer,

Patricia Jane P. Apuya as Sales Officer. The business source of capital came

from each of its owner’s funds and contributions to the enterprise. The enterprise

guarantees that it would comply with all the necessary measures with regards to

technology and equipment. The business will use the social media as a tool in

promoting the product as well in accepting orders and feedbacks from the

customers therefore ensuring the proper utilization of using the internet and

follows the ethical and moral behavior associated with it. They will use the both

the traditional way of selling and the means of social media. In addition, the

entrepreneurs will interact and communicate to their customers to be able to

know their comments and feedbacks with regards to the product and service.

The proponents will monitor the effectiveness of each of the strategies and plan

of the business. They’ll be engage with different task and activities involving with

the operation of the business.

The target customer of the enterprise are the students of Mabini Colleges.

The entrepreneurs believes that the students are capable and willing to purchase

the enterprise’s product since food is a primary need of human and with its

entertaining and attractive appearance customers will surely buy it. The business

7
was decided to be located near the school because it is believed that there is a

sufficient size or number of customers in the area since students need a food or

snack that can satisfy them and is design to suit their budget. The owners

created a product that is enjoyable, affordable and delectable to the target

specific segment of people. They consider the people’s preferences and

perspective to make this innovative product.

These are the risk that were about to face. One is the weather. Second is

the competition in the location we chose. Next is the supplies and raw materials

needed for production. These are the following requirements needed to be

accomplished. For Barangay Requirements, Barangay Permit, Barangay

Clearance, attend this particular seminar provided in the barangay, and Follow

the Barangay Ordinance 9003, which is the “Segregation of Waste Management.

For Municipal Requirements (Business Permit), Community Tax Certificate,

Barangay Business Clearance, Zoning/Locational Clearance, Annual Inspection

Clearance, Fire Safety Clearance, Sanitary Permit, Medical, Inspection of

Weights and Measure, Bureau of Food and Drug Permit, Registration/Xerox

Copy of Business Name (DTI) and Provincial Permit. Aside from these

requirements the business should follow and be responsible for the Rules and

Regulations of the Government in forming a business. Such as, register your

business, Comply requirements, the Employment laws, Tax laws, Healthcare act,

and Privacy Act.

8
 CHAPTER III

III. THE BUSINESS PROPONENTS

A. LIST OF OFFICERS

In this part, the designated proponents to their respective positions

in the enterprise.

NAME OF OFFICER POSITION

Janine O. Ibasco Manager

Jezhel Jade L. Picarana Finance Officer

Kenneth John E. Vista Production Officer

Patricia Jane B. Apuya Sales Officer

B. Job Description/Contribution in the Business

In this part, the proponents will perform and accomplish the

following Duties and Responsibilities for the management and business

operations.

POSITION DUTIES AND RESPONSIBILITIES

1. MANAGER  Responsible for planning,

directing and overseeing the
operations and fiscal health of a
business unit, division,
department, or an operating
unit within an organization.
 Responsible for overseeing and
leading the work of a group of
people in many instances.

9
  Responsible for the business
performance.
 Analyze and plan business
sales levels and profitability.
 Leading people is usually part
of the description of what a
manager does.
 Empower employees to take
responsibility for their jobs and
goals. Delegate
responsibility and expect
accountability and regular
feedback.
2. FINANCE OFFICER  Assisting in the preparation of
budgets.
 Managing records and receipts.
 Reconciling daily, monthly and
yearly transactions.
 Reconcile bank statements.
 Participate in financial audits.
 Track bank deposits and
payments.
 Review and implement financial
policies. Resolve financial
disputes raised by the customer
service and sales teams.
 Being a key point of contact for
other departments on financial
and accounting matters.

10
3. PRODUCTION OFFICER  Planning and organizing
production schedules.
 Assessing project and resource
requirements.
 Estimating, negotiating and
agreeing budgets and
timescales with customers and
managers.
 Ensuring that health and safety
regulations.
 Determining quality control
standards.
 Overseeing production
processes.
 Re-negotiating timescales or
schedules as necessary.
 Selecting, ordering and
purchasing materials.
 Organizing the repair and
routine maintenance of
production equipment.
4. SALES STAFF  Ensure high levels of customer
satisfaction through excellent
sales service.
 Assess customer needs and
provide assistance and
information on product features.
 Welcome customers to the
store and answer their queries.
 Follow and achieve
department’s sales goals on a
monthly, quarterly and yearly
basis.
 Actively seek out customers in
store.
 Remain knowledgeable on
products offered and discuss
available options.
 Handle returns of merchandise.

11
  Team up with co-workers to
ensure proper customer
service.
 Build productive trust
relationships with customers.
 Comply with inventory control
procedures.
 Suggest ways to improve sales
(e.g. planning marketing
activities, changing the store’s
design).

C. ORGANIZATIONAL STRUCTURE

In this part, you will be able to know the organizational structure of the enterprise.

Janine O. Ibasco

Manager

Jezhel Jade L. Picarana

Finance Officer

Kenneth John E. Vista

Production Officer

Patricia Jane B. Apuya

Sales Officer

Figure 1: Organizational Structure of Food Spot

12
 D. THE BUSINESS PROPONENTS OR STAKEHOLDERS

RESOURCE MOBILIZERS AND FINANCIAL BACKERS

The business is in the general partnership form of business and theb

source of capital came from each of its owner’s funds and contributions to the

enterprise.

TECHNOLOGY PROVIDERS AND APPLICATORS

The enterprise guarantees that it would comply with all the necessary

measures with regards to technology and equipment. The business will use the

social media as a tool in promoting the product as well in accepting orders and

feedbacks from the customers therefore ensuring the proper utilization of using

the internet and follows the ethical and moral behavior associated with it.

GOVERNANCE AND TOP MANAGEMENT

The Food Spot will offer quality products that will satisfy the customers

with their every bite. The business will employ various strategies to attract the

customers. They will use the both the traditional way of selling and the means of

social media. In addition, the entrepreneurs will interact and communicate to their

customers to be able to know their comments and feedbacks with regards to the

product and service. Once the business will have its success, the proponents will

plan the details for expansion and development.

13
OPERATING AND SUPPORT TEAM

The proponents will monitor the effectiveness of each of the strategies and

plan of the business. They’ll be engage with different task and activities involving

with the operation of the business. They will create and develop new innovative

ways to communicate the business message to their existing customers.

14
 CHAPTER IV

IV. TARGET CUSTOMERS AND MAIN VALUE PROPOSITION TO THE

CUSTOMERS

A. THE TARGET CUSTOMERS

The target customer of the enterprise are the students of Mabini Colleges.

The entrepreneurs believes that the students are capable and willing to purchase

the enterprise’s product since food is a primary need of human and with its

entertaining and attractive appearance customers will surely buy it. The business

was decided to be located near the school because it is believed that there is a

sufficient size or number of customers in the area since students need a food or

snack that can satisfy them and is design to suit their budget. The product have

different fillings or flavors that will match to the student’s preferences and diverse

personalities. In addition, students from this school shows interest with regards to

the product. In accordance with this, the target customer which is the students of

Mabini Colleges Main Campus will be in the age of 17 to 32 and both male or

female (no matter what gender). The students need and want a snack that is

new, affordable, and delicious and is suitable with their interest and personality.

15
 B. MAIN VALUE PROPOSITION

The Food Spot is a stall that is created to offer a best quality of a treat or

snack. Since people loves to eat the entrepreneurs establish a business that

offers product that will satisfy their cravings in a convenient, enjoyable and

affordable way. The Food Spot offers its main treat or snack which is the fun pie

that comes in four different flavors or fillings, the entrepreneurs introduce the

product with a twist, fun and the quality of taste on it that will that will attract the

customers.

The owners created a product that is enjoyable, affordable and delectable

to the target specific segment of people. They consider the people’s preferences

and perspective to make this innovative product. It is enjoyable because of the

fun added on it through the flavors that will make the customers interested with it.

It is affordable because we offer it and priced it appropriately, they bring the

product with finest taste with affordable that is made all for you. It is delectable

because the above all else the owners main objective is to satisfy the needs and

wants of the customers, hence, they made a product that aside from being

affordable and enjoyable its quality of taste that can satisfy the heart, mind and

soul with every bite.

16
 CHAPTER V

V. MARKET ANALYSIS

A. DEMAND

The demand for food is certain and definite therefore will continuously

increase throughout the years. It is a necessity and a basic need so product must

satisfy the customers. For a product to have a continuous trend and demand, it

must capture the customer’s preferences, wants and needs. In relation to our

product, fun pie will surely captivates the student’s taste and heart with its

competitiveness and affordable characteristics. As to its different flavors and

fillings, it will serve each of the student’s preferences or likes. The product will

continuously have its demand over the time through the aide of social media and

also with its taste and quality. The customer will surely be captivated with our

product offering. One of the factors that will dictate its demand opportunities is

the best quality product and service.

The following is the result of the survey: (1) the target customers of the

study will range from 17 to 32 years old. In accordance to with this, the one with

the highest frequency is 18 years old having 45.88 % of the sample size. (2)

Female customers are most likely to buy the product having 63.46 % of the

sample size. (3) Many of the target customers are satisfied with the existing

products but they show interest in trying or purchasing new products especially

that it is a food product. (4) 96.98% of the sample size would willingly come to

17
our business and shows interest with regards to our product. This shows that

there is a high demand with the type our product.

(5) It was found out that 94.23% are willing and eager to buy our product

offering. (6) It was found out most of the customers would buy 1-4 pieces of our

product. Next to this, 14.28% of our sample size would purchase 5-8 pieces of

fun pie. In connection with the question number 4, the customers would likely to

purchase weekly having 48.63% of the sample size. (7) Next to this is customers

are willing to purchase daily having 26.37%. (8) The table shows that the

customer suggested price range from Php 10. 00 to Php 15.00.

B. SUPPLY

As the product will continuously have its demand, the proponents will

safeguard that there will be enough and sufficient supply to meet the daily

demands of customers.

The target population would be the students of Mabini Colleges. There will

be 697 Grade 12 Senior High School Students and 3 340 College students. The

sample size would be 364.

Percentage of Respondents: SLOVIN FORMULA

N – 3 340 + 697 = 4037 (Population Size)

(e) – 95% (0.05)

n – Sample Size

18
Formula:

𝑁
n=
[ 1+𝑁 (𝑒 𝑧 )]

4037
=
[ 1+4037 (0.052 )]

n = 364

The sample size would be 364 from Grade 12 Senior High School and College

students.

19
 C. INDUSTRY DYNAMICS

This include the competing enterprises, their comparative advantage and

disadvantages and their business model and strategies. Also, this includes the

business supplier and channel of distribution.

COMPETING ENTERPRISES AND THEIR MARKET SEGMENT

There are competitors found in the local (1) the one that sells empanada in

the canteen and along the Mabini Colleges New Building which is slightly similar

with one of our product (2) other stalls and stores that sells snacks (fish balls,

siomai, kerito, etc.) Furthermore, food spot will offer product which is the fun pie

that is distinct with other products. These competing enterprises has their own

advantages and disadvantages. The competitors mostly serve their products to

the students of Mabini Colleges, both High School and College.

COMPARATIVE ADVANTAGES AND DISSADVANTAGES AND BUSINESS

MODEL AND STRATEGIES

The competitors with the products same as ours generate income through

offering and selling. The place where they sell their product is one of their

advantage. They also improve the taste and stuffing inside the empanada.

The advantage of competitors around Mabini Colleges is the place they have

acquired to put up their business. Since some of them placed their business in

front of the said location, it could benefit them in many ways. It helps them to

increase their revenue and attract great number of customers. Also, they've been

20
running their business for a long time and it happens that they already have the

hearts of their customers. Also, their product is their main thing, that is the reason

why customers keep coming back to buy theirs. When it comes to price, it is

affordable and it really suits to the product they are offering. The only

disadvantage that can be seen is some them had been stuck to their products.

There have no trace of innovation or upgrade that can be seen.

Most of competitors generates income through selling and offering of their

product. Many of the rivals created a bundle or a promo. For instance, a fries with

juice place in a cup roughly cost 25-30 pesos and there are many choices can be

found. They put hotdog, cheese sticks and any other finger foods. It became

effective and it attracted many customers in the said location. Another stall sells

siomai. In 20 pesos, you can already have 4 (four) pieces of siomais with drinks

thus attracting more customers. Moreover, the proponents observed that they

already know their customers thus creating relationship with them.

SUPPLIERS IN THE INDUSTRY

Since the business is categorized as a microenterprise, supplies can be found

at local market and groceries. The suppliers are the one who's handling the

materials needed to produce and they have control over it. They are capable of

controlling the stocks and/or supplies needed for the business. Also, they can

control the price and quality of raw materials they are selling for sure buyers. The

proponents will then choose who the best and trustworthy supplier in the

industry.

21
CHANNEL OF DISTRIBUTION

The distribution of products will be direct which is from the business itself and

will be sold at the possible consumer/customers. In this way, it will lessen the

cost since it will be given directly to the customers. Another is the owner can

have personal interaction with his/her customers and can address the needs or

hear the feedbacks of the customers for improvements or suggestion in products

and/or services that the business are offering. The business will also use social

media but they are the ones who will deliver the product to them. The marketing

model being used is B2C (Business to Customers).

Business Customers

Figure 2: Marketing Model or Distribution Model

22
 D. MACRO ENVIRONMENTAL FACTORS

This includes the social, political, economic, ecological and technological

(SPEET).

SOCIAL ENVIRONMENT

Due to the increasing population of the students of Mabini colleges, more people

are expected to purchase the product.

POLITICAL ENVIRONMENT

It refers to the governance system of the country or the local area of the

business. In this category, being a microenterprise the business will be exempted

or will pay less when it comes to tax. The processing and validation of paper will

be less costly and not complicated. Also, the business will assure to follow all the

rules and regulations of the country and the locality. In addition, the

implementation of train law will affect the business. Sugar and sugar-infused raw

materials are affected due to price increased. It can affect the price of

goods/products of the said business.

ECONOMIC ENVIRONMENT

There will be an increase in inflation rate in the Philippines as of 2018. The price

of raw materials will increase and it will directly affects the production cost and

pricing of the products.

23
ECOLOGICAL ENVIRONMENT

In ecological matter, pursuing a green business as possible to avoid undue non

bio-degradable waste. Eco friendly materials and packaging is much better

because of its less harmful effects on the environment but these

cutlery/packaging is expected to be a little more expensive than plastic cups and

Styrofoam.

TECHNOLOGICAL ENVIRONMENT

Due to technological advancement, the production will be easier and faster and

we can accommodate more customers. The technology advancement in

equipment for better production and providing a better service but it is expected

to be expensive. Improving the better way of communication by using social

media are faster and inexpensive way of product advertising.

24
 CHAPTER VI

THE PRODUCTIVE/SERVICE OFFERINGS

A. Product Description/Importance
Have you ever buy food in a food stall? Nowadays, we can see that more

people or customers prefer buying foods in food stalls because it is convenient

and affordable. So, the entrepreneurs came up to make a food stall with best

quality of taste that will make the customers happy and contented.

The Food Spot is a stall that created to offer a best quality of a treat or

snack called “Fun Pie”. What’s new in our product? Our product are made of four

different flavors or fillings that will surely satisfy you. You know what is fun and

enjoyable about it? It has a different shape that will make customers interested

on it. The typical pie has one flavor but in our product you will taste the best four

flavors in your entire life, the four different flavors are based on customer’s

preferences, needs and wants that will surely make your tummy happy.

The Fun Pie is made of fried bread or a pie that have four different flavors

(meat, chocolate, butter and cream, and cheesy egg.) The flavors was inspired

with the different delicacies like empanada, donut and etc. but the entrepreneurs

made it innovative that surely love by the customers, they made it with a twist but

what important is, it is healthy and will satisfy the needs. The first flavor

“funpanada pie” is introduced for the people who love eating meat but with the

twist inside. Second, the “fun choco pie” is for the customers who love sweets but

in a healthy and enjoyable way. Third, the butter and cream “fun butter pie” was

25
made for the people who loves the taste of butter and cream in different way.

Lastly, the cheesy egg “fun cheesy egg pie” to customers who love cheese and

egg in new way of taste in one.

Aside from being enjoyable and delectable, it is affordable for the

customers specifically the target customers which are the student of Mabini

Colleges will be able to buy and taste this one of a kind product, this product was

especially made for them in a affordable and convenient way.

B. Distribution Channel

BUSINESS

Social Media Customer

Customer

Figure 3: Distribution Model

26
Producer/Manufacturer Customers (Direct Selling)

We will sell our products through direct selling since we decided to put a stall for

our business. It is the common way of selling and it is also a way for us to ask for

customer’s opinion or feedback about the product we are about to offer.

Producer/Manufacturer Social Media Customer

Another way of selling and promoting our products is through the use of social

media. Due to technological advancement, it became easier for people to

communicate to each other. We can use the social media as the medium. It also

use by thousands of sellers online and it is proven effective and efficient. It also

consume less time since you are just going to took a photo of your own product

and just post it online with description in it. This method will be used only for bulk

orders. We can maximize our time since the order will be made one day before

delivery.

27
 CHAPTER VII

THE FINANCIAL FORECAST AND EXPECTED RETURNS, RISKS AND

CONTINGENCIES
A. FINANCIAL RATIOS

RETURN ON SALES
ROS= Net Income x 100%
Sales
= ₱ 535,840.00 x 100%
1,560,000.00

ROS=34.35 %

The ROS is the percentage of returns from Sales in relation to the net at the

particular period of time. The Business Food Spot has a 34.35% return on sales

from the net income. For every one peso sales there is 34.35% return on net

income.

RETURN ON INVESTMENTS

ROI= Net Income x 100%

Total Assets
= ₱ 535,840.00 x 100%
575,840.00

ROI = 93.05 %

The ROI is the percentage of returns from the initial investment of assets in

relation to the sales obtains at a particular period of time. The Business Food

Spot has 93.05% sales or return on the investment of assets. In which a stable

ratio of returns is obtain from investment by the proponents. For every one peso

28
of the total asset investment, the investment was able to generate 93.05% net

income or return.

RETURN ON EQUITY

ROE= Net Income x 100%

Equity
= ₱ 535,840.00 x 100%
575,840.00

ROE = 93.05%

The ROE is a profitability ratio to measure the ability of the Business to generate

profit from the investments of the company. The Business Food Spot has 93.05%

return ratio on the initial capital investment of each proponent. For every one

peso of capital invested, it generated 93.05 % net income

B. BUSINESS FINANCE AND RISKS

Starting a business in a stall form is one of the best ways to start your own.

You only need to look for a place to put up your business, prepare a business

permit and present your very own product to the public. But it does not end in

here; there are many uncertainties the business have to face. Since we chose to

establish a stall, there some circumstances we need to face while managing our

business. One of the risk that we are about to encounter is the weather. We all

know that food stalls are made of light materials. It is vulnerable to storm or

strong gust of winds and it can cause a delay in daily operation. Another is the

competition in the location we chose. There are already stalls, cart and even a

29
restaurant near the said location. Since we are new to the public, the chances of

us to win streak in the competition are low in the first few months of our

operation. Another problem is the supplies and raw materials needed for

production. Due to inflation rate, prices of raw materials are likely to increase and

it can affect not only our production but also the prices of our product which can

lead us to suffer a financial loss. When it comes to taxation, as of 2018, Pres.

Duterte implemented the TRAIN law and it has a great impact in every individual.

It also affects our products because most of ingredients needed for production

are sugar and sugar-infused products. It will directly affect the pricing of our

product and it will likely to increase enough to have reasonable returns.

30
 CHAPTER VIII

ENVIRONMENTAL AND REGULATORY COMPLIANCE

Before we officially start our business, we need to comply and accomplish

this particular requirements to make our business legal. Since our target place is

in Mabini Colleges that is located in Barangay 7, Daet, Camarines Norte, These

are the following requirements needed:

For Barangay Requirements:

 Barangay Permit

 Barangay Clearance

 Attend this particular seminar provided in the barangay

 Follow the Barangay Ordinance 9003, which is the “Segregation of Waste

Management.

For Municipal Requirements: (Business Permit)

 Community Tax Certificate

 Barangay Business Clearance

 Zoning/Locational Clearance

 Annual Inspection Clearance

 Fire Safety Clearance

 Sanitary Permit

 Medical

 Inspection of Weights and Measure

31
  Bureau of Food and Drug Permit

 Registration/Xerox Copy of Business Name (DTI)

 Provincial Permit

Aside from these requirements the business should follow and be responsible for

the Rules and Regulations of the Government in forming a business. These are

the Rules and Regulations:

 First, to legally start a business you need to register your business.

 Comply requirements needed with certain Business License (Business

Permit).

 You should know the Employment Laws such as the Labor Code of the

Philippines and other labor laws.

 Obtain the Tax Laws like the National Tax Law and the taxes you have to

pay.

 Healthcare Act

 Privacy Act

32
ANNEXES

33
 ANNEX A

SUMMARY OF THE SURVEY RESULT

AGE FREQUENCY PERCENTAGE

DISTRIBUTION
17 47 12.91%
18 167 45.88%
19 50 13.74%
20 49 13. 46%
21 16 4.39%
22 16 4.39%
23 5 1.37%
24 4 1.09%
25 1 0.27%
26 3 0.82%
27 2 0.55%
28 1 0.27%
30 2 0.55%
31 1 0.27%
32 4 1.09%
TOTAL n= 364 100%
Table 1: Age of the Respondents

As shown from the data above, the target customers of the study will range from

17 to 32 years old. In accordance to with this, the one with the highest frequency

is 18 years old having 45.88 % of the sample size.

GENDER FREQUENCY PERCENTAGE

DISTRIBUTION
FEMALE 231 63.46%
MALE 133 36.54%
TOTAL 364 100 %

Table 2: Gender of the Respondents

34
As stated from the result above, female customers are most likely to buy the

product having 63.46 % of the sample size.

STUDENTS FREQUENCY PERCENTAGE

DISTRIBUTION
SENIOR HIGH 190 52.20%
COLLEGE 174 47. 80%
TOTAL 364 100 %

Table 3: Educational Level

ARE YOU SATISFIED FREQUENCY PERCENTAGE

WITH THE EXISTING DISTRIBUTION
PRODUCTS?

YES 287 78.85%

NO 77 21.15%
TOTAL 364 100%

Table 4: Question Number 1

Many of the target customers are satisfied with the existing products but they

show interest in trying or purchasing new products especially that it is a food

product.

IF WE ARE GOING TO FREQUENCY PERCENTAGE

ESTABLISH A FOOD DISTRIBUTION
STALL, WOULD YOU
COME?
YES 353 96.98%

NO 11 3.02%

35
 TOTAL n= 364 100%

Table 5: Question Number 2

96.98% of the sample size would be willingly come to our business and shows

interest with regards to our product. This shows that there a demand with the

type our product.

IF WE ARE GOING
TO OFFER A PIE, FREQUENCY PERCENTAGE
WOULD YOU DISTRIBUTION
BUY?
YES 343 94.23%

NO 21 5.77%

TOTAL 364 100%

Table 6: Question Number 3

It was found out that 94.23% are willing to buy our product offering.

HOW MANY FREQUENCY PERCENTAGE

WOULD YOU DISTRIBUTION
BUY?
1-4 286 78.57%

5-8 52 14.28%
9-Above 5 1.37%

Table 7: Question Number 4

It was found out most of the customers would buy 1-4 pieces of our product. Next

to this, 14.28% of our sample size would purchase 5-8 pieces of fun pie.

36
 HOW
FREQUENTLY FREQUENCY PERCENTAGE
WOULD YOU DISTRIBUTION
BUY?
DAILY 96 26.37%

WEEKLY 177 48.63%

MONTHLY 70 19.23%

Table 8: Question Number 5

In connection with the question number 4, the customers would likely to purchase

weekly having 48.63% of the sample size. Next to this is customers are willing to

purchase daily having 26.37%.

SUGGESTED FREQUENCY PERCENTAGE

PRICE DISTRIBUTION
5 11 3.02%

6 3 0.82%
10 177 48.63%
12 5 1.37%
15 141 38.74%
20 13 3.57%
25 9 2.47%
30 3 0.82%
60 1 0.27%
80 1 0.27%
Table 9: Price Suggestion

The table shows that the customer suggested price range from Php 10. 00 to
Php 15.00.

What other or additional products would you want?

Drinks Lumpia

Pineapple Pie Squash Pie

37
Fries Hotdog

Carbonara Nutritious Product

Milk Tea Polvoron with a twist

Burger Paho at Balaw

Shake/Frappes Malunggay Pie

Korean Foods Samyang

Pizza Street Foods

Puto Pie Nachos

38
 ANNEX B

LIST OF POPULATION

MABINI COLLEGES STUDENTS

Grade 12 Senior High School Students 697

College Students 3 340

TOTAL 4 037

39
 ANNEX C

FINANCIAL STATEMENTS OF FOOD SPOT

FOOD SPOT
Statement of Comprehensive Income
For the year ended December 31, 2019
Sales ₱ 1,560,000.00
Cost of Goods Sold 717,600.00
Gross Profit 842,400.00
Operating Expenses 306,560.00
General and Admin Expenses 200,000.00
Selling Expenses 99,360.00
Other Operating Expenses 7,200.00
NET INCOME ₱ 535,840.00

FOOD SPOT
Statement of Financial Position
As of December 31, 2019
ASSETS

Current Assets
Cash ₱ 315,840.00
Inventory 120,000.00

Noncurrent Assets
Property, Plant and Equipment 100,000.00

TOTAL ASSETS ₱ 575,840.00

LIABILITIES -

EQUITY 535,840.00
TOTAL LIABILITIES AND EQUITY ₱ 575,840.00
40
 FOOD SPOT

Statement of Cash Flows

For the year ended December 31, 2019

Cah Flow during Operating Activities

Cash ₱1,560,000. 00

Cash paid to Supplies and Employees 816,960.00

Cash Paid to Utilities 7,200.00

Cash paid to Administrative expense 200,000.00

Net Cash Flow from Operating Activities 1,024,160.00

Cash Flow during Investing Activities

PPE 100,000.00

Net Cash Flow from Investing Activities 100,000.00

Cash Flow during Financing Activities

Initial Investment 80,000.00

Owners Drawings 40,000.00

Net Cash flow from Financing Activities 120,000.00

Cash and Cash Equivalents during Dec. 31 ₱ 315,840.00

41
 ANNEX D

SAMPLE LETTERS
Mabini Colleges
Gov. Panotes Ave.,Daet
Camarines Norte

February 19, 2018

Sir/Madam:

Good day!

We are the Senior High School ABM Students here in Mabini Colleges
requesting for the total list of population of College Students and Grade 12
Senior High School Students of Mabini Colleges in compliance with our subject in
Entrepreneurship. Your approval will be a great help to us. Thank you for your
time and consideration.

Sincerely Yours,

Apuya, Patricia Jean P.

Bardon, Rhezel S.
Casiano, Arsheil Jane B.
Ibasco, Janine O.
Moya, Jesa Mae Y.
Obusan, Franchesca Marie R.
Picarana, Jezhel Jade L.
Vista, Kenneth John E.

42
Mabini Colleges
Gov. Panotes Ave.,Daet
Camarines Norte

March 7, 2018

Sir/Madam:

Good day!

We are the Senior High School ABM Students here in Mabini Colleges
requesting for these needed information in compliance for our subject in
Entrepreneurship. We would like to ask for the following:

1. Environmental and regulatory compliance in establishing a business.

2. The necessary permits and licenses in establishing a business.
3. The laws, rules and regulations governing the business.
4. The barangay ethics/government ordinances that the business should
follow.

Your approval will be a great help to us. Thank you for your time and
consideration.

Sincerely Yours,

Apuya, Patricia Jean P.

Bardon, Rhezel S.
Casiano, Arsheil Jane B.
Ibasco, Janine O.
Moya, Jesa Mae Y.
Obusan, Franchesca Marie R.
Picarana, Jezhel Jade L.
Vista, Kenneth John
43
DOCUMENTATION

44
45
 CURRICULUM VITAE

Name : Janine O. Ibasco

Address : Purok 2 Brgy. Cobangbang
Daet, Camarines Norte
Age : 18 years old
Date of Birth : August 4, 1999
Place of Birth : Cobangbang, Daet, Camarines
Norte
Civil Status : Single
Religion : Roman Catholic
Citizenship : Filipino
Parents : Nena Orjeta
Jaime G. Ibasco

EDUCATIONAL ATTAINMENT

Elementary : Cobangbang Elementary School

Daet, Camarines Norte

Secondary : Junior High School

Camarines Norte State College Abaῆo Campus

Daet, Camarines Norte

Senior High School

Mabini Colleges Inc.

Daet, Camarines Norte

Organization : Accounting Club

Grade 12 Over All- Sgt. At Arms

46
 CURRICULUM VITAE

Name : Patricia Jean P. Apuya

Address : Purok 7Brgy.VII Lukban Subd.
Daet, Camarines Norte
Age : 18 years old
Date of Birth : February 16, 2000
Place of Birth , Lukban Subd Daet, Camarines
Norte
Civil Status : Single
Religion : Roman Catholic
Citizenship : Filipino
Parents : Romila P. Apuya
Rodolfo A. Apuya

EDUCATIONAL ATTAINMENT

Elementary : T.S Cruz Elementary School

Almanza II Las Pinas

Secondary : Junior High School

Moreno Integrated School

Daet, Camarines Norte

Senior High School

Mabini Colleges Inc.

Daet, Camarines Norte

Organization : N/A

47
 CURRICULUM VITAE

Name : Rhezel Ann S. Bardon

Address : Napilihan, Vinzons,
Camarines Norte
Age : 18 years old
Date of Birth : December 12, 1999
Place of Birth , Manila, Philippines
Civil Status : Single
Religion : Roman Catholic
Citizenship : Filipino
Parents : Giselle S. Bardoon
Renato A. Bardon

EDUCATIONAL ATTAINMENT

Elementary : Fr. Simpliciano Academy

Paranaque City, Philippines

Secondary : Junior High School

St. John the Apostle Academy

Labo, Camarines Norte

Senior High School

Mabini Colleges Inc.

Daet, Camarines Norte

Organization : N/A

48
 CURRICULUM VITAE

Name : Arsheil Jane B. Casiano

Address : Purok 3, Brgy.Magang ,
Daet, Camarines Norte
Age : 18 years old
Date of Birth : June 25, 1999
Place of Birth , Daet, Camarines Norte
Civil Status : Single
Religion : Roman Catholic
Citizenship : Filipino
Parents : Jecila B. Casiano
Armando S. Casiano

EDUCATIONAL ATTAINMENT

Elementary : Cobangbang Elementary School

Daet Camarines Norte

Secondary : Junior High School

Moreno Integrated School

Daet, Camarines Norte

Senior High School

Mabini Colleges Inc.

Daet, Camarines Norte

49
Organization : N/A

CURRICULUM VITAE

Name : Jesa Mae Y. Moya

Address : Purok 2 Brgy. Labnig, Paracale
Camarines Norte
Age : 17 years old
Date of Birth : March 02, 2000
Place of Birth , Brgy. Manlucugan, Vinzons,
Camarines Norte
Civil Status : Single
Religion : Roman Catholic
Citizenship : Filipino
Parents : Salve Yebra Moya
Jose Vasquez Moya

EDUCATIONAL ATTAINMENT

Elementary : S. Basilio Elementary School

Tabas, Paracale Camarines Norte

Secondary : Junior High School

Tabas, National High School

Tabas, Paracale, Camarines Norte

Senior High School

Mabini Colleges Inc.

Daet, Camarines Norte

50
Organization : N/A

CURRICULUM VITAE

Name : Franchesca Marie R. Obusan

Address : 2052 P. Guyabano, Brgy.
Gubat
Daet Camarines Norte
Age : 18 years old
Date of Birth : October 14, 1999
Place of Birth , Daet, Camarines Norte
Civil Status : Single
Religion : Roman Catholic
Citizenship : Filipino
Parents : Maribeth R. Obusan
Francis A. Obusan

EDUCATIONAL ATTAINMENT

Elementary : Daet Elementary School

Daet Camarines Norte

Secondary : Junior High School

Mabini Colleges Inc.

Daet, Camarines Norte

Senior High School

Mabini Colleges Inc.

Daet, Camarines Norte

51
Organization : N/A

CURRICULUM VITAE

Name : Jezhel Jade L. Picarana

Address : Sto.Nino Village Purok 5
Brgy. Magang, Daet,
Camarines Norte
Age : 18 years old
Date of Birth : October 06, 1999
Place of Birth , Capalonga, Camarines Norte
Civil Status : Single
Religion : Roman Catholic
Citizenship : Filipino
Parents : Nancy Lara Picarana
Rafael Cereno Picarana

EDUCATIONAL ATTAINMENT

Elementary : Daet Elementary School

Daet Camarines Norte

Secondary : Junior High School

Mabini Colleges Inc.

Daet, Camarines Norte

Senior High School

Mabini Colleges Inc.

Daet, Camarines Norte

52
Organization : N/A

CURRICULUM VITAE

Name : Kenneth John E. Vista

Address : Purok 1, Panol Drive
Camambugan, Daet, Cam.
Norte
Age : 18 years old
Date of Birth : January 9, 2000
Place of Birth : Daet, Camarines Norte
Civil Status : Single
Religion : Roman Catholic
Citizenship : Filipino
Parents : William Salve A. Vista
Nelina E. Vista

EDUCATIONAL ATTAINMENT

Elementary : Cordon South Central School

Cordon, Isabela

Secondary : Junior High School

Mabini Colleges

Daet, Camarines Norte

Senior High School

Mabini Colleges Inc.

Daet, Camarines Norte

Organization : N/A

53