CATERING SERVICES

A Feasibility Study
Presented to
Prof. Teresa Alejandro
Graduate School
University of Rizal System
Morong, Rizal

In Partial Fulfilment of
the Requirements for the Subject
Entrepreneurial Management Planning and Control

GRACE MARY M. JAO

March 2020
 ACKNOWLEDGMENT

The proponent would like to express her gratitude to the following people

who helped her a lot in doing this project proposal:

Prof. Teresa Alejandro, Entrepreneurial Management Planning and

Control who taught her on how to do the project proposal and shared her

knowledge about it;

Family and friends who gave their full support and serves as her

inspiration.

And to our Almighty God, who gave them strength and intelligence in

doing this project proposal.

 DEDICATION

First and foremost, I would like to thank and give praise to our

Almighty God, who is always there to guide me.

To my parents, for their love and support. Thank you for

giving me strength to reach for the stars as i chase my dreams.

To my professor, i express my heartfelt gratefulness for

her guidance and support that i believe I’ve learned from the best.

To all my friends, thank you for all your understanding and

encouragement. Our friendship makes my lives a wonderful experience. I cannot
list all the names here, but you are always on my mind.

This feasibility is only a beginning of my journey.

 TABLE OF CONTENTS

Chapter 1: Project Background and History

Introduction 1

Project Proponent 1

Name of the Project 2

Logo of the Project 2

Vision and Mission 3

Aims and Objectives 3

Type of Business Organization 3

Location of the Project 3

Problems that may encounter 4

Objectives of the Project 4

Purposes of the Establishment 4

Objectives of the Subject 4

Chapter 2: Management and Personnel Feasibility

Duties and Functions of Personnel 5

Organizational Structure 6

Management Proposal 7

Production Schedule 7
Chapter 3: Marketing Feasibility

Demand 8

Supply 9

Demand and Supply Analysis 10

Propose Marketing Program 10

Price 11

Target Market 12

Marketing Program/Strategies 12

Promotion 14

Chapter 4: Production Feasibility

The Service 16

Services Offered 16

Duration of the work per service 17

Detailed Engineering 18

Machineries and Equipment Requirement 19

Manpower Requirement 21

Waste and Disposal Method 21

Chapter 5: Financial Stability

Financiers 23

Major Assumptions Used 24

Income Statement for 1 year 25

 Balance Sheet 26

Cash Flow 27

Net Present Value 28

Chapter 6: Socio-Economic Feasibility

Legal Forms of Business 31

Legal Aspect 31

Chapter 7: Project Implementation and Timetable

Gantt Chart of Activities 33

Chapter 8: The Executive Summary

Conclusion to Feasibility 34-35

 CHAPTER 1
PROJECT BACKGROUND AND HISTORY

Introduction

Catering is the business of providing food service at a remote site or a site

such as a hotel, park, filming site or studio or event venue.

Catering Services caters wedding, debut, children’s party, corporate

event, private party, and other more. Consider the food to be the star of a of all

occasion. Not the event itself the invitees are looking for, but the food that they

going to taste. A food mouthwatering was the judgement how an event does.

The caterers ensure that their menu complements the theme, age, budget

and weather. That is why every catering services provide different packages to

wedding, debut, children’s party, corporate event, private party, and other more.

Choosing the a catering services keenly can save your time, money and

worry; and make your event unforgettable.

Catering Service History

There have been records of major catering services in the United States

as far back as 1778 when a ball in Phidelphia was created by Ceasar Cranshell

in celebration of the departure of British General William Howe.

Catering businesses took hold in Philadelphia around 1820. Most of these

businesse were founded mainly by African-Americans and became a profitable

and respectable business. Robert Bogle is recognized as the “originator of

catering” and under him, the industry began to professionalize.

The word “caterer” became commonly used in the 1880s as local

directories began listing numerous caterers. By creating simpler menus, the

Soviet Union began holding state public catering establishments in the 1930s.

Catering became the norm when a rationing system was implemented during

World War 2.

Many businessmen turned to catering after the Second World War as a

way of staying in business in a war-tor country and by the 1960s, eating in public

catering establishments overtook eating food made at home.

Project Proponent

The individual who proposed this project is Grace Mary M. Jao. She is

currently studying MAT-TLE a student who have a background knowledge in

operating this kind of business since they are in line with technology and

entrepreneurship.

Name of the Project

 Corps d’Elite Catering Services is the proposed name of the business.

Clients first impressed on the name of a business. Since every client were

looking for services to make their event faultless. Elite means superior in terms of

ability or qualities to the rest of the group. We aim to be superior at all event.

Corps d’Elite is a group of the best people.

Logo of the Project

Vision

To become acceptable catering services known for its safe working

environment, mouthwatering foods and services; and leader in innovations and

excellent service.

Mission

To rise our catering services to entire Rizal Province and nearby provinces

and cities through excellent services, exceptional concepts and products, and

with accepted standard.

Aims and Objectives

To surpass client’s expectations.

Continuously ensure the food safety standard.

To feel the clients to be important at all times.

Make their event most special through our excellent services.

Give our clients a exceptional concepts and products.

Type of Business Organization

 The proposed project of the proponents is a partnership type of business

organization.

Location of the Project

Corps d’ Elite is a Catering Services offers excellent quality service to all

times of occasions or events. The proposed business is located in Brgy. San

Jose Antipolo City.

Problems that may Encounter

The establishment is bound to face the following problems:

 Handling Inaccurate guest counts

 Food wasting
 Customers demand
 Lack of staff training

Purposes of the Establishment

All entrepreneurs point out what make them to embark on business which
includes:

 To provide opportunities unemployed and freelancing

 To improve the standard of living
 To be self-employed
 To create a learning and training environment for those will to
acquire such skills
 To provide goods and services to the masses
Objectives of the Project

After 10 years in managing a catering servoces, it will be able to:

 Expand different branches in different towns and cities.

 Have a higher customer’s satisfaction.

 Increase in net income.

CHAPTER 2
MANAGEMENT AND PERSONNEL FEASIBILITY

The proposed project of the proponents is a partnership type of business

organization. It will be an association consist of manager and the financer who

finance the total financial needs of the catering services.

The catering services will be well organized accordance to the vision,

mission, purpose and goal of the management organization. The policies, rules

and regulations are implemented to make sure the smooth flow of the operations.

Salaries will be given based on the set of specific duties and responsibilities they

have been accomplished in a certain period of time. The business will take good

care of its employees given them certain privileges pertaining to their security

and personal needs as respected workers of the business.

The proponents will act as the managers who are in-charge in managing

the business and able to lead staff and clients alike, while conducting business in

a professional manner. To make a successful event must be able to make timely,

ethical decisions, and must avoid those situations that cause a business to fail.
Duties and Functions of Personnel

For this kind of business, the employees will be a very big factor for the

success of this business. Comshop.net will need the following for easy and fast

service:

WORK
TYPE OF WORKER NUMBER QUALIFICATION
SPECIFICATION
Ensures the staff and
 Bachelor’s Degree in
cooking staff complete
business-related field.
tasks in a timely
 Strong leadership skills
manner.
and ability to perform a
Operational Handles any problems
1 wide range duties.
Manager arise during event and
 Event Management NC
ensures the food
II or III holder
resupplied in buffet
 Commercial Cooking
lines and cocktail
NC VI holder
trays
Chef 1 Excellent cooking,  Formally trained at
baking and food cooking or culinary
presentation skills. schools.
Well organized in  Commercial Cooking
planning the menu. NC IV competent is
Ensure the cost of the required.
food stays within
prescribed budget
guidelines
Preparing quality food
and presenting it in an
attractive manner.
 Follow safe food
storage and handling
guidelines.
Recipes must be
standardized and
accurate to guarantee
conformity for each
client.
Resourceful and
creative to effectively
handle problems
related to food
shortages, food
preparation mistakes
and extra guests.
Getting any utensils,
condiments, or other  At least 18 years of age.
items invitees need.  Senior High School with
Food Servers 3 Clearing and cleaning TVL track
tables.  Approachable and have
Preparing dining good manners.
areas
Responsible for
ensuring the
cleanliness and  High School Diploma or
sanitation of dishes, equivalent.
Dishwasher 1 tableware, glassware,  Need strong
pots, pans, and prioritization and
utensils. organizational skills.
Keep the dishwashing
area clean and safe.
Busser 1 Help the food servers.  High School Diploma or
 Clean tables \, taking
plates utensils and
drinkware to be equivalent.
washed.  Need strong
Make sure water prioritization and
glasses are full and organizational skills.
reset tables for the
next attendees.

Organizational Structure

This organizational structure shows the flow of relationship between the

employees under the business management. This business entity consist of the

organizational structure, goals and objectives, mission and vision, rules and

regulations and participation of the members for the annual success of the

business. In an organizational decision making, there shall be such changes

occurs for the development of the later administration of new business partner.

ORGANIZATIONAL STRUCTURE
Corps d’ Elite

OWNERS/MANAGERS

Chef

Servers

MANAGEMENT PROPOSAL POLICY

Busser
  Proper client etiquette, includes greeting guest in a polite and friendly

manner.

 Other policies relate to offering to help guests and customers when

necessary.

 Personnel may require uniforms for just specific positions and keep

uniforms clean and neat at all times.

 Personnel expect to arrive to work on time, clean and groomed (required

to cover tattoos if necessary).

 Appearance include limiting the use of heavy colognes and perfumes and

keeping hair tied back or netted to meet health department regulations.

 Strict policies related to punctuality and absence.

 Responsible for the preparation and handling of food must adhere to strict

health department regulations for food safety.

 Ensuring food remains at a safe temperature during the event and

replacing buffet-style food in a proper manner.

Production Schedule

 Discuss the everything to the client such as menus, schedules, packages,

dates of the event and budget.
 After closing the deals, seek for the personnel for the event.
 Have an appointment to the chef to discussed in preparation of event and
food tasting
 Plan the preparation a month before the event.
 Schedule the food tasting to the client a week before the event and finalize
things.
 Settle personnel three days before the event.
 One day preparation for the foods and follow the food safety.
 CHAPTER 3

MARKETING FEASIBILITY

Nowadays, catering services became famous in our country. One of the reason

was being practical, since preparation needs effort, manpower and budget.

The Corps d’ Elite has three distinct target population:

1. Working Class – are those minimally educated people who engage in

“manual labor” with little or no prestige. 10% of the clients are in working

class who prefer to a catering services than to prepare in their own since

they are very hard workers.

2. Middle class - is the group of the people with typical-everyday jobs that

pay significantly more than the poverty line. Those with higher skills are

rewarded with higher paying jobs or raises, while workers with lower level

skills are not paid as much or simply hot hired. 70% of the target market

are middle class who prefer to be practical since they afford a catering

services. Most of the time, middle class are those who loved events and

wanted to be flawless event. Those are no time to prepare things and hire

others to do for them.

3. Upper class – these extremely wealthy people live off the income from

their inherited riches. They live in exclusive neighborhoods, gather at

expensive social clubs, and send their children to the finest schools. As

might be expected, they also exercise a great deal of influence and power

nationally or globally. 20% were in upper class since they much afford
 hiring someone for an event and prepare for them. Most likely, they

preferred international catering services.

Demand

Since Comshop.net will be established beside a university in Morong,

Rizal, the target market as compared to its population and probability of

customers is minutely 50 persons and more per day.

The proponents have chosen to star on a small scale of production then

after the successful of product sale then it will be increased gradually after few

years. The proponents were challenged to be more specific to their target

customers.

Supply

Since it is located at Morong, Rizal, it is near the Savemore Supermarket

and Hernandez Supply Store for the materials needed in the business. Some

factors may affect the supply of the materials such as the business competitors

If you are the first to start such business in an area, you are lucky enough.

But you shouldn’t relax or hike your price; it must be relatively comparable to

other competitors in nearby environment and must be affordable. Always up your

game in order to keep your customers and to remain relevant in the business.
And remember that people are always waiting for the first man to succeed before

they start theirs. While some will open theirs to kick you out of business.

The major competitors existing in the area are:

 JG Computer Shop

 Kuya Earphones Internet Café

 The Oldies Internet Shop

 Brotherhood Computer

Demand and Supply Analysis

Comshop.net’s focus is on the demand of a regular customers based on

his/her preferred kind of service. Every day, students, teachers and other people

are in need of this kind of service for their paper works. Thus, the demand of this

service is very high since it is located in a populous area and beside a university.

The supply of the materials will be stable because it is near in a town center that

sells the materials needed in this business.

Proposed Marketing Program

You must be readily available to render service to your customers. It

shouldn’t be a case where customers will have wait long hours or coming back to
check on you several times. They may be discouraged and sought for services

elsewhere.

The project is feasible knowing that people specially students were doing

their projects and it is needed to be printed. In terms of the prices, it is very

affordable for the customers and for them to ask for our service and

recommended it to their friends and families.

The business offers part-time job to those who are pursuing their dreams

but are lack of financial support.

Expecting at least 40% students, 20% teachers and 5% external

customers around the target market of Comshop.net could acquire patron our

service.

As a business center operator, you should be able to use different

computer applications. This will give you an edge over many competitors, and it

will give you the opportunity to render some specialized services, and you know,

that will earn you extra cash. In case of school environment, majorly higher

institution, some lazy students do look for people who will help them with

assignments, term papers, or project research.

Initially, the whole thing may seem slow and uninteresting, but as time goes on;

with hard work and sincere dedication you will enjoy the profit generated. Do not

be in a haste to make profit, give the business some time to grow and never stop

making plans to expand it.

Price

Most people do look for services that cut down their expenses, reliable

and durable. So, you must offer affordable service to the customers, and make

sure it doesn’t come back to haunt you. It is welcome if you have different price

plan, for instance, having price plan for customers who need urgent service, price

plan for regular customers and those who do large volume of jobs. It is a

business, be creative always, and maximize your profit.

Target Market

1. Area Coverage
Comshop.net aimed to offer its services near the schools and

university where many students and teachers are in there. The proposed

business will be established in Morong, Rizal knowing that it was classified

as a populous area for business ventures. The target are of this business

were educational institutions, working office establishment, hospital, park,

were a lot of individual person were always in that place. This kind of

business also helps those computer-related graduates to start working.

2. Consumers/Customers

Comshop.net is targeting customers who are students and teachers

as well as those people who need this service.

Marketing Program/Strategies

The business will be made feasible and profitable to build up in this type of

economy. We desired to know what customer wants. That’s why the proponents

set up their strategic plan of how to convince to enter in the computer business

center.

1. Practices of Competitors

Since the proposed business is located in a populous area, the

proponents had taken the risk of competitors regarding their different style

of services. This business will become much competitive to other. The

probable strategy to attract customers and client is the discount.

2. Own Marketing Program and Strategies

Comshop.net will be known for its quality service. Providing a fast

services for the costumers and providing a facilities and proper

equipment/machines for the service the consumers wants to avail.

PRICE

Description Quantity/Unit Unit Cost Total Cost

Computer System 6 units ₱ 24,000.00 0
Printer 4 units ₱ 3,000.00 0
Photocopier
1 unit ₱ 77,000.00 ₱ 77,000.00
Machine
Laminating
1 unit ₱ 4,200.00 ₱ 4,200.00
Machine
Spiral Binding
1 unit ₱ 4,500.00 ₱ 4,500.00
Machine
Scanner 1 unit ₱ 3,000.00 ₱ 3,000.00
Generator Set 1 unit ₱ 25,000.00 ₱ 25,000.00
Tarpaulin
1 unit ₱ 330,000.00 ₱ 330,000.00
Machine
Air-conditioning
2 units ₱ 10,000.00 ₱ 20,000.00
Unit
Total 0

Location

Promotion
 The business will be promoting through online or internet pages. For

affective promotion, the business will also distribute fliers and posters in the

nearest areas.

Projected Sales

Descriptio Beg Purchas Sold End Selling Unit Total Total Profit
n Bal. e Bal. Price Cos Selling Unit
t Cost Cost
Typing 200 0 200 0 50 25 10,000 5,000 5,000
Printing 250 0 250 0 10 4 2,500 1,000 1,500
Photocopy 275 0 275 0 5 2 1,375 550 825
Scanning 230 0 230 0 10 5 2,300 1,150 1,150
Laminating 20 0 20 0 30 15 600 300 300
Binding 30 0 30 0 70 35 2,100 1,050 1,050
Tarpaulin 15,00
100 0 100 0 300 150 30,000 15,000
0
Total 24,05
475 236 48,875 24,825
0

Projected Sales in Daily, Weekly, Monthly, Yearly

ITEM DAILY WEEKLY MONTHLY YEARLY
Typing ₱10,000 ₱70,000 ₱300,000 ₱3,600,00
Printing ₱2,500 ₱17,500 ₱75,000 ₱900,000
Photocopy ₱1,375 ₱9,625 ₱41,250 ₱495,000
Scanning ₱2,300 ₱16,100 ₱96,000 ₱828,000
Laminating ₱600 ₱4,200 ₱18,000 ₱216,000
Binding ₱2,010 ₱14,700 ₱441,000 ₱5,292,000
Tarpaulin ₱30,000 ₱210,000 ₱900,000 ₱10,800,000
Total ₱48,875 ₱342,125 ₱1,466,250 ₱17,595,000
 Projected Sales for Five Years at 15%
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
₱17,595,000 ₱20,234,250 ₱23,269,387.50 ₱26,759,795.60 ₱30,773,764.90

Projected Expenditures
Daily Weekly Monthly Yearly
Manpower 1600 11,200 38,000 576,000
Utilities 2,500 30,000
Office Supplies 1500 18,000
Total 0

Projected Expenditures for Five Years at 15%

YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
624,000 717,600 825,240 949,026 1,091,379.90

CHAPTER 4
PRODUCTION FEASIBILITY

The Service
Comshop.net will render their service with the use of computer. These

services are printing documents, photo printing, tarpaulin printing, laminating,

reproducing papers, bookbinding and many more.

Services Offered in a Business Center

1. Typesetting: this is an act of composing text / or display (caption, headline

and subhead) reading matters into a computer (digital) or physical type

suitable for the text’s intended audience

 2. Printing: this is a process of reproducing text and images using a master

form or template. Or this is a process of reproducing what has being type

into the computer out as the hard copy

3. Photocopy: this is a process of making a photographic reproduction of

printer or graphic materials

4. Scanning: this is a process of copying or picturing your document into the

system, either to send as an e-mail or to edit the document.

5. Lamination - is the technique of manufacturing a material in multiple

layers, so that the composite material achieves improved strength,

stability, sound insulation, appearance or other properties from the use of

differing materials. A laminate is a permanently assembled object by heat,

pressure, welding, or adhesives.

6. Bookbinding - is the process of physically assembling a book from an

ordered stack of paper sheets that are folded together into sections or

sometimes left as a stack of individual sheets. The stack is then bound

together along one edge by either sewing with thread through the folds or

by a layer of flexible adhesive. For protection, the bound stack is either

wrapped in a flexible cover or attached to stiff boards.

7. Tarpaulin Printing - is a type printing in a large sheet of strong, flexible,

water-resistant or waterproof material.

Duration of work per service

Service Offered Duration

1. Typesetting 10 minutes (depends upon the request
of
the client)
2. Printing 1-3 minutes (depends upon the pages of
paper)
3. Photocopy 1-3 minutes (depends upon the pages of
paper)
4. Scanning 1-3 minutes
5. Lamination 5-10 minutes
6. Bookbinding 4-5 hours (depends upon the order)
7. Tarpaulin printing 10-15 minutes

Detailed Engineering
 Machinery and Equipment Requirements

Machineries and Equipment

Description Quantity/Unit Unit Cost Total Cost

Computer System 6 units ₱ 24,000.00 0
Printer 4 units ₱ 3,000.00 0
Photocopier
1 unit ₱77,000.00 ₱ 77,000.00
Machine
Laminating
1 unit ₱4,200.00 ₱ 4,200.00
Machine
Spiral Binding
1 unit ₱ 4,500.00 ₱ 4,500.00
Machine
Scanner 1 unit ₱ 3,000.00 ₱ 3,000.00
Generator Set 1 unit ₱ 25,000.00 ₱ 25,000.00
Tarpaulin
1 unit ₱ 330,000.00 ₱ 330,000.00
Machine
Air-conditioning 2 units ₱ 10,000.00 ₱ 20,000.00
Unit
Total 0

Furniture and Fixtures

Description Quantity/Unit Unit Cost Total Cost

Sofa 6 pcs ₱ 3,500.00 0
Accommodation
1 pc ₱ 3,000.00 0
Table
Table 4 pcs ₱ 200.00 ₱ 800.00
Chair 4 pcs ₱ 20.00 ₱ 80.00
Total 0

Cleaning Supplies

Description Quantity/Unit Unit Cost Total Cost

Broom 4 pcs ₱ 150.00 0
Dust Pan 1 pc ₱ 120.00 0
Floor Mop 2 pcs ₱ 100.00 ₱ 200.00
Cleaning Cloth 10 pcs ₱ 10.00 ₱ 100.00
Toilet Brush 2 pcs ₱ 50.00 ₱ 100.00
Trash Bin 2 pcs ₱ 70.00 ₱ 140.00
Cleaning
2 pcs ₱ 350.00 ₱ 700.00
Chemicals
Tabo 2 pcs ₱ 30.00 ₱ 60.00
Water Pail 2 pcs ₱ 70.00 ₱ 140.00
Fire Extinguisher 2 pcs ₱ 1,200.00 ₱ 2,400.00
Total 0

Office Supplies

Description Quantity/Unit Unit Cost Total Cost

Bond Paper 10 reams ₱ 350.00 0
Pen 1 box ₱ 60.00 0
Ink 8 boxes ₱ 200.00 00.00
Official Receipt 1 bound ₱ 25.00 ₱ 25.00
Record Book 1 pc ₱115.00 ₱ 115.00
Total 0
Utilities

Description Monthly Yearly

Electric Bill ₱ 2,500.00 ₱ 30,000.00
Water Bill ₱ 1,500.00 ₱ 18,000.00
Total 0

Manpower Requirements

Business Management is not an easy task. Having qualified members of

the organization with respected field of specialization could not such support for

the maintaining goals and objectives with honesty and leadership in business. No

exception overtime payments.

Daily Weekly Monthly Annual

Description Rate Quantity
Salary Salary Salary Salary
Operation
₱ 200 2 ₱ 400 ₱ 2,800 ₱ 12,000 ₱ 144,000
Manager
Computer
Operator/ ₱ 300 4 ₱ 1,200 ₱ 8,400 ₱ 36,000 ₱ 432,000
Technician
Total 0 6 ₱0 ₱0 ₱0 ₱0

Waste and Waste Disposal Method

Comshop.net is a Computer Business Center, it doesn’t mean that the

business will ignore the wastes. As the proponents of the project, we always

maintain the cleanliness and orderliness of the workplace so that in that way, we

can attract more customers. All corners of the room should be cleaned as well as

the floor should always be moped. For the garbage, we separate the

biodegradable and non-biodegradable wastes to avoid diseases.

Production Cost in daily, weekly, monthly and annually

Description Daily Weekly Monthly Yearly

Typesetting ₱5,000 ₱35,000 ₱150,000 ₱1,800,000
Printing ₱1,000 ₱7,000 ₱30,000 ₱360,000
Photocopy ₱550 ₱3,850 ₱16,500 ₱198,000
Scanning ₱ 1,150 ₱ 8,050 ₱34,500 ₱108,000
Lamination ₱300 ₱2,100 ₱9,000 ₱`08,000
Bookbinding ₱1,050 ₱7,350 ₱31,500 ₱378,000
Tarpaulin
₱15,000 ₱105,000 ₱40,000 ₱5,400,000
Printing
Total 0 0 0 ₱ 8,658,000

Production Cost for Five Years at 15%

YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

₱17,595,000 ₱20,234,250 ₱23,269,387.50 ₱26,759,795.60 ₱30,773,764.90

Land and Infrastructure

Land Area 90 sq. m.

Land Cost ₱ 180,000.00
Infrastructure ₱ 100,000.00
Total ₱ 280,000.00
 Chapter 5
FINANCIAL STABILITY

Total Project Cost

Description Yearly
Manpower ₱ 576,000.00
Production Cost 0
Utilities ₱ 48,000.00
Machinery and Equipment ₱ 619,700.00
Land and Infrastructure ₱ 280,000.00
Furniture and Fixture ₱ 24,880.00
Cleaning Supplies ₱ 4,560.00
Office Supplies ₱ 5,300.00
Total 0

Financiers

To make our business operational, the proponents of Comshop.net will

give the needed amount for their capital in starting the business. We will be going

to use our personal savings and loan from a co-operative society which we

belong to. The reason why we are considering the both is because my personal

savings cannot buy all the necessary equipment to start with, but with the help of

the loan all the necessary equipment needed can be purchase. The loan is a

short time loan with payment duration of one year in which the payment

procedure is to be pay back every end of the month.

MAJOR ASSUMPTIONS USED

 In building a business, one should know his/her budget, the competitors

and the demand of the product or service needed in that area. You should

determine your projected suppliers of your products and materials. The most

important is that you should know if your project will be feasible and profitable to

avoid waste of money and effort.

COMSHOP.NET
 Income Statement for 1 year

Sales ₱ 17, 595, 000.00

Manpower ₱ 576,000.00

Utilities ₱ 48,000.00

Machinery and Equipment ₱ 619,700.00

Land and Infrastructure ₱ 280,000.00

Furniture and Fixture ₱ 24,880.00

Cleaning Supplies ₱ 4,560.00

Office Supplies ₱ 5,300.00

Total ₱1,558,440.00

Net Income ₱16,036,560.00

Projected Income for five years at 15%

YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

₱ 17, 595, 000.00 ₱18,442,044.00 ₱21,208,350.60 ₱24,389,603.19 ₱28,048,043.67

COMSHOP.NET
 Balance Sheet
For the Month of January to March 2020

Capital ₱ 9,316,740.00

Fixed Long Assets

Machines and Equipment ₱ 619,700.00

Land and Infrastructure ₱ 280,000.00

Total Assets ₱ 899,700

Liabilities and Owners Equity

Manpower ₱ 576,000

Production Cost ₱ 8,658,000.00

Utilities ₱ 48,000.00

Furniture and Fixture ₱ 24,880.00

Cleaning Supplies ₱ 4,560.00

Office Supplies ₱ 5,300.00

Total Liabilities ₱ 9,316,740.00

Total Assets and Liabilities ₱ 10,216,440.00

 COMSHOP.NET

Cash Flow

Assets ₱ 899,700

Less Expense

Manpower ₱ 345,600.00

Production Cost ₱ 8,658,000.00

Utilities ₱ 48,000.00

Machinery and Equipment ₱ 619,700.00

Land and Infrastructure ₱ 280,000.00

Furniture and Fixture ₱ 24,880.00

Cleaning Supplies ₱ 4,560.00

Office Supplies ₱ 5,300.00

Total ₱ 9,986,040.00

Excess ₱ 899,700

Total Cash Flow ₱ 9,086,340.00

Net Present Value

Period t t0 t1 t2 t3 t4
₱
Initial
8,658,00
Investment
0
Annual ₱ 17, ₱ 20, ₱ ₱
595,000 234,250 23,269,387. 26,759,795.63
Benefit 5
Annual ₱ ₱ ₱ ₱
Operating 8,658,00 9,956,700 11,450,205 13,167,735.75
Maintenanc 0
e Cost
Annual Net -₱ ₱ ₱ ₱ ₱
8,658,00 8,937,00 10,277,55 11,819,182. 13,592,059.87
Flow 0 0 0 5 5

NPV = 8,658,000 + 8,937,000 (.870) + 10,277,550 (.756) + 11,819,182.5 (.658) +

13, 592,059.875 (.572)

= 8,658,000 + 7,775,190 + 7,769,828 + 7,777,022 + 7,774,658

= 8,658,000 + 39,754,698

NPV = ₱48,412,698

*Accept the project because it is greater than zero.

15%Benefit Cost Ratio:

B = 17,595,000 + 20,234,250 + 23,269,387.5 + 26,759,795.63

= 15,307,650 + 15,297,093 + 15,311,256.975 + 15,306,603.1

= 61,222,603.075

C = 8,658,000 (.870) + 9,956,700 (.756) + 11,450,205 (.658) + 13,167,735.75

(.572)

= 7,532,460 + 7,527,265.2 + 7,534,234.89 + 7,531,944.849

= 30,125,904.939

B/C = 48,412,698/30,125,904.939

= 1.6

*Accept the project because B/C is more than one (1).

 Chapter 6

SOCIO-ECONOMIC FEASIBILITY

The proposed project – Comshop.net as a private entity, not only geared

in obtaining the profit but to contribute in the economic growth of the community.

The business satisfies the needs of people pertaining to services offered

especially for students and teachers as well as other people who needed this

king of service. In times the country are decreasing its wealth from the truth of

corrupt government, people in our country are suffering in finding a stable job

because of the unsupported economic growth which can be relied on the

established factories. The investment for this business venture could help not

only for the growth of the economy but also a job provider to those people who

wished to be employed.

This business gives idea to all people to become entrepreneurs. Every

individual person in the country will be given the opportunity to have a job to

sustain the daily needs of their family. In case the project became successful,

many of our school youth will be the beneficiaries as they establish foundation to

help our nation and its community.

Legal Forms of Business

To make the business legalize to the front of other competitors in

business, Comshop.net will take any action for further requirements in

establishing the business.

Securities and Exchange Commission (SEC) permit will be secured to

legalize the business names and activities being operated. The business will

secure also a Building Permit from the Municipal Hall for its operational activities

on a certain idea. The business shall also be registered from the Bureau of

Internal Revenue (BIR) for the tax declarations of the operation to avoid any

compensation.

Lastly, all of the employees were legible to refer to the Social Security

System for their life insurance and benefits while they are working.

Legal Aspect

In putting up a business, the owners should be liable to any securing

permits and license from various Government Agencies:

1. Barangay Clearance

2. Mayor’s Permit

3. Business Permitp

4. Business License
 5. Fire and Security Inspection Certificate

6. Bureau of Internal Revenue (BIR) Permit

The taxes to be paid by the partners are:

1. Bureau of Internal Revenue (BIR)

2. Annual Income Revenue (BIR) taxes

3. Quarterly of Income Taxes

4. Certificate of Compensation Payment

5. Monthly Taxes Percentage Return

6. Monthly Value Added Tax Declaration

7. Quarterly Value Added Tax

8. Monthly Value Added Tax

Different requirements for securing a building permit such as:

1. Copy of Contract

2. Current Tax Receipt

3. Location Plan

4. Vicinity Map

5. Location and Zoning Clearance

Chapter 7
PROJECT IMPLEMENTATION AND TIMETABLE

Gantt Chart of Activities

MONTH MONTH MONT MONT MONTH MONTH

ACTIVITIES
1-2 3-4 H 5-6 H 7-8 9-10 11-12
Planning
Looking for
the Location
Permit for
Constructing a
building for the
business
Designed and
Layout
Construction
Looking for
furniture and
equipment
needed
Opening
 Chapter 8
THE EXECUTIVE SUMMARY

Comshop.net understands how exciting it is to plan our customer’s needs

and we want to satisfy their needs and make it beyond their expectation.

Comshop.net will be specializing tarpaulin’s design, cleared photocopy

and all services will bin high quality in terms of printing, laminating, typing job and

book binding.

Comshop.net aims to offer its service in a competitive and affordable price

to meet the demand of the middle to higher income local market area residents.

We will assure our customers about the high quality product and excellence in

service.