Rice Coffee Proposal Sample Business Plan

San Fabian National High School
Senior High School Department
Chapter 1
Introduction
A. General Concept of the Business
People nowadays sleep late at night and wake up early in the morning because
they have responsibilities to fulfill. Some even tend to skip their breakfast when they are
rushing due to their hectic schedule. They would probably prefer to eat breakfast on their
way to their destination than to spend time eating at home. Because coffee is a beverage
that is known to keep one's self awake, the proponents decided to make a coffee out of
rice. People can buy and drink it in order to boost their energy.
Rice is used in many ways. Its grains can be a substitute for coffee beans. People
who are coffee lovers should not expect that the taste of the product is the same when
they use coffee beans. The name of the product does not ring a bell for those people who
haven’t gone to the northern part of our country. Rice coffee is popular in the
mountainous region of the Philippines because its origin is in Ilocos Norte.
Rice coffee is healthier because of the benefits of rice including its ability to
provide fast and instant energy, regulate and improve bowel movements, stabilize blood
sugar levels, and slow down the aging process, while also providing an essential source
of vitamin B1 to the human body. Other benefits include its ability to boost skin health,
increase the metabolism, aid in digestion, reduce high blood pressure, help weight loss
Page | 1
efforts, improve the immune system and provide protection against dysentery, cancer,
and heart disease.1
Milktea's and Frappe's are trend beverage to teenagers today. In order to catch the
attention of the target clients, the researchers are going to innovate the said product by
making it look like a frappe or float in the fast food chain. The edge of rice coffee
compared to the products of the coffee houses in San Fabian is that the product itself is
healthier and more affordable. This kind of business can be easily put up and manage
because the recipe is simple and it requires minimal investment.
B. Product Description
Rice coffee is healthier and nutritious than the commercially available coffee
beans. The proponents choose this product because it is rare in our place and also because
of its health benefits. The researchers will offer the regular rice coffee, either hot or cold.
Moreover, the proponents decided to offer rice coffee shake and will innovate the product
by adding ice cream on top of the coffee.
The rice coffee can be plain or it can be added with milk and sugar. The process
of making the product is easy and efficient. The researchers will produce their own rice
coffee which have varieties as mentioned above.
1
https://lovers.coffee/the-rice-coffee/
Page | 2
C. History of Rice Coffee
Making coffee out of rice as an enterprise was proven as a lucrative source of
sustainable income on farmers’ cooperative in this town. The rice coffee traced its origin
in the early 1900s when Filipinos made it as an alternative to the high-priced coffee
beans. The first rice coffee was introduced to the market in Barangay BinacagBanna,
Ilocos Norte. This refreshing beverage has been enjoyed as a coffee substitute for
decades. A roasted rice traditionally served as a coffee substitute. This refreshing
beverage has no caffeine, is gluten-free and has a very low calorie hit. (Lazaro, 2015)
Page | 3
Chapter 2
Industry Profile
A. Industry Overview
Rice coffee is one of the products that can be seen as a pride of the North. This
product was originated from the province of Ilocos. It is a coffee that came from the
brewed of rice. It could be pure, mixed with creamer or even hot and cold.
Mention rice coffee to the country’s senior citizens, and it instantaneously opens
the floodgates of their memories to the hard times during World War II when they made
coffee out of rice. But in these times when coffee industry has the best products to offer,
rice coffee is interestingly staging a comeback.
B. Supply
San Fabian public market is the place where all of the raw materials will be
bought. It is because San Fabian is one of the producers of rice, which is the primary
ingredient of rice coffee.
The proponents will also build a good relationship with suppliers of raw materials
to minimize cost and strengthen the value delivery network and maintain the product
quality knowing that there are lots of competitors and new players in the market.
Though rice coffee is the only business that will be established in the location, a
lot of competitors may “join the fray”. Substitutes with cheaper prices may occur.
Page | 4
C. Demand
Rice coffee is a kind of coffee that every millennial will love because this is the
trend nowadays. Also rice coffee is a healthy coffee, but this is the type of coffee that is
not popular in the market but quite popular in the mountainous region in the Philippines.
In other places they use rice coffee as a substitute for coffee beans because this
kind of coffee doesn't have caffeine that actual coffee has, and it helps treat an upset
stomach.
Filipinos usually have rice coffee as their morning brew instead of coffee bean,
one of the reasons is it tastes good than normal coffee and it also can be drunk by
children.
Though rice coffee does not provide the pleasure that you can get from other coffee, it
can be a substitute if you're in low budget.
Page | 5
Chapter 3
Company Profile
A. Business background
Coffee is one of the world’s most popular beverages, because of its high levels of
antioxidants and beneficial nutrients, and it’s also healthy. It has also been proven that
coffee may have health benefits. Studies show that coffee drinkers have a much lower
risk of several serious diseases.
In order to enter the competitive market of coffee, the researchers will introduce
improved variants of coffee product that will satisfy the need of the consuming public
food options with high nutritive value. Through this, the researchers believe that the food
business will make its mark and gain a substantial share of the market for this kind of
food.
Rice Coffee is a beverage business that will promote the coffee industry in San
Fabian, Pangasinan. That quality refers to the satisfaction that the products provide,
because it is absolutely healthy, nutritious and affordable. Add-ons such as sugar,
evaporated milk and ice cream will also be offered and will serve as complement to the
product.
Page | 6
B. Vision
To be a leader in innovation and build a coffee business that will serve as a stress
reliever to our consumers, and at the same time provide a friendly and comfortable
service at a reasonable price.
C. Mission
To provide healthy and nutritious rice coffee product and brewing excellent
reliable services to our consumers.
D. Business Name and Logo
• The Name
JMART’s Brewed Rice: Every Moment has its flavor. The researchers came up
with the name because BREWED stands for the process or procedure that coffee makers
do. While RICE represent the asset or main ingredients that we’ll going to brew.
BREWED RICE also talks about the uniqueness of our product.
Page | 7
• The Logo
• The logo of the business reflects the readiness in offering a quality service to the
customer. The shake in the logo represents the main product of the business, JMART’s
stands for the initial names of the members, and it has the year where the business
established, and lastly, it has our tagline at the lower part of the logo.
• The Location
In conducting a business, location is one of the things to be considered. This can
provide a competitive advantage and many opportunities to the business. The proponents
decided to locate this business in San Fabian, Pangasinan primarily for its strategic value.
The place has lots of opportunities wherein target buyers are the elementay, high school,
college students, passersby and also the church goers.
Page | 8
Vicinity Map
Figure 1
Municipal
Hall
Sport
Center
East Central
Elementary
School
Evacuation
Center
To Nibaliw Center To Market

To Market
Clinic
Archdiocesan
Senior High
Police Station
Page | 9
E. The Product
• Rice Coffee
Coffee is an integral part of our system and it has been part of our history also. It
is served as a relieving beverage and is used by everyone. It has become vital in our
everyday lifestyle regardless of its type. That’s why the researchers think of an innovative
way on how to make this product in another style that will clearly click to the high
standards of consumers.
The researchers offered innovative kind of coffee that will satisfy the consumers
in terms of its add-ons in the coffee. The researchers can create an instant product that
will satisfy someone’s stomach and provide nutritious and delicious taste.
F. Long-range Objectives and Specific Objectives
Sometimes, a steady demand is not enough to kick start and sustain a business.
Nowadays, fastest growing franchises set on an aggressive expansion strategy while
maintaining strict controls, leading to remarkable results in a short time.
Five years from now, the researchers of this project, foresee JMART’s Brewed Rice
to become a well-known beverage that caters to coffee lovers.
➢ Specific Objectives
• JMART’s Brewed Rice will also become one of the leading local coffee
shops in the region to business casual, taking into account the mood of
consumers.
Page | 10
• JMART’s Brewed Rice will offer a variety of choices to the consumers, to
enhance its flavor, to taste even better and better way to experience the
classy theme like the commercial establishments.
• Maintain a high standard of food quality and services
• Ensure a friendly comfortable atmosphere
• Improvement of products and services that match the needs and wants of
customers
Page | 11
INITIAL INVESTMENT REQUIREMENT
UNIT BASE 10% TOTAL

COST COST(Php) CONTINGENCY(Php) COST (Php)
MACHINERIES AND EQUIPMENT
1 Blender 9320.00 9,320.00 932.00 10,252.00
1 Single burner 640.00 640.00 64.00 704.00

gas stove
1 Extension 250.00 250.00 25.00 275.00
FURNITURES AND FIXTURES
2 Plastic tables 640.00 1,280.00 128.00 1,408.00
6 Plastic chairs 100.00 600.00 60.00 660.00
KITCHEN TOOLS AND UTENSILS
1 Deep frying 299.00 299.00 29.90 328.90

pan
1 Slotted turner 107.00 107.00 10.70 117.70
1 Electric Kettle 295.00 295.00 29.50 324.50
1 Strainer 56.00 56.00 5.60 61.60
1 Ice box 2,295.00 2,295.00 229.50 2,524.50
1 Container 120.00 120.00 12.00 132.00
8 Apron 20.00 160.00 16.00 176.00
8 Hair Net 10.00 80.00 8.00 88.00
1 box of Plastic 100.00 100.00 10.00 110.00

Gloves
Stall Cart 2,500.00 250.00 2,750.00
SUB TOTAL: P19,912.20
Page | 12
PRE-OPERATING EXPENSES
Business Registration Expense
Permits and Licenses 1,720.00 172.00 1,892.00
COST OF MATERIALS (40 SERVINGS)
40 kg Rice 40.00 1,600.00 160.00 1,760.00
40 kg Sugar 20.00 800.00 80.00 880.00
4,000 Cups 300.00 12,000.00 720.00 7,920.00
80 All-purpose cream 30.00 2,400.00 240.00 2,640.00
80 Evaporated Milk 25.00 2,000.00 200.00 2,200.00
80 Condensed Milk 50.00 4,000.00 400.00 4,400.00
Ice crushed 100.00 4,000.00 400.00 4,400.00
40 kg Straw 40.00 1,600.00 160.00 1,760.00
80 Cream-O Cookies 60.00 4,800.00 480.00 5,280.00
40 Chocolate Syrup 190.00 7,600.00 760.00 8,360.00
Miscellaneous Expenses 5,620.00 562.00 6,182.00
TOTAL PRE-OPERATING EXPENSES: P49,874.00
INITIAL WORKING CAPITAL: P70,000.00
TOTAL PROJECT COST: P144,786.20
H. Source of Funds
In order to have capital that will fund the business, four of the researchers’ parents
will contribute P17,500.00 each that will have a total of P70,000.00. These researchers
will serve as the partners of this business.
Page | 13
I. Gross Profit Margin

JMART’s Brewed Rice
Statement of Comprehensive Income
For the month ended January 31, 2021
Sales
Product A (P45*95*30 days) P128,250.00
Product B (P55*85*30 days) 140,250.00
Product C (P50*69*30 days) 103,500.00
Product D (P50*69*30 days) 103,500.00 P475,500.00
Less: Cost of Goods Sold
Product A (P25.56*95*30 days) 72,846.00
Product B (P35.56*85*30 days) 90,678.00
Product C (P30.56*69*30 days) 63,259.20
Product D (P30.56*69*30 days) 63,259.20 290,042.40
Gross Profit P185,457.60
Gross Profit
Gross Profit Margin =
Sales
P185,467.60
=
P475,500.00
= .39
There is a 39% gross profit. Thus for every P1.00 of sale, there is a 39 centavo profit.
Page | 14
• Computation
P1,150.60
Selling price =
45
= 25.56
= (25.56) (1.7)
Selling price = P43.45 or P45.00
The researchers will offer add-ons for the product which are cookies and chocolate syrup.
There is a price for every add-ons. For cookies or chocolate syrup, it costs an additional of P5.00
from the original price. While for cookies and chocolate syrup, it costs an additional of P10.00
from the original price.
Page | 15
Chapter 4
Competitor’s Profile
Brewed Rice’s Competitor in selling coffee beverages is:
• Little Bozz Coffee House
Little Bozz Coffee House opened last January 28, 2019. They usually opened at 10:00
A.M to 10:00 P.M. In a day, they have a capital of 10,000 a day and can produce 80
cups of their available products.
SWOT Analysis
Strengths:
Their pizza is fresh baked.
Their coffee has fine taste.
Their place is located along the highway
Weaknesses:
Their milkteas are not salable.
Some of their coffees doesn’t reach the satisfaction of the costumer.
Opportunities:
Milkteas and frappes are the trends to millenials.
Threats:
There will come a time that the sales are high and low so there is a tendency
to have a loss in this kind of business.
Page | 16
A lot of competitors.
Changing market tastes.
Page | 17
Chapter 5
Market Feasibility
Vicinity Map
Figure 1
A. Location
Municipal
Hall
Sport
Center
East Central
Elementary
School
Evacuation
Center
To Nibaliw Center To Market

To Market
JMART’s Brewed Rice shall be located at Caballero St. Poblacion, San Fabian in
front of East Central Elementary School near plaza.

Clinic
Archdiocesan
San Fabian is a coastal municipality in the province of Pangasinan. The
Senior High
municipality has a land area of 81.28 square kilometers or 31.38 square miles which
Police Station
constitutes 1.49% of Pangasinan's total area. Its population as determined by the 2015
Census was 83,025. This represented 2.81% of the total population of Pangasinan
province, or 1.65% of the overall population of the Ilocos Region.
Along the highway of San Fabian, you can see a lot of bundled coconuts or copra
trees as which planted by the town people of San Fabian, Pangasinan. Those green
colored big nuts or also known as coconuts is the proud assets of the people of San
Fabian.
Page | 18
The town was name after Pope St. Fabian, Shell craft is a cottage industry in San
Fabian and tuyo (dried fish) is also sold there. The researchers believe that this will
generate a high demand for the product because of its population as well as the tourists
who regularly visit the place, for it is known as one of the favorite destinations in
Pangasinan because of the beaches.
On the other hand, consumers could easily find a product in substitute & what
business could offer in the competition. Several small businesses are also located there,
however, in order to enter the competitive market, the components must introduce
innovations and creativity, through new variants like rice coffee.
Page | 19
B. Target Market
TARGET MARKET SHARE OF STUDENTS AND TEACHERS IN SAN FABIAN
No. Name Population POPULATION MARKET SHARE

(Students) (Teachers) Students Teachers
1 ARCHDIOCESAN 735 35 4 2
SCHOOL OF SAN
FABIAN (ASSF)
2 SAINT BLAISE 340 19 2 1

CHRISTIAN SCHOOL
(SBCS)
3 JOYLAND SCHOOL 908 27 5 1

(JS)
4 EAST CENTRAL 1,625 40 8 2

ELEMENTARY
SCHOOL (ECES)
5 WEST CENTRAL 1,127 37 6 56

ELEMENTARY
SCHOOL (WCES)
Total: 87
Page | 20
TARGET MARKET SHARE OF EMPLOYEES IN SAN FABIAN
MUNICIPAL EMPLOYEES Population Market Share
• Regular Employees 125 6
• Casual Employees 27 1
• Job Order 290 15
TOTAL 22
TARGET MARKET SHARE OF PASSERSBY IN SAN FABIAN

Barangay Population Market Share
Angio 3,227 16
Cayanga 4,586 23
Nibaliw Central 2,713 14
Nibaliw East 2,464 12
Nibaliw Magliba 1,993 10
Nibaliw Narvarte 2,422 12
Nibaliw Vidal 3,405 17
Poblacion 4,002 20
Sagud Bahley 4,125 21
Sobol 2,479 12
Tempra Guilig 3,446 17
Tocok 2,104 11
Longos Amangonan 2,602 13
Longos Proper 2,233 11
Total 41,801 209
Page | 21
Nothing beats the fragrant smell of rice coffee whether at home, in school or in
coffee shops. The target market for our coffee shop includes drip coffee shop lovers, high
school students, and passersby, since they represent a large segment of the population.
Aside from they can afford our product, they are the best target market because coffee
shops nowadays are the trend for millenials.
Other target market will be those people who go to the church, and those people
who are bound to Baguio City and La Union. They can stop over and go to our coffee
shop, and the proponents found that the place is the feasible.
People who spend time in coffee shops where specialty drinks and regular cups of
coffee are available along with an inviting atmosphere, rather than coming in to grab only
a coffee and go.
The willingness to buy of people to the proponent’s offered product is set at
below 60 pesos, compared to the other coffee shop products.
Page | 22
Figure 2. POTENTIAL BUYERS IN SAN FABIAN
209
87
22
MARKET SHARE
STUDENTS AND TEACHERS PASSERSBY EMPLOYEES
The graph shows the market share of potential buyers in San Fabian. The most
numbered target market are the passersby with the market share of 209, next are the
students and teachers with the market share of 87 and lastly, the employees are the least
numbered with the market share of 22. The total market share of the potential buyers are
318.
C. Competitive Strategy
JMART’s Brewed Rice is the first rice coffee business in San Fabian that will
offer a new taste of coffee shake. This coffee substitute will give consumer a better way
to experience the classy theme like the commercial establishments and at the same time
gives a lot of health benefits.
Page | 23
The management will be having their uniforms to have presentable looks during
their work hours. Another research that the proponents have made is to find the
consumers necessity, which refers to a need they have that must be met because of
varying reasons like new to the market and because it was nutritious.
The proponents are going to sell the product at less than 60 pesos to suit to the
customers’ budget. The shake will be price at 45 pesos .In fact, coffee business like Cafe
Tribu set their price with a minimum of P89.00 due to its rising cost of ingredients and
rentals. Because of this, the consumer will prefer to buy the product at lower price and
new taste with health benefits. The proponents designed their own strategy in delivering
their products by maintaining a high standard food quality and services.
As for its operation JMART”s Brewed Rice will be open from Mondays to
Sundays from 9:00 am to 30 days 9:00 pm knowing that many people love coffee, they
can buy it anytime they want. The proponents will also build a strong relationship among
its suppliers and customers. This can be achieved through the following:
•Prompt payment of purchases of ingredients and raw materials
•Personalized customer and supplier relationship.
With these basic strategies, products and services, the proponents are confident that the
business will hit the taste of the consumer.
Page | 24
D. Marketing Strategy
Being a new entrant to the beverage industry, the proponents will introduce the
product that would indeed attract consumers. In the first day, the proponents will be
offering free taste of the innovated product to passers-by.
Next is that the product must be priced right for it to be salable at the desired
volume. The proponents will have to assure that the priced are affordable by consumers.
The proponents can also market the product through contact number, message on
Facebook if they want to order as well as the benefits they can gain by drinking rice
coffee product. There will also be flyers to promote the business.
Lastly, sales personnel will be in uniform to make them presentable to the
customers drinking at the place. For them to look clean and presentable they shall wear
shirt which have their logo and each employee must have their name. They shall also be
required to wear a hair net.
Page | 25
Page | 26
Chapter 6
Management Feasibility
A. Organizational Structure
MANAGEMENT
PARTNER
• Roxanne C. Bornalo
LIMITED PARTNER /
LIMITED PARTNER
PRODUCTION STAFF
• Marcela A. Biala
• Jenifer Maure
• Jeriemyn Ungria
• Renalyn Rivo
• Angelica Lalata
2 PART TIME EMPLOYEE
• Rhona Joy Novelo

• James Henry Estacio
Page | 27
➢ Manager
Duties and Responsibilities
GENERAL STATEMENT OF DUTIES. Responsible for planning and
maintaining work systems, procedures and policies that enable and encourage of
optimum performance of its people and other sources within a business unit.
REQUIRED KNOWLEDGE, SKILLS, ABILITIES AND ATRIBUTES
Through knowledge of the modern principles, procedures, and equipment
involved in office management, personnel administration budgeting, purchasing,
and accounting ability to be an effective leader, ingenuity, and resourcefulness in
handling administrative problems; ability to interact with customers; ability to use
computerized software application; actively listen and received feedback as well
as provide constructive feedback, ability to motivate the employees at any
scenario.
• Sales Personnel
Requirements
- Senior High Graduate, undergraduate and college students with good moral
character and willing to work part – time.
Page | 28
Sales personnel perform daily routine duties.
- Well - groomed
- Good moral character
- Congenial person
- Good follower
• Production Personnel
They are responsible to help each other for producing innovative shake
through their hard work to promote our product and not disclosing any
information regarding the recipes.
Page | 29
B. Manpower Requirements
The proponents have interviewed the Manager who has experience
and skill in making shake. The insights and information shared by the
Manager greatly helped the proponents in innovating the product. Shake will
be produced indoor by the production staff (Jenifer, Jeriemyn, Renalyn, and
Angelica) to ensure the quality of production.
The equipment that will be used to make the shake is Nutri – Bullet
and container. Two Nutri – bullet will be use, one in the production area, and
the other one will be us in location. The container will be used for storage of
raw materials for shake such as grind rice, evaporated milk, sugar, and ice
cream.
Page | 30
Chapter 7
Financial Feasibility
A. Statement of Assumption
The demand assumptions is computed based on the proponent’s surveyed result.
Rice coffee gets 66.67% for the students in San Fabian while 93.33% for the passersby
and 90% for the employees. The sales forecast for this study was based on survey results.
The data analysis considered the buying frequency of an individual per week.
MARKET SHARE OF RICE COFFEE
Market Share 318

Survey 75 / 90
Potential Customers 265
Based on the survey conducted in the town of San Fabian, 75 out of 90
respondents are willing to buy rice coffee shake thus, approximately 83.33% of the
respondents are the potential customers of rice coffee shake in the town of San Fabian.
Page | 31
Assumption of Increased in Yearly Sales
CLASSIC
The researchers assume that 35% of the potential buyers of the product,
particularly the classic flavor of rice coffee shake, will be the expected sales of JMART’s
Brewed Rice Coffee on the 1st year of operation and will be increased by 5% on the
subsequent years.
Justification:
1. Based on the survey conducted, respondents are willing to buy shake at
low price.
2. The respondents’ budget for food is MEDIUM. (see appendices Figure 3)
WITH CHOCOLATE SYRUP AND COOKIES
The researchers assume the 25% of the potential buyers will be the expected sales
of JMART’s Brewed Rice Coffee on its 1st year of operation and will be increased by 5%
on the subsequent years.
Justification:
1. Based on the survey conducted, respondents are most likely to choose
cookies and chocolate syrup as the toppings of their shake.
2. The respondents’ budget for food is MEDIUM. (see appendices Figure 3)
Page | 32
CREAM-O COOKIES
The researchers assume that 20% of the potential buyers will be the expected
sales of JMART’s Brewed Rice Coffee on its 1 st year of operation and will be increased
by 5% on the subsequent years.
Justification:
1. Based on the survey results, respondents also choose cream-o cookies as
the toppings of their rice coffee shake.
2. Respondent’s budget for food is MEDIUM. (see appendices Figure 3)
CHOCOLATE SYRUP
The researchers assume that 20% of the potential buyers will be the expected
sales of JMART’s Brewed Rice Coffee on its 1st year of operation and will be increased
by 5% on the subsequent years.
Justification:
1. Based on the survey results, respondents also choose cream-o cookies as
the toppings of their rice coffee shake.
2. Respondent’s budget for food is MEDIUM. (see appendices Figure 3)
Page | 33
B. Assumption on Expenses
FIXED COSTS
• Utilities Expense for the first year of operation and a 5% increase in subsequent
years.
Bill Monthly Annually

Electricity Php 2,000.00 Php 24,000.00
Water Php 1,400.00 Php 16,800.00
TOTAL Php 3,400.00 Php 40,800.00
• Advertising Expense for the first year is Php 1,250 and a 5% increase for the
following years.
Category Monthly Annually

Tarpaulin Php 250.00 Php 250.00
Flyers Php 1,000.00 Php 1,000.00
TOTAL Php 1,250.00 Php 1,250.00
• Transportation Expense for the first year is about Php 16,800.00 and will be
increased by 5% for the subsequent years.
• Salaries Expense (2 part-time employees Php 35/hr) will also increase 5% for
the subsequent years.
Name of Employee Time Monthly Annually

James Henry Estacio 9.00 AM – 3:00 PM Php 5,880.00 Php 76,440.00
Tricia Narvasa 3:00 PM – 9:00 PM Php 5,880.00 Php 76,440.00
TOTAL Php 11,760.00 Php 152,880.00
Page | 34
C. Assets
• All Utilities Expense for the year will be paid during the year.
• Advertising Expense will be paid during the year.
• Purchase of utensils should be made on the first year of operation.
• Purchases of raw materials will be made every day and paid accordingly.
• No additional investment.
• Sales are cash basis.
• All miscellaneous expenses will be paid during the year.
• Rent payment will be made regularly at the end of two months.
• Partnership withdrawals will be 50% of net income and will start at 2 nd year of
operation.
D. Assumption on Cost
• Machineries and Equipment cost assumption in 1st year of operation.
Description Quantity Unit Cost Total

Blender 1 Php 9,320.00 Php 9,320.00
Burner 1 Php 640.00 Php 640.00
Extension 1 Php 250.00 Php 250.00
Stand Fan 1 Php 1,000 Php 1,000
Electric Kettle 1 Php 295.00 Php 295.00
TOTAL Php 11,505.00
Page | 35
• Furniture and Fixtures cost assumption in 1st year of operation.

Plastic Tables 2 Php 640.00 Php 1,280.00
Plastic Chairs 6 Php 100.00 Php 600.00
Stall 1 Php 2,500.00 Php 2,500.00
TOTAL Php 4,380.00
• Utensils cost assumption in First Year of operation. The total cost of utensils is
Php 3,722.00.
Kitchen Wares

Deep Frying Pan 1 Php 299.00 Php 299.00
Slotted Turner 1 Php 107.00 Php 107.00
Strainer 1 Php 56.00 Php 56.00
Ice Box 1 Php 2,295.00 Php 2,295.00
Container 1 Php 120.00 Php 120.00
TOTAL Php 2877.00
Cleaning Utensils

Plastic Trash Can 1 Php 130.00 Php 130.00
Plastic Broom 1 Php 70.00 Php 70.00
Dustpan 1 Php 35.00 Php 35.00
Liquid Soap 12 Php 30.00 Php 30.00
Towels 10 Php 250.00 Php 250.00
TOTAL Php 845.00
• Supplies cost assumption is Php 3,416.00 in 1st year of operation.

Logbook 1 Php 350.00 Php 350.00
Ballpen 1 box Php 250.00 Php 250.00
Sticker Paper 12 Php 50.00 Php 50.00
TOTAL Php 1,200.00
Page | 36
Paper Products

Sando Bags 12 Php 100.00 Php 1,200.00
Tissue 10 Php 53.00 Php 530.00
TOTAL Php 1,730.00
Crew Uniform

Apron 5 Php 20.00 Php 100.00
Name Plate 2 Php 30.00 Php 60.00
Hairnet 5 Php 10.00 Php 50.00
Gloves 12 pack Php 276.00 Php 276.00
TOTAL Php 486.00
• Miscellaneous Expense is Php 7,200.00 and will increase 5% annually.
• Taxes and Licenses comprises other percentage tax and annual registration fee.
Rent expense is included in taxes and licenses because the location of the business
is owned by government.
Page | 37
E. Financial Statements
JMART's Brewed Rice Coffee

Statement of Comprehensive Income
For the Year Ended December 31, 2021
Year 1 Year 2 Year 3
Sales Revenue P4,721,400.00 P4,957,470.00 P5,205,343.50
Less: Cost of Sales 2,866,824.00 3,010,165.20 3,160,673.46
Gross Profit 1,854,576.00 1,947,304.80 2,044,670.04
Less: Operating Expenses
Salaries Expense 152,880.00 160,524.00 168,550.20
Permits, Taxes and Licenses 141,612.00 148,692.60 156,127.23

Utilities Expense 40,800.00 42,840.00 44,982.00
Miscellaneous Expense 7,200.00 7,560.00 7,938.00
Depreciation Expense 3,921.40 3,921.40 3,921.40
Supplies Expense 3,416.00 3,586.80 3,766.14
Transportation Expense 1,400.00 1,470.00 1,543.50
Advertising Expense 1,250.00 1,312.50 1,378.13
Total Operating Expenses 352,479.40 369,907.30 388,206.60
Net Income P1,502,096.60 P1,577,397.50 P1,656,463.45
Page | 38

Statement of Financial Position
As of December 31, 2021
ASSETS
Cash P1,556,411.00 P2,349,031.15 P3,181,184.27

Machineries and
Equipment 11,505.00 11,505.00 11,505.00
Less: Accumulated
Depreciation 2,301.00 9,204.00 4,602.00 6,903.00 6,903.00 4,602.00
Furniture and Fixtures 4,380.00 4,380.00 4,380.00

Less: Accumulated
Depreciation 876.00 3,504.00 1,752.00 2,628.00 2,628.00 1,752.00
Kitchen Tools and
Utensils 3,722.00 3,722.00 3,722.00
Less: Accumulated
Depreciation 744.40 2,977.60 1,488.80 2,233.20 2,233.20 1,488.80
TOTAL ASSETS P1,572,096.60 P2,360,795.35 P3,189,027.07
OWNER'S
EQUITY
Roxanne, Capital 393,024.15 590,198.84 797,256.77
Marcela, Capital 393,024.15 590,198.84 797,256.77
Renalyn, Capital 393,024.15 590,198.84 797,256.77
Jenifer, Capital 393,024.15 590,198.83 797,256.76
TOTAL OWNER'S
EQUITY P1,572,096.60 P2,360,795.35 P3,189,027.07
Page | 39

Statement of Cash Flow
For the Year Ended December 31, 2021
Cash Flows from Operating
Activities
Cash Sales 4,721,400.00 4,957,470.00 5,205,343.50
Purchase of raw materials (2,866,824.00) (3,010,165.20) (3,160,673.46)
Payment of
salaries (152,880.00) (160,524.00) (168,550.20)
Payment of permits, taxes and licenses (141,612.00) (148,692.60) (156,127.23)
Payment of
Utilities (40,800.00) (42,840.00) (44,982.00)
Payment of Miscellaneous (7,200.00) (7,560.00) (7,938.00)
Payment of
supplies (3,416.00) (3,586.80) (3,766.14)
Payment of transportation (1,400.00) (1,470.00) (1,543.50)
Payment of advertising (1,250.00) (1,312.50) (1,378.13)
Net cash provided by (used in)
operating activities 1,506,018.00 1,581,318.90 1,660,384.84
Cash Flows from Investing Activities
Purchase of machineries and
equipment (11,505.00) - -
Purchase of furniture and fixtures (4,380.00) - -
Purchase of kitchen tools and utensils (3,722.00) - -
investing activities (19,607.00) - -
Cash Flows from Financing
Activities
Contribution from Owners 70,000.00 - -
Withdrawal of Owners - (788,698.75) (828,231.72)
financing activities 70,000.00 (788,698.75) (828,231.72)
Net Increase / Decrease in Cash 1,556,411.00 792,620.15 832,153.12
Add: Cash at the beginning of the year - 1,556,411.00 2,349,031.15
Cash at the end of the year 1,556,411.00 2,349,031.15 3,181,184.27
Page | 40
F. Schedule of Partner’s Capital
Year 1 Roxanne B. Marcela B. Renalyn R. Jenifer M. Total
Beginning P17,500.00 P17,500.00 P17,500.00 P17,500.00 P70,000.00

Add: Share in Net
Income 375,524.15 375,524.15 375,524.15 375,524.15 1,502,096.60
Ending Balance P393,024.15 P393,024.15 P393,024.15 P393,024.15 P1,572,096.60

Beginning P393,024.15 P393,024.15 P393,024.15 P393,024.15 P1,572,096.60

Add: Share in Net
Income 394,349.38 394,349.38 394,349.37 394,349.37 1,577,397.50
Subtotal 787,373.53 787,373.53 787,373.52 787,373.52 3,149,494.10
Less: Withdrawal 197,174.69 197,174.69 197,174.68 197,174.69 788,698.75

Beginning P590,198.84 P590,198.84 P590,198.84 P590,198.83 P2,360,795.35

Add: Share in Net
Income 414,115.86 414,115.86 414,115.86 414,115.86 1,656,463.44
Subtotal 1,004,314.70 1,004,314.70 1,004,314.70 1,004,314.69 4,017,258.79
Less: Withdrawal 207,057.93 207,057.93 207,057.93 207,057.93 828,231.72
Page | 41
Chapter 9
Socio-economic Impact
The development of business activities became increasingly global as numerous
firms expand their operations. In a food industry, innovations amplified and there was a
tremendous change in lifestyle of people. From the different parts of San Fabian Market,
that a number of coffee shops increased and existing coffee shops franchises.
The business will provide benefits to San Fabian town and also for the people
living in this place. This benefit will redound to their family. It will provide jobs that can
help to lessen the number of unemployed individual. In addition, it will contribute to the
municipal and to the people by paying the taxes from to the business. It can also be the
home of visitors and might be consider as pride of San Fabian. The business will be a big
help to the suppliers because this will give them sales in their own business. The
proponents will also provide a new set of taste in regards to drinks that will surely give
satisfaction and benefits in our body. Lastly, rice coffee shop will provide a friendly,
comfortable atmosphere where the customer can receive quality refreshment, service and
entertainment at a reasonable price.
The role of business in social and economic development cannot be overstated.
Business plays a vital role in the economic development and wealth of a country.
Success in business translates to the economic well-being of a company and its
residents through job creation and offering improved quality of life.
Page | 42
Chapter 9
Conclusion of the Study
Demand for coffee in the Philippines is said to be increasing which gives an
opportunity for everyone who is willing to put up this kind of business. After gathering
all necessary information about the coffee industry, the proponents conclude that the
proposed business is feasible. As discussed in the study, JMARTS Brewed rice will offer
coffee shake that comes with four flavors; classic and with toppings which are crashed
cream-o cookies, chocolate syrup and both.
Each partner shall contribute Php 17,500.00. This will cover all necessary
expenses. Net income for the first year through third year is as to P1, 502,096.60, P1,
577,397.50 and P1, 656,463.45 respectively.
The continuous improvement the proponents anticipate the increasing sales on a
year to year basis. This will result to a higher net income and a fast growing business. In
order to accomplish this and to be able to meet the goals of the proponents, target
consumers shall also be considered in a way that they can get from the product. By
enhancing the customer relations and the productivity of the business, the proponents
foresee the success of the proposed business venture.
Page | 43
Appendices
Figure 3. Survey Results (Graph Presentation)
Target Market
Students (30 respondents)
1. Rice coffee has lots of 2. What factors do you

benefits, if it its going to be a consider in buying drinks?
shake, will you buy it? 6.67%
26.66% Price
30%
Yes Taste
No 66.67% Quality
70%
3. Will you add toppings on 4. What toppings will you add

your shake? on your shake?
13.33% 26.66% 43.33%
Yes
No 66.67%
86.67% Cream-O Cookies
Chocolate Syrup
Cream-O Cookies and Chocolate Syrup
Page | 44
5. How much is your daily 6. How many times you buy

budget for food? shake per week?
26.66%
66.67% 15-70 pesos
26.66%
1x
100-120
2x
pesos 53.33%
70.00% 66.67%
3x
200 pesos
7. What would be the maximum

price you would be willing to pay
for a shake?
30
23.34%
40
50.00%
26.66% 45
Other Amount
66.67%
Page | 45
Employees (30 respondents)
1. Rice coffee has lots of 2. What factors do you 3. Will you add toppings
benefits, if it its going to be a consider in buying on your shake?
shake, will you buy it? drinks?
10% 10.00%
Price Yes
Yes 13.33%
20%
Taste No
No 66.67%
70% Quality
90%
4. What toppings will you 5. How much is your daily 6. How many times you
add on your shake? budget for food? buy shake per week?
26.67% 6.67%
50-150
56.66% 20% pesos 10% 1x
16.67% 46.67% 200-250 2x

pesos 23.33% 3x
33.33% 60.00%
Cream-O Cookies 300-500 Specify
Chocolate Syrup pesos

for a shake?
16.67% 30
10% 40
50.00%
45
23.33%
Other Amount
Page | 46
Passersby (30 respondents)
1. Rice coffee has lots of 2. What factors do you 3. Will you add toppings
benefits, if it its going to be a consider in buying on your shake?
shake, will you buy it? drinks?
6.67% 6.67%
Price Yes
Yes 26.66% 100.00%
Taste No
No 66.67%
93% Quality
4. What toppings will you 5. How much is your daily 6. How many times you
add on your shake? budget for food? buy shake per week?
30.00% 13.33%
66.67% 3.33%
46.67% 10%
1x
20-70 pesos
2x
23.33% 100 pesos 26.67%
86.67% 3x
Cream-O Cookies 150 pesos
50% 4x
Chocolate Syrup

for a shake?
16.67% 30
43.33% 40
13.33%
45
26.67% Other Amount
Page | 47
Summary Results of Budget
Category Range
Students P 15.00 – P 200.00
Employees P 50.00 – P 500.00
Passersby P 20 – P 150.00
Front View
RICE COFFEE
Page | 48
SURVEY FORM
Name:
Name of School:
Grade and Section:
Age:
1. Rice coffee has lots of benefits, if it is going to be a shake, will you buy it?
 Yes
 No
2. What factors do you consider in buying drinks?
 Price
 Taste
 Quality
3. Will you add toppings on your shake?
 Yes
 No
4. What toppings will you add on your shake?
 Cream-O Cookies
 Chocolate Syrup
 Cookies and Chocolate Syrup
5. How much is your daily budget for food?
___________________
6. How many times do you buy shake per week?

 1x
 2x
 3x
 4x
 Specify ______
7. What would be the maximum price you would be willing to pay for a shake?
 30
 40
 45
 Other Amount ________
Page | 49
Name:
Type of Passersby:
Age:
 Yes
 No
 Price
 Taste
 Quality
 Yes
 No
 Cream-O Cookies
 Chocolate Syrup
___________________

 1x
 2x
 3x
 4x
 Specify ______
 30
 40
 45
Page | 50
Name:
Type of Employee:
Age:
 Yes
 No
 Price
 Taste
 Quality
 Yes
 No
 Cream-O Cookies
 Chocolate Syrup
___________________

 1x
 2x
 3x
 4x
 Specify ______
 30
 40
 45
Page | 51

Rice Coffee Proposal Sample Business Plan

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Rice Coffee Proposal Sample Business Plan

Uploaded by

Copyright:

Available Formats

San Fabian National High School

Senior High School Department

A. General Concept of the Business

mountainous region of the Philippines because its origin is in Ilocos Norte.

and heart disease.1

because the recipe is simple and it requires minimal investment.

by adding ice cream on top of the coffee.

coffee which have varieties as mentioned above.

C. History of Rice Coffee

Making coffee out of rice as an enterprise was proven as a lucrative source of

decades. A roasted rice traditionally served as a coffee substitute. This refreshing

rice coffee is interestingly staging a comeback.

ingredient of rice coffee.

can be a substitute if you're in low budget.

risk of several serious diseases.

because it is absolutely healthy, nutritious and affordable. Add-ons such as sugar,

service at a reasonable price.

reliable services to our consumers.

D. Business Name and Logo

BREWED RICE also talks about the uniqueness of our product.

In conducting a business, location is one of the things to be considered. This can

college students, passersby and also the church goers.

To Nibaliw Center To Market

F. Long-range Objectives and Specific Objectives

Nowadays, fastest growing franchises set on an aggressive expansion strategy while

maintaining strict controls, leading to remarkable results in a short time.

to become a well-known beverage that caters to coffee lovers.

• JMART’s Brewed Rice will offer a variety of choices to the consumers, to

classy theme like the commercial establishments.

• Maintain a high standard of food quality and services

• Ensure a friendly comfortable atmosphere

INITIAL INVESTMENT REQUIREMENT

UNIT BASE 10% TOTAL

MACHINERIES AND EQUIPMENT

1 Blender 9320.00 9,320.00 932.00 10,252.00

1 Single burner 640.00 640.00 64.00 704.00

1 Extension 250.00 250.00 25.00 275.00

FURNITURES AND FIXTURES

2 Plastic tables 640.00 1,280.00 128.00 1,408.00

6 Plastic chairs 100.00 600.00 60.00 660.00

KITCHEN TOOLS AND UTENSILS

1 Deep frying 299.00 299.00 29.90 328.90

1 Slotted turner 107.00 107.00 10.70 117.70

1 Electric Kettle 295.00 295.00 29.50 324.50

1 Strainer 56.00 56.00 5.60 61.60

1 Ice box 2,295.00 2,295.00 229.50 2,524.50

1 Container 120.00 120.00 12.00 132.00

8 Apron 20.00 160.00 16.00 176.00

8 Hair Net 10.00 80.00 8.00 88.00

1 box of Plastic 100.00 100.00 10.00 110.00

Stall Cart 2,500.00 250.00 2,750.00

SUB TOTAL: P19,912.20

Business Registration Expense

Permits and Licenses 1,720.00 172.00 1,892.00

COST OF MATERIALS (40 SERVINGS)

40 kg Rice 40.00 1,600.00 160.00 1,760.00

40 kg Sugar 20.00 800.00 80.00 880.00

4,000 Cups 300.00 12,000.00 720.00 7,920.00

80 All-purpose cream 30.00 2,400.00 240.00 2,640.00

80 Evaporated Milk 25.00 2,000.00 200.00 2,200.00

80 Condensed Milk 50.00 4,000.00 400.00 4,400.00

Ice crushed 100.00 4,000.00 400.00 4,400.00

Product A (P459530 days) P128,250.00

Product B (P558530 days) 140,250.00

Product C (P506930 days) 103,500.00

Product D (P506930 days) 103,500.00 P475,500.00

Product A (P25.569530 days) 72,846.00

Product B (P35.568530 days) 90,678.00

Product C (P30.566930 days) 63,259.20

Product D (P30.566930 days) 63,259.20 290,042.40