CHAPTER 1

PROJECT BACKGROUND This chapter describes the structure and composition of the proposed project and provides the reader with the basic knowledge necessary to understand the proposed business. A. Product/Project Description The proponents will be putting up a food and beverage business which is a doughnut caf. This could be similar to Dunkin Donut that has a dining area, music background, and free WIFI access for surfing the net and researching as an attraction. The proponents also thought of providing a toilet inside the establishment for the costumers need. This proposed business is intended for those who want to enjoy the food, beverage, and all other services and amenities of a food service establishment at low and reasonable cost. B. Name of Business The proponents agreed to name the business Donut Bite because it sounds appealing and can easily be remembered by the target market. C. Project Proponent and Share Ownership The five proponents of DONUT BITE agree that the share of ownership will be based on equal-share partnership wherein, each proprietor will give Php 250,000.00 investment, totaling to Php 1,000,000.00. The proponents name, share of investment and ownership is presented in the table below.

Table 1

Share of Ownership Name Share of Capital Investment Share of Ownership

Christian Madulid Antonio Canlas II Christian Jay Vargas Jordean Jayson Dionisio Kelvin Lloyd Corpuz TOTAL

Php 250,000.00 Php 250,000.00 Php 250,000.00 Php 250,000.00 Php 250,000.00 Php 1, 250, 000.00

20% 20% 20% 20% 20% 100%

D.

Proposed Location (See Appendix A)

The business will be renting a commercial space located at 136 ODIE Building, Congressional Avenue, Quezon City. The proposed location is near commercial establishments, residential areas such as condominium and housing. Schools and colleges such as AMA Computer University, STI College, and San Lorenzo. Public utility vehicles and private vehicles can easily reach the place. By taking a jeepney that pass the routes of Project 8 to Quiapo via Quezon Avenue. For private vehicles coming from Novaliches, they can could take Mindanao Ave. then turn left to Congressional Ave., and those who would be coming from Quezon City Memorial Circle they could take Visayas Ave., the turn left to Congressional Ave. The proponents chose this place because the proponents think that this business will become successful in the proposed location.

E.

Company Vision and Mission

Vision: To be the best distributor of doughnuts in the Philippines. Mission: Being the best means providing customers with unique and delicious doughnuts. Serving every customer a standard quality and proper hygiene and making their bite a joyful experience. The Donut Bite will be very much positive in offering a lot of services to satisfy customers needs. Donut Bite will serve with honesty and credibility. Donut Bite will be always open-minded to those other competitors and will seek only the best. To create an environment for friends and familys bonding. To treat everyone as an honored guest in his/her own home. F. Logo/ Rationale The proponents decided to propose this picture as the logo of the business. This logo identifies that the business are selling is doughnut. The doughnut has a bite on it because its show that many people love bite and eating doughnut especially the kids. The color red, as the highlight of the name to the proposed business because Red is the warmest of all colors, Red is the color most chosen by extroverts and one of the top picks of males, it is also a protection from fears and anxieties, and especially to remind the proponents that they need to show courage

throughout the difficult time. The proponents also put a square shape which represent that the proponents need to treat every customer equally. (See Appendix B- Logo)

Chapter 2

SITE ANALYSIS Site analysis is an inventory completed as a preparatory step to site planning, a form of urban planning which involves research, analysis, and synthesis. Its primarily deals with basic data as it relates to a specific site. The topic itself branches into the boundaries of architecture, landscape architecture, engineering, economics, and urban planning. (Wikipedia- The Free Encyclopedia) A. Visibility from the Main Arteries 136 ODIE building Congressional Avenue Quezon City is a heavily populated district. Although it is primarily a residential area, there are also many industrial facilities and commercial areas near the place. The proposed business site is situated in a developed area along Congressional Avenue Quezon City. In every business, visibility is important for attracting customers, especially when it is sited in a dynamic community. Since it is located near the schools such as AMA Computer University, STI College, and San Lorenzo there are also other establishments such as banks, coffee shop, car wash, malls, and markets near the area. DONUT BITE is near the pick-up and drops off points of the public utility vehicles and therefore a number of people are expected in the area most of the time. Also, most of the minor streets in the area connect to the main road.

B.

Visual Appeal of the Area and Sorroundings The location of the business is in Odie Building along Congressional Avenue Quezon

City. The business is new in the area, resident and non- resident may be curious about it and take a few minutes of their time to visit it. Nowadays the number of establishment are growing rapidly like having LRT in Munoz and MRT passing along EDSA road. And infrastructures like roads, telecommunications, water supplies and power supply that provide good services. Traffic Count Results The traffic count results show the number of public and private vehicles and pedestrains passing the street of Congressional Avenue daily. The outcome of the traffic count assured the proponents that DONUT BITE is really accessible to everyone and a high vehicular and human flow is indicative of a big market. C. Area Growth Pattern The proposed location of the business belongs to Brgy. Project 8, and according to the population growth survey of Quezon City government it has a slow growth rate. Although this would be an unfavorable factor, the proponents are sure that it would not affect their business because the proposed location is at the center of transport, near to schools and colleges, and commercial activities. D. Accessibility ODIE Building where DONUT BITE would be put up is located along

Congressional Avenue Quezon City which is highly accessible to potential customers taking puplic and private transportation. Commuters who want to avail of the products

and services of DONUT BITE can access it by taking a jeepney that pass the routes of Project 8 to Quiapo via Quezon Avenue. For private vehicles coming from Novaliches, they can could take Mindanao Ave. then turn right to Congressional Ave., and those who would be coming from Quezon City Memorial Circle they could take Visayas Ave., the turn left to Congressional Ave. 1. Target Market The proponents will be establishing a donut business in ODIE building Congresional Ave. Quezon City. The prospective customers of DONUT BITE are the students from S.T.I. College, Collegio De San Lorenzo, and John Dewey. Villages like Congressional Village and Cityville Executive Village. And commercial establishment such as Cherry Foodarama, North Ridge, and Circle C. Walter Mart near the area. The proponents predicted that the said target market would patronize DONUT BITE. 2. Raw Materials and Suppliers DONUT BITE is just a few minutes ride from the market, which will make it easy for the proponents to purchase their raw materials.
Establishment Wet Goods Balintawak Market Munoz Market Walter Mart Dry Goods SM Supermarket (North) Landmark (Trinoma) Address
Epifanio Delos Santos Avenue (EDSA) Q.C.

Munoz Quezon City Munoz Quezon City North Avenue cor. EDSA, Quezon City EDSA corner North Avenue., Quezon City

For the cooking equipments the proponents decided to get it from Commercial Bakery Equipment.

Address: 49 Tandang Sora Avenue. And for the ingredients of doughnut the proponents decided to get it from J.Poon & Sons corporation.(JPCS) The bakery suppliers Office Address 37 E. Rodriguez Sr. Avenue Brgy. Donya Josefa Quezon Avenue. 3. Utilities and Sevice Providers DONUT BITE is fortunate that most of the utilities and service providers are close to the area. Below is a table which shows the name of the company and the address of firms. Utilities Water Company Maynilad Water Address Camarin Road, Barangay 173 North Caloocan City 1199-EDSA nr. Munoz Market Balintawak Q.C. GF, SM North Edsa, Q.C., Metro Manila, Philippines

Electricity Telephone / Internet

Meralco PLDT

CHAPTER 3

MARKETING FEASIBILITY STUDY In this chapter, a three (3 year marketing plan is presented, including details for necessary actions to achieve the marketing objectives. A. Marketing Feasibility Objectives 1. To be able to determine if there is a sufficient demands for the proposed product. 2. To be able to determine the competitive position of the proposed business in the industry. 3. To be able to find out what the customers prefer through a market survey. 4. To meet the break-even point in (3) two to (4) , months for the business to be sure that it is effective enough or not and to sure that every people are enjoying the food and beverage that the business will be offering. B. Market Analysis (market description) It is a tool used by the marketers to analyze composition of their target market and to determine the best courses of the action to take to promote the business. Every target market has its own specification on which products, services or establishment it would patronize. As a result, a new business should be aware of the composition around the area. The gathered data of the proponents will prove that there is a high percentage of profitability of getting regular customers for DONUT BITE because the proposed business location is a commercial area.

The target market of the business would be the students from S.T.I. College, Collegio De San Lorenzo, and John Dewey. Villages like Congressional Village and Cityville Executive Village. And commercial establishment such as Cherry Foodarama, North Ridge, and Circle C. Walter Mart near the area. The needs and wants of some people is buying the product with a quantity and quality at low cost. Serving the customers with a proper hygiene. C. Target market The proponents found that the possible target markets of the business are the students from S.T.I. College, Collegio De San Lorenzo, and John Dewey. Villages like Congressional Village and Cityville Executive Village. And commercial establishment such as Cherry Foodarama, North Ridge, and Circle C. Walter Mart near the area. And also the people pass by the area. D. Market Survey Result A survey was conducted to gather information about the possible market or customers. Specifically it aimed to identify the respondents profile and their recreation and leisure activities. Below is a tabulated survey of the students, passers-by, and employees within the vicinity.

Respondents Profile: Table 3.1 Age Age 15 20 21 25 26 35 36 and above TOTAL Frequency 13 16 11 10 50 Percent % 26 % 32% 22 % 20 % 100 %

Table 3.1 show that of the 50 respondents 16 or 32% belongs to the age range of 21 -25 years old followed by 13 or 26% who belong to the age range of 15 20 years old. 11 or 22% are belong to 36 and above and the remaining 10 or 20 % are belong to 26- 35 years old. Majority of the respondents belong to the 21- 25 years of age. These respondents age bracket is the one most like to spend time with friends and colleagues. Table 3.2 Gender Gender Male Female TOTAL Frequency 23 27 50 Percent % 46 % 54 % 100 %

Table 3.2 shows that 23or 46% of the respondents are male and the remaining 27 or 54% are female. It appears that the male respondents outnumbered the female since they are the ones who frequently stay in places such as DONUT BITE to relax while enjoying the food. Table 3.3 Status Status Single Married Separated TOTAL Frequency 19 21 10 50 Percent % 38 % 42 % 20 % 100 %

Table 3.3 shows that 21 or 42% or the preponderance of the total respondents are married. 19 or 38% are single and the remaining 10 or 20% belongs to separated. Table 3.4 Monthly Income Monthly Income/ Allowance Below Php 10, 000.00 Php 10,001.00 20, 000.00 Php 20, 001.00 30, 000.00 Php 30, 001.00 40,000.00 Php 40, 001.00 50, 000.00 Php 50,001.00 and Above TOTAL Frequency 11 16 10 7 4 2 50 Percent % 22 % 32 % 20% 14 % 8% 4% 100 %

Table 3.5 Occupation Frequency Business Man/ Woman Company Employee Teacher/ Professor Students Others 6 13 5 16 10 Percent % 12 % 26 % 10 % 32 % 20 %

TOTAL 50 100 % 100% Table 3.5 shows that 6 or 12% of the respondents are the business man/ women. 13 or 26% belongs to the company employee. 5 or 10% are belongs to the teachers/ professors. 16 or 32% belongs to the students and the remaining 10 or 20% belongs to others.

Table 3.6 Respondents Snack or Merienda Preference Frequency Pizza Pastries Cakes Doughnut Others TOTAL 8 15 5 12 10 50 Percent % 16 % 30 % 10 % 24 % 20 % 100 %

Table 3.6 shows that 8 or 16% of the respondents prefer pizza, 15 or 30% favor to pastries, 5 or 10% favor to cakes, 12 or 24 prefer doughnut and the remaining 10 or 2o% would like to eat other foods. Table 3.7 Respondents Beverage Preference Frequency Juice/ Ice Tea Soda Coffee Other TOTAL 15 13 10 12 50 Percent % 30 % 26 % 20 % 24 %
100 %

Table 3.7 show that 15 or 30% of the respondents prefer juice/ ice tea for their drinks, follow by 13 or 26% who have a preference of soda, 10 or 20% favor coffee while, the remaining 12 or 24% of the respondents prefer other beverages such as fruit shakes etc. Table 3.8 Respondents Response if They Will Patronize the Proposed Business. Frequency YES NO Total 27 23 50 Percent % 54 % 46 % 100 %

Table 3.8 show that the greater part of the respondents, that is 27 or 54% would patronize such establishment as DONUT BITE, while, 23 or 46% answered no.

It is evident that majority of the respondents who answered positively would be the possible market of DONUT BITE. Table 3.9 Respondents Response How Often They Ate Doughnut. Frequency Daily Weekly Monthly TOTAL 13 26 11 50 Percent % 26 % 52% 22% 100 %

Table 3.9 show that 13 or 26% says that they ate doughnut daily follow by 26 or 52% who says that they ate doughnut weekly and 11 or 22% for the people who ate doughnut monthly.

Table 3.10 Respondents Response if They Love Toppings for Their Doughnut. Frequency YES NO TOTAL 14 36 50 Percent % 28 % 72 % 100%

Table 3.10 show that 14 or 28% love eating doughnut with toppings and 36 or 72% says no.

Table 3.11 Respondents Response for Doughnut Toppings. Frequency Sprinkles Nuts Mallows Kisses TOTAL 15 12 10 13 50 Percent % 30 % 42 % 20 % 26 % 100%

Table 3.11 15 or 30% love sprinkles for their toppings, 12 or 42% love nuts 10 or 20% love mallows and 13 or 26% love kisses for eating their doughnuts. Table 3.12 Respondents Response what Establishment They Prefer for Spending Their Snacks. Establishment Dunkin donut Mister donut Krispy Crme Go nuts Donuts TOTAL Frequency 15 17 10 8 50 Percent % 30 % 34 % 20 % 16 % 100%

Table 3.12 show that 15 or 30% prefer to eat their snacks to Dunkin donut, 17 or 34% prefer mister donut, 10 or 20% prefer krispy crme and 8 or 16% prefer go nuts donuts for their snacks or merienda.

Table 3.13 Respondents Response How Often They Pass along Congressional Avenue. Frequency Always Sometimes Never TOTAL 33 14 3 50 Percent % 66 % 28 % 6% 100%

Table 3.13 show that 33 or 66% answers that they always pass congressional avenue. 14 or 28% says sometimes and 3 or 6% says never. Table 3.14 Respondents Response if They Patronize the Donut Bite along Congressional Avenue. Frequency YES NO TOTAL 29 21 50 Percent % 58 % 42 % 100%

Table 3.14 show that 29 or 58% answers that they will patronize the new business in the area and 21 or 42% says no.

E.

Competitive analysis This is one of interacting components in marketing with the competition around, the

proponents will strive to develop and improve their products and services. It is also important in marketing to outperform your competitors with the unique and classify the competition around the vicinity.

1.

Direct competitors:

A direct competitor is an establishment that offers the same products and services as those the proposed business will offer.

Table 3.15 Direct Competitors Name of establishment Description (Product & services offered) Dunkin Donut Manila, Phil. Mister Donut North EDSA, Q.C. Metro An establishment that offer donut Ground Floor, Circle C Center, Congressional Avenue, Corner Jupiter Street, Quezon City, Metro Manila Julies Bake Shop A bake shop that primarily Congressional Rd, Quezon City, offers Bread and other baked Metro Manila products. Location

2.

Indirect Competitors

Indirect competitors are establishment that offer all or some of the products and services that the proposed business offer.

Table 3.16 Indirect Competitors

Name of establishment Description (Product & services offered) KFC The primary product is chicken and also classified as fast food chain A fast food chain, which offers burger, chicken and other food& Beverage items. Tropical Hut food establishment that offers catering service a fast food chain, which offers Chinese food. Restaurant thats offer grill food Congressional Avenue, Quezon City, Metro Manila Circle C Center, Congressional Avenue, Quezon City 179 Mindanao Ave, Quezon City Congressional Ave. cor. Mindanao Ave., Brgy Bahay Toro Quezon City . Pangilinan Cor. Congressional Ave., Brgy. Bahay Toro, Quezon City Location

Jollibee

Chow King Pares

F.

Marketing Plans and Strategies Marketing is the process of continuously and profitability satisfying the target customers

needs wants and expectations superior to competition. Moreover, marketing plans outlines how businesses intend to grow in the market place and win against competition. Below are the marketing plan from pre-opening/ opening and a three- year plan, which focuses on the product, promotion, prices and the place. 1. Pre- opening and opening In the pre- opening of DONUT BITE, the proponents will have banners, signage, and tarpaulins where the target market could easily see them and attract their attentions, flyers will be distributed before the opening so that the market will have an idea that there will be a new

establishment that will open soon. Then, invitation will be sent to families, friends, neighbors and other establishments nearby for the blessing and ribbon cutting of the DONUT BITE. Brochure Flyers Tarpaulins For the opening , the proponents want the DONUT BITE to be well-known to its target market therefore a sound system will be set up to attract customers especially at daylight. Here are the promos that the proponents thought of on the first day of the operation. First 20 customers will be given free drinks. For every Php 200.00 accumulated bill (single receipt) on food, free half a dozen of doughnut. Blessing, ribbon cutting, sound system, and balloons and flowers. 2. 3 -Year Marketing Plan In business, it is not just a matter of how one can establish it but also of how to maintain it. The proponents prepared a three year marketing plan for the business aimed at increasing sales or income. In the initial year, the proponents thought of giving discounts of the selected food items during the first three (3) months of operation. Continuous flyers and leaflets will be given for promotion and advertising of the establishment especially, during special occasions. In addition, signages and banners will be

posted near the vicinity and along the areas of Congressional Ave., Mindanao Ave and EDSA. By doing so, people will be more aware or be constantly remember of the said establishment. G. Sale/ Income Projection Sale/ income projection is the pre-assumed sales of the business within a certain period of time and how much possible earning it will earn. This also pre-determines how soon it will take to bring back the initial investment of the proponents.

Appendix A Vicinity Map

Appendix B Logo

DONUT BITE

Chapter 4

MANAGEMENT & PERSONNEL FEASIBILITY STUDY The basic aim of the management aspect is to have an effective organization, which will help to carry out the objectives of the project proponents. (Ditablan, 1993) A. Management and Personnel Feasibility Objectives 1. To illustrate the workforce and to be able to determine the organizational

structure. 2. To provide basis of job specifications and description for each position

and describe ways and means of forecasting human resources requirements. 3. To provide basis of the management style that would be adapted by the

proposed business. B. Personnel (Administrative) Workforce The proponents agreed that 2 (two) of them will manage the business to achieve the vision and mission of the company and also to protect the capital investment. The rest of the proponents will take turns in their daily work schedule to render their services without any remuneration. Under the Manager, a cashier will be the customers payments and one service staff. In the staff will be hired that will also work collectively. C. Organizational Chart The proponents adopted the functional style of organizational form because this is the most suitable for the proposed business. Employees within the functional organization tend to perform a specialized set of tasks, for instance the cook would be position only in the kitchen. This leads to operational efficiencies within that group. hired to take charge of

kitchen, a cook and a kitchen

ORGANIZATIONAL CHART

MANAGER

Cashier (1)

Cook (1)

Service Staff (1)

Kitchen (1)

D.

Job Specification and Job Description Job specification is a listing of the qualifications required of the person holding

the job. Below are the necessary qualifications of each aspirant. Position Title: Manager Male or Female 25 35 years old Has a pleasing personality Must possess a bachelors / college degree on food and beverage services management. Must have at least two (2) years of working experience in the related field is required. Solid written and strong verbal communication skills including delivering of group presentations is required. Good leadership skills in handling and managing team members. Work requires willingness to work a flexible schedule.

Position Title: Cook Male 25 -35 years old Has pleasing personality Graduate/ college level, vocational diploma/ short course certificate of HRM or culinary arts or any related course, knowledgeable in all raw materials, preparation of all items and all kitchen procedures. With one year experience in the food industry. Good leadership skills in handling and managing team members; can work with minimal supervision even under pressure. Must be hard working and willing to work overtime and trustworthy. Position Title: Cashier Female 18 25 years old and has pleasing personality. Graduate/ college level, vocational diploma/short course certificate of any related course. At least 1 year working experience in the related field is required for this position. Willing to work overtime and under pressure. Can work with minimum supervision. Must be hard working, thrust worthy and customer oriented.

Position Title: Service Staff Male 18 - 25 years old and has pleasing personality and good communication skills. Graduate/ college level, vocational diploma/ short course certificate of any related course. At least 6 months to 1 year of working experience in the related field is an advantage. Should be jolly, friendly, trustworthy and service oriented. Can work with minimum supervision and willing to work overtime and under pressure. Position Title: Kitchen Staff course. Preferably with one year experience in the food industry. Can work with minimal supervision even under pressure, can easily understand simple instructions. Must be hard working and trustworthy. Willing to work overtime and under pressure. Male preferably not more than 35 years old. Graduate/ college level of HRM or culinary arts or any related

Job description tells what the job entails like how the position relates to other positions, the responsibilities and specific duties to be fulfilled. (Ernest A. Franco, 2005)

Below are the job descriptions of every required position. Position Title: Manager Manage the operational and fiscal activities of the business to include: Staffing levels, budgets, and financial goals. Plan and develop systems and procedures to improve the operating quality and efficiency of the business Analyze and document business processes and problems. Develop solutions to enhance efficiencies. Supervise staff in accordance with company policies and procedures. Position Title: Cook In-charge in the preparation of food and beverage. Does the inventory of the stock in the kitchen and food control. Maintains the neatness and cleanliness of the kitchen and pantry.

Position Title: Cashier Responsible for the acceptance of payments. Accurately maintaining all cash.

Position Title: Service Staff Serves the food and beverage ordered by guests.

Prepares the dining for usage. Maintains the cleanliness of the dining area.

Position Title: Kitchen Staff E. Maintains the neatness and cleanliness of the kitchen and pantry. Assist the cook on preparing foods and beverages.

Proposed Personnel Salaries & Wages and Benefits CONDITIONS OF EMPLOYMENT The employee of the propose business would be classified as Contractual/ Casual

Employees and Regular Employees. Contractual/ Casual Employees are hired for a fixed limited period. However, prior to the expiration period, the management has the opinion to extend the contract. A Regular Employee may be supervisory or managerial pursuant to guidelines in labor law.

SALARIES AND WAGES TABLE 4.1

Proposed Salaries of the Employees POSITION MANAGER MANAGER SALARY / WAGE Minimum wage and additional of 25% -Php 532.5/day -(Php 532.5)(26 days) = Php 13, 845/month -(Php 13, 550)(6mos.) = Php 83,070

Minimum wage CASHIER Php 404.00/day (Php 404.00)(26days) = Php 10,504.00/month (Php 10,504.00)(6mos.) = Php 63,024.00

Minimum wage and additional of 5% COOK Php 424.20/day (Php 424.20)(26 days) = Php 11, 029.20/month (Php 11,029.20)(6mos.) = Php 66,1745.20

SERVICE STAFF

Minimum wage Php 404.00/day (Php 404.00)(26days) = Php 10,504.00/month (Php 10,504.00)(6mos.) = Php 63,024.00

KITCHEN STAFF

Minimum wage Php 404.00/day (Php 404.00)(26days) = Php 10,504.00/month (Php 10,504.00)(6mos.) = Php 63,024.00

BENEFITS 13th month Pay

In compliance with the Presidential Decree 851, the business will pay the employee a 13th month equivalent to one (1) month of current basic pay. SSS/ PHILHEALTH/ PAG-IBIG T he business will pay its share of contribution of the government mandated benefits. The companys contribution is based on their monthly salary. Overtime Pay The overtime is paid for work rendered in excess of eight (8) working hours on regular holidays and on non- working holidays. Overtime will be based on overtime authorization slip signed by the management. Free Uniform Uniforms would be provided for the cashier, service staff and kitchen staff. Vacation Leave Employees of the business with at least 1 year of continuous service are entitled to a fifteen (15) day vacation leave. The vacation leave should be scheduled and should not exceed one week. Request of vacation leave should be made through a letter to be approved by the management. However, the management has the right to schedule or re schedule the vacation leave of the employees.

Sick Leave

A regular employee shall be entitled to a ten (10) day paid sick leave per year while, contractual employees are allowed to take a rest tub without pay if they cannot report to work because of ailments or sickness. Employees who will be on sick leave for three (3) consecutive days should submit a Medical Certificate/ Fit to work certificate. Regular employees who fail to comply with foregoing requirements cannot avail any leave benefits but shall be considered absent. Service Charge A centralized 10% service charge will be distributed equally to the employees every work pay day. In such case that an employee is having a day-off he/ she not entitled for the said service charge computation. F. Training and Seminars Training is one of the most important activities which are to be done in ones company most especially if the company is newly opened. The proponents thought of some training for the employees that they would conduct personally and be done once a year for efficiency, adaptability in social and future job performance. The table below will present a planned seminars and training for the employee as well for management.

PROPOSED TRAINING AND SEMINARS

TRAINING/ SEMINAR Orientation

OBJECTIVE

MEDUIMS OF TRAINING

To familiarize the policies, basic Presentation,Handouts or information of the company and Film Showing. demonstration of how to use the equipments for new hired employees.

Skills Training (Food & Beverage Service) Seminar (Personality Development)

To teach the employees to perform Hands- On Training certain set of tasks. To improve adaptability to environment and enhance Confidence Visual Presentation, speaker would talk about Personality Development. Hosted activities or Retreat.

Team Building Activity

To create camaraderie for the Manpower and managerial position also with the owners.

G.

General Company Policies 1. Recruitment and Hiring Procedures The proponents will have a selection process in which, the proponents will choose individuals to be hired. The proponents agreed that at first, we will ask for referrals from families and friends or walk-in applicants that are interested to be part of the company.

Process would involve screening of applicant forms. Thru applicants will be notified as soon as possible thru telephone if they are qualified for an interview. After the interview they will be given instructions whether to wait for the companys call or to come back and bring the following requirements such as NBI clearance, Barangay clearance, Diploma, Training Certificates if available, working Certificates, and Medical Certificates. 2. Working Policies A. TIME KEEPING Work Hours The official time in is 8:00am and the official time out is for the morning shift. For the afternoon shift, the official time in is 1:00pm and the official time out is 10:00pm. A one hour of break is given for every shift. Operational hours will be from 8:30am to 9:00pm. Under Time Under time is leaving the establishment for the same period of 30 minutes of any work period. Work period refers to the working schedule established by the management. Under time shall be deducted from pay. Absence Absence is defined by the company as non appearance of the employee in the premises of the office. Every employee is required to be

regularly present in his/ her job. Unexcused absences or without proper permission will be sanctioned as follows.

1st Offense - Verbal warning 2nd Offense - Written memo 3rd Offense - 3 days suspension 4th Offense 5 days suspension 5th Offense Dismissal Tardiness Tardiness / late are defined by the company as not arriving for work on the prescribed schedule shift. This definition however does not cover the management. Employees are only allowed 60 minutes or approximately 5 minutes per day of tardiness for the duration of their pay period, with excess of this computable deduction on their salaries. Employees constantly being tardy / who have exceeded 90mins of tardiness in a given pay period will be reprimanded according to the following: 1st Offense - Verbal warning 2nd Offense - Written memo 3rd Offense - 3 days suspension 4th Offense 5 days suspension 5th Offense Dismissal

B.

IDENTIFICATION Identification Card / Nameplate An identification card and nameplate would be issued upon employment for security reasons. The ID and nameplate remains as property of the business and should be surrendered upon resignation, termination or end of contract.

C.

BEHAVIOR AND ATTITUDE IN THE WORK PLACE Betrayal of the Business Trust Betrayal of trust by falsifying and documents that may affect the business, the owners, employees and clients such as financial operations, recipe leakage, and other documents if such occur, the management has the right to perform necessary actions. Theft, Robbery, Misappropriation of funds, and willful destruction of

property These acts are punishable by immediate dismissal. Drunkenness and Drug addiction The employees are required to report for work physically and mentally fit. Coming to work drunk or under the influence of drugs is punishable by dismissal. Acts against Co-workers and Company Officers Acts against co-workers and company officers constitutes: Fighting or assaulting.

Challenging, threatening, intimidating or insulting. Uttering of obscene, foul and offensive words and gestures. Managers/ supervisors should not abuse their authority by requiring the subordinates to do task that are not related to their work or official function.

Courtesy and respect The employees should be courteous with their co-workers and the customers or guests. Serving with a smile and respect is a key to a happy satisfied guests and harmonious relationship with co-workers. Grooming and Proper Attire Grooming and sanitation are factors in this kind of business, and they shall at all times be well-groomed and wear of the uniform given and prescribed to them. 3. Administrative / Personnel Facilities Since the proposed business is a medium scale enterprise the facilities that would be available to the employees is locker cabinet for the safety of their belongings every time they are on duty. H. Professional Firms to be Hired (Outsourcing) The proponents would be hiring a private CPA (Certified Public Account) practitioner for the book keeping and financial statements of the business, and also for filing of income tax returns. The CPA that would be hired is a family member of the proponents.

Chapter 5

TECHNICAL FEASIBILITY STUDY This aspect identifies whether the product could be produced at the highest possible quality level with minimum cost. (Ditablan, 2000) A. Technical Feasibility Objectives: 1. 2. To be able to understand the flow of the operation of the proposed business. To provide information on the product/ services that the business would be

offering. 3. B. To have a view of the well-planned lay-out of the service area and business site.

Type of Operation: For those who will buy or dine-in, the counter style service will be implemented. SERVICE FLOW CHART

Welcome the Guest

Place Order

Payment

Serve Food

Prepare Food

C.

Product/ Services 1. Description DONUT BITE would be offering doughnuts and drinks like coffee, tea, shake, and soda. There would be a small dining area that can accommodate 25 to 32 persons. Were the customers can stay and relax while eating there snacks or having a coffee break. 2. COSTING ?

D.

Proposed Facilities, Design and Layout 1. Size (Lot Area and Floor Plan) The DONUT BITE would be place in 65 square meters commercial space in ODIE Building which will be divided into small dining area, kitchen and comfort rooms. 2. Proposed Service Area The DONUT BITE has two (2) proposed service areas. First is the dining where the customers can dine-in with their family and friends. It is a 32 seater area with free WIFI access and music background. The second is the kitchen where the food and beverages are prepared to be served to the guest.

3. 4.

Layout of the Floor Plan (See appendix - D) List of Furniture & Fixtures, Equipment, Tools and others COMMERCIAL (DONUT BITE) 136 ODIE building Congressional Avenue Quezon City. DONUT BITE BUDGETARY COST ESTIMATE

PROJECT: LOCATION: OWNER: SUBJECT:

TABLE BUDGETARY COST ESTIMATE

Item Total No. Particulars Qty Unit Unit Cost

\\ Concrete and Masonry Works COUNTER TOPS Cement Sand CHB WALLS 6 thk CHB 4 thk CHB Cement Sand Sub-total 1,552.00 pcs. 105.00 100.00 10.00 pcs. bags cu.m. 15.00 5.00 bags cu.m.

Material

A. 5.00 5.01 5.02 6.00 6.01 6.02 6.03 6.04

130.00 490.00

1,950.00 2,450.00

12.00 9.00 130.00 49.00

18,624.00 945.00 13,000.00 490.00 37,459.00

B. 2.00 3.00 4.00 7.00 8.00 9.00

Carpentry Works 1/4 thk. Ord. Plywood (partition) 40.00 2 x 2 wooden studs CWN assorted PVC door and jamb 2 x 2 ceiling joints Sub-total 376.00 6.00 6.00 pcs. bd.ft kgs. sets pcs. bd. Ft 350.00 22.70 47.00 14,000.00 8,535.20 282.00

2,000.00 12,000.00 400.00 22.70 800.00 635.60 36,252.80

thk marine plywood (T&B ceiling) 2.00

28.00

B. C.

Hardware & accessories Main door locksets T & B door locksets Loose pin hinges (entry door) Concealed hinges Sub-total
5.00

1.00 3.00 6.00 7.00

1.00 2.00
cu.m.

sets sets
490.00

500.00 250.00
2,450.00

500.00 500.00 350.00 350.00 37,459.00

14.00 7

pcs pcs.

25.00 50.00

D. 1.00 2.00 5.00

Tile Finishes 60 cm x 60 cm floor tiles 20 cm x 20 cm floor tiles Ordinary cement Sub-total 150.00 50.00 10.00 pcs. pcs. bags 30.00 18.00 130.00 4,500.00 900.00 1,300.00 6,700.00

E. 2.00 3.00 4.00 5.00 6.00

Painting Works Concrete interior walls Concrete neutralizer Concrete sealer Wooden partition Doors & jambs Sub-total 100.00 7.00 7.00 30.00 30.00 sq.m gals gals sq.m sq.m 120.00 300.00 300.00 175.00 175.00 12,000.00 2,100.00 2,100.00 5,250.00 5,250.00 26,700.00

F. 1.00 2.02 2.04 2.05 2.06 2.07 2.08

Plumbing Works Water lines, sanitary lines, pipes 1.00 and fittings Lavatory Soap dispenser Tissue paper holding Floor strainer Lavatory faucet Kitchen faucet Sub-total 2.00 2.00 2.00 3.00 2.00 1.00 lot sets sets units units sets set 0.00 30,000.00

1,000.00 2,000.00 100.00 100.00 25.00 250.00 250.00 200.00 200.00 75.00 500.00 250.00 33,225.00

G.
1.00

Electrical Works Roughing-ins-complete 1.00 electrical wiring PVC conduit with accessories, junction and utility boxes, devices, panel boards, installation of fixtures; telephone and cable TV wiring Sub-total Lot 30,000.00

30,000.00

TOTAL MATERIAL COST LABOR COST 5% Contingencies TOTAL PROJECT COST

182,036.80 53,642.28 26,812.14 Php 293, 491.22

H. QTY 1 1
1

KITCHEN EQUIPMENTS UNIT Pc. Pc. Pc. Pc. Set MATERIAL Beverage Refrigerator Exhaust Fan Freezer Gas Range donut Maker UNIT COST 15, 490.00 699.75 15, 450.00 25, 980.00 8,000.00 ACTUAL COST 15, 490.00 699.75 15, 450.00 25, 980.00 8,000.00 65, 619.75

1 1

TOTAL

I. QTY 1 1 2 1 5 1

DINING EQUIPMENTS UNIT Pc. Pc. Pc. Pc. Pc. Pc. MATERIAL Computer Air Conditioner Exhaust Fan Printer Speaker Vacuum Cleaner TOTAL UNIT COST 26, 999.00 45,000.00 699.75 2,500.00 1,200.00 4,499.75 ACTUAL COST 26, 999.00 45,000.00 1,399.75 2,500.00 6,000.00 4,499.75 86,398.50

J. QTY 10 5 3 1 1 1

FURNITURE AND FIXTURES UNIT Pcs. Pcs. Set Pc. Set MATERIAL 2 Seater Sofa Center Table Dining Tables & Chairs Locker Cabinet Kitchen Cabinet UNIT COST 6,000.00 2,000.00 5,600.00 12,250.00 3,000.00 ACTUAL COST 60,000.00 10,000.00 16,800.00 12,250.00 3,000.00 102,050.00

Pc.TOTAL

K. QTY 8 1 250

DINING TOOLS UNIT Pcs Pcs. Pcs./mos. MATERIAL Tissue Holder Straw Holder Disposable Cups UNIT COST 149.75 99.75 1.50 ACTUAL COST 1,198.00 99.75 375.00 1,672.75

TOTAL

L. QTY
1 1 1 1 5 2 2 1 2 6 6 1 2 6 2 10

6 MONTH JANITORIAL SUPPLIES UNIT

Pc Kilo Gal. Pc. Pcs. Bottle Pairs Gal. Pcs. Pcs. Pc. Pcs. Pc. Packs Bottle Packs

MATERIAL
Broom Detergent Powder Soap Dishwashing Liquid Dust Pan Floor Rug Glass Cleaner Gloves Liquid Hand Soap Mop Rug Sponge Squeegee w/ sponge Steel Wool Tissue (bathroom) Toilet Bowl Cleaner Trash Bag

UNIT COST
Php 60.00 156.75 180.00 84.75 50.00 71.75 52.50 135.00 179.75 100.00 10.00 129.75 15.00 88.00 65.00 49.75

ACTUAL COST
Php 60.00 156.75 180.00 84.75 250.00 143.50 105.00 135.00 359.50 600.00 60.00 129.75 30.00 528.00 130.00 497.50

TOTAL

Php 3,449.75

M. QTY 5 1 1 5 1 1 6 1 5 1 3 4 6

6 MONTH OFFICE SUPPLIES UNIT Pcs. Ream Pc. Packs Pc. Pc. Packs Packs Pc. Box Packs Packs Packs TOTAL MATERIAL Ballpen bound Paper Columnar Sheet Dining tissue Glue Liquid Eraser Order Slip Paper Slip Pencil Staple Wire Straw Time Card toothpick Php Php Php Php Php Php Php Php Php Php Php Php Php UNIT COST 8.00 194.00 21.00 70.00 13.00 229.00 27.00 24.75 5.00 22.75 15.00 9.00 20.00 ACTUAL COST Php Php Php Php Php Php Php Php Php Php Php Php Php 40.00 194.00 21.00 350.00 13.75 459.50 162.00 24.75 25.00 22.7 45.00 36.00 120.00

Php 1, 513.75

N. QTY 3 1 1 2 2 2 1 1 1 5 1 1 1 3

KITCKEN TOOLS AND UTENSILS UNIT Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. MATERIAL Bar Tray Can Opener Cheese Grater Chopping Board Food Tongs Glass Rack Measuring Cups Measuring Spoon Mortal& Pestle Pot Holder Scissor Set knife Spatula Set Strainer Weighting Scale UNIT COST Php 220.00 88.00 39.00 88.00 119.75 229.75 49.00 49.00 149.75 24.00 49.00 183.00 99.00 94.00 259.75 ACTUAL COST Php 660.00 88.00 39.00 176.00 239.50 459.50 49.00 49.00 149.75 120.00 49.00 183.00 99.00 282.00 259.75 Php 2, 862.50

1 Pcs. TOTAL

J. QTY 1 1 1 1 1 1 1 1 1 1 1 1

OFFICE TOOLS UNIT Pcs. Pcs. Pcs. Pcs. Pcs. Pcs. Pc. Pcs. Pcs. Pcs. Pcs. Pcs. MATERIAL Bell Calculator Cash Box Deposit Fire Extinguisher Puncher Receipt Holder Ruler Scissor Stapler Emergency Light Wet Floor Sign UNIT COST Php 95.00 199.00 419.00 2,199.75 79.75 78.00 13.75 13.75 54.00 699.00 389.50 ACTUAL COST Php 95.00 199.00 419.00 2,199.75 79.75 78.00 13.75 13.75 54.00 699.00 389.50 Php 4,240.50

TOTAL E. Waste and Wastes Disposal Method

Segregation of biodegradable and non- biodegradable waste disposal will be implemented.

Used empty bottles, cans and others will be sold to the nearest junkshop.

Chapter 6

FINANCIAL FEASIBILITY STUDY This aspect will specify term that will determine the project profitability. This is the management- level responsibility for capital procurement, fund allocation, capital structuring, and profit administration. Moreover, this will show the preparation that is vital to the success of the proposed business. (Ditablan 2000) A. Financial Feasibility Object: 1. 2. To determine the working capital requirement of the total project cost. To provide a detailed analysis of all monetary information such as total business

cost, initial capital requirement, source of financing, financial statement and financial analysis. 3. To determine whether the proposed business is feasible through the ratios

presented. B. Financial Assumptions: 1. 2. Projection years is three (3) years. Total investment capital of Php 1, 250, 000.00. The proponents will contribute

Php 250, 000.00 each. 3. 4. Total project cost is presented to justify the capital investment. Increase of 10% in food and refreshment sales annually, because of expected

increase in volume of customers. 5. Purchases, allowance for spoilage and merchandise inventory is projected through

perpetual inventory. On the second and third year there is a 5% increase.

6.

Salaries and wages depend on the position of the employee; there will be no

increase on the salaries and wages for the first three years except if the government mandates an increase. 7. SSS/ PHILHEALTH/ PAG-IBIG contribution varies on the range of the salaries

and wages. 8. 9. 10. Increase of rent level and light & water by 5% annually. Communication and cable TV is fixed through the three years of operation. Advertising and promos costs will decrease on the second and third year because

the theme decors may be recycled. 11. Straight line method is used to compute for the depreciation of the equipment and

furniture and fixtures, presented in tabular form. 12. 13. 14. Allowance for breakages is 5% for the kitchen, dining and office tools. Office supplies will increase by 5% annually as well with the janitorial supplies. For the repairs and maintenance there would be a 50% increase in the second year

and will be retained by the third year. 15. There would be owners drawing for the second and third year.

C.

Total Project Cost FIXED CAPITAL COST Leasehold Improvement Kitchen Equipments Dining Equipments Furniture & Fixtures Kitchen Tools Dining Tools Office Tools Dining/ Office Supplies Janitorial Supplies TOTAL FIXED CAPITAL COST Php 293, 491.22 65, 619.75 86, 398.50 102, 050.00 2, 862.50 1, 672.00 4, 240.50 1, 513.75 3, 449.75 Php 532, 633.75

Working Capital (1 Month) Salaries and Wages Php 56, 386.02

TOTAL PRE- OPENING CAPITAL: Prepaid rent (3 mos. Deposit) Registration (DIT/ BIR/ SEC) Business Permit & licenses Electrical Installation Water Installation Contengencies PRE-OPERATION CAPITAL GRAND TOTAL PROJECT COST Php 69, 000.00 4, 670.00 3,300.00 3, 000.00 1,000.00 478,690.32 559, 660.32 Php 1, 148,680.09

D.

Sources of Fund/ Capital The total estimated capital investment for DONUT BITE is Php 1,250, 000.00. The

proponents will contribute Php 250, 000.00 each as the initial investment for the proposed business.

E.

Schedules 1. Sales/ Income Projected Yearly Sales January February March April May June July

Food
YEAR 1

Beverage
Food YEAR 2

Beverage
Food YEAR 3 Beverage

August Food
YEAR 1 Beverage YEAR 2

September

October

November December

Total Sales

Grand Total

Food Beverage

YEAR 3

Food Beverage

Chapter 7

Socio-Economic Feasibility Study Every business has its main aspiration which is to maximize the profit. Even though it is the main goals of every business ventures, it should always comply with the considerations of socio-economic aspects. The success of a business not only lies on the profit but on its social and economic responsibilities and the benefits of the business to the employees, government, society or community, suppliers and environment.

A. 1.

Objectives To be able to know the duties and responsibilities of the proponents to the government,

environment and the society. 2. To be able to prevail over the worsening economic environment.

B.

Projects Employees The proponents proposed business aims to provide employment opportunities through

hiring qualified workers to support their financial needs in terms of salaries and wages that are appropriate to them. The proponents also provide a safe and healthy environment in the work place, conducive to the physical and moral well being and growth of the employees.

C.

Government One of the problems that our country is facing right now is the high rate of

unemployment. Putting up a business will surely help reduce the rapid growth of unemployed

citizen by hiring qualified applicants. As years go by with a successful management, the company will eventually expand and will continue to provide services to the people and to give jobs to the competent and skilled aspirants. From the taxes contribution from each employee along with the owners and the company, the government has access to support organizations to reach out people in need in any way. It is provide ways to help people improve way of living or contribution such as extending financial support and to whatever t may serve best to the country. A business must gain success, good reputation and trust by considering political and legal aspects of the industry. Given that, the business should follow the laws and regulations of the government. Such as: 1. Labor Code Presidential Decree No. 442, such as amended a decree instituting a labor code thereby revising and consolidating labor and social laws to afford protection to labor, promote employment and human resources development and insure peace based on social justice. 2. Tax Laws Tax Reform Act of 1997, Republic act No. 8424: An act amending the national internal revenue code as amended and for other purposes.

3.

Code of Sanitation Presidential Decree 856: WHEREAS, the health of the people, being of paramount

importance, all efforts of public services should be directed towards the protection and promotion of health and with the advance in the field of sanitation in recent years, there arises the need for updating and codifying our scattered sanitary laws to ensure that they are in keeping

with modern standards of sanitation and provide a handy reference and guide for their enforcement.

D.

Other Beneficiaries

POPULATION: In view of the fact that our countrys population is increasing very rapidly a greater demand for food can be expected. Moreover, due to the problems constantly experienced by the people regarding the economy and politics; the prices of commodities tend to increase. Because of this, the proponents decided to put up Donut Bite where the proponents would offer good quality service and nutritious foods that are affordable.

ECOLOGY: Everyone has a responsibility to have a clean environment to live in, not only benefiting to us but also with Mother Nature and our Creator. The proponents are aware of the present picture of the environment; therefore the proponents planned to the environmentalist by implementing reduce, re-use, and recycle. For proper waste disposal, the proponents implemented the practice of segregating biodegradable and non-biodegradable materials. Well interior designs were set up to serve as a diversion from the unsightly scenes outside of the building.

Appendix C Survey Questionnaire

Respondents, Good day! We, the BSHRM and BS Tourism Students of Siena College, Quezon City would like to conduct a survey as a partial fulfillment in our course in HRM 111/ TRM 111 Entrepreneurial planning (Introduction to Feasibility Study). The name of the proposed business is DONUT BITE. Kindly answer the following questions for us to complete the study and rest assured that all data and information gathered will be confidential.

Thank You!

PLEASE CHECK THE APPLICABLE ANSWERS. 1. RESPONDENTS PROFILE:

NAME: (OPTIONAL) ADDRESS:

AGE 15 20 21 25 26 35 36 & above

GENDER Male Female

STATUS Single Married Separated

MONTHLY INCOME / ALLOWANCE BELOW Php 10, 000.00 Php 10, 001.00 Php 20, 000.00 Php 20, 001.00 Php 30, 000.00 Php 30, 001.00 Php 40, 000. 00 Php 40, 001.00 Php 50, 000.00 Php 50, 001.00 and above 2.

OCCUPATION Business Man/ Woman Company Employee Teacher / Professor Students Others (Please Specify)

WHAT DO YOU PREFER TO EAT WHEN YOU SPEND YOUR SNACKS OR MERIENDA? Pizza Pastries Doughnut Others, (Please Specify)

Cakes 3. WHAT DO YOU PREFER TO DRINK WHEN SPENDING YOUR SNACKS OR MERIENDA? Juice Coffee 4. HOW OFTEN DO YOU EAT DOUGHNUT? Always 5. Sometimes Never Soda Others (Please Specify)

WOULD YOU LIKE THAT YOUR DOUGHNUT HAVE A TOPPINGS? Yes No

6.

WHAT TOPPINGS DO YOU LIKE FOR YOUR DOUGHNUT? Sprinkles Nuts Mallows Kisses

7. WHAT ESTABLISHMENT DO YOU PREFER FOR SPENDING YOUR SNACKS OR MERIENDA? Dunkin Donut Mister Donut 8. Krispy Creme Go nuts Donuts

HOW OFTEN DO YOU PASS ALONG CONGRESSIONAL AVENUE? Always Sometimes Never

8. IF THERE IS AN ESTABLISHMENT SERVICES SUCH AS DONUT BITE IN THE CONGRESSIONAL AREA WOULD YOU PATRONIZE IT? Yes No

Thank You & God Bless!!!

DONUT BITE
A Project Feasibility Study Presented to the Faculty Siena College, Quezon City

In Partial Fulfillment of the Requirements for the Degree of Bachelor of Science in Travel Management and Bachelor of Science in Hotel and Restaurant Management

Canlas, Antonio III Corpuz, Kelvin Lloyd Dionisio, Jordean Jayson Madulid, Christian Vargas, Christian Jay E.

October 2011