1.

ENTERPRISE SUMMARY DESCRIPTION

1.1 Name of the Enterprise :

1.2 Type of Enterprise :

1.3 Location :

1.4 Contact Person & Number :

1.5 Name of Owner :

1.6 Type of Ownership :

1.7 Total Project Cost :

Equity :

Grant :

1.8 Projected Annual Sales :

Year 1 :

Year 2 :

Year 3 :

1.9 Return on Investment :

1.10 Cash Payback Period :

1.11 Employment Generation : .

1.12 Income Generation :

1.13 Foreseen Positive Economic .

and Social Effects : .

2. MARKETING PLAN

2.1 Product Utilization

Product Uses Current & Potential Users
1. Snack; healthy alternative to
1. Honey butter
potato chips coated with
potato chips
sugar 1. Students of UPVTC
2. Honey butter
2. Snack; healthy alternative to 2. Households of Tacloban
camote chips
camote chips coated with City
3. Spicy honey
sugar 3. Pasalubong Centers in
potato chips
3. Snack; alternative to other Tacloban City
4. Spicy honey
potato chips
camote chips
4. Snack; alternative to other
camote chips

2.2 Demand Analysis (per month)

Volume of Selling Price
Product Existing/Potential Market Size Total
Demand per Unit
1. Honey butter
1. 2,480.5 1. PHP
potato chips 1. Students of
packs 15.00
2. Honey butter UPVTC
2. 2,480.5 2. PHP
camote chips 2. Households of
packs 15.00
3. Spicy honey Tacloban City
3. 2,480.5 3. PHP
potato chips 3. Pasalubong
packs 15.00
4. Spicy honey Centers in
4. 2,480.5 4. PHP
camote chips Tacloban City
pack 15.00

2.3 Supply Analysis

Selling Price
Product Existing Suppliers Volume of Supply Size Total
Per Unit
1. Honey butter
1. PHP
potato chips
15.00
2. Honey butter
Existing potato chip 1. 1749 packs 2. PHP
camote chips
and camote chip 2. 1749 packs 15.00
3. Spicy honey
brands available in 3. 1749 packs 3. PHP
potato chips
the market 4. 1749 packs 15.00
4. Spicy honey
4. PHP
camote chips
15.00

2.4 Demand and Supply Analysis (Market Gap/Discrepancy per month)

Product Total Demand Total Supply Market Gap
1. Honey butter potato chips
1. 2,480.5 packs 5. 1749 packs 1. 731.5
2. Honey butter camote chips
2. 2,480.5 packs 6. 1749 packs 2. 731.5
3. Spicy honey potato chips
3. 2,480.5 packs 7. 1749 packs 3. 731.5
4. Spicy honey camote chips
4. 2,480.5 packs 8. 1749 packs 4. 731.5
 2.5 Projected Monthly Sales Volume (in units)
Month
Sep Oct Nov Dec Jan Feb Mar April May June Jul Aug Total
n
q
Q
n – number of customers likely to buy my product
q – average quantity purchased by a customer
Q – total demand for your product

2.6 Planned Sales Per Year (in Pesos):

Year 1 Year 2 Year 3
Planned sales volume
15,360 16,896 18,584

x Planned selling price 15 15 15

= Total sales (Php) 230, 400 253,440 287,760

2.7 Selling Expenses

Item % of Annual Sales Year 1 Year 2 Year 3
Sales Commission 0% PHP 0.00 PHP 0.00 PHP 0.00
Advertising 1% PHP 2,304 PHP 2,534.4 PHP 2877.6
Signboards 1% PHP 2,304 PHP 2,534.4 PHP 2877.6
Packaging 2% PHP 4,608 PHP 5,068.8 PHP 5,755.2
Transportation expenses 0% PHP 0.00 PHP 0.00 PHP 0.00
Sales promotion 10% PHP 23,040 PHP 25,344 PHP 28,776
PHP PHP
Total selling expenses 14% PHP 32,256
35,481.6 40,286.4

2.8 Marketing Objectives (such as: Sales Targets; Target Market; Area Coverage; etc.)

1. To gain five percent share in the chips industry and maintain good customer relationships
by providing them great customer value.
2. To obtain ten percent Return on Investment (ROI) in the first year of operations.
3. To sell more than 15,000 packs of chips in the first year of operations.
4. To be able to supply the products to different cities and municipalities in Eastern Visayas
5. To be able to partner with local pasalubong centers in Tacloban City
6. To create innovative products that are new and differentf from other potato chips and
camote chips in the market.
 2.9 Marketing Strategies
Strategies of
Marketing Elements My Own Strategies
Competitors
The potato chips and camote chips of the
PRODUCT Their potato chips firm will be coated in honey butter and chili
(Strategic Fit, and camote chips infused honey to offer healthier and more
Innovation, etc.) are coated in sugar. flavourful alternatives to the potato chips
and camote chips available in the market.

Many businesses that

make potato chips The business will either sell the chips at a
PRICE
and camote chips lower or the same price as other potato and
(Competitiveness)
are selling it at a high camote chip manufacturers.
price.

Not only will the enterprise sell at its own

PLACE Many are already booth and partner will grocery stores but it
(Distribution channels) selling through their will also partner with local pasalubong
own stores and are centers.
distributing to malls.

They only promote

their products
through their vendors The enterprise will rely mainly on different
PROMOTION at stores and malls. social media platforms such as Facebook
They don’t utilize and Instagram to promote its products.
social media that
much.

Existing potato and The enterprise will have a marketing personnel

Person – Mktg.
camote chip to promote all the products both online and
Personnel
manufacturers don’t offline.
have marketing
personnel.

3. PRODUCTION PLAN

3.1 Technical Description of the Product/s

Description
Product Sizes
Color Taste Shape

3.2 New Product Label; Product Samples

3.3 Steps in Producing the Product
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.

3.4 Production Process Flow (Draw).

 3.5 Plant or Work Area Layout, Selling Area Layout

3.6 Fixed Assets and Depreciation Schedule (Property, Machines, Equipment and
Tools)
Total Life Annual Deprecition Charges
Item Unit Cost Qty.
Cost (years) Year 1 Year 2 Year 3
Land: (Owned) -

Totals
3.7 Fixed Assets & Depreciation Schedule (Furniture, Fixtures, Office Equipment,
Vehicles)
Life Annual Depreciation Charges
Item Unit Cost Qty. Total Cost
(years) Year 1 Year 2 Year 3

Totals

3.8 Production Schedule

Year 1 Year 2 Year 3

Units to be produced

3.9 Direct Raw Material Requirements

Quantity needed per
Purchase cost per Cost per unit to be
Direct Material unit
unit of material (Php) produced (Php)
(A) to be produced
(B) (B) X (C)
(C)

Direct raw material cost per unit

3.10 Annual Direct Raw Material Requirements

Year 1 Year 2 Year 3

Total direct material cost

3.11 Manpower Requirements
No. of
Salary/month Annual salary*
Employees

Total

3.12 Cost of Production

Year 1 Year 2 Year 3

Total cost of production

3.13 Production Cost per Unit

Year 1 Year 2 Year 3

Production cost per unit

3.14 Finished Goods Ending Inventory

Year 1 Year 2 Year 3

Value of finished goods ending inventory

(Php)

3.15 Cost of Goods Sold

Year 1 Year 2 Year 3

Total cost of goods sold

4. ORGANIZATION AND MANAGEMENT PLAN
4.1 Organizational Structure (Diagram)

Owner-Proprietor

Manager

Cashier Cook

Helper Utility Man

4.2 Licenses, Permits, and Registration Expenses (lump sums)

Type of business licenses, permit Transportation Incidental
Fees Total
and registration expenses expenses

Total

4.3 Total Pre-Operating Expenses

Total

Total pre-operating expenses

4.4 Manpower Requirements, Duties, Monthly Salary
No.
Job Title Monthly Salary Job Description Qualifications
Needed

Total

4.5 Administrative Expenses

Year 1 Year 2 Year 3

Total administrative expenses

5. FINANCIAL PLAN
5.1 Total Project Cost
Grant Equity Total Percent

Fixed Assets Sub-total

Pre-Operating Expenses (from 4.3)

Initial Working Capital (good for one

month)

Initial Working Capital Sub-total

Total Project Cost (TPC)
Percent share

5.2 Projected Income Statement

Year 1 Year 2 Year 3
Total sales (from 2.6)
Less: Cost of goods sold (from 3.14)
Gross profit from sales
Less: Selling expenses (from 2.7)
Less: Administrative expenses (4.5)

Net operating profit

Less: Income Tax (20%)

Net Income
5.3 Financial Analyses

5.3.1 Accounting Rate of Return (ARR) :

Year 0 Year 1 Year 2 Year 3 Average
Initial
Investment
Net Income

ARR = Average Net Income = 1,633.731.37 . = ARR = 92 %

Initial Investment 1,775,458.29

5.3.2 Cash Payback Period (CPP):

Year 0 Year 1 Year 2 Year 3
Initial Investment
Net Income
Cumulative Net
Income

CPP: (1) 1,485,366.41 (Year 1 Net Income) = One year, and …

(2) 1,775,458.29 - (Initial Investment)

– ___________ - (Year 1 Net income)
290,091.88
(3) ____________ = years
(Year ___ Net income)
(4) 12 months X _____ years =
(5) ____ operating days/mo. X ______ mos. = _____ days

CPP =

6. ECONOMIC AND SOCIAL BENEFITS OF THE PROJECT

6.1 Employment Generation:

6.2 Investment Inflows :

6.3 Enterprise Income :

Generation

6.4 Social Desirability :

6.5 Taxes to the Government: