INTERNATIONAL SCHOOL OF TECHNOLOGY SKILLS & DEVELOPMENT

Alvendia St. Poblacion, floridablanca, Pampanga

.COMPUTER SHOP INTERNET CAFA

Feasibility
Study Presented
to:
INTERNATIONAL SCHOOL
Of Technology & Skills development


FULLFILLMENT FOR THE COURSE COMPUTER BASED ON
INFORMATION TECHNOLOGY





Christian V. Capulong
Princess joy Santos
Fatima C. Cuenco
Arvin Lagman
Bryan Perez







August 2014

Acknowledgement
Gratefully acknowledgement to the following persons who in one or
another helping us in maki ng t hi s st udy a successful one. They
serve as gui de and shared knowl edge t hat t hi s project was
made possible. To Mr. Ramon Raymundo our special project
adviser who has been there to support us and for teaching how to prepare
the financial statement and spending his time even though hes busy. To
our owner of GIARTH INTERNET CAF MRS.GERLIE V.
STAMARIA and MS. AIMEE A. DAVID her employee of t hi s s hop
f or gi vi ng us t he t i me a nd a l l owi ng us t o c onduc t a
s ur ve y i n t he i r prospective area. To our dear family who have been
always there supporting and being understanding in giving the time for
us to spend this project. And above all to our Almighty God a
million thanks for the strength, knowledge, good health, wisdom
and the guidance that enlightened our hearts and minds that this
study would be possible






















HISTORY


Internet caf business is indeed a very popular business.
It is one of the establishmentsmade indispensable in an
increasingly interconnected world.Internet caf was started with
the opening of the first cyber caf, Caf Cyberia, in London(UK)
Sept ember 1, 1994. I t was f ounded by Eva Pascoe. I t
st art ed wi t h hal f a dozen HPcomputers, connected to the
Internet through dial -up modems that were able to transfer
dataat 9.6 kilobytes per second. As the first Internet cafe,
Cafe Cyberia got tremendous publicityand additional
investments into the business from likes of Mick Jagger and
Maurice Saatchi.With the success of Cafe Cyberia, the
Internet Cafe business got into a flying start, and therewere
over 60 similar cafes over the world by the summer of
1995.CYBERKADAHAN INTERNET CAFE is name
of a proposed business plan; CYBERbeing related to
computers and KADAHAN meaning a group of individual
or people who areclosely bonded.



















Type of Business Organization
Since the composed of five (5) ladies each one of has agreed and decided to be
partners.The groups preferred to use partnership as a type of business organization.

Partnership
is an organi zation where two or more person binds themsel ves to
contributemoney, property, or industry i nto a common fund with the intention
of dividing profits amongthemselves.
Benefits of partnership type of business we are establishing:

Pa r t n e r s h i p i s r e l a t i v e l y e a s y t o e s t a b l i s h ; h o we v e r t i me s
s h o u l d b e i n v e s t e d i n developing the partnership agreement, in our
case theres no problem about it becausewe are mostly friends and we are
devoted to make our business progress.
With more than one owner, the ability to raise funds- Debt vs. Equity maybe
increased.
Enhanced capital availabi lity. Two or more people wi ll be providing and
searching
for capi t al . I n addi t i on, f undi ng sour ces ar e mor e l i kel y t o ent er t
ai n f i nanci ng r equest because of the broader capital base.



The profit from the business flow di rectl y to the business though the
partners personal tax return.
Higher quality employees. Partnerships tend to attract better employees because
of thepossibility of becoming a principal in the firm.
Easy form. Procedures and expenses are minimized.
The business usually benefit from partners who have complementary skills.
Better decision- making capability. Two heads are better than one.
Managerial flexibility. Generally, important decisions can be quickly, although not
as fastin a sole proprietorship.
Limited government interference. Like sole proprietorship are normally free of
extensivegovernmental scrutiny.Cyberkadahan Internet Caf provides
servi ces that would gi ve satisfaction to our customer.Aside from
computer rental that have reasonable hourl y r ates for internet gaming,
internetsurfing or searching cd-burning, scanning, and colored printingProposed
Location will be located at # 82 Samson Road Caloocan City, our
prospectivecustomers are basically everybodystudents doing their projects or
research and gamers.This business starts with the capital of P
700,000.00 Seven Hundred Thousand Pesoscontributed by each partner as
follows:



NAME AMOUNT CONTRIBUTED TYPE OF PARTNERS

Christian capulong Php 233,333.33 Capitalist Industrial
Princess joy Santos Php 233,333.33 Capitalist Industrial
Fatima Cuenco Php 233,333.33 Capitalist Industrial
Arvin Lagman Php233,333,33 Trinidad Industrial
Brayan Perez Php233,333,33 Trinidad Industrial

Capitalist Partner
one who contributes capital in money or property
Capitalist Industrial Partner
one who contributes in money, property, and industry.
Industrial Partner
one who contributes industry, labor, skill or service.The objecti ve of this proposed
project i s to acqui re the prospecti ve customers and toachieve the desired profit
with in the specific period of time, and

To earn profit.
To develop ones skill to build up good relationship among customer.
To help the students especially the neighboring Barangays to find a
computers rental ataffordable price.
To give leisure and enjoyment.
To be successful business partners





















SITE PREPARATION


The business will be renting a space along hi-way near to malls, and schools, were our
target customers are mainly students and nearby neighborhood especially those people
whoserelatives or loved ones are at abroad and find it very convenient communicating
with themthrough chat and email. The two hundred (200) meter radius requirements as
provided in theexisting Zoning Code and other applicable rules and regulations wherein
computer shops andother similar establishments and places of amusements should be
put up or constructed atleast two hundred (200) meters away from the church, schools,
hospitals, and other government offices shall be strictly complied with. Site survey is
primarily our main concern inthis preparation. On our site survey we find out that the site
has less than 5 competitors andits a good sign of putting up the business.We choose
the location, at #82 Samson Road at Caloocan City, beside Asian TrustBank. Its about
40 square meters. It is the ideal place to establish an internet caf because itis
accessible to public because its along the highway and our target market is mostly
students,near to schools like Divine Mercy College, Sacred Heart, St. Gabriel Academy
and GomburzaElementary School. We choose this site because we found out that
competitors are minimal inthe place. Its an urbanized area were accessibility,
competency and we study niche/market, asour main objective while choosing this site.
In accessibility, the location is just along thehighway, and its near to malls such as Ever
Grand Central, Victory Mall, Araneta Square, andPuregold, and schools such as Divine
Mercy College, Sacred Heart and GomburzaElementary School and people just strolling
along the way and or passengers of utility vehiclecan easily see the Internet Caf. In
competency and study of niche/market, the proposedlocation is a commercial place, so
the prospective customers is almost everybody. Most of theInternet shop located in the
area is inside the malls while the competitors outside is justminimal, and for that we are
more capable of attracting customers because we will offer moreaffordable rental fee in
15 pesos per hour. Our Internet caf will provide small private boothsfor quiet chatting
compare to the standard elbow to elbow computer station.We agreed that the shop
should be well ventilated (air condition) to make our customer comfortable, good music
is well provided, the PCs is all well organized and arrange properlyaccording to their
rows for the convenience of our customer. Each computer has their owngames, internet
and surfing to be chosen by our customer, what they want and need is mainlyour
concerns









TECHNICAL ASPECT

In technical aspect it identifies whether the services rendered could be
the highest possible quality level with minimum cost. In this aspect we will
discuss the equipment andother computer application we use in the
business. We purchase equipment as packages inorder to lessen our
expense. Hardware and Software is our much focus aspects. We
didresearching on how much the Hardware and software will cost us,
through net surfing. Theinternet connection we used is Package plan of
DSL Bayantel amounting P9,799.00 withcapacity for 20 computers and
have a speed of 2 Mbps.In Hardware our target number of PC is 15
(monitor-flatscreen, keyboard, PS2 mouse andprocessor, webcam),The
Internet connection is a package of Bayantel DSL connected(cables) with
the speed of 2mbps amounting 9,799.00, 3 in 1Printer, Scanner &
Photocopier. InSoftware, we will installing original Operating System of Ms
Office Professional 2007 likes MSWord, Excel, Power point, Access,
Desktop Publishing and installing the popular on line gamessuch World of
warcraft , CounterStrike, Battle Realms, Dance Audition, Auto Jam, and we
willbe installing Norton 360 version 3.0 premium for our anti-virus and anti-
spyware. We offer other service to customers likes printing in black and
white, DVD/CD burning, photocopying,scanners, and payphone


List of Hardware Brand name Amount
Package PCs Pentium 4 Php .
19,500.00
3 in 1PSCp HP Officejet 2610 Print/Scan/CopyPhp.
14,500.00

Computer application software Amount
OS MS Office 2007 Php. 19,200.00
Game software:Warcraft (dota) Php. 1,450.00
Counterstrikesn Php. 350.00
Battle Realms Php. 720.00
Dance Audition Php. 1,968.00
Autojam Php. 1,968.00
Anti-virus and anti spy ware Php. 10,800.00

MARKETING ASPECT
In marketing aspect, promoting business will use different strategies
and techniques toattract probable customers. And offer promos to
attract customer like
Computer to rent for cheap
40 for every 3 hours
Membership- (the customers will be given a card to be stamped
every visit and if theygot 25 stamped there every 2 hours is 20%
discounted)
Contest for gamers (the winner will be free on their rental charge
& to be held everySaturday from 3:00 to 5:00 pm only.)We create
some marketing strategies like; we will print a thousands little half
or quarter page fliers printed with the total cost of Php 908.00
(500 pcs. on the small fliers that cost of Php. 220.50 while the
second fliers is also 500 pcs. with the cost of Php. 687.50), a
monthbefore our opening and we will distribute the fliers,
mailboxes or gate. If we get a lot of text ande-mail we know we
already have a market.We will put tarpaulin on the place itself
where our shop is standing, promoting the openingof our Internet
caf also one month before the opening. To let people know that
there will benew Internet Shop on the vicinity. Tarpaulin size is
35 x 70, the streamers amount is Php340.27, And another
tarpaulin for the services with the size of 29 x 39 amounting of
P157.08


Services
Its the factor that affect mostly ones business because through services customer
willdecide if they are satisfied or not.
Price
It is one of the considerations of the customer that enhance them to rent
computers. If theprice is lower they will rent.Our services are the following:
Amount
Internet/ Games Php. 15.00 /
hour Printing black and white- Php. 3.00 (short)Php. 4.00 (long)
Colored (depends on the size of the color) hp. 10.00 (minimum) ex. Logos
Photocopying Php. 1.00 (short)Php. 1.25 (longos)
Scanning Php. 10.00
CD Burnings Php. 35.00 (max. 17 songs)
Other services:Payphones Php. 5.00 / every 3 min








MANPOWER
Manpower requirements are very important to any business in order
for them to have anintelligent and accurate people who will manipulate
inside the firm. Requirements will serve asbasis on personal and
general background of an employee enable for the company to
knowthe capacity of their skills and ability to do work to the assign for
them.Business owner will be in charge in human resource. The
personnel to man Internet cafewill be the industrial partner who works
by shift, 8 hours a day, the first shift is from 7:00 am to3:00 pm while
the second shift is from 2:00 pm to 10:00 pm. A walk in technician will
be calledin case of computers malfunctions and he will visit the shop
twice a month.Walking Technician P400.00/visit twice
a monthESTIMATED ANNUAL COST FOR MANPOWERFor Walking
Technician ----- P9, 600.00/year (800*12)Additional budget allocation
for computer troubleshooting Php. 500 (500*12)(Just incase our
technician is not available.)












MANAGER
Mr.Christian V. Capulong
Ms.Princess joy Santos
ACCOUNTANT
Ms. Fatima Cuenco
CASHIER/COMPUTER ASSISTANT/I.T Experts
Mr.Arvin Lagman
Mr.Brayan Perez

OB FUNCTIONS
POSITION FUNCTION MANAGER- Establishes store policies and procedure for
strict implementation- Execute final decisions on all matters pertaining to the
operationand the management functions of the business- Audit individual
computers to check for proper system- Visit the shop alternate everyday
ACCOUNTANT- Check the book of accounts and financial statement in daily basis-
Handles license renewals,facilities preparation and payment of annual tax
generated by the business.- Visit the shop every other day.
COMPUTER ASSISTANT /CASHIER- Accept payment- Maintains inventory of
supplies in the shop- To assist customers in their needs- Maintain cleanliness and
orderliness.- Help conserve Utilities consumption- Logging the customers hours
consumedI.T.- Incharge in computer maintenance
* I.T. Expert- Provide information and/ or technical aspec
OPERATION OF A BUSINESS
Factors that we consider while putting up our own Internet caf
Location-Picking a good spot and well hit us a gold mine.
Competition-Most business-minded people think of competition as a race
to charge thelowest prices in order to win customers. While its good for
the customers, exceedingthe lower boundaries can drive you and your
competitors to bankruptcy. One cannotexpect to recover a Php500, 000
investments if hourly rentals go down to as low asPhp10. It goes without
saying that in this industry, there are no customer loyalty; justcheaper
rentals.
Software Licensing-its really important to have an original operating
system, becausepirated OS can eventually damage the system.
Expected ROI- investing money in a business is a risk in our case the well
tabulated if financial statement is our major concern.Caf opens at 7:00 am
until 10:00 pm. Ahead of other competitors, this will lead us of
beingknown. Our goal is to give the needs of the students and others in
an early manner of time. Itwill also include the completion all legal
requirements before the operation of business. Inoperational procedure
we keep in minds all the legal aspects of establishing a business suchas
Business permit & the following requirements are:
LEGAL REQUIREMENTS
Registration with BIR (Bureau of Internal Revenue)
Registration of business name with DTI ( Department of Trade and Industry)
Barangay Clearance and Business Permit
Mayors Permit
BARANGAY CLEARANCE The proposal business will secure Barangay permit that is
our responsibilities. It wouldmake the immediate community to be aware of the
business that would give satisfaction andpromote community involvement.


REGISTRATION OF NAME WITH DTI

The proposed business should be registered with DTI to assure that any
organization of individual for their business proposal for future use would not
copy the name of our business. Itacquires 15 days period of processing before the
name of the business registered certificatecan be issued by the said government
agency.BUSINESS/MAYORS PERMITBusiness Permit must be applied with the
licensing office at the Municipal Hall of thesaid locality. It would be based on the
reported business entity to be put up; we securedbarangay clearance as a
requirement for an application.Bureau of Internal RevenueThe proposed business
should register with BIR and secured TIN (Tax IdentificationNumber) which will be
used as simplifying the record control producers relating to taxation andsecuring
VAT (Value Added Tax)MAYORS PERMITMayors permit must acquired before the
operation of the businessSteps in processing permitsSTEP 11. Business Name
Registration CertificateValidity: 5 yearsRequirements:
Accomplished Business Name Registration Form [Single
Proprietorship/Partnership]
Tax Identification Number (TIN)
Registration fee of P 300.00STEP 2Mayors / Business PermitLocal
Municipality where the business is locatedValidity: 1 year Requirements:
Accomplished Business Permit Application Form
DTI-Business Name Certificate
Sketch of he business location
Barangay Clearance
Lease ContractSTEP 3
Bureau of Internal Revenue (BIR) National OfficeSTEP 4Securities and
Exchange Commission (SEC) CertificateRequirements:
Verification Slip Form (re: proposed name)
Accomplished Registration Data Sheet

LEGAL REQUIREMENTS
COSTBarangay Clearance ------ 150.00
Mayors Permit ------ 9,514.00-
Business Tax 1,400.00-
Mayors Permit 2,096.00-
Business Plate 350.00-
Refuse Fee 2,384.00-
Sanitary Permit 2,064.00-
Health Certificate 200.00-
Occupational Tax 200.00-
Inspection Fee 200.00-
Filing 100.00-
Processing 120.00-
Zoning 400.00BIR ------ 300.00
DTI ------ 500.00
Total ------ P 10,464.00













The mayors permit computation was computed by Ms. Lorna Torres at
Business Permits andLicensing Office, City of CaloocanSignage
Permit5ftLength2ftWidth* According to Mr. Bong Reyes of Engineers
Office of Caloocan City Hall signage permit is35.00 per square
ft.Computation:10sq.ft. x 35.00 = 350.00AdditionalInspection fee
150.00Filing fee 50.00Total Cost Php550.00The amount of signage is
Php.4,000.00The store will be open Monday through Sunday. Ahead from
other Internet shop along thearea, the mall opens at 8:30 am; we always
believe that the early bird catches the worm. Theplace is good for group,
good for kids, attire- casual.
Assumptions:
Business Year will start at June 2009
Prepaid Rent is Php.10,000.00 monthly, Payment will first month of the
business year.
Payable must paid before the division of income
Division of income will be at the end of business year
Salaries for Other technician will be Php.500.00 per visit, estimated once a
month
air condition maintenance will for Php.450.00 every year
Water expense is Php.117.50 minimum bill every month.
Bill of telephone was included in DSL
Cleaning Expense is Php.1,735.00 for the whole year
Anti virus is package purchase that good for 5 computers amounting
Php.3,600.00 each
2010 purchase another Norton Anti virus for the additional computer
Padlock and other cleaning materials considered as expense at the end of
the year
Membership card is good for 1 year
All lightings materials are included in lease of contract
Membership card, small tarpaulins & fliers will purchased twice a year