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PROJECT SUMMARY A.

NAME OF THE ENTERPRISE Baristas Cafe is the proposed name of the project having a factual meaning which is a person inside a bar coffee bartender who combines skill, knowledge and sheer artistry to prepare the perfect shot of espresso coffee. This name was adopted to imply that there is no love sincerer than the love of food. The name also denotes the premises use for such activities. Through its connotations the proponents were inspired to use it and put into existence a place where people can meet and have themselves a place where they could just be themselves. The computer shop is designed for the costumers from the school and establishments near the cafe. B. LOCATION One of the biggest deterrents to compete with large firms is the inability to access a good location, which for many establishments is fundamental to success. To attract sufficient devotees a hip positive Coffee Bar will be located at the left side of Abrasa Multi-purpose Cooperative and in front of Diffun Municipal Hall. Parking space is not a problem and premises are visible. Also the location has been preferred because of the positive vibe of the place convenience of the customer was the primary consideration. The proponents decided to put the establishment in the area because it is easily to access by the costumers. The parking area is located in the right side of the establishment where private and public vehicles can park without any doubt. C. DESCRIPTIVE DEFINITION OF THE PROJECT As the proponent search for good name that would catch the attention of everyone, they had come across the term BARISTA for its uniqueness and beckoning power unto the customers. The word, BARISTA is an Italian term which originally means a person inside a bar or a coffee bartender who combines skills, knowledge and sheer artistry to prepare the perfect shot of espresso or coffee.

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Barista Coffee Bar is organized to serve different mixtures of coffee at reasonable price to satisfy the customers. The proponents tend to inform the customers the coffee is drunk not only because it is a habit but also a trend. It is trend because of the numerous coffee houses that arise. Aside from the different coffee varieties, BARISTA will also offer newly baked pastries that will surely fit the customers taste. After they enjoyed the coffee, the customers can have a research on some projects because aside from it is a wifi zone area, there is a computer shop where they can have internet access where they can log on their favorite networking sites. They can also be encourage to stay for a long time because it has a good ambiance and it is an air conditioned place. The coffee shop and internet shop opens daily from 6:00 in the morning to 10:00 in the evening. The proponents are confident that in the near future this coffee bar will become one of the leading food and beverage establishments in the region known for its coffee mixtures and excellent services.

D.

LONG- RANGE OBJECTIVES Like any business establishment, this project has its own goals or aims to be attained and

these are: To achieve an initial development in productivity and profitability and to expand the business in terms of increase in the seating capacity and volume of business. To exceed customers expectation by providing a homely atmosphere and excellent products and service at very reasonable price. To help government grow economically through payment of taxes, license and permits. To provide more job opportunities. To have a branch in different places such as in Banaue, Bayombong, Nueva Vizcaya, Santiago, Cauayan, Cordon,Cabarroguis, Maddela and Tuguegarao after 10 years.

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E.

FEASIBILITY CRITERIA The proposed project will be feasible due to the following reasons: The proposed project site could easily be located for it is very accessible and very convenient to any type of customer it is easily be located because it is along the highway. Baristas Coffee Bar is an establishment that will engage in providing safe, high quality coffee mixture that is affordable. It safe in the sense that it is well prepared by the skilled chefs. Coffee products have a high quality mixture because it is suitable for the taste buds of the costumers. Hot and cold coffee is also served by the own choice of the costumers. Based from the financial study, it will be profitable. HIGHLIGHTS OF THE PROJECT 1. HISTORY Food and Beverage is one of the fastest growing industries all over the world. The proponents chose to put- up an establishment that serves different coffee mixtures and pastries to complement it to provide variation from the usual type of food service here in Diffun, Quirino. The proposed project seeks to set a new trend in the province similar to the major cities in the country as alternative from the usual.

F.

2.

PROJECT TIME TABLE When the Feasibility Study of the proposed project is finished and the loan to

finance the project is approved and released, construction will start. The construction of the proposed project is projected to be finished into 2 months and when everything is in order, the Coffee Bar will coincide with the start of the Christmas season.

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3.

NATURE OF INDUSTRY Food and Beverage are always in because it is one of the basic needs of humans. Mens from office and overtime work dont have the capacity to prepare their

food at home then compel them to find alternative means of satisfying their needs outside their homes. It is in here, where the idea of operating restaurants, coffee shops and bar and other establishments that serve foods they want at a very affordable cost comes in. Theres no need to give their orders and after a few minutes, it served on their tables. These establishments could be a great help to people who dont prepare their foods. Bread could be a substitute to rice, as they both give carbohydrates. It is in here where the idea of operating restaurant, coffee shops and bars come in. This is the perhaps one of the reasons why coffee shops or bars gained great number of customers.

4.

MODE OF FINANCING To meet the capital requirements of the proposed project, the proponents came up

with a decision that 100 % of the total project cost will come from them equally and this will constitute their initial investment.

5.

INVESTMENT COST Building Machinery and Equipment Other Assets Working Capital Breakdown: Pre- opening supplies Pre- opening Raw Material Cash available for operation Sub-Total Total Project Cost 11,522.00 11,881.00 410,735.92 434,139.97 2,000,000.00 962.885.03 582,975.00 20,000.00

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G. Major Assumptions Summary of Findings and Conclusion TECHNICAL FEASIBILITY The location of the proposed project itself can greatly provide desirability because it lies along the Provincial Road, thus, creating a direct approach for all types of land vehicles. It is accessible to utilities and it is near the public market. These show and justify that the proposed Baristas Coffee Bar is said to be technically feasible. FINANCIAL FEASIBILITY The financial statement will serve as one of the most important parts of this study for the prospect to have access on how funds will be allocated. With the regard to the financial status of this proposed project, it was found out to be profitable in terms of estimated projection of sales income and return of investment. These are reflected in the financial reports shown in the financial study. The fund will came from the own investments of the proponents. MANAGEMENT AND ORGANIZATION FEASIBILITY Baristas Coffee Bar has the appropriate management structure, the right employees for the jobs required with the corresponding compensation and benefits to motivate them. Thus, attaining a successful operation of the business. The employees are gathered from the students of Quirino, specially students who are taking up degree courses like BSND, BSHRM, and BSA.

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SOCIO-ECONOMIC FEASIBILITY SOCIAL ASPECT The Economic Situation of Diffun is progressing thats why there are many existing establishments that the coffee bar will be competing with. Baristas Coffee Bar will provide quality and reasonable products that shall meet the demand of its customers. This study aims to uplift the welfare of the people and promote the development of the coffee industry. ECONOMIC ASPECT The Economic Aspect of the business shall give a positive effect not only to its location but also outside the municipality. It aims to lessen the labor problems particularly in Diffun, Quirino and to help students financially by giving them part time jobs in the Coffee Bar. Baristas Coffee Bar will pay due taxes to the Bureau of Internal Revenue (BIR) so that the tax collection will increase, hence, greater collection is then expected.

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MARKET STUDY Market Description The project site will be located at Provincial Road Andres BonifacioDiffun, Quirinonear Abrasa building and Diffun Municipal Hall. The site is preferred to the rest because it can be easily locate the place for it is very accessible and very convenient to any type of costumer. The foremost goal of the business is to provide and to gratify the desires and wishes of its target clients, giving the quality service they deserve and providing the best benefit they be worthy of in particular. A. Product Description 1. Name of the Product Baristas Coffee Bar is an establishment that will engage in providing safe, high quality coffee mixture. Their main products are coffee lie espresso, cappuccino, coffee mocha, coffee latte, granite de caf, brewed coffee, hot chocolate, Choco milk, plain coffee and others, also non- coffee beverages like iced tea, mango juice, pineapple juice and mineral water accompanied by pastries like cheesecake, Choco marble muffin, banana slice, ube Choco bar, black forest cake and others. Computer Rentals will be offered as other source of income. 2. Properties of the Product The proponent chose this type of business to meet and satisfy the wants of the costumers like students and employees and travelers by giving them a convenient and affordable place to relax. Coffee is a beverage made by percolation, infusion
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or decoction from the roasted and ground or pounded seed of a coffee tree. Pastry is sweet baked goods made of dough having a high fat content. 3. Uses of the Product The product coffee bar is an establishment specialized in high quality coffee for onsite or take out consumption. Some food items might also be offered. The products of Baristas Coffee Bar are categorized as follows: Computer Rental, Coffee and Non- Coffee beverage accompanied by Pastries. Coffee is a drink to energize the body accompanied by pastries eaten rather than rice for other clients. Computer is being added for the customers to enjoy chatting with their friends through the internet and for the students to have a research on some of their projects. 4. Beneficiaries of the Products The beneficiaries of the product are the students and employees of Quirino State University and other schools in the municipality, employees of municipal hall and Abrasa, residents of Diffun, Quirino and travelers. 5. Geographical Areas of Dispersion Baristas Coffee Bar will be situated at Provincial Road, Andres Bonifacio Diffun, Quirino near the right side of Abrasa building and Diffun Municipal Hall.

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B. PRICE STUDY Baristas Coffee Bar is the first and only full service bar establishment that offers coffee beverages with computer rentals in the area. The pricing strategy used in this study is Cost- based Approach PRODUCT PRICING PRODUCT PASTRIES Cheesecakes Choco marble MUFFINS Banana cake Marble cake Brownies Ube Choco BAR Black Forest CAKE Yema Roll Ube Roll Carrot cake Tarts COFFEE 25 30 35 10 23 16 17 15 17 25 20 20 15 10 BARISTAS GOLDILOCKS CINDYS ERICSONS GONZALES PRICE PRICE PRICE PRICE BAKERY

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Espresso Cappuccino Iced CAPUCCINO Coffee mocha Espresso MACCHIANO Coffee latte Granita de caf Brewed coffee Hot chocolate Choco milk Iced coffee latte Iced coffee Mocha Jasmine tea NON-COFFEE BEVERAGE Iced tea Mango juice Pineapple juice

35 30 35 35 25 35 30 35 35 20

20 20 20 20 20

20 20 20 25 25 25 25

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COMPUTER RENTALS Computer Rentals will be included in the establishment because it is a one stop shop. Baristas Price Red Earth Comp. Shop Price 15.00 PC Hub Comp. Shop Price 15.00 Guillermos Comp. Price 15.00

PC Rentals Printing Colored Black Typing Scanning Invitation Class A (hard) Class B (soft)

15.00

4.00 2.00 15.00 20.00

5.00 3.00 15.00 20.00

5.00 3.00 15.00 25.00

5.00 3.00 15.00 25.00

40.00 20.00

40.00 20.00

40.00 20.00

40.00 20.00

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C. FACTORS AFFECTING THE MARKET Competition is dynamic and strong in the industry, and the proponent cannot control this because of the existing business in the municipality. Competition is one of the major factors that will affect the operation of their proposed business. The proponents also included the wouldbe competitors that will establish the same as the proposed project in the future. Economic instability is another factor because of the inflation of the currency and the distribution of income per family. Season is another problem which will affect the proposed project because most people know that coffee is for rainy season. Public safety is also a problem because when trouble comes costumer will be afraid to get inside the coffee shop. The possible competitors of the business are those food establishments such as Goldilocks outlet, Cindys store and other bakeries. Many computer shop is also a possible competitor of the business because there are many computer shop built in the municipality. But there is a strategy of Baristas Coffee Bar and Internet Caf that will surely encourage customers to be with them. The customer will be satisfied from the services because of the well- trained staff. Aside from that, the internet caf gave affordable price to the customers compared to other computer shop.

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D. PROPOSED MARKETING PROGRAM 1. MARKETING STRATEGY The market study is the lifeblood of every business and the profit will generally be the focal point. Despite the existing food and beverage establishments like fast foods, restaurants, bars and computer shops, the proponents decided to introduce coffee bar and internet named BARISTAs COFFEE BAR and INTERNET CAFE. A.) PRODUCT Baristas Coffee Bar is an establishment that offers different mixtures of coffee like espresso, cappuccino, coffee mocha and others, also non-coffee beverages like ice tea, pineapple juice, mango juice accompanied by different pastries like cheesecake, choco marble muffins, ube roll, yema roll and other; lastly a computer rental that accept typing or encoding, scanning, invitation making for different occasions like wedding and others. B.) PROMOTIONAL OR ADVERTIZING The marketing program planned is to display panflex signboard in front of the coffee bar giving identity to the proposed project Baristas Coffee Bar so that it can be easily recognized by costumers. The opening of the Coffee Bar will be broadcasted and announced in Radio Stations. It will also propose promotional offers like free taste for the first 20 costumers during the opening. For the Baristas Coffee Bar to be well known, brochure and leaflets will be distributed before and during its operations. Before the opening, invitations and discounted coupons will be distributed to major establishments in the municipality.

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EXPENSES ON ADVERTISING Panaplex-3ft x 5ft (colored) Permit Leaflets = 6 inches x 3 inches (colored) Lay-out (building, location, price, product offer) Scan Colored Printing/page Photocopy 1000 pcs. X 50cents Salary (2staff) x 5 days 120/day) Radio = 30 second/slot (Love Radio) 3 slots per day x 30 days Talent fee (dubber) TOTAL C.) PRICE The suggested price of the products will depend on the cost of the ingredients. An average of 40% food cost percentage was assumed. D.) DISTRIBUTION STRATEGY Dine-in and free delivery (on the minimum order amount) 75.00 30.00 15.00 500.00 1.200.00 2,250.00 67,500.00 9500.00 17,795.00 9,000.00 50.00

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2. Competitive Position Baristas Coffee Bar has 100% market share because based on the gathered data, there such existing establishment that sells the same products as the proposed project within the area. If ever there will be an establishment that offers the same product as the proposed project in the future, here are the competitive strategies of the Baristas Coffee Bar to be implemented according to the: Selling Price: the two basic components that affect product pricing are cost competition in selling. It is unprofitable to sell a product below production costs and unfeasible to sell it at a price higher than at which comparable product is being offered. Competition of the Quality of the Product: Baristas Coffee Bar will offer Italian Coffee and other coffee known here in the Philippines. The main coffee mixture offering is the espresso coffee and Granite de caf. The quality of the product of Baristas Coffee Bar is not only measured on its appearance but also on what is proper and acceptable socially. Service: a team of fun and friendly staff will surely make guest feel at home. They will always be available to serve giving the best smile guests deserve.

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3. Sales Projection

Assumption: Food Beverage= 40% Food Cost Percentage Expected number of guest per day = 150 Average check = 40 150 X 40 = Php 6,000 per day X 30 days 180,000 per month X 12 month 2,160,000 per year

Computer = 6hour per computer per day 6hours per computers X 14 set of computer 84 hours X 20 per hour Php 1,680.00 daily sale X 30 days

Php 50,400.00 per month X 12 month

Php 604,800.00 per year

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TECHNICAL FEASIBILITY

A. THE PRODUCTS Food and beverages are basic needs of a human being nourish the body and to sustain life. The proposed business will offer mainly coffee. Other non- alcoholic beverages will also be offered and pastries as an accompaniment. To increase the income, computer services such as encoding, internet, games and others will also be part of the operation. B. MANUFACTURING PROCESS All of the food and beverages products will be prepared by the concerned staff on site as needed. As much as possible, pastries will be baked daily to maintain the quality standards of the proposed business while beverages will be prepared as ordered. C. PLANT SIZE AND PRODUCTION SCHEDULE Baristas Coffee Bar will open daily from 6:00 in the morning until 10:00 in the evening. There will be two (2) shifts, an eight hours per shift to maintain daily operation. The dining area has a seating capacity of thirty (30) while the computer center can accommodate fourteen (14) persons at any given time. The lot area of the establishment which is 500 sq. meters with a floor area of 252 sq. meters is perceived to be enough to accommodate the maximum number of the clients and any future expansion. Production will be based from the projected number of guests per day. Expansion possibilities will depend on increase in the share and availability of financing.

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D. MACHINERY AND EQUIPMENT Equipment, tools and utensils required for production and provision of service for the target clients of the proposed business are listed below. These are locally available and are capable of producing the desired maximum output. ITEM Computer Shop Computer set (without printer and web cam) Printer Web cam Photocopying Machine Aircon (1 hp) Printing Calculator Kitchen Refrigerator Generator Oven (6 tray with pyrex window) Gas stove, 2 burner LPG Tank (50 kg) 1 pc 1 pc 1 pc 1 pc 1 pc 10,800/ pc 78,890/ pc 13,500/ pc 800/ pc 3,500/ pc 10,800 78,890 13,500 800 3,500 15 set 1pc 6 pcs 1pc 1 pc 1pc 20,250/ set 5,250/ pc 1,300/pc 35,000/ pc 18,000/pc 3,600/ pc 303,750 5,250 7,800 35,000 18,000 3,600 QUALITY UNIT PRICE TOTAL

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LPG Tank (11 kg) Electric mixer (10 quarts) Electric mixer (5 quarts) Coffee Maker (5 cups, Dowell) (15 cups, Caribbean) Baking Pans (all kinds) Measuring Cup, stainless Measuring Spoon, stainless Weighing Scale, 1 kg Weighing Scale, 10 kg Flour Sifter, # 10 Mortar and Pestle Mixing Bowl Rolling Pin, Large Rubber Scraper, Large Oven Ladle Wooden Spoons Pastry Bag Coffee Cups and Soucer Mugs Underliner Highball Glass Bread Plates
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2 pcs 1 set 1 set 1 pc 1 pc

1,000/ pc 27,000/ set 18,000/ set 1,150/ pc 850/ pc

2,000 27,000 18,000 1,150 850 5,000

1 set 1 set 1 pc 1 pc 2 pcs 1 set 2 sets 1 pc 2 pcs 1 pc 3 pcs 2 pcs 5 doz. 5 doz. 3 doz. 60 pcs. 5 doz.

285/ set 85/ set 650/ pc 580/ pc 620/ pcs 580/ set 980/ set 160/ pc 395/ pc 160/ pc 120/ pc 350/ pc 360/ doz. 240/ doz. 180/ doz. 18/ pc 264/ doz.

285 85 650 580 1,240 580 1,960 160 790 160 360 700 1,800 1,200 540 1,080 1,320

Forks Teaspoons Can Opener Bottle Opener Cake Knife Food Tong Glass Rack/ Trays Serving Trays Water Jug, Big TOTAL:

5 doz. 5 doz. 2 pcs 2 pcs 2 pcs 3 pcs 3 pcs 6 pcs 1 pc

85/ pc 85/ pc 35/ pc 15/ pc 120/ pc 35/ pc 400/ pc 250/ pc 1,800/ pc

425 425 70 30 240 105 1,200 1,500 1,800 Php 582,975.00

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E. PLANT LOCATION & LAY- OUT The proposed project will be located in the left side of Abrasa Multipurpose building and in front of Diffun Municipal Hall. This site was chosen because it lies along the provincial road, thus, creating a direct approach for all types of land vehicles. It is accessible to utilities and it is near the city public markets and super marts - the source of raw materials required. The availability of manpower will not be a problem since Diffun is bounded with skilled manpower that could fill in the positions necessary for the operation of the business. The breakdown areas are the following: Computer center will be located in the second floor of the propose building while the dining area will be in the ground floor and in the balcony. Comfort room will be place on the ground floor, and the parking area will be on the side and front of the building.

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ABRASA Multipurpose Bulding

Fig. 1. Spot Map

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Layout of the Proposed

Fig. 2. Perspective (3D)

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Fig. 3. Perspective View

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Fig. 4. Front View


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Fig. 5. Left Side View

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Fig. 6. Right Side View

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Fig. 7. Ground Floor Plan

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Fig. 8. Second Floor Plan

S
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F. BUILDING AND FACILITIES

BULIDING MATERIALS COST PROJECT SUMMARY DESCRIPTION TOTAL COST I. II. III. IV. V. VI. VII. VIII. IX. X. XI. XII. Works Steel Truss & Roof lag Hardware & Fixtures Door & Window Ceiling & Cabinet T & B Accessories Tables & Chairs Plumbing Works Painting Electrical Works Form Works Site Development P 213,497.50 66,207.00 12,200.00 37,065.47 79,170.60 23,195.00 60,000.00 27,000.00 19,242.00 17,475.00 41,465.00 116,731.00

MATERIALS COST LABOR COST TOTAL COST

713,248.17 249,636.86 Php 962,885.03

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CONCRETE AND MASONRY DESCRIPTION Cement Sand Gravel CHB 4 12 mm deform bar 10mm deform bar #16 tie wire UNIT bag m3 m3 pc pc pc kg QUANTITY 553 40 50 2,351 198 286 45 UNIT COST 178/ bag 400/ m3 450/ m3 5.5/ pc 154/ pc 106/ pc 45/ kg TOTAL Php 98,434 16,000 22,500 12,930.50 30,492 30,316 2,025

STEEL TRUSS AND ROOFING DESCRIPTION 1 ANGLE bar 2 x 3 C- purlins Welding Rod UNIT pc pc kg QUANTITY 72 65 20 22 22 8 1,200 1 UNIT COST 310/ pc 320/ pc 55/ kg 348/ pc 290/ pc 232/ pc 1.5/ pc 1,500/ gal TOTAL 22,230 20,800 1,100 7,650 6,380 1,856 1,800 1,500

# 26 x 12 ft. Corr. G.I sheet pc # 26 x 10 ft. Corr. G.I sheet pc # 26 x 8 Corr. G.I sheet Tex Screw Vulca Seal
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pc pc gal

Blind rivets G.I plain sheet 4 x 8

pc pc

500 11

0.75/ pc 220/ pc

375 2,420

HARDWARE & FIXTURE Doorlock Kitchen sink Assorted CW nail Faucet pc set kg pc 4 2 20 6 350/pc 4000/set 50/kg 300/pc 1400 8000 1000 1800

DOOR & WINDOW Steel case windows PVC Door Panel Door A1. Frame Glass CEALING AND CABINET Marine Plywood 2x2x14ft Goodlumber #16X10ft Corsina Built-in Cabinet Counter pcs bd.ft pc pc set 82 1500 21 2 2 310/pc 26/bd.ft 150/pc 3000/set 2800/set 25,420 39,000 3,150 6,000 5,600 m2 set set pc m2 2.16 4 3 21 87.04 2300/m2 1600/set 2500/set 150/pc 172.88/m2 4968 6400 7500 3150 15,047.47

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T&B ACCESSORIES Water closet with soap And tissue holder Lavatory with accessories 4x4 floor drain TABLES AND CHAIRS Computer room Dining area PLUMBING WORKS Deep well Materials Pipes and Fitting 25,000 2,000 set set 15 12 2000/set 2500/set 30,000 30,000 set set pcs 2 2 3 5000/set 650/set 65/pc 10,000 10,000 195

PAINTING Roof paint Masonry paint QDA white Flat wall Patching compound ELECTRICAL WORK Material Cost Exhaust fan (kitchen) Dust fan (C.R) pc pc 2 2 2,000/pc 2,000/pc 9,475 4,000 4,000 gal gal gal gal gal 8 12 8 8 8 500/gal 478/gal 492/gal 415/gal 25/kg 4,000 5,736 3,936 3,320 2,250

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FORM WORKS pc 2x2x14 ft. good lumber 2x2x14 ft. good lumber Assorted CW nails SITE DEVELOPMENT Grading landscaping Concreting of parking area m3 m3 30 5.6 2,500/ m3 7,452/ m3 75,000 41,731.20 bd.ft bd.ft kg 31 342 908 15 265/pc 26/bd.ft 26/bd.ft 50/kg 8,215 8,892 23,608 750

G. RAW MATERIALS AND SUPPLIES PRE-OPENING RAW MATERIALS ITEM Ground Coffee(barako) Dark roast coffee(Maxwell) Black tea(lychee black tea) Jasmine tea(china jasmine tea) Lemon tea Nestea ice tea Unsweetened cocoa All-purpose cream Whole milk Low fat milk Coffee creamer Milk chocolate
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QUANTITY 3kg 3bot. 3box 3box 3box 3kg 3kg 1doz 2L 2L 2bags 1kg

UNIT PRICE 595/kg 170/11.5oz 40/box(50s) 40/box(20s) 40/box(50s) 112.55/kg 330.5/kg 34.30/pck(250ml) 64.05/L 65/L 86/bags(480g) 392.50/kg

TOTAL 1,785 510 120 120 120 337.65 991.50 411.60 128.10 130.00 172.00 392.50

White chocolate Sugar white Cinnamon powder Nutmeg Confectioners sugar Vanilla Butter Unsalted butter Cake flour ITEM All-purpose flour Baking powder Parmesan cheese Graham crackers Sour cream Chocolate chips, white Cream of tartar Salt Pineapple juice Mango juice

1kg 3kgs 50mg 250g 1kg 1 gal 1 kg 1 kg 1 bag QUANTITY 1 bag 1 kg 2 (16 0z) 6 packs 6 x240 g 1 kg 2 bot. (200g) 1 kg 1 box (48s) 1 box (48s)

950/kg 37/kg 135/1.2kg 63.75/25kg 65/kg 65/ gal 145/ kg 265/ kg 875/ bag UNIT PRICE 625/ kg 78/ kg 405/ 16 oz. 21.6/ packs 65/ 240 g 188/ kg 95/ bot. 12/ kg 750/ box 816/ box

950.00 111.00 135.00 63.75 65.00 65.00 145.00 265.00 875.00 TOTAL COST 625.00 78.00 810.00 129.00 390.00 188.00 190 12.00 750.00 816.00 P 11,881.70

TOTAL (per-opening raw materials)

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Pre-opening Supplies ITEM Office supplies: Long bond paper Short bond paper Diskette Colored ink Black ink Adding machine tape Puncher Calculator Stapler ITEM Folder short Folder long Staple wire Logbook Ballpen Pencil 2 ream 2 ream 25 pcs 2 2 50 pcs 1 pc 1 2 QUANTITY 1 doz 1 doz 2 boxes 5 pcs 1 box 1 dozen 180/ ream 155/ ream 25/ pcs 1200/ pcs 495/ pcs 12/ pc 85/ pc 420/ pc 49/ pc UNIT PRICE 200/ doz 225/ doz 55/ box 33/ pc 190/ box 46/ doz. 360.00 310.00 625.00 2,400 990.00 600.00 85.00 420.00 98.00 TOTAL COST 200.00 225.00 110.00 165.00 190.00 460.00 QUANTITY UNIT PRICE TOTAL

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CLEANING SUPPLIES: ITEM Dishwashing Liquid Air freshener Rags Mop w/ handle Push brush Scrubbing pad Soft broom Dust pan Toilet bowl cleaner Toilet bowl brush Sponge Insect sprayer Trash bag Trash bin QUANTITY 2b 2 bot. 1 doz 2 pcs 2 pcs 3 pcs 3 pcs 3 pcs 2 gal. 3 pcs 3 pcs 2 bot. 2 packs 6 pcs UNIT PRICE 39.90/ bot. (400 ml) 115.75/ bot 25/ pc 110/ pc 91/ pc 32.5/ pc 120/ pc 27.5/ pc 350/ gal. 25/ pc 8.75/ pc 177.15/ bot 73.75/ pack 250/ pc TOTAL COST 79.80 231.50 300.00 220.00 182.00 97.50 660.00 82.00 700.00 75.00 26.25 354.03 147.50 1500.00

TOTAL:

P 11,480.35

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H. UTILITIES Electricity The Quirino Electric Cooperative (QUIRELCO) will supply the power requirements of the proposed project. In case of power failure, a generator will be used. Installation cost and the estimated consumption are as follows: Cost of Installation Estimated Monthly Consumption TOTAL Fuel Liquefied Petroleum Gas (LPG) will be used and the target source is OMEGA LUMBER. Estimated Consumption per month 11 kg Tank X 1 50 kg Tank X 1 TOTAL Water Supply This will be provided by the Diffun Water District Cost of Installation Estimated Consumption per Month TOTAL
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10,000 4,000 Php. 14,000

750 2,000

Php. 2,750

P 3, 500 500 Php. 4,000.00

Telephone and DSL subscriber service Telephone and DSL digital subscriber service will be through DIGITEL. COMMUNICATION Installation Cost Estimated Consumption per Month TOTAL I. WASTE DISPOSAL Because of the nature of the business, wastes are expected to be minimal. All wastes placed in a garbage bin lined with black garbage bag. Biodegradable will be separated from non- biodegradable to be collected by the garbage collectors daily. J. PRODUCTION COST In producing the products for sale (Food and Beverage), it is assumed that an average of 40 % of the selling price is the food cost. P 2,500 2,550 Php. 5,050.00

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K. SALARIES AND WAGES Position Store Manager Security Guard Secretary Cashier Computer Assistant Barista Baker Dish Washer F and B Attendant Individual Salary 7,000 3,000 4,500 4,000 4,000 3,500 4,000 2,000 3,000 1 2 1 2 1 2 2 1 4 No. of Employee 7,000 6,000 4,500 8,000 4,000 7,000 8,000 2,000 12,000 Total

Total

P 35,000

16

P 58,500

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Monthly Salary = P 58,500.00 X 12 1 Year Salary = P 702,000.00 Social Security System Benefits Position Store Manager Cashier Computer Assistant Barista Baker Dish Washer F and B attendant Secretary Individual 7,000 4,000 4,000 3,500 4,000 2,000 3,000 4,500 Employee share 234.70 252.70 252.70 222.30 252.70 131.30 192.00 283.00 No. of Employee 1 2 2 2 1 1 4 1 Total 434.70 505.4 505.4 444.60 252.70 131.30 768.00 283.00

Total

P 35,000

2,021.40

16

3,325.01

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FINANCIAL ASPECT This part of the study shows the profitability of the proposed project, the capacity to meet its obligation and recovery of the project costs. Total Estimated Project Cost The total project cost will require an initial investment of Php 2,000,000.00: Building Machinery and Equipment Other Assets Total Working Capital Total project Cost 962,885.03 582,975.00 20,000.00 1,565,860.03 434,139.97 2,000,000.00

Source of Financing This project is financed by the owners through their personal money. Mary Joy Adviento Estrelita Avila Kesia Carmona Frenzy Gulla Total Project Cost 500,000.00 500,000.00 500,000.00 500,000.00 2,000,000.00

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Financial Assumption The following assumptions have been having the financial study of this project. 1. Cash on hand is equivalent to one day collection on sales. Computer rentals and photocopy. 2. Petty cash hand is established to pay minimal expenses for issuance of check is undesirable. 3. Employees are allowed to advance half of their one month salary or wage. 4. Direct materials represent unused materials on the storage room ready for use. 5. Prepaid advertising represents radio advertisement already paid but not yet match with revenues. Equivalent to 45 % of the radio and next year. 6. Supplies on hand represent office supplies not yet used like official receipts, vouchers, bond papers, etc. 7. The building has been depreciated over a 20 year estimated useful life using the straight method, salvage value not considered. 8. The machinery and equipment are also depreciated using the SLM, estimated economic life of 6 years. Salvage Value (SV) is not considered. 9. Other assets have been amortized over a 5 year period. 10. With holdings Tax Payable (WTP), represents unmerited Withholding Tax (WT) on salaries and wages of employees equivalent to one month (1). 11. Income Taxes Payable (ITP) represents unpaid income tax of the partnership for the last quarter. 12. This represents undisturbed partnership income to the partners. 13. Target market has been assumed to increase by 10 % every year. 14. Cost of goods sold represents 40 % of sales. 15. Interest on bank deposit is equivalent to 2.5 of the beginning cash in bank account..

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BARISTAS COFFEE BAR PROJECTED BALANCE SHEET As of December 31, 2014 through December 31, 2018 Dec. 31, 2014 ASSETS Current Assets Cash and cash equivalents Trade & other receivables Inventory Prepayments Total Dec. 31, 2015 Dec. 31, 2016 Dec.31, 2017 Dec.31, 2018

(1) (2) (3) (4)

776,762.30 31,773.83 4,995.46 9,218.75 822,710.35

1,227,634.96 33,320.53 5,758.67 9,525.00 1,276,239.15

1,761,929.02 84,986.55 6,598.19 9,846.56 1,813,360.33

2,889,281.67 36,735.88 7,521.67 10,184.20 2,443,723.42

3,125,564.86 38,572.67 5,146.75 7,444.98 3,176,729.20

Non- current Assets Property, plant & equipment (5) 1,400,553.28 Other non- current assets (6) 16,000.00 Total 1,416,553.28 TOTAL ASSETS 2,239,263.63

1,255,246.53 12,000.00 1,267,246.53 2,543,485.68

1,109,939.78 8,000.00 1,117,939.78 2,931,300.11

964,633.03 4,000.00 968,633.03 3,412,356.45

819,326.28 819,326.28 3,996,055.54

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LIABILITIES AND PARTNERS EQUITY

Liabilities Current Liabilities Trade & other payables (7) Total (8)

30,597.50 30,597.50

41,934.64 41,934.64

53,197.47 52,197.47

65,596.34 65,596.34

79,245.34 79,245.34

Partners Equity Partners contributed capital 2,000,000.00 Accumulated net income (9) 208,666.13 Total partners equity 2,208,666.13 TOTAL LIABILITIES 2,239,263.63 AND PARTNERS EQUITY

2,000,000.00 501,551.04 2,501,551.04 2,543,485.68

2,000,000.00 878,102.64 2,878,102.64 2,931,300.11

2,000,000.00 1,346,760.12 3,346,760.12 3,412,356.45

2,000,000.00 1,916,810.20 3,916,810.20 3,996,056.54

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BARISTAS COFFEE BAR PROJECTED INCOME STATEMENT For the year ended December 31, 2014 through December 31, 2018

Dec. 31, 2014 Net Sales Revenue Less cost of Goods Sold Store Profit Add other income Total income (10) (11) (12) 2,160,000.00 1,296,000.00 864,000.00 120.00 1,221,120.00

Dec. 31, 2015 2,380, 936.00 1,428,561.60 952,000.00 392,000.00 1,344,000.00

Dec. 31, 2016 819,029.00 1,471, ,417.76 1,047,611.84 132,115.20 1,179,727.04

Dec. 31, 2017 2,880,932.56 1,728559.53 1,152,373.02 475,826.72 1,627699.74

Dec. 31, 2018 3,169,025.81 1,901,415.49 1,267,610.33 522,859.39 1,790,469.72

Expenses Selling expenses (13) 16,867. 00 Administrative expenses (14) 250,828.06 Other expenses (15) 2,400.00 Total expenses 900,095.19 Income before Income taxes 321,024.81 Less income tax 112,358.68 Net Income 208,666.13

105, 347.13 752,953.06 35,714.04 894,614.23 450,592.17 157,707.26 292,884.91

105,947.13 755,184.31 39,285.44 900,416.88 579,310.16 202,758.55 376,551.60

105,947.13 757,527.13 43,213.99 906,688.24 721,011.50 252,354.03 468,657.48

105,947.13 759.987.08 47,535.39 913,469.59 877,000.13 306,950.04 570,050.08

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ORGANIZATION AND MANAGEMENT Organization is the framework or backbone by which the work of a business, managerial or otherwise is performed that a management direction and control. Organization also connotes a creative process. All that parts of a business do not come into existence spontaneously. They are the results of managerial efforts to carry out a predetermined course of actions.

A. BASIC CONSIDERATIONS IN FORMING THE ORGANIZATION 1. MANAGEMENT STRUCTURE The proponent chose the line organization style for the management structure because this is the simplest form of structure and refers to a direct straight- line responsibility and control from the top management to the middle management and to the lower level. It has acquired this name because there are direct single lines of authority and responsibility between manager and his subordinates. It is the oldest form of organization. This form of organization is common in many small and medium sized companies. The managers of the departments are given complete authority and responsibility over the activities involving their functional areas. One of the disadvantages of this type of structure is that a manager must be familiar with diverse activities related to the operation of the business. The line type of structure has some advantages. Authority and responsibility are in clear in this type of organization and the clarity helps to avoid several organizational problems because subordinate knows who to report and the supervisor also knows the scope of his authority.

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B. FORM OF OWNERSHIP The venture is a partnership form of business. Partnership is a legal association between two or more individuals or co- owner of a business. The proponents chose this kind of ownership because there are more persons to conduct the business and to handle problems. And a partnership has access to greater of better credit.

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C. ORGANIZATIONAL CHART
MARY JOY ADVIENTO OWNER ESTRELITA AVILA OWNER KESIA CARMONA OWNER

FRENZY GULLA
OWNER

BRAD PITT STORE MANAGER

ANGELINA JOLIE SECRETARY SALES/MARETING

JUAN DELA CRUZ SECURITY GUARD

JOHN FLARE Barista ( Bartender)

GOLDI GARDENIA Baker

JANET NAPOLES Cashier

BILL GATES Computer Assistant

SAM PINTO F & B Attendant


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CHEENA PLATES Dishwasher

D. OFFICERS AND KEY PERSONEL Store Manager Job Description 1. Monitors the necessary preparation before the start of the operation and sees to it that all needed supplies will be available, clean, and good condition. 2. Conducts daily briefing among his/her staff. 3. Monitors the performance of his staff and sees to it that they will follow standard procedures and abide by the existing house rules. 4. Prepares staff schedule, side duties and assignments. 5. Conducts weekly meeting with his/her staff to discuss resolve operational problems. 6. Sees to it that the monthly food and beverage forecast will be attained. 7. Loos after the setup, appearance, and cleanliness of the outlet. 8. In the absence of cashier, he/she does his responsibility. Job Specifications Graduate of BSNDand BSHRM or any related course, 25-35 yrs. Old. At least 2 years experience in managing restaurant. Male/female with pleasing personality Computer literate and can communicate in English, oral and written. Must be flexible and hardworking.

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BARISTA (Bartender) Job Description 1. Prepares or mixes the coffee, following standard recipe. 2. Sets up the bar, equipping it with coffee stocks and other supplies. 3. Ensures that the stocks of supplies and equipment are maintained: makes requisition if necessary. 4. Takes charge of storage and refrigeration of other beverages and other ingredients used in making coffee mix. 5. Takes inventory of coffee beverages consumption as well as of losses. 6. Sees to it that the bar is properly stocked, clean, and well maintained. 7. Performs other duties as maybe assigned by the store manager. 8. Purchases ingredients needed for the coffee product Job Specifications A graduate of BSND and BSHRM or any related course. Male/female, 25 years old and above. At least one (1) year experience in bar or related job. Knows how to communicate in English and Filipino Computer literate

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BAKER Job Description 1. Prepares and bakes pastries for sale. 2. Responsible for the management of the baking area. 3. Responsible for the cleanliness of the baking area. 4. Knows how to innovate new products. 5. Purchase ingredients required for baking. 6. Checks the quality of finished products. Job Specifications Has undergone formal training in baking cakes and pastries Has at least one (1) year experience in baking Has passed the Baking NC-II Male/female, 23 years old Hardworking and artistic Physically fit and healthy

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CASHIER Job Description 1. Responsible of the cash collection of the coffee bar. 2. Prepares daily sales report. 3. Deposits collection at the end of the day. 4. Acts as the duty officer in the absence of the manager 5. Reports to the store manager 6. In the absence of the computer assistant; he/she may do the responsibility. Job Specifications A graduate of BSA or related course Male/female, 20-35 years old With pleasing personality Must be hardworking, flexible and trustworthy. Computer literate.

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COMPUTER ASSISTANT Job Description 1. Responsible in the operation of the computer area in the establishment. 2. Makes monthly report on the income and expenses incurred on his/her area. 3. Sees to it that his/her area together with ts equipment is clean and well maintained. 4. Performs other duties as maybe assigned by the store manager. 5. Reports to the store manager. Job Specifications Graduate of Computer Technician or any related course With atleast one (1) year experienced as Computer Technician Male/female, 18-25 years old With pleasing personality Trustworthy, hardworking and flexible

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FOOD AND BEVERAGE ATTENDANT Job Description 1. Welcome the guests. 2. Responsible in getting the guests order and serving the orders 3. Responsible in cleaning and sanitizing the tables, chairs and other equipment in the dining area 4. Performs side duties and other assignments given by his superior 5. Reports to the Barista 6. In the absence of the Barista, food and beverage attendant will do his responsibility. Job Specification Preferably a student of BSHRM 18-26 years old With pleasing personality Must be hardworking and flexible A resident of Diffun, Quirino is an advantage Can communicate in English and Filipino oral or written.

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DISHWASHER Job Description 1. Responsible in washing all utensils/ equipment in baing and in the bar operation 2. Maintains cleanliness and orderliness of the kitchen 3. Reports to the Baker

Job Specifications High school Graduate Female, 18-25 years old Physically fit Hardworking and patient

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SECURITY GUARD Job Description 1. Privately-employed person who is paid directly or through a security firm to protect the property and people (guest/staff) 2. Taking action and reporting any incidents to the store 3. Taking action for employer and emergency services 4. Entertaining the guests as they enter the area Job Specifications Has undergone training at least 6 months 58 in height With or without experience Physically fit Can communicate in English and Filipino oral or written

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SECRETARY/ SALES/ MARKETING Job Description 1. Acts as representative of the store manager 2. Responsible in negotiating or dealing the product to other company 3. Prepares the entire inventory needed by the manager 4. One who is responsible in promoting the product 5. Performs other duties assigned by the store manager 6. Reports to the store manager. Job Specifications Graduate of secretarial ir any related course With pleasing personality Female, 21 years old At least one year experience in secretarial position Computer literate and can communicate in English oral and written Must be flexible and hardworking

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COMPENSATION Employees of Baristas Coffee Bar will be paid for their corresponding position. Employees will render a minimum of 8 working hours a day, 6 days a week, 50% shall be added to their regular pay for overtime rendered. Salaries and wages will be given every 15th and 30th day of the month. For their uniform, the employees shall shoulder all the expenses incurred. Special awards will be given to the most outstanding employee, in cash or in kind, to motivate them. Benefits like SSS and Christmas bonus will be given.

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