IMUS INSTITUTE OF SCIENCE AND TECHNOLOGY

BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION

MAJOR IN MANAGEMENT ACCOUNTING

FEASIBILITY STUDY ON “DIVERSION”

With Cakes and Coffee Shop

Submitted to:
Mr. Hernando Valmores, Jr., CPA, MBA

Submitted by:
Eusebio, Jastine Quiel G.

Soriano, Ma. Paulene Beatrice P.

Tenaja, Samantha James C.

3rd Year Students

I. EXECUTIVE SUMMARY

Nowadays, many people love to find a place that they can stay with their
friends where they can find a pleasant fun or entertainment. But some individual
wants a peaceful location to be able to unwind, to think, to study and to read their
favourite novels.

Consequently, we came up with the idea of proposing a business that will

offer a place where they can study and have fun at the same time, and also to
serve food and drinks that will satisfy their cravings, budget and time. Diversion
is not only study lounge but we also adding pastry and coffee shop. We will
create fun activities to our business and new menus to have competitive
advantage against competitors. Our target group will be most of the students in
Dasmarinas, Cavite, because of the universities and colleges around it. We will
also launch promotion of our shop in social media and the most effective way, the
word of mouth.

Moreover, we want to encourage people to enjoy books, board games, cakes

and coffee by our unique ideas that they will appreciate.
A. Nature of the Business

The business proposal falls under the service industry which is in the
field of study place with a twist of fun educational games and related to cakes
and coffee industry.

B. Objectives

 A place to study

 To create scrumptious food

 To inspire creative thinking

 Stress relieving environment

 To have a fun and comfy place to stay

C. Mission and Vision

Mission

We are a service provider that want to encourage people in finding their

social interaction with others by having a place to study, play and eat with a
reasonable price, good service, cleanliness and consistent with the needs of
our customers.
 Vision

Within the next five years our shop will be the one of the top in the
industry in giving quality service and be an unforgettable place that they can
find. Also we created Diversion to attract our customers in giving our best
ideas, atmosphere and a pleasant place to stay.

D. Name of the Business

The proponents decide to name the business as “DIVERSION” with a

tagline, #PeaceandPlay. According to Encyclopedia, Diversion means
something which brings pleasant mental distraction. We want our name to be
remembered in the nicest way our customers will experience our service and
letting them to spread the good feedback they want for a business like our
shop.

II. Product/ Services

A. Description of the Product/ Services

The proponents decided to build Diversion by putting a study lounge

with a mini-library where the customers can borrow and use it inside our
shop. We also have the activity lounge, with few different interior design of
its own, where they can use our fun board games and some old but usable
 stuff we provide for their recreation. We also have free access in Wi-Fi
service and computer hub to be rented for their research and study purposes.

We also have variety of pastry and coffee which contain high quality
ingredient of organic food material such as, coffee, cocoa, tea, fruits, etc. We
will also serve cakes, breads, cupcakes and muffins freshly baked straight out
of the oven.

B. Reason/s in choosing the Product/ Services

III. Type of Business Management

The type of business structure that suits the business proposal is partnership.
Partnership involves two or more individuals can combine their money, talents, skills
and other sources, and also sharing the profit and loss in a particular service venture.

IV. Marketing

Product

The proponents concern about the place where some students and some
individuals needs a place to study, to relax or to enjoy their free time for a
good reason. They will also enjoy delicious cakes and coffee on their
preferred taste and flavour.
 Price

“Diversion” set a good price in accommodating our study lounge and

also our cakes and coffee.

Place

The proposed business will be located at Dasmarinas, Cavite. This

location will cater our target customers because of the universities and
colleges around Dasmarinas and also to other possible consumers.

Promotion

With the place where our business is located we will try to represent
various marketing aspects to communicate and to give relevant information
about the business and to generate positive response from our customers. We
also have social media accounts like Facebook and Instagram for widely
online advertisement and especially by the good response of our customer
they can advertise the business by “the word of mouth” system.

V. Target Market and Customer

Our target market will be the people who were living, studying and working
in Dasmarinas, they were the university and college students, professionals,
non-professionals, families, circle of friends, individuals and passers-by.
VI. Financial Highlights

A. Estimated Investment

The start-up capital of the proposed business will be Php3,000,000.00,

invested by the three partners divided equally. They will also share equally
the profit and loss of the business.

B. Sources of Funds

The source of funds for the proposed business will be from from their
savings, from their parents and close relatives.

VII. Socio-economic Contributions

A. Community

The proposed business wants to contribute to the community by giving

jobs to some students who want to work part-time and to contribute right
amount of tax declaration of the business.

B. Country

By buying organic food materials from our local provinces the business
can help them to boost their sales and can refer them to other suppliers.
C. Environment

By using eco-friendly materials for the business and organic food

materials, we can also prevent the usage of plastic that is bad for the
environment. We will also put some plants inside the shop and it will be
smoke-free place.