SIMPLIFIED BUSINESS PLAN

on

RIEGO FARM MACHINERY RENTAL &

SERVICES

By:
GRANIER T. RIEGO
September 25, 2019
 A. BUSINESS/PROJECT
1. RIEGO FARM MACHINERY RENTAL & SERVICES
2. Two hectares
3. 3.1. Rental & Services
3.2. Two workers
3.3. December 2019
4. (For Existing Business Only NOT APPLICABLE)
5. _________________________________________

B. PROFILE OF OWNER
1. Ganiner T. Riego
2. Magbay, San Jose, Occidental Mindoro
3. Magbay, San Jose, Occidental Mindoro
4. 09462066418
5. 30 years
6. No
7. None
8. ___________________________________

C. NOT APPLICABLE
D. NOT APPLICABLE
E. MANAGEMENT
1. ✔ Yes. Farming, 30 years
2. ✔ Farming Skills (Note: Ma-specify yung farming skills ni Papa)
3. Tractor
4. ________________

F. FINANCIAL ASSETS
1. Financial Requirement
A. ₱ 1,900,000
B. ₱ 190,000, which is 1% of the Total Cost.
C. 5 years
D. Equity for the project.
(✔) Labor = ₱70,000
(✔) Labor = ₱1,900,000

2. ASSETS

a.1. Cash = 300,000 - Current Asset

a.2. Equipment = 500,000
a.3. House & Lot = 700,000 Non-Current Asset
 Farm = 1,500,000
₱ 3,000,000

B. Cash = ₱300,000

3. LIABILITIES
a. 2,000,000 (100,000 Excl. loan)
b. 400,000 in 1 year 540,000 more than 1 year

4. SALES/INVOICE
a. 300,000
b. From crop, farming - 300,000
c. 150,000 Net Income
d. 150,000 Estimated (will be)
e. ________________

5. EXPENSES
a. ₱1,900,000
b. ₱300,000 Annually

6. SAVING
a. 20,000
b. Remittance

G. NOT APPLICABLE
H. OTHE INFO. AS MAY BE REQUIRED
1. ROI = Net. Inc./C Borrower’s Equity + Loan to Finance) x 100

ROI = 150,000 / C 70,000 + 1,900,000) x 100

= 150,000 /1,900,000 x 100
= 0.076 x 100
= 7.6

2. Profitability Rate = Net. Inc. / Sales x 100

= 150,000 / 300,000 x 100
= 2 x 100
= 200
3. Liquidity Ratio = Current Cash Asset/ short term Liability x 100
= 300,000 / 190,000 x 100
= 1.58 x 100
= 157.90

4. Solvency Ratio = Net Income / Total Liability x 100

= 150,000/= / 1,900,000 x 100
= 12.67 x 100
= 1,267