CHAPTER l

THE PUROSE OF THE PLAN

Introduction

The proponents had conducted a thorough deliberation on products they would feature.

There are differences in recommendation, but it was actually from a small coincidence which

turned into opportunities. One day, one of the proponents went to a store to buy a cosmetic

product such as Lip Tint. Then, when she was initially looking for a sales lady she looked for her

desired brand of such item. Afterwards, using the cosmetic products, it caused irritation on her

lips which was the reason why she will never use such product again.

Then, she went to a store to buy Kapeng Barako and then she became curious of its

potential to be used as a Liptint product. After checking some information regarding its content

and asking some people regarding their thoughts about it, then she had finally come up with

such idea and finalized it. Besides, it will also help in promoting Batangas “Best Kapeng

Barako.”

Additionally, the proponents thought of an idea on how to solve the issues mentioned

above by creating the Kapeng Barako product into Liptint. The proponents wanted to achieve

the natural benefits from coffee also known as Kapeng Barako. Finally, the opportunities turned

into reality.

JRDC Company is a partnership form of organization. Kapeng Barako in the Philippines

means "study" and is associated with the image of masculinity. Kapeng Barako has a strong

flavor and fragrance reminiscent of aniseed.

Page 1 of 1
 Kapeng Barako can serve multiple functions such as soap, cookies, and it is also used as

a body scrub in spa treatment.

Background of the study

For successful products, the JRDC Company wanted to do all it can to extend the

growth and maturity phases of their product’s life cycle. It is an important concept in marketing

strategies. The JRDC Company will be responsible to reach the Product ’s Life and developed

strategies to determine the future work and goals of a necessary product company and also

helps to study the market conditions regarding their sales potential.

Globalized market place means that it is more challenging than ever before to maintain

competitive edge. Through the years, it has been a nature of humans to buy consumer goods

as daily need. It is the reason why many cosmetic products innovated their marketing strategies.

Some are making it as healthier, unique, and in good quality to meet the demands of the

consumer.

Kapeng Barako or Batangas Coffee is a coffee variety grown in the Philippines

particularly in the province of Batangas and Cavite. Kapeng Barako has a strong flavor and

fragrance reminiscent of aniseed. It belongs to the species of coffee Liberia and gives energy

because of the effect of caffeine and it can affect the body on how it is prepared.

This study aimed to utilize locally manufactured Kapeng Barako. It also sought to

provide a great innovation by introducing a variety of product made of Kapeng Barako that will

not just satisfy the consumer wants and needs but also help them to achieve an extra ordinary

beauty.

Page 1 of 2
 The JRDC Company is the partnership company that decides to produce natural beauty

product using locally Liberia coffee that the dark brown color of Kapeng Barako has which

complements to the skin of their product users.

Location

In choosing a location, the proponents also considered the rental fee that fits their

budget due to the fact the proponents are only starting their business. Choosing a location for

the business is one of the most important decisions the proponents made during the planning

phase of launching their venture. The proponents agreed that the location of the production of

Coffee Lip tint products will be at Barangay, Trapiche 1 Tanauan City, Batangas.

Vision

o In 2025, Coffee Liptint will be a local name that caters to the needs of consumers by

offering likable products.

Mission

o To be the one that gives Coffee Liptint product in Tanaueños.

o Give new business opportunity through the use of Kapeng Barako.

Goals/Purpose of the plan

o To produce good quality product made by JRDC Company to consumer.

o Develop close partnership and strong supply chains with local supplier and

customer.

o Provide learning opportunities to all customers about JRDC Company and create a

product that would satisfy their needs.

Page 1 of 3
Logo

The JRDC Company logo has a face of a woman which symbolizes that women nowadays

are powerful. The logo has some appearance of elegance and sophistication that represent the

company itself and the JRDC Company Tag-line which is, “Glow in a New Way.“ This tag line

defines how the product will work for their daily routine and it will help the company to capture

the attention of its prospective customers to buy their product.

Figure 1.1
Company Logo

Strategic Directions of the Enterprise

According to Ordas (2019), lip tint is one of the important needs for some women. The

reason for the usage of lip tint but also lip tintare is often to be implicated to look attractive.

Therefore, the usage of lip tint is a way to support women appearance. Cosmetic industry

continues to strive to satisfy consumers with range innovative lip tint product to meet the

demand. JRDC Company will start entering the market to expand its new product and introduce

also the Coffee Lip tint. Cosmetic product is part of many people’s life. They want to look good

Page 1 of 4
and feel good. By using cosmetic produc, it helps to impress their beauty and show their

confident and it helps to minimize environmental impact and support the sustainability of the

environment.

CHAPTER II

MARKET ANALYSIS

This chapter tackles the Industry Description and Outlook, Target Market, Demand and

Supply, Market Penetration, Market Segmentation, SWOT analysis, and Regulatory Restriction

to determine the feasibility of Coffee Lip tint in the market and to help the proponents to

determine whether the supply would meet the growing demands of the product.

Industry Description and Outlook

Nowadays, consumer has started to become more aware to buy a cosmetic product.

They find a lot of information if the product is safe to use for their skin. Thus, the proponents

studied how their business will become successful and how their consumers will be satisfied to

buy their product.

The first thing anyone notices about a Lip tint is its colors. A lip tint is formulated with a

water base which evaporates so that the pigments are being absorbed by the lips. The Coffee

Lip Tint provides three shades such as Bloomy Dark, Brown and Dark Choco. The main

purpose of lip tints is to achieve a soft natural finish or gradient look. The proponents had

conducted a thorough deliberation on what kind of product they would like to feature.

JRDC company aspires to provide business opportunities through the use of Kapeng

Barako. Coffee Lip tint products will cater the needs of health-conscious consumers and also, it

Page 1 of 5
seeks to strengthen local products. The proponents will create and use innovative formulation

with unique ingredients with a famous Barako coffee as the main ingredients.

Target Market/ Market segmentation

The JRDC Company will initially target the female population in Tanauan City ages 14 to

64. The stated age bracket of the target market can consume Coffee Liptint products especially

the health-conscious ones as the product contains a lot of essential nutrients.

Market needs

The JRDC Company focuses on developing new products and innovating the use of

different ingredients in cosmetic products. In order to sustain and maintain their market

positions, JRDC Company is adopting various strategies. The cosmetic product is the one which

satisfies the consumer because of its gradient look. Since, the coffee lip tint and coffee eyebrow

is new to the market, the proponents made an idea on how their business will grow faster.

Marketing Objectives

Coffee Lip tint product will be selling liptit made in Kapeng Barako. The company aspires

to provide different business opportunities through the use of Kapeng Barako. Coffee Lip tint will

cater the needs of the health-conscious consumers and also, it seeks to strengthen local

production.

Demand and Supply

Demand is the amount of good that the consumers are willing to purchase together with

their purchasing power including their financial status. The purpose of the phrase is to ensure

Page 1 of 6
that the proponents are examining the relationship between the price and quantity demanded

for the same good.

Supply is the amount of the output that is available for consumption for meeting the

demand of the consumers. It is important to study the supply so that the proponents will know

the direct competitors as well as the projected supply for the given year.

The respondents of the study were from the 48 barangays in Tanauan City including

small retailers therein. These barangays represented the population, considering the

convenience of people’s receptiveness and cost minimization of the market.

The data gathered from the Planning and Development office of the City of Tanauan City

was used as basis to identify the number of target market where samples were taken from the

different respondents.

To determine the number of questionnaires to be distributed, the proponents used

Slovin’s Formula. Then, they also utilized the random sampling method in determining those

who would answer the survey. To come up with accurate sampling unit, five percent (5%)

margin of error was allocated.

N
n=

1 +Ne²

Where: n= sample size

N= total household population in urban barangays in Tanauan City

Page 1 of 7
e= margin of error which is 5%

Table 1.1

Historical Data

Year Total Population Annual Growth Rate

2010 152, 393 -
2015 173, 366 2.3%

Table 1.1 shows the historical data of the total population of Tanauan City based on

2010 and 2015 National Census. It was calculated by subtracting the 2010 population to the

most recent population value divided by the past population value. The result was multiplied by

100 then divided by the total time period which is six (6) years to project the annual growth rate

per year. This resulted to an answer which is 2.3 %.

Table 2.1

Population Forecast

Year Annual Growth Year Projected Population

2018 - 173, 366 (2015 census)

2019 2.3% 178, 220

2020 2.3% 183, 210

2021 2.3% 188, 339

2022 2.3% 193,612

Page 1 of 8
Year Annual Growth Year Projected Population
2023 2.3% 199,033

The table shows the five (5) years projected population. It was calculated by multiplying

the annual growth per year of 2.3 by the recent population which is 173, 366. The answer was

added to the present value of population to get the first year’s total population. Same formula

was used to get the total population of the following years.

Table 2.2
Projected Annual Demand of Coffee Liptint

Year Market Total Target population Projected Annual

Acceptability Population Demand
(15 – 64 years old)

2019 50% 178, 220 114, 686 57, 343

2020 50% 183, 210 117, 323 58,661

2021 50% 188, 339 120, 021 60,010

2022 50% 193, 612 122,781 61,390

2023 50% 199, 033 125, 604 62,802

The table above shows the projected annual demand which was obtained by multiplying

the market acceptability percentage which is 50% to the total value of population. Market

acceptability is the percentage of respondents who are willing to buy the coffee liptint.

Page 1 of 9
Competition

Consumer and business markets have distinct characteristics by which they function.

Earlier, importance was given mainly in understanding customer and their business. But in this

age of technology and globalization, companies cannot afford to ignore competition.

Many companies are lowering their cost by outsourcing production to Asian countries.

Companies must keep an eye competition to remain successful.

SWOT Analysis

SWOT Analysis is a tool that identifies the strengths, weaknesses, opportunities and

threats of an organization. It studies the financial resources, physical facilities, management

capabilities, the market, source of supply and social environment, competitors, product and

industry.

In this study, it refers to the four major factors that will be used by the business as

stepping stone in its growth. The following are the SWOT Analysis of a new product named

“Coffee Liptint and Coffee Eyebrow.”

Table 2.3

PRODUCT
STRENGTHS Affordable Price. Coffee Lip tint are very affordable because its

Page 1 of 10
 ingredients are naturally produced.
Products are unique. Making variety of products out of Kapeng
Barako is not usual since Kapeng Barako is only a classification of
drinks. The product that the firm offers such as Coffee Lip tint is new
to the market.
Weak Finances. Since the product is new to the market. The finances
are not that strong enough and there is only limited starting capital
WEAKNESSES provided.
Products are not differentiated. Consumer may not know that the
products are existing.
Curiosity of the consumers. Many consumers are curious when it
comes to new products that are newly introduced to the market
OPPORTUNITIES especially when it is healthy. They will first buy few pieces and when
they start to love the product, they will eventually buy more and
introduce it to others.

It would be a small player.

THREATS No direct marketing experiences.

PRICE

 Price must be reasonable and affordable. It would seem

STRENGTHS that knowing their strengths would be critical to effectively
establishing price.

 High price
WEAKNESSES  Unmarketed

 Acquire market share through branding

OPPORTUNITIES  Increasing environment awareness

THREATS  Competitive dynamics

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  Appearance of similar products from other products

Table 2.4
Cost - Based + Mark-up Pricing
Pricing Strategy

Year 2019 2020 2021 2022 2023

Factory
7, 920 8, 316 8, 731 9, 167 9,625
OverHead
Direct
266,874 280,214 294,223 308,929 324,365
Materials
Direct
240, 000 240, 000 240, 000 240, 000 240, 000
Labor
Annual
514,794 528,530 542,954 558,096 573,990
Total Cost

COS per
29.93 29.26 28.63 28.03 27.45
Unit
100% mark-
up

Selling P59.86
Price

Table 3.1

PLACE

 In choosing the right location, the proponents considered

different factors such as accessibility for the target market.
STRENGTHS  The proponents also considered the rental fee that fits their
budget due to the fact that the proponents are only starting the
business.

WEAKNESSES

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  The business has little market presence or reputation.

OPPORTUNITIES  Continuous increase of population

 In an increased competition, people would be aware and may

have some ideas that there are many varieties of Kapeng
THREATS
Barako.

Table 3.2

PROMOTION

 Motivates trade support

 Use of internet marketing or e-commerce
STRENGTHS  Advertising and effective marketing strategies
 Change the price / value relationship
 Promoting the product is through free tester sampling will
allow prospective to try the product firsthand.

 Some consumers will not buy unless offered a price deal.

WEAKNESSES  Can be difficult to get trade cooperation

 Focus on idea and market of the idea.

OPPORTUNITIES  Opportunities of economy of scale and high customer
value.

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  Increasing cost of promotion
THREATS
 Very strong brands that dominate the market

CHAPTER III

COMPANY DESCRIPTION

Page 1 of 14
Organizational Structure

Organizational Structure is the formal and informal framework of policies and rules,

within which an organization arranges its lines of authority and communications and allocates

rights and duties. It determines the manner and extent to which roles, powers and

responsibilities are delegated, controlled and coordinated and how information flows between

levels of management. This structure depends entirely on the organization’s objective and the

strategies chosen to achieve them.

Organizing involves establishing an intentional structure or roles for men to fill in an

enterprise. It makes sure that all the task necessary to accomplish goals are assigned to men

who can do the company the best.

Figure 2.1
Organizational Chart

General Manager

Marketing Staff

Production Worker

Job Analysis

This section provides the foundation for all assessment and selection decisions. To
Production Worker
identify the best person for the job, it is crucial to fully understand the nature of that job. Job

analysis provides a way to develop this understanding by examining the tasks performed in a

Page 1 of 15
job. In order to set the business in motion, the company needs to hire the right people for a

particular position. The following specifications should be met as stated below. The right person

that will fit for the job plays a vital role for the growth of the proposed business.

Job Title: General Manager

Job Description

- Responsible for strategic planning and the entire decision making in the organization

Job Specifications

 Must be 21-45 years old, male or female.

 Strong communicator with excellent interpersonal skills.

 Must have good moral and written communication skills.

 Must enjoy working with people.

 Must be physically and mentally fit for the job.

 Must be an effective decision-maker.

Job Rate with Benefits

Partners agreed that the manager will receive Php9,000 monthly. The employees’

compensation will be given at the 15th and 30th of the month and will also receive benefits like

SSS, PhilHealth and PAG IBIG.

Job Title: Production Manager

Job Description

A person, who set goals for performance and deadlines in ways that comply with

company’s plans and vision, organizes workflow and ensures that employees understand their

Page 1 of 16
duties or delegated tasks. The Production manager will always be involved with the planning,

coordination and control of manufacturing process. He will make sure that goods and services

are produced efficiently and that the correct amount is produced at the right cost and level of

quality.

Job Specification

 At least a college graduate, having a degree of BS Entrepreneurship or any

business-related course is an advantage.

 Must be 21-45 years old, male or female.

Job Rate with Benefits

Partners agreed that the production supervisor will receive Php 7,000. The employees’

compensation will be given at the 15th and 30th of the month and will also receive benefits like

SSS, PhilHealth and PAG IBIG.

Job Title: Production Worker

Job Description

A production worker is responsible for operating and maintaining equipment in a factory

or warehouse and preparing items for distribution. He is also involved in assembling and

checking product parts, ensuring that all runs smoothly and assisting in the shipment and

packaging of items.

Job Specification

 Must be 18-35 years old.

 Preferably with one-year experience in the field of the business production.

 At least high school graduate.

Page 1 of 17
  Must have a good moral character.

 Hardworking, honest and punctual.

 Must be physically and mentally fit for the job.

 Can work with less supervision.

Job Rate with Benefits

Partners agreed that the two production operators will receive Php 3,000 each on a monthly

basis. The employees’ compensation will be given at the 15 th and 30th of the month and will also

be eligible to receive benefits like SSS, Phil Health and PAG IBIG.

Job Title: Marketing Staff

Job Description

The staff of a company’s marketing department is responsible for promoting and driving

the sales of a company’s goods. He is also involved in preparing, planning and project

managing of publication of all publicity material to maximize brand promotion including creating

marketing campaigns and working on advertising the products.

Job Specification

 Must be 21-45 years old, male or female.

 At least a high school graduate, college undergraduate, trained in TESDA Marketing

related NCII is an advantage

 Working experience on a BPO company is also an advantage

 Must have good communication skills.

 Must have a good knowledge about market research techniques and database.

 Must have ability to multi-task effectively in fast-paced environment.

Page 1 of 18
  Must have an effective verbal and non-verbal communication skills.

Job Rate with Benefits

Partners agreed that the marketing staff will receive Php 5,000 monthly. The employees’

compensation will be given at the 15th and 30th of the month and will also be eligible to receive

benefits like SSS, Phil Health and PAG IBIG.

Nature of the Business

The nature of the business of JRDC Company is producing and manufacturing of Coffee Liptint.

The JRDC company is selling Liptint because the JRDC company follows the trend to come up

with this kind of business to make their own product that they offer and new to the eyes of the

customers that capture their attention. The JRDC Company makes their product like if

customers wear their product, they will feel better while achieving the natural looks that they

always dreamed about.

Distinctive competencies

In today's world, the costumer's demand and the power of the retailers is tremendously growing

due to competitive environment and changing business. It is a vital to have a good relationship

with consumers for the survival and success of producers. The JRDC Company, study on how

their business will grow and satisfy the needs of their consumers. One more strategy that the

proponents adopted is the use of internet marketing or e-commerce. Since most of the

consumers have social media accounts, the proponents will promote the product through Face

book, Twitter, and Instagram.

CHAPTER IV
OPERATION/PRODUCT AND SERVICES

Overall Marketing Strategy

Page 1 of 19
 The strategy of JRDC Company are this first (1) the identity and branding its help to the

proponents to familiarize their product in the market place. Second (2) is the social media where

helps to advertise the product. Third (3) the flexibility or adopting changing circumstances,

identifying the competitive advantage and deep analysis of both the external environment and

the internal capabilities of the organization.

Marketing Penetration Strategy

This type of strategy usually seeks to gain a competitive edge through pricing, marketing, or

other initiatives. Additionally, market penetration can be achieved by increasing customer

usage through loyalty programs and incentives targeting your existing customer base.

However, after calculating enough data the firm derived to its Penetration rate of 12.5% during

the first year of the business. The computation is as follows:

Penetration Rate = (No. Of Customers / Target Market Size) * 100

22, 277 / 178, 220 * 100 = 12.5 %

Distribution Channel

Location is a crucial part of the marketing mix. As most business people put it, the three

most critical factors of a business are “location, location, location”. The proponents agreed to

use retailers for the distribution of the proposed product. The proponents will situate their office

Page 1 of 20
and production site where people usually flock to go about their daily lives. Consumers will

notice the business every time they pass by the premises. This makes the business retentive

and also allows the retailers to easily access the premise. The location of the business can

affect many aspects of how it operates, such as total sales and how costly it is to run. Location

can also influence a business's ability to market itself. A business with a storefront on a busy

street is more likely to attract customers with signs and storefront displays than a business that

is not in a busy area.

FIGURE 3.1

DISTRIBUTION CHANNEL

Producer

The figure shows the channel of distribution of JRDC Company from producer down to

consumer. Coffee Lip tint products will be distributed to the customers through Tanauan Public
Consumer
Market and sari-sari stores all over the city. The retailers are sari-sari stores that serve as the

middleman to the manufacturer and consumer.

Communication

To attract buyers, the proponents will be using social media to advertise their product.

The proponents can create a face book page just too easily communicate with their buyers or

customers and also they will have a tall to sell their goods in person where there are many

students including employees and teachers.

Page 1 of 21
Sales Strategies

Everybody wanted to make a strong image of themselves especially woman and by

doing so, they wore glamorous clothing and

A. Preparation andwore bold makeup.
Inspection of Tools The proponents chose the
(5 minutes)
target students, including employees and teachers because they enjoyed wearing makeup at

the time to grab attention of others. This was the time period where they started to dress

differently and act rebelliously.

Sales representatives will keep market expectations in mind and understand the impact

on recruiting and retaining the best sales talent. Compensation of employee will be based on

the degree of responsibilities that are assigned to them. Employees will receive compensation,

which is not lower with minimum salary provided with the company. Follow the customers

periodically, not to hard sell, but ensure that they are satisfied and getting the value sold on t

PRODUCT AND SERVICES

Detailed Product/Services Description

Product is the item offered for sale. A product can be a service or an item. It can be

physical or in virtual or cyber form. Every product is made at cost and each is sold at price. The

price can be charged depending on the market, the quality, the marketing and the segment that

is targeted. This indicates the proposed products, attributes, benefits, packaging and pricing. It

deals with the consumers to be marketed

Figure 3.2

PRODUCTION PROCESS OF COFFEE LIPTINT

Page 1 of 22
 B. Preparation of Raw Materials
(10 minutes)

C. Mixing
(5-10 minutes)

D. Initial Inspection
(15 minutes)

E. Packaging
(10 minutes)

F. Secondary Inspection
(15 minutes)

G. Storing
(5minutes)
JRDC Company will produce 10 bottled of Lip tint in 1 hr.
H. Cleaning of Used Materials
(30 minutes)

Page 1 of 23
Process

The manufacturing process was done by the skilled and trained workers to come up with

desired the product. The following procedures show to make Coffee Lip tint with different

ingredients such as Glycerin, Colorant (Red and brown), Phenoxythanol, and Vitamin E.

1. Preparation and Inspection of Tools and Equipment.

This process will take 5 minutes. The necessary tools and equipment are cleaned

and checked to ensure proper sanitation so that in the production process, no

problem may occur.

2. Preparation of Raw Materials

This step will consume 10 minutes to completely prepare all the ingredients needed.

3. Preparation for Mixing

The first steps is to soak Kapeng Barako into hot water in 5 minutes and add all

ingredients and mixed it for 5 minutes then filter it in a clean cloth then put into a bottle of

Lip Tint.

4. Initial Inspection

The finished product will be examined by the production manager for quality

assurance. Those products which will pass the standards will be ready for packaging. This

will consume 10 minutes.

5. Packaging

This would be the longest process in the production. It consumes times depending on

the number of products; to be mass- produced per day.

Page 1 of 24
6. Secondary Inspection

The final package will be inspected again for ensuring that the products are well

packed and presented.

7. Storing

After the finished products have been inspected, they will be stored in the storage

room and will be ready for delivery and distribution.

8. Cleaning of the used Materials

This will take up to 15 minutes done by the productions staff and workers. All the

materials that have been used are cleaned up and organized once again for the next

production date.

Page 1 of 25
Packaging Label

Figure 3.3

Page 1 of 26
 Table 2.5

Production Schedule

Day Time Position

General Manager Mon-Friday 7:00-4:00 Office
Marketing staff Mon - Sat 8:00-5:00 Office

ProductionWorker Mon- Sat 7:00-5:00 Operation

Production Worker Mon- Sat 7:00-5:00 Operation

Production Facilities

Furniture and Fixture

Both production and office furniture and fixtures will be used to accommodate

clients and employees and also for the convenience of the manager and the company’s clients.

Table 2.6
Furniture and Fixture

Description Quantity Unit Cost Total Cost

Ceiling
2 550.00 1,100.00
Fan

Office Table 2 1,000.00 2,000.00

Mono block 3 175.00 525.00

Desktop(complete) 1 12,000 12,000

Wooden Table 2 950.00 1,900.00

Page 1 of 27
 Description Quantity Unit Cost Total Cost

Total P17,525.00

Furniture and Fixture are used by the worker for the business to operate monthly. Table

The table above is where the costs of furniture and fixture are displayed. Office furniture and

fixture will be used to accommodate clients and employees and also for the convenience of the

manager and clients.

Table 3.1
Renovation
Particulars Quantity Unit Cost Total Cost

Paint/4liters 3 400 1,200

2 inch nails1/2kl 1 35 35

1 inch nails1/2kl 1 35 35

4 inch nails1/2kl 1 45 45

Thinner 2 70 140
Paint roll 2 75 150

Paint brush 2 60 120

Flourescent bulb 4 45 180

Labor cost 2 500 1,000

Total 2,905

Page 1 of 28
 Table 3.2

Factory Supplies

Source: Tanauan Public Market

Factory supplies will serve as a protection to the workers and will also ensure the sanitation and

the cleanliness of the product.

Table 3.3

Equipment and Tools

Description Quantity UnitCost TotalCost

Measuring Spoon 24 90 2,160

Mixing Bowl 24 50 1,200

Stirrer 10 30 300

Droper 24 15 360

Total P 4,020

Page 1 of 29
Source: Tanauan Public Market

Factory Tools are used to make the work lighter. This will also increase workers’ productivity.

Table 3.4
Maintenance Supplies

Description Quantity Unit Cost Total Cost

Broom 2 100.00 200.00

DustPan 2 75.00 150.00
Doormat 4 20.00 80.00
Pail 2 40.00 80.00
GarbageBag 3 60.00 180.00
FireExtinguisher 1 900.00 900.00
TrashCan 4 100.00 400.00
Soap 24 20.00 480.00
Rags 5 20.00 100.00
Sponge 12 20.00 240.00
Mop 1 150.00 150.00
Total P2,960.00
Source: Century/Glassware

The proponents will ensure that the working area and the whole office as a whole is

always clean. To maintain cleanliness, the proponents provide the maintenance supplies and

come up with a daily cleaning hour.

Table 3.5
Office Supplies

Page 1 of 30
 Description Quantity Unit Cost Total Cost

Ballpen 12 10.00 120.00

Bond Paper(long) 1ream 130.00 130.00

Bond Paper(short) 1ream 120.00 120.00

Business Receipt 3pads 25.00 75.00

Calculator 2 290.00 580.00

Envelope(long) 5 7.00 35.00

Envelope(short) 5 6.00 30.00

Folder(long) 5 6.00 30.00

Folder(short) 5 5.00 25.00

Pencil 12 5.00 60.00

Record Book 2 75.00 150.00

Scissors 2 25.00 50.00

Scotch Tape 2 21.00 42.00

Stapler 1 65.00 65.00

Puncher 1

3boxes 20.00 60.00

Staple Wire
Total P1,572.00

Source: Formosa
Office Supplies

Page 1 of 31
 Office supplies will be used for the daily operation of the proponents in matters like

making reports, documentation, schedules, letters and others.

Table 3.6

Sources and Cost of Raw Materials of Coffee Lip Tint

Raw materials Unit Price

Kapeng Barako 1/4kl P30

Vitamin Esoft-gel 1 5

Glycerine 1kl 250

Colorant(Red)(Brown) 10g 53

Phenoxythanol 100g 100

Total 438

Service Description
The coffee lip tint will carry a variety of quality products that will enable them to provide full

service. Selecting products is to choose lines that will bring consistent quality, competitive

prices, and product satisfaction to the customers. An important component of the business is

not just their product but their service. They will have a custom designed marketing material

such as printed banner and good quality of service and product.

Ability to meet needs

Customers have unique budget with which they can purchase a product or service.

The product or service needs to perform correctly so the customer can achieve

their goals.

Page 1 of 32
 The product or service needs to be compatible with other products the customer is

already using.

COMPETITIVE ADVANTAGE
It is the ability to optimize risk reward by identifying and controlling risks. Customer

satisfaction in which it consistently pleases customers is important in virtually every industry. A

sense of purpose and values behind the organization is that to inspire one customers and

motivate other employees.

Production and Service Delivery Capability

The product and service capabilities translate customers’ orders into delivered products

and service which are promotion, pricing, sales, scheduling and customer’s feedback. The

customer satisfaction can be also influenced by the performance of the supplier management

and product or service delivery capabilities as well as how well the customer’s management

capability performs. Capturing the customer’s needs and requirements also provides an

excellent basis for making or revising products services.

This information is valuable and needs to be a feedback into the product or service

strategies of the organization. The purpose of the delivery is to deliver products and services as

designed and the performance of delivery is time from order to delivery, number of complaints

or feedback and time to resolve a complain.

For this production and service delivery, there are many non-price attributes to consider during

a sourcing event and in particular that can get overlooked and can cause trouble into the

organization. So, the proponents might just find the best supplier that fits not only the needs but

also helps them to innovate, be a market leader and take their performance to the next level.

Page 1 of 33
Purpose/Mission for the Product and Service Delivery Capability

 To deliver product and services according to customer demand

 To identify or listen for new service opportunities

 To provide support and warranty for the products and services

Operating Competitive Advantage

Every business, large or small needs a competitive advantage to distinguish itself from

competition. The JRDC Company competitive advantage;

 Access to resources that are restricted to competitors

 Highly skilled labor

 Ability to manufacture products at the lowest cost

A competitive advantage distinguishes a company from its competitors. It contributes to

higher prices, more customers, and brand loyalty. Establishing such an advantage is one of the

most important goals of any company.

Product Life Cycle

Product Life cycle is the time a product is in the market throughout its different stages

which are: Introduction, Growth, Maturity, and Decline.

For successful products, The JRDC Company will want to do all it can to extend the

growth and maturity phases of their product life cycle. It is an important concept in marketing

strategies. The JRDC Company will be responsible to reach the Product’s Life and develop

Page 1 of 34
strategies to determine the future work and goals of a necessary product company and also

helps to study the market conditions regarding their sales potential.

Introduction

This First Stage of the cycle could be the most expensive for a company launching a

new product. JRDC Company is willing to take a risk to provide the market needs. The size of

the market for the product is small which means sales are low. JRDC Company is spending so

much time on how their business will expand and makes it realistic.

Growth

The Second Stage of the cycle is Growth which means, JRDC Company has already

accelerated and the size of the total market expands rapidly.

Maturity

The Third stage of the cycle is Maturity which means, JRDC Company is established

and the aim for the manufacturer is how to maintain the market share they have built up. During

this stage, sales growth has started to slow down.

Decline

The profit as well as the sales of the product has started to decline because of the

deletion of the product from the market. The market for the product in this stage started to show

negative rate of growth and according cash flows.

Page 1 of 35
Customer Experience

JRDC Company is competing to grow its business, which often means getting more customers.

Figure 3.4

Customer Experience

CUSTOMER COMPANY EMPLOYEES

JRDC Company will be analyzing customer satisfaction survey result and it can

communicate to their customers exactly what they do well. JRDC can tell their employees

“these are things we need to concentrate on, and these are the things our customers are

expecting.”

Economies of Scale

Page 1 of 36
 Competitive advantage grows out of value a firm is able to create for its buyers that

exceed the firms cost creating it. Value is what buyers are willing to pay and a superior value

stems from offering lower price than competitors for equivalent benefits or providing unique

benefits that more than offset a higher price.

Page 1 of 37
 Figure 3.5

Production Layout

In industry sectors, it is important that what the company manufactures are the products

which have good quality and able to meet customer’s demand. This action could be conducted

under existing resources such as employees, machines and other facilities. However, plant

layout improvement, could be one of the tools to response to increasing industrial.

The JRDC Company provides a detailed definition of plant layout and listed efficient

labor utilization, manufacturing and maintenance ease, enhanced productivity, manufacturing

flexibility, effective utilization of staff, machines, materials, and equipment, as well as reduction

of accidents, hazards, and inventory handling cost as some of the benefits of a well-designed

plant layout.

Page 1 of 38
 CHAPTER V

FINANCIALDATA

It is important to study the financial data of the business for the determination of the

viability and profitability of the proposed product. It measures whether the firm does have the

ability to finance their operations mostly net-worth sources rather than credit applications.

This study includes the detailed figures that show the improvement of the firm’s financial

condition over time. It also presents the estimated capital requirements, the firm’s total project

cost, and the forecasted financial statements.

Objectives of the Study

To determine the financial viability of the proposed business, the financial statement

aims to:

 Determine the necessary initial requirement that will be used to support the

business;

 Determine the total projected cost of the proposed business;

 Properly allocate the financial resources of the firm;

 Know the firm’s profitability, liquidity and solvency ratio.

Page 1 of 39
 Table 3.7

Initial Capital

Page 1 of 40
 The initial capital requirements of the business will be used to support the cost that the

proposed business will insure for the first two months. The table shows the capital contribution

of each partner.

Table 3.8

Partners CapitalContribution

Jessica Menisis 28,403.71

Daizy Ortiz 28,403.71

Renz Canete 28,403.71

Cristian Serrano 28,403.71

TOTAL Php 113,614.83

Sources of Financing

The proponents chose to finance the business undertaking through personal investment of

their savings. A total cost of Php 28,403.71 will be founded by investing equal amount of funds

to meet the requirement.

Financial Assumption

Page 1 of 41
 Table 3.9

Projected Annual Sales and Annual Cost

Assumptions

1. Sales were based on the market share.

2.

Sales price was based on a 50% mark-up (round of the nearest pesos).
3. Cost of sales increases at 5% annually.
4. An increase of 2.3% on number of pieces (as stated in the document).

Table 4.1

Projected Income Statement

Page 1 of 42
 An income statement is a formal statement showing the performance of the enterprise

for a given period of time. The performance of the enterprise primarily measure in terms of the

level of income earned by the enterprise through the effective and efficient utilization of its

sources. It is prepared for a well-defined quarterly or one month time interval.

2% increase
10% decrease
2% increase

5% increase

Projected Statement of Changes in Equity

Page 1 of 43
 The statement of changes inequity is prepared to show the increase in the capital and

the drawing accounts of the partners. This is also done to show the extent of the possible

changes in the partner’s interest during the month. The statement in changes inequity in

partner’s equity describes the activities that lead to a change in the partner’s net worth over a

number of month. The table below shows that there is an increase on each member’s share or

capital per month Member’s net income total has also increased while their withdrawal amount

fluctuates highly. On the other hand their ending capital has drastically increased for the next

two months or so. It can be grasped that the cash flow of their capital and shares have been

increasing through months to come operating.

Table 4.2

Table 4.3

Page 1 of 44
 Cash Flow Statement Analysis
Statement of cash flow is a formal written enumeration of partnership’s cash movement for a

given period. It states that the partnerships actual cash beginning and all its cash receipts less all cash

disbursement. The cash flow statements reflects the partnership’s overall net cash balance at the end of

a specific period and which may be used as a basis for financial cost analysis.

The table below shows how the Php 113,614.83 worth of capital has been breakdown and allocated

to specific areas concerning their price. In the first year, a total of Php113, 614.83 has been spent for the

beginning investment. The second year and the third years show the expense has been doubled but the

income has also increased. This shows that an increase of year that the company thrives, there is also an

increase of investments and net-income.

Table 4.4
Projected Statement of Financial Position

Page 1 of 45
 Projected statement of financial position is the statement in tabular form that shows the

assets and liabilities, profits and losses of a business at a special date. It shows the financial

position or condition of an entity at a specific date. This statement is also called balance sheet.

The table above shows the projected statement of financial position. The current assets

portray that the cash on hand has increased per year while the concurrent assets stay the same

until year two resulting to total assets which nearly double its amount the next year. Moreover, it

also shows that in total asset of Php 192,725.61 and a liability of of the first year,a total of Php

144,907.61 is the equity,a total of Php 47,845 is the equity, And so for the years, it has extra

greater value than its predecessor equity.

Financial Viability

Page 1 of 46
 Payback Period

Table 4.5

Net Present Value of Future Cash Flows

Table 4.6

Financial Assumption

Page 1 of 47
 The proponents made and used the following anticipations in the computation and study

of the financial potentiality and capability of the firm

Initial Capital Requirement:

The business has an initial Capital of Php which will be equally contributed by the

proponents in equivalent amount of Php respectively.

Labor:

The company will apply the minimum wage and assumed to contain Php 400.00 for the

next five (5) years.

Accounting Reporting period:

Calendar Year will be applied in the business.

Production Capacity:

The company assumed to make a minimum of 74 Liptints daily. It will increase between

16% to 26% every year.

Inventory Schedule:

The company will apply the FIFO method, assuming that there will be no work-in

process inventory.

Utilities

Utility expenses are assumed to increase by 5% both in production and in office area.

Rent Expense

Expenses in Rent is assumed to be P10,000 every month and anticipated to remain

fixed for five (5) years.

Page 1 of 48
Equipment and Tools

Acquisition of equipment is in a cash basis with no additional tools to be purchased for

the first five (5) years of the business.

Renovation Expense

The company will conduct renovation to its production and office mounting to P2,905. It

will be disbursed as incurred.

Advertising Expense

Expenses in advertising are assumed to decrease by 10% every year.

Production and Work Schedule

25 days will be used in both production and work schedule assuming that there will be

no work on weekends.

Office Supplies

Procurement of Supplies in office are assumed to increase by 2% yearly.

Management Salary

Salaries of Manager and Marketing staff are assumed to be fixed for five (5) years.

Direct Labor

Salaries of Production Workers are also assumed to remain fixed for five (5) years.

Selling Price

The price of the product is assumed to be changeless for five (5) years.

Production Schedule

Page 1 of 49
 The increase in number of units from Daily, Monthly and Annually are based on

Projected Target Annual Supply.

Sales

Sales were based on 82% Mark-up.

Page 1 of 50
 APPENDIX1
Resumes of Key Managers

Page 1 of 51
JESSICA ALMOJUELA MENISIS
Address: #202Brgy.Sulpoc,TanauanCity,Batangas
E-mail:menisisj@gmail.com
Contact No.:09070259433/09566197251

CAREEROBJECTIVE

Seeking a challenging opportunity where I will be able to utilize my strong organizational skills,
educational background, and ability to work well with people which allow me to grow personally and
professionally.

EDUCATIONALBACKGROUND

Tertiary:
School: Tanauan City College
Address: Brgy. Trapiche1, Tanauan City,Batangas
Program: Bachelor of Science in Entreprenuership
Present-2019

Secondary:
School: Pres.Jose P. Laurel National HighSchool
Address: Sulpoc, Tanauan City,Batangas
Attended: S.Y.2010–2014
Graduated: March2014

TRAININGANDSEMINAR

NCIII (NationalCertificateIII) in Event Management Services

Tanauan City College
Brgy.Trapiche1, TanauanCity,Batangas
May5, 2019

NCI (National Certificate) in Automotive Servicing

Tanauan City College
Brgy.Trapiche1, Tanauan City,Batangas
December16, 2016

The Millenial Entreprenuer and His Competitive Advantage

Modesto Castillo Memorial Cultural Center
Tanauan City, Batangas
March1, 2019
2ndNational Students Regents and Trustees Summit 2018 (NSRTS)
Development Academy of the Phillippines Conference

Page 1 of 52
 Tagaytay City
Nov24-26, 2018

Young Entreprenuership: Nation Builders of the 21stCentury

Gov. Modesto Castillo Memorial Cultural Center
Tanauan City, Batangas
Nov.6,2017

ORGANIZATIONAFFILIATION

Iskolar ng Lungsod Council(ILC)Officer

Senator
Tanauan City College
Brgy.Trapiche1,Tanauan City,Batangas
2018–2019

Association of Future Entrepreneurs(AFE)

Councilor
Tanauan City College
Brgy.Trapiche1,Tanauan City,Batangas
2017–2018

Teatro Musikero ng Batang Tanaueño

Secretary
Tanauan CityCollege
Brgy.Trapiche1, Tanauan City,Batangas
2016–2017

PERSONALINFORMATION

Date of birth: April1, 1998

Place of birth: Biñan, Laguna
Gender: Female
Age : 21
Height : 5’2
Weight : 45kg
Civil Status : Single
Citizenship : Filipino
Religion : Born again Christian

CHARACTERREFERENCES

Mr. Dante A. Sebastian Jr.

Page 1 of 53
 Program Head
Tanauan City College
Brgy.Trapiche1, Tanauan City,Batangas

Dr. Wilma Weng P. Casalme

College Instructor
Tanauan City College
Brgy.Trapiche1, Tanauan City,Batangas

I hereby certify that the information stated above is true and correct to the best of my
knowledge and belief.

Jessica Almojuela Menisis

Applicant’s Signature

Page 1 of 54
CAÑETE,RENZ
Brgy.Trapiche3,TanauanCityBatangas
cañeterenzd@gmail.com
09359838648

CAREEROBJECTIVES

To find a working environment where i can apply all the skills and knowledge i gained,
have meaningful experiences that would support and motivate me in pursuing my future goals,
and develop values that I could use to effectively perform my responsibility.

EDUCATIONAL BACKGROUND

Tertiary:

Tanauan City College

Trapiche1, Tanauan City Batangas
BS-Entrepreneurship

Vocational Education:

Tanauan City College

Trapiche1, Tanauan City Batangas
Electrical Installation and Servicing (EIS)
SY2015-2016

Secondary Education:

Tanauan City National High School

Barangay Trapiche1,Tanauan City Batangas
SY2014-2015

Primary Education
Trapiche, 3 Elementary School
BarangayTrapiche 3, Tanauan City Batangas
SY2010-2011
TRAINING AND SEMINAR

“Young Entrepreneurs: Nation Builders of the 21st Century”

At Gov. Modesto Castillo Memorial Cultural Center, Tanauan City
Nov.06, 2017
Management culminating activities
At Gov. Modesto Castillo Memorial Cultural Center, Tanauan City

Page 1 of 55
 December18, 2017

Gender Sensitivity Training

At Gov. Modesto Castillo Memorial Cultural Center, Tanauan City
March14, 2017
Drug free
At Tanauan City College Gymnasium
March19, 2018
The Millenial entrepreneur and his Competitive advantage
At Gov. Modesto Cultural Memorial Center
March1,2019

HIGHLIGHT AND QUALIFICATION

Has effective social skills

Diligent
Committed and competent
Flexible
Friendly and energetic
God-fearing
Willing to learn

PERSONAL INFORMATION
Age : 21 years old
Birthday : March 12, 1997
Birth place : Trapiche 3, Tanauan City Batangas
Civil Status : Single
Religion : Catholic
Nationality : Filipino
Mother’s name : Shirly Cañete
Father’s name : Reden Dela Cruz

CHARACTER REFERENCES
ROMMELMARFA
College Instructor
Trapiche1, Tanauan City, Batangas

DANTEP.
College Instructor (DepartmentHead)
Trapiche1, Tanauan City, Batangas

Page 1 of 56
I hereby certify that the information above is true to the best of my knowledge and belief.

CAÑETERENZ
Applicant’s Signature

Page 1 of 57
CRISTIAND.SERRANO
#439Brgy.Bilogbilog,TanauanCityBatangas
serranocristian267@gmail.com
09308412353

CAREEROBJECTIVES

Seek to work in an environment that will challenge me further; while allowing me to contribute to the
continued growth and success of the organization. Obtain a position that will provide me the ability to
apply my sales and work experience to a growing industry. Look forward to working with a company
that promotes quality products and services; and provides me with the opportunity to meet and exceed
assigned sales goals.

HIGHLIGHT AND QUALIFICATION

Has effective social skills

Diligent
Committed and competent
Flexible
Friendly and energetic
God-fearing
Willing to learn

EDUCATIONAL BACKGROUND

Tertiary:

Tanauan City College

Trapiche1, Tanauan City Batangas
BS-Entrepreneurship

Vocational Education:

Tanauan City College

Trapiche1, Tanauan City Batangas
Electrical Installation and Servicing(EIS)
SY2015-2016
Secondary Education:

Luyos National HighSchool

Luyos, Tanauan City Batangas
SY2012-2013

Page 1 of 58
Primary Education:

Bilog-bilog Elementary School

Bilog-bilog, Tanauan CityBatangas
SY2008-2009

PERSONAL INFORMATION

Age : 24 years old

Birthday : December 07, 1995
Birthplace : Bilog bilog, Tanauan City Batangas
Civil Status : Single
Religion : Catholic
Nationality : Filipino
Mother’s name : Teresa Serrano
Father’s name : FlorT.Serrano

TRAINING AND SEMINAR

“Young Entrepreneurs: Nation Builders of the 21st Century”
At Gov. Modesto Castillo Memorial Cultural Center, Tanauan City
Nov.06, 2017
Management culminating activities
At Gov. Modesto Castillo Memorial Cultural Center, Tanauan City
December18, 2017.
Gender Sensitivity Training
At Gov. Modesto Castillo Memorial Cultural Center, Tanauan City
March14, 2017

Drug free
At Tanauan City College Gymnasium
March19, 2018

The Millenial Entrepreneur and his Competitive advantage

At Gov. Modesto Cultural Memorial Center
March1,2019
National Certificate III in Events Management Services
Calamba, Laguna
May5, 2019
National Certificate III in Electrical Installation and Maintenance
Tanauan City College
June25,2016

ROMMELMARFA CHARACTER REFERENCES

Page 1 of 59
College Instructor
Trapiche1, Tanauan City, Batangas

DANTEP.SEBASTIAN
College Instructor (DepartmentHead)
Trapiche1, Tanauan City, Batangas

I hereby certify that the information above is true to the best of my knowledge and belief.

CRISTIAND.SERRANO
Applicant’s Signature

Page 1 of 60
Daizy S. Ortiz
09952020051
Ortizdaizy10@gmail.com
Brgy. Boot, Tanauan City, Batangas
August12, 1998

CARRER OBJECTIVES
To obtain position of responsibilities in service industry that will provide career growth and
advancement.

EDUCATIONAL BACKGROUND

Tertiary:

Tanauan City College

Trapiche1,Tanauan City Batangas
S.Y.2020 up to present

Secondary:

Boot National High School

Brgy.Boot Tanauan City Batangas
(S.Y.2011-2015)

TRAINING SEMINAR
First Pacific Leadership Academy (FPLA)
MVP Future Thoughts Leadership Summit
Antipolo (November15-19, 2016)

The Millennial Entrepreneur and its Competitive Advantage

At Modesto Castillo Memorial Cultural Center, Tanauan City
(March1, 2019)

Gender Sensitivity Training at Government Modesto Castillo Memorial Cultural Center,

TanauanCity.
(March14, 2019)

NCIII (National Certificate III) Events Management Services

Tanauan City College

Page 1 of 61
 Brgy.Trapiche1, Tanauan City Batangas
(May5, 2019)

ORGANIZATION AFFILIATION
Iskolar ng Lungsod Council (ILC)
Secretary
Tanauan City College
(Y.2016-2018)

CHARACTER REFERENCES
ROMMELMARFA
College Instructor
Trapiche1, Tanauan City,Batangas

DANTEP.SEBASTIAN
College Instructor (DepartmentHead)
Trapiche1, Tanauan City,Batangas

Iherebycertifythattheaboveinformationistrueandcorrecttothebestofmyknowledgeandbelief.

Ortiz, Daizy
Applicant's Signature

Page 1 of 62
EQUIPMENT AND TOOLS DESCRIPTION

Measuring Spoon

Stirrer

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 Mixing Bowl

Bottle

Droper

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r
FURNITURE AND FIXTURE DESCRIPTION

Celling Fan

Office Table

Monoblock

Desktop

Page 1 of 65
OFFICE SUPPLIES DESCRIPTION

Ballphen

Bond Paper

Folder

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 Pencil

Calculator

Scotch Tape

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Business Reciept

Scissors

Stapler

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MAINTENANCE SUPPLIES DESCRIPTION

Broom

Dust Pan

Trash Can

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Fire Extinguisher

Pail

Doormat

Page 1 of 70
FACTORY AND SUPPLIES DESCRIPTION

Hairnet

Hand Gloves

Apron

Page 1 of 71
Page 1 of 72
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Page 1 of 81
Analysis
GanttChart is the list of task scheduled overtime. It is used for planning projects and is a

very effective and useful way of showing what work is scheduled to be done on a given time

period. To start the business plan, owners must first conduct brainstorming so that each

member of the firm gets the necessary information.

Brainstorming will last up to 10 days so the team can properly decide. The environmental

research will also be put into consideration. It consists of deciding where to put the physical

store of the firm, where the rawmaterials willbe acquired,and whether the supply of the

rawmaterials will be sufficient for the business. Environmental research will last up to 18 days.

Survey is conducted for the purpose of getting its feasibility.It is one of the tools to guide the

respondents in decision making.

Page 1 of 82
Page 1 of 83
 APPENDIX2

Picture of products

Page 1 of 84
 EMPLOYMENT CONTRACT

This contract, dated on the_______day of_______in the year 20_____is made between JRDC Company

and (Employeename) of (city,state).This document constitutes an employment agreement between

these two parties and is governed by the laws of (state or district).

WHEREAS the Employer desire to retain the services of the Employee, and the Employee desires to

render such services, these terms and conditions are set forth.

INCONSIDERATION of this mutual understanding, the parties agree to the following terms and

conditions:

1.Employment

The Employee agrees that he or she will faith fully and to the best of their ability carry out the duties

and responsibilities communicated to them by the Employer.The Employee shall comply with all

company policies, rules and procedures at all times

2.Position

As a (Jobtitle) it is the duty of the Employee to perform all essential job function and duties.From time to

time,the Employer may also add. other duties within the reasonable scope of the employee's wor

Page 1 of 85
 CONTRACT TO SUPPPLY OF RAW MATERIALS

KNOWALLMENBYTHISAGREEMENT

This AGREEMENT executed and entered into by and between:

JRDC COmpany, a business partnership duly existing and organized under and by virtues

of the laws of the Philippines with principal office and place of business at(City) here in referred

to as FIRST PARTY;

(Supplier Name),supplier and dealer of (Product Name) with farm located at,(City),here in

after referred to as the SECONDPARTY;

WITNESSETHTHAT:

WHEREAS, the FIRST PARTY, manufacturer of Coffee Lip tint, offers to buy (Product

Name)to the SECONDPARTY;

WHEREAS, the SECONDPARTY, has agreed to sell the (Product Name)to the FIRST

PARTY;

NOW, THEREFORE, for and inconsideration of the above premises and the conditions

here in set forth the parties agrees as follows:

Page 1 of 86
 That the FIRST PARTY binds it self to buy to the SECOND PARTY of its quarterly

needed amount of (Product Name) in the production of Coffee Lip tint.

That the SECONDPARTY delivers the (Product Name)at the business address of the

FIRSTPARTY once a week commencing on JANUARY 2020;

That the FIRSTPARTY will accept deliveries of good quality (Product Name) from the SECOND

PARTY and the latter under obligation to pay for all handling and hauling expenses;

That the product will be subject to strict quality control analysis and the FIRSTPARTY will reject

all deliveries that will not meet the product specification standard set by the management. That

there turn of the inferior quality product will be done with in one day from the time of the delivery

and receipt of the product as indicated in the delivery receipt issued by the SECONDPARTY

and duly acknowledge by the FIRSTPARTY;

That the FIRSTPARTY will pay to the SECONDPARTY the good quality (Product Name)

at a price of Php per kilo. The price per kilo stated in this paragraph may change reference to

prevailing market prices but with both parties properly informed in a written agreement reporting

to the change in price must be properly executed.

Page 1 of 87
 That this contract shall be for the period of five(5)years, every three months from the

month of January to March, to commence on January1, 2021 and to expire on December

31,2025 may be renewed upon mutual agreement of both parties;

That all the covenants and agreements here in contained shall be deemed condition as

well as covenants and that if default or breach be made of any covenants or condition, then this

contract may be terminated and cancelled and the party in breach shall be liable for any and all

damages, actual and consequential, resulting from such breach and termination, provide,

however that no default shall be declared under this contract unless the party in breach must

immediately take remedial steps to cure the breach not later than thirty(30) days after written

notice.No breach shall be declared in case remedy has not been complied within thirty(30)days

if the party in breach has commenced there medy and processing diligently.

That this contract shall be binding upon the parties, their heir, assigns and successor-in-

interest. None of the terms and conditions of this contract maybe changed or altered save by

the express agreement in writing between the parties.

Venue in action enforce the term of this contract shall be in proper court of Batangas

City. Other venues are waived.

IN WITNESS WHERE OF, the parties here to set their hands this December31,2020 at

the city of Tanauan

JRDCCOMPANY

Page 1 of 88
______________________ ______________________

Serrano, Cristian Menisis, Jessica

General Manager Managing Partner

______________________ ______________________

Ortiz, Daizy Canete, Renz

Co-Partner Co- Partner

__________________________

Name of Supplier

Page 1 of 89
 Articles of Partnership of JRDC Company

KNOWALLMENBYTHESEPRESENTS:

That the proponent the undersigned, all of legal age and residents of the Republic of the

Philippines has agreed to amenda general partnership under the terms and conditions here in

after set fort hand subject to the provisions of the existing laws of the Republic of the

Philippines.

AND WEHERE BY CERTIFY:

ARTICLEI. That the name of partnership shall be JRDC Company

ARTICLEII. That the principal office of the partnership shall be located at

ARTICLEIII. That the names, citizen ship and residence of the partners of the said

partnership areas follows.

Name Citizenship Residence

Menisis, Jessica Filipino Sulpoc, Tanauan City

Ortiz, Daizy Filipino Boot, Tanauan City

Serrano, Cristian Filipino Talaga, Tanauan City

Canete, Renz. Filipino Trapiche, Tanauan City

Page 1 of 90
ARTICLEIV.That the term for which said partnership is to exist is five years from the original

recording of the said partnership by the Securities and Exchange Commission.

ARTICLEV.That the purpose for which said partnership is formed areas follows:

To gain profit;

To develop flexible,creative,responses to needs identified by the community;

To improve working efficiencies,

To promote a shared responsibility and sustainability.

ARTICLEVI. That the capital of this partnership shall be pesos, Philippine Currency contributed

in cash by the partners as follows:

Name Amount Contributed

Menisis, Jessica P28,403.71

Ortiz, Daizy 28,403.71

Serrano, Cristian 28,403.71

Canete, Renz 28,403.71

That no transfer which will reduce the ownership of Filipino citizens to less than there

acquired percentage of capital shall be recorded in the proper books of the partnership.

ARTICLE VII. That the profits and losses shall be divided equally among the partners;

Page 1 of 91
 ARTICLE VIII. That the firm shall be under the management of Serrano, Cristian

General Manager and as such he shall have charge of the management of the affairs of the

partnership;

ARTICLE IX. That the partnership undertake to change the name of the partnership

immediately upon receipts of notice or directives from the Securities and Exchange Commission

that another partnership, corporation or person has acquired a priorty right to use of that name,

or that name has been declared misleading, deceptive and confusing similar to a registered

name,or contrary to public moral, good custom or public policy.

IN WITNESS THERE OF, we have here unto set our hands this 1st day of June 2020 at

Tanauan City,Philippines.

__________________ ___________________

{Signed in the presence of Republic of the Philippines }

ACKNOWLEDGEMENT

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BEFOREME, a Notary Public for and in Tanauan City, Philippines, this 1st of June, personally

came and appeared the following persons with their Community Tax Certificate as follows:

Name CTC# Date/Place Issued

Known to me and known to be the same persons who executed the Fore going Articles of

Partnership, and they acknowledge to me that the same is their voluntary act and deed.

WITNESS MY HAND AND SEAL on the date first above written.

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 REGISTRATION

(LICENSING)

1.Bureau of Internal Revenue (BIR)

This is the most important requirement of all, because this is necessary to acquire other permits

and licenses. All Philippine-based businesses, individually owned or corporation, must submit a

tax statement at the end of each fiscal year; thus, having a tax identification number (TIN) is

crucial.

Amount: P500

2.Barangay Clearance

This clearance certifies that your business complies with there quirements of the local barangay

where your business will operate.

Amount: P500

These are the requirements needed to secure a barangay clearance:

Community tax certificate or cedula

Application form, and

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 Valid ID (SSSID, passport, postal ID, or any government- issued ID)

3. Department of Trade and Industry (DTI)Business Name(BN) Registration Certificate

Obtaining a registration certificate from DTI is also important. This certificate authorizes you to

use your own trading name for any business-related operation. It also secures your name from

being used by someone else. Although you are given a right over your business name, running

a business without TIN, barangay clearance, or other licenses is useless.

Here’s what you need to know in obtaining DTI registration certificate:

Come prepared with a list of business names.

Applicants must be a Filipino citizen and 18 years old and above.

Note that some businesses, such as services, brokers, dental clinics, hospitals, may

need other requirements.

Fees apply depending on the scope of your business: Barangay– Php 200; City/

Municipality– Php500; Regional– Php1,000 ; and National– Php2,000.

The business name certificate is valid up to 5 years from the date of registration.

4. Mayor’s Permit / Business Permit

Mayor’s permit is sometimes referred to as business permit, since it is processed in the office

of the mayor. Since all cities have different ordinances, securing a mayor’s permit ensures that

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your business is safe to operate under your city’s ordinance. Take note that receiving a mayor’s

permit can only be done after registering your business with DTI (for self-employed individuals)

and Securities and Exchange Commission (SEC; for corporations ).Mayor’s permit needs to be

renewed annually.

Requirements:

DTI Business Name Certificate for Self- Employed Individuals

SEC Registration Certificate for Corporations and Partner ships

If the nature of your business is similar to that of cinemas, malls, restaurants, then public

liability insurance is needed.

SSS

Community tax certificate or cedula

Lease contract or tax declaration

Barangay clearance

Amount: P2, 000

5. SEC Registration Certificate

If your business involves two or more persons and have an agreement to contribute time,

money, or property, your business falls under the corporation or partnership categories.

Corporations, either stock or non stock , must obtain a SEC certificate to be considered legal.

The following are the requirements needed for SEC certificate:

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 Name verification slip, which can be secured online or at SEC Name Verification Unit

Articles of in corporation and by-laws

Joint affidavit of two incorporators to chance corporate name

For non stock only: List of members certified by the corporate secretary and list of the

names of contributors or donors and the amounts contributed or donated certified by the

treasurer

Procedures in Getting DTI Business Name and Permit Registration

The following are the steps in getting a DTI Business Permit or Registering your Business Name at the

DTI.

Bring the requirements and fill out the application form if you don ’t have one yet, DTI will

provide the form for you.

Pay the necessary fees applicable for your business.

Wait for few minutes for your DTI business permit or DTI business certificate.

You can also authorize someone to process your business name on your behalf. Make sure you will give

him/her an authorization letter and your representative is also required to present his/her valid ID’s.

You will also receive an email from the DTI confirming your business registration.

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