I.

Executive Summary
The KDS Journal Notebookstore offers a various type of stationary items with different styles
and designs that has a good quality paper, such as notebooks, journal notebooks and planners at an
affordable price. Even before the innovative world appear, notebooks are always in demand especially
during the months of June to August amongst students and businesses. Most of the existing
competitors’ notebooks does not meet the equilibrium price especially the journal notebooks and
planners. It has always been a privilege among rich students/people to buy one due to its expensive
price. Thus, our company’s primary strategy is to provide a low-cost quality journal notebooks and
planners for our customers with different variety of options. The customers can choose from the ready-
made, customizable or create a new design on their own. Our business will initially operate a home-
based in manufacturing the products and use a different social media platform to showcase the
products and designs, accept orders and customized styles, and for our brand name to be known.
Merchandise can be pick-up in our store located at Muntinlupa, conduct meet-up in a specific place, or
deliver to their place righthand (NCR only). KDS Journal Notebookstore products have a lot of
competitive features that is an advantage to attain the market penetration such as the affordability of
each notebooks.

Initial capitalization for the business is Php 12,247.00 good for a one-month expense. Expected
revenue for Year 1 is Php 134,509 while total cost of goods sold amounted to Php 146,844.00.

II. Management and Organization

Company Name: KDS Journal Notebookstore

Logo:

ADDRESS: L1 B5 Tierra Villa L&B II cpmd. ILaya St. Alabang Muntinlupa City

VISION STATEMENT: The KDS Journal Notebookstore will be a manufacturing company of personalized
hard bind journal notebooks and planners with good quality paper in that are attuned to their
preferences and affordability to buy one specially among students.
MISSION STATEMENT: The KDS Journal Notebookstore provide people especially students a journal
notebooks and planners that is 100 percent eco-friendly with a quality paper product that suits their
budget.

KEY PERSONNEL: Manager

Assistant Manager

WORKFORCE AND SUPPORT PERSONNEL: Graphic designer & production team

ORGANIZATIONAL CHART:

Manager

Assistant
Manager

Production
Advisory Team &
Council Graphic
Designer

OWNERSHIP: Single Proprietorship

CAPITALIZATION: Php 12,247.00

COMPENSATION AND INCENTIVES: Minimum wage based on daily rate as provided by law.

EXTERNAL MANAGEMENT SUPPORT: Parents and Entrepreneurship teacher will be tapped as Advisory
Council

III. Product Plan

PURPOSE OF THE PRODUCT

KDS Journal Notebookstore offer customers a variety of options for choosing their own
personalized designs or imprinting names for the hard bind cover of their notebook. The customization
is only applicable on the cover page/cardboard; however other notebooks in a leather, cloth, or soft
cover will be is not customizable and may only choose from the existing design.
PRODUCT’S UNIQUE FEATURES

KDS Journal Notebookstore have three unique features. First one, is the imprinting of name on
the page cover part of the notebook with a lot of font choices to choose. Second is create your own
personalized designs, patterns, graphics, and slogans that can connect with the customers and reflect
their opinions and personality. The last unique feature is the high quality of printing and thick quality
paper. Below is the sample notebook designs and paper.

SAMPLES
Material and Equipment requirements and sources of supply
 Materials and equipment needed to produce notebooks are the following:

MATERIALS/EQUIPMENT SOURCE
Printer Hardware store in Muntinlupa
Ink (B&W) Hardware store in Muntinlupa
Paper Cutter Lazada
Iron Appliances Store in Muntinlupa
Cardstocks Divisoria
Printer Paper Divisoria
Stapler & staples Divisoria
Tacky Glue Divisoria
Spray Adhesive Bookstore in Muntinlupa
Metal Coil Divisoria
Leather Shopee
Fabric/Cloth Shopee

Production Process and controls that will be used to manufacture the product

Notebooks can be manufactured with simple raw materials like white paper, outer cover,
stitching wire, jute, twin, and gum, which are commonly available. First, the papers of required number
are arranged in order. Then the paper is perforated and stitched with the cover. Finally, gum is applied,
and the pages are cut uniformly and packed. However, for the manufacturing with creative colorful
covers and glossy lamination to give the product an attractive look is called flexographic printing.

The flexographic manufacturing process involves the following operations.

1. The unwinding of the paper reel.

2. Flexographic printing (printing/ruling with two or more colors)
3. Cross-cutting with overlapping
4. Sheet collecting and counting
5. Cover feeding either for pre-printed-or for flexographic printing
6. Wire stitching and folding
7. Cutting off long edges & trimming
8. Packing

Notebook manufacturing can be initiated in two ways; semi-automatic and fully automatic. To
establish a semi-automatic exercise book manufacturing project required machinery are Disc ruling
machine, Paper cutting machine, Power operated-Book stitching machine, Book pressing machine,
Bookbinding machine, etc.

Distribution Logistics

Our business will initially operate a home-based in manufacturing the products and use a different
social media platform to showcase the products and designs, accept orders and customized styles, and
for our brand name to be known. Merchandise can be pick-up in our store located at Muntinlupa,
conduct meet-up in a specific place, or deliver to their place righthand (NCR only).

Regulatory and other Compliance Issues

KDS Journal Notebookstore will be registered as a single proprietor enterprise with the Department of
Trade and Industry provincial office. A barangay clearance will also be secured before it applies for a
mayor’s permit to operate as a home-based business micro enterprise. The BIR registration will also be
done after getting all the necessary registration documents and permits from DTI, barangay, mayor’s
office. The owner/manager and the graphic designer/production assistant will be registered with the
Social Security System.

IV. Market Plan

Marketing Strategy

KDS Journal Notebookstore will strive to develop the most recognized and trusted brand for
personalized journal notebook services on the Internet. To expand our customer base and to extend the
image of the company, we plan to aggressively promote the brand through a combination of online
and traditional media advertising, public relations, and participation in trade shows. The company also
plans to expand our affiliate and co-branded online website strategies through agreements with a range
of destination websites.

• Social Media Marketing – the company will be active on social media platforms for the company name
to be known and increase awareness and visibility to the younger generation.

• School/ Office organizations – the company will attempt to try to sell through various schools and
offices.

• Banner or Flyers

Sales Strategy

The company’s sales strategy for the printing of personalized design will be relatively minimal since KDS
Journal Notebookstore is offering distant, self-customizing services. It is expected that the company’s
marketing efforts will bring customers to the website, and the benefits of convenience, customization
and low price as advertised on the website will be the incentives to close a sale. Promotions and add-on
products coupled with continuing low prices will create repeat business.

Most importantly, KDS Journal Notebookstore will provide our customers exactly what they want or
there will be no charge.

Product Characteristics or Features

KDS Journal Notebookstore have three unique features.

 1. Name imprinting – our company offers name imprinting on the page cover part of the notebook
with a lot of font choices to choose.
2. Own Customized Notebook – customers can create personalized designs, patterns, graphics, and
slogans that can connect with the customers and reflect their opinions and personality.
3. High quality of printing and thick quality paper

Pricing Policy

KDS Journal Notebookstore will adopt the differing price based on the size and the complexity of
the design policy. As such, below is the pricing scheme that will be adopted:

Type Cover Type Price

Soft Cover 250

Cardboard (Brown plain) 250

Primary

Leather 300

Cloth 280

*NOTE: All sizes are A5 only.

 YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
COVER PRIC QUANTITY QTY. PESO QTY. PESO QTY. PESO QTY. PESO QTY. PESO
TYPE E PER UNITS UNITS UNITS UNITS UNITS
MONTH
Soft Cover 250 16 192 48,000 197 49,250 203 50,750 213 53,250 225 56,250

Cardboard 250 45 540 135,00 545 136,25 551 137,75 561 140,25 573 143,250
PRIMARY

(Brown 0 0 0 0
plain)
Leather 300 19 228 68,400 233 69,900 239 71,700 249 74,700 261 78,300

Cloth 280 20 240 67,200 245 68,600 251 70,280 261 73,080 273 76, 440

Total 1,080 100 1,200 318,60 1,220 324,00 1,244 330,48 1,284 341,28 1332 354,240
0 0 0 0

Sales Projections
Market Analysis Summary

The demand for journal notebooks has shown steady growth over the last 5 years. It was observed
that students and businesses are among the biggest market for the product. These market segments
favor trendy and quality paper notebooks at an affordable price. To increase market penetration, KDS
Journal Notebookstore will offer a large catalog of graphics aside from the affordable notebooks to its
intended market segment. At the same time, aggressive marketing campaign will be done to increase
the visibility for KDS Journal Notebookstore using the social media and sponsoring the various school
campuses. Journal Notebookstore offers price differential based on the type and the complexity of the
notebook design with price ranging from Php 150-200.

V. Financial Plan

• Start-up costs requirements

• Financial projections

• Breakeven analysis

• Budget

EXPENSES COST/PC 100 Notebooks YEAR 1

Printer 4,500.00 4,500.00 54,000.00
Ink (B&W) 1,000.00 1,000.00 12,000.00
Paper Cutter 390.00 390.00 4,680.00
Cardstocks (100pcs.) 340.00 340.00 4,080.00
Printer Paper (per ream) 220.00 1,110.00 13,200.00
Stapler & staples 100.00 200.00 2,400.00
Tacky Glue 148.00 1,480.00 17,760.00
Spray Adhesive 115.00 345.00 4,140.00
Metal Coil 74.00 222.00 2,664.00
Leather (A4) 20.00 760.00 9,120.00
Felt Cloth (per yard) 40.00 200.00 2,400.00
Utilities -- 700.00 8,400.00
Permits and Licenses -- 1,000.00 12,000.00
TOTAL 6,947.00 12,247.00 146,844.00
 5 Years Profit/Loss Statement

KDS Journal Notebookstore

Projected Income Statement for Years 1-5
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Revenue 318,600 324,000 330,480 341,280 354,240
Cost of goods 126,444 127,238 127,472 127,826 128,060
sold:
Materials 126,444 127,238 127,472 127,826 128,060
Other direct -- -- -- -- --
Expenses
Gross Profit 192,156 196,762 203,008 213,454 226,180
(Loss)
Gross Income 192,156 196,762 203,008 213,454 226,180
Expenses:
Other Operational
Expenses:

Permits 1,000 1,000 1,000 1,000 1,000

Utilities 8,400 8,500 8,600 8,800 9,000
Income before 192,156 196,762 203,008 213,454 226,180
interest and
taxes
Tax 57,647 59,029 60,902 64,036 67,854
Net Income 134,509 137,733 142,106 149,418 158,326
(Loss)

5 Years Balance Sheet

 KDS Journal Notebookstore
Projected Income Statement for Years 1-5
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
ASSET
Current Assets:
Cash at hand 134,509 137,733 142,106 149,418 158,326
Total Current Assets: 134,509 137,733 142,106 149,418 158,326
Fixed Assets:
Total Fixed Assets: 134,509 137,733 142,106 149,418 158,326
Total Assets
LIABILITIES & EQUITY
Current Liabilities
Income Taxes Payable 57,647 59,029 60,902 64,036 67,854
Short-term Loan Payable 700 780 868 965 1071
Total Current Liabilities 58,347 59,809 61,770 65,001 68,925
Total Liabilities 58,347 59,809 61,770 65,001 68,925
Capital
Capital 12,247
Add: Net Profit 134,509 137,733 142,106 149,418 158,326
LESS: Drawings -- -- -- -- --
Net Capital 146,756 137,733 142,106 149,418 158,326
Total Liabilities and 146,756 137,733 142,106 149,418 158,326
Equity