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BUSINESS PLAN

Identifying Information:

A. Project Enterprise Title:

Herring/ Tamban (Sardinella sp.) Fish Drying

B. Proponents: 1. Marilou Tosloc

2. Charita Dompe
3. Marinil Canete
4. William Balano

C. Location:
Barangay: Union
Municipality: Mayorga
Province: Leyte

D. No. of Direct Beneficiaries: Total: 4

Male: 1
Female: 3

E. Contact Person:
Name: Marilou S. Tosloc
Contact Number: 09302539240

F. Project Cost
Total Project Cost: P281,380.00
FishCORAL Fund: P267,810.00
LGU Counterpart: P 11,950.00
Beneficiary equity: P 1,620.00
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Introduction:

The local government of Mayorga, Leyte faces the Pacific Ocean and forty-three
(43) kilometers south of the Provincial Capital, the City of Tacloban. It is situated
southeastern part of the island of Leyte. A fifth class municipality that comprises sixteen
barangays with four coastal barangays. With a twenty hectares fish sanctuary and a
mangrove area of almost ten hectares. Mayorga Leyte has total land area of 4, 217
hectares and coastline length of six (6) kilometers. This small town has a total
population of 17,705 with 945 registered fisherfolks. The common livelihood in the area
are fishing, farming, carpentry, and nipa shingling.

Fish drying is a process of lengthening shelflife of fish, adding value to the

commodity, and maximizing the utility of ample fish supply, thereby contributes to the
reduction of food spoilage. It is a common practice of fishing households in Brgy. Union,
Mayorga, Leyte. This is evident especially during peak seasons where fisherfolks’ catch
of herring or tamban is abundant.

The four beneficiaries comprises of three female and one male registered fisher
folks of Brgy. Union, Mayorga Leyte. Their main source of income is through fish capture
and fish vending, which it cannot sustain their basic needs. Their household income
ranges from Php 1, 500.00 to Php 3, 000.00. They have been engaged in fish drying but
only for their own consumption. They aspire to produce dried fish commercially to
generate additional income for their families. Through this proposed enterprise, the
beneficiaries will have supplemental source of income for their respective households,
and thus, contribute to the development of their well-being.

Project Objectives:

1. To have a supplemental source if livelihood and increase the fishing households’

monthly income by at least 10% and help in meeting the basic needs of their
families;
2. To produce, supply and distribute high quality dried fish.
3. To adapt innovation of method on fish drying.
4. Become the most in demand supplier of dried fish in Mayorga, Leyte and its
nearby municipalities and in the long run, in the region.

Brief Project Description:

The fish species that will be used is herring, locally known as tamban (sardinella
sp). This herring (tamban) fish drying will use thirty (30) units of climate-resilient fish
drying trays with a maximum capacity of three (3) kilograms per unit, or a total capacity
of 90kgs. The drying trays will be made of polyethylene (PE) screen (1/2” mesh size)
with PVC pipe (1.5 diameter) as frames. The drying tray racks will be made of bamboo
that is locally called as tangnan. The drying tray compartments will be made of bamboo
(tangnan) with fine meshed poly-ethylene (PE) screen on the top and at the bottom and
a thick plastic clear cover (acetate) at the sides. The raw materials, equipment and
supplies will be provided by FishCORAL funded by IFAD.
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The beneficiaries will have two (2) production cycles with 90 kilograms every
cycle or 180 kilograms of fresh fish every week, or 720 kilograms every month that can
produce 432 kilograms of dried herring (tamban) every month. It will be marketed at
the Mayorga Public Market and neighboring municipalities. This enterprise will be
managed and owned by the beneficiaries represented by Marilou S. Tosloc, supervised
by the FishCORAL Project of BFAR Region 8 in partnership with IFAD.

COMPONENTS OF THE BUSINESS PLAN

Section 1: Marketing Plan

A. Description of the Product

PRODUCT DESCRIPTION PACKAGING

MATERIAL SIZE
Dried 90 kg per storage box
100kg
Herring/tamban Storage box
capacity
(Sardinella sp.)

B. Comparison of the Product with its Competitors

Unlike the existing competitors that use traditional drying in bamboo

slats, the beneficiaries will use poly ethylene (PE) screen (1/2”meshed size) with PVC
pipes as frames and fresh fish or with good quality raw materials. They will ensure that
the products are safe from contamination for they will follow the legislated hygiene and
standards of handling, processing and storing up to marketing.

C. Location

It will be strategically placed at a Brgy. Union, Mayorga Leyte. The

location has a total area of 50m 2. This location was chosen because it is accessible to the
beneficiaries and consumers.

D. Main customers and Market area

The main customers are the dried fish dealers in Mayorga Public Market
and neighboring municipalities.

E. Selling price

The dried fish will be sold at P230/kg.

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F. Sales Forecast

PRODUCT MONTHS ANNUA

L
J F M A M J J A S O N D
Dried

1,192,320
99,360

99,360

99,360

99,360

99,360

99,360

99,360

99,360

99,360

99,360

99,360
Tamban
99,360

*90kg–40%MC(40% of 90 is 36 so 90-36=54kg)(54kg xPhp230=12,420/cycle)( 12,420x 8cycles=99,360/month)

*(Dried product: 54kg/cycle; 108kg/week; 432kg/month)

G. Marketing Strategy

 Constant communication with buyers to be updated on prices.

 Market Canvassing and selling product to buyers with reasonable prices.
 Direct Selling
 Consignment

H. Marketing Budget
Table 5.0. Marketing Expenses

Activities Cost
Mobile airtime cost 100.00
Transportation 200.00
Labor 100.00
Total Cost 400.00
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Section 2: Production Plan

A. Production Process

Purchase of Marketing of
Raw Materials Dried Products

Washing Packaging
-Thoroughly wash the fish -Pack the dried fish
with potable water. accordingly.

Splitting Air cooling

-Split along the dorsal side -Let the dried fish cool at room
from the tail towards the temp before packaging.
head. water.
water.

Cleaning Drying
-Remove the gills and entrails. -Put the fish on the drying trays
- Wash with potable water. and dry for 2-3 days.
off excess salt.
water. water.

Brining Washing
-Prepare the brine -Rinse the fish
solution. thoroughly to wash off
-Soak the fish in the excess salt.
brine solution(1:6 part)
for 30 mins.
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A.1.Production Process

a. Buy fresh fish from the fisherfolk of the municipality and nearby
municipality.
b. Wash the fish thoroughly with clean water.
c. Split along the dorsal side from the tail towards the head.
d. Remove the gills and entrails. Wash and drain fish again thoroughly.
e.  Prepare the brine solution (1 part of salt: 6 parts of water) for
uniform salting. Soak the splitted fish for thirty minutes.
f. Rinse the fish thoroughly with water to wash off excess salt.
g. Arrange or lay the fish inside the drying trays for two to three days
h. After drying, allow the dried fish to cool for at least 6 hours at room
temperature.
i. Pack the dried fish accordingly.
j. Store in a cool dry place.

B. Project Location
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C. Project Design

a. Drying Tray (30 units/5 trays per drying rack)

PVC PE
Frame Screen

1m

1m

b. Bamboo Drying Rack (6 sets/5 trays per set of drying rack)

6m

0.8 m
1m

0.5m

c. Bamboo Drying Tray Compartment

5.5 m

1 ft

1.5m
.8 ft
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3Dimension Presentation of Solar Fish Dryer

1. Transparent sides

Transparent sheet Transparent sheet

Transparent sheet
(Lid)
Transparent sheet
Transparent
sheet

2. PE screen on top and bottom

PE
screen

3. Solar Fish Dryers

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d. Floor Plan

EXIT for Dried Products STORAGE of Dried Products Stainless Steel Table

DOOR
EXIT

ENTRANCE
of Raw
Materials
D
E D
O X O EXITof
ENTRANCE O I O Waste
R R Disposal
T

Foot
Bath First Trash SAFE HIDE for
Aid Sink
Bin detergent & chlorine
Kit

e. Processing Facility

Nipa

Bamboo

CHB
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D. Facility/ Equipment Specifications

a. Equipments
FACILITY/ DESCRIPTION/ UNIT LIFE- DEPRECIA-
QTY TOTAL COST
EQUIPMENT SPECIFICATIONS PRICE SPAN TION
-5” riser; weight: 150 lbs 1 pc P30,000 30,000.00 10 3,000.00
- width: 72”; depth: 30”;
capacity: 600 lb; size: 72”
Heavy Duty w
Stainless Steel -14-gauge stainless steel
Working Table top
-shelves: stainless under
shelf
- style: backsplash
stainless steel 7” Chef knife with 10 3,000.00 5 600.00
300.00
knives stainless steel blade pcs.
Multi-Purpose cutting 4 pcs 800.00 5 160.00
cutting board board 5mm x 40’’x10’’ 200.00
(impervious,white)
1 cup, ½ cup, ¼ cup, 1/3 4 sets 2,000.00 5 400.00
Measuring cup 500.00
cup-stainless
Plastic Crate 16”x30” 4 pcs 350.00 1,400.00 7 200.00
4 gallons capacity with 4 pcs 600.00 5 120.00
Plastic pail 150.00
plastic handle (white)
HDPE plastic 50L Rectangular/round 4 pcs 1,800.00 10 180.00
450.00
tub (light colored)
Plastic Drrum with cover 4 pcs 1,200.0 4,800.00 6 800.00
Plastic Drum
80L capacity 0
Rattan-made Round 26 dia. X 10’’ 2 pcs 1,600.00 5 320.00
800.00
kaing height
4 pcs 1,600.0 6,400.00 5 1,280.00
Styro foam box 30 kgs capacity; XL size
0
Storage and Large-120 liters 4 pcs 1,000.0 4,000.00 5 800.00
organizing Box (white) 0
1 pc. 2,700.0 2,700.00 6 450.00
Weighting scale 60 kgs capacity
0
Stainless basin 65cm dia. 4 pcs 350.00 1,400.00 5 280.00
Aluminum Inox stainless steel S/S 4pcs 1,280.00 4 320.00
320.00
laddle spoon
Plastic acetate 50 6,500.00 5 1,300.00
Acetate 130.00
Guage #18 mtrs
10 1,500.00 0 0
Apron Plastic 150.00
pcs
10 300.00 0 0
Hairnet Full head black hair net 30.00
pcs
Disposable Anti-Virus face 3 400.00 0 0
Face mask mask, 3ply whihties (50 boxes 400.00
pcs/box)
Disposable surgical 3 0 0
Gloves prolatex examination boxes 250.00 250.00
gloves (50 pcs/box)
Sanitary Safety Rubber, White color, 10 4,800.00 10 480.00
480.00
Boots Medium, size 6-8 pcs
75,530.00 10,690.0
Total
0
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b. Facility (Solar Dryer materials)

DESCRIPTION/ UNIT LIFE- DEPRECIA

PARTICULARS QTY TOTAL COST
SPECIFICATIONS PRICE SPAN -TION
Bamboo Full length 40 6,800.00 971.42
170.00 7
(tangnan) 5”diameter pcs
10 Feet 120 27,600.00 2,760.00
PVC Pipe 230.00 10
1.5”diameter pcs
Poly-ethylene 30 3,600.00 10 360.00
Plastic screen 120.00
1/2” mesh size mtrs
1 10
Plastic screen Fine meshed bundl 4,000 4,000.00 400.00
e
Plastic cover/ Thick 40 5,200.00 10 520.00
130.00
Acetate (transparent) mtrs
1.5”diameter 120 14,400.00 10 1,440.00
PVC Cross Joint 120.00
pcs
1.5”diameter 120 13,800.00 10 138,0.00
PVC Elbow joint 115.00
pcs
1.5”diameter 240 28,800.00 2,880.00
PVC ‘T’ Joint 120.00 10
pcs
Mononylon #100 2kg 1,500.00 3,000.00 10 300.00 

Total 107,200.00 9,331.42

c. Facility (Processing Area) (Size 4m x 6m)

PARTICULARS SPECIFICATIONS QTY COST TOTAL COST

Coco Lumber Size 2x 2 x 10 50 pcs 100.00 5,000.00
Coco Lumber Size 2x 3 x 10 15 pcs 150.00 2,250.00
Coco Lumber Size 4 x 4 x 10 4 pcs 500.00 2,000.00
GI Sheet Corrugated, Size #.4mm x 8 12 pcs 400.00 4,800.00
ft.
Umbrella Nails 3’’ 1 kg 50.00 50.00
CWN 4’’ 4kg 50.00 200.00
CWN 3’’ 4kg 50.00 200.00
CWN 2’’ 2kg 55.00 110.00
CWN 1.5’’ 2kg 60.00 120.00
Plywood Marine Size ¼ x 4 x 8 30pcs 500.00 15,000.00
inches
Ridge Roll Aluminum #16’’ x 8 ft. 3roll 200.00 600.00
Mosquito Screen Polyethylene Size 4’’ 6mtrs 150.00 750.00
Net
Total 31,080.00
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E. Planned Capacity/Production Cycle Per Month

ACTIVITY J F M A M J J A S O N D
432 kg
Herring

432 kg

432 kg

432 kg

432 kg

432 kg
432 kg

432 kg

432 kg

432 kg

432 kg

432 kg
Fish
Drying

*90kg – 40%MC(40% of 90 is 36 so 90-36= 54kg) *(54kg/cycle; 108kg/week; 432kg/month)

F. Raw Materials
COST/
ITEMS QUANTITY TOTAL COST SOURCE
UNIT
Herring 720 kg 70.00 50,400.00 Local
Rock salt 3 sacks 450.00 3,600.00 Local
Total 54,000.00

G. Production Schedule
ACTIVITY Mon Tue Wed Thu Fri Sat Sun
Purchase os raw
materials
Washing, splitting,
cleaning, brining, washing
Drying
Air cooling, marketing

H. Future capacity
 10% increase in production after 1 year.
 One of the top producers of high quality dried herring (tamban) in Leyte.

I. Production Cost
ITEMS TOTAL COST
Facility and Equipment 213,810.00
Raw Materials 54,000.00
Total 267,810.00

J. Overhead Expenses
PARTICULAR COST/MONT COST/YEAR
H
Electricity 300 3,600.00
Total*Bex counterpart 3,600.00

K. Waste Material Disposal

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The beneficiaries will put Materials Recovery Facility and provide a

compost pit for the biodegradable wastes.

Section 3. Operations Plan

A. Pre- operating Expenses
Training Cost Estimates
UNIT ESTIMATED
MATERIALS QTY
COST COST
Food 30 250.00 7,500.00
Notebook 30 10.00 300.00
Ballpen 30 5.00 150.00
Resource Speaker's Honorarium 2 800.00 2,400.00
Resource Speaker's Accommodation 2 800.00 1,600.00
Total 11,950.00

Training of solar fish drying will be funded by the LGU as counterpart. The
resource speaker will be invited from Food Science Department of VSU. The participants
are the 4 beneficiaries, 6 fisherfolks, 4 MFARMC officers, 3 representatives from POs, 4
MAO personnel, 4 LGU/MPMO representatives, 2 LEDO from RPMO, 1 Community
Facilitator and 2 resource speakers.

B. Office Supplies
Unit
Materials Qty Cost
Cost
Record Book 1 100.00 100.00
Ballpen 2 10.00 20.00
Total Cost*Bex counterpart 120.00

C. Administrative Expenses
Particulars Cost

Registration*Bex counterpart 800.00

Training *LGU Counterpart 11,950.00
Office Supplies *Bex counterpart 120.00
Total Cost 12,870.00

D. Pre-operating Activities: Through Gantt Chart

ACTIVITY TIMEFRAME (in months)
Ap Ma Ju Ju Au Se Oc No De Ja Fe Mar
r y n l g p t v c n b
Preparation of
Business Plan
Negotiation for
financing
Regsitration of
business
Training
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Setting up of
production
activities
Start of
production
Section 4: Financial Plan

A. Project Cost
Total Project Cost: P281,380.00
FishCORAL Fund: P267,810.00
LGU Counterpart: P 11,950.00
Beneficiary equity: P 1,620.00

B. Financing Plan and Requirement

Particulars IFAD LGU PO Total

Fixed assets 213,810.00 0 0 213,810.00
Working Capital/
54,000.00 0 0 54,000.00
Operational Expense
Marketing Cost 0 0 400.00 400.00
Pre-operating expense 0 11,950.00 800.00 12,750.00
Overhead cost  0  0 300.00 300.00
Office Supplies 0 0 120.00 120.00
TOTAL 267,810.00 11,950.00 1,620.00 281,380.00
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C. Projected Income Statement

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D. Projected Cash Flow

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Section 5: Sustainability or Expansion Plan

 The fund shall be go to the savings that may be used for the future expansion of
the livelihood, or to invest for other fish processing methods or other income-
generating activities.
 The beneficiaries would submit quarterly reports to the LGU regarding all their
activities in order to maintain harmonious relationship. The beneficiaries will
link to different government agencies like the DTI for the proper packaging, etc.
 They could also request DOLE or DSWD through the Sustainable Livelihood
Program (SLP) for financial assistance to support their increasing production.

Section 6: Risk Management Plan

Risk Identification Mitigating Measures When to Responsible
Address Person
Spoilage of fish -Select fresh fish. Purchasing of Line-workers
Proper fish handling. raw materials.
-Chilling and icing of
undried fish.
Continuos raining -Monitor the weather Before Line-workers
forecast. purchase of
fish.
Sudden rain during -Always prepare the Before drying Line-workers
drying plastic clear cover/
acetate. Bring near
the drying area.
Bacterial contamination -Select fresh fish. During Line-workers
Proper fish handling. processing.
-Observe proper
hygiene and
sanitation.

Section 7: Monitoring & Evaluation Plan

 The M&E plan for the enterprise will build on from the overall project M&E
framework.
 At the FishCORAL project level, this may include the formation of the
Livelihoods/Enterprise regional-provincial monitoring team, which plans the
monitoring visits in the field, together with the required documents (e.g. meeting
attendance sheets, Activity Work Plan per month/quarter/year, and brief
Accomplishment Reports).
 The beneficiaries would regularly check the status of the fish drying.
 The beneficiaries will then report to the LGU every week.
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Prepared/Requested by: Assisted by:

MARILOU TOSLOC SHANNA MAY M. CABALLES

Community Facilitator

CHARITA DOMPE

MARINIL CANETE

WILLIAM BALANO

Endorsed by: Recommending Approval:

MELISSA S. VERGARA RUPERTO F. SIEVERT

MA RPC, FishCORAL VIII

JUSTERIE M. GRANALI
Focal Person, FishCORAL VIII

Approved by:

JUAN D. ALBALADEJO
Regional Director, BFAR VIII
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ANNEXES
A. List of Direct Beneficiaries
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