Executive Summary

Josie’s Garden is dedicated to providing a quality choice for people looking for plant and
garden supplies. Our start-up expenses come to P20,000 which includes the cost of the
greenhouses (P15,000). The start-up costs will be financed entirely by Mrs. Helen
Baniqued Cayabyab

We will offer a wide variety of plants, shrubs and succulents. Most of the plants we sell
will be grown in our greenhouses. With a convenient location Josie’s Garden intends to
successfully market to the residential customer, as well as resellers.

We would like to see a five to ten percent increase in our customer base each year. Our
marketing strategy includes providing affordable prices, a great location, and top notch
customer service.

Josie’s Garden has been the dream of the manager, Josie Calimlim. Josie Calimlim will
manage all aspects of operations at Josie’s Garden. Mrs. Calimlim will be involved with
the ordering of merchandise and will be responsible for the ordering of the garden
supplies, as well as the maintenance of the greenhouses. 

Josie’s Garden aims to experience a growth rate of 20% in sales for the second year of
operation and build upon that as the company grows. With creative marketing, and a
quality choice of plants and garden supplies for our customers Josie’s Garden intends to
make its presence known in the nursery community.

1.1 Objectives

1. Maintain an average gross margin at or above 50%.

2. Generate an average of P1,500 of sales each business day of each month.

3. Realize an annual growth rate of 10% in Year 2.

4. Establish agreement with other business owner’s like landscape business and
home builders.
1.2 Mission
Josie’s Garden is dedicated to providing a wide variety of plants for gardening. Customer
loyalty what we are after.

1.3 Keys to Success

The primary keys to success for the company will be based on the following factors:

 Sell products of the highest quality with excellent customer service and support.

 Retain customers to generate repeat purchases and make referrals.

 Continue to expand daily sales by adding to the variety of plants we sell.

 Communicate with our customers through creative advertising.

Company Summary
Josie’s Garden is the dream of Josie Calimlim. With a target opening on October 2020,
the business will be located on Dumpay, Basista, Pangaisnan. Josie’s Garden will focus
on providing quality bedding, hanging plants and succulents, along with a variety of
potted trees. Our aim is to serve both residential customers and resellers. Our start-up
requirements will be P20,000.

2.1 Start-up Summary

Our start-up requirements come to P20,000 which includes the first month's inventory
and cost of the greenhouse. No rental fee is expected to be paid because the business will
be stationed in the owners house. The start-up costs will be financed entirely by Mrs.
Helen Baniqued Cayabyab.
START-UP REQUIREMENTS
Start-up Expenses
Legal (DTI, Business Permit, etc.) P2,000 
Greenhouse P15,000 
Equipment P3,000
Total Start-up Requirements P20,000

START-UP ASSETS
Cash Required P20,000 
Start-up Inventory P15,000 
Other Current Assets P0
Total Requirement P35,000

PLANNED INVESTMENT
Mrs. Helen Baniqued Cayabyab P35,000 
Total Planned Investment P35,000

Products
Josie’s Garden will offer a wide variety of bedding plants, shrubs, trees, and succulents.
Most of the plants will be grown on-site in greenhouses. Initially though, we will buy full
grown plants for our first few months of inventory. Supplier for the business will be
Manila Cacti and Dangwa Cactus and Succulents.

Plant Name (Scientific Cost Target

Name) Selling
Price

Lithops P150 per P300

piece
Moon Cactus P200 per
peice
(Gymnocalycium
mihanovichii)

Golden Barrel (4-5 inches) P900 per

piece
Sometimes called golden ball
or mother-in-law's cushion

(Echinocactus grusonii)

Ferocactus P1,000 per

piece

Astro P1,300 per

piece
Snake Plant P120 per P200
pot

Greenovia wine glass P750 P950

Haworthia cymbiformis var P900 P1,000

Graptopetalum apricot bar P950 P1,050

Daisy P350 per P550
pot

Pink calladium P150 P300

Garden Cost Target

Tools/Supplies Selling Price

Shovel P120 P180

Spade P120 P180

Fork P120 P180

House Pipe P125 per yard P180

Sprinkler P180 P260

Water Cans P120 P160

Flower Shears P90 P160

Hedge Shears P380 P460

Trowel P40 P80

Wheelbarrow P2,500 P2,900

Pots Depends on Depends on

Size Size
P35- P300 P50- P400
Sugar Cane Press P1,200 – P1,500 –
P4,000 P5,000

Kawa P1,200- P1,500-

P4,000 P5,000
 Big Jars P300-P2,000 P400-P4,000

Japanese Stone P300-P3,000 P400 –

Lantern P4,000

Market Analysis Summary

Josie’s Garden’s target market strategy is based on becoming an attractive choice for
homeowners and landscape contractors in Basista and neighboring towns and
municipalities. The target markets we are going to pursue are the residential consumers
looking for a wide variety of plants and trees to beautify their residences. Resellers will
be attracted by competitive prices and a diverse inventory. People will want to shop at
our location because of the superior customer service we will provide. Josie’s Garden
would like to see a five to ten percent increase in customers annually.
Strategy and Implementation Summary
Our strategy is based on serving our customers with superb service and product
knowledge.

Also:

 We are building our marketing plan to reach homeowners, and resellers.

 We focus on satisfying the needs of our customers.

 We focus on providing quality plants at affordable prices.

 We are determined to establish agreements with landscape businesses and home

builders

5.1 Sales Strategy

The primary sales strategy includes these factors:

 Exceptional customer service

 Exceptional product knowledge

 Large and varied inventory

 Convenient location.

Management Summary
Owner Josie Calimlim will oversee and manage all aspects of operation at Josie’s
Garden. She will be responsible for the ordering of garden supplies, as well as the
maintenance of the greenhouses. She will also be responsible for doing some of the
ordering of merchandise and in charge of the shop.
Financial Plan

Important Assumptions

 A healthy economy that supports moderate growth in the market.

 Low operating expenses, particularly in the area of buying plants that could be

grown on-site.
PRO FORMA PROFIT AND LOSS
NOTE YEAR 1 YEAR 2 YEAR 3
Sales P540,000 P594,000 P653,400
Less: Cost of Sales 1 270,000 297,000 326,700
Gross Profit 270,000 297,000 326,700
Less: Expenses
Utilities Expense 25,000 30,000 35,000
Salaries Expense 89,760 89,760 89,760
Taxes and Licenses 5,000 7,000 9,000
Profit for the year P150,240 P170,240 P192,940

Notes for Projected Profit or Loss

Note 1 - Cost of Sale

YEAR 1 YEAR 2 YEAR 3
Inventory, beginning P15,000 P55,000 P68,000
Add: Purchases 350,000 350,000 400,000
Freight-in 10,000 10,000 12,000
Purchase Discounts (50,000) (50,000) (60,000)
Total Goods Available for Sale 325,000 365,000 420,000
Inventory, ending (55,000) (68,000) (93,300)
Cost of Sale P270,000 P297,000 P326,700

Note 2 - Utilities Expense

YEAR 1 YEAR 2 YEAR 3
Water Expense P20,000 P24,000 P28,500
Electric Bill 5,000 6,000 6,500
Cost of Sale P25,000 P30,000 P35,700
Note 3

YEAR 1 YEAR 2 YEAR 3

Salaries Expesnse 89,760 89,760 89,760
Salaries expense (P7,480 x 12 months)

P7,480 is the minimum wage as per Wage Order No. RB 1-20

PRO FORMA CASH FLOW

YEAR 1 YEAR 2 YEAR 3
Cash flow from Operating Activities
Cash Sales P540,000 P594,000 P653,400
Cash paid for purchase of inventory (270,000) (297,000) (326,700)
Cash paid for Utilities Expense (25,000) (30,000) (35,000)
Cash paid for Salaries Expense (89,760) (89,760) (89,760)
Cash paid for Taxes and Licenses (5,000) (7,000) (9,000)
Net Cash from Operating Activities P150,240 P170,240 P192,940

Cash flow from Investment Activities

Cash paid for the purchase of equipment (3,000) 0 0
Cash paid for greenhouse (15,000)

Cash flow from Financing Activities

Cash proceeds from investment 35,000 0 0

Net Increase in Cash P173,000 P176,000 P198,700

Add: Capital, beginning 0 173,000 349,000
Cash, ending balance P173,000 P349,000 547,700