ORGANIZATIONAL PLAN

This section of the business plan presents the form of the business organization,

liability of the owners, organizational structure, roles and responsibilities, and salary

requirement.

Form of the Business Organization

The form of our business is partnership. A partnership keeps track of each partner's

investment in the partnership through a financial record called a capital account. A

partner's opening capital account balance generally equals the value of his

contribution to the partnership. With this, the overall cost our product varies from

300 pesos up to 350 pesos, that includes all the ingredients needed to be bought for

this production. The funding that is needed for this production will come from the

members itself. Each member will provide an equally amount of 50 pesos in order to

buy the raw materials.

In terms of duties in partnership the responsibilities that is needed to perform

in the business should also be equally divided, from the manager, and the people

who are assign in different field such as in finance, marketing, and the operation

itself.

Each business is also required to obtain a business permit. Head to the local

government unit of the place you intend to operate your business in.

Secure a business or mayor’s permit. Each municipality has its own specific

requirements and procedures for the registration of businesses. In terms of tax

implication, a partnership is set up easier and has less paperwork, legal

requirements, and tax obligations than a corporation. And the partnership itself is not
taxed on its income, each of the partners will be taxed upon his or her share of the

income from the partnership. The Securities and Exchange Commission (SEC)

requires a minimum paid-up initial capital investment of three thousand pesos (P

3,000.00) for partnerships with foreign partners, engaged as export market

enterprises. Another role of Securities and Exchange Commission itself is to

maintain efficient, transparent, and effective markets. SEC oversees the

involvement and operations of organizations and individual investors. The business

is also required to register in BIR which is also known as Certificate of Registration

(COR), this gives you the legal rights to operate your business in the Philippines. It

provides you with Tax

Identification Number (TIN) and the authority to print and issue official receipts. It

also states the types of taxes you will settle.

Our product, MOGO rice doughnut hole is a small, round confection

consisting of a soft, pounded glutinous rice flour formed around a ham with cheese

and ground pork filling. Mochi has been popularized around the world.

As we are creating a new unique product base from this, we address our

business to be in Manufacturing. A manufacturing business buys raw materials and

ingredients with the intention of using them as materials in making a new product.

Thus, there is a transformation of the products purchased. We will be combining

necessary raw materials and Labor in order to produce this food. These finished

goods can be sold directly to consumers or to other manufacturing businesses that

use them for making a different product.

 There are other expenses than business operations to produce our product.

Here are the details how we will use the money in external financing.

We allot payment for tax and licenses. The people who comprise the partnership shall

be liable for income tax in their separate and individual capacities. Meaning, as soon as

the profits of the partnership are divided and remitted to them, they become liable for

the income tax due for the money they received. The business would also provide

money for rent space. Businesses that rent commercial space need to secure a

Contract of Lease. Businesses that operate on private lands need to secure a Land

Title. The business would also be financing fixtures and equipment for the place. Aside

from that, the partnership business would also be spending money to market our

product using various advertisements like poster or through online.

Liability of the Owner or Owners

Our Mogo business consist of 6 general partners that was considered

as unlimited liability. Unlimited liability refers to the legal obligation of general

partners and sole proprietors because they are liable for all business debts if the

business cannot pay its liabilities.

There are some advantages of becoming an unlimited business, such as

having a separate legal identity, allowing the business to take out contracts in its

own name, rather than the names of the owners and shareholders. Compared to

limited companies, with unlimited companies, it is easier to return capital to

shareholders. This is because of restrictions imposed on limited companies, as

defined by the Companies Act 2006. This flexibility is useful when you’re in a group

structure, as it gives more option to move capital

between entities in the group.

As with everything, there are also some disadvantages to your business

being unlimited. Because of the unlimited liability, if things go wrong, the owners

and shareholders may not be inclined to take high-risk

opportunities. If partners join or leave, you will probably have to value all the

partnership assets and this can be costly. Sometimes there is a risk of

disagreements and friction among partners and management.

Organizational Structure

This section of the business gives information about how your company is

organized and who is in charge. This section is useful for relaying who accomplishes

what tasks for the business and the qualifications of the board.
 Ria Chastine Mira no
General Manage r

S herry M ae Garci a Stefany Soriano

Financial Manager Marketin g Manag er

Chrisllaine Edz Reyna Joana Mae Sanchez Alyssa Anne Nicandro

Cook Purchasing Officer Sales Representative

Figure 3. Organizational S tructure

Roles and Responsibilities

Roles and Responsibilities are the division of work that each employee is
accountable for. This helps create a more effective communication between the
staffs. It also provides clarity and accurateness for achieving the goals of the
company.
Position Qualification Roles and Responsibilities
General Manager (Ria ✓ Good knowledge of ➢ Overall responsibility for
Mirano) different business the business
functions. ➢ Tasked with overseeing
✓ Strong leadership daily business activities
qualities. ➢ Responsible for
✓ Excellent improving overall
communication skills. business functions
✓ Highly organized. ➢ Monitoring and
✓ Strong work ethic. motivating staff
✓ Good interpersonal
skills.
✓ Meticulous attention to
detail.
✓ Degree in Business
Management or
master’s in business
administration.
Financial Manager ✓ Extensive ➢ Responsible for the
(Sherry Mae Garcia) understanding of financial health of the
financial trends both within business
the company and general ➢ Budget the capital of the
market business to
patterns use it
✓ Strong presentation efficiently
skills ➢ Help management make
✓ Able to manage, guide financial decisions
and lead employees to ➢ Analyze market trends to
ensure appropriate find opportunities for
financial processes are expansion
being used
✓ A solid understanding
of financial statistics
and accounting
principles
✓ bachelor's degree
in finance,
accounting, business
administration,
economics or a related
field.

Marketing Manager ✓ Extensive experience ➢ Oversee the promotion

(Stefany Soriano) in marketing, of a business, service,
advertising, brand product or brand
management, or sales ➢ Makes key decisions
✓ Communication skills regarding product
✓ Written skills distribution, budgeting,
✓ Thoroughness branding, and sales.
➢ Think of ways to
✓ bachelor's degree
promote the product.
in marketing or
business
 administration
Purchasing Officer ✓ Good knowledge of ➢ Research potential
(Joana Sanchez) vendor sourcing vendors
practices (researching, ➢ Compare and evaluate
evaluating, and liaising offer from supplier
with vendor) ➢ Review quality of
✓ Understanding of purchased products
supply chain ➢ Prepare reports on
procedures purchases, including
✓ Negotiation skills ➢ cost analysis
✓ High school degree or ➢ Track orders and ensure
equivalent; bachelor's timely delivery
degree in business
administration,
management, finance,
or related field
preferred.
Sales Representative ✓ Impeccable ➢ Answer all lead and
(Alyssa Nicandro) customer customers questions
service skills accurately; prioritize
✓ Excellent interpersonal and/or escalate lead and
communication skills, question as needed
both verbal and written ➢ Perform cost
✓ Aptitude for persuasion benefit
and negotiation analysis for prospective
✓ Expert in time customers and advice
management on appropriate purchase
✓ Sales driven, results options
driven, and target ➢ Maintain positive
driven attitude business and customer
✓ Must be 18 years old relationship in the effort
and older with to extend customer
bachelor's degree in lifetime value
business, marketing, ➢ Develop strategies for
economics or related more effective sales,
field. both individually and as
part of a team
Cook (Chrisllaine ✓ Hands on experience ➢ Manage kitchen staff and
Reyna) with planning menus coordinate food orders
and ordering ➢ Supervise for preparation
ingredients and cooking
✓ Knowledge of ➢ Establish portion sizes
wide ➢ Schedule kitchen staff
range of recipes shift
✓ Familiarity with kitchen ➢ Check food plating and
sanitation and safety temperature
regulations ➢ Maintain sanitation and
✓ Excellent organization safety standards in the
skills kitchen area
✓ High school diploma
 Table 1. Roles and Responsibilities

Salary Requirement

A salary requirement is the amount of money a person needs to be paid in

order to accept a job offer. It refers to the total compensation an individual is willing

to accept to work in a position. Computing salaries is important, because it is the

way on how the company can measure the expenses. It is also for them to know if

the salary is enough for their employees. Payroll Salary Compensation and Benefits

in the Philippines as provided under the Labor Code of the Philippines and other

relevant laws. The wages a business may provide are the minimum wage per region

and/or sector, holiday wage and overtime pay for work during holidays or rest days,

overtime pay when working in excess of 8 hours and 13 month pay.

The Wage Rationalization Act, Republic Act No. 6727, sets the minimum

wage rates applicable per region, province and industry sector. Outside of Metro

Manila, the minimum daily wage varies from PHP 317 to PHP 400 for non-

agricultural workers, depending on the region. The MOGO business employees are

Manager, Financial Manager, Marketing Manager, Sales Officer, Purchasing Officer,

and Cook who receives 7,608 php – 9,600 php per month. And 91,296 php- 115,200

php a year.

Holiday pay refers to the payment of the regular daily wage for any unworked

regular holiday. This means that the employee is entitled to up to 25% of his/her

minimum wage rate. Where the holiday falls on the scheduled rest day of the

employee, work performed on said day merits at least an additional 30%. On the
other hand, overtime pay refers to the additional compensation for work performed

within eight (8) hours on non-work days, such as rest days and special days. When

they work during these days, they are guaranteed an additional of 30%.

In addition, the Labor Code also requires employers to become members of

the Pag-IBIG Fund, PhilHealth, and SSS, as well as remit monthly contributions on

behalf of their employees to these government offices. This ensures that employees

have access to affordable house financing, health insurance, and social security

benefits, as mandated by the law.

According to the Arellano Law Foundation (n.d), Pag-IBIG is an acronym

which stands for Pagtutulungan sa Kinabukasan: Ikaw, Bangko, Industria at

Gobyerno. In effect, Pag-IBIG harnesses these four sectors of our society to provide

its members with adequate housing through as effective savings scheme. For PAG-

IBIG, you’ll have to deduct PHP 100 from their salary and

subsidize the other PHP 100.

The Philippine Social Security System is a state-run, social insurance

program in the Philippines to workers in the private, professional and informal

sectors. Currently, the SSS contribution rate is 11% of an employee’s monthly

salary credit, 7.37% of which is shouldered by the employer and 3.63% is deducted

from the salary. In addition to the employer share, you’ll also have to pay for your

monthly contribution to the Employees’ Compensation program that costs php 30

(for those earning over PHP 14,750).

The Philippine Health Insurance Corporation or PhilHealth is government

owned and control corporation with Its main goal is to ensure the health of every
Filipino through social health insurance. For this, total contribution may vary from
php 275.02 to php 1,099.99.

Daily Opening Gross Deduction Net Salary

Wages Days Salary PAG-IBIG SSS
Position
General
Manager 340 24 8160 100 296.208 7763.792
Financial
Manager 340 24 8160 100 296.208 7763.792
Marketing
Manager 340 24 8160 100 296.208 7763.792
Purchasing
Officer 340 24 8160 100 296.208 7763.792
Sales
Representative 340 24 8160 100 296.208 7763.792
Cook 340 24 8160 100 296.208 7763.792
Table 2. Salary Requirement