BINAGBAG NATIONAL HIGH SCHOOL

FF. ILLESCAS ROAD, BINAGBAG ANGAT BULACAN

S.Y. 2020-2021
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Clothing My Haute Couture

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A Business Plan Presented to

Mr. Ariel Villarama
Binagbag National High School
Ff. Illescas Road, Binagbag Angat Bulacan
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In Partial Fulfilment of the Requirements

In Business Finance

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By:

SOPHIA MAE VERBA

RHEA E. TABERAO
JONALYN CUMAYAS
DIANA ROSE E. ESPINO
LYKA ANDREA R. MONREAL

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2021

BINAGBAG NATIONAL HIGH SCHOOL

FF. ILLESCAS ROAD, BINAGBAG ANGAT BULACAN
S.Y. 2020-2021

__________________________________________________________________________________________________

BUSINESS PLAN
 Clothing My Haute Couture
Brgy. Julo Binagbag, Angat Bulacan

Owned by:
SOPHIAMAEVERBA
RHEAE.TABERAO
JONALYNCUMAYAS
DIANAROSEE.ESPINO
LYKAANDREAR.MONREAL

2021

PAGE1
 TABLE OF CONTENTS

Title Page..................................................................................................................1
Table of Contents........................................................................................................
Executive Summary………………………………………………………………….
Organizational Plan
Production Plan
Operational Plan
Acknowledgement Letter..........................................................................................
Chapter 1( Introduction).............................................................................................
>Industry......................................................................................................................

EXECUTIVE SUMMARY
Organizational Plan

Organizational plan is the first central part of the business plan. This includes the
forms of business organization which shows that our business apparel is a general
partnership type of business and the different factors of becoming that type of
business such as the capital requirement amounting to Php 200,000.00 which was
equally invested by the owners in the proposed transaction The liability of the
owners which each one is liable for any debts, the management, and supervisory
skills, the tax implications which provides the details of business permits such as
regulatory fees, government interaction which talks about the licenses and other
licenses for the business to operate legally and lastly the nature of the market which
is manufacturing business. Other than that, the organizational structure of the
company is also shown in their roles and responsibilities. Salary requirements are
also included with the position, the number of personnel, and their estimated total
salary per month.

Production Plan
Production activities inside the company are mainly being discussed in this part of
the Business plan. This includes the production schedule, which shows the division
of each production activities for every week. Some of this includes the
brainstorming on week 1 to the actual promoting and selling of the product on week
8. The production process is also included; it shows the steps on how to produce or
make the product up until it reaches the central location of the selling. Equipment
required consists of the floor plan for the processing plant. Sources of materials
include the location of the company’s leading supplier of goods and other items
needed, and lastly, the production cost or budgeting of every expense necessary to
operate the production process. This includes labor for each person per day and per
month, rent for the whole year of the main stall and production plant, equipment
that is already allotted for three operating years, supplies for a month, inventories,
utilities, and other expenses that may be possible in the future.

Operational Plan
The process of the operation of the products and other operational activities being
held and operated inside the business entity are discussed in this part of the
Business plan. This includes the selection and evaluation of the company’s
foremost suppliers of the materials and equipment that will be needed. The process
of purchase is also included, which contains the steps on how the system of how the
customers can avail the product from receiving the customer’s order up to the
receiving of the product to the customer itself. The process of also the storage and
inventory system is also included from ordering of the company from the assigned
and chosen suppliers up to receiving of the materials, or equipment in the
production plant. Sales procedures include the channels on how the customers can
avail of the product. It is either through walk-in, online, or inquiring and availing
the product through bulk orders for resellers. The function of support and assistance
is finally being discussed in this part of the paper, which explains the support and
connection of every department inside the business or company itself

ACKNOWLEDGEMENT LETTER
 The success and outcome of this project were possible by the guidance and
support from many people who are very supportive in all of our plans and
achievements in life. I am fully overwhelmed with joy because it has been a
privileged to have got this all along with the achievements of our project. It required
a lot of effort from each individual involved this project with us and we would like
to thank them.

I appreciate and thank Mrs. Abigail Regino, for granting us an opportunity to do

this project in Brgy. Julo Binagbag, Angat Bulacan and providing us with all
support and leadership, which made us finish the project duly. We are so thankful to
her for presenting such excellent support and guidance, despite having a busy
schedule enduring the corporate affairs.

We would like to thank Mercialiana Villarama for letting us have a small stall in
front of their beautiful garden where we capture our clothes and jeans to advertise.

We heartily thank Mr. Regimer Villarama for supervising the deliveries and our
beloved walk-in customers.

We are thankful and lucky enough to get consistent encouragement support and
supervision from all Teaching staffs of Binagbag National High School, which
helped us in completing our project work. Also, We would like to continue our
genuine esteems to all staff for their timely support.

Sophia Mae Verba

Rhea E. Taberao
Jonalyn Cumayas
Diana Rose E. Espino
Lyka Andrea R. Monreal

May 28, 2021

CHAPTER I

INTRODUCTION
There are already many competitors of our product in the market as shirt, jeans,
jackets and clothes apparel seller, it is one of the most important in the world of
fashion & design. So the quality of our product is, it will achieve the desire position
in the market in future. As we produce qualitative and good products with the
reasonable price, it wills the main points of our unit that considers and works
accordingly.

Nowadays, the production of different shirt styles and designs are used everywhere
most likely in official uses. So the market of our product will be huge in the future.
So were trying to concentrate more on this point to beat this cutthroat competition.

The main objective of our apparel is to provide the best quality to the consumers
and by this way we will try to capture the maximum share in the market.

INDUSTRY

The Apparel Industry consists of companies that design and sell clothing, footwear
and accessories. Product categories include everything from basics, such as
underwear, to luxury items, for example, cashmere sweaters and alligator-skin
handbags. Traditionally, apparel companies were wholesalers, selling large
quantities of goods to retailers, which then marked-up items and sold them to
consumers at a profit. However, it's become more difficult to draw a line between
wholesalers and retailers; most apparel companies now have both types of
operations.

Wholesale Business
Wholesale business is what separates companies in Value Line’s Apparel Industry
from those in our Retail (Special Lines) category. Apparel companies design and
produce/source items that they sell to retailers, including department stores,
specialty shops and discounters. Often, a company owns licenses to manufacture
goods under particular brand names, and will market and advertise these lines. One
license can cover many products. In some instances, an apparel company may only
have the rights to produce specific items under a brand, such as ties and shirts,
while excluding other product lines, for instance pants or sleepwear. Production is
often outsourced to developing countries, where labor costs are inexpensive,
relative to those of the United States and Europe. The wholesale market is seasonal.
Retailers stock up on merchandise before shoppers hit the stores during the peak
back-to-school and holiday periods.
Brand names, in particular familiar offerings with a good reputation for quality,
style or value, are popular among shoppers. A clothing company possessing a broad
line-up of well-known brands has a competitive advantage over its peers. This is not
always the case, however. In tough economic times, consumers might turn to
similar private-label goods to save money. Private-label goods are found in
department stores and discount chains. Though they are less expensive than branded
items, such goods are often more profitable for the seller. Brand-name items and
private-label goods compete against each other for shelf space throughout the
business cycle.
Because of the seasonal nature of the wholesale market, it's better to compare sales
on a year-to-year, rather than sequential-quarter, basis. Gross and operating margins
are the best gauges of a company's health. Sales volume, supply chain efficiency,
sourcing costs, and selling, general and administrative (SG&A) expenses determine
profitability.

Retail Operations
There are a number of reasons why companies in the Apparel Industry establish
retail divisions. Having stores dedicated to a single brand gives a company control
over a line's image and identity. Apparel companies relinquish some control over
branding and merchandising at department stores, and their influence is diluted
further at the boutique level. Dedicated retail stores allow a company to highlight its
own merchandise, without worrying about competing labels.
Retail stores are typically more profitable than their wholesale brethren. By selling
its own merchandise at retail, an apparel company can cut out the middle man and
increase profits. However, this strategy can be risky. Instead of simply designing
and producing clothes, and filling wholesale orders, companies with retail
operations have the added burden of finding store locations with good potential and
managing inventory, while avoiding big markdowns.
The Internet is another important platform for retailers, especially since consumers
are increasingly Web-savvy and have access virtually anywhere. Shoppers want to
quickly find what they are looking for online, and demand fast processing and
shipping. Direct sales via the Internet can be a boon to a company. These sales do
not entail expensive storefronts and related staffing and, thus, are more profitable
than traditional business.
Apparel sales at the retail level tend to be highly seasonal, with the majority of
revenue booked during the holiday and back-to-school periods. Industry analysts
review total year-to-year sales to identify trends. Notably, market watchers focus on
"comparable-store" sales, which indicate the year-to-year performance of locations
open for a year or more. Sales-per-square-foot is another important metric that
measures how efficiently a retailer utilizes its floor space.
As with wholesalers, the success of retailers is visible in their reported gross and
operating margins. Retail margins are influenced by several factors, including
markdowns and promotions, and SG&A expenses. Product mix also plays a role in
determining profitability. For instance, a weighting toward accessories is favorable,
thanks to their high margins, since accessories' one-size-fits-all nature involves
lower costs than do fitted clothes.

Investment Considerations
The Apparel Industry is fragmented and highly competitive. There are a number of
major players, but there are also countless niche stores and private companies that
cater to specific demographics. Too, general merchandisers and foreign companies
bring more competition to the sector. Consequently, companies in the Apparel
Industry need to be nimble and highly efficient in order to survive. Having the right
product is also essential; fashion trends change frequently, and companies need to
adapt to varying consumer tastes quickly.
Apparel stocks are economically sensitive. Although clothing is a basic need,
people have wide discretion as to when they update their wardrobes and how much
they spend. When times are good, apparel sales are usually brisk. However, during
periods of economic uncertainty and contraction, clothing is an area where people
can easily trim outlays.

CHAPTER II (Market-Economic Aspect)

DEMAND ANALYSIS

80%

70%

60%

50%

40% Kids
Teenagers
30% Adults

20%

10%

0%
 Table 1: Demand Analysis

In this graph, it indicates that teenagers have the highest demand based on the feedback
forms provided. Kids (from 7-12 years old) got 20% and have the lowest demand, while adults (
20 and above) got 60 % lower by 15% than teenagers demand based on the feedback form. It
shows that most teenagers and adults are willing to buy from our apparel based on the data
gathered.

SWOT ANALYSIS
FACTORS
INTERNAL EXTERNAL
Strengths Weaknesses Opportunities Threats
 High-quality  Limited capital  Good location  There are many
products from the of the business competitors
 Innovative owners  Growing around the area
 Lower price  Business is population in  Changes of
than other new and not the area style or color
competitors well-known yet  Technology preferences of
 Continuous (Social Media) the customers
supply as a medium 
 Have variety online
styles and advertisement
designs
 Have variety of
sizes for the
customers

Table 2:SWOT ANALYSIS