Fresh Oyster Mushroom (Mushrooms Farming)

A Project Feasibility Study Presented to the

College Of Business Education

Saint Columban College

Pagadian City, Philippines

IN PARTIAL FULFILMENT

of the Requirements for the degree

BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION

BY:

DONNA ROSE M. SAGUBAN

DIANA ROSE BAZAR
KATHY LAMBAN
 MARCH 2022
Approval Sheet

This project feasibility study entitled “Fresh Oyster Mushroom”, prepared and submitted by the
following students in partial fulfillment of the requirements in their respective degree, to with:

For Bachelor of Science in Business Administration:

Donna Rose M. Saguban (Group Leader)

Diana Rose Bazar

Katherine Lamban

Has been examined and recommended for approval and acceptance.

Jahan Matcha, MBA Carl Joseph Fuerzas, CPA

Marketing & Technical Adviser Management & Financial Adviser
APPROVED by the Committee on Oral Examination on

FRESH OYSTER MUSHROOM (MUSHROOM)

______________________________________________
Chairman

_____________________________________ ____________________________________
Member Member

______________________________________________________________________________

ACCEPTED and APPROVED in partial fulfillment of the course requirements.

VIRGINIA A. RUBEN, CPA

Dean, College of Business Education
 _______________________________________
Date

TABLE OF CONTENTS

Page
Chapter 1 Executive Summary 1

A. Name of the Project

B. Description of the Industry
C. Description of the Project
D. Location of the Project
E. Highlights of Major Assumptions
F. Summary of Findings and Conclusions
Market Feasibility
Technical Feasibility
Financial Feasibility
Socio-Economic Feasibility
General Conclusion

CHAPTER II MARKET STUDY

A. Study of Demand
 Target Market
 Historical Demand
 Past Demand Pattern
 Projected Demand
 Evaluation of Projected Demand

B. Study of Supply
 Competitors
 Historical Supply
  Supply Growth Pattern
 Projected Supply
 Evaluation of Projected Supply

C. Demand Supply Analysis

 Demand Gap
 Market Share

D. Price Study
E. Marketing Program
F. Market Strategies and Programs
 Product/ Service Strategy
 Price Strategy
 Promotion and Advertising Strategy
 Place Strategy

G. Conclusion on Market Study

CHAPTER III – TECHNICAL STUDY

A. Product or Services Description

B. Manufacturing/ Service Process
C. Plant Capacity
D. Production Schedule
E. Plant Location and Layout
F. Machinery and Equipment
G. Building Structure and Other Facilities
H. Waste Disposal System
I. Manufacturing Cost Requirements
J. Conclusion of the Technical Study
CHAPTER IV – MANAGEMENT STUDY

A. Business Organization
 Type of Business
 Capital Requirement
B. Internal Structure
 Organizational Chart
C. Staffing Requirements
 Manpower Requirement and Job Description
 Recruitment and Training Program
 Management and Policies Regulation
D. Compensation and Other Benefits
E. Project Schedule
 Gant Chart
 PERT/CPM
F. Conclusion of the Management Study

CHAPTER V – FINANCIAL STUDY

A. Major Assumptions
B. Total Project Cost
C. Sources of Financing
D. Financial Statements
 Projected Income Statement
 Projected Balance Sheet
 Projected Statement of Cash flow
 Schedules (Notes to Financial Statements)

E. Financial Statement Analysis

 Horizontal Analysis
 Vertical Analysis
 Ratio Analysis
  Payback Period
 Net Present Value
 Internal Rate of Return
F. Conclusion of the Financial Study

CHAPTER VI – SOCIO-ECONOMIC STUDY

A. Employment
B. Government
C. Community Involvement Programs
D. Conclusion of the Socio-Economic Study

APPENDICES AND ATTACHMET

 MARKET STUDY
A. Survey Questionnaire
B. Survey Results (Tally)
C. Forecasting Tools

 TECHNICAL STUDY
A. Memorandum of Agreements
B. Contracts

 MANAGEMENT STUDY
A. Business Registration Forms

 Letters
 CHAPTER 1
Executive Summary

A. Name of the Project

“Fresh Oyster Mushroom” is the name the business. Oyster mushroom or

(Pleurotus ostreatus) is a type of vegetables and edible fungi that are consumed all
around the world. They are commonly used as food and nutrition source even before.
This mushroom present as a food related business and customers can have an idea of
what services Cultured Oyster Mushroom will offer. It is a five-syllable name and can
be easily remembered.

B. Description of the Industry

Our business is a kind of cultivating fresh oyster mushroom directly from the
fruiting bags and sent to our own store specifically at “Bagsakan” in Barangay Santa
Lucia, a fairly common industry that all of us are customers yet some of us have no
idea that there are fresh mushrooms available other than what some of us buy from
cans. Almost all of us eat vegetables and this includes mushrooms and it is one of the
cheapest vegetables that can be bought with many nutrients. We all need to eat
nutritious foods that energize our bodies especially we are still in the midst of a
pandemic caused by the corona virus. Because of the new protocols, some of us have
stayed inside their homes, the farming of cultured oyster mushrooms can be studied
and done by anyone. These days vegetables are a commodity that many of us rely on,
because apart from being cheap it is also one that people need to further strengthen
our immune system.
C. Description of the Project

The project is all about propagating Oyster mushrooms by ordering and buying
fruiting bags from Cagayan De Oro where fresh oyster mushrooms grow and to be
harvested at the right time. The researchers aim to help the people in the area
purchase vegetables including fresh oyster mushroom with the most affordable price.
The project is proposed for the benefit of the consumers and of the researchers. The
researchers want to help in maximizing the major problem of which concerns hunger
in the country and for some of us who lost their jobs due to the covid 19 pandemic,
they can study it and make a living by breeding oyster mushrooms. We will target
that fresh oyster mushrooms will be available daily to us in (Bagsakan) for purchase
by customers and use by those in need.

D. Location of the Project

The study is conducted in the Pagadian City specifically in Barangay Danlugan

because apart from being far from the polluted area it is also cold area which is more
favorable place to breed and cultivate mushrooms. This place is one of the well -
preserved trees so it is beautiful, good and cool for breeding fresh cultured oyster
mushrooms.
Figure 1. Danlugan Area

Even though Barangay Danlugan is far away from the city proper, it is no longer a big
problem in delivering goods to the markets because we now have many vehicles that
can be used to deliver.

The proposed business aims to be competent versus the already mushroom in a can
established business in the city.
 Santa Lucia City Map

E. Highlights of Major Assumptions

 Vegetables including Fresh oyster mushrooms are just a few of the daily
necessities that people need to get enough vitamins and minerals needed in
boosting the immune systems in our bodies.

 This is a major contribution to strengthening our resistances especially in children

and adults who are prone to diseases especially to the threat of covid 19-
pandemic, so expected that many will require Oyster Mushroom.

F. Summary of findings and conclusions

Market Feasibility

The total major customer of our business is the household population in Barangay
Santa Lucia, Pagadian City. After the conducted survey, 94% of the target market
have agreed and willing to purchase our Fresh Oyster Mushroom proposed business.
Indeed, the proponents market study is feasible it is because aside from very
affordable, this vegetable is also very nutritious.

Technical Feasibility

Fresh Oyster Mushroom is a business that sell and cultivate Oyster mushroom.
The proponents working and propagating area is in the Barangay of Danlugan,
Pagadian City and the store is in the Barangay Santa Lucia (Bagsakan), Pagadian
City. The area of propagating or cultivating oyster mushroom is intentionally
designed for it is convenient climate for the said mushroom temperature needed and
the store is convenience of the potential customer. The cost of constructing the
building is been provided. In order to have good performance of the service, waste
disposal is included to the proponent’s business.

Management Feasibility

Our business’s form of ownership is through partnership. Three (3) partners

equally distributed monitory equal capital. The owners will be the managing partners
and hired cashier to assist and accommodate customers.

Financial Feasibility

Fund needed in order to operate and run this business will be provided according
to the partner’s contribution. Profit and loss shall be distributed to the partners
equally.
Socio-economic Feasibility

The business does not only operate solely, it is also giving benefits to the
employee before and during the operation. Government is also given a benefit
through tax and to be used especially for another public purposes.
General Conclusion

The purpose of this research was to identify effective strategies for dealing with
the business needed data and information, identify the target market, the sale and
production progress and process. Based on all the analysis combined, it can be
concluded that there is a high demand of fresh oyster mushroom. The amount of
studying this kind of propagating or cultivating is worth exploring.

Chapter II

Market Study
 There around 2000 species of mushrooms around the world, however only 25 are
edible and safe to eat. Some of species are Paddy Straw Mushroom, Oyster Mushroom,
Shiitake Mushroom, Ear Fungi Mushroom and Yellowish Oyster Mushroom. However,
oyster mushrooms (PLEUROTUS OSTREATUS) are the most evident cultured
mushroom grown. It is commonly used as an ingredient in cooking dishes such as pancit,
pakbet, and soup. However, technology nowadays enables it to be used a main ingredient
in a different type of cooking and as a substitute of meat.

Food is one of the basic needs of every family in the world so people are expected
to buy it but at right price. Since Cultured Oyster Mushroom will only be within the area
of Pagadian City, the residents of the city will be the target market of this business and
also, we considered the main target market of this business is Santa Lucia (Bagsakan),
Pagadian City, which is the focal point for the distribution of the goods and services. We
choose this area because of the number of population and as a result, households usually
buy their fresh vegetables here because apart from the fact that almost everything you
need in the kitchen is here, the vegetables sold in this area are usually fresh including our
Oyster Mushroom.

This chapter environ the demand, supply, demand and supply analysis, projected
market share, projected revenue and marketing strategies and programs of Cultured
Oyster Mushrooms.

A. STUDY OF DEMAND

Target Market
 Mushroom Farming businesses are too quiet nowadays yet it is one of the very
successful businesses circulating on our economy. Our business is selling and
manufacturing of Oyster Mushroom (farming) we are planning to sell its product here in
the city of Pagadian. Thus, the target market for this product are the convenience stores
within the city specifically at “Bagsakan and agora wet market”.

The proponents decided to conducted a survey of convenience stores “Bagsakan”

in Pagadian City, finding that 100% of them, or 5 store, are currently selling oyster
mushroom.
In Pagadian city the population according to the census, it has a 210,452 total
population. It is politically subdivided into 54 barangays of which 19 of these are
classified as urban. The household population of Pagadian in the 2015 Census was
197,531 broken down into 41,344 households or an average of 4.78 members per
household according to the (Philippines Statistics Authority).

Year Barangay Population Household Population

2021 Pagadian City 210,452 41,344
Table 1.1 Current Population of Pagadian City
Source: Philippines Statistical Authority

Our business offers only these edible fungi which is one of the exquisite
mushrooms that can be eaten and purely organic and available to all customers in
Pagadian City. Since our business only sell fresh oyster mushroom, it only used the
average price from all the prices of vegetables to get the projected revenue of the
business for academic purposes only.
The following tables show the response of the households in the chosen Barangay
in Pagadian City where we conducted our survey.

Figure 1. The following sets of data were gathered during the survey

How much is your monthly income?

6% 2%
33%

59%

5,000 & below 6,000 to 9,000 10,000 to 14,000 15,000 and above

Chart 1.1

Chart 1.1 shows the monthly income of the households in the chosen barangay in
Pagadian City. 33% of the total household surveyed said that their monthly income is
5,000 pesos and below, 59% between 6,000 to 9,000 pesos, 6% with 10,000 up to 14,000
pesos monthly income and 2% having a monthly income of 15,000 above.

Figure 1.2 Data were gathered during the survey

 How many kilos of fresh Oyster Muchroom do your family
consumed?
9% 18%
11%

1 2

3 4

62%

Chart 1.2

Chart 1.2 Indicates the per grams of Oyster Mushroom purchased by every household
each day, 62% said that they purchase 500g of oyster mushroom, 18% take 1000g, 11%
with 2000g, and 9% of household purchased 3000g and above of oyster mushroom daily.

Although most of the household’s income ranges from 6,000 to 9,000 pesos only, they
will still prefer to consume 500g of fresh oyster mushroom per day.

Figure 1.3 Data were gathered during the survey

How much do you spend based on your daily fresh oyster

mushroom consumption?
14%
24%

18%

35%

30.00 - 50.00 51.00 - 100.00 101.00 - 150.00 151.00 - 200.00

Chart 1.3

Chart 1.3 It shows the expenses of the households in the chosen Barangay in Pagadian
City, incurred for purchasing Fresh Oyster Mushroom for their daily consumption. The
 largest of which is 35% said the they spend 50.00 to 75.00, 24% said that they spend
75.00 to 100.00, 18% state that they spend 100.00 to 125.00 pesos and lastly, they state
the amount of 125.00 to 150 .00 pesos equivalent to 14% of the daily purchased fresh
oyster mushroom.

Figure 1. 4 Data were gathered during the survey

Where do you often buy fresh oyster mushroom?

43%
54%

3%
Santa Lucia Super Market
Agora Open-Air Maket Small Store

Chart 1.4

Chapter 1.4 Depicts the choice of the household in the barangay as to where they mostly
buy fresh oyster mushroom for their daily vegetable’s consumption. 54% stated that they
purchased fresh oyster mushroom in the Santa Lucia “Bagsakan” because they find it
more accessible and cheaper, 43% said that they purchase fresh oyster mushroom in the
Agora Open-Air Market, 3% said they sometimes buy it in the Super Market and the
remaining 0% has not yet been able to buy in small shops.

Figure 1.5 Data were gathered during the survey

 How do you often buy Oyster Mushroom
9%
26%

65%

Daily Twice a week Once a week

Chart 1.5

Chapter 1.5 It shows how often people buy oyster mushrooms. The largest of which is
65% that they buy Oyster Mushroom in twice a week, 26% said that they only buy oyster
mushroom daily for their business purposes and 9% said that they buy oyster mushroom
once a week.

Figure 1.6 Data were gathered during the survey

Are you willing to purchase mushroom if we will estab-

lish a "FRESH OYSTER MUSHROOM" near at you?
6%

94%

Yes No
Chart 1.6
Chart 1.6 It shows the percentages of the households that responded that they are willing
to purchase fresh oyster mushroom if our business would establish one near at them, 94%
said that they will surely purchase the products if the price is right and the items are fresh
as new. The remaining 4% is actually said no since they have another source of oyster
mushroom.

Historical Demand
The demand can be gathered only with the chosen barangay districts in the
Pagadian City and the number of people in said area in a form of conducting a sampling
survey for the demand of fresh oyster mushroom. The proponents have gathered the
following:

Year Barangay Population Household Population

2021 Pagadian City 210,452 41,344
Table 1. Current Population of Pagadian City
Source: Philippines Statistical Authority (PSA)

Year 2017 2018 2019 2020 2021

Population 37,281 38,291 39,102 40,851 41,344
Table 2. Household Population of Pagadian City for the past 5 years
Source: Philippines Statistical Authority (PSA)

Year 2022 2023 2024 2025 2026

Household 41,832 42,326 42,826 43,332 43,844
Table 3. Household Population of Barangay Santa Lucia for the next 5 years
Table 3. Shows the household population in Pagadian City. This is calculated by adding
the increasing growth rate of 1.18% from the base year of 2021 and adding it to the
current year. This will be the total target population of the household in Pagadian City.

Average
Year Household People who Actual annual usage Historical
Population purchase Customers (One a week) Demand
2017 37,281 80% 29,825 40 1,193,000

2018 38,291 80% 30,633 40 1,225,320

2019 39,102 80% 31,282 40 1,251,280

2020 40,851 80% 32,680 40 1,307,200

2021 41,344 80% 33,076 40 1,323,040

TOTAL 196,869 6,299,840

Table 4

Past Demand Pattern

The historical demand of the mushroom purchaser is steady growing, as people

nowadays also relies on nutritious food, because food is one of the essential needs of
people, the number of consumers of vegetables specific Oyster Mushroom is increasing
because it is one of the foods highs in vitamins that every family needs in strengthening
the immune systems especially, we are still in the midst of the threat of the covid-19
pandemic and also it is becoming a daily nutritious food for the people. It shows that
PAGADIANONS wants to explore new rare and nutritious foods delicacies.

Base on the survey result 6.6% equivalent to 100 respondents answered that they
want Fresh Oyster Mushroom and its means that this business will definitely expand.

The historical demand of the business over 5 years, the market of Fresh Oyster
Mushroom has increased. It supported by the household in Pagadian City, restaurant’s
businesses, adults and more those people who wants to taste and to eat nutritious foods.
Projected Demand
The projected population for 2022-2026 computed by 6,125, by the year 2020
populations subtract to the year 2016. And other relevant data presented are based on the
computation from obtained historical data calculation.

A = Yn – Yi
N–1

N = 41,344 – 37,281= 4,063

5–1 =4

= 1,016

6,299,840

= 1,256,968

Year A Yi – 1 YC

2022 1,016 + 41,344 = 42,360

2023 1,016 + 42,360 = 87,141

2024 1,016 + 87,141 = 88,157

2025 1,016 + 88,157 = 89,173

2026 1,016 + 89,173 = 90,189

Table 5
EVALUATION OF PROJECTED DEMAND
The projected demand of Fresh Oyster Mushroom was determined.
B. STUDY OF SUPPLY
 Competitors

Fresh Oyster Mushroom is no different for the few who have its business. But
many can still enjoy it because food and vegetables are bought for extra nutrition for our
families. This is not the first product to be seen on the market so it is likely that there are
existing sellers providing the same services. Therefore, the proponents concluded that
there is direct competitor for the said business that sell fresh oyster mushroom. Although
there are such existing direct competitors, the people will still buy and enjoy vegetables
because they are one of the basic needs of every family. To solve these issues of having a
lot of competitors, the proponents devise its survey questionnaire that will answer
specifically to the demand of project. Like asking if someone will build a fresh oyster
mushroom market near you are you willing to buy the product and 94% answer it with
yes, it shows on the Chart 1.5, the proponents thought it was one of the solutions for
direct competitors. Let's be close to people.

 Historical Supply

COMPETITORS ANNUAL 2017 2018 2019 2020 2021

INCREASE
Bagsakan Store 600 11,100 12,100 12,200 11,200 12,500

Agora wet market 700 10,000 13,450 11,500 15,100 14,310

Santiago’s 550 10,200 10,400 11,200 11,250 13,100

Vegetables Store

Modern Kitchen 600 10,500 10,960 10,212 11,500 12,000

May’s Gulayan 800 10,000 10,600 10,190 11,000 10,000

51,800 57,510 55,302 60,050 61,910

Table 6
PROJECTED SUPPLY
The projected supply for 2022-2026 is calculated by getting total amount of the
year 2021 which is 61,910 subtracted to the year 2017 which is 51,800 and the result the
is 10,110 divided by 4 which 2,527.5

Yn – Yi

N–1

= 2,257.5

YEAR 2022 2023 2024 2025 2026

PROJECTED 2,527.5 + 2,527.5 + 2,527.5 + 2,527.5 + 2,527.5 +

DEMAND 61,910 = 64,437.5 = 66,965= 69,492.5= 72,020 =
64,437.5 66,965 69,492.5 72,020 74,547.5
PROJECTED 2,527.5 + 2,527.5 + 2,527.5 + 2,527.5 + 2,527 .5 +
SUPPLY 60,200.2 = 62,727. = 65,255.2 67,782.7 = 70,310.2 =
62,727.7 65,255.2 =67,782.7 70,310.2 72,837.7
Table 7

Evaluation of projected supply

The projected supply is calculated through from interview result conducted to
online survey using the google forms data and the rate of business to solve the matter and
come up of with projected supply.

C. DEMAND – SUPPLY ANALYSIS

 Demand Gap

Demand and Supply Gap Analysis is very essential in terms of analyzing current
market it is because it shows some of the market deficiencies or supply gap in order to
assess of how much product that can still serve or sell to meet the satisfaction of demand.
 The gap is computed by subtracting projected demand from projected supply. The table
below shows the possible market for the next five (5) years.

Year 2022 2023 2024 2025 2026

Demand 64,437.5 66,965 69,492.5 72,020 74,547.5

Supply 62,727.7 65,255.2 67,782.7 70,310.2 72,837.7

Gap 1,709.8 1,709.8 1,710.5 1,709.8 1,709.8

Table 8

 Market Share

The demand share can be projected by analyzing the demand and supply gap data.
However due to the result the capacity cannot accommodate all the demand gaps. Base
on capacity 2,257.5 add to the year 2021, which come up with projected demand.

D. PRICE STUDY
The price of the fresh oyster mushroom will vary on the total cost sustained by the
business upon the management and operation. Cost of which is minimized to the probable
extend to attain the goal of which is serving customers and purchaser at the very
affordable price possible. The proponents used the average price of (50php) per
500grams of fresh oyster mushroom for the purpose of this study only.

E. MARKETING PROGRAM
Our business is about breeding fresh oyster mushrooms to be sold cheaply for
consumers. Our goal is to help eradicate hunger in some of our citizens to buy cheap
foods in the right amount with lots of vitamins and nutrients available and one of this are
fresh oyster mushrooms that can provide the extra nutrients needed to boost our immune
systems.
F. MARKET STRATEGIES AND PROGRAMS

 Product Service Strategy

The proponents aim to help to produce a fungi variety which is safe to be
consume and this is oyster mushroom. The fresh oyster mushroom that is sold will be
fresh, good quality, the texture is not damp or slimy and not rotten or softened other parts
that can damage or affect the taste of vegetables. It should be a shade of light gray or
brown, although color varies depending on variety. The products offered will be a high
quality yet affordable for everyone. The proponents will assure that there will be no
chemical because it is a pure organic mushroom. The weighing scale used shall be
monitored daily and regularly to assure customer satisfaction.

The proponents will also incorporate diet-friendly mushroom however,

technology nowadays enables it to be used a main ingredient in a different type of
cooking and dishes or as a substitute in making burger and chicharron, most especially
those with health problems. This mushroom promotes heart and immune system health,
encourage healthy blood sugar control, and provide antioxidant and anti-inflammatory
effects. This is one of the useful information so that consumers can enjoy and to buy
daily this product even more. Aside from being eco-friendly and pure organic it is sold in
a very affordable price.

 Price Strategy
Fresh oyster mushroom will offer a service where the price is low yet a quality
and a very nutritious one that every household or consumer can afford to buy it daily. At
the prices per gram of fresh oyster mushrooms are sure to be worth every purchase. With
fresh oyster mushroom, everyone can enjoy it and be a healthier one leading to our bodies
becoming more active in activities. The pricing of this vegetables, are very competitive
with the existing market today. Fresh oyster mushroom is significantly more economical
that what is being offered by the competitors, by advertising it in certain markets many
people will see and hear what health benefits are available so that more consumers will
be attracted to possibly buy these products.

 Promotion and advertising Strategy

This fresh oyster mushroom will be a new business here in Pagadian City, in
selling pure organic and no pesticides and harmful chemical that can possibly affect to
our health. Promotion and advertising will play a major role to the success of this
business, to build a recognition on the consumer and purchaser to gain their constancy.

To advertise this Fresh oyster mushroom to the Pagadian City markets, the
proponents will use a mix method of conventional and online promotion, social media
through Facebook, TikTok, flyers and leaflets, tarpaulins.

The proponent’s advertising will include also,

 Placing tarpaulins in areas like targeted Barangay & near at “Bagsakan” or wet
market in Pagadian City.

 Giving leaflets and flyers in crowded market areas.

 Give away printed shirts about fresh oyster mushroom to the tricycle drivers so
that more can be able to see it.

 Give away umbrellas and fan during events and special occasion in the Public of
Pagadian City.

 Give away some discount suki card during season time like Christmas and New
year.

 Give away calendars with printed Fresh Oyster Mushrooms annually.

 Place Strategy

Fresh oyster mushroom will cover all of the 54 barangays of Pagadian City
because it is the main target consumers. The distribution of the product includes the
transportation from Barangay Danlugan near at Alliance church where the breeding of
fresh oyster mushrooms is established and located. In case of fortuitous events, like
where the transportation of supplies to the market may be delayed the proponents will
extend more and extra effort to cope with the supply needed. The main target market
which is the “Bagsakan” in Santa Lucia Pagadian City, which is the focal point for the
distribution of the goods and services.

G. Conclusion on Market Study

The Market study showed that there is a demand on the Fresh oyster mushroom,
apart from those who are looking for cheap but a nutritious food for their family, the
existing supply was not sufficient to meet the demand. There is demand gap for the
current period and the projected periods to come. The expected price for the Fresh oyster
mushroom is ₱50.00 per 500grams. The marketing strategies to be adopted are both
conventional and new, the proponents have decided to advertise our product by means of
tarpaulin posting, flyers, printed shirts, fan, calendar and online broadcasting.
 Chapter III
Technical Study

This chapter study the Operational Concept in “Bagsakan” in Barangay Santa

Lucia, Pagadian City. This part also discusses the Product or Service Demand of this
business, Manufacturing or Service Process, Plant Capacity, Production Schedule, Plant
Location and Lay out, Machinery and Equipment, Building Structure and Other
Facilities, Waste Disposal System, Manufacturing Cost Requirements and Conclusion of
Technical Study.

A. Product or Service Demand

Fresh oyster mushroom is one of the most important food vegetables of the
developing world and the staple food of more than half of the world’s population. Fresh
oyster mushroom is a type of edible, mushroom that can be cultivated very fast. In spite
of its richness from a lot of nutrients and minerals, it is also an excellent source of several
vitamins, including niacin (providing 21% of your recommended daily intake),
riboflavin (18%), and pantothenic acid (11%). You'll also get smaller amounts of folate,
vitamin B6, and thiamin.

There around 2000 species of mushrooms around the world, however only 25 are
edible and safe to eat, but in the proponent’s business, only the Fresh oyster mushroom
are available to be displayed, because it is one of the easiest to reproduce and more able to
sell to people or consumer.

The proponents’ advocates will always ensure the preservation and reproduction
of fresh oyster mushroom cultures. That there must always be enough supply and it
can be delivered on time, right amount of supply to meet the demand for vegetables
including this fresh oyster mushroom in the markets specifically Pagadian City.
 There will also be a re-packed according to a 500grams per pack to 1kilogram.
The packed Fresh oyster mushroom will be transported to the storage and it is ready for
distribution to the different stores.

B. Manufacturing or Service Process

 Service Process
This is the service process of our business. The table below show the cycle and
process of the business operation.

Supplier

Store
Growing House

Packaging Cultivating & Growing

 Harvesting
 Manufacturing Process

1. Checking upon fruiting bags arrival

The Fruiting Bags are brought to the plant or growing house from Cagayan De
Oro and to be placed for inspection whether there is damage or none. Once inspection is
done, the fruiting bags of oyster mushrooms are to be placed to the divider rocks and will
be stacked horizontally.

2. Cultivation & Growing Monitoring

After the fruiting bags have been arranged and stacked properly inside the
growing house, this is the time where the monitoring of the room temperature, humidity
inside the growing house will begin.

 Watering

This is to visit the oysters mushroom fruiting bag 3x a day for a slight spray of
water to maintain the coolness that oyster mushrooms need to grow properly.

 Exhaust Fan Ventilation

Supply Ventilation is a mechanical system to ventilate and purify the air in the
room. The staff should check the increases of the pressure in the room, the system
will pushing fresh air in through the fan, forcing existing air to go out to balance
the internal pressure.

 Light in the room

The available light and darkness of the oyster mushrooms should be sufficient and
equal, the light should be on for 12 hours and 12 hours off. In case of a power
 outage, just open the door or tarpaulin so that the oyster mushrooms can still get
light.

3. Harvesting

After caring for and monitoring the growth of the oyster mushroom in the
growing house and already fruiting, the harvestings its fruits of the Oyster mushroom will
begin.

 Collecting
This is the collection of Oyster Mushroom fruits.

 Cleaning
It removes unwanted dirt to make it more attractive and pleasant to look at in the
eyes of consumers.

 Drying a bit
It is wiped gently on its surface so that it does not become too moist when
wrapped.

4. Packaging
This is where the repacking of harvested oyster mushrooms will be done
according to the weight of 250 grams to I kilogram per pack.

5. Ready to Deliver
After a long process it will be prepared by the staff to be delivered to the rented
store of the proponents in “Bagsakan”, Pagadian City.

C. Plant Capacity
 The proponents research about what’s mushroom will be needed in doing the
cultivation process. Most Oyster mushroom grow best in temperature between 55 F and
60 F, away from direct heat and drafts. Oyster mushroom grow better in cooler temperatures.
Growing mushrooms is good project in raining seasons, because many basements will get
too warm in the summer for ideal conditions. That why the proponents choose the
Barangay of Danlugan, Pagadian City, because this place is good for propagating
mushrooms. A crop of Oyster mushroom can be harvested three times of a months and will
start with new crop of oyster mushroom manifesting every 7-14 days during this time.

D. Production Schedule

In this study, Oyster mushroom will have a period cycle of two per year. This is
because of the life span of oyster mushroom fruiting bags which lasts for 5 to 6 months.
However, the proponents will assume that all fruiting bags will lasts for 6 months.
Table shows the production schedule as well as the farm activities done in those months.
It starts with ordering raw material such as fruiting bags with mycelium already that can
produce oyster mushroom for the 1st month after ordering fruiting bags in CDO and
stacking it according to the growing house design by the proponents. We designed the
placement of dividers so that the fruiting bags could be placed there. It is horizontally
contiguous. In this moment, the oyster mushroom will pass through incubation where the
humidity and temperature should be monitored. During incubation, light is not required,
however, make sure the bags have plenty of fresh air, in this process it should take
between 1 to 2 days that the oyster mushroom small grains appear, care must be taken
during this period so as not to spoil the germination quality of the mushroom. After 6 to 7 days
Oyster mushrooms can be harvested during these times. It is not advisable to keep the
mushroom in the fruiting bag for more than a week because it will wither and dry out and
can no longer be used.

Farm Activities Jan Fe Mar Ap May Jun Ju Aug Oc Nov Dec

b r l t
Ordering Fruiting
Bag
 Stacking from
CDO
Incubation

Harvesting

Table 9 Oyster Mushroom Production Schedule

E. Plant Location and Layout

The cultivation for propagating oyster mushroom is located at Barangay

Danlugan, near at Alliance Church Pagadian City. This area was chosen because of its
temperature and climatic conditions. It exhibits a type 1 climate which is very suitable in
growing oyster mushrooms.

Furthermore, it has a lower land price in Pagadian City amounting of ₱1,000.00

per square meter. Table shows the value of land which cost ₱200,000.00 pesos for the
200 square meters.

Size (sq.m) Cost (Php per sq.m) Total Cost

LAND 200 1000

₱200,000.00
Table 10
*Source of cost is from the conducted interview.

Layout of the growing house inside

T h i s i s t h e p i c t
Danlugan, near at Alliance Church Pagadian City where the fruiting bags of oyster
mushrooms are brought and cultivated. Sixty squares’ meters (60sq.) for the Fruiting Bag
Hanging Area, twelve squares’ meters (12sq.) for the Storage Room, twelve squares’
meters (12sq.) for the Inspection of Fruiting Bag, twelve squares’ meters (12sq.) for the
Employees Office, twelve squares’ meters (12sq.) for the Packaging Area.

The store of Fresh Oyster Mushroom will be established in Barangay Santa Lucia,
Pagadian City “BAGSAKAN”.

This is the FRESH OYSTER MUSHROOM plant and layout. It is a small store
design that maximizes space leads and provides more specific space inside. The Office
area with 25 square meters, 10 square meters for the Stockroom area, Storage room with
5 square meters and the Display area with a 60 square meters. The front side is glass wall
to make our product more visible to the purchaser or customer and also to secure the
room temperature that can long lasts the life span of the fresh oyster mushrooms. The
proponents decided to rent a store in Barangay Santa Lucia, Pagadian City.

F. Machinery and Equipment

Tools and Equipment in Items Description Cost Life

Growing House and in the Span
Rented Store in Bagsakan

Exhaust Ventilation Fan

This system will push ₱7,000 5 years
1pcs fresh air in through
the fan, removing
unwanted odors &
polluted in the air
forcing existing air to
go out to balance the
internal pressure.

Net 60 It is used to cover the 30 * 60 5 years

meters entire growing oyster
mushrooms to prevent ₱1,800
insects that can bring
disease to the growing
oyster mushrooms.

Steel Pipe 30pcs. This will serve to 45 * 30 10 years

attach the fruiting
bags by tying them ₱1,350
and connecting them
with ropes.
 3pcs It is used to sprinkle 500 * 3 5 years
3x a day on grown
oyster mushroom. ₱1,500

Sprayer

6pcs The light is one of the 288 * 6 5 years

necessities of oyster
mushroom in raising. ₱1,728

Fluorescent Lamp

3pcs Every area around the 46 * 3 5 years

growing house needs
to be cleaned so hand ₱138
washing is very
necessary.

Faucet
 60pcs Used to clean hands 45 * 60 -
before working on
tasks inside the oyster ₱2,700
mushroom growing
house,

Diswashing Liquid

2 pack In addition to hand ₱398 -

100pcs washing, it is used for
harvesting and
packing harvested
oyster mushroom.

Disposable Latex Gloves

6pcs It is used to carry 60 * 6 5 years

harvested oyster
mushrooms. ₱360

Basket
 10pcs A protective garment 33 * 10 5 years
should be worn over
the front of one’s ₱330
clothes and tied at the
back.

Apron

100pcs It is important to 1 pack -

always wear inside in
the growing house to ₱500
keep hair contained.

Hairnet

100pcs It is used to tape 25 * 100 -

packed oyster
mushroom harvested. ₱2,500

Tape
 50 pcs It is used in packing ₱3,250 -
per oyster mushrooms.
pack

50
packs

Disposable Plate Styro

5 Roll It is used to cover 219 * 5 -

packed oyster
mushrooms. ₱1,095

Cling Wrap

3pcs It is used in weighing 1870 * 3 5 years

oyster mushroom
₱5,610

Electric Weighing Scale

 10pcs It is used to carry 78 * 10 5 years
oyster mushroom to
be delivered in the 780
proponent’s store.

Basket

5 pcs This is the container 499 * 5 5 years

divider racks of the
oyster mushroom that ₱2,495
have been packed.

Storgae Room diveder racks

4 It is used to keep the 12,000 * 5 years

entire oyster 4
mushroom storage
room cool. ₱48,000

Storage Room Hanging

Conditioner
 It is used to fill or
12 pcs overlay Oyster 550 * 12 5 years
mushrooms while
inspecting and ₱6,600
checking for damage
to newly arrived
Fruiting bags, it is also
used to overlay
harvested oyster
mushrooms.

Steel Table

10 pcs It is used to seat the 220 * 10 5 years

workers properly
including the owners ₱2,100
or other people

Mono Block Chair

2 pcs It is used for cleaning 380 * 2 3 years

inside or outside the
growing house. ₱760

Clenaing Mop
 2 pcs It is used to maintain 80 * 2 3 years
cleanliness outside or
inside the growing ₱160
house.

8 pairs Used to keep the floor 239 * 8 5 years

clean inside the
growing house and not 1,912
infect the mushrooms
of diseases from the
outside

Waterproof Rainboots

2pcs This is a preparation ₱1,976 -

in case there is an
unexpected event like
fire.

Extinguisher Dry chemical

 2pcs Used to count fruiting ₱399 3 years
bags, harvested oyster
mushroom or money.

Calculator

1pcs It is used to save ₱15,027 5 years

important data of your
business and to record
every transaction that
takes place.

Comupter Set

1pcs It is used to print ₱4,500 5 years

important papers and
documents.

Printer

1pcs It is used by the ₱3,125 5 years

manager.

Office Manager Table

 1pcs It is used by the ₱550 5 years
manager.

Office Manager Chair

1pcs Folders and other ₱150 5 years

documents will be
placed here

Office 4 tire mesh Document

1pcs This is where ₱1,450 5 years

employees can sit in
case there is a
gathering or important
meeting.

Office Long Table

 8 pcs Employees chair and 350 * 8 5 years
other guests.
₱2,800

Employees Chairs

3 pcs Here you can put the 30 * 3 3 years

important date data on
raising Oyster ₱90
mushroom or another
important checklist.

Check List Board

2 Packs Used for listing, 30 * 2 -

writing and recording
important data ₱60

Ballpen
 3 pcs Used in cutting paper 58 * 3 5 years
or other things.
₱174

Scissors

5 Ream Office Supply 175 * 5 -

₱875

Bond Paper

10 pcs Lights throughout the 25 * 10 -

room and
surroundings. ₱250

Light Bulb

5 pcs To be placed outside 50 * 5 -

on the office or
growing house. ₱250

Outside Rag
 1pcs A cash register logs ₱4,448 3 years
transactions that occur
in your store, creating
a record of the money
coming in and going
out.

Cash Register

1pcs Apart from marketing ₱275 3 years

and selling, signage
serves a myriad of
functions. Its welcome
its customer and
purchaser.

Signage

100 pcs It is the eco-friendly 15 * 100 -

bag that holds the
products purchased by ₱1,500
the customers.

Eco Bag
 3pcs Here in the walking 21,000 * 5 years
display refrigerator, 3
fresh packed
vegetables can be ₱63,000
displayed.

Walking Vegetables Display

Refrigarator

1 It is used to be able to ₱800,000 10 years

deliver products.

Mitsubishi L-300

Total Machineries and ₱993,715.00

Equipment

Table 11

G. Building Structure and Other Facilities

The proponents propose that plant or growing house and rented store to be located
at Danlugan, near at Alliance Church, Pagadian City and the rented Store will be in
Bagsakan Pagadian City. The growing house is where the propagating and cultivating
process. It is composed by of the receiving arrival of fruiting bags from Cagayan De Oro
(CDO), cleaning, assorting, harvesting, packaging area, and loading area that delivered its
product to the rented store in Bagsakan, Pagadian City. The estimated useful life of the
growing house is 10 years.

Table below shows the buildings needed in oyster mushroom production. It also
shows the cost in creating them which was estimated by the proponents. All of the
building structures and facilities has an estimated life span of 10 years because all of the
materials in creating are the same in which hallow blocks, cements and steel will be used.

PROJECT TITLE: “ FRESH OYSTER MUSHROOM”

PROJECT LOCATION: “DANLUGAN, PAGADIAN CITY”
I
MASONRY WORKS

  Description Quantity Unit Unit Cost

Cost
1 Concrete 1040 pc 10.00 10,400
Hollow Block
#5
2 Sand 10 c 1,100.00 11,000
3 Portland 200 bag 280.00 56,000.00
Cement
4 10mm Ø 80 pc 107.00 8,560
Deformed Bar
5 12mm Ø 70 pc 150.00 10,500
Deformed Bar
6 Ga # 16 GI Tie 8 Kg 50.00 40
Wire
Sub-Total 96,500.00

II
 CONCRETE WORKS
Column Footing
Description Quantity Unit Unit Cost
Cost
1 Washed 5 m³ 1,200.00 6,000.00
Gravel
2 Washed Sand 5 m³ 1,100.00 5,500.00
3 Portland 25 bag 260.00 6,500.00
Cement
4 12mm Ø 16 pcs 153.00 2,448.00.
Deformed Bar
5 Ga # 16 GI Tie 2 kg 65.00 130.00
Wire
Sub-Total 20,578.00

COLUMN
Description Quantity Unit Unit Cost
Cost
1 1/4" x 4'x8' 10 pcs 250.00 2,500.00
Ordinary
Plywood
2 2"x 2"x 12' 30 pcs 125.00 3,750.00
Coco Lumber
3 2"x 3"x 12' 40 pcs 180.00 7,200.00
Coco Lumber
4 Common 20 kg 58.00 1,160.00
Wood Nails #
3
5 Common 9 kg 58.00 522.00
Wood Nails #
 2
6 Ga # 16 GI Tie 10 kg 65.00 650.00
Wire
Sub-Total ₱15,782

BEAM
Description Quantity Unit Unit Cost
Cost
1 Gravel 5 m³ 1,200.00 6,000.00
2 Sand 4.1 m³ 1,100.00 4,510.00
3 Portland 20 bag 260.00 5,200.00
Cement
4 10mm Ø 15 pcs 107.00 1,605.00
Deformed Bar
5 12mm Ø 27 pcs 153.00 4,131.00
Deformed Bar
6 1/4" x 4'x8' 20 pcs 280.00 5,600.00
Ordinary
Plywood
7 2"x 2"x 12' 20 pcs 56.00 1,120.00
Coco Lumber
8 2"x 3"x 12' 70 pcs 84.00 5,880
Coco Lumber
9 Common 8 kg 58.00 464.00
Wood Nails #
4
10 Common 7 kg 58.00 406.00
Wood Nails #
3
11 Common 6 kg 58.00 348.00
Wood Nails #
 2
12 Ga # 16 GI Tie 8 kg 65.00 520.00
Wire
Sub-Total ₱35,784.00

SLAB
Description Quantity Unit Unit Cost
Cost
1 Gravel 3 m³ 1,200.00 3,600.00
2 Sand 8 m³ 1,100.00 8,800.00
3 Portland 40 bag 260.00 10,400.00
Cement
4 10mm Ø 30 pcs 107.00 3,210.00
Deformed Bar
5 Ga # 16 GI Tie 5 kg 65.00 325.00
Wire
Sub- Total 26,335.00

WALL
FOOTING
Description Quantity Unit Unit Cost
Cost

1 Gravel 6 m³ 1,200.00 7,200.00

2 Sand 9 m³ 1,100.00 9,900.00
3 Portland 15 bag 260.00 3,900.00
Cement
4 10mm Ø 10 pcs 107.00 1,070.00
Deformed Bar
5 12mm Ø 20 pcs 153.00 3,060.00
Deformed Bar
 6 Ga # 16 GI Tie 7 kg 65.00 455.00
Wire
Sub-Total ₱25,585.00

III
CEILING WORKS

Description Quantity Unit Unit Cost

Cost
1 Double 35 pcs 115.00 4,025.00
Furring
2 Wall Angle 25 pcs 90.00 2,250.00
3 Hard flex 4' x 35 pcs 390.00 13,650.00
8'
4 Blind Rivets 5 box 250.00 1,250.00
5 Concrete Nails 5 pcs 80.00 400.00
#1
Sub- Total ₱21,575.00

IV
PAINTING WORKS

Description Quantity Unit Unit Cost

Cost
1 Flat Wall latex 15 gal 385.00 5,775
Paint, White
2 Concrete 15 gal 450.00 6,750
Primer White
3 Concrete 5 gal 175.00 875
 Neutralizer
4 Acrylic Gloss 9 gal 400.00 3,600
Latex Paint
5 Lacquer 7 gal 408.00 2,856
Thinner
6 Sand Paper 200 pcs 18.00 3,600
(assorted)
7 Palita 7 pair 40.00 280
8 Skim Coat 15 bags 250.00 3,750
9 Accessories 2 lot 2,000.00 4,000
Sub-Total ₱31,486.00

V
ROOFING WORKS
Description Quantity Unit Unit Cost
Cost
1 Hi - Rib 1030 115 m² 430.00 49,450
Color Foor
2 LC 100 x 50 x 35 pcs 515.00 18,025
15 x 1.2
Purlins
3 1 1/2'' x 1 1/2'' 30 pcs 575.00 17,250
X 1/4 x 6.0
Angle Bar
4 1'' x 3/16'' X 16 pcs 130.00 2,080
1/4 x 6.0 Flat
Bar
5 Red Lead 5 gal 518.00 2,590
Primer
6 Fujie Welding 15 box 280.00 4,200
 Rod
7 24'' Box Gutter 6 L 410.00 2,460
0.40mm
8 24'' End 15 L 410.00 6,150
Flashing
0.40mm
9 12'' Facial 18 L 250.00 4,500
Cover 0.40mm
10 Tec screw 240 pcs 1.60 384
Steel
11 Touch up Paint 3 can 500.00 1,500
12 Gutter Seal 4 can 360.00 1,440
13 Blind Revits 95 pcs 0.75 7,125
14 Paint Brush # 6 pcs 50.00 300
3
15 Paint Brush # 5 pcs 20.00 100
2
16 Accessories 1 lot 2,000.00 2,000
Sub- Total ₱112,500.2
5

VI
CARPENT WORKS

Description Quantity Unit Unit Cost

Cost
1 PVC Door 5 set 2,700.00 13,500
(0.60m x
2.10m)
2 Accessories 1 lot 2,000.00 2,000
Sub- Total ₱15,500.00

VIII
GLASS WORKS

Description Quantity Unit Unit Cost

Cost
1 Sliding Glass 6 set 15,000.0 90,000
Door (1.20m x 0
2.10m)
2 Awning Glass 2 set 1,600.00 3,200
Window
(0.60m x
0.60m)
3 Double Swing 2 set 12,000.0 24,000
Glass Door 0
(1.20mx2.10m
)
4 12mm thk. 26 sq. 6,700.00 174,200
Clear
Tempered
Glass Wall
5 Accessories 1 lot 2,000.00 2,000
Sub- Total ₱293,400.0
0

VIII
TILE WORKS
Description Quantity Unit Unit Cost
 Cost
1 60 cm X 60cm   12   31,200
Ceramic Floor 260 pcs 0.00
Tiles
2 30 cm x 30 cm 37 pcs     2,035
Ceramic 55.00
Glazed Tiles
3 20 cm x 20 cm 40 pcs     1,360
Ceramic 34.00
Glazed Tiles
4 Granite Slab 1 pcs   15,0   15,000
00.00
5 Tile Adhesive 15 bags   2   4,200
80.00
6 Portland 10 bags   2   2,500
Cement 50.00
7 Tile Trim 11 bags   1   1,265
15.00
8 Tile Grout 3 pack     195
65.00
9 Sand 2 m³   1,1   2,200
00.00
10 Accessories 2 lot   2,0   4,000
00.00
          ₱63,955
Sub- Total
               
IX
PLUMBING WORKS
  Description Quantity Unit   Unit   Cost
 Cost
1 Water Closet 1 set 5,2 5,200
00.00
2 Kitchen Sink 2 set   6   1,280
40.00
3 Lavatory 1 set   1,3   1,320
20.00
4 Floor Drain #4 2 pcs     120
60.00
5 Toilet Paper 1 pcs   1   180
Holder 80.00
6 Soap Holder 1 pcs   1   160
60.00
7 100 mm Ø 8 pcs   4   3,760
PVC Sanitary 70.00
Pipe
8 50 mm Ø PVC 5 pcs   2   1,100
Sanitary Pipe 20.00
9 12 mm Ø 10 pcs   1   1,800
uPVC Pipe 80.00
10 12 mm Faucet 3 pcs   1   570
90.00
11 Fittings 1 lot   2,0   2,000
00.00
Sub- Total ₱17,490
               
X
ELECTRICAL WORKS

Description Quantity Unit Unit Cost

Cost
1 # 06 AWG 130 m Ᵽ 20.00 2,600
DUPLEX
WIRE
2 # 2.0 mm² 2 ROL 2,045.00 4,090
THHN / L
COPPER
WIRE
3 # 3.5 mm² 1 ROL 2,995.00 2,995
THHN / L
COPPER
WIRE
4 # 5.5 mm² 1 ROL 4,775.00 4,775
THHN / L
COPPER
WIRE
5 # 8.0 mm² 17 m 57.00 969
THHN /
COPPER
WIRE
6 Pin Light 15 set 295.00 4,425
7 Wall Lamp 6 set 380.00 2,280
8 4 Branches 3 set 1,350.00 4,050
Panel Board
9 2P, 250V, 15 1 pcs 250.00 250
AT Circuit
Breaker
10 2P, 250V, 60 1 pcs 520.00 520
AT Circuit
Breaker
13 250V, 30A, 10 pcs 75.00 750
SWITCH
 (SINGLE)
14 2" X 4" Utility 6 pcs 25.00 150
Box
15 Junction Box 10 pcs 35.00 350
16 12 mm Ø PVC 5 pcs 62.00 310
PIPE
17 18 mm Ø PVC 3 pcs 85.00 255
PIPE
18 12 mm Ø 1 roll 580.00 580
MOLDFLEX
19 Accessories 1 lot 2,000.00 2,000
Sub- Total ₱34,509.00

OVER ALL MATERIALS TOTAL ₱693,901.25

TOTAL LABOR ₱140,640.00
GRAND TOTAL ₱1,043,901.25
Table 12
In this figure, the layout for the farm, buildings and other facilities. The growth or
fruiting house has the largest space occupied. This building needed because fruiting bags
that produce Oyster mushroom are placed in this building. The material used in creating
the growing are blackout trapal, cement to ensure that the building will last for 10 years.
The storage room is needed whenever the harvesting time is happening. The processing
area is the area where inoculation is done or where seeding of fruiting bag is done. The
process, incubation and laboratory are close to each other because these areas require
sanitation. Sanitation play’s a big part in propagating oyster mushroom for production
because oyster mushroom is perishable. Lastly, the office, storage room and waste
disposal room clustered together because these buildings are not needed always in the
farm production.
H. Waste Disposal System
Trash Bins will be placed in the office, outside of the storage, others building &
facilities and also in the store. Garbage wastes will be segregated according to the
BIODEGRADABLE & NON- BIODEGRADABLE. If the bins will be full, the garbage
collector shall collect and transfer to the Eco-friendly trash bags, so it will be composting
and to be used in other plants fertilizer.

Brooms and dustpans will be placed in their proper storage if not in use. The
personnel shall sweep the floor, clean the working area, monitoring the cleanliness of the
laboratory and the storage room before and after the store, other facilities and office
opens to durably ensure the cleanliness.

I. Conclusion of Technical Study

The project is feasible in terms of technical aspect. The purchaser or costumers

needed for this product and it is existing and available. The per grams of fresh oyster
mushroom is very affordable to every household in the people of Pagadian City. Through
time the percent of demand of this product will be increasing capacity little by little until
the whole Pagadian City will be covered and can lead of for the extension to other places.
The production needs maintenance to preserve its performance in propagating or
breeding oyster mushroom in order to meet the demand of this product to the consumers
and to make the customers satisfied. The more the risk the more the profit, more satisfied
customers and purchaser, the more the profit.
 Chapter IV
Management Study

Management study discusses the form of business from the business organization,
Internal Structure, Staffing Requirements, Compensation & other Benefits, Project
Schedule and lastly the conclusion of the Management Study.

A. Business Organization
 Type of Business
Our business is a kind of partnership business this is according to the proponents’
decisions. The company requires additional resources to cover for losses, the business
will be a general partnership in which members will contribute personal property in
addition to their investment. Our business is a kind of selling and breeding oyster
mushrooms by ordering fruiting bags from Cagayan De Oro (CDO). Proponents
encourage people to buy it because there are so many great benefits which can be
obtained from consuming oyster mushrooms. Besides from its very nutritious one it is
also affordable to buy for some who are looking for the low-price merchandise yet
very worth buying. After it is cultivated and harvested at the right time, it can be
delivered to designated places to be delivered and displayed in various stores.

 Capital Requirement
The partners are to contribute equal share in the capital with the managing partner
bringing in their expertise in the field.

Incorporators Capital Capital Profit and Total Investment

Investment Credit Loss Ratio
Saguban, Donna Rose ₱2,000,000.00 ₱2,000,000.00 20% ₱2,000,000.00
Bazar, Diana ₱2,000,000.00 ₱2,000,000.00 20% ₱2,000,000.00
Lamban, Kathy ₱2,000,000.00 ₱2,000,000.00 20% ₱2,000,000.00
TOTAL ₱6,000.000.00
Table 13

B. Internal Structure

 Organizational Chart

Manager - Owner

Cashier Sales Staff Production Staff

Driver Delivery Labourer

The following is the required labor for operation of the proponent’s business.

Employees Required number of workers

Manager – Owner 1
Cashier 1
Sales Staff 1
Production Staff 5
Driver 1
Laborer (on call) 10
 TOTAL 19 PERSONS
Table 14 Shows the required staff in operation

C. Staffing Requirements
 Manpower Requirements & Job Description

Job Title No. of Job Description Job Qualification

Employees
Manager - 1 Head of the business,
Owner responsible for running the
business plans & decisions,
also checks on the business’
inventory and daily sales to
monthly and yearly total
sales record.
Cashier 1 Cashiers are usually  Must be 20- 30
responsible for receiving years old.
payment by cash, check,  Work experience
credit cards, vouchers, or as a Retail
automatic debits. The also Cashier or in a
count money in cash drawers similar role in
at the beginning and end of sales.
their shifts to ensure that  Basic PC
amounts are correct and that knowledge.
there is adequate change.  Familiarity with
electronic
equipment, like
 cash register and
POS.
 Good math skills.
 Strong
communication
and time
management
skills.
 Customer
satisfaction-
oriented.
 High school
degree.

Sale Staff 1 Responsible for greeting Must be 18-30 yrs. Old,

customers, helping them find must have Barangay &
items in the store, and Police clearance, at least
ringing up purchases. high school graduate &
most especially must
have patience on
entertaining the
customers.
Production 5 A Production Staff is  High school
Staff responsible for feeding raw diploma/GED.
materials into the pointed  Previous
equipment, assembling experience
goods on production lines, working in a
and monitoring the process. factory is
In addition, they carry out beneficial.
basic quality checks such as
 Experience
testing of product or
operating
 packaging before shipping manufacturing
by adequately storing all machinery.
necessary supplies.  Able to work as
part of a team.
 Good
communication
skills.

Delivery 1 Delivery Driver is an entry- Must 30-40 yrs. Old.

Driver level job. It is the role Must have a professional
responsible for delivering driver’s license and must
various items to different have at least a year of
addresses as assigned. It also driving experience.
involves tasks like collecting
payments whenever
necessary and maintaining a
log of all the deliveries
On call 10 On call perform manual tasks Must 18 – 40 yrs. Old,
such as unloading and bring  Ability to do
packages of oyster physical labor
mushrooms from CDO to the and other
growing house in Danlugan. strenuous
They will only be needed physical tasks.
twice a year.  Ability to work in
all weather.
 Workers must be
punctual and
reliable.

Table 15
 Recruitment & Training Program

Recruitment training is essential to involve the newly appointed employees in

their current job positions. Training helps to familiarize new staff with the new work
environment, work culture and company objectives.

In planning to recruit people to meet the demand for workers, the proponents
decided to make flyers or post a hiring Job for the Fresh oyster mushroom vacancy
position.

Fresh oyster mushroom is a business in dealing with propagating, cultivating and

selling the products to the designated markets. This business relies on its quality of
delivering good products to the consumer, the services emphasize the skills of how
the staff & production team maintaining the management to be able to produce the
best & high quality yet affordable prices for the consumers. The management staff
must be always updated on the latest time of when they start propagating the 1 st step
on cultivating oyster mushroom and monitoring its daily room temperature until the
harvesting time. The production staff shall be sent to seminars and training programs
necessary for the improvement of the business.

 Management & Police Regulation

The management will be strict on timeless of the employees. They must be on

time with their job and duties properly. Absences will be dealt with penalties or
deduction in their salary if not for a valid reason, no work no pay policy. Efficiency &
 effectiveness with perspective duties is up most important in their day-to-day routine
in the working place & office.

D. Compensation & Other Benefits

Below are the salaries & wages of the employees involved in the running business
operation. The amount is stated respectfully as per individual. It took the provision of
compensation to the current proper pay at today’s working hours.

General & Administrative

Position Persons Daily Weekly Basic Total 13th

Payment Payment Monthly Annual Month
(8 hours) (6days) Pay Pay
Sale Assistant 1 316 1,896 8,216.00 ₱98,592.00 8,216.00

Production Staff 5 316 1,896 8,216.00 ₱98,592.00 8,216.00

Delivery Driver 1 500 3,000 13,000.00 ₱156,000.00 13,000.00

Laborer (on call) 10 316 1,896 8,216.00 ₱98,592.00 8,216.00

TOTAL ₱1,448 ₱8,688 ₱37,648 ₱451,776.00 ₱37,648

Table 16

Total Benefits for employees

(Monthly contribution)
SSS Payable 2,610
Philhealth Payable 359
Pag-ibig Payable 261
Table 17

SSS, PAG-IBIG, & PHILHEALTH CONTRIBUTION

 (YEARLY CONTIBUTION)
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
SSS 31,320 31,320 31,320 31,320 31,320
PHILHEALTH 4,308 4,308 4,308 4,308 4,308
PAG-IBIG 3,132 3,132 3,132 3,132 3,132

TOTAL ₱38,757 ₱38,757 ₱38,757 ₱38,757 ₱38,757

Table 18
E. Project Schedule

Gantt Chart

Task Start Date Duration End Date

1 10- Jan. 90 19-Apr -20
2 05- Apr 36 11-May-21
3 9-May 19 31-Jun-21
4 1-Jun 150 30-July-21
5 1-Aug 14 14-Aug-21
6 1-Aug 14 14-Aug-21
7 1-Aug 45 14-Sept-21
8 15-Sept 9 23-Sept-21
9 24-Sept 8 31-Sept-21
10 1-Oct 1 1-Oct-21

 Gantt Chart

Week 1 2 3 4 1 2 3 4 1 2 3 4

Activity Month January February March

1. Searching for the Land -------------
2.Searching for the Store (rent) ------------
3. Securing Permits & Licenses -----------------
4. Hiring of staff & Personel --------------------
3. Purchase of Equipment & utensils --------------
4. Planning for ordering Fruiting Bag --------------
5. Implementation of raw materials --------------
6. Follow-up Checkup of the propagating mushroom ------------------
7. Follow-up Checkup for the room temperature --------------------

9. Advertising & Promotion in Season time -----------------

10. Start of Operation ---------------

Work Breakdown Structure

Task Number Activity Predecessor

1 Planning -
2 Purchase of Land 1
3 Acquisition of Business Permits 2
4 Construction of Building 3
5 Installation of Units 4
6 Recruitment 4
7 Purchase of Equipment 4
8 Installation of Equipment 7
9 Purchase of Raw Materials & Merchandise 5,6,7
10 Opening 9

 Pert Chart
 5

1 2 3 4 7 8 9 10

F. Conclusion of the Management Study

The business to be formed is a private corporation with 3 incorporators. The

business will employ a total of 9 employees namely the Owner or Manager, Cashier, Sale
Staff, Production Staff, Driver and Laborer. They are given bountiful right salary and
benefits to justify their performance and to compensate their commitment to the vision of
the business.
 Chapter V
Financial Study

A. Major Assumptions

 Income Statement

The method of reporting for the income statement is absorption costing.

 Market Share

The market share is based on the capacity of plant.

 Selling Price

₱50.00 price is set for every 500grams of Fresh oyster mushroom based
on the survey’s proponents conducted.
 Plant Capacity

The purchaser or customer of the Fresh oyster mushroom is based on the

household population in Barangay Santa Lucia, Pagadian City.

 Cost of Service

Direct Materials

The method used to account for materials is periodic inventory

system.

Raw Materials

The basis for computation of raw materials is the annual estimated

cost of attribute to the business operations.

 VAT
Since our projected annual gross sales of our business are expected to be
more that the Vat threshold of ₱500,000.00 estimated amount, this means that our
business is required to registers under Vat system. Under this we are engaged into
variable sales which means that we are required to collect 12% value added tax on
our sales from our customers and purchaser and that the same time avail input Vat
and deduct the same from our output Vat to get the Vat Payable.

 Inflation Rate

The inflation rate used is 6% based on the general average rate in the
Philippines.
 Salaries & Wages
Working Days: 29 days
The settlement of the salaries will be every 15 days, which is every 15 th and 30th
day of the month.

 Light & Water

Light & water system will be paid monthly & will be accounted as one
line item of UTILITIES EXPENSES together with other utilities.

 Office Supplies

This will be purchased on cash basis. All office supplies are expected to be
fully consume as of the end of the year.

 Provisions for Income Tax

Provisions for corporate Tax will be 30 th of the annual net income before
tax. Corporate taxes are paid every 15th day of April after each accounting period.

 Cash Revenue

All purchaser & customers will be cash sales.

 Account Receivables

All customers will pay the product for every single purchase.

 Employee Benefits

SSS, Philhealth, Pag-ibig are payable monthly and the 13th month pay will
be payable every in the end of the year.
  Cash in Bank

Cash on hand estimated fixed at ₱350,000.00 to meet monthly expenses,

the balance is deposited in the bank.

 Cash Dividends

Cash dividends of 200 per share for the first of 3 years of operation & 250
per share for the succeeding years will be declared at every end of the fiscal year.

B. Total Project Cost

FRESH OYSTER MUSHROOM

TOTAL PROJECT COST

ITEM DESCRIPTION COST TOTAL

Fixed Assets:

Land Purchase Price ₱200,000.00

Building Structure Fruiting Bag Hanging Area

Harvested Storage Room
(Growing House) Inspection Fruiting Bag
Area
Packaging Area
Employees Office
(Labor) ₱1,043,901.25

Total Fixed Cost ---------------- ₱3,043,901.25

----------------------------------
Pre-Operating Expenses:

Permit Business Permits & ₱25,000.00

Licenses
Advertising Expenses ₱15,000.00
Feasibility Expenses ₱6,000.00
Utilities Installation ₱20,000.00
Recruitment & training ₱25,000.00

Total Pre-Operating ----------------- ₱91,000.00

---------------------------------
Expenses Cost

Working Capital:
Salaries With 13th Monthly ₱451,776.00
Beneficiaries Contribution ₱38,757

Raw Materials (1,200pcs) Fruiting Bags (35.00) ₱42,000.00

Transportation - Vehicle Mitsubishi L300 ₱800,000.00

Machineries & Equipment - ₱193,715.00

Total Working Capital ---------------------------------- ----------------- ₱1,526,248.00

Cost:

Other Expense Electric Expense (8000 * ₱96,000.00

12) ₱6,000.00
Water Expense (500 * 12) ₱27,000.00
Delivery Van Gas (2300 * ₱12,000.00
12)
Generator Expense 1000 *
12 ₱141,000.00

TOTAL PROJECT ₱4,802,149.25

COST

C. Source of Financing
 Incorporators Capital Capital Profit and Total Investment
Investment Credit Loss Ratio
Saguban, Donna Rose ₱2,000,000.00 ₱2,000,000.00 20% ₱2,000,000.00
Bazar, Diana ₱2,000,000.00 ₱2,000,000.00 20% ₱2,000,000.00
Lamban, Kathy ₱2,000,000.00 ₱2,000,000.00 20% ₱2,000,000.00
TOTAL ₱6,000.000.00

The Capital requirement will mostly be provided by the incorporators. The

incorporators are to contribute equal share in the capital.

D. Financial Statements

INCOME STATEMENT

FRESH OYSTER MUSHROOM

Statement of Financial Performance
For The Year's End December 31, 2022-2026
           
  Year 1 Year 2 Year 3 Year 4 Year 5
Sales 3,221,875.00 3,348,250.00 3,374,625.00 3,601,000.00 3,727,375.00
Cost of Goods Sold 41,405.00 3,374,625.00 42,420.00 42,840.00 59,185.00
Gross Income 3,180,470.00 3,601,000.00 3,332,205.00 3,558,160.00 3,668,190.00
Operating Expenses   3,727,375.00      
Pre-operating Expenses 11,300.00        
SSS, Philhealth Pag-Ibig
77,550.90 77,550.90 77,550.90
Contribution 38,757.00 77,550.90
Salaries and Wages 298,832.00 298,832.00 298,832.00 298,832.00 298,832.00
Repairs and Maintenance          
Depreciation Expense 36,841.60 36,841.60 36,841.60 36,841.60 36,841.60
Permits and Licenses ₱25,000.00 ₱25,000.00 ₱25,000.00 ₱25,000.00 ₱25,000.00
Rent Expense 60,000.00 60,000.00 60,000.00 60,000.00 60,000.00
Utilities Expenses 20,000.00 20,000.00 20,000.00 20,000.00 20,000.00
Supplies Expense 34,079.10 35,121.92 36,175.58 37,260.85 38,378.67
Advertising Expenses 15,000.00 15,000.00 15,000.00 15,000.00 15,000.00
Total Operating Expenses 514,809.70 543,346.42 544,400.08 545,485.35 546,603.17
Income before taxes 2,665,660.30 3,057,653.58 2,787,804.92 3,012,674.65 3,121,586.83
Income Tax Expense 799,698.09 917,296.07 836,341.48 903,802.40 936,476.05
Net Income 1,865,962.21 2,140,357.51 1,951,463.45 2,108,872.26 2,185,110.78
 SALES

  Demand Cost Sales

50.0
Year 1 64,437.5 packs 0 3,221,875.00
50.0
Year 2 66,965 packs 0 3,348,250.00
50.0
Year 3 69,492.5 packs 0 3,374,625.00
50.0
Year 4 72,020 packs 0 3,601,000.00
50.0
Year 5 74,547.5 packs 0 3,727,375.00

OWNER’S EQUITY

FRESH OYSTER
MUSHROOM
Statement in Owner's
Equity
As of December 2022-
2026
Year 1 Year 2 Year 3 Year 4 Year 5

Bazar, Capital,
₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00
beg.
Lamban, Capital
₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00
beg.
Saguban, Capital,
₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00 ₱2,000,000.00
beg.
Add: Net Income 1,865,962.21 2,140,357.51 1,951,463.45 2,108,872.26 2,185,110.78
Total  
Less: Withdrawal
Bazar, Capital,
end. 1,190,743.24 1,202,985.84 1,216,081.98 1,229,170.75 1,748,136.09
Lamban, Capital
end.. 1,190,743.24 1,202,985.84 1,216,081.98 1229170.75 1,748,136.09
Saguban, Capital,
end.. 1,190,743.24 1,202,985.84 1,216,081.98 1,229,170.75 1,748,136.09
 FRESH OYSTER MUSHROOM
Statement of Financial Position
As of the year Dec. 31, 2022-2026
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5
ASSETS
Current assets
6,000,000.0 6,000,000.0
Cash 6,000,000.00 6,000,000.00 6,000,000.00 6,000,000.00
0 0
store and office supplies 100,371.00 100,371.00 100,371.00 100,371.00 100,371.00 43,719.00
Raw Materials,
₱42,000.00 ₱42,000.00 ₱42,000.00 ₱42,000.00 ₱42,000.00
Inventory ₱42,000.00
Pre-operating Expense 91,000.00 91,000.00 91,000.00 91,000.00 91,000.00 91,000.00
6,191,371.0 6,191,371.0
Total Current Assets 6,191,371.00 6,191,371.00 6,191,371.00 6,134,719.00
0 0

Non-Current Assets
Land 200,000 200,000.00 200,000.00 200,000.00 200,000.00 200,000.00
Building 350,000.00 332,500.00 315,000.00 956,877.90 904,673.80 852,469.70
Furniture & fixtures 129,533.00 129,533.00 129,533.00 129,533.00 129,533.00 129,533.00
Machinery and
193,715.00 193,715.00
Equipment 193,715.00 193,715.00 193,715.00 193,715.00
Delivery Truck 800,000.00 800,000.00 800,000.00 800,000.00 800,000.00 800,000.00
Total Non-Current 1,638,248.0 2,227,921.8
1,655,748.00 2,280,125.90 2,175,717.70
Assets 0 0
7,829,619.0 8,419,292.8
Total Assets 6,191,371.00 7,847,119.00 8,471,496.90 8,803,568.25
0 0
Liabilities & Partners'
Equity:
Current Liability
Partners' Equity
1,202,985.8 1,229,170.7
Bazar, Capital
1,190,743.24 4 1,216,081.98 5 1,748,136.09
1,202,985.8
Lamban, Capital 1,190,743.24 4 1,216,081.98 1229170.75 1,748,136.09
1,202,985.8 1,229,170.7
Saguban, Capital 1,190,743.24 4 1,216,081.98 5 1,748,136.09
3,608,957.5 3,687,512.2
Total Liability & Equity
  3,572,229.72 2 3,648,245.94 5 5,244,408.27
4,220,661.4 4,731,780.5
6,191,371.00 4,274,889.28 8 4,823,250.96 5 3,559,159.98
Land 200,000
Building ₱1,043,901.25
Delivery truck ₱800,000.00
Machinery and Equipment ₱193,715.00
furniture and fixtures 66,533.00
store and office supplies 34,423.00
Feasibility study ₱6,000.00
Raw materials ₱42,000.00
cash requirement 150,000.00
Business Permit ₱25,000.00
TOTAL COST 450,956.00
5,740,415.00

Chapter VI
SOCIO-ECONOMIC STUDY

A. Employment

The business will provide employment for the unemployed residents of Pagadian
City.

B. Government

The Government’s benefits will be from the taxes and permits that are to be paid
by the proponent’s business. The taxes and permit will definitely help in the increase of
Government’s revenue for the project intended for the general welfare of the people of
the Philippines.
 C. Community Involvements Programs

Fresh Oyster Mushroom will be hosting seminars for those aspirant businessmen
who also wanted to establish their own propagating mushroom in their backyards
or in their own big area for cultivating mushroom. The business would also host promote
eco- friendly material and a pure organic fertilizer.

D. Conclusion of the Socio-Economic Study

The proponent’s business’s aim to promote a harmonious flow of relationship not
just with the customers and purchaser but also to the people of Pagadian City and
their surroundings. With their community involvement program and being a responsible
taxpayer and manpower generator, everything will be in its right state.

APPENDECES AND ATTACHMENT

SURVEY QUESTIONNAIRE

 Market Study

A. Survey Questionnaire I Survey Result (Tally)

1. How much is your monthly income?

o 5,000 & below -33
o 6,000 – 9,000 -59
o 10,000 – 14,000 -6
o 15, 000 & above -2

2. How many kilos of fresh Oyster Mushroom do your family consumed?

o 500 grams -62
o 1 kilogram -18
o 2 kilograms -11
o 3 kilograms -9

3. How much do you spend based on your daily fresh oyster mushroom
consumption?
o 30 – 50 pesos -24
o 51- 100 pesos -35
o 101- 150 pesos -18
o 151- 200 pesos -14

4. Where do you often buy fresh oyster mushroom?

o Santa Lucia -43

o Super Market -3
o Agora Open-Air Market -54
o Small Store -0

5. How do you often buy oyster mushroom?

o Daily - 26
o Twice a week - 65
o Once a week -9
6. Are you willing to purchase mushroom if we will establish a “Fresh Oyster
Mushroom” near at you?

o Yes - 94
o No -6

b.) Tally Score

Number Letter/Choices Result Percentage

 1

Yes 100 78%

No 50 22%

Total 150 100%

General Partnership Contract

ARTICLES OF PARTNERSHIP
OF

_________________________________________________________
(Partnership Name)

KNOW ALL MEN BY THESE PRESENTS:

That we, the undersigned partners, all of legal age, residents and citizens of the
Philippines, have on this day voluntarily associated ourselves together for the purpose of
forming a general partnership under the following terms and conditions and subject to
existing and applicable laws of the Republic of the Philippines:

AND WE HEREBY CERTIFY:

ARTICLE I. Partnership Name: That the name of this partnership shall
Be

and shall transact business under the said company name.

ARTICLE II. Business Purpose: That the purpose/s for which this partnership is
formed is/are:
ARTICLE III. Principal Place of Business: That the principal place of business of
this partnership shall be located at :

(complete address)

ARTICLE IV. Term of Existence: That this partnership shall have a term of
_________ years from and after the original recording of its Articles of Partnership by
the
Securities and Exchange Commission.

Articles of
Partnership

ARTICLE V. Partners’ Circumstances: That the names, nationalities and complete

residence addresses of the partners are as follows:

Name Nationality Complete Residence

Address
ARTICLE VI. Capital Contributions: That the capital of this Partnership shall be the
amount of ____________ (P_________), Philippine Currency, contributed in cash by the
partners, as follows:
Name Amount Contributed

That no transfer of interest which will reduce the ownership of Filipino citizens to less
than the required percentage of capital as provided by existing laws shall be allowed or
permitted to be recorded in the proper books of the partnership.

ARTICLE VII. Sharing Ratios: That the profits and losses of this partnership shall
be divided and distributed proportionately on the ratio of the capital contribution of each
partner.
ARTICLE IX. Management: That this partnership shall be under __________, as
General Manager, who shall be in charge of the management of the affairs of the
company.
He shall have the power to use the partnership name and in otherwise performing such
acts
as are necessary and expedient in the management of the firm and to carry out its lawful
purposes.

ARTICLE X. Undertaking to Change Name: That the partners undertake to change

the name of this partnership, as herein provided or as amended thereafter, immediately
upon
receipt of notice or directive from the Securities and Exchange Commission that another
corporation, partnership or person has acquired a prior right to the use of that name or
that
the name has been declared as misleading, deceptive, confusingly similar to a registered
name, or contrary to public morals, good customs or public policy.

Articles of
Partnership

IN WITNESS WHEREOF, we have hereunto affixed our signatures this ____ day of
______, 20___, at ________.

______________________ _______________________
(name of partner) (name of partner)
TIN TIN

______________________ _______________________
(name of partner) (name of partner)
 TIN TIN

(Names and Signatures of the partners and TIN)

ACKNOWLEDGEMENT

REPUBLIC OF THE PHILIPPINES)

____________________________) S.S.

BEFORE ME, a Notary Public, for and in _________________, this ____day of

_________, 20___, personally appeared the following persons:

Name TIN/ID/Passport No. Date & Place Issued

known to me and to me known to be the same persons who executed the foregoing
Articles
of Partnership constituting of _____pages, including this page where the
acknowledgement is
written, and they acknowledged to me that the same is their free and voluntary act and
deed.

WITNESS MY HAND AND SEAL on the date and place above written.

March 21,2022

Mrs. Gladys Fernandez,

District Chairman IWCPI District 385
Charter President Mushroom Grower
Pagadian City, ZDS 7016

Dear Mrs. Gladys:

A pleasant day!
We are Bachelor of Science in Business Administration (Feasibility Study) students of
Saint Columban College. Currently, we are conducting a study on Cultivated Fresh
Oyster Mushroom as our major requirement for said course.

We have chosen your institution to play part in the conduct of our study. In this regard, it
would be our great pleasure if your office could provide us the name and the total
numbers of all bamboo and mushroom producer/supplier and other related business based
on their business permits here in Pagadian City as well as their exact location.

The data you give us will contribute a lot in the success of the said academic endeavor.
Rest assured they will be treated with utmost confidentiality.

Thank you.

Sincerely,

Dianna Rose Bazar

Group Representative

Noted by:

Mr. Faizal D. Macaumbang, CPA, MBA, LPT

Strategic Business Analysis Instructor

Mr. Christian Clyde Z. Ching, CPA, MBA

Dean, College of Business Education

Signed by:

Mrs. Gladys Fernandez,

District Chairman IWCPI District 385
Charter President Mushroom Grower