Lil’ Chikhin

A Micro-Business Plan submitted to

Faculty of College of Business and Accountancy
BSBA – FIN225

Submitted by:

Febrer, Ma. Josselle W.

Gelacio, Kay Ashly S.

Honorario, Caroline P.

Vidal, Jasmine May P.

Ms. Rosemarie F. Magno

Professor

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 TABLE OF CONTENTS

Chapter 1 – Introduction…………………………………………………………………………………………….…………....3

Short Overview of the Business (History)……………………………………………………………………..….....3

Statement of Business Purposes……………………………………………………….……..............…………..4-5
Statement of Business Funding…………………………………………………………………........................5-6

Chapter 2 – Description of Business………………………………………………………………..………………………..7

Company Ownership………………………………………………………………….…………………………………..……7
Description of Product…………………………………………………………………………..…………………….….…..8

Description of Business Location…………..…………………………………………………………………….……….9

Licenses/Permits/Regulations…………………………………………………………………………………………….10
Listing of Necessary Key Purchases……………………………………………………………………………….11-12

Chapter 3 - Market Analysis/Description.....................................................................................13

TARGET MARKET AND DEMOGRAPHICS

Description of Customers…………………….…………………………………………………………….13-14
Description of Competitors……………………………………………………………………………………………15-17

Porter’s Industry Framework………………………………………………………………………………………………18

MARKETING STRATEGY.................................................................................................................19
4P’s…………………………………………………………………………………………………………………………………….19

Chapter 4 – Financials………………………………………………………………………………………………………………20

Daily Operations…………………………………………………………………………………………………………..20-23

Fund Distribution/Allocation…………………………………………………………………………………………….24

Basic Financial Statement…………………………………………………………………………………………………25

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 CHAPTER 1 – INTRODUCTION

Short Overview of the Business (History)

Lil’ Chikhin a fun way to get your daily dose of chicken and great taste, as well as satisfy your

cravings. The inspiration for our business started when the owners discussed their cravings and

compared it with the consumer’s favorite or trending these days. They decided that they wanted to

create a product that is like what consumers are craving for, but better as well as more comfortable than

others because they could not find what they were looking for in any existing store. We came up with

the list of food that they wanted to try and make their own recipes, search for the affordable price of

each ingredient and conduct a survey on their friends about their cravings and give opinions or advice to

the owners of the business.

Since unlimited chicken wings were already known, they wanted to try something new and

different and at the same time a reasonable price that would satisfy the customer’s expectations. Our

chicken wings are freshly fried to order, so you can have them hot and ready when they drop off your

table. With a variety of flavors from cheesy, spicy, and of course sweet style flavor. The art of

presentation is just as important as the taste because what we serve is what our customer expects us to

be. As an owner of the Chicken Pops business, our job is to come up with new, interesting, and different

packages that will distinguish your business from others. A product that provides satisfaction, quality

taste and variety.

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 Statement of Business Purpose

Mission: 

A strong desire to influence the people around the community, taking risks that can

result in a better outcome and learning from their mistakes and experience of them has inspired

within the owners’ desire to set up the Chicken Pops business. The owners focus on providing

goods that will satisfy their customer’s taste and be known as a business that does not focus on

the income but on how people will love our products and make them try our newly built

business.

With their humble experience, the owners learned that there are no such things as

shortcuts in order to be successful in the business industry. There will always be competitors,

criticism that will help the business to grow and change the way the customers want it to be and

constantly improve the quality of the goods and services of this business. 

Vision

The vision of our business is to have a franchise all over the National Capital Region that

will help not just a student but also the future owners to have their own business that can

provide a profit and at the same time known for the quality at a very cheap price. We will strive

to offer our customers the lowest price possible on our menu so that it can be a help most

especially to our target consumers to afford and be satisfied with our product.

Core Values

· Promise to Customers – Our commitment to our customers is to always continue presenting and

offering a good quality yet affordable snack, a unique chicken snack with a variety of tastes.

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 · Respect – Respect is how to treat everyone. Everyone, especially individuals who add value to

the business are respected, particularly founders, suppliers, and customers. We always

encourage people to have kind-hearted actions and positive relationships as we support the

firm.

· Teamwork – We aim for more opportunities and business success. We must cooperate and work

together in order to achieve our common goals, to see the growth of the business; without each

of our assistance and skills, the firm cannot be built to its full potential.

Statement of Business Funding

The business financing needed will be ₱10,000 to cover the business operation, equipment,
marketing, and other requirements we need to start our own business.

Ingredients Cost

 Chicken Breast(10kg) - P1,700.00

 Salt - P10.00
 Pepper (100g) - P27.00
 Garlic Powder (250g) - P36.00
 Paprika (250g) - P75.00
 Flour (1kg) - P58.00
 Cornstarch (1kg) - P57.00
 Eggs (12pcs) - P98.00
 Butter (200g) - P85.00
 Hot sauce (85g) - P17.00
 Banana ketchup (1Gallon) - P100.00
 Sugar (1kg) - P82.00
 Garlic - P120.00
 Grated parmesan cheese (500g) - P345.00
 Soy Sauce (1L) - P50.00
 Vinegar (1L) - P40.00
 Oil - P200.00
 Rice (10kg) - P520.00

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Packaging

 (20 pcs.) Takeout box with handle - P136.00

 (100 pcs) Bamboo Mini Fork - P20.00 

Utilities

 Electricity - P1,000.00
 Water - P500
 Rent - P2,000.00

Tools and Equipment

Electric Deep Fryer (1) - P995.00

Knife - P89.00
Chopping Board 22x32 - P95.00
Bowl (10 cm) - P100.00
Food Tong (1 pc/12 inch) - P20.00
Rice Cooker - P679.00 

Legality Expense - P700.00

Total Expenses: P9,954.00

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 CHAPTER 2 – DECSRIPTION OF BUSINESS

Company Ownership

Lil’

Chikhin will start out as a general partnership which consists of 4 co-owners, Students of National

University Manila. Each proprietor of the company is regarded as a general partner. Each has complete

responsibility over the business, which entitles them to independently strike business deals or make

decisions on behalf of the partnership as its "agent," and each is personally liable for the debts and

obligations of the company. Since the business is small and part-time, the business will not require

additional labor beyond the first marketing year. Ownership of Lil' Chikhin brings fundings, labor,

knowledge, and experience to the business. We could be held legally liable permanently for the

partnership's and its partners' acts. Lil' Chikhin’s daily operations and sales are actively managed and

under the control of our partnership. Business is manageable, and decisions can be made efficiently.

When important decisions must be made, including growth and funding, our partnership regularly has

discussions to decide what is best for the survival of the business.

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 Description of Product

Chicken Pops are made from chicken breasts that are made small so that people can easily eat

them, and they are full of meat without damaged bones. It is also one of the favorites today because it is

easy to eat. These chicken pops have flavors like chicken wings like Parmesan, Buffalo, and Soy Garlic.

When ordering it, what you can taste will be based on the price. We also offer drinks that have two

flavors, and you can order our chicken pops with the drinks included. The main target of our product is

for young people to taste our product at a low cost because it's just chicken pops that can be taken

anywhere, and our target here is to introduce our product to other people who can taste it at a low cost

because they do it in a thorough way. The chicken breast is only affordable so that they can experience

eating if they cannot afford other chicken with majesty.

Chicken Pops will have three different flavors with one new limited time flavor available each

season that is used for promotional and marketing purposes. Lil’ Chikhin also offers two flavors of your

choice in one order for the customers to try other flavors.

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 Location of the Business

Lil’ Chikhin is located at 2136 Legarda Street, Sampaloc Manila, Sampaloc, Manila. Upon

evaluating the location, University Belt has hundreds of thousands of students and workers passing by

each day. People regularly visit different snack stands in the U-belt area. Competition may be a threat,

but we did everything we could to make Chicken Pops unique and special. The placement of Chicken

Pops in University Belt will likely help the business attract new and consistent customers over time as

the products are also budget friendly. This right location can be a first step to continuing to reach the

business' objectives and vision.

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 Licenses, Permits and Regulations

Department of Trade and Industry/DTI Permit

A business must first register its name in order to establish its legal identity and get the right to

use its name. It's simple to register; first, we think about the business name and its availability in DTI;

second, we fill out registration form, when doing so, any government ID is required; and lastly, pay the

registration fee, which ranges from 200 to 1,000 pesos depending how wide is the area of the business'

operation, for Chicken Pops, we paid 500 pesos because we do business around the whole city. Lastly,

the permit can be downloaded once sent or given personally.

Barangay Permit

The barangay permit is the initial license required to open a business. A legitimate ID that was

issued by the government is the first requirement. The lease agreement is the second requirement that

must be met. A picture of our company in our current location is also required after obtaining the lease

contract. The third requirement is this; we assembled all the instructions and printed them. We then

proceeded to the barangay and gave them to the employees there. It cost us 600 pesos to pay. After

making the payment, we had to wait for the processing of the criteria before receiving the barangay

permit.

Bureau of Internal Revenue/BIR Permit

The main requirements for getting a BIR permit are the DTI and Barangay permits, the

Certificate of Lease because our firm is rented, and any kind of official identification. Second, we must

complete the BIR form and print 3 copies. Third, we must visit the Revenue District Office of Manila as

our company is based in Manila to submit the BIR form. Fourth, pay the 500 pesos registration fee and

obtain the Certificate of Registration. Sixth, purchase a book account where we can record all business

transactions. Last but not least, secure an Authority to Print for the commercial invoices of our BIR form.

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 List of Key Purchases Necessary for Business Proposal

Budgets are essential to any company. In order to plan a budget, we need to understand the

necessary key purchases we need for our business.

Chicken

High quality chicken breast meat that is small and juicy. They are full of meat without damaged bones,

which is a great choice for those who are watching their weight. It is healthier than processed meats,

but just as delicious, if not more so, than most of the processed meats available today. Nowadays it is

very popular with young people. Chicken Pops are also easy to eat, making them a favorite among kids

and adults alike. Delicious chicken tastes great wherever you go, so whether you're eating at home or on

the go, this tasty treat will be sure to please.

Electric Deep Fryer

A deep fryer is a kitchen appliance used for deep frying. Described by many as the most convenient way

to cook fried foods, a deep fryer allows you to lower the cooking temperature of food and eliminate the

need for higher cooking temperatures that cause foods to burn on contact with hot oil. The result is

fewer dishes to wash and less oil spills during frying. However, most people are not aware about how to

deep fry properly. We made sure that our way of deep frying our chicken pops is surely tender and tasty

Flavors

One of the reasons why our product is a must try is because of the flavors that we offer. It is not the

usual kind of flavor that our competitors might have. It will give satisfaction in every bite of our chicken

pops. We offer flavors such as Parmesan Cheese, Buffalo and Soy Garlic that will a must try and we make

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sure that it will not just coat and taste outside the chicken, but it also has a distinct flavor and

tenderness on the inside. Since we are just a start up business, we make sure these three flavors were

tested and it takes a lot of time and effort to make sure that our chicken pops have a unique flavor that

you never tried before.

Packaging

The consumers’ behavior is sometimes to look at the unique packaging of one’s business. As an owner of

the business, we make sure that the packaging of Lil’ Chikhin is to have a unique and durable kind of

packaging that can attract the customer’s attention. It is one of the factors that can help the business to

be known by some and in that way, we will be easily recognized by other people. It is also one of the

marketing strategies that we point out during the execution of the business.

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 Market Segmentation

Target Demographic:

Age

- The chicken shop targets customers aged 6 years old and above, not older than 70 years old.

Although we do not choose a specific age group, we need to consider the health of our

customers.

Gender

- Since our business does not support gender inequality, we welcome any person to join in this

venture.

Social Class

- can purchase the prod Regardless of your social class, the owners make sure that everyone can

purchase the products.

Occupation

- The business is focused on attracting students around the University belt. Aside from the

students, the business is also extended for other people.

Family Structure

- Lil’ Chikhin does not choose any family structure when it comes to offering its product, everyone

can avail themselves of our chicken.

Target Geographic:

- Since this is the first time that the owners are taking a risk in a business, the focus of the

business is around Manila which is the main capital of the Philippines.

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Target Behavioral:

- Consumers tend to try products that they have not tried before in result to that the consumers

are more curious to try out new products such as our Lil’ Chikhin. Since not everyone can afford to dine

in an expensive place, Lil’ Chikhin provides a budget-friendly meal.

Target Psychographic:

- In promoting the business, the owners chose social media as their platform in advertising the

business to encourage the customers to try the products.

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 Competitors Analysis

Main competitors of Lil' Chikhin primarily offer chicken wings and have strong brand

personality. The competitors are close by because they are also around the area of Sampaloc,

Manila. Additionally, the target market concentrated on attracting students, workers, and

families. Competitors are well known and offer a wide range of options, however, their

weaknesses in terms of pricing and quality are where the competition arises. Unlimited chicken

wings, then with rice, beverages, and fries, are the main offerings.

STRENGTHS

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Lil' Chikhin is still relatively new to the area, which is a benefit as it can be useful to attract customers.

Since the store is new to the area, there is a good probability that customers will visit it right away. The

cost of these chicken snacks is affordable as Lil' Chikhin doesn't focus to social class; instead, we make

sure that anybody can buy the products. When it comes to marketing campaigns, what the business

wants to convey, goals, and strategies are comprehensive and on point.

WEAKNESSES

Lil' Chikhin has not yet made an impression on the local populace because the business is still in its

beginnings and requires time to grow and thrive. Also, we are still lacking experience because we can

still be considered new in the business field, we have only tried previously, and this is the first ever to be

constructed. Lastly, business does not have enough of a connection between all the people, businesses,

resources, activities, and technology involved in producing and marketing a product.

OPPORTUNITIES

For Lil' Chikhin, we considered business with the same products as an opportunity because customers

often only evaluate pricing, and we advocate for affordability. Also, loyalty, customers become

considerably more loyal to the business if it continuously meets what they want. When introducing

more or newly developed product, the business has the advantage of learning about the needs of the

customers, testing and receiving feedback from them, and trying with various prices in a consistent to

see what customers will pay and how the business can make enough money from it.

THREATS

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One of our objectives is to be able to offer customers a high-quality snack that is still reasonably priced,

but since businesses are powerless to control the inflation rates or resource costs from growing, our

products might increase their prices as well. Consumers' choices or shifting preferences when it comes

to goods and tastes can have an impact on the business because customers' choices determine whether

or not enterprises survive. Lastly, natural disasters are a big threat to the food industry; disasters can

make the business close for a days or weeks because it is unlikely to have a customer in that situation.

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Porter’s 5 Industry Framework

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4P’S Marketing Strategy

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 Operations / Costing

Ingredients:

 Chicken Breast - 170.00/10,000kg = 0.017 1,000g

 Salt - 10.00 (20g) = 0.5
 Pepper - 27.00 (100g) = 0.27
 Garlic Powder - 36.00 (250g) = 0.144
 Paprika - 75.00 (250g) = 0.3
 Flour - 58.00 (1000g) = 0.058
 Cornstarch - 57.00 (1000g) = 0.057
 Eggs - 98.00 (12pcs) =
 Butter - 85.00 (1000g) = 0.085
 Hot sauce - 77.00 (1000g) = 0.077
 Banana ketchup (Optional) - 100.00 (3,785.41g) = 0.026
 Sugar (Washed) -     82.00(1000g) = 0.082
 Salted egg powder - 69.00 (100g) = 0.69
 Garlic - 198.00/(1000g) = 0.198
 Grated parmesan cheese - 345.00 (500g) = 0.69
 Soy Sauce - 50.00 (1000g) = 0.05
 Vinegar - 40.00 (1000g) = 0.04
 Oil - 200.00 (1000g) = 0.2
 Rice - 1,200.00 (25000) = 0.048
For packaging:
 (20 pcs.) Takeout box with handle - P136.00
 (100 pcs) Bamboo Mini Fork - P20.00 

Utilities:
 Electricity - P1,000.00
 Water - P500
 Rent - P2,500.00

Electric Deep Fryer (1) - P995.00

Knife - P89.00
Chopping Board 22x32 - P95.00
Bowl (10 cm) - P100.00
Food Tong (1 pc/12 inch) - P20.00
Rice Cooker - P679.00 

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Computation: Cost of Price / Grams of the Product = Total x Grams needed = Total costing

Soy Garlic:

 Chicken Breast - 170.00/10,000g = 0.017

 Salt - 10.00 (20g) = 0.5
 Pepper - 27.00 (100g) = 0.27
 Garlic Powder - 36.00 (250g) = 0.144
 Paprika - 75.00 (250g) = 0.3
 Flour - 58.00 (1000g) = 0.058
 Cornstarch - 57.00 (1000g) = 0.057
 Sugar (Washed) -     82.00(1000g) = 0.082
 Soy Sauce - 50.00 (1000g) = 0.05
 Vinegar - 40.00 (1000g) = 0.04
 Oil - 200.00 (1000g) = 0.2
 Rice - 520.00 (10,000) = 0.052
 Garlic - 198.00/(1000g) = 0.198

Chicken breast – 170/ 1,000g = 0.17 x 100g = 17

Salt – 10/ 20g = 0.5 x 3g = 1.50
Pepper – 27/ 100g = 0.27 x 3g = 0.81
Garlic Powder = 36/ 250g = 0.14 x 25g = 3.50
Paprika – 75/ 250g = 0.3 x 5g = 1.5
Flour – 58/ 1000g = 0.058 x 200g = 11.6
Cornstarch – 57/1000g = 0.057 x 200g = 11.4
Sugar – 82/1000g = 0.082 x 250g = 20.5
Soy Sauce – 50/1000g = 0.05 x 200g = 10
Vinegar – 40/1000g = 0.04x 100g = 4
Oil – 200/1000g = 0.2 x 200g = 40
Rice – 520/10,000g = 0.052 x 100g = 5.2

Packaging:
 (20 pcs.) Takeout box with handle - P136/ 20 = 6.8

 (100 pcs) Bamboo Mini Fork - P20.00/ 100 = 0.02 

Total: 134.00
Profit: 20.00
Salary: 5.00
FINAL: 159.00

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Buffalo Chicken Pops

Chicken breast – 170/ 1,000g = 0.17 x 100g = 17

Salt – 10/ 20g = 0.5 x 3g = 1.50
Pepper – 27/ 100g = 0.27 x 3g = 0.81
Paprika – 75/ 250g = 0.3 x 5g = 1.5
Flour – 58/ 1000g = 0.058 x 200g = 11.6
Cornstarch – 57/1000g = 0.057 x 200g = 11.4
Sugar – 82/1000g = 0.082 x 250g = 20.5
Oil – 200/1000g = 0.2 x 200g = 40
Rice – 520/10,000g = 0.052 x 100g = 5.2
Hot sauce- 77.00 /1000g = 0.077 x 50g = 3.85
Banana ketchup - 100.00 /3,785.41g = 0.026 x 100g = 2.6
Butter- 85.00 /1000g = 0.085 x 200g = 17

Packaging:
 (20 pcs.) Takeout box with handle - P136/ 20 = 6.8
 (100 pcs) Bamboo Mini Fork - P20.00/ 100 = 0.02 

Total: 139.78
Profit: 20.00
Salary: 9.22
FINAL: 169.00

Parmesan

Chicken breast – 170/ 1,000g = 0.17 x 100g = 17

Salt – 10/ 20g = 0.5 x 3g = 1.50
Pepper – 27/ 100g = 0.27 x 3g = 0.81
Paprika – 75/ 250g = 0.3 x 5g = 1.5
Flour – 58/ 1000g = 0.058 x 200g = 11.6
Cornstarch – 57/1000g = 0.057 x 200g = 11.4
Oil – 200/1000g = 0.2 x 200g = 40
Rice – 520/10,000g = 0.052 x 100g = 5.2
Butter- 85.00 /1000g = 0.085 x 200g = 17
Parmesan Cheese- 345.00 /500g = 0.69 x 50g = 34.5

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Packaging:
 (20 pcs.) Takeout box with handle - P136/ 20 = 6.8

 (100 pcs) Bamboo Mini Fork - P20.00/ 100 = 0.02 

Total: 147.33
Profit: 20.00
Salary: 9.67
FINAL: 179.00

SALES

Product Price Quantity per month Income

Soy Garlic PHP 159.00 35 PHP 5,565

Chicken

Buffalo PHP 169.00 60 PHP 10,140

Chicken

Parmesan PHP 179.00 50 PHP 8,950

Chicken

Total: PHP 24,655

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Funds Allocation and Distribution

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 Basic Financial Statement

INCOME STATEMENT (for the Month ended 30 th of September 2022)

Less: Operating Expenses

Utilities PHP 3,510

Cost of Good Sales PHP 4,150

Total Operating Expenses PHP 7,660

Operating Income PHP 14,701

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