Chapter I

INTRODUCTION

This chapter present the background of the study, objective of study, scope and

limitation of the study, definition of terms, and the respondent, sample and sampling

procedures, data collection, preparation and processing and data analysis.

Rationale of the Study

Tailoring is an important aspect of fashion designing course which emphasizes

more on the style or cut of the garment and then sewn as per the fitting and body

measurements. It can mean a whole new wardrobe for women who feel like they

never have the right fit. It is the process of making adjustments by or small, to a piece

of clothing in order to give the clothing the best fit. Today’s fashion is usually sold by

a number-based sizing system, or by the even vaguer small, medium and large but in

reality, there are thousands of types of body shapes, much more than any clothing

company can account for. As a result, many women are stuck with clothes that are an

1
approximate fit but not exactly the best fit. Tailoring can include making a piece of

clothing more functional and easier going.

A tailoring is important when taking up fashion designing courses is because as

a Fashion Designer one needs to have some knowledge of sewing as well, apart from

other subjects related to the same. It is because tailoring possesses some part of

Fashion Designing, where Fashion Designing is a broader and higher level of

understanding of fabrics, pattern and fit as per the size.

Aside from that, a lot of tailors have perfected their tailoring skills and now own

their clothing lines. Their success stories have endeared many youths to the

tailoring business as a viable income-generating venture and guess you are reading

this article because you want to learn how to start a tailoring business. Forget the title

Philippines was included because this blog targets mostly Pilipino though this article

was written for the Philippines audience, it is however not limited to Nigeria on the

quality of the information passed across. Like every entrepreneurial endeavor,

tailoring is one vocation that taps into the passion of the entrepreneur, and this article

can be universally applied regardless of location.

The necessary training on how to effectively run a sewing business with

specific reference to your chosen niche. It is also crucial that you learn the tips and

tricks of the trade. Specific techniques could only be learned from an expert in the

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business, be it business training or sewing training one way to learn is by joining

forums of other experts in the tailoring business join unions and by all means seek

partnerships with other tailors or business owners in the sewing profession. Even if

your business model is to manage the business and have other experienced tailors

work for you, it is crucial that you learn the basics of the tailoring trade. An

experienced business owner equipped with the technical aspects of sewing cannot go

wrong in effectively running the tailoring business.

Objective of the Study

Generally, the study is aims to determine the feasibility of establishing a

Tailoring Shop at Poblacion, Datu Paglas, Maguindanao Del Sur.

Specifically, it sought to;

1. Determine the owners service in tailor shop, and promote services of the following

aspect;

a) Marketing

b) Organizing

c) Operation / Techniques

d) Financial and Socio-economics

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2. To determine the preferred types of materials of the customer needed; and

3. To determine the feasibility of establishing of garment tailoring shop supply;

a) Marketing

b) Organizing

c) Operational / techniques

d) Financial and Socio-economics

Significant of the Study

This study is conducted to determine the owners service of tailoring shop, and

promote services, also determine the preferred types of materials of the customer

needed for remaking their request of clothes and dress to owners tailoring shop.

To determine the feasibility of establishing of garment tailoring shop, this research

study was benefit of following characters in terms of.

Customers. The output of this study is beneficial to the costumers and the possible

competitors in business,

Owners Shop. This research gives the idea from the online seller through the

strategy, handling of the business online

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Entrepreneurs. The study is become one of the references of entrepreneur in

assessing whether to engage with this business industry.

Future Researcher. The study will become one of the references of others researcher

who has similar topic.

Unemployed. After the conducting of this study and see the prospect of property in

this type of industry, implementing and establishment of the proposal will take place.

By that, the aquaculture well absorbed unemployment of the place, thereby lessoning

unemployment of the municipality.

Government. This will also be another source of revenue for the Institutions

Scope and Limitation of Study

The study designed to determine the viability of establishing a garment

tailoring shop in terms of stitcher of clothing and dress at Poblacion, Datu Paglas,

Maguindanao Del Sur. The study is focus on services of tailoring shop, providing

cloths needed by the individual customers.

5
Definition of Terms

Costumers. refers to individual purchase or buyers of garment tailoring shop and a

person who want to making a dress to it.

Clothing. Refers to a clothes, apparel and attire it is item worn on the body, typically

clothing is made of fabrics or textile.

Entrepreneurs. Refers to a person who undertakes the risk of starting a new business

such Dress making or clothes, which aggregates capital and labors in order to produce

goods or services for Profits.

Frequency. The rate at which data given will be identified in a period of time through

a given sample.

Financial. A field that concerned with the allocate investment of assets and liability

over space and time, often under conditions of risk or uncertainly.

Garment. Refers to a piece of clothing, use especially in business, manufacturing or

industry purposes, also use in tailoring shop.

Marketing. It can advertising is when companies specially target and tailor their

promotions to a specific type of customers based on their age, gender or other

information of customers.

Mark up. The ratio between the cost of a good or services and its selling price.

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Owners. tailoring business specializes in personally fitting garment to each customer.

Organizing. Refers to a function of management that involves developing an

structure and allocating customers resources to ensure the accomplishment of

objective.

Operation. The performance of a practical work involving the practical applications

of principle or process of the business.

Textile. Refers to any material made of interlacing fibers, including carpet and

geotextile which may not necessarily by used in the production of further goods, such

as clothing and upholstery.

Percentage. Use describes the basic feature of data of the study and provide a simple

summary about the sample and measure of the industry.

Tailoring Shop. A retail shop that sells tailor made clothing and garment and related

product or services.

Techniques. A way of carrying out particular task, centered on the business tailoring

shop.

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METHODOLOGY

This part of the study includes the research design, locale of the study,

respondent, the study sample and sampling procedure, data gathering procedure and

data analysis.

Research Design

The economy or economic system consists of the production, distribution or

trade, and consumption of limited goods and services by different agents in a given

geographical location. The economic agents can be individuals, businesses

organizations, or governments. Transactions occurs when two parties agree to the

value or price of the transacted good or service, commonly expressed in a certain

currency (Adam et al.1976).

Additionally, classical economists see contribution on economy as the outcome

of the sector adjusted to the optimum or most profitable size. In line with the profit

maximization assumption of traditional economists, expansion and contribution of

8
tailoring business will be growing until the marginal revenue from an increase equal

long-term marginal cost. Whether the firm continues to growth will depend on the

sector capacity to seek and adjust to bigger size classical economic, resources based

and production-oriented theories and describe at this perspective (Penrose, 1959). The

essential theme, economics is a policy science and, as such, the contribution of

economic theory to economics should be measured on how well economic theory

contributes to the understanding and

Therefore, conduct of economic policy. In many cases we are forced to use

theory because the data that we need are not available. Economic theory is useful

since you can use it to compute answers to problems. They aren’t always the right

answers that depends on whether the model you have is right. Experimental

economics has been one of the great success stories of the last 20 years. One has to

understand the role of economic theory’s contribution to policy analysis. The fact that

economics is fundamentally a policy science allows one to explain many aspects of

economic theory that are quite mysterious (Varian, 1989).

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Locale of the Study

The research study is conduct at the market area of Poblacion, Datu Paglas,

Maguindanao Del Sur.

Respondent

There are two set of respondents of this research Study. The first are the owners

of tailoring shop which answered with regard to the supply and demand that exist in

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market and the customers -owners of tailoring shop who are needed of the services of

tailoring shop to make a dress, repairs the cloths.

Sample and sampling Technique.

The research use quota sampling procedure for the respondent of the study, the

researcher gives a hard copy questions papers to answered by 50 respondents

including the owners of tailoring shop and specially their customers, to satisfied the

services of them.

Data gathering Procedure

The researcher determined the possible respondent in Barangay Poblacion,

Datu Paglas, Maguindanao Del Sur.

The research took permissions from the college dean for the conducting of the

survey and referral was also sought from the research coordinator for purpose of

introducing the research to the Barangay Chairman of Poblacion, Datu Paglas,

Maguindanao Del Sur.

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1. Permission from Dean of college.

2. Secured referral letter from the Research Coordinators

3. The researcher sought the permission and assistance of the barangay captain of the

barangay poblacion to conducting the study.

4. The research conducting the survey interview through giving questionnaires to

owners of tailoring shop and customers.

Data Analysis

When the questionnaire is retrieved from the respondent, it was tallied and

tabulated. The following was used to determine and interpret the data gathered

through the following.

Frequency Count. Is the rate at which the data given result to identified in a period

of time a given sample.

Percentage Distributions. Is use to describe the basic feature of the data of study and

provide a simple summary about the sample and measure of the study.

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 Chapter II

THE INDUSTRY

The chapter include the quality services being offered, the market major

players, Key success factor and the government policies.

Product and Service

The product and services offered were classify according to its quality of the

materials demanded and request by customers to the owners of garment tailoring

shop.

Table I

List of Products and Services

Products and Services

1. Students School Uniform (male)
2. Students School Uniform (female)

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3. Student OJT Uniform
(male)
4. Student OJT Uniform
(female)
5. Student Arabic Uniform (male)
6. Student Arabic Uniform (female)
7. Teacher’s Uniform (male)
8. PNP Uniform (male)
9. PNP Uniform (female)
10. AFP Uniform (male)
11. AFP Uniform (female)
12. SCAA Uniform
13. Abaya (Kid Size)
14. Abaya (Adult Size/s,m,l,xl,xxl
15. Muslim Dress/Kamison
16. Students School Uniform (male)
17. Students School Uniform (female)
18. Student OJT Uniform (male)
19. Student OJT Uniform (female)
20. Student Arabic Uniform (male)
21. Student Arabic Uniform (female)
22. Teacher’s Uniform (male)
23. PNP Uniform (male)
24. PNP Uniform (female)
25. AFP Uniform (male)
26. AFP Uniform (female)
27. SCAA Uniform

14
 28. Abaya (Kid Size)
29. Abaya (Adult Size/s,m,l,xl,xxl
30. Muslim Dress/Kamison

Table 2.1 shows the list products and services that the propose tailoring

business shop has to be offered.

Market

The propose business market is divided into two consumers that is actual

consumers who regularly needed tailoring products and services which is 50%,

and 50% is the potential consumers who interested in the products and services

that a business has to be offered. The propose business research study target is at

least 75% of the customers are satisfied to the good and services offered in the

business.

Capacity of the Industry

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 There are 5 existing notable tailoring shops in Poblacion Datu Paglas,

Maguindnao Del Sur. These 5 shops offering products and services to the costumers

depending on the costumers’ demand and preference for products and services.

Major Players of the Industry.

The competitors of the business are collegial business owners of tailor shop

located in side of the market of Poblacion Datu Paglas, Maguindanao Del Sur. These

competitors own and manage by individual. These include the following tailoring

service:

1. BADRIA TAILORING

2. HUSNA TAILORING

3. GEMALYN RTW TAILORING

4. NANDAL TAILORING

Key Success Factor

As a major players of tailor shop business industry, we need to maintain the

quality of products and services we offered. The clothes and dress should be sold in

16
reasonable prices for the costumers and to meet up their satisfactions for the demand

and preference that they want us to offer.

Quality of Management

The propose business study has to offer products and services which are based

on the costumers’ demand, specification, needs and preferences. Costumers’ demand

and preferences must the business focused in order for the business to be success.

Whether a business offer products and services, costumers’ demand, specification,

needs and preferences should be the business’ top priority to gain their trust and

loyalty.

Integrity

It has been revealed that as a major aspect of a business success, being honest,

open and transparent with employee, consumers and stakeholder, will gain you

respect and help you retain talent workers and loyal customers, on the other hand,

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dishonest can undo the trustworthy image of the establishment. Considered, meet

every commitment, treat everyone of your client with a good manner and right

conduct. On the other hand, dishonesty can undo the trustworthy image of the

establishment.

Affordability

The quality of making clothes and dress that a costumers’ demand,

specification, needs and preferences of business owners but the affordable price

should also include in the business management in which costumers also concerned.

Products and services that the propose business has to be offered should affordable to

the costumers and other stakeholders.

Government Policies

The prosed business must secure the following legal requirement to put up a

better environment on the business, fire clearance, Certificate of occupancy, and

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environment clearance, mayors’ business permit from the office of the mayor of

Poblacion Datu Paglas, Maguindanao Del Sur.

Chapter III

THE MARKETING

The marketing aspect contain the following; Product Description, Target

Market, Current Market Trend and Opportunities, Price and Pricing Strategy,

Promotional Strategy, Channel of Distributions and flow of Business.

Production Descriptions

The proposes Business caters and provide customers cloths and dress that

costumers’ demand, needs, specification, and preferences for their jobs, works and

19
other human activities. The products and services that a propose business has to be

offered describes below.

Table II
List of Products and Services

Industrial Connotation Description

Products
1. Students School Uniform Uniform
(male)
2. Students School Uniform Uniform
(female)
3. Student OJT Uniform Uniform
(male)
4. Student OJT Uniform Uniform
(female)
5. Student Arabic Uniform Uniform
(male)
6. Student Arabic Uniform Uniform
(female)
7. Teacher’s Uniform (male) Uniform
8. PNP Uniform (male) Uniform

20
9. PNP Uniform (female) Uniform
10. AFP Uniform (male) Uniform
11. AFP Uniform (female) Uniform
12. SCAA Uniform Uniform
13. Abaya (Kid Size) Clothing
14. Abaya (Adult Clothing
Size/s,m,l,xl,xxl
15. Muslim Dress/Kamison Dress
Services/Constructing
1. Students School Uniform ___
(male)
2. Students School Uniform ___
(female)
3. Student OJT Uniform ___
(male)
4. Student OJT Uniform ___
(female)
5. Student Arabic Uniform ___
(male)
6. Student Arabic Uniform ___
(female)
7. Teacher’s Uniform (male) ___
8. PNP Uniform (male) ___
9. PNP Uniform (female) ___
10. AFP Uniform (male) ___
11. AFP Uniform (female) ___
12. SCAA Uniform ___

21
 13. Abaya (Kid Size) ___
14. Abaya (Adult ___
Size/s,m,l,xl,xxl
15. Muslim Dress/Kamison ___

Table 3.1 shows the target products and services that the propose tailoring

shop has to be offered.

Target Market

The target market of the proposal research study is the customers who usually

needs clothes and dress for their jobs, works and other human daily activities.

Proposal research study also look for customers who need services for constructing,

repairing and modifying based on their specifications, needs and preferences.

CURRENT MARKET TREND AND OPPORTUNITY DEMAND

The demand of the propose business research study shows a great prospect in

providing the tailoring products and services. It shows that 39 out of 50 respondents

of the study including owners of 5 existing tailoring shops and the actual and

potential customers are willing to avail products and services that a new tailoring

22
shop has to be offered. Therefore, liability in establishing Tailoring Shop at Barangay

Poblacion, Datu Paglas, Maguindnao Del Sur.

Table III

Demand for Products and Services

Response Frequency Percentage

Yes 64 80%

No 16 20%

Total 80 100%

Table 3.2 shows that the percentage of response of the respondents in terms of

willingness to avail to the goods and services that the propose business has to offer,

23
which represents 80%, out of 80 respondents are willing to avail wholesale, and 16,

which represents 20%, are preferring outside tailoring shop.

Therefore, the ration is one 4:1. Meaning, out of 80 respondents, there are 64

who are willing to avail and there are 16 who are most preferred tailoring is outside of

Poblacion.

SUPPLY

Tailoring Shop are basically common for servicing such as constructing,

altering, repairing, or modifying garments for customers based on their needs, whims,

specifications and preferences. The major competitors of the business proposal are the

following tailoring shops.

1. BADRIA TAILORING

2. HUSNA TAILORING

3. GEMALYN RTW TAILORING

4. NANDAL TAILORING

24
 These five tailoring shops offered servicing to customers relative to the

propose business service offered.

Price and Pricing Strategy

The propose business price has not fix, it depends to the agreement of

customers and owners. This is because costumers’ needs and demand for their

specifications and preferences are varied to the quality of materials needed.

PROMOTIONAL STRATEGY

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 The propose business was to develop and maintaining materials are vital to

successful marketing strategy. The tailoring business shop, will allocate a budget for

advertisement through posting of tarpaulin, distributions of flyers, and networking

site for local advertisement of the services. The above-mentioned strategy will be

done during the first-year operation of the propose business.

The materials that are clearly quality and best to the whims, demand and needs

of customers for their satisfaction shall be the business’ position for its operation.

Flow of Business Transaction

Advertisement Term of payment

Inquiry Mode of payment

26
 Figure 3.1 shows the illustration of the flow of business transaction of propose

business tailoring shop. Initially the tailoring shall advertise different products and

services being offered.

Chapter IV

THE ORGANIZATIONAL TYPE AND STRUCTURE

This chapter include the types of Business Organizations, Organizational

Structure, and Compensations and Benefit of employees.

Type of Organizations

27
 The proposed business tailoring shop remaking clothes and dress will be

organized as a partnership, propriety, business it is the simplest form of business and

it is easy to handle and manage. It also easy to setup and have minimal cost.

Organizational Structure

Owners/ Managers

Sewer Man Sewer Man

28
 Figure 11 shows the organizational chart of the propose tailoring business

shop. The owners / manager is task to oversee the day-to-day operation of the

business, the sewer men are the one who sew clothes order and demanded by the

costumers.

COMPENSATION AND BENEFITS

Table V

Employee Compensation

No. of Monthly Yearly Compensation

Position Employees Compensation

Manager 1 Php 10,000.00 Php 120,000.00

Sewer Men 2 Php 16,000.00 Php 192,000.00

Total 3 Php 26,000.00 Php 312,000.00

29
 The table 4.1 shows the compensation of each employee which varies

according to the position.

Job Descriptions and Qualifications

Owners / Manager. Manager is responsible in handling the financial, marketing and

human resources and at least a graduate of any 4 years business course

Sewer Men. The person must be strong and can be depended on to discharge his

duties and responsibilities as sewer.

MANDATORY BENEFITS

Table VI

Mandatory Benefits

Position No. of Semi-annual Bonus Annual Mandatory

Employees Benefits
General 1 Php 15,000.00 Php 12,000.00
Manager
Sewer Men 2 Php 26,000.00 Php 20,000.00
Total 3 Php 41,000.00 P32,000.00

Table 4.2 shows the corresponding semi-annual and mandatory benefits for

each employee of propose tailoring shop. The Semi-annual bonuses includes midyear

30
bonus which is equivalent to 1-month salary of employee and Ramadan bonus which

is P3,000.00 per employee regardless of position. The annual mandatory bonus

includes year-end bonus which equivalent of 1 month salary of business employee.

CHAPTER V

OPERATIONS REQUIREMENTS

The chapter 5 includes the technical services description, operation,

processing method, operation schedule, propose business’ location sketch, pre-

operating cost and operating costs, production cost, advertising and marketing costs,

and waste disposal and reminders to the costumers.

31
Technical Service Description

The propose business has two (2) services to be offered, the constructing and

altering/repairing cloths.

1. Constructing - These services to be offered by the business propose refers to

constructing of cloths based on the costumers’ needs and demand for their

specifications and preferences.

2. Altering/Repairing- This type service to be offered is refers to altering or

repairing of cloths based on the costumers’ needs and demand for their specifications

and preferences.

OPERATION PROCESS

Inquiry

32
 Mode of Payments

Terms of Payments

Figure 3. shows the flaw of operational process of propose business for

costumers and other stakeholders.

Processing Method

The owner/manager of propose business is the one responsible for planning,

monitoring, managing and controlling the flaw of business cycle from start to end.

The manager/owner functions include inquiry, quote on costumers’ orders, mode of

payment, production, quality control, and packaging or actual delivery.

1. Inquiry. Refers to the initial request for information from an organization by the

stakeholders.

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2. Mode of payment. Refers to the way by which costumers pay the orders, such as

cash and credit.

3. Term of payment. Refers to the time by which costumers and the business agreed

on what term that a costumers pay the products and services.

Operational Schedule

The Tailoring Business Shop will open 10 hours a day (i.e. 7:00am -5:00pm)

and 6 days a week (i.e. Saturday to Thursday).

Table VII

Schedule of Working Hours

Position No. of Day Time

Employee
General Saturday, Sunday, 7:00am to
Manager 1 Monday, Tuesday, 5:00pm
Wednesday & Thursday
Saturday, Sunday, 7:00am to
Sewer Men 2 Monday, Tuesday, 5:00pm
Wednesday & Thursday

Table 5.1 shows the number of business employees and their schedules that

support the working hours of propose business.

34
Business Location Sketch

The location of the business is accessible. The propose business shall be

located at Datu Paglas Public Market particular in commercial buiding. The shop can

easily be found along National Highway.

35
 Figure 4 show the propose business location sketch which shall be located
near at Datu Paglas Public Terminal.

Overhead Cost/Expenses

Overhead cost of the propose business includes business license/mayors’

business permit, building rent, utilities, advertising, salaries and wages and mandatory

benefits of business personnel.

36
 Table VIII
Business License

Particular Cost
1. Barangay Clearance Php 800.00
2. Community Tax Certificate Php 500.00
3. Mayor’s Permit Fee Php 1,500.00
4. Garbage Charges Php 720.00
5. Sanitary Inspection Fee Php 240.00
6. Fire Fee Php 176.00
7. Business Plate Fee Php 220.00
8. Business Sticker Fee Php 50.00
9. BIR Registration Fee Php 300.00
10. Documentary Stamp Php 25.00
11. DTI Permit Php 530.00
Total Php 5,061.00

Table 5.2 shows the business overhead cost for business license which include

all regulatory expenses.

Table IX
Rentals Cost

Particular Monthly Expenses Annual Cost

Building Rent Php 1,000.00 Php 12,000.00

Minor Repair on Building - Php 1,500.00

37
 Total Php 13,500.00

Table 5.3 shows the business overhead expenses for rentals and minor

repair/maintenance.

Table X
Utility Cost

Particular Monthly Expenses Annual Cost

1. Electric Bill Php 1,200.00 Php 18,000.00

2. Gas Php 400.00 Php 4,800.00

3. Internet Connection Php 600.00 Php 7,200.00

4. Water and Sewage Php 225.00 Php 2,700.00

5. Office Supplies Php 100.00 Php 1,200.00

Total Php 2,100.00 Php 33,900.00

38
 Table 5.4 shows the business overhead cost for utility expenses which include

electric bill, gas, internet connection, water and sewage and office supplies.

Table XI
Advertising and Marketing Costs

Platform Cost

1. Facebook Page/Ad Php 300.00

5. Radio Php 250.00

6. Flyers, Posters and Tarpaulins Php 1,000.00

Total Php 1,550.00

Table 5.8 shows the business annual online and offline advertising and

marketing expenses that supports the operation process of the propose business.

Table XII
Salaries and Wages Costs

No. of Monthly Yearly Compensation

Position Employees Compensation

39
 Manager 1 Php 10,000.00 Php 120,000.00

Sewer Men 2 Php 16,000.00 Php 192,000.00

Total 4 Php 26,000.00 Php 312,000.00

Table 5.6 shows the business employees’ salaries, wages and mandatory

benefits. It simply the business’ annual expenses for employee’s compensation.

Table XIII

Mandatory Benefits Cost

Position No. of Semi-annual Bonus Annual Mandatory

Employees Benefits
General 1 Php 15,000.00 Php 12,000.00
Manager
Sewer Men 2 Php 26,000.00 Php 20,000.00
Total 7 Php 41,000.00 P32,000.00

Table 4.2 shows the corresponding semi-annual and mandatory benefits for

each employee of propose coffee shop. The Semi-annual bonuses includes midyear

40
bonus which is equivalent to 1-month salary of employee and Ramadan bonus which

is P5,000.00 per employee regardless of position. The annual mandatory bonus

includes year-end bonus.

Operating Cost

Operating costs of propose business include machineries and equipment,

furniture and office supplies, and production costs.

Table IVX
Machineries and Equipment

Particular Cost

Manual Sewing Machine 2 units Php 12,090.00

Electric Sewing Machine 2 units Php 23,000.00

Electric Sewing Machine Overlock 1 unit Php 3,500.00

Thread and Sewing Needles Php 2,500.00

Ceiling Fan (2 pcs) Php 1,060.00

Scale, catchy and etc. Php 5,000.00

41
 Scissors Php 1,200.00

Calculator (2 pcs) Php 120.00

Fire Extinguisher Php 1,500.00

Total Php 60,270.00

Table 5.5 shows the business machineries and equipment costs.

Table X
Furniture and Office Supplies

Particular Cost

Table (2 pcs) Php 3,000.00

Chair (4 pcs) Php 1,200.00

Stationery Php 500.00

Total Php 6,700.00

Table 5.4 shows the business furniture and office supplies costs.

Production Cost

Table XIII
Production Cost

42
 The propose business production cost has not fix. The cost of products will be

based on the costumers’ needs and demand for their specifications and preferences

are varied to the quality of materials needed. Hence, the researcher of propose

business projected the production cost into Php 50,000.00 which shall be used for

purchasing of textiles needs by the costumers.

Waste Disposal System

The propose business will apply proper waste disposal. Proper waste disposal

includes the segregation of biodegradable, non-biodegradable, and recyclable waste

materials. Waste materials shall be place into proper waste disposal where garbage

truck assigned by the LGU could easily access and pickup it.

Reminders to the Costumer

The propose business remind its valued customers to always check their

clothing before leaving the shop.

43
 CHAPTER VI

THE FINANCIAL MEASURE

The financial aspects of propose business includes the projected cost, source

of financing, basic assumption, financial statement and analysis.

A. PROJECTED COST

44
 Table XVI
List of Projected Cost

Particular Cost

Overhead Cost

1. Business License Expenses Php 5,061.00

2. Rentals and Minor Repair Expenses Php 17,100.00

3. Utility Expenses Php 48,300.00

4. Advertising and Marketing Expenses Php 1,550.00

5. Salaries and Wages Expenses Php 312,000.00

6. Mandatory Benefits Expenses Php 73,000.00

Total Php 529,011

Operating Cost

1. Machineries and Equipment Costs Php 61,770.00

2. Furniture and Office Supplies Costs Php 6,700.00

3. Production Cost Php 50,000.00

Total Php 118,470.00

Grand Total Php 647,481.00

Table 6.1 show the projected cost of the propose business for its operation. It

includes the overhead and operating expenses of the business.

45
Source of Financing/Mode of Financing

The form of propose business is a partnership. Partnership is form of business

organization of two or more persons that contributes money, property and industry to

a common fund to earn profit. The total contributed capital of the propose business is

Six Hundred Fourty-seven Thousand Four Hundred Eightyty-one Pesos (Php

647,481.00).

The propose business shall be composed of 10 general partners who will

contribute Php 64,748.1 for the business to complete Php 647,481.00 as starting

capital of propose business.

B. FINANCIAL ASSUMPTION

Annual Finance Assumption

a. Annual increase in sale by 10% due to the increasing of hardware and

constructional supply materials demand.

46
b. Annual increase in cost of 10% due to the increase of sales. As per the Law of

Demand states that “If the demand is higher, the supply corresponds”. Hence the cost

also increased.

c. Annual salaries and mandatory benefits increase in 5% due to the increase of sales

and the inflation.

d. Annual increase in the utility expenses by 5% to cope-up with the average inflation

rate.

e. Annual increase in all other expenses by 5% due to the increase of net income.

f. Annual increase in merchandise by 3% due to the increase in the price of products

and services.

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48
49
 D. FINANCIAL ANALYSIS

Table XIX
ROI Five Year Projection

PROJECTED ROI FOR (5) YEARS

Particular Year 1 Year 2 Year 3 Year 4 Year 5

Net Income 113,608.00 157,266.53 205,168.16 257,023.64 314,006.48
Total 138,701.75 152,571.93 167,829.12 184,612.03 203,073.23
Investment
ROI 0.20% 0.27 % 0.34 % 0.41 % 0.48 %

ANNUAL ROI ASSUMPTION

Formula for calculating ROI:

ROI = Net Income / Total Investment (100%)

 YEAR 1

50
 ROI = for every ₱ 1.00 of investment there will be an increase return of 0.20 centavos

of return.

 YEAR 2

ROI = for every ₱ 1.00 of investment there will be an increase return of 0.27 centavos

of return.

 YEAR 3

ROI = for every ₱ 1.00 of investment there will be an increase return of 0.34 centavos

of return.

 YEAR 4

ROI = for every ₱ 1.00 of investment there will be an increase return of 0.41 centavos

of return.

 YEAR 5

ROI = for every ₱ 1.00 of investment there will be an increase return of 0.48 centavos

of return.

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 CHAPTER VII

SOCIO-ECONOMIC AND SOCIAL RESPONSIBILITIES

Tailoring shop can provide their employees by employing them and earn for

their families. It can help sustain their basic needs in life and can provide them

experiences that they can used later on in their own enterprises.

The propose business will be a good for those individuals who needs tailoring

services. It also a good partner of organizations or institution as the business might

serve based on their specification of garments.

This will also provide and contribute to the government through taxes that will

contribute to the local government, local employment, and favorable partnership with

stakeholders.

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 CHAPTER VIII

SUMMARY OF FINDINGS, CONCLUSION, AND RECOMMENDATION

Findings

The propose business aimed to determine the viability of putting up Tailoring

Shop at Poblacion, Datu Paglas, Maguindanao Del Sur. Base on the productive study

of the researcher, it is found out that 80% or 64 out of 80 of the respondents are in

favor for the establishing new tailoring shop, while 20% or 16 out of 100 are not in

favor. The business proposal has a total capital of Php 567,920.01.

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Marketing aspect of the study

On the marketing aspect of the study, following are findings: The target market of the

proposal research study is the customers who usually needs cloths and dress for their

jobs, works and other human daily activities.

 Sewing of student’s uniforms is common in the Datu Paglas, Maguindanao Del

Sur.

 The total projected sale for five (5) year is Php 3,033,943.2.

Organization and Structure aspects of the study

On the organization aspect of the study, following are findings;

 The propose business organizational type is General Partnership.

 The proposed business composed of manager/owner and the sewer men.

Technical aspect of the study

On the technical aspect of the study, following are findings;

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 The propose business shall be placed and located near at Commercial Building of

Poblacion, Datu Paglas, Maguindanao Del Sur.

 The propose business shall be operated Saturday to Thursday and opened 7:00am

to 5:00pm.

Financial aspect of the study

On the financial aspect of the study, following are findings;

 The projected statement of comprehensive income for five (5) years shows the net

income of the business.

 For first year, the business will earn Php 113,608.00, for second year, the business

will earn Php 157,266.53, for the third year, the business will earn Php

205,168.16, for fourth year, the business will earn Php 257,023.64, and for the

fifth year, it will earn Php 314,006.48.

 The business will earn with the total projected sale for five (5) year of Php

1,047,072.81

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Conclusion

Based on the data and information being gathered, it is therefore that the

establishment of Tailoring Shop at Poblacion, Datu Paglas, Maguindanao Del Sur is

really feasible.

Recommendation

56
 Based on the conclusion drawn on the study, establishment of Tailoring Shop

at Poblacion, Datu Paglas, Maguindanao Del Sur is recommended.

BIBLIOGRAPHY

Datu Paglas, Maguindnao Profile 2020 PhilAtlas. Retrieved August 09, 2022

https://www.philatlas.com/mindnao/barrm/maguindnao/datu-paglas.html

Datu Paglas Competitive Index. Retrieve August 12, 2022.

https://cmci.dti.gov.ph/lgu-profile.php?lgu=Datu%20Paglas

57
Binding Your Business in the Construction Materials Industry. Retrieved August 19

2022.

https://www.eazystock.com/blog/building-business-construction-materials/

amp

A Review of Literature on Construction Supply. Retrieved September 28, 2022

https://www.irbnet.de/daten/iconda?CIB16515.pdf

Detailed Feasibility Report on Construction Materials. Retrieved September 03, 2022.

https://www.moea.gov.bt/wp-content/uploads/2017/10/construction-Part-1.pdf

Hardware & Construction Suppliers Price 2022 Philippines. Retrieved September 7,

2022.

https://www.topsmosthardware.ph/how-much-are-hardware-and-construction-

suppliers-in-the-philippines/

58
 APENDICES

Survey Questionnaire

To the Respondents

The study, generally, shall be to determine the Coffee Shop which the

customers want to avail/buy and which price they preferred. The data to be gathered

59
will help the administrator, thesis coordinator, adviser, parents, restaurant offering

coffee drinks and costumers to identify the demand of Coffee Shop.

Instruction: Put a check ( ✔ ) on the space corresponding to you answer.

Disclaimer: Your response via this questionnaire will be uses strictly for academic

purpose only.

PART I. Personal Information

1. Name (Optional) :__________________________________________________

2. Age

20 years old and below 31 – 35 years old

21 - 25 years old 36 and above

25 – 30 years old

3. Sex

Male Female

4. Occupation

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 Student Self Employee Employee

5. Monthly Income

3,000.00 and below 3,000.00 - 6,000.00

6,000.00 – 9,000.00 9,000.00 – 12,000.00

12,000.00 – 15,000.00 15,000.00 and above

PART II. Survey Questionnaire

1. What type of clothing do you buy most often?

Business Clothing Casual Clothing

Formal Clothing Sports Clothing

2. How often you buy clothes?

Several times per week _____ Several times per month _____

Several times per year _____ Less often _____

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3. What is your usual clothing size?

XS (extra small) ___ S (small) ___ M (medium) ___

L (Large) ___ XL (extra-large) XXL (double extra-large)

4. What is your favorite color to wear?

White ___ Red ___ Blue ___ Green ___

Any of secondary color ___

5. What is your favorite pattern to wear?

Dice ___ Stripes ___ Dots ___ Plain ___

6. How much do you spend on clothing per year?

Php 500.00 – Php 1,000.00___ Php 1,000.00- Php 2,000.00___

Php 2,000.00 – Php 4,000.00___ Php 4,000.00 - Php 8,000.00

Php 8,000.00- Php 16,000.00 Php 16,000.00 – Php 32,000.00

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7. Did you buy ready-made clothing such as school uniform and working uniform?

Yes No

8. When you buy readymade school uniform and working uniform did it suited to

your body?

Always ___ Sometimes ___ Rarely ___ Never ___

9. What would you choose when buying clothes?

Ready made clothing Tailored Clothes

10. Would you want to get a designer for your clothing?

Yes No

11. What time you spend to get customized stitching done?

1–3 days _____ 3–7 days _____ 7-15 15-30 days _____

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12. Did you experience buying tailored clothes at tailoring shop?

Yes _____ No_____

13. What common problems you encountered when you visit at tailoring shop?

Time delay _____ Quality stitching _____

Sort of designs _____ Trust issue _____ Price _____

Others (pls. specify) ____________________________________________________

14. What is the more difficult for you to get?

Tailoring Services _____ Full Designer Stuff _____

Alteration Services _____ Others (pls specify)_______________________

15. How often you need tailoring service?

Once in a month _____ Occassionally _____

Festive season _____ When I need ethnic _____

When I need formal clothing _____

64