EXECUTIVE SUMMARY

Name of Proponent

The proponent is the youngest child of Mr. and Mrs. Nestor and Cristina Año.

She is currently residing in Talim Island, Binangonan Rizal together with her three

children and her husband. She graduated at Tomas Claudio Colleges in May 2014

with a Degree in Business in Accountancy. The business will be owned 100% by

proponent and its operation will be controlled solely by the owner. There are no

partners in the business. The proponent will invest a capital that is sufficient to

establish the business.

Name of Business

Business name is one of the most critical aspects in starting a business. It carries

the value of defining a business nature and business identity. A business name is

the foundation of the trademark design which has a significant value in industry.

The name of the proposed business is 3Kings’ Fish Dealer which came from the

idea of the three Kings in History, the popular Nativity figures, Gaspar, Melchor, and

Baltazar. The proponent has also three kings on her life, her three sons namely

Khian Khyle, Kyrie Drew, and Klifford Austin. The proponent chose to name the

business as it is to give the project a personal touch and to gives the children a

sense of belongingness.

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 The business is registered in SEC as Sole proprietorship as it is solely owned by

proponent.

3King’s Fish Dealer offers variety of fresh-water fish to market vendors located in

Binangonan, Morong, and Taytay, Rizal.

Location

The location of the business will be near the fishpond area in Bangad,

Binangonan, Rizal where the proponent will buy products from fishpond and fish

cage owners and from other fishermen as well and the target market around

Binangonan, Morong, and Taytay, Rizal.

3Kings’ Fish Dealer does not have physical store in land as its focus is buying

products from fishpond and fish cage owners and sell it directly to the target market

on the same day the product is bought.

To have it convenient for the fish owners, 3Kings’ Fish Dealer will create a

bamboo hut that will serves as delivery area where fish deliveries will be sorted,

organized, and recorded. There will be an enough space to operate the business

considering its nature.

The location has many advantages. One of this advantage is that upon buying

the products from fishpond owners, the product will be directly transferred using a

fish delivery boat to preserve the freshness of the product. From the fish delivery

boat, the products will be transferred to a truck and will be delivered directly to

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market vendors. The business location is also near the busy Binangonan Wet

Market and fish port area.

Industry Background

Philippines is one of the top fish producing countries in the world. Fishing has

been an important source of livelihood for Filipinos as fish being the country’s

second staple food next to rice. On the average, every Filipino consumes daily

about 98.6 grams of fish products.

Fresh-water fish can be found on rivers, lakes, river basins and ground water

reservoirs. One of the Philippines’ chief sources of fresh-water fish is Laguna de

Bay which is the country’s largest inland body of water, and Southeast Asia’s third

largest fresh-water lake.

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Project Timetable

Table 1

Project Timetable

Month during Year1

Month Month Month Month Month Month Month
Activity 1 2 3 4 5 6 7
Preparing the
Business Plan              
Acquisition of
Funds              
Securing Permits
and Licenses              
Building the
Location              
Ordering Machinery
and Equipment              
Identifying the
Product Source and
Target Market              
Hiring and Training
of Employees              

Start of Operations              

Mode of Financing

The capital investment will be provided by the sole proprietor with a total amount

of P1,207,440.00 through personal savings and borrowings from family and friends

without interests. Personal savings are opted to avoid spending time trying to secure

other forms of funding from investors or banks. Self-financing will give the business

much more control than other financing options. The proprietor will retain full ownership
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of the business which means that 100% of future profits will be concentrated and solely

received by the proprietor.

Total investment costs are presented below.

Investment Costs

Table 2

Investment Costs

Particular Amount
Machinery and Equipment 558,000.00
Furnitures and Fixtures 30,000.00
Supplies 9,000.00
Employees Salaries/Utilities 65,440.00
Government Taxes and Licenses 19,000.00
Recruitment and Training 11,000.00
Miscellaneous Expense 15,000.00
Working Capital to buy main product 500,000.00
TOTAL 1,207,440.00

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Project Summary

Market Feasibility

In Rizal, there are only few market masters who offers fish delivery directly to

marketplace. 3Kings’ Fish Dealer seeks to meet the demand of the market vendors from

Binangonan, Morong, and Taytay, Rizal for fresh-water fish. It will offer its potential

customers with various kinds of fresh-water fish such as tilapia, bighead, carp, milkfish,

goby fish and silver perch

The products will be offered for a reasonable price using strategic and

competitive pricing that ranges from P35 to P200 depending on the product to be sold.

The complete price list is presented on Chapter 2 under Product Rates.

As a fish dealer, the place of distribution of 3Kings’ Fish Dealer is simple and

direct. It will directly deliver the fresh-water fish to the market vendors located in

different areas in Rizal through its trustworthy, reliable and flexible driver and helper.

Direct supplies of fish will be bought from fish cage owners, fishpond owners and other

fishermen in Binangonan within the Laguna Lake area.

Technical Feasibility

The proposed project will offer products such as tilapia, bighead, carp, milkfish,

goby fish and silver perch. There is no technological equipment to be used as its focus

is buying the products and delivering them to the market vendors on the same day. The

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project will use a journal to record the in and out of the products. Its location will be near

the fishpond area in Bangad, Binangonan, Rizal along Laguna Lake where the

proponent will buy products from fishpond and fish cage owners and from other

fishermen as well and the target market around Binangonan, Morong, and Taytay,

Rizal. The location area is approximately 20 square meters and will be an enough

space to operate the business considering its nature.

3Kings’ Fish Dealer will operate six (6) days per week from Tuesday to Sunday

with Monday as day off. Working hours for helpers will be nine (9) hours from 6:00 a.m.

to 3:00 p.m. but it is estimated that only eight (8) hours will be devoted in delivering the

products to marketplace and the remaining one (1) hour will be for short term breaks.

As for the maximum capacity of the business in terms of number of helpers and

driver, 3Kings Fish Dealer will start two (2) helpers and one (1) driver on the first year of

operation with additional one (1) helper on the third year of operation to fully

accommodate the projected number of demands for these periods. This will make a

total of four (4) helpers and driver at the end of third year of operations.

The operations flow of 3Kings’ Fish Dealer is to receive fresh-water fish from

suppliers. The products will be sorted based on its type and on its size. Once the

products are sort out and recorded, these will be transported first using a boat until it

reaches Binangonan port. From Binangonan port, two helpers will deliver the fish

products to market vendors on Binangonan, Morong, and Taytay, Rizal using an elf

truck to ensure the freshness of the products. The other helper will return the boat to the

business location.
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Management Feasibility

The form of business organization for 3Kings’ Fish Dealer is sole proprietorship,

the simplest and most common form of business. The proponent is the sole proprietor

and owner of the business and will have the complete control and decision-making

power over the business and is the only recipient of all profits the business earns.

However, the sole-proprietor is also responsible for the business’ debts, losses and

liabilities.

The proponent will employ three (3) helpers, two of them have skills in driving a

boat and a truck. Employees will be evaluated for interpersonal skills, technical skills

etiquette, and honesty.

The proponent will thoroughly select these employees who will be the frontliner of

the business and will make sure that the needs of every vendor will be attended through

proper orientation and training.

Reasonable, competitive and fixed compensation salaries and benefits will be

provided accordingly to employees. Benefits include government mandatory benefits

like SSS and Pag-ibig and an annual bonus.

Financial Feasibility

At the inception of the business, proponent shall provide a capital to finance the

project amounting to P1,207,440 for the initial project costs which will be used to finance

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the expenditures in putting up the business such as building the business location,

purchase of machineries and equipment, furnitures and fixtures, supplies, initial

employee salaries, and the project’s working capital.

The sales revenue for the first year of operation is P21,371,040 with a growth

rate of 1.5% every year. It is projected to earn a net income of P4,346,280 or 20.34%

net profit margin for the first year and an average of P4,666,845.60 for the succeeding

years. The statement of financial position shows the ability of the business in terms of

liquidity and solvency to satisfy the proponent and earn a reasonable profit.

Socio-Economic Feasibility

The proponent also considers studying the social and economic participation of

3Kings’ Fish Dealer. The business analyses how it will affect the community where it will

operate.

Being an archipelago that is made up of 7,107 islands, the Philippines enjoys the

vastness of the oceans and seas that surround its peripheral territories. Suffice to say

that the country is truly blessed with its bounty of natural resources thriving in these

water bodies.

Fishing has been an important source of livelihood for Filipinos, fish being the

country’s second staple food next to rice. On the average, every Filipino consumes daily

about 98.6 grams of fish and fish products. (psa.gov.ph).

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 Population in the Philippines has grown significantly and with this, the demand

for basic commodities has increased. The demand for fish, both for food consumption

and other uses, has increased correspondingly. Consequently, many of the households

from coastal areas have made fishing as their source of livelihood.

The proposed project will be beneficial to the community where it operates as it

will create employment, reduce poverty and increase the income of residents. Taxes

that will be paid by the proposed business will help the local government in its programs

and projects, such as additional employment opportunities for local communities,

improvements of roads and other government infrastructures and additional funds for

livelihood programs.

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 Chapter 2

MARKET STUDY

Market Description

Areas of Geographical Coverage

3Kings Fish Dealer will build its operating facility by the lake in Laguna de bay,

right in front of Barangay Bangad which is accessible to local communities and

consumers.

The business location will be built using bamboo plants and galvanized roof.

Bamboo hut can last up to 10 years and will require minimal renovation. 3Kings Fish

Dealer will create a service area dedicated to fish cage owners, fishpond owners and

other fishermen who will deliver the product to this location. The service area will also

serve as their resting area while waiting for their fish products to be sorted and recorded

by the business owner.

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Projected Demand

Based on Target Market:

Number of Vendors 360

Target Market 5%
Projected Target Market 18
Average order per day 50
Average demand per day 900
Operating days per week 6
Average order per week 5,400
Number of weeks in a month 4
Average order per month 21,600
Number of months in a year 12
Average order in a year 259,200

Table 3

Projected Demand

Number of
Types Size % of Demand per Type of Fish Kilos
1
Small 5% 2,960
Mediu 5
Tilapia
m 23% 9,616
6
Big 25% 4,800
Mediu 1
Bighea m 7% 8,144
d 2
Big 9% 3,328

Carp Big 3% 7,776

Mediu 2
m 10% 5,920
Milkfish
2
Big 8% 0,736
Goby Big 5% 1

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 fish 2,960
Silver 1
Perch Big 5% 2,960
TOTAL 100% 259,200

Projected Sales

Table 4

Projected Sales in a Year

Selling
Types Size Number of Kilos Price Total

Small 12960 35 453,600.00

Mediu
Tilapia
m 59616 50 2,980,800.00

Big 64800 70 4,536,000.00

Mediu
m 18144 40 725,760.00
Bighead
Big 23328 50 1,166,400.00

Carp Big 7776 60 466,560.00

Mediu
m 25920 80 2,073,600.00
Milkfish
Big 20736 120 2,488,320.00

Goby fish Big 12960 250 3,240,000.00

Silver
Perch Big 12960 250 3,240,000.00

Total Projected Sales in a Year   21,371,040.00

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Projected Cost of Goods Sold

Table 5

Projected Cost of Goods Sold

Buying
Types Size Number of Kilos Price Total

Small 12960 25 324,000.00

Mediu
Tilapia
m 59616 45 2,682,720.00

Big 64800 55 3,564,000.00

Mediu
m 18144 20 362,880.00
Bighead
Big 23328 30 699,840.00

Carp Big 7776 50 388,800.00

Mediu
m 25920 70 1,814,400.00
Milkfish
Big 20736 100 2,073,600.00

Goby fish Big 12960 150 1,944,000.00

Silver
Perch Big 12960 150 1,944,000.00

Total Projected Cost of Goods Sold in a Year   15,798,240.00

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Projected Net Income

Table 6

Projected Net Income

SALES REVENUE 21,371,040.00

COST OF GOOD SOLD 15,798,240.00
GROSS MARGIN 5,572,800.00

OPERATING EXPENSES:
Salaries 814,920.00
Government and Taxes 19,000.00
Recruitment and Training 11,000.00
Miscellaneous Expense 180,000.00
Gasoline Expense 201,600.00
Total Operating Expenses 1,226,520.00

NET INCOME 4,346,280.00

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