VITA CHIPS

Business Pitching

Presented by:
James Kenneth Batirzal
Edmar Despi
Jenifer Lucero
Elsa Ducay
Jean Parly Bioco
Eden Macellones
Executive Summary
Product
Nowadays, a food environment in the country which affects people’s choices and eating habits was
“failing”. Most people (children or adults) were eating fewer fruits and vegetables. Making different
kinds of fruits and vegetables into chips with different flavors is an advantage to convince people in
eating it. So, Vita Chips was built to help the customers health since nowadays a lot of many diseases
develop that can affect the state. These variety of healthy chips is the guarantee to prevent them to be
sicked. There is a huge demand for the chips from the rural as well as urban area: people prefer instant
food, but vegetables and fruits chips are best options for snacks it eliminates hunger quickly.

Customers
Vita Chips intends to cater people of all ages, with more emphasis on the individuals(resident and non-
resident) such as students, teachers, office workers, tourist, and etc. We have chosen this group for
several reasons. We believe that the age group from 4-19 years old, as well those who are at the
toddler age(1-3 years old), is the age bracket where brand building efforts take place. They are also
assumed to be given limited budget and seek value/price not exceeding or stretching their budgets.
Our secondary target market, ranging from ages 20 and above are assumed to be the restaurant user
group or those who spend more money on food. They have more flexible income and are more likely to
seek a higher value/price for the food they are purchasing.

Future of the Company

The business will be involved in the production, packaging and distribution of different healthy chips. Our
plan is to build our brand to become a household main all across the province if ever but the main focus
is at near plaza. We want our healthy chips to be found in super markets and store all across the
province. With the help of online marketing strategy and sharing of the best experiences of the
customers that would lead to persuade and encourage someone to try this kind of fruits and
vegetables chips helps to recruit a big number of customers. In the long run with the success, Vita
Chips would expand the business products nationwide including worldwide. As profits increase, Vita
Chips will look to add more employees to assist us. The company will increase awareness to our
targeted customers through online advertising and proactive public relations campaign.
Company Description
Vita Chips is a food business. It is a healthy chips food stall that established to cater a variety of
healthy chips to satisfy the cravings of the customers, the stall is made up of metals which is durable
and will-built. Its location is in Poblacion, Madridejos, Cebu near plaza. This business will operate initially
in the province and will plan to franchise if ever the business will have a good income.
Different technical specs and other strategies are made to attract the prospective buyers to gain a
good income and for the business to prosper.
The business proposal aims to provide:
• A product that is healthy that will also satisfy their cravings and eliminates hunger quickly.
• A clean stall to operate for them to be safe from eating our products.
• A good quality of food with affordable price for the students and other potential customers; and,
• A store that gives you a healthy lifestyle.

Mission and Vision Statement

Mission

• To bring pure, tasty and crunchy chips to the customers

• To provide an eco-friendly and premium service to our customers
• To supply and offer them a food with excellent quality but with a very affordable price
• To ensure the satisfaction of the customers with our products

Vision

 To become a top local producer of healthy chips

 A company that gives the best quality of chips in the country

By the year 2025, the Vita Chips corporation will be a locally competitive chips company and will be
one of the major product producers in the market.

Goals
 To earn honest profit

 To make chips an outstanding and rewarding company

 To make a strong market

 To compete in other companies

Core Values
Vita Chips food stall, a business establish to have an environment friendly and customer friendly
approach with good quality foods to be served at a reasonable price. Having a good relationship
between it’s employees and customers will lead to the betterment of the business and also with
regard to its economic stability.

Principal Members
Vita Chips is a corporate business that is located near plaza at Poblacion, Madridejos, Cebu. It is a
corporation business which gained its initial capital of PHP 70,000 from contribution of its stakeholder
Mr. James Kenneth Batirzal which contributed 30 % share , stockholders whom are Mr. Edmar Despi
and Ms. Jenifer Lucero which contributed 20% shares and partners whom are Ms. Elsa Moradas, Ms.
Jean Parly Bioco and Ms. Eden Macellones which contributed 10% share.

Legal Structure
Vita Chips is a food business. It is corporate business with having its stakeholder, stockholders and
partners. This venture will succeed with the help and knowledge of the stakeholder, stockholders and
partners that have background of managing business and its operational system. Along with the main
stakeholder, stockholders and partners background on managing business, the company also has the
assistance of competent department leaders and the accomplished operations and marketing personel
to handle daily activities of the store.
Market Research
Industry Analysis
According to the Ifex Philippines the growing demand for convenience has led to the expansion food
service industry in the form of fast food restaurants and casual dining restaurants. Full-service
restaurant are also growing, especially in fashionable shopping or dining areas. However, competition in
this segment is rather keen, with restaurant operators always interested in new and exciting menu
ideas to attract customers. Based on the 2021 nationwide Census of the Philippine Business and
Industry(CPBI), the Philippines food service amount to roughly US$ 7.2 Billion with an estimated 15% -
20% annual growth over past decades.
The increasing urbanization, changing consumer behavior and millennials preference toward eating out
has majorly benefitted the food service sector of the country. Many foreign players are eyeing on this
potential country and strategizing to boost market penetration by increasing the exports to the country.
Philippine remains the largest market for consumer- oriented food and beverage exports from the U.S
to supplement the food service sector. A report published by USDA stated that products such
Condiments and Sauces, Processed Vegetables, Chocolate and Cocoa products experienced a
considerable growth rate.
With regard to Madridejos Municipality, it is known for selling dried fish, scallops and other products
that obtained or taken from the sea. Some entrepreneurs also sells potato chips, banana chips and etc.
that they sold it in the area. We are confident to pursue our business which is Vita Chips that made from
mixed vegetables and fruits as it is uniquely made.

Detailed Description of Customers

Vita Chips intends to cater people of all ages, with more emphasis on the individuals(resident and non-
resident) such as students, teachers, office workers, tourist, and etc. We have chosen this group for
several reasons. We believe that the age group from 4-19 years old, as well those who are at the
toddler age(1-3 years old), is the age bracket where brand building efforts take place. They are also
assumed to be given limited budget and seek value/price not exceeding or stretching their budgets.
Our secondary target market, ranging from ages 20 and above are assumed to be the restaurant user
group or those who spend more money on food. They have more flexible income and are more likely to
seek a higher value/price for the food they are purchasing.
Age- Our target market will cater mostly to the students but we will also cater to all ages; those
students who are schooling from different schools and even office workers, construction workers and
to all people who wish to buy our food.
Gender- We will target both sexes: all individuals regardless of gender, with a slight prejudice on the
individuals who have a dietary concerns.
Income- We will appeal mostly to the medium income individuals and to those in the lower medium
income bracket.

Market Needs
Vita Chips sees our target market group as having many needs with regard to food consumption and
experience. Recent trend analysis identified the possible needs of our target markets. These includes
having:
• A variety and flavor of the food product;
• Speedy service;
• Quick preparation;
• Convenience;
• Ready to eat meal options; and
• Social media marketing
According to the Philippine statistics authority agriculture inched up by 0.4% by in the fourth quarter of
2019. Crops, poultry, and fisheries posted increase in production while livestock production contracted.
Crop production grow by 1 % during the quarter and shared 50.6% in the total agricultural output.

Market Trends
In the past, up until present, Filipinos always preferred buying packaged chips by well-known Filipino
brands such us Oishi, Jack n’ Jill, Leslie’s, etc., and premade chips from well-known food stalls. But the
trend seemed to have shifted as of recent with the people buying and patronizing local brands and
locally made products by different entrepreneurs in every region, resulting to their immediate growing
success. For example, a group entrepreneurs in Madridejos selling packaged banana chips with
different flavors to promote the banana cultivation in the province. In this ways it helps them earn more
income and encourage other entrepreneurs to do the same, also resulting to an increase in tourism.

Company Advantages
With different flavors
We are aware that there are several large and small scale chips production business scattered all
around Madridejos, which is why we spent time and resources to conduct our feasibility studies and
market survey so as to offer much more than our competitors offering.
We will ensure that our customers will be given first class treatment whenever they visit our stall we
have an employees that will enable us manage a one on one relationship with our customers no matter
how large the number of our customers base may grow to.
We will ensure that we get our customers involved when making some business decision that directly
affect them , Vita Chips will at all times demonstrate its commitment to sustainability, both individually
and as a firm, by actively participating in our communities and integrating sustainable business
practices wherever possible. .
We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s
needs precisely and completely. We will cultivate a working environment that provides a human,
sustainable approach to earned a living and living our world for our partners, employees and clients.

Regulations
There are several regulations that need to be followed in producing and selling Vita Chips. Below are
some of the key:
• Food safety regulations
• Labeling requirements
• Ingredients
• Quality standards
• Allergen labeling
• Packaging requirements
• Advertising regulations

We will ensure that our products are safe, high-quality, and meet the expectations of our target
customers.

Competition
Main Competitor’s
With regard to out target market, our main competitors in Poblacion, Madridejos, Cebu are:
• My Potato treats
• Onsoy Banana Chips
• Crackers
• Lando’s Beef Shawarma
• Nomnom
• Convenience stores
Service Line
Product/Service
Vita chips will cater their customers through a stall. Below are the products of Vita Chips (which is
mixed vegetables and fruits) will be offering, comes in a wide variety and sizes but in a very affordable
price. The products also includes with different flavors:
Pricing Structure
Intellectual Property Rights
Vita Chips is a trademark name of our Product Business Company, and we have applied for protection
of our secret techniques as well as other intellectual property including our logo and tagline. To avoid
the likelihood of stealing our business designs and trademarks, we have also registered our domain
name and parked pertinent sources in social media.

Research and Development

The primary objective of this research and development proposal is to produce a line of high-quality,
healthy, and tasty fruits and vegetables chips that meet the needs and preferences of consumers.
The specific objectives are as follows:
-To identify the most suitable fruits and vegetables for making chips based on flavor, texture, nutritional
value, and availability.
-To develop optimized processing methods that result in crispy and flavorful chips while retaining the
nutrients and taste of the original fruits and vegetables.
-To test and refine the chip recipes and optimize the formulation based on feedback from taste testing
panels.
-To develop packaging solutions that prolong the shelf life of the chips and ensure freshness and quality.
This research and development project will enable the production of a snack product that is healthy,
delicious , and convenient for people of different age groups.

Marketing & Sales

Growth Strategy
Identifying the opportunities for the Vita Chips will give a lot of advantage in terms of reaching
customers. We all know that the internet is taken over our lives and basically became a part of our
everyday life. In terms of marketing, internet can be useful. Online advertising is a promoting procedure
that includes the utilization of internet as a medium to get site traffic and target and convey advertising
messages to the correct clients. Internet promoting is intended for characterizing markets through
interesting and valuable applications. Creating website traffic that will give netizen an information about
our product will be much easier from reaching potential customers that may give interest to our
business since our business is vita chips is a small type of business. Therefore, creating website for our
business can surely give our business a chance to grow and also to cope up with a new way of
advertising thru the use of internet.

Communicate with the customers

Vita Chips will communicate with its customer by:
• Posting our products to social media which includes meeting them online/ video calling.
• Providing contact information on our business.
• Meeting them in actual.

How to sell
To sell our products we have to encourage the people to try the Vita Chips as it is healthy chips. Also,
we will convince the target market that our products is for all individuals from all ages and gender. In
addition, it will conduct promotions every special occasion like customers may receive free
merchandise when they purchases over the particular required amount. In order to get a large number
of customers we will use the high technology like creating a website which we can consistently market
our products in promotions and share it on social medias.
Operational Plan
The locations for the operations of the business will be set in a specific area where located near plaza
at Poblacion, Madridejos, Cebu. All the offices/areas of the business such as selling area, marketing
office, and the administrative office will be display in that area .
The zone of operations is within the Bantayan Island. It is found located near plaza at Poblacion,
Madridejos, Cebu. The business will use a food kiosk/food booth or food stall for the service facility. It is
a structure wherein it is used to prepare food for the general public. The area of the operation is perfect
since it is available to the potential clients specifically to the students, office workers and
representatives of the company. The deals zone of the business can suit 30-45 clients at most extreme.
The selling and offering of the items or products happens on the selling area. The sales staffs are in
charged in processing the inquiries of the customers.
The requesting and ordering of inventories happens in the administrative division wherein the upper
management is assigned on communicating and interacting with the respective suppliers for the raw
materials and fees needed in the production of the end products the business is offering.
For us to be able to execute and accomplish our day-to-day operations efficiently and effectively,
monitoring the staffs’ performance in doing the tasks assigned while giving the right amount of
compensation and incentives the employees deserve to receive. Right management of flow and
outflow of money will also help the business to have sufficient funds to keep the business going.
Financial Plan
Vita Chips is a corporation. It is a corporation business which gained its initial capital of PHP 70,000 from
contribution of its stakeholder Mr. James Kenneth Batirzal which contributed 30 % share , stockholders
whom are Mr. Edmar Despi and Ms. Jenifer Lucero which contributed 20% shares and partners whom
are Ms. Elsa Moradas, Ms. Jean Parly Bioco and Ms. Eden Macellones which contributed 10% share.
A. Initial Capital Requirements
Table 1.1 Amount of the contributed for the initial capital.

Name PERCENT AMOUNT

James Kenneth Bartizal 30% 21,000
Edmar Despi 20% 14,000
Jenifer Lucero 20% 14,000
Elsa Moradas 10% 7,000
Jean Parly Bioco 10% 7,000
Eden Macellones 10% 7,000
Total Amount PHP 70,000

The table shows that Mr. James Kenneth Batirzal contributed PHP 21,000, Mr. Edmar Despi and Jenifer
Lucero contributed PHP 14,000, Ms. Elsa Moradas, Ms. Jean Parly Bioco, and Eden Macellones
contributed PHP 7,000.
B. Total Cost of the Products
Table 1.2 Presenting the raw materials and equipment’s

INGREDIENTS UNIT PRICE (PHP ) QUANTITY TOTAL PRICE

Fruits:
Banana 35 2 kilograms PHP 70
Mango 120 2 kilograms PHP 240
Apple 120 2 kilograms PHP 240
Kiwi 850 2 kilograms PHP 1,700
Grapes 260 2 kilograms PHP 520
Bread Fruit 20 2 kilograms PHP 40
Vegetables:
Cucumber 50 2 kilograms PHP 100
Okra 50 2 kilograms PHP 100
Carrot 90 2 kilograms PHP 180
Potatoes 85 2 kilograms PHP 170
Squash 35 2 kilograms PHP 70
Radish 40 2 kilograms PHP 80
Mushrooms 350 2 kilograms PHP 700
Sweet Potatoes 40 2 kilograms PHP 80
Eggplant 35 2 kilograms PHP 70
Flavors:
 Garlic Powder 22 3 kilograms PHP 66
Spicy Barbeque Powder 22 3 kilograms PHP 66
Cheese Powder 99 3 kilograms PHP 297
White Pepper Powder 93 3 kilograms PHP 279
Black Pepper Powder 289 3 kilograms PHP 867
Chili Powder 99 3 kilograms PHP 297
Salt 10 3 kilograms PHP 30
SUB-TOTAL PHP 6,262

MATERIAL USED FOR UNIT PRICE ( PHP) QUANTITY TOTAL PRICE

PACKAGING
Stand Up Pouch 12 500 pcs. PHP 6,000

EQUIPMENT AND TOOLS UNIT PRICE (PHP) QUANTITY TOTAL PRICE

Equipment:
Oven 5,550 1 PHP 5,550
Electric Fan 1,210 1 PHP 1,210
Tools:
Steel Tray 1,999(set) 1 PHP 1,999
Heat Resistance Gloves 95 3 PHP 285
Tong 39 3 PHP 117
Apron and Hairnet 70 3 PHP 210
Mask 30 1 PHP 30
Powder Storage 520(set) 1 PHP 520
Food Containers 108(set) 2 PHP 216
Chopping Board 55 3 PHP 165
Knife 99(set) 2 PHP 198
Plastic Handy Box 185 3 PHP 555
Storage Container
Trash Bin 69 2 PHP 138
Peeler 29 3 PHP 87
Furniture and Fixtures:
Stall 9,899 1 PHP 9,899
Table and Chairs 1,500(set) 1 PHP 1,500
SUB-TOTAL PHP 28,679

Table 1.3 Operating Expenses

EXPENSES AMOUNT
Permits and License PHP 2,360
Promotional Expense PHP 1,150
Salaries Expense PHP 25,500
Utilities Expense PHP 11,500
Rent Expense PHP 18, 800
Depreciate Expense PHP 9,559
Total Amount PHP 68,869

C. Financial Statements
This section presents our financial projections for the term of the plan. The company is raising a large
investment for the purpose of growth and operations. This funding will cover operating expenses and
product development during this period.

Table 1.4 Projected Demand and Sales for 2023

Projected Demand and Sales for 2023

Demand 2023 Price Per Product Sales
Original 2,250 45 101,250
Cheesy Flavor 2,250 45 101,250
Spicy Barbeque 2,250 45 101,250
Salt and Garlic 2,250 45 101,250
Sweet and Spicy 2,250 45 101,250
Total Sales PHP 506,250

Table 1.5 Projected Cost for 2023

Projected Cost for the year 2023

PHP 101,250

Table 1.6 Contribution Margin

Product Name Price Per Products Cost Per Unit Contribution Margin
Original 45 34.5 10.5
Cheesy Flavor 45 34.5 10.5
Spicy Barbeque 45 34.5 10.5
Salt and Garlic 45 34.5 10.5
Sweet and Spicy 45 34.5 10.5
Total PHP 52.5

a. Projected Income Statement

Table 1.7 Projected Income Statement

Vita Chips
Projected Income Statement
For the year ended 2023

2023
Sales PHP 506,250
Less: Cost of good sold PHP 101,250
Gross Income PHP 405,000

Less:
Permits and License PHP 2,360
Promotional Expense PHP 1,150
Salaries Expense PHP 25,500
Utilities Expense PHP 11,500
 Rent Expense PHP 18,800
Depreciate Expense PHP 9,559
Total Operational Expense PHP 68,869

Income before Tax PHP 336,131

Less: Income Tax(30%) PHP 100, 839.3
Net Income PHP 235,291.7
b. Projected Statement of Cash Flow
Table 1.8 Projected Statement of Cash Flow

Vita Chips
Projected Statement of Cash Flow
For the year ended 2023

2023
Cash Inflows
Cash, Beginning
Partners Contribution PHP 70,000
Sales PHP 506,250
Total Cash Flow. PHP 576,250

Less:
Purchased of Fixed Asset PHP 28,679
Raw Materials PHP 6,262
Packaging PHP 6,000
Salaries Expense PHP 88,027
Utilities Expense PHP 11,500
Permits and License PHP 2,360
Rent Expense PHP 18,800
Promotional Expense PHP 1,150
Income Tax. PHP 100, 839.3
Total Operating Expense PHP 263,617.3
Cash, End PHP 287,132.7

c. Projected Balance Sheet

Table 1.9 Projected Balance Sheet

Vita Chips
Projected Balance Sheet
As of December 31,2023

2023
Asset
Current Asset
Cash PHP 287,132.7
Non Current
Furniture and Fixture. PHP 11,399
Equipment. PHP 6,760
 Total Current and Non-current Asset PHP 305,291. 7

Liabilities and Equity

Liabilities

Equity
Partners Contribution. PHP 70,000
Add: Net Income PHP 235,291.7
Total Liabilities and Equity PHP 305,291. 7

Table 2 Financial Ratio

Financial Ratio
2023
Profit Margin PHP 235,291.7/PHP 576,250
= 40%
Return on Investment PHP 235,291.7/ PHP 70,000
= 3.36
Return on Equity PHP 576,250/ PHP 305,291.7
= 1.89
Fixed Asset Turnover PHP 576,250/ PHP 18,159
= 31.73
Total Asset Turnover PHP 235,291.7/305,291.7
= .07