Prepared for:

Mr. Rolando Padernal

Culminating Activity
Business Plan

Prepared by:

Group 4

Jonalyn May Gonzales

Bea Pama
Trixie Mae Aguilar
Althea Mae Almencion
Junji Chiva
Danica de Jesus
Francine Sumbilla
Jherlyn Padernal
Nathalie Joy Bejemino
Bryan Alvarez

1
 Table of Contents

1.0 Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

1.1 Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6-7

1.2 Mission and

Vision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

1.3 Keys to
Success . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

1.4 Start-up costs and

funding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

1.5 Company Ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. 3

1.6 Products and

Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

1.7 Market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
...4

1.8 Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
.. 4

1.9 Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
...5

1.10

Financials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

1.11 Investor
Considerations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

1.12 Disclaimer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
...6

2.0 Company Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

...6

2.1 Start-up Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.. 7

2.2 Start-up Funding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . 10

2.3 Company Ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.. 11

3.0 Products and Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . 12
2
 3.1 Business Model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
.. 12

3.1.1Competitive Landscape . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

4.0 Market Analysis Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . 14

4.1 Market
Segmentation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

4.2 Target Market Segment

Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

5.0 Strategy and Implementation

Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

5.1 SWOT Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.. 16

5.1.1Strengths . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

5.1.2Weaknesses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

5.1.3Opportunities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

5.1.4 Threats . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

5.2 Competitive
Edge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

5.3 Sales Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.. 18

5.3.1 Sales Forecast . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

5.4 Milestones . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
.. 22

5.5 Marketing
Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

5.6 Pricing Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.. 24

5.7 Sourcing
Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

5.8 Location and Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.. 25

6.0 Management Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . 26

6.1 Personnel
Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

3
7.0 Financial
Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29

7.1 Break-even Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . 29

7.2 Projected Profit and

Loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31

7.3 Projected Cash Flow . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.. 34

7.4 Projected Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

.. 36

7.5 Business
Ratios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
36

7.6 Long-term
Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

7.7 Important Assumptions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

. . . 39

7.7.1Risks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

7.7.2 Entry Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41

7.7.3 Investor Interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

7.7.4 Exit Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43

Appendix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
...

45

4
1.0 Executive Summary

Everyone lacks the time to eat a full meal, which is why there are snacks. In
general, 15% of snackers report having constant hunger. Snacks are a convenient and
quick way to satisfy your cravings. Most folks chew every day. We must find ways to
consume meals that are quicker, simpler, and more effective. We are in a position to
assist busy consumers in meeting their nutritional demands as proprietors of snack food
establishments. According to science, snacking provides your brain with the strong
nutrition it needs for higher amounts of serotonin. As you are already aware, more
serotonin corresponds to happier mood. Additionally, keep in mind that your brain
requires fuel to go through a long and demanding day.

As the distinction between meals and snacks is blurred, consumers gain from
snacks that are nutritious and contribute to their daily nutritional needs. For instance, a
food item that is considered a delight may also be a rich source of protein. Emotional
wellbeing, functional result, and assistance with social outlets are additional advantages
of high quality snack meals. Convenience is essential if snack items are to compete with
fast serve restaurants. Food prep times are eliminated by portioning and on-the-go
snacking made possible by packaging. Snacks are also simple to get in retail settings
(Mark Thomas, Michigan State University Extension, 2017).

Foodstagram is a new privately owned snack food house that offers breadroll as
its maindish and side dishes such as street foods, beverages, and other snacks.
Foodstagram aims to convince residents of Passi City by delivering high-quality and
healthy snacks. It is also to gain revenue for employees and to have a productive
workplace. The team give importance to our values as it defines who we are. Our values
include authenticity, accessibility, creativity, quality, community, sustainability, and
customer experience. The business also aims to build profitable relationship among
customers. Our strategy is to provide strong customer service. Income classification is
not a hinder to serve everyone wholeheartedly and with integrity. Aside from building
strong relationship with customers, we promote teamwork and respect.

Our business is nearby Plaza Paloma in Passi City, which offers a variety of
snacks to assist you fight off hunger every day. Since it is located at Paloma Plaza, it is
expected to catch customer’s attention easily as it’s everyone’s tambayan. The business
owners are in charge of providing you at the spot and will always do so quickly and to
heart.
 This business plan will show how a total investment of only Php15,000 could
yield cumulative net profits in excess of Php77,010 over a five-year period, and average
monthly sales of Php4,683 while maintaining adequate levels of liquidity.

The purpose of this plan is to secure additional funding from an investor and a bank
(Php10,000 investment, and Php5,000 five-year term business loan), to cover the start-up costs.

Foodstagram is a snack food house dedicated to providing high quality snacks and
merienda to the residents of Passi City and near towns, in a manner that generates adequate
profit for present and future owners, and superior value to our customers. We specialize in
creating and offering a variety of streetfoods, snacks, breadroll and drinks. Almost 85 000
people live in the Passi City neighborhood, which has rapid growth over years. With this
population, various businesses aims to catch opportunity that can be found in this area.

We are establishing snack food house that delivers various snacks and merienda.

1.1 Objectives

 To establish convincing market presence in Passi City

 To satisfy customers with high-quality and healthy snacks
 To gain enough profits for its employees;

 To generate positive cash flow from operations, and at least 10 percent net profits
to sales.
 Fostering a positive and productive work environment for employees

Objectives Key Result Areas

1. To establish convincing market presence in 1A. Market share in Passi City
Passi City 1B. Increase Revenue
1C. Number of the leading snacks food house
serving residents in passi city
2. To satisfy customers with high-quality and 2A. Increased probability of repeat customer
healthy snacks 2B. Higher Sales
2C. Obtain new customer
2D. Positive feedback to determine customer
satisfaction

3. To gain enough profits for its employees 3A. Profitability projections

3B. Sales revenue return
3C. Equity return
3D . Net profit for the next five years
 4. Fostering a positive and productive work 4A. Number of job applicants in comparison to
environment for employees competitors
4B. Recognize and reward employees for their
hard work and achievements.
4C. Create opportunities for employees to share
their feedback, suggestions, and concerns.

Performance Present One Year Five Years

Indicator Year Target After Target After Target
(2023) (2024) (2028)

1a. Market share in Passi Percentage 10% 20% 50%

City increase in market
share
1b. Increase revenue Total revenue Php300,000 Php500,000 Php1,000,000
generated
1c. Number of the leading Number of 10 8 3
snack food house serving competitors
residents in Passi City

2a. Increased probability of Percentage 10% 20% 50%

repeat customer increase in repeat
customers
2b. Higher sales Percentage 15% 25% 50%
increase in sales
2c. Obtain new customer Number of new 50 100 500
customers acquired

2d. Positive feedback to Customer 85% 90% 100%

determine customer Satisfaction survey satisfaction satisfaction satisfaction rate
satisfaction results rate rate

3a. Profitability projections Percentage 20% 30% 50%

increase in
profitability
3b. Sales revenue return Percentage return 10% 20% 50%
on sales revenue
3c. Equity return Percentage return 12% 36% 60%
on equity
3d. Net profit for the next Total Net profit 750,000 1,250,000 2,500,000
five years projection for the
next five years

4a. Number of job Number of job 20 50 100

applicants in comparison to applicants
competitors
4b. Recognize and reward Number of 5 10 20
employees for their hard employees
work and achievements recognized and
rewarded
4c. Create opportunities for Number of 2 5 10
employees to share their employee feedback
feedback and suggestions sessions or
suggestion
submissions

1.2 Mission and Vision

Vision

To show compelling presence and become the leading snack food house serving residents of Passi City
and near towns within the next five years.

Mission

To provide high-quality and healthy snack foods that would achieve adequate gains in order to enhance
the life of its employees.

Our team will use its strategy, staff, and systems to provide each customer with an
unforgettable experience -- taste of variety of products.

Our values are critical to our success. It define Foodstagram Snack Food House as who we
are, and set us apart from our competitors. They underlie our vision of the future. These values
include:

AUTHENTICITY: Foodstagram can differentiate itself by serving snacks such as bread roll, street foods,
and beverages. Customers expect the same flavors, smells, and textures they would get from food
vendors in the country or region where the dish originated. Therefore, a snack food house business
must use traditional recipes and cooking techniques to create dishes that are true to their cultural roots.

ACCESSIBILITY: Foodstagram would provide affordable and accessible food options. Snack food
house is often seen as a cheap and convenient way to grab a quick bite to eat, and customers expect
the same from Foodstagram. By offering lower-priced options, such as snacks or small plates,
Foodstagram can attract a wider range of customers, including those on a budget.
CREATIVITY: Foodstagram can stand out by offering creative and innovative snack food house dishes.
snack food house is a dynamic and ever-changing food culture, and customers are always looking for
something new and exciting to try. By experimenting with new flavors, ingredients, and cooking
techniques, Foodstagram can create unique and memorable dishes that keep customers coming back
for more.

QUALITY: Foodstagram must use high-quality, fresh ingredients to create delicious snack food house
dishes. Customers expect their snack food house to be made from fresh ingredients and cooked to
perfection. By using fresh and locally sourced ingredients, Foodstagram can create flavorful and
nutritious dishes that satisfy customers' taste buds and provide a healthy alternative to fast food.

COMMUNITY: Foodstagram can build a sense of community by connecting customers with the cultural
heritage and traditions of street food. snack food houseis often associated with outdoor markets and
festivals, where customers can try different dishes and meet vendors from different cultures.
Foodstagram can create a similar sense of community by providing a welcoming atmosphere, hosting
events and workshops, and partnering with other local businesses and organizations.

SUSTAINABILITY: Foodstagram can demonstrate its commitment to sustainability by using eco-

friendly practices and supporting local suppliers. snack food house can generate a lot of waste, from
disposable packaging to food scraps. Foodstagram can reduce its environmental impact by using
biodegradable or reusable packaging, composting food waste, and sourcing ingredients from local
suppliers who use sustainable farming practices.

CUSTOMER EXPERIENCE: Foodstagram can provide a memorable and enjoyable customer

experience by providing excellent customer service, friendly staff, and a welcoming atmosphere. snack
food houseis often associated with a fun and festive atmosphere, where customers can try new dishes,
socialize with others, and enjoy the sights and sounds of the local community. Foodstagram can create
a similar experience by providing a welcoming and friendly environment, offering personalized
recommendations, and engaging customers in conversation about their food and cultural experiences.

By embodying these core values, Foodstagram can build trust and credibility, attract
and retain talent, and achieve their goals and objectives in a sustainable and ethical manner.

1.3 Keys to Success

Our keys to success are:

• High quality product and service that will create and maintain strong and profitable
relationship among customers.

• Having a location that is visible to everybody.

• Providing excellent management ability that effectively put up a small business

• Our devotion to adapt and improve according to trends in order to deliver a more quality
product.
1.4 Start-up costs and funding

After searching for a convenient location, the owners decided to lease a commercial
space in a densely populated area of Passi City. The start-up costs, which include legal
expenses, kitchen inventory and equipment, packing and other materials, insurance, rent,
promotion, business sign, and inventory on hand at start-up, are estimated to be 15,000 Php.
The Foodstagram team members will provide 1,000 Php each as start-up financing, and
additional funding of around 5,000 Php is needed to cover the remaining costs. The purpose of
this business plan is to secure financing for that amount.

The Foodstagram team, consisting of 10 members, will provide the bulk of start-up
financing by contributing 1000 Php each, for a total of 10000 Php. and could be offered a portion
of the ownership of the company capital. The funds provided by the investors will be used to
purchase kitchen inventory and equipment, as well as cover part of the start-up expenses.

The remaining funding of 5,000 Php will be secured through a five-year term bank loan to
meet the cash flow requirements. The borrowed funds will be used exclusively to buy
equipments provided to the lending institution. The loan could be repaid in equal monthly
installments over a five-year period.

The cash-flow analysis demonstrates that the company's capital of Php 10,000 and the
bank loan of Php 5,000 are sufficient to cover the start-up costs and generate profits for the first
few months of operations. It is the ability to repay the loan and meet interest payment
obligations, while maintaining adequate liquidity and generating positive cash flow. It also
ensures sufficient cash reserves for unforeseen future events. More information about the
investor's potential interest in the company is available in the important assumptions section of
this plan.

Based on the estimated start-up costs and funding sources, we are confident that we can
successfully launch and sustain our small food business in Passi City with a total start-up cost of
Php 15,000, consisting of Php 10,000 from the owners and a Php 5,000 bank loan. We have
carefully considered our financial needs and projected cash flows to ensure that we are on track
to profitability and long-term success are information about the investor's potential interest in the
company is available in the important assumptions section of this plan. Based on the estimated
start-up costs and funding sources, we are confident that we can successfully launch and
sustain our small food business in Passi City with a total start-up cost of Php 15,000, consisting
of Php 10,000 from the owners and a Php 5,000 bank loan. We have carefully considered our
financial needs and projected cash flows to ensure that we are on track to profitability and long-
term success.

1.5 Company Ownwership

Foodstagram will be a privately held company owned by a group of 10 individuals with

ownership units which will be distributed among the owners. Jonalyn Gonzales, founder and
CEO, will receive 2 shares of ownership, representing 20% ownership. Bea Pama, co-founder
and Chief Marketing Officer, will receive 2 shares of ownership, representing 20% ownership as
well. Junji Chiva, Chief Financial Officer, will receive 1 share of ownership, representing 10%
ownership. Trixie Mae Aguilar, Chief Operating Officer, will receive 1 share of ownership,
 representing 10% ownership. Six additional team members, Althea Denise Almencion, Danica
De Jesus ,Jherlyn Padernal, Francine Sumbilla, Nathalie Bejemino and Bryan Alvarez will each
receive 1 share of ownership, representing 10% ownership each. One outside investor will
receive 0.8 share of ownership, representing 8 % ownership.

As shareholders, all members will have a say in major business decisions and the
company's overall direction. However, as the majority shareholders, Jonalyn May Gonzales and
Bea Pama will have the final decision-making authority for the company. In the event that any
shareholder wishes to sell their shares or exit the company, they may do so subject to the
company's operating agreement and any applicable laws and regulations.

This ownership structure is designed to ensure that all members have a vested interest
in the company's success, while also allowing for clear leadership and decision-making
processes. It also provides flexibility in terms of bringing on new investors or key employees as
the company grows and expands.

1.6 Products and Services

Foodstagram will offer a wide variety of snacks specifically streetfoods and breadroll, as well
as fillings, curls, and more.

1.7 Market

Almost 85 000 people live in the Passi City neighborhood, which is a booming middle-to-
high class sector. The area around where we are has roughly 600 businesses. Families of three
or more make up the majority of these residents. The region's average monthly income is one
million dollars.

Opportunities to help the citizens of Passi City will rise as the area continues to flourish.
The Snack Food House sells to individuals, but it will also occasionally take on catering projects
for local people and businesses.

The two primary market sectors are local businesses (corporate customers), who often
place larger purchase orders for their employees and company requirements, and individuals
(retail customers), who account for more than 80% of our sales.

The business want to offer products to anyone who is looking for something to satisfy
their cravings. They can be students, employees, or non-working people as long as they live in
Passi City and are looking for fast, cheap, and convenient food. In short, our target
demographics are males and females aged 6-12, 13-18, 19-44, and 45 and up. Opportunities to
serve the residents of Passinhons will grow as the area grows. The company will sell to
individuals, but it will also accept orders from individuals and businesses in the area on an as-
needed basis.

Children- 6-12 years old

Adolescents- 13-18 years old
Adults- 19-44 years old
Seniors- 45 years old and above
1.8 Strategy

Our approach is built on giving customers excellent service for a leading snack food
business to serve locals in a particular industry. We want to provide our product as a new snack
option in Passi City and nearby communities.

In order to gain their loyalty and provide a solid foundation for continuing to serve the
same snacking dishes, we are establishing great relationships with everyone of our clients,
regardless of their financial level. We concentrate on meeting the needs of potential customers
who may be indoors or outside in the Passi city at Paloma Plaza.

1.9 Management

Our management entails keeping an eye on every facet of the business, from getting
supplies to cooking and serving food to controlling personnel and resources. To guarantee that
the firm operates smoothly and successfully, effective management is crucial. Teamwork,
accountability, and respect for one another are the pillars of our management philosophy.

The firm will be run by Ms. Gonzales, with help from Ms. Pama, her assistant, and other
employees.

1.10 Financials

Foodstagram Snack Food House is expected to maintain a healthy financial position over
the next five years, based on our estimate. We also anticipate being profitable in our first year of
operation, with profits increasing over the years as we establish and expand our customer base.

Our primary concern will be making sure we have enough money on hand to cover our
debts and be ready for unforeseen financial requirements. According to our cautious forecasts,
our company can produce positive cash flows and enough cash reserves.

As evidenced by its liquidity, long-term solvency, and cash flow sufficiency ratios,
Foodstagram, financial condition is projected to stay strong, according to the ratio analysis.

According to the company's profitability statistics, its profitability is great and will steadily
rise over the following five years. When the business decides to go public, this performance will
presumably be rewarded by a higher market price.

1.11 Investor Considerations

For investing P2 000 in the company’s capital, the investor would receive an ownership
portion of 20% (200 shares of P100 par value). As the investor will hold between 20 to 50% of
the voting stock, he or she will execute significant influence over the company’s policies. The
expected benefits from the investment will be presented in the important assumptions section
of this plan. It will show that the risk and benefit of the investment are balanced. We have
realized that an investor in a start-up company really needs a transportation vehicle and
maintenance. Our purpose is to provide the best alternative to maintain the interest of our
investors while nourishing the potential growth of our company and to maintain the liquidity and
profitability of the future operation.
1.12 Disclaimer

The plan's estimations are modest, and it carefully considers the negative economic
conditions and possibilities that now exist. Investors are cautioned to take caution while
evaluating alternative investments, nevertheless, as real data nearly always diverges from
forecasts.

This business plan was created to assist investors in better understanding the possible
risks, expenses, and benefits of this project, but it is not meant to be, and should not be taken
as, an offer or solicitation of investments as defined by law in its totality or in any part of it. Any
similarities to actual events, individuals, or data are coincidental and were only intended as
samples.

2.0 Company Summary

Foodstagram is a new snack food house at the city of Passi. It is privately owned by 10
young aspiring owners, namely; Jonalyn Gonzales, Bea Pama, Trixie Aguilar, Junji Chiva,
Althea Almencion, Nathalie Bejemino, Jherlyn Padernal, Danica de Jesus, Francine Sumbilla,
and Bryan Alvarez.

Jonalyn, the founder of Foodstagram, is knowledgeable in business and management,

while Bea, co-founder has exemplified skills in cooking. The two of them aims to establish a
stable business, together with the other owners. The owners decided to put up thisbusiness to
gain profit and shares the same will to deliver unique yet quality snack and merienda that shall
be located at Passi City.

The business goal is to deliver superior performance that will be able to successfully
surpass their expectations with the budget-friendly snack and merienda. The company will serve
more than 85,000 people residents of Passi City and near towns. The location is seen as center
or tambayan of different types of people -- be it students or employees. Accordingly, the rent is
suitable for the company’s budget.

Foodstagram will take advantage of the prices which is affordable for everyone
especially to students. Aside from low prices, we aim to enhance and innovate our
competencies, strategies, and tactics if needed to achieve and meet customer’s expectations by
deciding which expectations are most achievable and hardest to achieve, and then making ways
to constantly achieve them meaningfully, wholeheartedly, and with integrity. Hence, we can
maintain and increase the level of customer expectations and and the customer demands, as
the consistent core for future growth.

2.1 Start-up Summary

The owners have leased a commercial space in a densely populated area of Passi
City. The start-up costs are estimated to be Php 15,000, which include legal expenses,
kitchen inventory and equipment, packing and other materials, insurance, rent, promotion,
business sign, and inventory on hand at start-up.

Legal expenses. These are costs associated with registering the business, obtaining
necessary licenses and permits, and consulting with legal experts to ensure compliance with
local regulations.

Kitchen inventory and equipment. This includes purchasing cooking appliances,

utensils, plates, glasses, and other necessary equipment for food preparation and service.
Packing and other materials. This covers the cost of packaging materials, such as food
containers, bags, napkins, and cleaning supplies.
 Insurance. This includes insurance for the business and its employees, as well as
liability insurance in case of accidents or other unforeseen events.

Rent. This is the cost of leasing a commercial space for the business.

Promotion. This includes advertising costs, such as flyers, brochures, and online
marketing.

Business sign. This includes designing and installing a sign to display the business's
name and logo.

Inventory on hand at start-up. This covers the cost of purchasing initial food inventory
and supplies, such as ingredients and spices.

Table: Start-up
Start-up

Requirements

Start-up Expenses
Legal Php2,000
Php800
Kitchen Inventory
Packing Materials Php500
Kitchen Equipment Php200
Insurance Php1,000
Rent Php400
Promotion Php1,250
Other Expensed Equipment Php500
Business Sign Php200
Permits Php1,000
Office Supplies Php350
Other Php500
Total Start-up Expenses Php8,700

Start-up Assets
Cash Required
Php5,000
Start-up Inventory
Other Current Assets Php1,000
Long-term Assets Php300
Total Assets Php6,300

Total Requirements Php15,000

The Foodstagram team members will provide Php 10,000 as start-up financing, by
contributing Php 1,000 each. Additional funding of around Php 5,000 is needed to cover the
remaining costs. The remaining funding of Php 5,000 will be secured through a five-year term
bank loan to meet the cash flow requirements. The borrowed funds will be used exclusively to
buy equipment provided to the lending institution.
 The cash-flow analysis demonstrates that the company's capital of Php 10,000 and
the bank loan of Php 5,000 are sufficient to cover the start-up costs and generate profits for
the first few months of operations. The ability to repay the loan and meet interest payment
obligations while maintaining adequate liquidity and generating positive cash flow is also
ensured. The financial needs and projected cash flows have been carefully considered to
ensure that the business is on track to profitability and long-term success.

Start up
2.2 Start-up Funding

After searching for a convenient location, the owners decided to lease a commercial
space in a densely populated area of Passi City.

The start-up costs, which include legal expenses, kitchen inventory and equipment,
packing and other materials, insurance, rent, promotion, business sign, and inventory on hand at
start-up, are estimated to be 15,000 Php. The Foodstagram team members will provide 1,000
Php each as start-up financing, and additional funding of around 5,000 Php is needed to cover
the remaining costs. The purpose of this business plan is to secure financing for that amount.

The Foodstagram team, consisting of 10 members, will provide the bulk of start-up
financing by contributing 1000 Php each, for a total of 10000 Php. and could be offered a portion
of the ownership of the company capital. The funds provided by the investors will be used to
purchase kitchen inventory and equipment, as well as cover part of the start-up expenses.

The remaining funding of 5,000 Php will be secured through a five-year term bank loan
to meet the cash flow requirements. The borrowed funds will be used exclusively to buy
equipments provided to the lending institution. The loan could be repaid in equal monthly
installments over a five-year period.

The cash-flow analysis demonstrates that the company's capital of Php 10,000 and the
bank loan of Php 5,000 are sufficient to cover the start-up costs and generate profits for the first
few months of operations. It is the ability to repay the loan and meet interest payment
obligations, while maintaining adequate liquidity and generating positive cash flow. It also
ensures sufficient cash reserves for unforeseen future events. More information about the
investor's potential interest in the company is available in the important assumptions section of
this plan.

Based on the estimated start-up costs and funding sources, we are confident that we can
successfully launch and sustain our small food business in Passi City with a total start-up cost of
Php 15,000, consisting of Php 10,000 from the owners and a Php 5,000 bank loan. We have
carefully considered our financial needs and projected cash flows to ensure that we are on track
to profitability and long-term success.re information about the investor's potential interest in the
company is available in the important assumptions section of this plan. Based on the estimated
start-up costs and funding sources, we are confident that we can successfully launch and
sustain our small food business in Passi City with a total start-up cost of Php 15,000, consisting
of Php 10,000 from the owners and a Php 5,000 bank loan. We have carefully considered our
financial needs and projected cash flows to ensure that we are on track to profitability and long-
term success.
 Table: Start-up Funding

Start-up Funding

Start-up Expenses to Fund Php8,700

Php6,300
Start-up Assets to Fund
Total Funding Required Php15,000

Assets
Non-cash Assets from Start-up Php1,000
Php5,000
Cash Requirements from Start-up
Additional Cash Raised $0
Cash Balance on Starting Date Php1,265
Total Assets 4,425

Liabilities and Capital

Liabilities
Current Borrowing \0
1,100
Long-term Liabilities
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities 1,100

Capital

Planned Investment
Owner 1 3,000
Owner 2 3,000
Other 7,200

Investor 1,200
Additional Investment Requirement $0
Total Planned Investment Php15,000

Loss at Start-up (Start-up Expenses) 8,700

Total Capital 15,000

Total Capital and Liabilities 16,100

Total Funding Php15,000

2.3 Company Ownership

Foodstagram will be a privately held company owned by a group of 10 individuals with

ownership units which will be distributed among the owners. Jonalyn Gonzales, founder and
CEO, will receive 2 shares of ownership, representing 20% ownership. Bea Pama, co-founder
and Chief Marketing Officer, will receive 2 shares of ownership, representing 20% ownership as
well. Junji Chiva, Chief Financial Officer, will receive 1 share of ownership, representing 10%
ownership. Trixie Mae Aguilar, Chief Operating Officer, will receive 1 share of ownership,
representing 10% ownership. Five additional team members, Althea Denise Almencion, Danica
De Jesus ,Jherlyn Padernal, Francine Sumbilla and Bryan Alvarez will each receive 1 share of
ownership, representing 10% ownership each. One outside investor will receive 0.8 share of
ownership, representing 8 % ownership.

As shareholders, all members will have a say in major business decisions and the
company's overall direction. However, as the majority shareholders, Jonalyn May Gonzales and
Bea Pama will have the final decision-making authority for the company. In the event that any
shareholder wishes to sell their shares or exit the company, they may do so subject to the
company's operating agreement and any applicable laws and regulations.

This ownership structure is designed to ensure that all members have a vested interest
in the company's success, while also allowing for clear leadership and decision-making
processes. It also provides flexibility in terms of bringing on new investors or key employees as
the company grows and expands.

3.0 Products and Services

Foodstagram will offer a wide variety of snacks specifically streetfoods and

breadroll, as well as fillings, drinks, and more.

Foodstagram snack food house market different foods and beverages like bread
roll that is freshly cooked daily and we will offer a range of fillings that are both savory
and sweet. For options, we will have ham and cheese, tuna, vegetables, and other
popular fillings. And street foods such as fries, fishball, and kwek-kwek. As well as
beverages such as cucumber juice, mango tapioca and lemonade.

 MAJOR PRODUCT

BES10Z BREAD ROLLS FOR ALL

A bread roll is a small, round loaf of bread that is served as an accompaniment

to a meal. It can be served and eaten whole, or cut transversely and stuffed between the
two halves. A product that will satisfy your hungry stomach at an extremely low and
friendly price. Bread rolls are a staple in many people’s diets and contain a variety of
nutrients. It contains proteins, calcium, carbohydrates, and vitamins, all of which
promotes healthy skin and improves overall body function. Bread rolls will be freshly
baked daily, with a variety of fillings to choose from. We’ll have Bes10z Bread roll
hamcheese that includes a filling of ham and cheese, Bes10z Bread roll tuna includes a
filling of tuna, Bes10z bread roll vegetarian that includes a filling of vegetables, and
other popular fillings for savory options. We will offer chocolate and cream cheese
fillings as sweet options.
 BES10Z BREAD ROLLS FOR HAMCHEESE

This product is said to be affordable and have a variety of choices to satisfy the
customer’s needs. With its ham and cheese fillings, it can achieve a superior
performance to deliver value to the beloved customers.

BES10Z BREAD ROLLS FOR VEGETARIAN

This includes various vegetables to be filled on bread roll. It includes lettuce,

carrots, tomato, cabbage and more. This is good for those who are very conscious on
their body and health.

BES10Z BREAD ROLLS FOR TUNA

This includes meat and tuna. This is considered as the expensive and special
offer of the company. Bread rolls for tuna is good for individual who loves heavy meal.

 SUPPLEMENTARY PRODUCT

STREET FOODS

Street food is food or drinks sold by a hawker or vendor on a street or at other

public places, such as markets, fairs, and parks. It is often sold from a portable food
booth, food cart, or food truck and is meant for immediate consumption. In our product
we will include fries, fishballs and kwek-kwek. It also has beverages like lemonade,
cucumber and mango tapioca.

Foodstagram snack food house aims to earn highest profit as possible in a swift
given period of time. It is established by 10 student-entrepreneurs that will also serve as
the employees and will operate the business.

3.1 Business Model

Foodstagram snack food house typically it is a take-out food involves sourcing,

preparing, and/or selling food products to customers for a profit.

As explained in the previous section , our main product is food and beverages like bread
roll that is freshly cooked daily and we will offer a range of fillings that are both savory and
sweet. For options, we will have ham and cheese, tuna, vegetables, and other popular fillings.
For sweet options, we will offer filling like chocolate cream cheese. And street foods such as
fries, fishball, and kwek-kwek. As well as beverages such as cucumber juice, mango tapioca
and lemonade that serve at the counter , for take-out , as street snacks. We take online orders
online , by phone, or at our location.

To prepare our product we use high-quality ingredients. State of the art energy-efficient
food preparation equipment and technology will be use.

Foodstagram can be serve perfectly , the menu must be well planned, taking into
consideration the target market, the cost of ingredients, and the pricing strategy, the sourcing
strategy must take into consideration factors such as cost, quality, and availability , the food
preparation process should be standardized to ensure consistency in taste, quality, and
presentation , and the pricing strategy should be based on factors such as the cost of
ingredients, overhead expenses, competition, and the target market's willingness to pay.
 Overall, the success of a food business depends on developing a well-rounded business
model that takes into consideration all of the above factors.

3.1.1 Competitive Landscape

Foodstagram snack food house will offer a better products , at a reasonable price and
will serve according to what customers wants , always on time to the customers wants.
However there are some snack food near our intended location that also include breed rolls
among the other menu items. The quality of their products is no match for the products we
offer , but we may consider them as a competitors because they offer better prices for lower
quality and they are located within 3 mins drive. There are more businesses with snack food in
the neighborhood.

Competitors We have, they don’t They have, we don’t

1. Apsay Corner Breed roll with different Luxury environment and have
fillings a promo

2. Amon Low prices and reach High prices and offering

customers demand various types of coffee with
better location

3. Big Brew Offering Mango Tapioca Offering milktea

4. SNOW Faster service and skilled Have a table for customer for
Foodstagram staff dine in

4.0 Market Analysis Summary

The Passi City’s population is growing, counting more than 88 873 residents.
There are almost 50 businesses close to our location. And the average income for the
area is P50,000.

The innovation of the city is primarily in response to new business

opportunities. Similar to snack food house businesses that particularly do well with this
population has proved the potential for Foodstagram.

With the continuing growth of the City, opportunity to serve the residents also
increases. The business will sell to the individuals and also accepts some delivery
services to individuals and some occations in the area.

We estimated that 75% of our sales will go to the individuals who are retailing
and the excess 25% is for our daily customers visiting our snack food house.

4.1 Market Segmentation

As explained above, the main segments are: 1) retail customers accounting

for 75% of our sales and 2) daily customers accountable for the 25%. Next illustration
shows the market segmentation taking into for conservative purposes, only the
potential number of individuals that would order breadroll (about 8 800 residents or
10% of the population in the City area, plus 100 businesses) and less than 5%
average growth rate.
4.2 Target Market Segment Strategy

Foodstagram will only focus on its target market, the City’s residents (low to middle
class) along with the retailers, outside or inside the City.

Customarily, according to our market survey, the target individual customers prefer to
order breadrolls in almost 5 times in a month, as an option to a time consuming ocassion.
Businesses prefer to order breadroll on business occasions or less exclusive business events.

We will strive to initiate a well respected image from the target market’s perspective, by
offering a compelling and aesthetic style breadrolls, convenience, service excellence, excellent
and fast delivery services and by partnering with other interested organizations in our
community.

We will be able to build customer loyalty and word of mouth sales that many of our
competitors are lacking, by exceeding our customers’ needs, wants, and expectations.

Target Market Share. The estimated total market in Passi City is 10,000 breadrolls per
month, and our target market share would be 5 percent (500 breadrolls/ 10,000 breadrolls
= .05). We believe this target market share to be reasonable and achievable.

5.0 Strategy and Implementation Summary

Our strategy is based on providing a compelling customer value proposition in a

specialized market. We hope to provide a new breadroll option to the local Passi City and its
surrounding areas. We are currently constructing our marketing infrastructure in order to
eventually reach more customers with our unique breadroll offering. We concentrate on meeting
the needs of low- to-middle-class residents and businesses located within or outside the Passi
City Area.
 We intend to use various forms of marketing communication to effectively reach our
target market and raise their awareness of Foodstagram Snack Food House and breadroll
service offerings. Foodstagram Snack Food House will also use effective advertising tools to
promote the company. Flyer distribution is a common method of advertising in the area. Local
media promotion can also help to increase customer reach among netizens. When projecting
the promotion expenses, adequate funding has been accounted for. We intend to spend in the
most cost-effective manner possible.

In short:

Our promotion strategy includes the following tactics:

Social media marketing: We will use social media platforms such as Facebook and
Instagram to showcase our menu, specials, and promotions. We will also engage with our
followers and respond to their comments and messages promptly.

Flyers and posters: We will distribute flyers and post posters in high-traffic areas, such as
near the campus and in nearby neighborhoods.

Special deals: We will offer meal deals and combo meals to encourage customers to
purchase multiple items.

As a result, many other advertising options will be evaluated during project

implementation to ensure the best results.

5.1 SWOT Analysis

The SWOT analysis gives us an excellent opportunity to examine and

evaluate Foodstagram Snack Food House's internal strengths and weaknesses. It
also allows us to focus on the external opportunities and threats presented by the
business environment.

The following sections presents major Foodstagram Snack Food House

strengths, weaknesses, opportunities, and threats that should be given
awareness.
5.1.1 Strengths

Foodstagram Snack Food House possesses a valuable inventory of strengths that will aid
in its success. These strengths include:

 Excellent Ingredients that use fresh and high-quality ingredienst

 Providing unique menu items  for selection
 Excellent customer service
 Highly-enthusiastic team
 Decor, ambiance, modern and relaxing environment.

5.1.2 Weaknesses

Strengths are valuable, but it is useful to realize the weaknesses. We have identified some
of our weaknesses:

 People are unfamiliar with our new business.

 other businesses offering similar products

 cost of maintaining cutting-edge equipment and technology

 start-up challenges

 limited operating capacity

5.1.3 Opportunities

Foodstagram Snack Food House strengths and the awareness of its weaknesses will help
it capitalize on emerging opportunities. These opportunities include, but are not limited to:

 Growing population in Passi City and surrounding towns

 Loyal returning customer

 High exposure location

 More product options

5.1.4 Threats

Threats the Foodstagram Snack Food House should be aware of include:

 Price war
  Cancellation of orders

 Bad local weather

 Rising of Cost of ingredients and operating expenses

 Economic downturns

 Changes in consumer preferences

5.2 Competitive Edge

Foodsatgram snack food house’s competitive edge is:

• Location: Foodstagram Snacks food house is located in passi city plaza. This is the lively
area in town. The closest snacks food business is a 3 mins drive. There are more businesses with
snack food in the neighborhood.

• Lower operating costs and reasonable prices: Since Foodstagram snack food house
policy is to create strong marketing and advertising plans that reach our ideal customers, and it
will be operating with a team of multi-skilled employees capable of managing a business, it will be
able to offer reasonable prices for high-quality snack food, but it's impossible to compete on price
only because there are so many strategies that the competitor may have to compete with.

• Strong marketing and strategies, fast delivery, convenience

5.3 Sales Strategy

Since our business Foodstagram snacks food house is a new build, we need to prove that
our companies are worth it buying to exceed customer expectations. The more important is we
need to promote our company for better sales, create more marketing strategies and not only just
word of mouth nor advertise. We will have to push our service and delivery capacities.

Our sales strategy is based on the belief that it's in start on low sales, due to lack of
experience in managing a business and our company is a new build. The real sales efforts are
diligence and patience and building a strong market strategy and enhancing the services and
starting with a good relationship with a new customer where this customer will come regularly into
the snacks food house and can recommend and suggest new ideas experiencing being a great
snack food entrepreneur. This focus recognizes that it would be more effective since gaining new
customer are more helpful to improve our business and easy to promote in other company that
will gain their trust to invest more in our company.

5.3.1 Sales Forecast

The table and charts below show the sales forecasted for the next five years. The first few
months will be slower as a result of being a start-up business, struggling to become more visible
in the community, and transitioning from nothing to a regular clientele. As the months pass, a
steady growth cycle will occur.

Profitability is expected in the first half of the first year. The rising sales forecast indicates
significant potential growth. Our projected sales are actually net sales, which are the gross
proceeds from merchandise sales minus returns and allowances. The monthly average sales are
expected to be around 45,000. With an average price of P15, Foodstagram Snack Food House
would need to sell 125 breadrolls per day (45,000 average monthly sales/P15 per breadroll/24
business days per month). We will be able to produce up to 200 breadrolls per day (theoretical
operating capacity) using our equipment and technology. However, normal operating capacity
(after normal breaks and idle period) is only 10 breadrolls per day (normally 8 working hours per
day). That means the average projected 125 breadrolls per day could be met at only 83% of
normal operating capacity *125 breadrolls/150 breadrolls= 0.83), which is a reasonable target.
Working more than 8 hours per day during peak sales periods could increase normal operating
capacity. As a result, we believe that our sales forecast is operationally feasible. The question is
whether we will be able t o attract and retain at least the bare minimum. How many customers are
required to order 125 breadrolls per day? If each customer ordered one pie, there would be 3,000
customers per month. This figure is debatable because customers typically order a larger quantity
of breadrolls, and individuals typically buy one or order full menu of breadrolls in a variety of
flavors. However, it provides a good starting point for our analysis. The Passi City area has a
population of 88,873, which means that the maximum number of breadrolls(1/2 breadroll portions)
ordered per month in various establishments in the area(total market) qould be 8,887 breadrolls
(88,873 residents/5 residents/ 2 hald breadroll). To this figure, we must add the orders placed by
many of the area’s 500 businesses, which we estimate will account for 5% of the retail market, or
444 breadrolls (8,887 breadrolls x .05). The total market in the Passi City srea is estimated to be
10,000 breadrolls per month, and out target market share is 3% (3,000 breadrolls/10,000
breadrolls= .3) we believe that this target market share is reasonable and attainable.
 FY2023 FY2024 FY2025
Sale Forecast FY2026 FY2027
Foodstagram 7, 560 10, 080 12, 600 15, 120 17, 892
Bread Roll for all
Foodstagram 5, 040 7, 560 11, 340 12, 852 15, 372
Bread Roll Ham
and Cheese
Foodstagram 3, 780 6, 300 10, 080 13, 104 15, 624
Bread Roll
Vegetarian
Foodstagram 3, 780 5, 040 10, 332 13, 356 15, 876
Bread Roll Tuna
Other 4, 536 5, 040 10, 584 12, 348 12, 600

Unit Prices FY2023 FY2024 FY2025 FY2026 FY2027

Foodstagram
Sales P15
FY2023 P15.50
FY2024 P16
FY2025 P16.90
FY2026 P17.75
FY2027
Bread Roll
Foodstagram for 113, 400 156, 240 201, 600 255, 528 317, 583
all
Bread Roll for all
Foodstagram
Foodstagram P15
75, 600 P16
129, 060 16.70
189, 378 218,P17
484 276, 18
696
Bread Roll
Bread RollHamHam
and Cheese
and Cheese
Foodstagram
Foodstagram P15 56, 700 P16.90
106, 470 17.20
173, 376 232,17.75
596 281,P18
232
Bread
Bread Roll
Roll
Vegetarian
Vegetarian
Foodstagram
Foodstagram P20
75, 600 P22
110, 880 P23.50
242, 802 P24.25
323, 883 396,P25
900
Bread Roll Tuna
Bread Roll Tuna
Other
Other P25
113, 400 P26
131, 040 P26.90
284, 709.6 333,P27
396 P28.50
359, 100

Direct Unit Costs FY2023 FY2024 FY2025 FY2026 FY2027

Foodstagram 7.5 7.75 8 8.45 8.875
Bread Roll for all
Foodstagram 7.5 8 8.35 8.5 9
Bread Roll Ham
and Cheese
Foodstagram 7.5 8.6 8.6 8.725 9.95
Bread Roll
Vegetarian
Foodstagram 10 11.75 11.75 12.125 12.5
Bread Roll Tuna

Other 12.5 13 13.45 13.5 14.25

FY2023 FY2024 FY2025 FY2026 FY2027 5.4

Foodstagram P82,125 P90,250 P92,125 P110,250 P125,225

Bread Roll for all
Foodstagram P65,700 P82,150 P85,300 P99,675 P112,508
Bread Roll Ham
and Cheese
Foodstagram P60,225 P68,225 P72,875 P83,875 P94,750
Bread Roll
Vegetarian
Foodstagram P54,750 P60,000 P64,750 P72,625 P84,510
Bread Roll Tuna
Milestones
The following table lists important start-up program milestones, with dates, managers in
charge, and budgets for each. The schedule indicates Take-Out Pizza, Inc.'s emphasis on
planning for implementation.

Table: Milestones
Milestones
Budge
Milestone Start Date End Date Manager Department
t
6/30/202
6/20/2023 100 Jonalyn Gonzales Manager
Market Research 3
9/01/202
6/30/2023 500 Bea Pama Manager
Business Plan 3

Legal Documents 6/01/20239/10/2023 1000 Junji Chiva Manager

Insurance Manager Assist
6/10/20239/13/2023 1200 Trixie Aguilar
.
Find Location, Rent 6/30/20239/05/2023 $1500 Althea Almencion Manager Assist
.
Purchase Equipment 9/05/20239/08/2023 3000 Danica de Jesus Manager
Purchase Inventory &
9/05/20239/08/2023 2500 Jherlyn Padernal Manager Assist
Materials
Loan, Purchase Equipment9/10/20239/15/20232700 Francine Sumbilla Manager
Promotion & Business Sign Nathalie Manager Assist
9/02/20239/08/2023 3200
Bejemino

Other Start-up Activities 8/05/20239/20/2023 900 Bryan Alvarez Manager

5.5 Marketing Strategy

The marketing strategy of Instagram snack food house is to build a marketing plan for
product success and attract new customer.

Market needs and trends: our target is the customer who lives in Passi City and local
businesses that are located inside or outside the Plaza Paloma. Their most important needs are
service and price, and the delivery order

One of the key strategies of the snack food house is to focus on the needs of the
customer, exceed their expectations about the product, and gain their loyalty so that the
customer will come regularly to our business and will engage with us, even if our product is
expensive. They are still willing to pay a reasonable price to have their needs fulfilled.

Factors such as current local trends and historical sales data of similar businesses in the
area ensure that the high demand for snack food will continue over the next five years. Trend in
our favor: As new owners of a snack food business, we search for trends in snack food. The
latest study published is Over half of surveyed consumers state that they prefer snacks with high
protein content. Nuts, trail mixes, and seeds (41% market share) are leading the global health
and wellness snack market, followed by protein bars (20%). (March 16, 2023). So keeping
marketing simple, creative, and cost-efficient will be challenging.

To reach our potential customers, a combination of marketing techniques will be utilized:

• Local media: (Instagram is the most effective to promote product, followed by the
Facebook). Instagram and Facebook can easily promote our product.
• Sales literature: To drive sales initially, Snack Food House will utilize the design
background of our snack food house, including the logo and contact address.

In addition, we will produce in-house flyers on an as-needed basis that will also serve to
advertise special events and sales promotions. The flyers this is the carpet-bombing method of
cheap advertising. Hitting the pavement with flyers distributed door to door (where allowed) or
handing the flyers to people directly. Flyers should feature appealing images and catchy,
memorable phrasing so viewers will recall it when they're wondering where to go for whatever it
is they need.

•Digital marketing, including traditional websites and social media(e.g.Facebook,

Instagram, TikTok, or Twitter)

•Value additions, such as discounts or freebies for repeat customers, are a big boon
once the business is up and running.

•Referrals—both from customer to customer and business to business—are also

important.

•Word of mouth
5.6 Pricing Strategy

We as employees and the owner of snack food houses ensure that the price is perceived
to be a good value to customers since the potential customer is sensitive when it comes to the
prices of a product. We will sell a high-quality product at low prices, but not the lowest in the
area. We are capable of knowing that other competitors can beat us on price, so we sell a
product with a unique recipe that other competitors do not know.

We will price our products affordably, taking into consideration the local market and
the cost of high-quality ingredients. Our prices will be similar to other street food establishments
in the area. We will offer meal deals and combo packages to encourage customers to try
different products.

This business will utilize mark-up pricing to ensure budget-friendly prices that is also
helpful in both the consumer and business owners.

Furthermore, we recognize that by providing discounts and allowances, sales promotion

prices are the best way to compete with other companies. One example of snack food delivery
prices is presented below (shipping cost is included in the price):
Curls-25
. Drinks-20
Streetfood- 5

5.7 Sourcing Strategy

All the selected manufacturers produce and supply high-quality, energy-efficient

kitchen and restaurant equipment, or materials for streetfoods and breadroll , and they
compete primarily on price.

The raw materials will be getting from public market of passi city.

Maintaining low levels of inventory will help to reduce the cost of financing,
handling and storage. However, too low inventory levels may also result in lost sales
and unhappy customers. Therefore, we will strive to implement the just-in-time operating
environment. This will be achieved by working closely with with our suppliers to
coordinate and schedule shipments so that goods and materials arrive just at the time
they are needed.

Many of the selected suppliers have already committed to special deals for us,
such us waiving their buy-in requirements, sales referrals, and discounts for early
payment (offering terms like 2/10 n/30 for example). Other discounts can be negotiated
gradually, depending on the increasing quantity purchased, and customer loyalty. We
need to focus on making sure our volume gives us negotiating strengths.

We will purchase our inventory both from local wholesalers and direct from
manufacturers.

5.8 Location and Facilities

The company's location is very favorable, providing high visibility, high

traffic, and a high flow of customers (travelers) wishing to stop at our restaurant.
Accordingly, the rent that was accounted for in this plan is higher than in other
areas of the city.
 The restaurant will be located just minutes from downtown, which provides
shopping, dining, and entertainment. The restaurant is also conveniently located at
Paloma Plaza. Other advantages of the chosen location include:

• additional storage area available

• Excellent central location with easy access to major destinations, freeways
and other transportation means
• High flow of pedestrians
• A recent new commercial complex opening, just across the street, that will
attract many potential customers to our immediate vicinity
• Tambayan of students
• Center of attention

• High profile area with easy access from all parts of town
• Proximity to the business community and the Local Bay Industrial Park; there
are more than five hundred businesses in the area
• Proximity to trendy, upscale restaurants and recreational facilities
• All utilities required for operating a restaurant are available

All these characteristics of the location are favorable to Foodstagram with

the goal of providing excellent streetfoods and snacks for the Passi City
community.

The food house will utilize 150 m. The market rent in this high profile area is
between 20 m and 20 m per square foot per month. We have estimated 1000
monthly rent expense (20 square feet x 20 per square foot per month).

As the company gains community recognition, and our Foodstagram is

developed, further expansion to different towns.

6.0 Management Summary

Our snack food house will be led by a management team with a strong background in the
food industry and a passion for healthy and delicious snacks. The team includes a CEO, a head
chef, and a marketing manager.

The CEO has over 5 years of experience in the food industry, having worked in various
roles such as operations management, marketing, and product development. The CEO will
oversee all aspects of the business, including operations, finance, and strategic planning.

The head chef has extensive experience in creating healthy and flavorful snack options,
having worked in various health food establishments. The head chef will be responsible for
menu development, recipe testing, and quality control.

The marketing manager has a background in digital marketing and will be responsible for
building brand awareness, developing promotional campaigns, and managing the company's
social media presence.

Together, the management team will work to create a unique and compelling snack food
house that offers customers healthy and delicious snacks in a convenient and welcoming
environment. The team will also prioritize sustainability by using eco-friendly packaging,
reducing food waste, and supporting local farmers and producers.
 The management team is committed to providing excellent customer service and
creating a positive work environment for employees. We believe that our combined expertise
and passion for healthy snacks will enable us to successfully launch and grow our snack food
house in the competitive snack food market.

6.1 Personnel Plan

The personnel plan reflects the need to bolster our capabilities to match our positioning.

Take-Out Pizza, Inc. will have the following staff:

• Manager

• Cook
• One kitchen staff member

• Two servers

In our experience, a team of five multi-skilled employees works best for our kind of
business.Working as a team is critical to our success. We recognize that human resources are
Take-Out Pizza, Inc.'s most valuable asset. Our personnel strategy focuses on selecting,
training, rewarding, and stimulating all employees in order to build employee loyalty, and
increase performance.

It will be easy to find and select the best new members of our team. The traditional local
food-service industry, well represented in the area, along with local colleges and schools, have
contributed to the formation and growth of many skilled employees. In the selection process, the
background check is a must in this line of business.

As our restaurant will be open Monday through Saturday from 11:00 AM to 8:00 PM,
the team of five can operate effectively only by using alternative work schedules that take
into account the busiest periods of the day, the time needed to prepare the food before
opening, and a forty hours week. Here is an example of alternative work schedule for our
cook in week 1:

Begin Time End Time

Day Hours Worked
(AM) (PM)
Friday 9:00 4:00 7 hours
Saturday 8:00 12:00 4 hours
Sunday OFF OFF none
Monday 9:00 4:00 7 hours
Tuesday 8:00 4:00 8 hours
Wednesday 9:00 5:00 8 hours
Thursday 9:00 5:00 6 hours
Totals 40 hours
Personnel Plan
FY 2023 FY 2024 FY 2025 FY 2026 FY 2027
Php
Manager Php 15000 Php 16000 Php 17000 18000 Php 19500
Php
Php 10000 Php 10500 Php 11000 11500 Php 13000
Cook
Php
Kitchen Staff Member Php 8000 Php 8200 Php 8500 9000 Php 10000
Php
Servers (2) Php 17000 Php 17300 Php 17600 17900 Php 18500
Php
Bonuses and Incentives Php 2000 Php 2500 Php 3050 3700 Php 4350
Other $0 $0 $0 $0 $0
Total People 5 5 5 5 5

Php
Total Payroll Php 52000 Php 54500 Php57150 60100 Php 65350

In addition to salaries, we will offer bonuses and incentives to reward employee performance on
a pay-for-performance basis. Our compensation strategy will focus on maximizing productivity while
minimizing labor costs, and will be linked to the achievement of measurable business targets. We will
provide regular performance evaluations and adjust compensation accordingly to ensure that our
employees are fairly rewarded for their efforts.

At Snack Food House, we believe that our employees are our most valuable asset. We are
committed to providing a positive work environment and investing in the growth and development of our
team. By hiring and training skilled employees, utilizing alternative work schedules, and offering
performance-based compensation, we are confident that we can build a strong and motivated team that
will help us achieve our business goals.

7.0 Financial Plan

Foodstagram Snack Food House is expected to maintain a healthy financial position over the
next five years, based on our conservative projections.The plan that follows outlines our company's
financial development.

A five-year term loan and a total capital investment of 15,000 will initially finance the business.
The cash flow generated by operations will be used to repay the loan. Cash flow will also be used to
fund the company's expansion. After a five-year initial period, the company will be able to expand
further. At that time, it is anticipated that, in addition to retained earnings, a bank loan or equity funding
will be sought to finance the new development. The projected financial statements were prepared in
accordance with generally accepted accounting principles and must include some amounts that are
based on reasonable estimates and judgment. Long-term assets are expensed using the straight-line
depreciation method for accounting purposes, while inventory is accounted for using the First-In, First-
Out (FIFO) method. The sections that follow provide important financial information.
7.1 Break-even Analysis

We assumed that our break even analysis is running costs of approximately of

₱1,078 a month and will increase for the next occuring months, which includes, the rent,
salaries and wages, utilities, advertising and maketing expenses, insurance, equipment
repair and maintenance, and other fixed costs. We need to sell breadrolls in about 1600
pieces of breadroll to have ₱24,000 to break even, based on our assumptions.

Since our normal operating capacity is 125 breadrolls per day (3000 breadrolls for
₱45,000 per month as explained in our sales forecast), and the average projected sales
of ₱27,000, or 75 breadrolls per day (at only 60% of normal operating capacity) are
expected to be much greater than the computed break even point, we believe that our
company is likely to easily maintain profitability.

Table: Break-even Analysis

Break-even Analysis
Monthly Units Break-even 1600
Monthly Revenue Break-even Php24,000
Assumptions:
Average Per-Unit Revenue 15
8
Average Per-Unit Variable Cost
Estimated Monthly Fixed Cost 1.078

Foodstagram is expected to break even in the sixth month of operatio

7.2 Projected Profit and Loss

We expect to be profitable in the first year of operations, with profits increasing over the next
four years, as we establish and increase our customer base.

The following table and charts show the projected profit and loss for five years.

2023 2024 2025 2026 2027

Sales Revenue 306,300 321,465 336,630 351,795 366, 960
Other Revenue 25,000 18,500 21,000 24,500 27, 000
Total Revenue 331,300 339,965 357,630 376,295 393,960
Cost of Goods Sold -170,000 -177,000 -184,000 -191,000 -198,000
Gross Profit 161,300 162,965 173,630 185,295 195,960

Operating Expense
Rent -12,000 -12,600 -13,200 -13,800 -14,400
Salaries and Wages -70,000 -72,000 -74,000 -76,000 -78,000
Utilities -10,000 -10,300 -10,600 -10,900 -11,200
Advertising and Marketing -2,100 -2,200 -2,300 -2,400 -2,500
Insurance -1,000 -1,150 -1,250 -1,350 -1,450
Equipment and Maintenance Repair -5,000 -5,150 -5,300 -5,450 -5,600
Other Expenses -5,000 -5,200 -5,400 -5,600 -5,800
Total OE -105,100 -108,600 -112,050 -115,500 -118,950

Net Income 56,200 54,365 61,580 69,795 77,010

7.3 Projected Cash Flow

Many profitable companies go bankrupt because of cash flow deficiencies. That is why our
main concern will be to have sufficient cash on hand to meet our payment obligations, and be
prepared for unexpected needs of cash. Our conservative projections indicate that our
business is able to generate positive cash flows and sufficient cash reserves.

In addition to normal cash inflows and outflows, we will focus on establishing sufficient cash
reserves for contingencies. That includes a possible line of credit with our bank, that could be
used in slow sales periods as well. This is a good way to control the cash flow risk.

In addition, excess cash, as projected, should not remain idle, especially during periods of high
interest rates. Management will consider investing idle funds in time deposits or certificates of
deposit at banks, in government securities such as U.S. Treasury notes, or in other trading
securities (cash equivalents).

The following table and chart show the projected cash flow for five years.

2023 2024 2025 2026 2027

OPERATING ACTIVITIES
Net Income 56,200 59,010 63,141 68,824 75,018
Cash Receipts from Customer 26,875 28,219 30,194 32,911 33,273
Cash paid for
Inventory puchases -4,755 -4,993 -5,342 -5,823 -5,887
Suppliers/Creditors -5,495 -5,770 -6,174 -6,730 -6,804
Accrued Expense -2,578 -2,707 -2,896 -3,157 -3,192
Depreciation -375 -394 -422 -460 -465
Net Cash Flow from Operating Activities 69,872 73,365 78,501 85,565 91,943

INVESTING ACTIVITIES
Purchase of Machineries -10,000 -10,500 -11,235 -12,246 -12,381
Purchase of Equipment -5,001 -4,541 -4,859 -5,296 -5,354
Net Cash Flow from Investing Activities -15,001 -15,041 -16,094 -17,542 -17,735

FINANCING ACTIVITIES
Owner's Investment 15,000 15,750 16,853 18,370 18,572
Proceeds from loans 22,000 23,100 24,717 26,942 27,238
Repayment of loans -23,102 -24,257 -25,955 -28,291 -28,602

Net Cash Flow from Financing Activities 13,898 14,593 15,615 17,021 17,208

CASH BALANCE 69,445 72,917 78,022 85,044 91,416

7.4 Projected Balance Sheet

We expect a healthy growth in net worth and a healthy financial position. We do not project any
real trouble meeting our debt obligations, as long as we achieve our specific objectives.

The following table is the projected balance sheet for five years.

2023 2024 2025 2026 2027

ASSETS

Current Assets

Cash 34,800 36,540 39,097.00 42,597.80 47,283.56

Accounts Receivable 18,800 19,740 21,122 22,812.54 25,321.92
Inventory 13,720 14,406 15,414.42 16,801.72 18,649.91
Other Current Assets 15,775 16,564 17,723.46 19,318.57 21,443.61
101,530.6
Total Current Assets 83,095 87249.75 93,356.68 112,699.00
3

Long Term Assets

Machineries and Equipment 15,001 15,751 16,853.57 18,370.39 20,391.12

Less accumulated depreciation -375 -394 -421.56 -459.50 -510.05
Intangible assets 14,626 15,357 16,432.01 17,910.89 19,880.20
Total Long-term Assets 29,252 30,715 32,864.02 35,821.78 39,761.27

126,342.7 137,352.4
Total Assets 97,727 117,965 152,460.27
0 1

LIABILITIES

Current Liabilities

Accounts Payable 9715 10,000 11,200 12,000 13,500

Short term loans 10,505 11,000 11,500 12,000 12,500
Accrued expenses, salaries and
10,495 11,500 12,100 13,110 15,500
wages
Total Current Liabilities 30,715 32500 34800 37110 41500

Long-term Liabilities
Long-term Debt (10%) 18390 20,000 24,200 26,620 29,282
Other (5%) 5,750 8,400 8,820 9,261 9,724
Total Long-term Liabilities 24,140 28,400 33020 35881 39006
Total Liabilities 54855 55, 150 56,250 58,000 62,000

OWNER'S EQUITY (10%)

Owner's Investment 26655 30,000 32,000 34,000 36,000

Retained Earnings (5%) -4675 -5,000 -6755 -8,000 -9,000
Other (such as Issuance of stock) 20892 22,000 24,000 27,000 30,000
Total Owner's Equity 42872 47000 49245 53000 57000

TOTAL LIABILITIES AND OE 97727 102,150 105,495 111,000 119,000

COMMON FINANCIAL RATIOS

Debt Ratio 2.56 2.07 2.25 2.37 2.46
Current Ratio 2.61 2.68 2.68 2.74 2.71
54,749.7
Working Capital 52380 58,556.68 64,420.63 71,199.00
5
Assets to Equity Ratio 2.28 2.51 2.57 2.59 2.67
Debt-to-Equity 1.28 1.28 1.37 1.41 1.51

7.5 Business Ratios

Business ratios for the five years of this plan are shown below. Industry profile ratios based on
the standard industrial classifications, SIC code 5812 and NAICS code 722212, limited-service
restaurants, are shown for comparison. Overall, the ratios show a plan for a balanced, healthy
growth.

Management's main responsibility is to put into action and to carry out this plan that is designed
to achieve the financial performance objectives. Foodstagram’s management will constantly
monitor key financial performance measures, determine the cause of any deviations in the
measures, and take corrective actions.

A comprehensive ratio analysis can be made to evaluate the financial condition and
operating results of our company, based on the calculations included in the next

table. The financial ratios are calculated based on our conservative projections in terms of
liquidity, profitability, long-term solvency, cash flow adequacy, and market strength.

Liquidity ratios (current and quick ratios, receivables turnover, average collection days,
inventory turnover, average days inventory on hand, payables turnover, and average payment
days) indicate a good debt-paying ability, the effectiveness of customer credit policies, and a
number of days needed to collect receivables, to sell inventory, and to pay account payable
that is consistent with best business practices in our industry.

Liquidity is critical to building a strong and sustainable foundation for future growth. In dealing
with short-term liquidity, we will need to correctly address three key issues: managing cash
during seasonal cycles, setting sales and credit policies, and financing receivables.
Profitability ratios (profit margin, assets turnover, return on assets, and return on equity)
indicate a good profitability of operations, efficient use of assets to produce sales, a good
earning power of the assets, and a good profitability of stockholders' investments.

In addition, we will focus on increasing the gross margin by improving our purchasing methods
to reduce the cost of goods sold. Reducing the selling price is not a preferred option. Our price
strategy is flexible, but we are aware that we cannot compete on price only; there will always
be a competitor offering a lower price.

Long-term solvency ratios (debt to equity, interest coverage) indicate a good capital
structure, and more than adequate creditor's protection from default on interest payments.

Cash flow adequacy ratios (cash flow yield, cash flow to sales, cash flow to assets, and net
cash flow) indicate a good ability to generate operating cash flows in relation to net income, a
good ability of sales and assets to generate operating cash flows, and positive cash flow after
providing for commitments.

Market strength ratios (price/earnings ratio and dividend yield) measure investor confidence
in the company, and will be computed only after the company will go public so market price
per share can be determined.

This ratio analysis clearly shows that Take-Out Pizza, Inc.'s financial condition is expected to
remain strong, as measured by its liquidity, long-term solvency, and cash flow adequacy
ratios.

The company's profitability, as measured by its profitability ratios, is excellent, and will
gradually increase over the next five years. This performance will probably be rewarded by a
higher market price when the company decides to go public.

Table: Ratios
Ratio Analysis
FY FY Industry
FY 2023 FY 2024 FY 2025 2026 2027 Profile
Sales Growth 0.00% 8% 8% 8.5% 9% 2.61%

Percent of Total Assets

Accounts Receivable 3% 2.88% 2.57% 2.1% 1.5% 0.78%
6% 5.44% 5% 4.57% 2% 0.5%
Inventory
Other Current Assets 2.89% 2.78% 2.59% 2% 1.49% 25.99%
Total Current Assets 40% 45% 55% 68% 79% 34%
Long-term Assets 35% 20% 10% 6% 2% 45%
100.00 100.00
Total Assets 100.00% 100.00% 100.00% % % 100.00%

Current Liabilities 5.30% 7.34% 10.61% 11.15% 13.02% 15%

Long-term Liabilities 20% 15% 11% 9% 6.97% 20%
Total Liabilities 25.3% 22.34% 21.61% 20.15% 19.99% 35%
Net Worth 59.08% 63.96% 73.33% 80.14% 85.02% 58.01%

Percent of Sales 100.00 100.00

Sales 100.00% 100.00% 100.00% % % 100.00%
30.3% 31.02% 31.46% 33.32% 35.76% 30%
Gross Margin
Selling, General &
Administrative
Expenses 67% 62% 40% 0.00% 0.00% 10%
 Advertising Expenses 4.53% 4.08% 3.65% 0.00% 0.00% 3.37%
Profit Before Interest and
Taxes 5% 6% 10% 15% 20% 1.66%
Main Ratios
Current 3.32 3.9 4.01 4.56 5.10 0.6
2.80 3.02 3.46 4.11 5.07 0.3
Quick
Total Debt to Total Assets 25% 22.04% 21% 15% 10% 30%
Pre-tax Return on Net Worth 75% 65% 55% 45% 35% 2.3%
Pre-tax Return on Assets 38% 36% 34% 32% 30% 7%
FY FY
Additional Ratios FY 2023 FY 2024 FY 2025 2026 2027
Net Profit Margin 5% 7% 9% 11% 13% n.a
48% 46% 44% 35% 22% n.a
Return on Equity
Activity Ratios
Accounts Receivable
Turnover 10.10 10.10 10.10 10.10 10.10 n.a
29 24 24 24 25 n.a
Collection Days
Inventory Turnover 16.00 22.82 22.93 22.38 21.44 n.a
Accounts Payable Turnover 24 8 8 8 8 n.a
Payment Days 27 20 28 28 29 n.a
Total Asset Turnover 1.98 1.78 1.2 0.76 0.4 n.a
Debt Ratios
Debt to Net Worth 0.45 0.41 0.36 0.31 0.18 n.a
0.10 0.18 0.22 0.31 0.35 n.a
Current Liab. to Liab.
Liquidity Ratios Php
Php 170,00
Net Working Capital 90,000 0
Php Php Php10,
Php 20,000 Php 40,000 60,000 80,009 001 n.a
5.94 6.81 7.95 8.17 9.67 n.a
Interest Coverage
Additional Ratios
Assets to Sales 0.25 0.34 0.40 0.47 0.56 n.a
5% 7% 9% 11% 13% n.a
Current Debt/Total Assets
Acid Test 2.09 2.76 3.20 3.85 4.81 n.a
Sales/Net Worth 5.70 4.61 3.42 2.65 2.09 n.a
Dividend Payout 0.1 0.1 0.1 0.1 0.1 n.a

7.6 Long-term Plan

This is a five-year plan. Projections for further periods are not considered relevant at this
time.

7.7 Important Assumptions

Our assumptions are modest as a result of the present economic concerns. We have decided on
the options that are least likely to fill assets and income when assessing and estimating.
 The key underlying assumptions are:

• We presume that we will have access to money and finance to support our financial
strategy as mentioned in the tables.
• In our target market, we anticipate that snacks will remain significant to filipinos.
• Over the next five years, we anticipate a gradual economic recovery process, but not a
serious collapse.

Other important assumptions are included in the next table.

Table: General
Assumptions
General Assumptions
FY 2023 FY 2024 FY 2025 FY 2026 FY 2027
Plan Month 1 2 3 4 5
5.00% 5.00% 5.00% 5.00% 5.00%
Current Interest Rate
Long-term Interest
Rate 8.00% 8.00% 8.00% 8.00% 8.00%
Tax Rate 3.00% 3.00% 3.00% 3.00% 3.00%
Payment Delays 30 30 30 30 30
Sales on Credit 10.00% 10.00% 10.00% 10.00% 10.00%
Collection Period
(days) 40 40 40 40 40
Inventory on Hand
(days) 21 21 21 21 21
Inflation Rate 8.00% 8.00% 8.00% 8.00% 8.00%
Max Op. Capacity
(pizzas/day) 125 125 125 125 125
Other 0 0 0 0 0

7.7.1 Risks

Business risk is the exposure a company faces that could eventually lead toa lower revenue,
profits, and financial losses.

The management of the company must continually assess risks and take corrective action to create
appropriate risk reserves for prevention, control, and management. Numerous dangers connected to
our company proposal have been found.

Company management is responsible for constantly evaluating risks and taking corrective actions to
provide adequate prevention, control and risk reserves. We have identified several risks that are
associated with our business project There are many possible classifications of risks, but for the
purposes of this plan, we have chosen to group them as follows:

a) External Risks (These risks come from outside the company and are more difficult to prevent and
control)

Competition: The food industry can be highly competitive, with numerous vendors vying for customers
in the same location. In order to scrutinize competition, we will focus on maintaining our advantages
against competitors like the affordable price, and improve what our business lacks of.

Seasonality: The demand for snack food house can vary significantly depending on the season,
weather conditions, and local events. The business will adjust the snack and merienda offered based on
seasons. Like for example, beverages are important. For rainy season, soup can be considered.
Food safety regulations: Snack food house businesses are subject to strict regulations on food
handling, preparation, and storage, which can be costly to comply with and difficult to enforce. The
business will ensure cleanliness and prioritize customer’s health.

Economic conditions (Extreme Recession): A weak economy can lead to decreased consumer
spending and reduced demand for street food. Economy has experienced many recessions and it is
common enough events to be consideed a normal part of the economic cycle. Economies recover from
a recession after a period of economic adjustment in the markets. Economies also recover through
fiscal stimulus programs. Both the central bank and the government impact the economy through
monetary policy and fiscal policy, respectively.

Public health concerns: Outbreaks of foodborne illnesses or other health scares can damage the
reputation of snack food house businesses and decrease demand for their products.

Weather conditions: Inclement weather such as rain, wind, or extreme heat can lead to reduced foot
traffic and lower sales.

Permitting and zoning: Owners may face challenges obtaining necessary permits and adhering to local
zoning laws, which can limit their ability to operate in certain areas or at certain times.

Changing consumer preferences: Consumer tastes and preferences can change rapidly, and snack
food house businesses may struggle to adapt to these changes in a timely manner. The owners will
focus more about industry trends and consumers preferences and will do innovations if necessary.

Supply chain disruptions: Small businesses may rely on a limited number of suppliers, and disruptions
in the supply chain can lead to stockouts or higher costs.

Natural disasters: Natural disasters such as floods or hurricanes can disrupt operations, damage
equipment, and lead to lost revenue.

a) Internal Risks (These risks come from inside the company and can be better prevented or
controlled.)

Food waste: Small businesses must balance the need to prepare fresh food with the risk of wasting
excess inventory. Managing food waste can be a significant challenge.

Quality control: Maintaining consistent quality and taste can be challenging in a small snack food
housebusiness, where preparation and cooking are often done on-site and in small batches.

Staff turnover: High staff turnover can result in inconsistent customer service and lower quality food.

Cash flow: Small businesses often have limited financial resources and may struggle to maintain
consistent cash flow.

Equipment breakdowns: Equipment failures can lead to lost revenue and reduced productivity.
Inventory management: Accurately tracking inventory and managing supply chain logistics can be
difficult for small snack food housebusinesses, leading to stock shortages or overstocking. business:

Cash handling: Handling cash on site can be risky, and small snack food housebusinesses may be
vulnerable to theft or fraud.

Health and safety: Small snack food housebusinesses must maintain a clean and safe environment for
their employees and customers, and failure to do so can result in legal liability and reputational damage.

Employee training: Small snack food housebusinesses may struggle to provide adequate training and
support to their employees, leading to reduced productivity and lower quality food.

Brand management: Small snack food housebusinesses must carefully manage their brand image and
reputation, and negative reviews or social media posts can have a significant impact on their success
7.7.2 Entry Strategy

Foodstagram will be a privately held company owned by a group of 10 individuals with ownership units
which will be distributed among the owners. Jonalyn Gonzales, founder and CEO, will receive 2 shares
of ownership, representing 20% ownership. Bea Pama, co-founder and Chief Marketing Officer, will
receive 2 shares of ownership, representing 20% ownership as well. Junji Chiva, Chief Financial Officer,
will receive 1 share of ownership, representing 10% ownership. Trixie Mae Aguilar, Chief Operating
Officer, will receive 1 share of ownership, representing 10% ownership. Five additional team members,
Althea Denise Almencion, Danica De Jesus ,Jherlyn Padernal, Francine Sumbilla and Bryan Alvarez
will each receive 1 share of ownership, representing 10% ownership each. One outside investor will
receive 0.8 share of ownership, representing 8 % ownership.

7.7.3 Investor Interest

According to our conservative estimations, the cumulative dividends that would be paid to the new
investor, based on 20 percent of ownership, over the next five years would be, P6500. Dividend
payments to the investor would be made as follows:

Year 1 Php 1002

Year 2 Php 2330
Year 3 Php 3168
Year 4 Php 4668
Year 5 Php 6368
Totals Php 17356

The other co-owners, Jonalyn and her team, will not receive any dividend over the next 3 years. The
reason for this decision are: a) they will receive employments benefits and compensation and b) tye
undistributed dividends will increase the amount of retained earnings, as a strategy to strengthen the
company’s financial position for sustainable duture growth, to increase the company’s net worth, and
subsequently the market value when it goes public. Key measures of the expected benefit from the
investment include: Payback period (the minimum time to recover the initial investment) for the
investor’s initial capital contribution of P2000 is very short, only one year and five months computed as
follows:

Initial Cash Investment Php 2000

Less Dividends Paid
Year 1 1002
Year 2 (42.85% of P2,330) 998
Unrecovered Investment $0
Payback Period: 1.4285 years, or 1
year 5 months

Weighted average cost of capital (the lowest acceptable rate of return) is estimated at 16
percent.

Net present value (NPV), which evaluates the capital investment by discounting at 16 percent its future
cash flow to their present values, and subtracting the initial investments of P2000 from Net cash inflow x
factor Values
 Net Cash Inflows x
Values
Factor
Year1 P1002 x .862 865
Year2 2330 x .743 1731
Year3 3168 x .641 2030
Year4 4668 x .552 2576
Year5 6368 x .476 3031,168
Total present value of
cash inflows discounted 4626
at 16%
Less initial investment 2000
NPV Net present value 2626

Because the net present value is positive, the investment would achieve at least the
minimum rate of return of 16 percent, and is expected to yield significant additional returns
to the investor.

Internal rate of return (IRR) of 87 percent is computed as follows:

Year 1 Year 2 Year 3 Year 4 Year 5

Initial
Investment ($29,500)
Returns $17,892 $27,091 $37,213 $48,613 $56,809

Rate 16 %

IRR = 87%

The level of 87 percent measures the estimated performance of the capital investment, and
because it is higher than 16 percent minimum desirable return, it might be considered as
adequate to the investment risk.

Return on equity is one of the most important ratios because it is a common measure of
management performance. It exceeds 40 percent on average over the five year period.

Dividends per share, computed as follows:

 Common Stock
Year Dividends / Common Dividends per share
Shares Outstanding
Year1 5436/1150 4.73
Year2 6753/1150 5.87
Year3 8095/1150 7.04
Year4 9595/1150 8.34
Year5 11265/1150 9.80

Basic earnings per share has the same values as dividends per share because the
company has only common stock, and the same number of shares outstanding throughout
the year.

Diluted earnings per share has the same values as basic earnings per share because at the
time of this analysis no potential dilutive securities are accounted for.

More information regarding the financial performance measures is included in the

business ratios section of this plan.

7.7.4 Exit Strategy

An exit strategy for a Foodstagram snack food house typically involves planning for the eventual sale of
the business or the transfer of ownership to a new owner. Our purpose is to determine our goals ,
assess the value of our business , and to make our business more attractive to potential buyers.
Overall, creating an exit plan for your food business is an important step in ensuring a smooth transition
when it's time to move on. It's important to start planning early and to work with professionals, such as
business appraisers and brokers, to help you achieve your goals.
 Appendix

Table: Sales Forecast

Sales Forecast Jan-

Sep-09 Oct-09 Nov-09 Dec-09 10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10
Unit Sales
NYS Pizza for All 0% 780 960 1,300 1,540 1,670 1,720 1,800 1,850 2,010 2,150 2,300 1,150
NYS Pizza Healthy 0% 340 410 556 700 730 730 820 850 1,060 1,090 1,100 550
Style
NYS Pizza Vegetarian 0% 180 216 288 360 375 375 420 430 435 555 570 300
NYS Pizza Special 0% 120 140 160 200 220 250 270 330 350 380 420 210
Other 0% 80 90 90 100 110 120 140 150 160 170 180 90
Total Unit Sales 1,500 1,816 2,394 2,900 3,105 3,195 3,450 3,610 4,015 4,345 4,570 2,300

Jan-
Unit Prices Sep-09 Oct-09 Nov-09 Dec-09 10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10
NYS Pizza for All $16.00 $16.00 $16.00 $16.00 $16.00 $16.00 $16.00 $16.00 $16.00 $16.00 $16.00 $16.00
NYS Pizza Healthy $18.00 $18.00 $18.00 $18.00 $18.00 $18.00 $18.00 $18.00 $18.00 $18.00 $18.00 $18.00
Style
NYS Pizza Vegetarian $19.00 $19.00 $19.00 $19.00 $19.00 $19.00 $19.00 $19.00 $19.00 $19.00 $19.00 $19.00
NYS Pizza Special $21.00 $21.00 $21.00 $21.00 $21.00 $21.00 $21.00 $21.00 $21.00 $21.00 $21.00 $21.00
Other $25.00 $25.00 $25.00 $25.00 $25.00 $25.00 $25.00 $25.00 $25.00 $25.00 $25.00 $25.00
Sales
NYS Pizza for All $12,480 $15,360 $20,800 $24,640 $26,720 $27,520 $28,800 $29,600 $32,160 $34,400 $36,800 $18,400
NYS Pizza Healthy $6,120 $7,380 $10,008 $12,600 $13,140 $13,140 $14,760 $15,300 $19,080 $19,620 $19,800 $9,900
Style
NYS Pizza Vegetarian $3,420 $4,104 $5,472 $6,840 $7,125 $7,125 $7,980 $8,170 $8,265 $10,545 $10,830 $5,700
NYS Pizza Special $2,520 $2,940 $3,360 $4,200 $4,620 $5,250 $5,670 $6,930 $7,350 $7,980 $8,820 $4,410
Other $2,000 $2,250 $2,250 $2,500 $2,750 $3,000 $3,500 $3,750 $4,000 $4,250 $4,500 $2,250
Total Sales $26,540 $32,034 $41,890 $50,780 $54,355 $56,035 $60,710 $63,750 $70,855 $76,795 $80,750 $40,660

Jan-
Direct Unit Costs Sep-09 Oct-09 Nov-09 Dec-09 10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10
NYS Pizza for All 0.00% $8.32 $8.32 $8.32 $8.32 $8.32 $8.32 $8.32 $8.32 $8.32 $8.32 $8.32 $8.32
NYS Pizza Healthy 0.00% $9.36 $9.36 $9.36 $9.36 $9.36 $9.36 $9.36 $9.36 $9.36 $9.36 $9.36 $9.36
Style
NYS Pizza Vegetarian 0.00% $9.88 $9.88 $9.88 $9.88 $9.88 $9.88 $9.88 $9.88 $9.88 $9.88 $9.88 $9.88
NYS Pizza Special 0.00% $10.92 $10.92 $10.92 $10.92 $10.92 $10.92 $10.92 $10.92 $10.92 $10.92 $10.92 $10.92
Other 0.00% $13.00 $13.00 $13.00 $13.00 $13.00 $13.00 $13.00 $13.00 $13.00 $13.00 $13.00 $13.00
Direct Cost of Sales $6,490 $7,987 $10,816 $12,813 $13,894 $14,310 $14,976 $15,392 $16,723 $17,888 $19,136 $9,568
NYS Pizza for All
NYS Pizza Healthy $3,182 $3,838 $5,204 $6,552 $6,833 $6,833 $7,675 $7,956 $9,922 $10,202 $10,296 $5,148
Style
NYS Pizza Vegetarian $1,778 $2,134 $2,845 $3,557 $3,705 $3,705 $4,150 $4,248 $4,298 $5,483 $5,632 $2,964
NYS Pizza Special $1,310 $1,529 $1,747 $2,184 $2,402 $2,730 $2,948 $3,604 $3,822 $4,150 $4,586 $2,293
Other $1,040 $1,170 $1,170 $1,300 $1,430 $1,560 $1,820 $1,950 $2,080 $2,210 $2,340 $1,170
Subtotal Direct Cost of
Sales $13,801 $16,658 $21,783 $26,406 $28,265 $29,138 $31,569 $33,150 $36,845 $39,933 $41,990 $21,143

Page
45
 Appendix

Table: Personnel

Personnel Plan May Jul-

Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 -10 Jun-10 10 Aug-10
Manager 0% $1,900 $1,900 $1,900 $1,900 $1,900 $1,900 $1,900 $1,900 $1,900 $1,900 $1,900 $1,900
0% $1,700 $1,700 $1,700 $1,700 $1,700 $1,700 $1,700 $1,700 $1,700 $1,700 $1,700 $1,700
Cook
Kitchen Staff Member 0% $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600
Servers (2) 0% $3,200 $3,200 $3,200 $3,200 $3,200 $3,200 $3,200 $3,200 $3,200 $3,200 $3,200 $3,200
Bonuses and
Incentives 0% $650 $650 $650 $650 $650 $650 $650 $650 $650 $650 $650 $650
Other 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total People 5 5 5 5 5 5 5 5 5 5 5 5

Total Payroll $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050
Page
46
 Appendix

Table: General Assumptions

General
Assumptions Oct- Feb Jun-
Sep-09 09 Nov-09 Dec-09 Jan-10 -10 Mar-10 Apr-10 May-10 10 Jul-10 Aug-10
Plan Month 1 2 3 4 5 6 7 8 9 10 11 12
Current 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00%
Interest Rate
Long-term
Interest Rate 12.00% 12.00% 12.00% 12.00% 12.00% 12.00% 12.00% 12.00% 12.00% 12.00% 12.00% 12.00%
Tax Rate 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Payment
Delays 30 30 30 30 30 30 30 30 30 30 30 30
Sales on
Credtit 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% 15.00%
Collection
Period (days) 40 40 40 40 40 40 40 40 40 40 40 40
Inventory on
Hand (days) 21 21 21 21 21 21 21 21 21 21 21 21
Inflation Rate 0.41% 0.41% 0.41% 0.41% 0.41% 0.41% 0.41% 0.41% 0.41% 0.41% 0.41% 0.41%
Max Op.
Capacity
400 400 400 400 400 400 400 400 400 400 400 400
(pizzas/day)
Other 0 0 0 0 0 0 0 0 0 0 0 0
Page
47
 Appendix

Table: Profit and Loss

Pro Forma Profit and

Loss Nov Dec Jan-
Sep-09 Oct-09 -09 -09 10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10
Sales $26,540 $32,034 $41,890 $50,780 $54,355 $56,035 $60,710 $63,750 $70,855 $76,795 $80,750 $40,660
Direct Costs of
Goods $13,801 $16,658 $21,783 $26,406 $28,265 $29,138 $31,569 $33,150 $36,845 $39,933 $41,990 $21,143
Other Production $690 $833 $1,089 $1,320 $1,413 $1,457 $1,578 $1,658 $1,842 $1,997 $2,100 $1,057
Expenses
------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------
Cost of Goods Sold $14,491 $17,491 $22,872 $27,726 $29,678 $30,595 $33,148 $34,808 $38,687 $41,930 $44,090 $22,200

Gross Margin $12,049 $14,543 $19,018 $23,054 $24,677 $25,440 $27,562 $28,943 $32,168 $34,865 $36,661 $18,460
Gross Margin % 45.40% 45.40% 45.40% 45.40% 45.40% 45.40% 45.40% 45.40% 45.40% 45.40% 45.40% 45.40%

Expenses
Payroll $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050 $9,050
Sales and Marketing
and Other
$1,500 $1,200 $1,200 $500 $500 $500 $500 $500 $400 $400 $400 $400
Expenses
Depreciation $833 $833 $833 $833 $833 $833 $833 $833 $833 $833 $833 $833
Office Supplies $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100
Utilities $550 $550 $550 $550 $550 $550 $550 $550 $550 $550 $550 $550
Insurance $750 $750 $750 $750 $750 $750 $750 $750 $750 $750 $750 $750
Rent $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000
Payroll Taxes and
Benefits 29% $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625 $2,625
Other $300 $300 $300 $300 $300 $300 $300 $300 $300 $300 $300 $300
Total Operating ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------
Expenses $17,708 $17,408 $17,408 $16,708 $16,708 $16,708 $16,708 $16,708 $16,608 $16,608 $16,608 $16,608

Profit Before Interest

and Taxes ($5,658) ($2,864) $1,611 $6,347 $7,970 $8,732 $10,855 $12,235 $15,561 $18,257 $20,053 $1,852
EBITDA ($4,825) ($2,031) $2,444 $7,180 $8,803 $9,565 $11,688 $13,068 $16,394 $19,090 $20,886 $2,685
Interest Expense $595 $590 $585 $580 $575 $570 $565 $560 $555 $550 $545 $540
Taxes Incurred ($1,876) ($1,036) $308 $1,730 $2,218 $2,449 $3,087 $3,503 $4,502 $5,312 $5,852 $394
Net Profit ($4,377) ($2,418) $718 $4,037 $5,176 $5,714 $7,203 $8,173 $10,504 $12,395 $13,656 $918
Net Profit/Sales -16.49% -7.55% 1.71% 7.95% 9.52% 10.20% 11.86% 12.82% 14.82% 16.14% 16.91% 2.26%
Page
48
 Appendix

Table: Cash Flow

Februar Septembe Octobe Novembe Decem

January March April May June July August
y r r r r
OPERATING ACTIVITIES
Net Income 1,102 1,328 2,124 2,156 3,066 3,288 4,182 6,560 6,754 6,868 8,162 10,6
Cash Receipts from
Customer 1,500 1,650 1,700 1,850 2,000 2,200 2,300 2,500 2,675 2,750 2,800 2,9
Cash paid for
Inventory puchases -200 -230 -250 -300 -350 -365 -375 -400 -425 -675 -685 -5
Suppliers/Creditors -360 -395 -410 -425 -440 -450 -460 -465 -480 -520 -540 -5
Accrued Expense -88 -154 -188 -222 -225 -230 -232 -240 -244 -248 -252 -2
Depreciation -20 -24 -26 -28 -30 -32 -33 -33 -35 -36 -38 -
Net Cash Flow from Operating Activities 1934 2,175 2950 3031 4021 4411 5382 7922 8,245 8139 9447 122

INVESTING ACTIVITIES
Purchase of Machineries -500 -550 -600 -625 -675 -725 -800 -1,025 -1,050 -1,100 -1,150 -1,2
Purchase of Equipment -250 -275 -300 -312 -338 -362 -400 -512 -527 -550 -575 -6
Net Cash Flow from Investing Activities -750 -825 -900 -937 -1013 -1087 -1200 -1537 -1577 -1650 -1725 -18

FINANCING ACTIVITIES
Owners Investment 500 750 800 925 975 1,000 1,150 1,500 1,630 1,700 1,850 2,2
Proceeds from loans 1,000 1,200 1,350 1,500 1,700 1,850 1,950 2,000 2,200 2,350 2,400 2,5
Repayment of loans -1,050 -1,260 -1,418 -1,575 -1,785 -1,943 -2,048 -2,100 -2,310 -2,468 -2,520 -2,6

Net Cash Flow from Financing Activities 450 690 732 850 890 907 1052 1400 1520 1582 1730 20
Cash Balance 1,634 2,040 2,782 2,944 3,898 4,231 4034 4,386 7,455 7,253 8,657 12,5

Page
49
 Appendix

Table: Balance Sheet

Pro Forma Balance

Sheet Dec
Starting Sep-09 Oct-09 Nov-09 -09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10
Assets Balances

Current Assets
Cash $10,000 $22,463 $26,199 $29,821 $33,968 $37,497 $42,866 $52,011 $60,049 $73,060 $85,735 $99,177 $60,961
Accounts $0 $3,981 $5,999 $7,725 $9,502 $10,438 $10,851 $11,628 $12,294 $13,497 $14,708 $15,568 $9,733
Receivable
Inventory $15,000 $10,351 $12,493 $16,337 $19,804 $21,198 $21,854 $23,677 $24,863 $27,633 $29,950 $31,493 $15,857
Other Current
Assets $9,000 $9,000 $9,000 $9,000 $9,000 $9,000 $9,000 $9,000
$9,000 $9,000 $9,000 $9,000 $9,000
Total Current $106,20 $123,19 $155,23
Assets $34,000 $45,794 $53,692 $62,884 $72,275 $78,134 $84,571 $96,316 6 0$139,393 8 $95,551

Long-term Assets
Long-term Assets $50,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000
Accumulated $0 $833 $1,666 $2,499 $3,332 $4,165 $4,998 $5,831 $6,664 $7,497 $8,330 $9,163 $9,996
Depreciation
Total Long-term
Assets $50,000 $79,167 $78,334 $77,501 $76,668 $75,835 $75,002 $74,169 $73,336 $72,503 $71,670 $70,837 $70,004
$124,96 $140,38 $148,94 $153,96 $170,48 $179,54 $195,69 $226,07 $165,55
Total Assets $84,000 1$132,026 5 3 9$159,573 5 2 3$211,063 5 5

Liabilities and Dec

Capital Sep-09 Oct-09 Nov-09 -09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10

Current Liabilities
Accounts Payable $0 $15,839 $25,821 $33,962 $38,983 $39,334 $39,724 $43,932 $45,317 $51,464 $54,939 $56,795 $13,749
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Current Borrowing
Other Current
Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Current
Liabilities $0 $15,839 $25,821 $33,962 $38,983 $39,334 $39,724 $43,932 $45,317 $51,464 $54,939 $56,795 $13,749
Long-term
Liabilities $30,000 $59,500 $59,000 $58,500 $58,000 $57,500 $57,000 $56,500 $56,000 $55,500 $55,000 $54,500 $54,000
$100,43 $101,31 $106,96 $111,29
Total Liabilities $30,000 $75,339 $84,821 $92,462 $96,983 $96,834 $96,724 2 7 4$109,939 5 $67,749

$101,50 $101,50 $101,50

Paid-in Capital $101,500 $101,500$101,500$101,500$101,500 0$101,500$101,500 0$101,500$101,500 0$101,500
($47,500 ($47,500 ($47,500 ($47,500 ($47,500 ($47,500 ($47,500 ($47,500 ($47,500 ($47,500 ($47,500 ($65,392
Retained Earnings ($47,500) ) ) ) ) ) ) ) ) ) ) ) )
Earnings $0 ($4,377) ($6,795) ($6,077) ($2,041) $3,136 $8,849 $16,052 $24,225 $34,729 $47,124 $60,779 $61,698
$114,77
Total Capital $54,000 $49,623 $47,205 $47,923 $51,959 $57,136 $62,849 $70,052 $78,225 $88,729$101,124 9 $97,806
$124,96 $140,38 $148,94 $153,96 $170,48 $179,54 $195,69 $226,07 $165,55
Total Liabilities and $84,000 1$132,026 5 3 9$159,573 5 2 3$211,063 5 5
Capital
$114,77
Net Worth $54,000 $49,623 $47,205 $47,923 $51,959 $57,136 $62,849 $70,052 $78,225 $88,729$101,124 9 $97,806

Page
50