RUTHIE’S PERFECT GLOW

BUSINESS PLAN
“ Be Glam… Be Fabulous… ”

Monumento, Pennsylvania,

City of San Fernando, La Union

DUCUSIN, RUTH ESTILLERO

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TABLE OF CONTENTS

I. EXECUTIVE SUMMARY 4

II. PRODUCTS AND SERVICES SUMMARY 4

III. MARKETING SUMMARY

A. Marketing Plan and Marketing Strategy 5
B. Target Market or Customers 5
C. Competitors 6
D. Advertising and Promotions 6
E. Sales and Distribution 6

IV. OPERATION SUMMARY

A. Owner 6
B. Staff 7
C. Legal Policies 8

V. FINANCIAL SUMMARY 8

VI. SUPPORT SUMMARY 9

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LIST OF TABLES

TABLE 1 Assessment of Competitors’ Strengths and Weaknesses 6

TABLE 2 Employee Application 7

TABLE 3 Product Costing Form 8

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RUTHIE’S PERFECT GLOW

I. EXECUTIVE SUMMARY

Ruthie’s Perfect Glow is a cosmetic shop which is located at Monumento,

Pennsylvania, City of San Fernando, La Union. This cosmetic shop is solely
owned by Ruth Estillero Ducusin. The cosmetic shop's main goal is to provide
our customers with fresh, high-quality cosmetics so that they can improve
their overall skin beauty, to achieve maximum customer satisfaction through
continued quality production, to ensure continuous production and supply of
our products to customers, and to build customer loyalty to our products so
that they become well-known in their minds.

Senior management, purchasing inputs, and general supervision work,

operations and production employees, sales and marketing staff, skin therapy
and hairdressing staff, record keeping and accounting, stock control, and
direct selling staff will be among the essential personnel at the cosmetic
Enterprise.

The purpose of Ruthie’s Perfect Glow is to improve its client's skin health
as well as their overall appearance. Thus, we want to be known as the leader in
our targeted local and international market for offering a diverse line of in-
demand cosmetics, such as fragrances, makeup, and other accessories, that
will provide us a competitive advantage in terms of customer happiness and
retention at reasonable rates.

Our items are costed and priced following market research and
comparisons to our major competitors' costs and costing information. We've
also done cash flow projections to guarantee that our company doesn't run out
of cash. Our startup capital has been allocated to what we intend to start our
business with, which includes renting a place for our shop, purchasing
machines for mixing the inputs, leasing a van, purchasing furniture and
fittings, massage equipment, cloths and uniforms, and other necessary items,
including employee salaries.

II. PRODUCTS AND SERVICES SUMMARY

Ruthie’s Perfect Glow will offer a variety of cosmetic items ranging from body
lotion to hair relaxers, with the possibility of using local fruits as major primary
ingredients in the manufacturing of body oils and lotions. This will be done to
improve our clients' overall skin health as well as their beauty skin,
particularly women. Lemons, cucumber, palm fruits, aloe vera, and oranges are
among the fruits we will extract to make body lotions that moisturize and
smooth the skin for a healthy beautiful look of the boy and hair.

Our company will also offer a variety of moisturizing creams, body lotions,
and hair lotions to our valued customers. Our product will be available to the
young, the young at heart, and the elderly who wish to improve their overall
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health and skin appearance. We will also offer cosmetic products to our valued
customers while providing consultation, advice, and information on how to mix
and use oils for their own benefit. We will provide free consultation services on
lotion use, making, and maintenance, as well as skin care, primarily for ladies
and young girls who are our main customers, and advise them on how to
maintain a healthy balanced diet that includes fruits and vegetables.

We will focus on cosmetic items and the production of locally made

cosmetics to treat skin illnesses such as fungal diseases, using locally
produced vegetables and fruits as ingredients in the formulation of these
cosmetics.

III. MARKETING SUMMARY

A. Marketing Plan And Marketing Strategy

Offering quality, body skin lotions, oils, and herbal cosmetics that help
fight skin diseases made from fresh fruit and vegetables that are nutritious
through adequate research and proper mixing of the lotions, oils, and herbal
ointments to meet the standard skin contents and characteristics of customers
in the market through advertisement are some of the strategies that the
cosmetic shop will employ to achieve our goal.

By utilizing sign posts, direct selling, and radio stations, providing

special incentives to our regular clients, offering our cosmetics at relatively
lower prices for market penetration, creating a welcoming environment for our
clients, employing people who understand the meaning of customer service and
quality, and providing samples for use as a way of expanding our markets,
particularly among young children, youth, and women. All of this incorporates
our strategies, which include communication, supplier relationships,
marketing, competitiveness, and human resource management.

Hence, to generate sales, we plan to communicate through outdoor and

television advertising. Our marketing staff will be in charge of managing the
marketing campaign. Our products' main message is that they are high-quality
cosmetics and skin care.

B. Target Market Or Customers

Corporate employees, students, market sellers, tourists, and retailers will

be our main clients, who will consume a variety of our items such as
perfumes, Lemon body lotion, hair relaxer cream, Aloe vera body cream
smoother, skin moisturizer, and Hair shine.

Thus, teenagers and women who suffer from acne breakouts, hair loss,
and other ailments, as well as those who aspire to have a clearer and better
physical appearance, will most likely be our customers.
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C. Competitors

Nisce Skin Care, Charm Medical Skin and Body Clinic, and Luxe Derm
Skin Care Clinic are our main competitors, all of whom sell the same
cosmetics.

The following is a breakdown of our main competitors' strengths and

weaknesses.

TABLE 1. Assessment of Competitors’ Strengths and Weaknesses

Name of Competitors Strengths Weaknesses

Nisce Skin Care  Comprehensive  High product
Research prices and
 More experience in operation costs
business
 Huge Financial
Investment
 Customer Loyalty
Charm Medical Skin and  Creative and  Poor location
Body Clinic innovative  Lack of own
management premises to
 High advertising capitalize the
rates concentrate all
activities in one
place
Luxe Derm Skin Care  Wide distributional  Poor Location
Clinic channels  Poor advertising
 Legit products management

D. Advertising And Promotions

Ruthie’s Perfect Glow plans to spend a lot of money advertising our items on
sign posts, Facebook, Instagram, and other social media apps which have
greater reach. We also plan to hire a highly skilled marketing manager to
promote our products in other place. And we plan to personally visit our
general stores and large wholesalers of our products, as well as use a few
additional promotional strategies.

E. Sales And Distribution

Ruthie’s Perfect Glow will distribute through retailers, distributors, and

wholesalers who will buy and sell in bulk to our end customers who we cannot
sell to directly. We will also sell directly to customers because our primary
location in La Union has a strong customer traffic. We will also be employing a
leased van to deliver to our customers who place significant orders.

IV. OPERATIONS SUMMARY

A. Owner

Ruthie’s Perfect Glow will operate as a sole proprietorship by Ruthie

Estillero Ducusin because of the following reasons:
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a) Simplicity and low cost in starting a business

b) Higher level of business control
c) Easier in making a decision
d) More profits will be gained by the owner

The following are the skills and characteristics of the owner.

a) Business manager and high selling skills

b) Fluent and good in communication skills
c) Motivational skills
d) Leadership and management skills
e) Open minded and Understanding
f) A good listener and adviser

B. Staff

I have little experience running a business, but I want to work hard and
study to acquire what I need to know. According to my staffing strategy, I will
be in charge of purchasing inputs and will take on the job of senior
management. And because the company would be small, I will only need a few
people to help with the following tasks.

Marketing and sales. I'll need employees to market the products and sell them
to our direct clients at our main store in La Union, as well as provide customer
service.

The operations team will be in charge of producing and mixing the ingredients
for the cosmetics and all of our products.

Other personnel who are in charge of providing other services to our

consumers, such as skin therapy and hair styling.

Some family members will be hired and will be responsible for stock control,
selling to market vendors, retailers, and distributors, as well as record keeping.

TABLE 2. Employee Application

TASK REQUIRED SKILLS AND EXPERIENCE

Senior manager, Management and leadership abilities
purchasing inputs, and
general supervision

Marketing and Sales Customer service, marketing, and sales abilities

Operations and Skills in blending diverse ingredients and creating

production staff
Hairdressing and skin
care
Inventory management,
sales to market suppliers,
retailers, and distributors
perfumes and cosmetics
Women's hairdressing, massage, and rubbing
skills
Good communication skills, personal selling
abilities and supply chain management skills
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C. Legal Policies

I contacted several government authorities, including the regional tax office,

Department of Labor and Employment (DOLE), Department of Trade and
Industry (DTI), and Food and Drug Administration (FDA) to learn about the
legal requirements that relate to my company. I've also contacted AXA
Philippines to inquire about the costs of insurance for my company.

V. FINANCIAL SUMMARY

These are the materials utilized in the manufacturing process that will end
up in the final product. The following are the examples; Lemons, cucumber,
palm fruits, aloe vera, oranges, and other fruits and vegetables

TABLE 3. Product Costing Form

Raw Materials Buying Cost Quantity per Costs

item (kg)
Lemons 100 6 600
Cucumber 50 4 200
Palm Fruits 30 3 90
Aloe Vera 60 5 300
Oranges 30 4 120
Total cost per item 1310

To plan and monitor the financial status of Ruthie’s Perfect Glow, we will take
the following procedures.

1. We devise a sales and cost strategy.

2. We create a cash flow forecast.
3. Every month, compare records from both plans.
4. And if something goes wrong, we'll take action.

Thus, I'll need operating cash to cover the costs I'll incur before I begin
manufacturing. This working cash will be required to cover the first months, as
I anticipate making some reasonable sales beyond that time.

The working capital will cover the following:

1. Raw materials inventory

2. Promotion
3. Wages= monthly wage cost x number of months till sales meet my
expenses
4. Number of months before sales cover my costs = monthly rent
5. Leases
6. Insurance
7. Other costs= monthly costs + number of months before revenues pay my
expenses
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VI. SUPPORT SUMMARY

These are the photos taken during the live selling of one of the products
of Ruthie’s Perfect Glow.

The photo below shows some of the products of Ruthie’s Perfect

Glow such as, skin moisturizer, lip balm, lip and cheek tint, eyebrow
powder, etc.