Businessplan (Trans Hallow Block Innovation)

HOLLOW BLOCK
INNOVATION Email Add.:Transinnovation@gmail.com

“HOME TRASH TO BUILD HOUSE” Tel. No.: 332-5229
STO. NINO SUR, AREVALO, ILOILO CITY Mobile no.: 09307161229
TRANS (HOLLOW BLOCK INNOVATION)

Business Plan
EXECUTIVE SUMMARY
Trans Hollow Block Innovation is a newly established business with an innovative

idea to create environmental friendly construction materials located in Sto. Niño Sur,
Arevalo, Iloilo City. It produces an eco-friendly hollow block that made from recyclable
plastic materials such as plastic bag, sachet and etc. Trans will be the leading company
in Panay Island base in Iloilo City to produce and distribute an eco-friendly hollow block.
This innovative idea aims to help reduce plastic waste disposal and promote waste
segregation in partnership with LGU’s, NGOs and private individuals. The Government
advocacy campaign on Environmental Friendly Community and Solid Waste
Management is the aspiration of Trans Hollow Block Innovation. Thru this advocacy the
Trans Hollow Block Innovation builds a reliable partnership with the LGU’s, NGO’s and
Private Sector to create and build Environmental Friendly Community using eco-friendly
hollow block that made of recyclable plastic materials from Solid Waste Management
Program.
Trans Hollow Block Innovation has its own manufacturing plant with complete
machineries and a wide showroom for the convenience of the client/customer. It has
also a several collecting outlet where the recyclable plastic materials collected from the
plastic garbage collector.
Trans Hollow Block Innovation is a corporate business of run by Redge Judith R.
Cerenche, Alexon B. Gane and Norilyn Cerbo. They are licensed civil engineer, highly
knowledgeable and well experience in the field of construction industry. Their field of
expertise is suitable for the progress and growth of Trans Hollow Block Innovation.
HOLLOW BLOCK
VISION
Trans Hollow Block Innovation sole vision is
 To be a leading provider of quality and affordable eco-friendly hollow blocks in
partnership with LGU’s, NGO’s and private individuals.
 To build a reliable partnership in diversifying the problem of waste disposal into
useful construction materials.
 To meet the needs and expectations of the customer in creating new eco-friendly
construction materials.
MISSION
 Trans mission is to establish a world class production of eco-friendly hollow
blocks made from plastic recycled material especially sachet.
 A value-driven business to deliver a quality, affordable and eco-friendly hollow
block.
 Build a reliable partnership with LGU’s, NGO’s and private sector.
Value Proposition and Innovation
Figure 1: Value Proposition

HOLLOW BLOCK
BUSINESS MODEL
BUSINESS MODEL: TRANS HOLLOW BLOCK INNOVATION

VALUE
KEY PARTNERS KEY ACTIVITIES KEY RESOURCES
PREPOSITION
 LGU’s, NGO’s and  Manufacturing of  Machineries  Membership
Private Individual eco-friendly hollow  Customer  Exchange of
 Plastic collector block. information trash to eco-
 Loyalty Member  Promotion/  Segregated friendly hollow
Advertisement recycle plastics block
/demonstration  People  Customize
 Continuing Research Eco-friendly
 Grand Opening hollow block
 Distribution and  Knowledge
Wholesale and
techniques
REVENUE COSTUMER
COST STRUCTURE CHANNELS
STREAMS SEGMENTS
 Machineries and  Social Media  Product Sales  Engineers
maintenance Marketing  Website Purchase  Architects
 Promotion/  Website  Membership  Hardware
advertisement  Costumer services Subscription  Construction
 Grand Opening  Signages, brochures  Bulk Order firm
 Taxes, permits and and flyers  Builders
others expenses  LGU’s,NGO’s
 Human resource  Private Sectors
 Shop and show room
construction cost.
Figure 2: Business Model
HOLLOW BLOCK
MARKETING IDENTIFICATION AND ANALYSIS
OUR TARGET MARKET

TRANS target market is focused on LGU’s, NGO’s and Private Individuals that
indulge with the government advocacy in promoting Environmental friendly Community
and Solid Waste Management. Also, individuals that aim to build an eco-friendly house,
establishments, infrastructure and some others. Finally, small businesses that aim to
adopt the new prototype.
SWOT ANALYSIS
STRENGTH – the first eco-friend hollow block produce and introduce in panay
island. The materials use in producing our product is a big factor because it promotes
waste segregation and recycling to address the problem in solid waste management.
The partnership with the LGU, NGO and Private Individuals is an additional factor for
the distribution of eco-friendly hollow block that will bring growth in the business.
Weakness
WEAKNESS - A major weakness that may count against us is the fact that we
are new in hollow block production in Iloilo City and the first to introduce a new type of
product which is not yet in the market. Struggle in collected the main material use to
produce eco-friendly hollow block.
OPPORTUNITIES - The fact that we are the first to introduce in the market the
eco-friendly hollow block made from recyclable plastic materials. It is a great opportunity
to gain name in the market as the first to introduce and produce the eco-friendly hollow
block that made from recycled plastic materials.
THREATS - We can’t deny the fact that after we introduce the new product in the
market there were be a competitor that will arise. Also, it is struggle to introduce a new
type of product in the market especially we are new business.
HOLLOW BLOCK
MARKETING AND SALE STRATEGY

Marketing Strategy
Trans hollow block innovation marketing strategy will be focusing on the
construction industry and LGU’s, NGO’s programs and project in term of infrastructure.
We will launch an advertising events and activities as a marketing strategy as follows:
 Invite LGU’s, NGO’s, engineers and businessman at the Grand
opening ceremony to showcase the eco-friendly hollow blocks.
 Create an active website and publish a product information drive,
product demonstration and etc.
 Publish a marketing advertisement in the various social media site.
 Provide and position signages/banners at strategic areas all over
panay island.
 Adopt a word-of-mouth strategy.
 Provide loyalty rewards and points thru customer’s loyalty
membership program.
 Provide brochure featuring some aspect of eco-friendly hollow
block and some possible product formulation.
The following marketing strategy mention above were
Sales Strategy
Considering that Trans Hollow Block Innovation is a newly established business
bringing new product specification in the market, we need to strengthen our marketing
campaign to inform and educate our customer with the specification of eco-friendly
hollow blocks. Bringing an extra ordinary accommodation as customer enters the
showroom and providing an excellent service that would be our customer’s reason to
come back and become a loyalty member.
Create new engineering design and techniques using the eco-friendly hollow
blocks to help our customer build engineering ideas and projects. Thru this we will give
our costumer and loyalty member reason to always choose our eco-friendly hollow
block to introduce to their client. Also, reach out for more partners and loyalty members.
HOLLOW BLOCK
SUSTAINABLE COMPETITIVE ADVANTAGE

Competition
Sustainable Competitive Advantage Competition Competition in the market is
one of the biggest obstacles in establishing a business. Competitors such as hollow
block makers are one of the Trans Hollow Block as it falls in the same category of
making hollow blocks. These hollow block makers already established a name in the
indusry or have already made connections in construction firms as to where they are
already supplying them and are loyal to them. We are well aware of the stiff competition
and ready to compete with them in marketing and in showing them the capability of our
product. Advantage
Advantages
The advantages of Trans Hollow Block Innovation on other hollow block makers are:
1. Trans Hollow Block is the first innovative eco-friendly hollow block made of
recycled plastic materials. The customers will not only secure the safety of
their home but will also help save mother earth by helping reduce plastic
waste.
2. Trans Hollow Block Innovations will keep a wide choice of hollow block
type to accommodate the type of hollow block the customers will be
needing.
3. Loyalty Program: customers/contractors who are loyal, avails the product,
use it to their projects and help us build a name is eligible for discounts
and future promotions.
4. Outstanding customer service: a very approachable and understanding
customer service to help the customers in everything they need in terms of
the product.
5. Defective-Return Policy: a policy in which every defective/deformed
product is always returnable as it is easy to re-melt the product and create
a new one again
HOLLOW BLOCK
COMPANY PRODUCT AND SERVICES
Trans Hollow Block Innovation is a manufacturing company that produce eco-

friendly hollow block that will cater its customer in the whole Panay Island as well as to
gain profit, which is why we would like to extend efforts to strengthen the capability of
the company to create and offer the best design by its purpose. Trans Hollow Block
Innovation will not be focusing on production but considering the need of the modern
type of construction and deals with creating different types of eco-friendly hollow block
and providing techniques on effective way of using the eco-friendly hollow block.
Product
 Whole selling and retailing of eco-friendly hollow block
Services
Services Number of Services Charges Remarks
Employee
Delivery 3 2.00 per block
Manufacturing of 10 10.00-15.00 per block
customize eco-
friendly hollow
block
1 1,000-10,000 depends on the
Membership types of
membership
Skills and 1 Free Accessible at the
techniques using Trans hollow bloc
the eco-friendly innovation website
hollow block
Table 1: Services Offered
HOLLOW BLOCK
TEAM
Team Overview:
TRANS Hollow Blocks Innovation is a newly established business, consisting
three key people who came up with the idea, took an interest and founded it.
Partners:
6. Alexon Gane
7. Redge Judith Romagos
8. Norilyn Cerbo
Management Team
Alexon B. Gane
Founder / Chief Executive Officer
Redge Judith Romagos Cereneche

Co-Founder / Chief Operation Officer
Norilyn Cerbo
Co-Founder / Chief Marketing Officer
Figure 3: Management Team

HOLLOW BLOCK
EXPANSION PLAN
Whether you accompany your proposal with an elaborate presentation or keep it

minimal, a business expansion plan should outline steps that you’ll take to facilitate and
support the growth of your business, from securing capital to an updated marketing
strategy in a new history. One of our aims in founding this business is to produce and
distribute an eco-friendly hollow block. We understand as owner or seller that the best
way to promote and advertise our business is to place adverts on community-based
newspaper , radio , and TV stations and also encourage the use of word-of-mouth
publicity from our customer . Trans Hollow Block Innovation will ensure and provide an
eco-friendly hollow block that made of recyclable plastic materials from Solid Waste
Management Program. Our business aims to help reduce waste disposal and promote
waste segregation in partnership with LGU’s , NGO’s and private individuals. Our
inspiration in creating this business is the advocacy campaign of the Government on
Environment Friendly Community and Solid Waste Management. Trans will ensure and
provide the best quality, structure and good product to ensure the wellbeing of our loyal
customer. The result of the sales and profit gained throughout the years will be the
basis for our business expansion plan. Trans Hollow Block Innovation intends to grow
by opening a second location in Iloilo province, as well as within and outside of the
Panay Island.
OPERATIONAL PLAN
Location and Facilities

The TRANS Hollow Block Innovation is located in Sto. Nino, Sur, Arevalo, Iloilo
City. In establishing the factory and showroom it required . Iloilo was the best place that
was choosen because it is the economic center of panay region. Panay Island is the
market target of Trans Hollow Block Innovation because
HOLLOW BLOCK
Technology
The business will be utilizing the following:
 New machines design for the production of eco-friendly hollow blocks.
 The social media use in the marketing of eco-friendly hollow blocks.
 Active website to allow the members to have a access to the product information
and specification.
 Website to allow the customer to sign up for membership.
Operation/Business Flow
PLASTIC COLLECTION
Plastic collection/collector
PRODUCTION
Grinding, heating and compressing of plastic to form hollow block
SHOWCASE/MARKETING
Eco-friendly hollow block is displayed in the showroom and in the website.
SALES/DISTRIBUTION
Taking and processing the order
DELIVERY
Booked order is subject for delivery
Figure 5: Operation/Business Flow

HOLLOW BLOCK
Equipment and Tools
Trans Hollow Block Innovation is a production company that produce eco-friendly

hollow block that use multiple numbers of machineries, equipment, and tools are as
follows:
 Washer – a machine use for washing the recyclable plastic materials
 Dryer – a machine use to dry the recyclable plastic materials
 Grinder – a machine use to grind the recycled plastic materials
 Heater - a machine use to subject the recyclable plastic material to its
required heat
 Compressor – a machine used to form the eco-friendly hollow blocks for
the following design.
 Form case – a tool use to form a desired structure or shape.
 Drying rack - this equipment use to air dry the finish product
 Push Cart – an equipment use to transfer eco-friendly hollow block
FINANCIAL PLAN
Start-up Expenditure (budget)

The business will need substantial start-up capital. Sales are expected to start
conservatively the
Financial Plan Start-up Expenditure (Budget)
The business will need substantial start-up capital. Sales are expected to start
conservatively the first year and increase steadily through the fifth year of operations.
From our market survey and feasibility studies, we have been able to come up with a
detailed budget on achieving our aim of establishing a hardware store and here are the
key areas where we will spend our initial capital;
HOLLOW BLOCK
Key areas of start-up expenditure Amount (Php)
Total fee for registering the business (include all licenses and
100,000
permits needed)
Insurance (general liability, workers’ compensation and property

150,0000
casualty) coverage at a total premium ( 1 year)
Marketing promotional expenses ( includes signages, online

100,000
platform, grand opening et al)
Cost for the machines, equipment and tools 2,000,000
Cost for the construction of the Factory and showroom 3,000,000
Operational cost for the first 3 months (salaries of employees,

1,000,000
payments for materials et al)
Other start-up expenses including stationery, phone and utility

100,000
deposits
Rent for transport and delivery vehicles (trucks and forklift) 100,000
Cost of purchase and installation of CCTV’s 200,000
Cost for the purchase of office furniture and technology (Touch

screen monitors, Computers, Printers, Telephone, TVs, Sound 500,000
System, tables and chairs et al)
Total 7,300,000
Table 2: Start-up budget
We would need an estimate of Php 7,300,00.00 to successfully establish the

factory and showroom of Tran Hollow Block Innovation owned and manage by Alexo B.
Gane, Redge Judith Cerenche. They have opted to limit the sources of starting
financing to three key sources because they do not intend to invite any external
HOLLOW BLOCK
business partners. Following are the areas where we want to raise funds for our startup;
●Generate part of the startup capital from personal savings
●Source for soft loans from family members and friends
●Apply for loan from Bank
Projected Profit and Losses per Year

Key Areas 2023 2024 2025
Sales 27,985,500 26,145,000 35,742,600
Direct cost of sale 13,828,430 11,417,600 17,556,430
Other cost of goods 3,358,260 3,672,590 4,289,112
Total cost of sales 17,186,690 15,090,190 21,845,542
Gross Margin 10,798,810 11,054,810 13,897,058
Gross Margin % 39% 42% 39%
Expenses
Payroll 3,510,000 4,212,000 4,212,000
Depreciation 545,000 710,000 630,000
Advertising Expenses 100,000 150,000 150,000
Equipment
25,000 100,000 120,000
Maintenance
Telephone 36,000 48,000 48,000
Accounting and Legal 156,000 156,000 156,000
Store and Office
60,000 90,000 100,000
Supplies
Insurance 120,000 150,000 120,000
Delivery Vehicle
600,000 600,000 2,000,000
Expenses
Payroll Taxes 301,860 358,020 358,020
Employee Benefits 228,150 273,780 273,780
State and Property tax
120,000 150,000 150,000
expenses
Travel Allowance 150,000 200,000 150,000
Other Expenses 25,000 100,000 50,000
Total Operating
5,977,010 7,297,800 8,517,800
Expenses
4,821,800 3,757,010 5,379,258
Interest Expenses 860,691 670,626 960,198
HOLLOW BLOCK
Taxes Incurred 482,180 375,701 537,926

Net Profit 3,478,929 2,710,683 3,881,135
Net profit / sale % 12.43% 10.37% 10.86%
Total net profit in 3
10,070,746
Years
Table 3:Projected Profit and Losses per year
Yearly Profit
4,500,000
3,881,135
4,000,000
3,478,929
3,500,000
3,000,000 2,710,683
2,500,000
2,000,000 Net Profit
1,500,000
1,000,000
500,000
0
2023 2024 2025
Figure 6: Yearly Profit
Yearly Gross Margin

16,000,000
13,897,058
14,000,000
12,000,000 10,798,810 11,054,810
10,000,000
8,000,000
Gross Margin
6,000,000
4,000,000
2,000,000
0
2023 2024 2025
Figure 7: Year Gross Margin

HOLLOW BLOCK
Year Return of Investment

2023 47.65%
2024 98.49%
2025 151.65%
Table 4: Return of Investment
GROUP MEMBERS
1. ALEXON GALE BS CE-2

2. NORILYN CERBO BS CE-2
3. REGDE JUDITH ROMAGOS BS CE-2

Businessplan (Trans Hallow Block Innovation)

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Businessplan (Trans Hallow Block Innovation)

Uploaded by

Copyright:

Available Formats

HOLLOW BLOCK

INNOVATION Email Add.:Transinnovation@gmail.com

TRANS (HOLLOW BLOCK INNOVATION)

Trans Hollow Block Innovation is a newly established business with an innovative

Value Proposition and Innovation

Figure 1: Value Proposition

BUSINESS MODEL: TRANS HOLLOW BLOCK INNOVATION

MARKETING IDENTIFICATION AND ANALYSIS

OUR TARGET MARKET

MARKETING AND SALE STRATEGY

SUSTAINABLE COMPETITIVE ADVANTAGE

COMPANY PRODUCT AND SERVICES

Trans Hollow Block Innovation is a manufacturing company that produce eco-

Redge Judith Romagos Cereneche

Figure 3: Management Team

Whether you accompany your proposal with an elaborate presentation or keep it

Location and Facilities

Figure 5: Operation/Business Flow

Equipment and Tools

Trans Hollow Block Innovation is a production company that produce eco-friendly

Start-up Expenditure (budget)

Key areas of start-up expenditure Amount (Php)

Insurance (general liability, workers’ compensation and property

Marketing promotional expenses ( includes signages, online

Cost for the machines, equipment and tools 2,000,000

Cost for the construction of the Factory and showroom 3,000,000

Operational cost for the first 3 months (salaries of employees,

Other start-up expenses including stationery, phone and utility

Cost of purchase and installation of CCTV’s 200,000

Cost for the purchase of office furniture and technology (Touch

Table 2: Start-up budget

We would need an estimate of Php 7,300,00.00 to successfully establish the

Projected Profit and Losses per Year

Taxes Incurred 482,180 375,701 537,926

Figure 6: Yearly Profit

Yearly Gross Margin

Figure 7: Year Gross Margin

Year Return of Investment

1. ALEXON GALE BS CE-2

You might also like