Business

Plan
 I.
Introduction
 a. Proposed name of business

The franchise name is Ugh luhmeh since it was

inspired from a famous line of youtuber named
Sergio Quijano also known as Kyo Quijano. Ugh,
Luhmeh is an Ilokano term for “Ah Sarap.” The
products are called Potato Bites & Browkies.
b. Name of owner/s

Gianna Mikaila Flores and Trexie del

Mundo
 c. Address, description and location
of business

Our business is a franchising type. We have stalls

located at Andres Soriano Street (Intramuros, Manila),
along Central and United Nations Stations, and near
Rizal Park. We decided to have a franchising business
because our product should be known and taste by
everyone who wants to taste a delightful and
delicious foods.
 It is understood and agreed to that the below identified discloser of confidential information may
provide certain information that is and must be kept confidential. To ensure the protection of such
information, and to preserve any confidentiality necessary under patent and/or trade secret laws, it is
agreed that:

1. The Confidential Information to be disclosed can be described as and includes:

Invention description(s), technical and business information relating to proprietary ideas and
inventions, ideas, patentable ideas, trade secrets, drawings and/or illustrations, patent searches,
existing and/or contemplated products and services, research and development, production, costs,
profit and margin information, finances and financial projections, customers, clients, marketing, and

d. Statement
current or future business plans and models, regardless of whether such information is designated as
“Confidential Information” at the time of its disclosure.

of 2. The Recipient shall limit disclosure of Confidential Information within its own organization to its
directors, officers, partners, members, employees and/or independent contractors (collectively referred

Confidentiali to as “affiliates”) having a need to know. The Recipient and affiliates will not disclose the confidential
information obtained from the discloser unless required to do so by law.

ty 3. This Agreement imposes no obligation upon Recipient with respect to any Confidential Information
(a) that was in Recipient’s possession before receipt from Discloser; (b) is or becomes a matter of
public knowledge through no fault of Recipient; (c) is rightfully received by Recipient from a third party
not owing a duty of confidentiality to the Discloser; (d) is disclosed without a duty of confidentiality to a
third party by, or with the authorization of, Discloser; or (e) is independently derived by Recipient.

4. This Agreement states the entire agreement between the parties concerning the disclosure of
Confidential Information. Any addition or modification to this Agreement must be made in writing and
signed by the parties.

5. If any of the provisions of this Agreement are found to be unenforceable, the remainder shall be
enforced as fully as possible and the unenforceable provision(s) shall be deemed modified to the
limited extent required to permit enforcement of the Agreement as a whole.
II. Executive
Summary
a. Vision, mission, goals, and
objectives of the business

Vision:
• We, Ugh Luhmeh establish a newest food business as the best
purveyor of a delightful product. For knowing that we are providing
you our very-owned, delicious and high quality product, our finest
indulging browkies delights and potato bites that will surely gives you
a pleasant taste that you are craving for. We aim to grow while
maintaining the good services and we aim to become a famous and
biggest incorporation because of the delightful products that we've
made and served filled with love and happiness.
Mision:
• As the best purveyor of delightful products, Ugh
Luhmeh wants to nurture and spread a great pleasure
and satisfaction to the human spirit by experiencing
delight in every bite to our products. We inspire others to
eat a good quality product that will gives them happiness.
Goals:
• To obtain enough sales for our invested money for the
product and to make it last until the end with a great
impression from the consumers. We do also aim to maintain
the good service from the start ‘til the end and make our
team the unforgettable one for every consumers. We work
also to make it the most talk about and the biggest sales of
product among the others.
Objectives:
• To sell it all within the day to make a day worthwhile
and make it cheaper but more tasty compared to other
products. We aim to make it the cheapest selling product
with the best tasty feeling while indulging it. Because we
think about quality and not quantity.
 b. Business position

 Our businesses are located on places that have a lot of population

such as Intramuros, Manila and Rizal Park that are both tourist
destinations and in Central and United Nation Stations that are both
train stations which people walks through when they ride a train back
to their home and vice versa. We choose to have stalls to those
places because of the population and the place itself. Those places
were monitored by personnel to conserve cleanliness around the
place.
c. Wealth improvement approaches

 We could improve our business by having a friendly,

approachable, and responsible employees for the
consumers to enjoy our product every time they
purchased it and having a lot of patience and having
passion of what we are doing. The next attempt is
having promos of our product such as giving discounts.
Those ways will help our business to be successful.
d. Parties supporting the business

Green Farm Southeast Asia will be the supplier

of potatoes, Purefoods will be the supplier for
Bacon whilst the real owners of Ugh Luhmeh are
shareholders of the franchise.
III. Industry
Analysis
1. National and Global Economics

 In our business we have 2 products, the browkies and potato bites. If both
included in global economies, they would be very cheap especially in high
income countries with money that has a high value which would help them
to be able to purchase a lot for a cheap price through their respective
money. Also in countries like England, America, and Australia they have
likings towards things like browkies and potato bites (our products) as
they are into chocolates and sweets that they usually pair with a cup of
tea, as well as into the ingredients used in our potato bites. In our country
(national economy) it would be able to sell a lot as it also meets the likings
of our fellow Filipinos. They are also into things like chocolates, brownies
and also potato bites with the ingredients inside it therefore our product
will be able to last in both global and national economies
 2. Government policies and
regulations

 Food and Drug Administration (FDA) Act of 2009 (R.A. No. 9711) – the law that governs the
inspection, registration, licensing and monitoring of establishments and health products.
 Consumer Act of the Philippines (Republic Act No. 7394) – The law that protects the
interest of the consumers in the Philippines, promote their general welfare, and establish
standards of conduct for business and industry.
 Insurance Act of the Philippines, as amended – the law that governs the insurance business
and insurance transactions in the Philippines.
 National Health Insurance Act of 1995 (R.A. No. 7875) – the act that mandates employers
to register their business and their employees with the Philippine Health Insurance
Corporation or PhilHealth.
 Social Security Act of 1997 (R.A. No. 8282) – the law that mandates employers to register
their business and their employees with the Social Security System (SSS).
 Labor Code of the Philippines (Presidential Decree No. 442) – is the law that governs
3. Technological developments

 Technology is a big help in business wherein we use

mobile technology to promote and advertise our
product in public and for us to have more consumers
and let them know about our product.
4. Demographic changes

 Our product namely Potato Bites and Browkies are grown

because of the fact that it is very unique and the generation
today will be interested and because of the fact that it us very
unique and the generation today will be interested and because
of the millennial-type of our advertisements and promotions
which will have an effect on our sales.
 5. Social changes

 As we propose our business to you, which consists potato balls and browkies which
are 2 different products that contains a delectable flavor because of the potato balls
and also sweet feeling because of the browkies. These are small products but we are
surely sell it in a good price. Since they are pika-pika foods, our peak season for
these products is school year because pika- pika foods are affordable for students.
And especially when we have a seasonal events such as valentines that sweets are
famous in that day to give to your love ones and also the big events that will happen
here in Adamson University. And if our products are not in peak seasons. We will
conduct a promo such as a sale if they bought more or online selling to sell our
products to experience the taste to the people who wants to taste it even if they are
too far to reach our stall or place. So that even if it’s not a peak season we can
gather sales to other people and gather comments that will improve our product so
that it will help us in improving and spread our product to others.
 6. Changes in Natural Environment

 It is important for every business organization to interact and transact with

its environment because the business environment has direct relationship
with the organization like in the Philippines, it has a tropical country, and
has only two official seasons wet and dry. Potato bites and browkies are
perfect for all season. All potato plant varieties may be planted whether
early season; mid-season or late season, it is best for all season. The
potato will not be spoilt easily if it will be in a cool or warm area but can
last for a days. And the browkies is the most favorable for all because it
can last longer in every season and has a strong foundation of
ingredient .The two potato bites and browkies is not that perishable and
can adopt for all types of weather, it can be best for dry or wet season.
 b. Market Profitability

1. Competition among existing firms in the industry

We formed Ugh Luhmeh maintained a competitive behavior by using different types of competition
like price competition, product introductions and advertising battles:

• Price Competition - by introducing a low amount of product or low price.

• Product Introductions - by means of product sampling.

• Advertising Battles - by means of having some marketing strategy like promotion and advertising.

Overall, by means of this rivalry it tends to increase the intensity of our company and sees an opportunity
to boost our market product.
2. Bargaining power of customers
 In Ugh Luhmeh, we made a promo on our product to meet the
costumers’ satisfaction and we give all our best in our product to be
worth the money they pay, even though there is no deal or offer to
super low the price of our product but we still had a promo to achieve
their satisfaction. And also we, the sellers, think first what is our target
that might achieve our goals and we chose the one that is unique in the
taste of the people.
3. Bargaining power of suppliers
 We first made a survey in our group if it will satisfy the
customer that might buy our products, and we use the power
of negotiation to pursue them to buy in our company and we
gave them promo/s to not complain in our product. Buyers
also used the promo to buy the whole sale product even
there is a half dozen and we sell the healthy one to not let
the customer have a sick because of our product.
4. Threats of potential entrants
 The threats of new entrants in the Ugh Luhmeh can be considered as
medium to high because it is not difficult to start a small business which is
selling products like ours since there are no other qualifications needed to
obtain the expected capital that we are supposed to use. So, for the potential
entrants they can easily enter and introduce their product to the customers.
Even though there are many potential entrants in our business, we are at a
more advantageous state than them because we sold our products earlier.
Our products are well-known/recognized by very many people, we always
make assure that our products are worth buying for, also, for the price, there
is always something new in our product and lastly, we are introducing
innovative cost-cutting business models.
5. Threats of substitute goods
 The threats of substitute goods in our products can be
considered at least medium to high because it may be clear
that there are many alternatives for making our products, they
can find some ingredients that are cheaper and really the same
to the ones that we used, also, they can easily recreate it on
their own. It maybe the functions, attributes, or performance of
a substitute are equal or superior to our product.
Consumer analysis

P Qd

15 150

18 120

20 80

25 70

30 50

This graph shows that when the price of the potato bites drops at 15php per piece then the
demand of the consumers will increase and when the potato bites was sold at its maximum price
the demand of the consumers will decrease.
Competitor Analysis

P Qs

15 100

18 95

20 80

25 75

30 60

Just like what happened in the demand,when the price is only 15 php the
supply will increase because the demand of the consumers are high,the supply
should be enough for the demand of the consumers.And when the product was
sold at its maximum price the demand will decreased.
Market Forecast

Qd P Qs

150 15 100

120 18 95

80 20 80

70 25 75

50 30 60

This graph shows the comparison between the demand and

supply for each given price and based on the graph when the
price of the product is 20 php the demand and supply are just the
same.
 SWOT Analysis

Strengths
The advantage of this business is that in an affordable price, you will have a big serving of your
chosen flavor of potato bites and you also get a gooey and chocolate-y flavor in the browkies that
will surely adjust to your tastebuds.
Weaknesses
The weakness of the business is if there is a shortage in the materials that the business will be
using, the prices of the products will become higher.
Opportunities
The business can add additional flavors to give more choices for the consumers and will range in
sizes with affordable prices.
Threats
The use of potato in this industry is very much in at this moment so the competitors which utilizes
potato (like French fries, mojos, or even also potato balls) are very much likely to be threats. The
street vendors who also sell finger foods like kikiam and fishball are also threats since they sell
cheaper products.
IV. Business
Description
 a. Product Description

 The potato bites consist of a hard-boiled quail egg wrapped

in a mashed potato, coated in bread crumbs, and deep
fried. It is a common finger food but we incorporated it with
a twist. These balls contain either quail eggs, bacon or ham
cheese rather than the usual potato bites that contain only
mozzarella cheese. Based on the feedbacks made by the
consumers, this product is really a mouthwatering appetizer
and it really satisfied their cravings.
 b. Various plant and office
equipment

 The typical assets that are included in Various plant and

office equipment that are used to makes are cooking pot,
tray, tong, bowl, spoon and fork, knife, chopping board, gas,
light and electricity facility which are used in making are
product . Also included in this balance sheet classification is
a subtraction of the accumulated depreciation that pertains
to these assets.
c. Size of the proposed business

 “Ugh Luhmeh” food business is just franchising business. The

size of the stall of the store is only 5 sqm2 . There are only an
adequate amount of personnel and the investment for the
business was just enough for the first batch of cooked products.
 d. Personnel requirement

General Manager
An individual in a GM role is a generalist who is familiar with all areas of the business and can coordinate processes and operations across the
organization. A general manager must speak the languages of finance and accounting, operations, sales, marketing, human resources, and research and
development or engineering.Most general managers have a bachelor’s degree in business administration, management or a field related to their work.
Cashiers
Cashiers process payments from customers purchasing goods and services.In some establishments,they have to check the age of their customers when
selling age-restricted products, such as alcohol and tobacco. Some cashiers may have duties not directly related to sales and customer service, such as
mopping floors, taking out the trash, and other custodial tasks. Cashiers are trained on the job. There are no formal education requirements to become a
cashier.Although most jobs for cashiers have no specific education requirements, some employers prefer applicants with a high school diploma or
equivalent. Cashiers should have a basic knowledge of mathematics, because they need to be able to make change and count the money in their
registers.
Auditors
Auditors prepare and examine financial records. They ensure that financial records are accurate and that taxes are paid properly and on time.Auditors
assess financial operations and work to help ensure that organizations run efficiently.Most accountants and auditors need at least a bachelor's degree in
accounting or a related field. Certification, including the Certified Public Accountant (CPA) credential, can improve job prospects.
Secretary
As a secretary there are a lot of requirements you need to pass like: Familiarity with office organization and optimization techniques, High degree of
multi-tasking and time management capability, Excellent written and verbal communication skills, Integrity and professionalism, Proficiency in MS Office
and a high school diploma.
Marketing Manager
A marketing manager must be have a:
Degree Level: Bachelor's degree; master's often preferred
Degree Field(s): Marketing or business administration
Licensure/Certification: Professional certification and organization memberships suggested
Experience: Industry experience required
Key Skills: Strong communication, sales, presentation, management, and leadership skills; goal-oriented,
flexible, and creative under pressure; knowledge of current marketing trends and multimedia platforms; strong
budgeting, Internet, and computer skills.
Operational Managers
The requirements for operational managers are: Bachelor’s degree in operations management or related field.
Experience in management, operations, and leadership. Understanding of general finance and budgeting,
including profit and loss, balance sheet and cash-flow management. Ability to build consensus and
relationships among managers, partners, and employees. Excellent communication skills. Solid understanding
of financial management.
V. Organizational
Plan
a. Business organization

 Ugh Luhmeh is a franchising business based on a marketing concept which can be

adopted by an organization as a strategy for business expansion. Where implemented,
a franchisor licenses its know-how, procedures, intellectual property, use of its
business model, brand, and rights to sell its branded products and services to a
franchisee. Ugh Luhmeh also has branches in Central Station and UN Station.
c. Roles and responsibilities

General Manager- has the overall responsibility for managing the business, a general manager
is also obligated to give the position and roles of her employees, and other than being the one
whose controlling everything in the business, she should also be a good leader by showing that
she is helping her employees by teaching them what to do with their assigned task and
deciding what’s best for the business.
Under the general manager there are auditing manager,operational manager and marketing
manager. They are the ones standing as the leader for each administrative group
Cashier- the one who receives payment by cash and the one who also gives the exact change
of the consumers. The cashier is also the one responsible in counting all the money in cash
drawers and passing it to the auditing group for the final audit of the day.
Auditor-the task of the auditing group is that they are obligated to audit all of the expenses,
profit of the day, payroll and all of the money issues of the business.
Secretary- A Secretary may be known as the 'face of the organization.' They perform a
variety of tasks throughout the day.one example of these task is to write the results of
day to day selling. Secretaries use a variety of tools to perform their tasks throughout the
day as well. Secretaries may also be asked to perform additional duties such as research,
presentation creation.
Marketing- The marketing manager manages the day to day marketing activities of the
organization and long term marketing strategy for the company. For the business to be
known by the consumers the marketing team conducted some social media posts.
Operation- is key part of a management team, such as attracting talent and setting
training standards and hiring procedures. They also analyze and improve organizational
processes, and work to improve quality, productivity and efficiency.
 d. Salary requirements

General Manager- A General Manager earns a monthly salary of PHP 60,000. (Regular)
Operations Manager- An Operations Manager earns a monthly salary of PHP 50,000.
(Regular)
Marketing Manager- A marketing manager earns a monthly salary of PHP 30,000. (Regular)
Secretary- A marketing manager earns a monthly salary of PHP 13,000 (Regular)
Auditor- An auditor earns a monthly salary of PHP 20,000. (Regular)
Operation Rep.- A operation rep. earns a monthly salary of PHP 5,000 (Contractual)
Marketing Rep.- A marketing rep. earns a monthly salary of PHP 6,000. (Contractual)
Cashier- A cashier earns a monthly salary of PHP 5,000. (Contractual)
VI. Operational
Plan
a. Evaluation of suppliers

a. Evaluation of suppliers
Raw materials (ingredients, processing aids, and packaging materials) are the foundation of
finished food products. As such, they must meet regulatory requirements (safe and legal for
your intended use) and your specifications (contribute to the functionality and quality of your
process and product).

Historically, research and development worked alone when selecting a new raw material. But
now a broad team of expertise is needed, due to increased access to unique and complex
materials, global sourcing, handling methods, customer locations, and regulations. The team
assesses if the material has limitations or may be too costly to handle, and determines if
additional measures are necessary to prevent potential safety issues for the employees and
product. (https://www.qualityassurancemag.com/article/aib0613-raw-materials-requirements/)
• Find historic information about the material via search engines (e.g., “pathogen +
name of the material”; “recall + name of the material”; “foodborne illness + name of the
materials”)
• The food safety team assesses the potential biological, chemical, and physical hazards
affiliated with the raw material (HACCP/HARPC review) as well as affiliated prerequisite
programs and downstream prevention/elimination/reduction steps for identified hazards.
• Determine if existing product safety measures are circumnavigated (e.g., the particle
size is too large for the existing sifters or metalized packaging passing through a
downstream metal detector).
• Are additional processing steps necessary (e.g., an invert and clean if glass containers
are the new material being used)?
B. Material Requisition and
receiving procedures

A typical materials requisition form has the job number, date of request, material
description, quantity, and proper management signatures depending on the size
of the company, request forms are filled out weekly, daily, or even hourly.
The materials requisition form has two main purposes:
First, by recording the movement of materials, orders of goods and gives an audit
trail that show when goods were purchased and when they were waste.
Second, the requisition form is used to allocate production costs to goods in
process. The requisition forms can help allocate costs and values to these
materials. So in order to have a low price for each product we brought it in wet
market to have lesser cost and fresh ingredient.
 c. Storage and inventory system

 Storage and inventory system process include the activities related to holding the product and
the process of counting and transacting the product as it moved through. It used to show how
much stock we have at any one time, and how we keep track of it. The type of stock that we had
is finished goods then ready for sale. It helps for our product to be efficient and flexible and it
made our work convenient because we only have what we need. It also lower our storage costs
and it maintained our product up to date without wasting stock. If those things were not followed
it can lead to shortage. By doing these methods it effectively manage our business to have the
right products in the right quantity on hand and avoid products being out of stock and funds
being tied up in excess stock. We also ensure our products are sold in time to avoid spoilage or
obsolescence, or spending too much money on stock that’s taking up conflict to the business. We
use the minimum order quantity to allow us to increase our profits while getting rid of more
inventories more quickly and weeding out the "bargain shoppers" simultaneously. We sell our
potato bites for 15 pesos, we give a discount in which we sell half dozen for 80 pesos the same
goes in our browkies, allowing us to make a profit and quickly reduce our inventory at the same
time. Our goal is to attract small amount of buyers who purchase the larger amount of our stock.
 d. Functions of support services

 If ever the given product to a customer causes negative feedbacks like

food poisoning, giving a product that isn’t fresh anymore, or food
contamination, the company is very much willing to agree with the
agreements that will be arranged by the customer. But before any
agreement is done, an investigation must be conducted in order to
have a proof that the complaint is legitimate. The agreement shall
carry on after the investigation and the company is willing to respond
to either cash refund, paying of hospital bills, settlement fee.
 VII.
Marketing Plan
 a. Product

Marketing strategy is a business strategy used to increase sales, bring in new customers and
establish a brand. With that idea, we came up in conducting different activities/ ways to make
our product exposed By using the are four basic types of promotion::
1.) Advertising our product through social media (social media promotion)such as posting
on twitter, IG stories, and my day. Blogging also gives something to share on social media
making it more on public. Also by Sharing Customer Reviews and on Social Media
2) Sales Promotion by giving some discount or Price discount given to wholesalers and
retailers to encourage them to either buy a product or buy a larger quantity of a product.
3) Personal Selling doing some public sales talk and free taste to be able to persuade
consumers and let them have some thoughts in our delightful product
4.) Publicity by Sending Free Samples to Influencers ,These influencers will provide with
measurable results following a potential share or shout out, and will likely raise the status of
the product in the eyes of potential customers.
b.
Place
 The chosen place of the business is in Intramuros, Manila which is
near to schools and establishments which will attract students and
even people who work. The franchise is set in a clean and legal
position in Intramuros, it is fixated on the sidewalk but will surely
not cause disturbances for the people walking there. There are
also branches near UN Station, Central Station and Rizal Park that
shall cater to the students who happen to study around the places
and these places are also situated near in businesses and
establishments.
c. Price

 The most common question small business people have about the
pricing strategy section of the marketing plan is, "How do you know
what price to charge?" Basically, you set your pricing through a
process of calculating your costs, estimating the benefits to
consumers, and comparing your products, services and prices to
others that are similar. We total the amount of all the ingredients
that we purchased for us to get the price of our product.
 d. Promotion

 In order to be able to reach a larger audience, we created a Facebook

page, Instagram account, and Twitter account. We encouraged people to
try our products through different posts, stories, and feedbacks which can
increase the interest of potential buyers, since social media has been a
very effective platform in our society nowadays. In front of our booth, we
will give free taste to the bystanders so that they could try our product.
Our potato bites cost 15 php each. We made a promo wherein a half
dozen costs 80 php and one dozen costs 165 php. Our group made a
tagline which said, “A delicious food that will bite your feelings!” Our
tagline for brownies said, “A delicious dessert that will give you a great
pleasure and satisfaction!”
 e. People

 In establishing a business, it is important to know the target

audience who will buy your product. It should be appealing
to the customers for your product to be known and get sold
to avoid bankruptcy. In our product, the target audience are
the students in the surrounding areas of Intramuros,
Manila.
f. Packaging

 Packaging products is a very useful strategy, it helps us sellers to sort

the well made products from not and to sell them in their best condition
for the best price. We package our product to maintain its taste and to
ensure that our products is far from dirt and bacterias. We put our well
sorted "potato bites" in a plastic containers as well as our "browkies" to
keep their taste and best condition for our customers. In serving, we
put "potato bites" in a small paper plate to help our customers pick
their sauce while the "browkies", we put them in a cupcake paper to
make it look well-presented when we serve it to our costumers.
g. Product Positioning

 Potato bites and browkies are the two products that Ugh Luhmeh sell. Potato
bites is made from mashed potato and has filling inside that will satisfy your
cravings. It has 3 fillings (bacon, quail egg, & ham), its a bite size that can
be an appetizer for the customer who will have a complete meal. Second
product would be the browkies, that has a perfect combination of brownies
and cookies to make a wonderful product. It is also a bite-size dessert that
can be serve as your sweet dessert. The two product was made with exact
ingredients for it to not be too salty and too sweet. We made sure that all of
the ingredients we used are safe to eat and won't affect the customer's
health. We made these two products for the customer to have a choice, if
they want something to eat that is salty, they can buy potato bites and if
they want a dessert that will complete their meal and something sweet the
we have browkies to offer.