Feasibility Study of Bed and Breakfast Garden Inn

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TABLE OF CONTENTS

Page Title Page i Approval Sheet ii Acknowledgement iii Executive Summary iv List of Figures v List of Tables vi Chapter 1 Business Concept 3

Business name Business offerings Unique quality Business structure Location Business feasibility Study objectives

Chapter 2 - Situation Analysis 9

Company profile Products and services Marketing plan Management plan Operational plan Financial plan Sustainable Development Plan Company expectations

Chapter 3 Business Viability 46

Pitfalls Positives Needed Capital Entrepreneurs Role Business Plan Licensed Potential Corporate Partners Proprietary Rights Infrastructure Members

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Chapter 4 Business Schedule 54

Pre-operating period Operating period

Chapter 5 Summary, Conclusion, and Recommendation 69

Related studies Industry review Key drivers and challenges

Target market Competition SWOT Matrix Business viability

Business schedule Conclusions Recommendations

List of Work Cited 76 Appendix 77 Articles of Partnership

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Chapter 1

Business Concept

Introduction

One of the goals of the tourism industry is to provide customer

satisfaction. It means that the tourism establishments must meet the

expectations of the tourists by providing them with the best experience during

their travel to a specific destination. Their trip doesn't end until they go back to

their own homes. It doesn't matter what activities they did along the way as long

as at the end of their journey, they have the best experience and a big smile on

theirfaces.

In line with this, the group has decided to put up a Bed and Breakfast Inn

in Tagaytay City, in order to complement the tourists experience. Most tourists

are far from the destination so majority of them go home early and miss out some

of the fun and the fireworks. The group wanted to put up the Bread and Breakfast

establishment to provide comfort and accommodation to the tourists going to

Peoples Park and Picnic Groove. So through the Bed and Breakfast

establishment, the tourists will no longer worry about missing out the fun and

travelling for such a long time just to get a nap or short sleep. Instead, they can

stay as long as they want and just check-in at our inn afterwards, have a

goodnight sleep and eat breakfast in the morning.

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Some hindrances are the ones that block in completing the tourists

experiences. By putting up an accommodation at Tagaytay City, this will stop the

hindrances and fill the missing components of the tourists experience. Not only

does this inhibit the blocks but it also opens up a whole new different experience

to the tourists.

To identify the specific group of tourists a bread and breakfast will pursue,

the group will use the Segmentation process. It is the process of segmenting a

large market into smaller groups based on Demographic, Geographic,

Firmographic, Behavioural, and Occasion.

Since the establishments purpose is to provide accommodation to

Tagaytay City goers, they are the main target market. Other than the Tagaytay

City goers, we are also pursuing another target market based on geographic

location is the employees working at the companies nearby. In case of the

demographic aspect, our target market would be families and groups of friends

so the rooms of our establishments should accommodate at least four people per

room. While in terms of benefits, the quality of the amenities and facilities must

be satisfying and the prices must be affordable to reach the potential target

markets.

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Antheias Garden Inn

The name of the business is Antheias Garden Inn. Antheia is the Greek

goddess of gardens, flowers, swamps, and marshes. The Inn proudly showcases

the rich flora of the province of Laguna creating an ambiance of nature.

Antheias offerings

The Inn offers the following services:

Twenty three garden-themed bedrooms

3 Single 1 single bed

5 Double 1 queen size bed

5 Twin 2 single beds

5 Triple 1 queen + single size bed

5 Quadruple 2 queen size beds

Additional mattresses are available with additional cost.

Complimentary breakfast

Restaurant

Room service

Designated smoking area

Laundry facilities

Air conditioned room

Crib available

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Bathroom

Hot and cold shower tap

Balcony

Unique Quality

The unique features of the Inn are the following:

Each room is garden themed;

At the back of the inn, overlooking the balcony, is a stunning garden filled

with different trees, beautiful flowers, and a pond filled with fishes to relax

the guests from the hustle and bustle of the city life;

La-Z-Boy chair in each room; and

A grand piano in the parlor

A grand piano in the lobby keeping it classic and elegant

Mini park,

Organic mini farm

Make-your-own-salad bar

Pick-your-own-veggies

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Antheias Business Structure

Antheias Inn is owned and operated by a corporation composed of four

people who agree to invest money, labour, and skill in the business.

Location

Antheias Inn is located in 445 Tagaytay-Calamba Road, Barrio Sungay

West Tagaytay City 4120 Philippines. It has a land area of 800 square meters.

The location is approximately 1 to 2 km away from the popular Peoples Park and

Picnic Groove.

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Business Feasibility

Based on the initial data, Antheias Garden Inn is a feasible business because

there is a potential high demand from the market for an accommodation

considering it is one of the most popular tourist destinations in the country,

Tagaytay City. According to research, as tourist arrival averages more than

2,000,000 per annum, there is a high demand for more lodging facilities. Tourist

arrival of the City increased from 915,925 in 2001 to 2,006,571 in 2006 or an

increase of 119.07 percent.

Objectives of the Study

The study aims to determine the feasibility of Antheias Garden Inn in

Tagaytay City. Specifically, it aims to answer the following questions:

1. What is the profile of the accommodation business in Tagaytay City, in

terms of the following?

Products & Services offered

Pricing

Marketing strategy

2. Is Antheias Garden Inn feasible?

3. What is the business plan of Antheias Garden Inn?

4. What are its strategies to meet its goals?

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Chapter 2

Situational Analysis

This chapter discusses the company profile, products and services,

marketing plan, management plan, operational plan, financial plan, sustainable

development plan, and the store expectations.

Antheias Profile

. Antheias Garden Inn showcases the rich flora of Laguna that creates a

refreshing ambiance of nature. Itis inspired by the Greek goddess of gardens,

flowers, swamps, and marshes. Figure 1 shows the logo of the Inn.

Figure 1. Logo of Antheias Inn

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The logo of Antheias Garden Inn promises to Bring Families Together. It

also emphasizes the conservation of nature, starting with its architectural design

that harmonizes with the environment.

Vision

Antheia Garden Inn aims to be a model of Filipino value anchored in

strong family bonding while maintaining profitability and conserving the

environment.

Mission

In order to achieve its vision, Antheias mission is as follows:

People: Be a great place of work where people are inspired to be efficient

and good performance are properly rewarded.

Profit: Sustain long-term return of investment.

Productivity: Be a highly effective, lean and fast-moving establishment.

Partners: Nurture a winning network of customers and suppliers and

create a mutual and enduring value.

Environment: Conserve the environment.

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Core Value

The core values of Antheia are the following:

Leadership: The courage to shape a better future

Passion: Committed in heart and mind

Quality: What it does, it does well

Products & Services

The products & services of Antheias Inn are the following:

Garden-themed bedrooms

The group planned to design each room with different ambiance and

atmosphere of a garden. It aims to entice guests to come back for a different

experience in each room. All rooms are equipped with air-conditioning,

bathrooms with the availability of hot and cold taps. Additional mattresses will be

available but with additional cost. Table 1 shows the number of rooms of Antheia

and their descriptions.

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Table 1

Number of Rooms of Antheia and Their Descriptions

There will be 23 rooms that are available to all guests. It consists of three (3)

single rooms, five (5) double rooms, five (5) twin rooms, five (5) triple rooms, and

five (5) quadruple rooms. All room rates are inclusive of Filipino plated breakfast

and are following customer-based pricing strategy.

The profile of the rooms is the following:

1. A single room is recommended for a guest who is travelling alone. Figure

2 shows the interior of a single room.

Figure 2.Interior of a Single Room

Number of rooms Room Type Number of beds

and size Rates

# of

guests

3 Single 1 single bed Php2,360.00 1

5 Double 1 queen size

bed Php3,430.00

2

5 Twin 2 single beds Php3,180.00 2

5 Triple 1 queen + 1

single size bed Php4,260.00

3

5 Quadruple 2 queen size

beds Php4,500.00

4

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Its amenities includes a mini bar, safety deposit box, two complimentary

bottles of mineral water, laundry bag, slippers, toiletries, air-conditioned,

and 24 flat screen television

2. A double room is recommended for married couples traveling together.

Figure 3 shows the interior of a double room

Figure 3.Interior of a Double Room




3. A twin room is recommended for friends traveling together or additional

room for families. Figure 4 shows the interior of a twin room.

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Figure 4.Interior of a Twin Room




4. A triple room is recommended for married couples with one kid. Figure 5

shows the interior of a triple room.

Figure 5.Interior of a Triple Room




5. A quadruple room is recommended for families traveling together. Figure 6

shows the interior of a quadruple room.

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Figure 6.Interior of a Quadruple Room




Restaurant

The restaurant is also managed by the Inn and has a different department.

It will have a menu of the day with a pricing system based on the head chef.

Figure 7.Interior of Restaurant

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Figure 8.Make Your Own Salad Bar

Organic Farm

What sets us aside from other establishments is that our ingredients are

always fresh. Our make-your-own-salad bar will boast its freshness and

on the top quality.

Housekeeping

This department is responsible in maintaining the cleanliness of the whole

vicinity. It provides the needs of the guests inside the rooms (including

laundry services, crib for kids).

Amenities

Balcony

A balcony is provided in each room so the guests can relax and set their

minds off with their problems and just be one with nature.

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Figure 8.View from the Balcony of each Room

Mini-park

To enjoy more the nature, it encourages its guests to walk with the whole

family and feel the fresh air. They also have the option to have their meals set

within the park.

Figure 9.View of the Mini Park

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Family activities

Antheia will provide its guests with various sports equipment for its various

activities. Table 2 shows the different sports equipment.

Table 2

Sports Facilities and Rental Price

Sports Equipment Price

Biking 70/head (any type of bike)

Table tennis Free for the first hour; 50/hr.

Kite flying 50/kite

Traditional Spa; whole body (for 18

and above)

500/head

Pool Free

Playground Free

Figure 10.Playground

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Playground equipment features swings, fitness & freestanding items and is

constructed from the highest quality materials. We believe that a playground is

so much more than just a playground, so it was designed specifically to promote

child development through family bonding or activities.

Figure 11.Pool

Our pool was designed for both kids and adults to enjoy swimming together. It is

divided into 2 parts; one is 2 feet high for the kids and the other is up to 6 ft. Also,

the management value the safety of its guests; therefore we have a lifeguard on

a day to day basis.

Figure 12.Spa

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Our traditional spa provides a serene and truly unmatched experience of

relaxation.

Market Segment

Antheian will use the segmentation process to identify its target market. It

is the process of segmenting a large market into smaller groups based on

demographic, geographic, firmographic, behavioural, and occasion type.

The market segment of Antheia is based on psychographic style. Its

market is people whose lifestyle is to go out from their normal environment and

relax in a private place surrounded by nature during their freetime. It will target

foreign and domestic corporations, organizations, schools, families, and friends.

The demographic type of the target market segment is from 4-40 years old.

The inn also targets company employees within the vicinity of the location.

Some employees need to work overtime and stay out late so to ease their

dilemmas of going home late and groggy; the inn is open and available for them

to have a comfortable and peaceful sleep.

The products and services of Antheias Inn will penetrate the target market

and will be promoted through e-mails, posters, videos, flyers, cards and direct

mails to companies.

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Marketing objectives

It is forecasted that Antheia will have a balance of payment in the first year of

its operation. However, a modest growth of 20% is expected in the 2nd and third

year and a 30% growth is expected in the 4th and 5th year of its operation. Table

3 shows the objectives of Antheia.

Table 3

Marketing Objectives of Antheia

Year 1st quarter 2nd quarter 3rd quarter 4th quarter

2014-2015 Sales growth

by 5%

Reduce

expenses by

5%


by 10%

Stable income Reduce

expenses by

5%

Target market

share by 5%


by 10%

More

incentive by

5%

Stable income Reduce

expenses by

10%

2017-2018 Expansion Target market

share by 10%

Sales growth

by 10%

Sales growth

by 5%

2018-2019 Reduce

expenses by

5%

Sales growth

by 5%

Sales growth

by 10%

More

incentive by

5%

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The steady growth of Antheia could be achieved through strong advertising

and promotion, keeping profitable customers loyal to Antheia.

The objectives of Antheia are the following:

Focus on the needs of its customers and franchise partners;

Sustain profitability:

Listen, observe and learn from the market;

Possess a global perspective;

Be accountable for its actions and inactions;

Reward employees for taking risks and finding better ways to solve

problems; and

Learn from our outcomes -- what works and what do not work.

Marketing strategy

Strategy planning

In order that Antheia will achieve its objectives, it will make sure that its

customers are always satisfied. Customer satisfaction can only be achieved once

their expectations have been met. Hence, Antheia will regularly listen to its

customers comments and suggestions and address all those comments.

At this point, the role of its employees is very important. Since the

employees are the front runners of Antheia, it is also important that Antheias

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listens to their needs and address them. Only happy employees can satisfy

customers.

Internal environment analysis

Antheia has various capabilities and weaknesses. Table 4 shows the

strengths and weaknesses of Antheia.

Table 4

Antheias Strength and Weaknesses

Strengths Weakness

Clear vision, mission, goals, and

objectives

Capability of the employees to

adjust to the vision, mission,

goals, and objectives of Antheia.

Strong resources support

Customer-oriented employees

Program Development for

employees

Strong corporate partners

Table 5 shows the strengths and weakness of Antheia. It has five

strengths ranging from clarity of its vision, mission, goals and objectives that will

serve as guide to the direction of Antheia on what they want to be in the future

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have already old habits which have been formed by their culture and experience.

The old habits of employees do not normally appear during the six-month training

period of the employee but it usually appears once they have been regularized.

External Environment Analysis

Antheia has various opportunities and threats as a start-up corporation

Table 5 shows the opportunities and threat of Antheia.

Table 5

Antheias Opportunities and Threat

Opportunities Threats

Big market opportunity Many competitors

Stable local politics Natural calamities

Stable inflation rate

Table 6 shows the opportunities and threats to Antheia. Its opportunities

include the big market opportunity based on the big volume of foreign and

domestic tourists that visit Peoples Park; there is also a stable political situation

in Laguna; finally, the inflate rate is stable with people having enough extra

money to spare for relaxation. However, it has also to overcome various threats

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like the big number of competitors in the area and the natural calamities that

affect the behaviour of the foreign and domestic tourists.

Antheias Goal

Antheias Inn is committed to be the model of bringing families together

while at the same time maintain financial profitability and conserving nature.

Table 6 shows the diagram of the Antheias goal in relationship to its strategies.

Table 6

Diagram of the Antheias Goal in Relationship to its Strategies.

Antheias five goals are the following

1. Maintain core family values

2. Sustain its financial profitability

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3. Conserve the environment

4. Support the needs of its employees

5. Listen to the needs of its target market segment

The said goals must be shared by everyone in Antheia starting from the

Board of Directors, Senior and Junior management, and staff so that everyone is

moving towards one direction and one culture.

Strategy formulation

In order to attain its goals of Antheia, the costs of its products and services

will be competitive with its competitors, but it will offer more amenities and

activities than others that address the needs of its target market segment.

Program formulation

The following support programs will be used to achieve the strategic plan

of Antheia:

Recruitment Program

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There are a lot of ways to recruit the right employees for Antheia. For the

Inns program of recruitment they made a list of effective strategies to find people

fit at the kind of work they offer. Table 7 shows the various strategies of Antheia

to recruit the right employees.

Table 7

Strategies of Antheia to recruit the right employees

Training Program

Strategy Description

Online

Recruiting

Firm looks a certain percentage of employees using the

internet through ads, social media, and other forms of

modern technology.

Targeted

Recruitment

Firm looks a certain skill of a person. There are times

when such skills are needed.

Word of Mouth

The employees themselves recruit people because of the

performance of the firm and because they are happy

working at the company.

Internships

The firm accepts on-the-job trainees. If the trainees are

excellent wand wants to keep on working, they can be a

full-time employer.

Job Fairs The firm can find potential employees through job fairs

held at specific universities and fields.

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The newly recruited employee will undergo a training program. This is to

determine the skills of the employees if what they can do fits the needs of

Antheia.

Fringe Benefits

The fringe benefits are given to employees who perform an extraordinary task

to help build the image of Antheia. The benefits are given to employees to

motivate them. Some of the fringe benefits given by Antheia are the following:

Retirement plans, Life Insurance, Health Insurance, and SSS.

Implementation

Based on its program formulation, Antheia will be able to retain the best

employees suited for the job and needed by Antheia. It has also the needed

budget to ensure the steady growth of its employees.

Feedback and control

Antheia will establish a marketing information system that will enable it to

monitor important information relevant to the success of the business such as the

feedbacks of its customers and the actions taken by Atheian, to address the

issues; profile of its customers and the things they like about Antheia; and lists of

suppliers and competitors.

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Antheia's Garden Inn

Travel Agency

Consumer

Distribution channel

Since Antheia caters to both foreign and domestic tourists, it will establish

a consortium among travel & tour agencies for its foreign market segment and

with the local travel agencies for its domestic tourists. Table 8 shows the

relationship among Antheia, travel & tour agency, and local agencies.

Table 8

Relationship among Antheia, Travel & Tour Agency, and Local Agencies

Pricing strategy

Antheias pricing strategy is Customer-Based pricing. According to Jim

Riley, pricing is determined by what the firm believes the customers will be

prepared to pay for the products and services. Antheia follows this type of

pricing strategy, because it is a service-based business where the goal is to

satisfy the customers wants, needs and expectations.

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0

10000

20000

30000

40000

50000

60000

2016 2017 2018 2019

Revenue

Antheia forecasts its revenue to grow by 20% each year. Table 9 shows

the revenue forecast of Antheia.

Table 9

Revenue Forecast

Table 9 shows that by 2016 the net revenue of Antheia is P 20 000, in

2017 it will be at 25 000, 2018 at 35 000, and in 2019 at 45 000. The

management truly believes that our business has nowhere to go but up. With the

full effort of their competencies, abilities and skills of the whole management, our

business will be profitable.

Table 10

Sales Quota per Quarter for the Years 2016-2017

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Sales Quota (Volume-

based)

Objectives

Year 2016

Sales growth rate

1stQuarter 15 families Making sure that every

service or product

becomes profitable

2nd Quarter 20 families Cultivate bloggers and

Get published online

3rd Quarter 20 families Distribute flyers all

throughout Metro Manila

4th Quarter 20 families Maintaining a healthy

relationship with suppliers

Year 2017

Sales growth rate

1st Quarter 30 families Expansion

2nd Quarter 30 families Decreasing the expenses

without harming the

quality of a certain service

or product

3rd Quarter - 35 families Maintaining a healthy

relationship with suppliers

4th Quarter 40 families Join conventions

Based on its revenue forecast, Antheia will set the quota for each quarter. Table

10 shows the sale quota for the years 2016-2017.

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Marketing Budget

The management would invest approximately P100,000 for the marketing

budget of Antheia. A mix of marketing strategy will be designed to create

awareness to its target market segment. The media to be top for the job are the

following:

o Print media - local newspapers, magazines, flyers

Broadcast media local commercials, radio advertisements

Online media Advertisement through social web pages such as

Facebook, twitter, YouTube, blogs and as well as our own website

Direct mail - subscriber lists, offices for delivery

Partnershippartnership with other establishments such as travel

agencies, hotels, motels and inns, the local government unit

Summary

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Antheias Garden Inn proudly showcases the rich flora of Laguna that

creates a refreshing ambiance of nature. As a start-up corporation, it will be

owned and managed by its Incorporators.

Antheias Garden Inn offers the following services: Seven garden themed

bedrooms, Air-condition room, Bathroom with hot and cold shower, 24-hour room

service, Free Wi-fi in each room, Garden balcony, Restaurant, Complimentary

buffet breakfast, Laundry facilities, and Parking area. Some of the unique

qualities of are the following: Garden themed room, Garden balcony, La-Z-Boy

chair in each room, Playground for children (Free for in-house guests).

It will target foreign and domestic corporations, organizations, schools,

families, and friends. The demographic type of the target market segment is from

4-40 years old.

The media it will top for the job are the following: Print media, broadcast

media, online media, and direct mail.

Management Plan

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A management plan is our guide for the organization to run, both day-to-

day and over the long term. Antheias Garden Inn exists to fulfil its commitment in

Bringing Families Together while emphasizing the conservation of nature.

The management consists of different departments with their own sets of

responsibilities, however we practice Collaborative management. A Collaborative

management is where the whole group -- which usually includes all staff and may

include participants as well -- takes part in major decisions, and everyone takes

part in decisions which affect her directly. At the same time, everyone has

enough authority to fulfil her own responsibility and do her job effectively. This

practice allows everyone to feel a sense of ownership in the organization.

Operational Plan

Table 11

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Organizational Chart

The organization consists of 1 general manager to oversee the day-to-day

business operations, 1 accounting head and 1 staff to handle all finances of the

organization, 1 Human Resource Head to handle

the attraction, selection, training, assessment, and rewarding of employees and 5

departments to attend the needs of the guests.

Financial Plan

The initial capital requirement of Antheia is twenty million pesos (P20, 000,

000).

Table 12

Start-up Costs

General Manager

Human Resource

Manager

Accounting Head

Security and

Maintenance

Head

Sales and Marketing

Head

Food &

Beverage Head

House Keeping Head Front Office Head

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Item Cost Expected Life

Land Php 1,840,000.00 30 yrs

Building 5,000,000.00 25 yrs

Mattresses, sheets,

blankets, etc.

1,500,000.00 3 yrs

Smoke detectors 10,000.00 5 yrs

Kitchen Equipments 500,000.00 10 yrs

Entrance signs 3,000.00 2 yrs

Decorations 100,000.00

Garden 200,000.00

First Year Costs

Legal fees 3,000.00

Promotions, Advertising 80,000.00

Supplies

Security Php 15,000.00

Total Php 9,251,000.00

Table 12 shows the start-up capital of Antheia.

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Table 11 shows the start-up expense is Php 9,251,000. The start-up

expenses includes the following: Land, building, mattresses, sheets, blankets,

smoke detectors, kitchen equipment, entrance signs, decorations, garden

landscape, legal fees, promotions and advertising, office supplies, and security. If

it is deducted from the initial capital, what will be left isPhp10, 749,000.

The balance sheet presents the financial position of Antheia. It shows

what the Antheia owns and what it owes to other parties. Table 12 shows the

projected balance sheet of Antheias Garden Inn.

Table 13

Antheias Balance Sheet

Current assets

Cash Php 10,749,000.00

Short-term Investments 30,000.00

Accounts Receivables 10,000.00

Prepaid Rent 6,000.00

Total Current Assets Php 10,795,000.00

Property, plant and Equipment Php 2,328,000.00

Land and Building 6,840,000.00

Property and equipment Php 9,168,000.00

Long-term Investments 60,000.00

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Other Assets 15,000.00

Total Assets Php 20,038,000.00

Liabilities

Current liabilities

Note Payable Php 1,500,000.00

Accounts Payable 2,000,000.00

Accrued wages 2,470,000.00

Taxes payable 50,000.00

Total Current liabilities Php 6,020,000.00

Long-term debt Php 4,000,000.00

Owners Equity

Total owners equity Php 10,018,000.00

Total Liabilities and owners equity Php 20,038,000.00

The balance sheet consists of three parts: The first part is the assets

where it identifies what Antheia owns. It includes the resources of the company

that has been obtained through transactions and the costs paid in advance that

have not yet reached its expiration; the second part is the liabilities where it

shows the amounts owed by Antheia to its creditors. It is the obligation of the

company made through past transactions and deals with the other parties;the

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last part is the equity. It is the source of the companys assets. It is the amount

contributed by the owners and the retained earnings.

Antheias income statement shows the projected income statement of the

business. It measures the financial performance of Antheia over a year. Table

13shows the Income statement of Antheia.

Table 14

Income Statement

Sales Php 15 ,000,000.00

Cost of Good Sold Php 1,200,000.00

Gross Profit Php 13 ,800,000.00

Operating Expense

Wages Php 100,000.00

Utilities Php 1,000,000.00

Rent Php 72,000.00

Equipment Php 1,800,000.00

Total Expenses Php 2,972,000.00

Nonrecurring events

Discontinued Operations N/A

Extraordinary Items N/A

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Effect of Accounting changes N/A

Other Items N/A

Net Income Php 1,828,000.00

It is divided into two parts. The first part is the Operating section where it

identifies the regular business operation expenses of the Inn. The second part is

the non-operating section. It shows the expenses of the activities that are not tied

directly to a companys regular business operations.

Cash flows statement provides Inns cash receipts and cash payments. It

is the movement of money into and out of the company.Table 15 shows the

projected cash flow statement of the Inn.

Table 15

Cash Flow statement

Operating Activities

Cash receipts from customers Php 4,000,000.00

Cash paid for

Inventory purchases Php (1,000,000.00)

Wage Expenses Php (100,000.00)

Interests Php (150,000.00)

Income Taxes Php (200,000.00)

Net Cash flow from Operations Php 2,550,000.00

Investing activities

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Cash receipts from Php 600,000.00

Sales of property and Equipment

Cash paid for

Purchase of property and Equipment Php (200,000.00)

Loans to other Entities Php (100,000.00)

Net Cash flow from Investing activities Php 300,000.00

Financing Activities

Cash receipts from

Issuance of stocks

Borrowing

Cash paid for

Repayment of loans Php 75,000.00

Net Cash flow from Financing Php (75,000.00)

Net Increase in Cash Php 2,325,000.00

There are three components of a cash flow statement. The first

component is the Operating activities where it shows the cash generated from

the daily operations of the business. The second component is the investing

activities where it shows the buying and selling of noncurrent assets that is used

in generating revenues. And the third component is the financing activities where

the borrowing and repaying of money is shown.

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Financial Ratios

Gross Profit Margin

13000000 =

0.92 15000000

The gross profit margin indicates the business financial health. It is

computed by dividing Gross margin profit to sales. The projected margin for the

venture is 80%. This means that the higher percentage the more the business

retains its sales.

Current Ratio

10795000 = 1.79318936877076

6020000

The current ratio provides the companys ability to pay its short-term

liabilities. It is computed by dividing current assets to current liabilities. The

higher the ratio, the more capable the company is of paying its obligations.

Fixed Asset Turn-over

15000000 =

1.636125654 9168000

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The Fixed Asset turnover measures the ability of the company to generate

sales from the fixed assets. It is computed by dividing sales to total fixed assets.

The higher the ratio the more effective are the equipment

Total Assets Turnover.

15000000

= 0.748577702 20038000

The Total Assets Turnover measures the efficiency of the company to use

its assets to generate sales. It is computed by dividing sales to total assets.

Sustainable Development Plan

Environmental

For the next few years the Inn plans to sustain the beauty of its

environment through planning the strategies for the environmental sustainability.

According to Smallbiz connect, environmental sustainability is the action by

which natural resources are protected, preserved and nurture in order to increase

its capability to support human life. It concerns decision making on matters that

will decrease the negative impacts of the inn to its nature.

44

In order to protect and increase positive response from nature, Antheias

Garden Inn will practice environmental sustainability by taking care of the garden,

using organic food for guests, powering facilities with renewable energy sources,

conserving water, recycling, waste reduction, and more actions that could help in

preserving and protecting nature.

Economic

According to WiseGeek, Economic sustainability is the plan where the

resources of a company are used to the very best of its advantage. It means the

resources are used responsibly and efficiently to generate profit consistently.

Now that Economic sustainability is defined, the Antheias Garden Inn

plans to pursue this through taking advantage with modern technology, use of

wood and forestry products, distribution of locally produced foods, taking care of

the facilities, collaborating with a good company and a lot more practices that can

help in generating more income for the venture.

Equity

To Sharon Beder, Equity sustainability talks about fairness. It means being

fair, equal and just to all aspects of the venture. It talks about people having

45

equal access to the resources and opportunities ahead of them. Sharon Beder

emphasized that no individual should be greater than the other.

True Equity can be maintained by being fair, just, and equal with people.

No discrimination should be permitted in every organization. Having dedication is

also one practice on how to maintain equity, partnership, stewardship, and many

more that can lead to better, harmonized and united organization.

Antheias Expectations

Antheias Garden Inn expects that in its first year of operation, it will have

a balance of payment. It means that its revenue is equal to its expenses.

However, in the succeeding years, in the next two years, it will create a revenue

of 10-15%, and in the succeeding three years, it will grow by 30% as it gain loyal

and profitable customers from its target market segment and new customers.

The management also considers an expansion after all quotas and target

sales growth is achieved. By 2017, an evaluation will be done and re-assess the

planning.

46

Chapter 3

Business Viability

The chapter discusses the pitfalls, positives, needed capital,

entrepreneurs role, corporate partners, proprietary rights, and infrastructure

members of the study.

Pitfalls

Some of the possible drawbacks of the business are the following:

Sustaining the motivation of the employees

One of the drawbacks of Antheia is on sustaining the capability of its

employees to adjust to the vision, mission, goals, and objectives of Antheia.

Antheia will address this drawback by support the Employees Development

Program in order to build a culture of service in the company.

Many competitors

There are many competitors in Sta. Rosa, Laguna. Antheia will address this

issue by lowering the cost of its products and services by 5% against its lead

competitors during the first year of its operation in order to attract its tssegment

47

and change their buying behaviour once they have experienced the products and

services of Antheia.

Natural calamities

Philippines has over 25 typhoons every year. This means that the occupancy

rate of Antheia will drop during every typhoon. Antheia will address this challenge

by offering promo rates and man-made activities that suit its loyal customers

such as a concert by a popular artist or band.

Positive

Some of the strengths of Antheia internally are the following:Clear vision,

mission, goals, and objectives;Strong resources support;Customer-oriented

employees;Program Development for employees;and Strong corporate partners.

Externally, some of the strength of Antheia are the following: Big market

opportunity; Stable local politics; and Stable inflation rate.

Needed Capital

In order for Antheia to start its business, it needs its capital of twenty

million pesos (P20, 000, 000). Its capital comes from the following sources:

48

investment from its Incorporators, loans from banks, community lenders and

online lenders. Table 16 shows the start-up capital of Antheia.

Table 16

Start-up Costs

Item Cost Expected Life

Land Php 1,840,000.00 30 yrs

Building 5,000,000.00 25 yrs

Mattresses, sheets, blankets, etc. 1,500,000.00 3 yrs

Smoke detectors 10,000.00 5 yrs

Kitchen Equipments 500,000.00 10 yrs

Entrance signs 3,000.00 2 yrs

Decorations 100,000.00

Garden 200,000.00

First Year Costs

Legal fees 3,000.00

Promotions, Advertising 80,000.00

Supplies

Security Php 15,000.00

Total Php 9,251,000.00

Table 16 shows the start-up expense is Php 9,251,000. The start-up

expenses include the following: Land, building, mattresses,sheets,blankets,

49

smoke detectors, kitchen equipment, entrance signs, decorations, garden

landscape, legal fees, promotions and advertising, office supplies, and security. If

it is deducted from the initial capital, what will be left is Php10, 749,000.

Entrepreneurs Role

The role of the entrepreneur is very significant in the success of Antheia.

Table 16 shows the different role of the entrepreneur.

Table 17

Entrepreneur Role

Position Job Description

General Manager

Camille Castillo

She is the direct overall manager of the various

departments. She manages stakeholder relations,

manages community relations, and ensures that the

strategic goals and objectives of the business are

realized. She does the overall implementation of the

business plan

HR Head

Akimi Ferrera

The HR head takes care of all the employees. This

includes hiring, firing, giving out salaries and making sure

that the employees are working hard and are doing a

great job.

50

Reception /Front

Office Head

Isabella Diaz

In this position, the head takes care of everything on the

reception. The person assigned must maintain the

organization of keeping the records and making sure that

everything is under control in bookings, reservations,

checking in/out, inquiries and guests payments

Housekeeping

Head

Arvee Pacag

She ensures that accommodation is clean, well

maintained and attractively presented. She controls a

budget, manages stock and orders supplies

General

Manager

Accounting

Head

Human

Resource

Manager

Front Office

Head

House Keeping

Head Food &

Beverage

Head

Sales and

Marketing Head Security and

Maintenance

Head

51

According to Tim Berry, A business plan is any plan that works for a

business to look ahead, allocate resources, focus on key points, and prepare for

problems and opportunities.

This helps the new venture to look ahead and guides the business to stay

on track and lead them to the future the owners want it to be. The key points that

should be further discussed in the business plan are the products, services,

marketing, and branding. There should be a more detailed outlook on what the

business wants to happen with their products and services in the near future.

Furthermore, the new venture should have plans for the future on how to improve

their marketing strategies and branding to be flexible on the changes that may

occur for the next few years.

Licenses from:

Securities & Exchange Commission

Department of Trade & Industry

Bureau of Internal Revenue

Business Permit

Accreditation from the Department of Tourism

Corporate Partners

52

Corporate Partners:

Department of Tourism

Philippine Tour Operators

Philippine Travel & Tour Association

Guides Incorporated

Travel & Tour Agency

Local & Domestic Travel and Tour Agency

DOT Accredited Hotels

DOT Accredited Restaurants

DOT Accredited Transport Groups

Philippine Tourist Transport Operators

Table 18

Corporate Partners of Antheia

Company Name Address Contact

No.

The Linden Suites 37 San Miguel Avenue, Ortigas Centre, Pasig 1600 (02) 638

7878

Villaraza & Angangco

Law Offices

CVCLAW Center 11th Avenue, Ccorner 39th Street

Bonifacio Triangle, Bonifacio Global City

Metro Manila Makati City

(63 2)

988-6088

53

1. The CEO of Linden Suites is a relative of one of the owners of Antheias

Inn. They made an agreement that they will support and help one another

in promoting and creating accommodation.

2. Villaraza & Angangco Law Offices helped Antheias Inn by assisting in

certain government papers and mainly building up the inn.

Infrastructure Members

The infrastructure members of Antheia includes: Lawyers who will help it

on legal matters; Architect and engineers who will help it in the design and

decoration of the Inn; Accounts who will help it in managing its financial

operations; and a professional hotel consultant who will guide the owners in

matters pertaining to the operations of the Inn.

54

Chapter 4

Business Schedule

Timetable of the project

I. Operating Period

Table 19

Departments Person in charge Number of

staff

General Manager Camille Angeline Castillo

Human Resource Dept. AkimiFerrera

(Human Resource Manager)

3

Front Office Dept. Isabella Diaz

(Front Office Head)

3

House Keeping Dept. ArveePacag

(House Keeping Head)

8

Food and Beverage Dept. Stephanie Kim Apo

(Food and Beverage Head)

8

Sales and Marketing Dept. Erika Louise Fernandez

(Sales and Marketing Head)

3

Accounting Dept Jenny Jane Ramayan

(Accounting Head)

2

55

Security and Maintenance

Dept.

DennAldrinCruzado

(Security and Maintenance

Head)

4

Organizational Chart

General Manager

Human Resource

Manager

Accounting Head

Security and

Maintenance

Head

Sales and Marketing

Head

Food &

Beverage Head

House Keeping Head Front Office Head

56

Duties of each Unit Management Personnel

Table 20

Position Roles and Responsibilities

General Manager Direct overall management of the various departments

Manage stakeholder relations

Manage community relations

Ensure that the strategic goals and objectives of the business

are realized

Manage the brand of the Bed & Breakfast

Report to concerned stakeholders on the performance of the

business

Brand affiliation management

Attract new business to the Bed & Breakfast

Provide input regarding local business community needs

Charity events and fund raising at the Bed & Breakfast

Overall implementation of the business plan

Human

Resources

Manager

Working closely with departments, increasingly in a

consultancy role, assisting line managers to understand and

implement policies and procedures

Recruiting staff: this includes developing job descriptions,

preparing advertisements, checking application forms, short

listing, interviewing and selecting candidates

Promoting equality and diversity as part of the culture of the

57

organization

Liaising with a wide range of organizations involved in areas

such as race relations, disability, gender, age, religion, and

health and safety

Developing policies on issues such as working conditions,

performance management, equal opportunities, disciplinary

procedures and absence management

Advising on pay and other remuneration issues, including

promotion and benefits

Undertaking regular salary reviews

Negotiating with staff and their representatives on issues

relating to pay and conditions

Administering payroll and maintaining records relating to staff

Interpreting and advising on employment legislation and

implementing disciplinary procedures

Developing, with line managers, HR planning strategies, which

consider immediate and long-term staff requirements in terms

of numbers and skill levels

Planning and delivering training, including inductions for new

staff

Analyzing training needs in conjunction with departmental

managers

58

Front Office

Manager

To ensure that guests are greeted, checked in and allocated

rooms promptly and courteously

To ensure that check-in procedures are strictly adhered to and

that the correct address and charge out details are obtained from

each guest

To be readily available at all times to deal with problems or

complaints

To ensure that rooms are serviced and maintained to the

standards laid down by Extravagant Luxury Bed & Breakfast

To ensure maximum room occupancy within agreed overbooking

policy

To ensure that reservations are taken correctly and courteously

To ensure effective liaison between reservations and front office

staff with other departments (e.g. housekeeping)

To ensure that all charges are correctly entered on the guest's bill

and that this is up to date at all times

To ensure that credit control procedures are strictly adhered to,

that no bills exceed the stipulated limit without prior approval and

that written confirmation, purchase orders, or order numbers are

on file

To ensure that accounts are balanced daily

To ensure effective and speedy check-out facilities

To ensure that luggage is delivered to and collected from rooms

59

speedily

To ensure that enquiries, messages, conference bookings are

dealt with courteously and efficiently

To ensure that all front office staff are correctly and smartly

dressed at all times

To ensure that all Front Office areas are clean and tidy at all times

To ensure that newspapers and parcels are delivered to rooms

without delay

To ensure that incoming and outgoing telephone calls are

handled promptly and courteously

To ensure maximum security of all items left in safety deposit

boxes

To carry out systematic checks of all Front areas for maintenance

requirements, repairs or refurbishing, ensuring that these are

done without delay

To ensure that the Bed & Breakfast entrance is easily accessible

to cars and taxis at all times

To hold regular performance appraisals with all senior staff,

identifying areas for development and training needs and

ensuring that this training is effected

To carry out or ensure that regular On-the-Job training is taking

place to agreed standards

To hold regular meetings with all senior staff. To ensure that

60

manning levels are correct and that these are not exceeded

without permission

To ensure that the most suitably qualified person is appointed in

the event of a vacancy - wherever possible this should be an

internal promotion

To ensure maximum security in all areas

To act as Duty Manager when required

To attend Management Meetings as required

To circulate regularly throughout all front areas, maintaining a

high profile with guests and staff

To ensure accurate and timely submission of all reports as well as

administrative work

To monitor trends within the industry and make suggestions how

these could be implemented

To be familiar with all local rules and regulations

To ensure that staff under his/her control are trained in safety and

security measures

House

Keeping

Manager

Ensuring that accommodation is clean, well maintained and

attractively presented

Controlling a budget, managing stock and ordering supplies

Liaising with reception services to co-ordinate the allocation of

accommodation

Liaising with other departments, e.g. the kitchen, to arrange room

61

service;

Arranging laundry and linen supplies

Planning staff rotas

Arranging repairs and maintenance

Recruiting, training and supervising teams of room attendants

Inspecting to ensure that all aspects of the accommodation meet

hygiene and health and safety regulations

Food and

Beverages

Manager

Organize, direct and evaluate food and beverage service

Assisting with the recruitment and training of staff in the Food

and Beverages section

Shift scheduling

Performance management; monitor staff performance and

provide feedback

Purchase and control of inventory

Monitor revenues and expenses

Ensure practice of health and safety regulations

Negotiate supplier arrangements for food and beverage

products

Negotiate with clients for use of facilities for catering, parties,

banquets, etc

Sales and

Marketing

To follow up leads by visiting prospective clients regularly,

often enough to maintain their interest but not too often to

62

Manager alienate them

To achieve budgeted sales targets

To identify prospective clients' exact needs, by questioning,

observation and the completion of a full sales survey

To entertain prospective clients, where possible combining this

with visits to existing satisfied customers

To liaise closely with operational staff on all details for a

prospective new contract and gain their agreement on all

details

To maintain communication with the clients once the contracts

are opened and show an ongoing interest in the operation

To complete a daily/weekly log of all activities

To analyze statistics so as to identify key sales areas,

problems and success rate

To research prospective client details, finding out as much as

possible about the company to ensure a professional

approach

To constantly monitor and be aware of competitor activity

To present a realistic proposal to a prospective client, having

thoroughly researched cost factors, and ensure that the

proposal is achievable

To constantly be aware of new business opportunities and

take action on these

63

Accounting Officer To accurately complete the daily, weekly and monthly

returns, submitting these timely on the prescribed format in

accordance with the Bed & Breakfasts standards

To reconcile and balance cash, floats and dockets ensuring

that these tally with daily income and expenditure

To notify management immediately of any variances in the

above

To make payments from petty cash against vouchers or

invoices

To ensure that all documentation for the receipt and issuing

of commodities is accurately completed

To inform management of any shortages, surpluses or

irregularities in connection with the above item and ensure

that queries are handled immediately

To assist with stocktaking at prescribed intervals

To extend and process stocktaking figures accurately and

timely

To ensure that cash and relevant vouchers are securely

and systematically kept

To ensure that control systems are operating effectively

within agreed parameters

To ensure that all administration is handled efficiently,

64

systematically and filed or sent to the appropriate

department without delay

To leave all desks and office in a clean and neat manner

when going off-duty

To ensure that all lockable areas are secure before leaving

the premises

To bank all monies in accordance with laid-down

procedures

To ensure that all documentation is kept securely against

fire, theft and espionage

To carry out on-the-job training at prescribed intervals

To attend meetings and training courses as required

To take part in fire drills and evacuation drills at required

intervals

Security and

Maintenance Officer

Protection of guests and workers physical well being and

health

Protection of guests properties

Employ safety training

Reduction of employee theft from rooms

Monitor activities outside the entrance of the Bed &

Breakfast

Protect storage areas

In charge of the Bed & Breakfasts surveillance systems

65

Drafting emergency plans for the Bed & Breakfast

Prepare security check list and procedures

Unit Management

Personnel

Time to be devoted

to the project and

duties

Qualifications Compensation

Camille Angeline

Castillo

8 hours per day Miriam College

graduate, BS

Leisure and

Tourism

Management,

General

Manager of

Antheias Garden

Inn

Php30,000.00

AkimiFerrera 8 hours per day Miriam College

graduate, BS

Leisure and

Tourism

Management,

Human

Resource

Php25,000.00

66

Manager of

Antheias Garden

Inn

Isabella Diaz 8 hours per day Miriam College

graduate, BS

Leisure and

Tourism

Management,

Front Office

Head of

Antheias Garden

Inn

Php20,000.00

ArveePacag 8 hours per day Miriam College

graduate, BS

Leisure and

Tourism

Management,

Housekeeping

Head of

Antheias Garden

Inn

Php20,000.00

Stephanie Kim Apo 8 hours per day Miriam College

graduate, BS

Php20,000.00

67

Leisure and

Tourism

Management,

Food and

Beverage Head

of Antheias

Garden Inn

Erika Louise

Fernandez


graduate, BS

Leisure and

Tourism

Management,

Sales and

Marketing Head

of Antheias

Garden Inn

Php20,000.00

Jenny Jane

Ramayan


graduate, BS

Leisure and

Tourism

Management,

Accounting

Manager of

Php20,000.00

68

Antheias Garden

Inn

DennAldrinCruzado 8 hours per day Philippine

College of

Criminology

graduate, BS

Criminology,

Security and

Maintenance

Head of

Antheias Garden

Inn

Php18,000.00

69

Chapter 5

Summary, Conclusions and Recommendations

The chapter discusses the SWOT, Related studies, Business Viability,

Business Schedule, Target market, Conclusions and Recommendations of the

Study.

SWOT Matrix

Strengths

Multi-lingual and well trained staff

24 hours operation

Free Wi-Fi

Cheaper

Quality Service

Weaknesses

New establishment

Opportunities

Internet/Media

Threats

Off-Season time

Criticisms

Competitors

70

Industry Review

A Bed and Breakfast is a small lodging establishment that offers an

overnight stay and a breakfast to its customers. It has an estimated worth of 3.4

Billion dollars. In USA, 17,000 inns were estimated to provide products and

services to be the desired destinations for millions of travellers around the world.

There are four forces that impacts the B&B industry. These are the economic

forces, where it changes rapidly and could have a direct correlation to the ability

of the innkeepers to operate; Technological forces, where the growth of the

digital information world helps the innkeepers to think of tactics and strategies to

gain more customers through the internet; Social forces, where the aging

population requires special attention with their accommodations and lastly the

Political forces, where taxes, labor laws and such affects the industry.

Bed and Breakfast Statistics

(based on PAII Industry Study Data)

Order the Industry Study of Inn keeping Operations and Finance today!

Performance (in medians)

Occupancy Rate 43.7%

Average Daily Rate $150

Revenue per Available Room $58

About The Inns

Typical B&B has between 4 and 11 rooms, with 6 being the average

71

29% were in rural locations, 23% were urban, 5% suburban, and 43% were

village

94% of rooms have private baths

36% have achieved an "historical designation" by a local, state or national

historic preservation organization

5,700 square feet is the average size for a B&B

93% offer free high speed wireless internet

Most inns provide the following in common areas: internet, magazines, hot/cold

beverages, board games, fireplace, refrigerator, newspapers, telephone,

cookies/cakes/candies/fruit, fresh flowers and televisions.

Most inns provide the following in guest rooms: internet, television, luxury

bed/linens, premium branded toiletries, robes, fireplaces, magazines and jetted

tubs.

About the Inn Owners

72% of inn owners are couples, 18% are individual females, 5% are individual

males, 5% are non-couple partnerships

79% of owners live on premises

Related Studies

According to Peter C. Morales, Bed and Breakfast is niche segment of the

travel industry. It is identified as a private residence that offers an overnight

72

accommodation and a breakfast. While B&Bs and Inns are often used

interchangeably, the Professional Association of Innkeepers International

differentiates the two. They said that B&B only offers breakfast while Inns may

also offer lunch and dinner. The important factors of B&B are its uniqueness and

sense of social environment. They say, that B&B owners usually loves people

and hanging out with others.

According to Highlights of the Eighth Biennial Bed-and-Breakfast &

Country Inns PAII Industry Study of Operations, Marketing, and Finance for

2002,

Average number of rooms for a bed and breakfast is 8.5, up from 8 rooms in

2000

95% of respondents offer rooms with private baths

93% 94% of inns/bed and breakfasts are non-smoking

Responding inns employ 4.6 people

42% of bed and breakfasts have meeting rooms

Most Bed and Breakfast doesnt have any employees because it is

operated by a family. According to the US Census Bureau County Business

Patterns, there were 3,042 bed & breakfast inns with paid employees (721191).

As seen in these data, not only does the Bed and breakfast help the travellers

but it also helps other people to have a job.

73

As B&B shifts their attention to business traveller, they also focus their

advertising online. Ray Coll, President of the Pittsburgh Bed & Breakfast

Association

Business Schedule

Antheias Bed and Breakfast Inn will be opened this year in the month of

March and will be very much positive in offering a lot of services to satisfy

customers needs. Why March? As the business entrepreneurs believe that this

season will be the perfect time for higher market demand and market profitability

as people go out for inns with their respective families to take a vacation and

unwind after stressful months of working.

For guests

Check-in 2:00PM

Check-out 12:00PM

Operating hours

Front office 24 hours

Room service Cleaning & Laundry 8:00 AM to 6:00PM

Food service 24 hours

Staff 8 hrs. shifting basis

74

Target Market

Since the establishments purpose is to provide accommodation to

Tagaytay City goers, they are the main target market. Other than the Tagaytay

City goers, we are also pursuing another target market based on geographic

location is the employees working at the companies nearby. In case of the

demographic aspect, our target market would be families and groups of friends

so the rooms of our establishments should accommodate at least four people per

room. While in terms of benefits, the quality of the amenities and facilities must

be satisfying and the prices must be affordable to reach the potential target

markets.

Competition

One of the threats that our business will face is the number of competitors

around the area. However, after surveying, we discovered that there may be a lot

of hotels and breakfast and inn in Tagaytay but only few were located near or

across the Picnic grove where large number of tourists go. The top three

establishments below are all located at Calamba Road, Tagaytay City.

Belize Tagaytay Bed and Breakfast

One tagaytay place Hotel

The Windy Ridge Hotel

75

Recommendation

Antheia should add more rooms to make the generous number of facilities

of the inn useful to more guests.

Antheia should incorporate Lagunas local delicacies to the menu of their

restaurant.

Other than the playground, the Inn should make an area for kids where

they can have cupcakes or fresh fruit shake stand.

Conclusion

Antheias Bed and Breakfast Inn project proposal is feasible as there is

potential market demand and market profitability, and therefore, should start the

business and keep it running until it is established. Its location, unique services

and products will only be some of the factors for it to succeed for the next couple

of years. Also, based on the projections as depicted by the financial statements,

the proposed project is a profitable kind of business.

76

References

Suzanne G. Dane, National Trust Guide to Historic Bed & Breakfasts, Inns, and

Small Hotels, 2013

Retrieved http://www.innspireconference.com/res/docs/CABBI_Survey-

PAII2002.pdf, 2013

Updated City Development Strategy Report for Tagaytay City. In (2008). City

Development Strategies in the Philippines: An Enabling Platform for Good

Governance and Improving Service Delivery (p. 13). Tagaytay City: Cities

Alliance.

77

Articles of Partnership

Of

_______________________________

KNOWN ALL MEN BY THESE PRESENTS:

That, we the undersigned, all of legal age and residents of the Republic of the

Philippines has agreed to amend a general partnership under the terms and conditions

herein after set forth and subject to the provisions of existing laws of the Republic of the

Philippines.

AND WE HEREBY CERTIFY:

ARTICLE I. That the name of the partnership shall be Antheia Bed and

Breakfast and Garden Inn

ARTICLE II. That the principal office of the partnership shall be located at 445

Tagaytay-Calamba Road, Barrio Sungay West Tagaytay City 4120, Philippines.

ARTICLE III. That the names, citizenship and residence of the partners of the

said partnership are as follows.

Name

Akimi Ferrera

Camille Castillo

Maria Isabella Diaz

Arvee Pacag

Citizenship

Filipino

Filipino

Filipino

Filipino

Residence

Philippines

Philippines

Philippines

Philippines

ARTICLE IV. That the term for which said partnership is to exist is 25 years

from the original recording of the said partnership by the Securities and Exchange

Commission.

ARTICLE V. That the capital of this partnership shall be ten million pesos,

Philippine Currency contributed in cash by the partners as follows:

78

Name Amount Contributed

Camille Castillo Php 2,500,000.00

Akimi Ferrera Php 2,500,000.00

Maria Isabella Diaz Php 2,500,000.00

Arvee Pacag Php 2,500,000.00

TOTAL

PHP 10,000,000.00

That no transfer which will reduce the ownership of Filipino citizens to less than the

required percentage of capital shall be recorded in the proper books of the partnership.

ARTCLE VI. That the profits and losses shall be divided pro-rata among the partners.

ARTICLE VII. That the firm shall be under the management of Camille Castillo as

General Manager and as such he/she shall have the charge of the management affairs of the

partnership.

ARTICLE VIII. That the partners undertake to change the name of the partnership

immediately upon receipt of notice or directive from the Securities and Exchange Commission

that another partnership, corporation or person has acquired a prior right to the use of that name

or that the name has been declared misleading, deceptive, confusingly similar to a registered

name, or contrary to public morals, good customs or public policy.

IN WITNESS WHEREOF, we have hereunto set our hands this 22nd

day of February

2014 at Miriam College, Quezon City, Philippines.

345-123-347-000 235-359-124-000 574-345-685-000 234-674-235-000

TIN TIN TIN TIN

Signed in the presence of:

Akimi Ferrera Camille Castillo Maria Isabella Diaz Arvee Pacag

Feasibility Study of Bed and Breakfast Garden Inn

Documents

specific group of tourists

tourists experiences

business concept introduction

breakfast inn

breakfast establishment

best experience

main target market

tagaytay city goers