taho

Executive Summary

Name of Project: Jam- me Flavored Taho

Plant Location: Macrohon Drive, Canelar, Zamboanga City

Porponent: Vanessa Joy R. Delatado

Robert Louie C. Dela Paz

Crystal Abigail Carpio

Edmark Apolinario

Cheerlene Refugio

Project Description: Partnership

Objectives of the Project: To produce the most mouthwatering flavored taho in a zest.

As well as, to provide additional income to the proponent.

Project Benefits: Provide additional employment and income opportunities.

Project cost: Php 500,000 (refer to financial aspect for breakdown).

Project Funding: 100% equity by the owners

Contingency Plan: Should the project prosper, there will be expansion and more

production. If the project will not be successful, the plant can be

used to produce other soybean products.

INTRODUCTION

A. Nature of the Business

The Philippines is one country whose people are known to be fond of drinking

fruit shakes, sago’t gulaman, pineapple juice, etc. because the Filipinos are known to

have sweet tooth, Jam-me team conceptualized flavored taho in Zamboanga. While

most Filipinos were thinking about refreshments, shakes and coffees, we are busy

innovating something better which was based on “Jello Burst”--this refreshment was

brought from Manila by Reginald dela Paz (owner) that created an instant hit among its

drinkers. The newest drink is a unique and refreshing drink- that is pure to delight many.

What makes the drink different and enticing (Flavored Taho) is the chewy “sago”

combined with various flavors such as: mango, buko pandan, melon, ube, sweet corn

and vanilla. Each flavor has its own distinct taste that is sure to please people’s different

palates. The drink is served in distinctive dome-shaped cups with oversized colored

straws that allow the sago to shoot up the mouth when the drink is sipped.

The business will start as an incubation income generating project and will later

be developed into a full- blown manufacturing concern.

B. Background of the Study

Jam- me Flavored Taho is a new product to be introduced in Zamboanga City.

As a must, owners have to screen the applicants to ensure success. This is a new

venture product, if this study finds the project viable.

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The price for the said taho proposal is Php 500,000. This includes the rental,

cart, signage, acquisition of equipment and utensils, uniforms, raw materials and other

paraphernalia.

C. Significance of the Study

This study determines whether the business of Jam-me Flavored Taho in

MindPro Citimall Zamboanga, along La Purisima Street is feasible or not. Also, it

determines the consumers’ preference in terms of price, quality and distribution of the

product. Lastly; this study determines the awareness of consumers and its reasons for

patronizing Jam- me Flavored Taho.

D. Objectives of the Study

The main objective of this feasibility study is to ascertain the viability of venturing

into a flavored taho business. In line with this objective, this study therefore attempts to

undertake the following:

Identify, rationalize, analyze and understand the key success

factors of Jam- me Flavored Taho, and thereafter, exploit

opportunities to improve the business.

Introduce and analyze the overall activities and performance of

Jam- me Flavored Taho- both internally and relative to the

carcinogenic effect on drinkers, and thereafter, assess its strength

and weaknesses.

E. Scope, Focus and Limitation of the Study

It must be realized that this study is limited only in the market acceptability and

viability of Jam- me Flavored Taho. The target market of this study are people from all

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walks of life most especially health conscious ones. The proponents chose this location

for the simple fact that it is near the schools premises “Ateneo” in particular because it is

known to be a captive market. Other constraints of this study were related to inflations,

economic and political conditions, as well as other calamities that will be encountered

during the study.

The study focuses more on the various aspects of the project feasibility study

which includes the following: Market study, Technical study, Management study, Socio-

economic study and Financial study.

F. SWOT Analysis

1. Strengths

The company is the sole source of flavored taho in Zamboanga

City.

Accessibility of taho products in the target market

The company is registered under BFAD, DOLE, DOH and other

government authorities that certify the safety of the product.

2. Weaknesses

Taho product easily gets spoiled

Product substitutes

3. Opportunities

The company may expand its sales area to other schools within the

City.

4. Threats

Competitors – imitation of flavored taho

Permanence of competitors in the area- classic taho peddler

Low-entrant market

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G. Methodology

The principal sources of data in this study came from actual observations within

Ateneo premises and personal interviews with the different taho plants present in the

city.

The researchers spent most of the research time in the school premises

observing the sales and demand of these products so as to gauge the number of cups

sold in a day by the taho peddler. Moreover, the project feasibility was implemented

after all sources and data gathering are being conceptualized.

Proposing a said venture promotes a catalyst of change for the benefit of others

most especially, health-conscious people. The thing that derives proponent’s

consciousness seeks the importance of health after knowing its benefits. Studies were

finally initiated combining all the important aspects to know whether the project is viable.

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I. Marketing aspect

Market Description

Not since the days of Shawarma and Lechon Manok was the country played

witness to a food craze. Ordinary taho that was innovated and become an instant hit is

more of a business opportunity than a more beverage stand. The whole concept of

jazzing up of what used to be an ordinary drink has turned into today’s hottest craze that

people are willing to line up for. The proposed project business is Jam-me Flavored

Taho.

The supposed Jam-me Flavored Taho stand will be located on a 3 by 4 square

meter area in MindPro Citimall, along La Purisima St. Zamboanga City. It will be

situated at the second level of the building, in front of Teen Squad boutique and beside

Z.C. Video Mate. Along that sketch, you can also find Giordano and Oxygen boutique.

The sight is very much ideal for the project considering that the location is a hit for

teenagers.

The total project is estimated at Php 500,000.00, which will be funded by the

owners. The amount covers the acquisition of equipment and utilities, as well as, the

monthly supply of raw materials and working capital.

Nature of Demand

Demand for Taho

The analysis of demand is part of the important task in identifying the needs of

consumers and determining whether they are willing to buy your product, and have the

capability to pay for the products a business is contemplating to produce.

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The demand for Taho in Zamboanga City is growing tremendously for the past

decades. Taking the beverage by storm, Icecapades sells an average of 42.2 cups

(regular size) and 140.79 cups (large size) per day. Thirsty in Mindpro Citimall cannot

be considered a direct competitor but only a potential substitute. Although the proposed

site of Jam-me Flavored Taho is also at MIndpro Citimall, the quality and taste of Thirsty

is incomparable with Jam-me. Therefore, it is not actually affecting the sales of Jam-me

Flavored Taho. Below are sales schedule for Icecapades located at 2nd level Mindpro

Citimall. These sales were based on the actual data given by the owners. Day 1 represents the

start of the week (Monday). The peak sales of Icecapades are usually on the weekdays, that is,

Friday and Saturday.

Icecapades

Day Size Quantity Sold Price

1 RegularLarge

45142

1216

2 RegularLarge

40120

1216

3 RegularLarge

38140

1216

4 RegularLarge

36128

1216

5 RegularLarge

55152

1216

6 RegularLarge

60165

1216

7 RegularLarge

25108

1216

8 RegularLarge

42141

1216

9 RegularLarge

39162

1216

10 RegularLarge

44149

1216

11 RegularLarge

32129

1216

7

12 RegularLarge

47159

1216

13 RegularLarge

54168

1216

14 RegularLarge

34108

1216

Total Cups/Ave.RegularLarge

5911971

42.21140.79

Considering Jam-me Taho, though, it has no direct competitor, Icecapades was

invariably pointed as competitor considering it is located at the 2nd level of Mindpro and

the newly hit closed-ties competitor-to-be for Jam-me Flavored Taho.

Supply Analysis

Supply, like any other aspects affecting the operation of the business, indeed,

has been playing a role in satisfying what the people’s needs and wants are. The higher

the supply of products in the business is, the more it can cater the needs of the masses.

There are variables affecting supply. As such, are the cost of production,

availability of raw materials, competitors and the price of the commodity.

Production cost would require greater amount of many to finance the processing

of the commodity. Nevertheless, taho does not require a very much complicated

financial aspect, it isn’t already that difficult for us to produce the said commodity.

When tackled about availability of raw materials, we can say that it’s accessible

enough for us to secure those materials needed to produce taho. Most of those can be

acquired in a public market. We merely purchase it by kilo; soybeans in particular, while

the rest of those can be expressed by volume and may it be kilo as well, like cups to be

used and other ingredients such as sugar respectively.

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The existence of competitors in the food industry is there, that does challenge in

any other businesses like ours. With regards to this, we are aiding much to supply a lot

to serve the masses utmost and to endure over existing competitors. Yet, oftentimes,

it’s a burden for us especially if they have much more to penetrate the market.

Lastly, the price of the commodity defines how far a business could offer such

prices as affordable as the business could have. It is said to have competitive prices

and that can be expressed by how the business could keep an eye to the masses’

desire to acquire the commodity. Definitely, taho is one of those; it isn’t that expensive

for the consumers to purchase it.

Hence, the above factors mentioned are indeed necessary to identify the supply

of a certain commodity.

The supply of Jam-me Flavored Taho (ingredients in particular) will partly be

coming from Executive Homes, Pacific Street, Matina, Davao City. Other supplies will

be bought here in Zamboanga. Shipment of the ingredients and supplies will be done

quarterly. By the time this study is taking place, the Jam-me flavored Taho will soon be

sprouting like mushrooms here in Zamboanga. And hundreds of outlets will soon exist

all over the Country.

Supply and Demand Analysis

Competition is at the core of the success or failure of firms. Competitive Strategy

is the search for a favorable competitive position in the industry, the fundamental arena

in which competition occurs. It aims to establish a profitable, sustainable position

against the forces that determine industry competition.

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In any industry, the rules of competition are embodied in five competitive forces:

the entry of new competitors, the threat of substitutes, the bargaining power of buyers,

the bargaining power of suppliers and the rivalry among the existing competitors. The

collective strength of these five competitive forces determines the attractiveness and

profitability of the industry.

I. THREAT OF LOW-ENTRY

New entrants to an industry bring new capacity, the desire to gain market share

and often substantial resources. The threat of low entry into the industry depends on the

barriers to entry that the entrant can expect. If barriers are high and/or the new comer

can expect sharp retaliation from entrenched competitors, the threat of entry is low.

The threat of entry in the food or refreshment business is low because of the

presence of barriers to entry. These barriers are as follows:

Economies of Scale

Economies of scale refer to the declines in unit cost of a product (or operation or

function that goes into producing a product) as the absolute volume per period

increases. Economies of scale deter entry by forcing the entrant to come in at large

scale and risk strong reaction from existing firms or come in at a small scale and accept

a cost disadvantage.

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Product Differentiation

Product differentiation means that established taho competitors have brand

identification and customer loyalties which stem from past customer service, product

differences (taste), or simply being first in the industry.

BFAD Licensee

BFAD approval plays a key role in the food and beverage business. On the other

hand, trust on the customers will be affected once they know that the product they are

about to take has been approved by BFAD to be free from foreign substance that could

cause disease and cancer.

II. INTENSITY OF RIVALRY AMONG EXISTING COMPETITORS

Rivalry occurs because one or more competitors either feels the pressure or

sees the opportunity to improve position. The intensity of rivalry among existing

competitors is low to moderate because of the following:

Few and Equally Balanced Competitors

In Zamboanga City, there are only eight (8) taho producers. No other, company

ever tried innovating the taho. Though there is no established taho plant but taho

peddler can be seen around the city, we could say that these are relatively balanced in

terms of size and perceived resources.

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Fast and Industry Growth

Fast industry growth turns competition into a market share games. Market share

competition is a great deal more volatile than in a situation in which rapid industry

growth ensures that firms can improve results just by keeping up with the industry, and

where financial and managerial resources may be consumed by expanding the industry.

Pressure from product substitute-low

All firms in an industry are competing, in a broad sense, which industries

producing substitute products. Substitutes limit the potential returns of an industry by

placing a ceiling on the prices firms in an industry can profitably charge. The more

attractive the price performance alternative offered by substitutes, the firmer the lead on

industry profits.

In Jam-me Flavored Taho, the pressure from substitute products is low. The

quality that the taho has cannot be equaled by its substitutes. Substitute products such

as fruit shakes and soft drinks.

The Buyer faces no switching costs.

This Flavored Taho is said to be undifferentiated and the buyers can choose among

different products available in the market to suit his taste buds. If the buyer is not

satisfied with the quality and taste of the product, he can easily move to another brand

without having the worry about consistency.

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Pricing

Jam-me Flavored Taho stand will have one (1) size available to the market.

Standard cup (12 oz.) will be sold at Php 15.00. This is the suggested retail price

imposed by Jam-me Company for Zamboanga area at Mindpro Citiall.

Flavors available:

1. Mango

2. Buko Pandan

3. Melon

4. Ube

5. Vanilla

6. Sweet Corn

Jam-me Flavored Taho will be offering six (6) flavors in the market. These flavors

have been carefully selected by the Jam-me Team to produce a slurpy, best-tasting out-

of-this-world drinks that will surely hit the city by storm.

Promotion and Advertising

As a start-up business of flavored taho, the management will tap the local

newspaper, local television and hopefully to have a continuous advertising of Jam-me

flavored taho in the future.

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Packaging and Quality Consideration

Jam-me flavored taho will be packed on the standard dome-shaped cups with a

humongous straw sticking out of the cups. Jam-me logo and colors will be printed all

over the cup. Consumers and potential buyers might be able to see these cups in

wastebaskets whenever they have a walk on the mall, school or anywhere, thereby

adding curiosity on them.

Projected Sales

Projected Sales of Jam-me flavored taho will be 225 cups of 12 oz. at Php 15.00,

an estimated 101,250 gross sales per month.

Jam-me Flavored TahoSchedule for Projected Sales

(For five Years)In Philippine Peso

2007 2008 2009 2010 2011Projected Sales in Liters/Cup

225 225 202 228 234

Selling Price per cup

15.00 15.00 15.00 15.00 15.00

Daily Sales 3,375.00 3,375.00 3,030 3,420 3,510N0.of days per month

*30 *30 *30 *30 *30

Monthly Sales

101,250.00 101,250.00 90,900 102,600 105,300

No. of months per year

*12 *12 *12 *12 *12

Total Sales 1,215,000.00 1,215,000.00 1,090,800.00 1,231,200.00 1,263,600.00

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For the figures above, the Jam-me proponents made a random survey. Out of

the 197 respondents of taho, 183 respondents can consume one cup which is 93% of

the potential buyers. Fourteen (14) persons can consume three (3) to four (4) cups a

day. Thus, Jam-me Taho can sell 225 cups a day.

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II. Technical Aspect

A. Description and Uses of the Product

All over the city and soon throughout the nation, Jam-me flavored taho stands

will be sprouting like mushrooms. The used-to-be taho has been canotized to “Flavored

Taho”. Jam-me Flavored Taho sounds like “yummy—try me!” is a Flavored smoothie

drink with chewy sago balls. It is a tasty, milky drink with dark spherical, seductive,

chewy balls made of yam and tapioca. Blending to perfection results in a smooth

creamy texture that one cannot find anywhere else. There are 6 available flavors to suit

the taste of different palates. Each flavor has its own distinct taste, as this was carefully

selected by Jam-me Research Team in order to create a perfect combination that would

result into a drink that is unique and delicious.

B. Manufacturing Process

1. Soak soy beans for 30 minutes in tap water. 2. Dehull the soy beans using your hands until skin of beans are peeled.3. Drain water and separate soy beans from its skin.4. Soak the soya beans for eight (8) hours with generous amount of

water.5. Drain the water from the soy beans.6. Grind finely the soaked beans.7. Cooked the soy beans and let it boil in 180 degrees for about 20

minutes.8. Drain the cooked soy beans using a cheesecloth to separate the soya

milk to the soy pulp.9. Squeeze all the soya pulp for excess soya milk.10.Boil soya milk for 5-10 minutes.11.Stir and add gulaman.12.Allow to boil for 10 minutes.13.Pass the mixture through a cheesecloth then put in a molder.

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For sago:A) Wash sago with water. B) Boil sago in water for approximately 10 minutes or until it soften.

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C. Plant Size and Production Schedule

The plant is a 48 meter facility. It has an annual capacity of 29, 160 liters. It

operates at an average of 81 liters of taho from Monday to Sunday during the regular

twelve- month period. The plant operates at an average of 365 days a year. The factors

used to determine the above figures were based on the size of equipment and time

requirement for production.

Production Schedule

Production Schedule

Per Liter Per CupDaily supply 81 225Daily Production 81* 225**Days per month 30 30Monthly production 2,430 6,750Months 12 12Total production 29,160 81,000

Daily production of taho is done at dawn. It starts from 1:00 to 5:00 am. *225 cups x (12 0z.) x (30 ml/0z) x (1/1000 ml) = 81 liters** (81,000/12)/30 = 225 cups

D. Machinery and Equipment

Jam-me Flavored Taho will also include the equipment and machinery of the cart outlet,

grinder, basin, bucket, stove, ladle, cheesecloth, pot, water dispenser, rechargeable lamp, small

plastic chair, electric stand fan and etc. the procurement of these equipment will be included in

the Php. 500,000.00 investment.

Machinery and Equipments

Functions Machine and EquipmentSpecifications

Source Brand Price(in pesos)

Grinder Used to grind soybeans into powder form

Its useful life will be for ten years.

Public market

50,000.00

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before they are ready to be soaked in water.

Basin Where soybeans are soaked.

New El Bonito Commercial

Magic 82.00

Bucket Where cooked sago are stored.


Magic 88.00

110 Liters Department Store

Textware 1246.75

Stove Used to cook soy, arnival, and sago.

24 inches Department Store

Royal Gas Stove

25,000

48 inches Department Store

King Gas Stove

75,000

Ladle Used to stir ingredients.

Big New El Bonito Commercial

240.00

Large New El Bonito Commercial

400.00

XL New El Bonito Commercial

280.00

XXL New El Bonito Commercial

280.00

Used to transfer taho from container to cups when sold to customers.

20cc/ 12 oz New El Bonito Commercial

35.50

Used to dispense sago and arnival.

30 cc/ 12 oz Kim Chiong 129.50

Cheesecloth Used to separate soy

Yard Glenn’s Mktg

50.00

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http://huashunmotor.en.alibaba.com/offerdetail/54274923/Sell_Pulp_Grinder/showimg.html

from milk.Strainer/ Colander

Used to strain soybeans and sago; to remove excess water after these ingredients have been cooked.

XXXL New El Bonito Commercial

Oriental 74.00

Caldero/ Pot Where ingredients are cooked.

47 inches New El Bonito Commercial

AB-1 Special Caldero

6840.00

Supermarket

Eagleware 3360.00

Where ingredients are cooked.

37 inches New El Bonito Commercial

4680.00

Where ingredients are cooked.

18/10 New El Bonito Commercial

Sunnex 8495.00

Water Dispenser Used to dispense water. For office use.

Useful life of eight years

EMCOR Exsol 6072.00

Rechargeable Lamp

Used for lighting during power outages.

Useful life of five years

EMCOR Kyowa 1295.00

Fire Extinguisher Used in case of fire

Useful life of ten years

3550.00

Small Plastic Chair

Used for miscellaneous purposes.



53.50

Electric Stand Fan

Used for cooling purposes.


EMCOR American Saver

1105.00

Kitchen Aid

Functions Specifications Source Brand Cost

Potholder Used to hold hot equipment and surface.


13.00

20

Apron Used for sanitary purposes

50.00

Hair net To hold hair in place.

5.00

Gloves Used when handling materials

46.20

Cooking/ Storage UtensilsPlates Used for sanitary

purposes10.00

Taho container

Where cooked taho will be stored. These containers will be distributed to the vendors with taho inside.

500.00

Weighting Scale

Used for measuring the ingredients.

100 kilograms New El Bonito Commercial

Akita Scale

3900.00

Add-ons container

Where add-ons to taho will be stored.

Supermarket

32.00


Steam Table Pan

Supermarket

Sunnex 449.75


Supermarket

Harmony Trading

59.25


Supermarket

West Point Marketing

56.75


Supermarket

West Point Marketing

20.00

Syrup container

Where the syrups will be stored.


Smart cook squeeze

28.50

Arnival container

Where the arnival will be stored.

255.00

Scissors Used for cutting materials

13.00

Knife Used for slicing or other purposes

27.00

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Maintenance Supplies

Source Descriptions Brand Quantity Cost

Scrubber New El Bonito Commercial

Stainless Scrubber

Dinosaur 1 piece 15


Stainless Steel Scrubber

Chefmate 1 piece 9.50

Dishwashing Soap


Dishwashing Liquid

Windfresh 1 gallon 250

Mops Used to clean factory area.


Universal Heavy Duty Mophead

192.50

Brooms Used to clean factory area.

Shopper’s Central

30.00Hose Used to

clean the factory area.

192.50

Dust pans Used to clean the factory area.

Golden Bell Grand Center

Sunny Ware

29.25Rags Used to

clean factory equipments and machineries.


4.00Waste Can Used to

throw trashGolden Bell Super Center

Crescent

25.00Bleach Agent Used to

clean utensils and other materials

Zonrox Bleach

1 gallon

76.75

Broomstick Used to clean 5.00

Office SuppliesCandle Lighter

Department Store 10.00

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Fluorescent Bulb

Department Store

Philips60.00

Receipts Golden Bell Super Center

21.00

Bond Paper Golden Bell Super Center

PPC Paper Sub.20 8½ x 13 500 sheets (white)

Cactus 167.00

Golden Bell Super Center

PPC Paper Sub.20 8½ x 11 500 sheets White

Cactus 150.00

Ballpen Golden Bell Super Center

Panda 4.50

Scratch Pad Golden Bell Super Center

6.50

Fastener Golden Bell Super Center

0.75

Staple Wire Golden Bell Super Center

Omarco Staples No. 10 – 1M (2000 pcs)

6.50

Paste Golden Bell Super Center

78.75

Record Book Golden Bell Super Center

59.00

File Folders File Folders 14-pt NAPPCO Kraft Legal Size (50 pcs)

4.25

Distilled Water Ultra Phi 35.00

Calculator Used for necessary computations


Casio 467.00

Puncher Used for filing purposes

UK Puncher 2-hole DHP 1017 NO. WD102


Wenda Punch

60.00

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Stapler Used for filing purposes


35.00

Furnitures and Fixtures

Source Descriptions Brand Quantity Cost

Chairs Assembled Wooden Chairs 3 800.00

Wall Clock Cybersonics, Mindpro Citimall

10’ Wall Clock Trident

149.00Office Table LB

Homemate Furniture

Wooden tables 2

5,400.00Bench Assembled Wooden

Bench2 3,500.00

E. Plant Location

The proposed plant location will be at Macrohon Drive, Canelar. The proponents

desires this location for the fact that it is near the city.

On the other hand, our business location will be at the second level of Mindpro

Citimall. Students and people from all walks of life are frequent in this place. Thus, a

permanent structured cart outlet with movable parts will be constructed.

F. Plant LayoutSee next page

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G. Building and Facilities

Jam-me Taho plant will be constructed. The said plant will be suitable for

producing and selling purposes. The land area of the plant would be sixty square

meters and the plant capacity is forty- eight square meters. No further development in

road because the plant site is near city proper. The drainage system would be made

through constructing septic tanks. Facilities would be expected to depreciate every

seven years. Its expected cost of erection is Php. 200,000.00.

LABOR COST FOR THE BILDING:

Carpentry 6,000.00Mason 4, 800.00Laborer 3, 750.00Plumber 1, 400.00Electrician 600.00

TOTAL LABOR COST 16,550.00

BILL OF MATERIALS:

Jam-me Flavored TahoSchedule of Leasehold Improvement

31-Dec-07

ITEM PARTICULAR QUANTITYUNIT

TOTALCOST

I R.C. WORKSCement 40 PHP 181.00 PHP 7,240.00Sand 2 420.00 840.00Gravel 4 420.00 1,680.00Steel Bars 10 mmo x 6.00 21 106.50 2,236.50GI Tie Wire #16 2 50.00 100.00 PHP 12,096.50

II MASONRY WORKS4" CHB Wall4" CHB 1,230.00 PHP 6.20 PHP 7,626.00Cement 50 181.00 9,050.00Sand 5 420.00 2,100.00DSB 10 mmo X 6.00 59 106.50 6,283.50

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GI Tie Wire #16 5 50.00 250.00

Plain Cement Plaster Cement 50 181.00 9,050.00Sand 5 420.00 2,100.00 36,459.50

III CARPENTRY WORKS Doors and Door JambPUC DOOR 0.60 X 2.10 2 PHP 2,200.00 PHP 4,400.00FLUSH DOOR 0.80 X 2.10 1 3,500.00 3,500.00

1.00 X 2.10 1 3,500.00 3,500.00

Hardiflex CeilingMetal Ceiling Jolst 82 150.00 12,376.00Scind Rivets 1300 1.00 1,300.00

Open ShelvesDoor Plyboard 10 483.00 4,830.00

Floor Tiles 0.20 x 0.20 120 12.00 1,440.00ABC Grout 2 60.00 120.00 31,466.00

IV PAINTINGLiq. Tile 15 PHP 581.90 PHP 8,728.50Liq. Tile Cast 5 310.00 1,550.00Liq. Tile Reducer 10 346.00 3,460.00Liq. Tile Top Coat 30 420.00 12,600.00Liq. Tile Tinting Color 1 5,000.00 5,000.00Sandpaper, Etc 1 3,000.00 3,000.00 34,338.50

V PLUMBING WORKS Toilet FixturesWater Closet 2 PHP 3,000.00 PHP 6,000.00Lavatory 2 3,000.00 6,000.00Faucet 2 3,000.00 6,000.00

PUC Sewer Line 1 5,000.00 5,000.00

Water line 1 5,000.00 5,000.00

Drainage Line 1 5,000.00 5,000.00 33,000.00

VI ELECTRICAL WORKS1 PHP 15,000.00 PHP 15,000.00 15,000.00

PHP 178,910.50

H. Raw Materials Situation Analysis

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All raw materials (cups, lids, straw, flavored syrups) will be bought from

Executive Homes, Pacific Street, Matina, Davao City on a cash basis, Orders will be

per-quarter basis.

Said materials will be shipped through Aboitiz Express with the cost of Php

2,000.00 quarterly.

Except for sago and soy beans-will be bought from the public market of Zamboanga City.

Raw Materials Description

Soybeans A species of legume native to eastern Asia. It is an annual plant that may vary in growth habit and height. The bulk of the soybean crop is grown for oil production, with the high-protein defatted and "toasted" soy meal used as livestock feed. A smaller percentage of soybeans are used directly for human consumption. Soybeans are a source of complete protein. Many traditional dairy products have been imitated using processed soybeans, and imitation products such as "soy milk," "soy yogurt" and "soy cream cheese" are readily available in most supermarkets.

Sago a powdery starch made from the processed pith found inside the trunks of the Sago Palm Metroxylon sagu. Sago flour (Metroxylon) is nearly pure carbohydrate and has very little protein, vitamins, or minerals. One hundred grams of dry sago yields 355 calories, including an average of 94 grams of carbohydrate, 0.2 grams of protein, 0.5 grams of dietary fiber, 10mg of calcium, 1.2mg of iron, and negligible amounts of fat, carotene, thiamine, and ascorbic acid.

Vanilla A flavoring in its pure form known as vanillin, derived from orchids in the genus Vanilla. Vanilla flavor in creams, cakes and other foodstuff may be achieved by adding some vanilla essence or by

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cooking vanilla beans in the liquid preparation. A stronger aroma may be attained if the beans are split in two; in this case, the innards of the beans (the seeds), consisting of flavorful tiny black grains, are mixed into the preparation. Natural vanilla gives a brownish to yellowish colour to preparations, depending on concentration.

WaterA tasteless, odorless substance that is essential to all known forms of life and is known as the universal solvent. It appears colorless to the naked eye in small quantities.

Muscovado A type of unrefined sugar with a strong molasses flavour. It is also known as Barbados or moist sugar. It is very dark brown in color, and slightly coarser and stickier than most brown sugars. . It offers good resistance to high temperatures and has a reasonably good shelf life. The unrefined sugar goes well with coffee and other beverages, and was one of the most prominent export commodities of the Philippines in the 1800s.

Gelatine A polymer made up of subunits of the sugar galactose; it is a component of the algae’s cell walls. Dissolved in boiling water and cooled, becomes gelatinous. Product obtained from several species of red algae.

CornflakesA food made by combining cooked corn along with sugar and vitamins. The dough is rolled and toasted to make the well-known flakes, which feature as breakfast cereal.

Cups Drinking vessel made of plasticChocolate/Strawberry/Mango Syrups Flavorings are focused on altering or

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enhancing the flavors of natural food products. Most type of flavorings are focused on scent and taste creating flavor for food products that do not have the desired flavors.

The table below has a unit cost of 3, 600 of production.

Raw Materials

Source Descriptions Quantity Cost(in pesos)

Soybeans Public Market Sack 80 kilograms

2,080.00

Sago Public Market Sack 50 kilograms

1,900.00

Gelatine Supermarket Pack 375 grams 110.00Straw Public Market Pack 400 pieces

of 29.50(22.50*9)

202.50

Cups New El Bonito Commercial

Pack 12 oz – 50 pieces(72*28.50) 2,052.00

Syrup Davao City Bottle 500ml for 50 cups(72*100)

7, 200.00

I. Utilities

The proposed enterprise will have the electricity tapped at the lines provided by

the Zamboanga City Electric Cooperative (ZAMCELCO) at Barangay Canelar. On the

other hand, water supply will be sourced from the pipes of the Zamboanga City Water

District. And telecommunication lines will be tapped from Philippine Long Distance

Telephone Company (PLDT).

See yearly expense in utilities in the next page.

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J. Waste Disposal

All waste materials such as soybean pulp and soybean skin are being collected

by the garbage collector from the plant. Alternatively, soybean pulp and skin may be

used as fertilizer or can be thrown into a compost pit. And also septic tanks will be

provided for other purposes so as to maintain cleanliness in the surroundings.

In Minpro Citimall, waste will be collected by Minpro’s maintenance staff every 7

pm.

K. Product Cost

See product cost per cup of taho in the next page.

L. labor Requirements

In the production process, two laborers- cook and helper are only needed. The

two will work from 1- 5 am.

On the distribution process, Jam-me Flavored Taho will be needing two laborers.

They are required to work from 9:00 am to 6:30 pm. One of the owners will be part of

the distribution process and would act as a cashier for safety purposes. He/ she is

mandated to work from 9:00 am to 6:30pm.

III. Management Aspect

Name and Type of Business Organization

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The name of the organization is “Jam- me Flavored Taho”. It is to be formed

under a partnership owned and operated by Vanessa Joy R. Delatado and Robert

Louie C. dela Paz.

Organization Structure

In the organizational structure, there is no need for staff authority because the

command comes generally all from the manager.

Officers and Key Personnel

1. Manager

Job Descripton: who is also one of the owners, oversees and controls the

entire operations of the business. As regard to his employees, he has the

following duties:

Recruitment, selection and placement of employees

Administration of organization wage, salary program, benefit

scheme and compensation program

Formulation of policies on activities geared towards employee

welfare, motivation and work

Receptionist – who entertains customers and would be distributor

regarding their inquiries on the services offered by the

organization.

Cashier – who transacts with the customers and would be

distributor.

Final quality inspector – who makes sure that their products are

clean and presentable.

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Manager

Accountant

Crew and Helper

Cook

Job Specification:

A graduate of any business related course

With managing experience

Can handle multi-tasking

Has a good personality

2. Accountant

Job Description:

Records the transaction

Maintains and keeps the accounting records

Prepares the payment for lease, maintenance and other fess

Prepares a financial report of the operations of the business.

Since he is one of the owners, he prepares and formulates

marketing strategy for the company.

Supervises the production and distribution process of the taho

Job Specification:

BS Accountancy graduate

Computer literate

Female, At least 21 years old

With pleasing personality

Have at least 1 year work experience as a bookkeeper or

Accountant

3. Cook

Job Description:

In-charge of the entire production and cooking process of taho

Trains the helper with regards to the cooking process of taho

Checks the quality and presentation of the product

Job Specification:

Male, at least 25 years old

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Must be a high school graduate

Must know how to cook taho

Must have 2-4 years of work experience as a taho cook

Must be physically fit and with no ailments to ensure the safety of

the taho

4. Helper

Job Description:

Assists the cook in the production and cooking process

In-charge in the transfer and distribution process of taho

Acts as a security personnel in the company’s facilities

Acts as a janitor who keeps the cooking and distribution areas

clean and tidy

Keeps the utensils, equipments and distribution carts clean and in

good condition.

Job Specification:


Must be a high school graduate

Willing to stay within the plant site premises 24-hours

Must have a good moral character

Must be capable of fixing minor mechanical problems and other

minor damages in the office

Must be physically fit and with no ailments to ensure the safety

of the taho.

5. Jam-me Crew (at least 2)

Job Description:

Who will assist the manager in the stall

helps in the selling process of the product

Job Specification:


Must have a good moral character

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Must be a College graduate

With pleasing personality

Must be physically fit and with no ailments to ensure the safety

of the product.

Recruitment Programs

The manager considers different external sources that can be tapped for

the purpose of recruitment:

Walk-in Applicants

Applicants come unsolicited and are given personally or are sent by

mail by casual applicants.

Employment Agency

The recruitment for cook and helper is through employment

agency.

General Public

The manager pays for announcements of workers needed, which is

to be found in local newspapers. Since print advertisements reach

more people than other media like radio and television which are very

costly.

Screening and Selection

The manager sifts the good applicants from the host of recruits, and

chooses the best among the screened applicants.

The initial phase consists of the use of the resume of the applicants which

provided the manager the socio-demographic information (gender, age,

personality check, etc) about the applicant. Then a preliminary interview is

conducted. The applicants who pass the preliminary interview will be further

screened.

Applicants for the workers, the manager will consider the physical

capability of the applicants, he must be physically fit and must not have any

ailments.

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Placement of employees

Orientation for new employees is to be made regarding the vision,

mission, and objectives of the organization and as well as the employees’

respective duties and responsibilities. This is to give assistance to the newly

hired employee/s in adjusting to the new work environment.

No recruitment process will be made regarding the position of the

Accountant, since one of the owners will be the Accountant of the

organization.

Training Program

In every organization, human resources development is an important task that

ensures individual progress through continued job proficiency.

For the organization’s accountant, non-formal training can be undertaken. This

consists of seminars to upgrade her knowledge and expertise. She will attend one

seminar a year.

For the helper, he will be trained regarding the preparation and cooking process

of taho, so that whenever the cook retires or is absent, he can replace or substitute

him. On-going training will be done during the working hours. And as for the cook,

there will be no training program.

Compensation and other Benefits

Different compensation packages are given to different tasks involved in the

business. Salaries are to be distributed every 15 days of the month. The employee’s

contribution to SSS and Phil health Insurance will be deducted from his salary.

Since the accountant is one of the owners, no salary will be given to her. But the

compensation or allowances will be given to her and to the manager.

Salaries and Wages

Job Title Daily Wage (in Philippine peso)

Monthly Rate of Personnel(in Philippine peso)

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Manager 215.00 48,000.00Accountant 200.00 77,400.00Cook 200.00 42,000.00Laborer 1 and 2 (Jam-me Crew)

195.00 40,950.00

Plant Helper 150.00 31,500.00

5 Years Projection of Salaries and Wages(In Philippine Peso)

Job Title 2007 2008 2009 2010 2011Manager 77,400.00 77,400.00 77,400.00 77,400.00 77,400.00Accountant 48,000.00 48,000.00 48,000.00 48,000.00 48,000.00Cook 42,000.00 42,000.00 42,000.00 42,000.00 42,000.00Laborer 1 and 2 (Jam-me Crew)

40,950.00 40,950.00 40,950.00 40,950.00 40,950.00

Plant Helper 31,500.00 31,500.00 31,500.00 31,500.00 31,500.00

* Increase in salaries will be after five years.

Job Title No. of Employees SSS Contribution Phil Health Contribution

Manager 1 940.00 125Accountant 1 374.00 62.50Helper 4 1,496.00 250.00Total 6 2,810.00 437.50

Projected Annual Increase in SSS and Phil. Health

Items 2007 2008 2009 2010 2011

SSS 33, 720.00 35,743.20 37,887.79 40,161.06 42, 570.72

Phil. Health 437.50 463.75 491.56 521.07 552.33

Total 34,157.50 36, 206.95 38,379.35 40,682.13 43,123.05

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a. Fringe Benefit

“Jam- me Flavored taho” gives its employees additional incentives to motivate

them to work more efficiently and effectively o achieve the organization’s goals and

objectives. The following are fringe benefits:

Sick Leave

Employees are granted sick leave with pay for 5 days per year to some

unforeseeable circumstances accompanied by valid reasons. Leave benefits

will be monetized if it is not utilized

Housing Privileges and Meal Allowances

The helper will be given housing privileges and meal allowances, since he

will be staying in the plant site 24hours.

All employees will be given one bowl of taho everyday as part of the meal

allowances.

Other Benefits

The company will also grant other benefits such as the SSS, Phil health, and

Insurance Policies.

a. Working Hours

The workers will work four hours per day but will be paid for eight hours per day

due to time differential.

b. Office Hours

The office will be opened from 5 o’clock in the morning until 5 o’clock in the

afternoon, with lunch breaks in between.

c. Business Policies

The company must employ at least two (2) of employees for production to

maximize optimum effectiveness. And, two (2) crews for selling process. The

production of Taho must be on time so that there will be no delay and missed

opportunities with regards to sales.

Project Cost

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In establishing a business enterprise, one must comply with certain government

requirements in order for the business to operate smoothly. Shown below are the taxes

and licenses to be paid to the following offices obtaining a business permit.

Taxes and Licenses ( in Philippine peso)

Fire Safety 51.00

Police Clearance 30.00

Barangay Clearance 10.00

Health Certificate 12500

Mayor’s Permit 1,370.00

DTI permit 500.00

BFAD Registration Fee 1,000.00

DOST reg. fee 500.00

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Project Schedule

Project Timetable/ Gantt Chart

Before starting to operate, Jam-me Flavored Taho has a lot of things to consider

in order for the business to operate successfully, to wit:

Activities

Number of Days

5 10 15 20 25A. Obtaining Permits (Building, Business Permit and etc.)

B. Arrangement and cart design

C. Interior arrangement of taho plant. D. Purchasing all utensils, furniture, appliances and supplies

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IV. Financial Aspect

A. Major Assumption

Since all projects are considered viable only when they are expected to be profitable to

meet short-term obligations, to be liquid and to remain liquid during adversities, to grow in

their ability to finance their operations mostly from net worth sources rather than credit

applications, and to be able to service their financing charges, the financing aspect is very

important in a feasibility study.

The depreciation expense for the property, plant, equipment and tools is

derived by using the straight- line method of depreciation.

All prices are based on the year 2007 and these are projected until the fifth year

of operation of the proposed enterprise.

All products are considered sold at the end of every fiscal year.

B. Total Project Cost

All entities at its beginning period must allocate funds for its beginning budget capital.

Here are the following costs that Jam-me Flavored Taho will incur during its first

establishments.

Machinery and Equipment Php. 144, 703.00Furniture and Fixture 13, 751.50Leasehold Improvements 178,910.50

Total 337,365.00

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C. Source of Financing the Project

The project for Jam-me business will be funded 100% by the owners. Be it in a form of

credit or not, the owners are held responsible of all expenses for the project from the

Php500,000.00 investment capital. All the investments are fairly shared by the owners from

their own pocket.

D. Five Year Projected Financial Statements

See Financial Statement on the next page

E. Financial ratio Analysis

Refer to next page

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V. Socio- Economic Aspect

The proposed enterprise if implemented will provide another income generating

opportunity for the proponents. It will be considered a new business activity in the community

and an addition to those that are already existed (Taho peddlers).

It is probable that the proposed enterprise will help improve the lives of the proponents

and increase employment rate.

The establishment (Jam-me Flavored Taho) of the proposed enterprise may promote

the growth of the food industry in the city. The venture in this kind of business remains

promising.

The project does not only generate profit but also an aid in social and economic

benefits. Thus, the project helps to contribute in improving the standard of living and

community development. It also provides employment and is a food for great preference to

rich and poor people.

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Conclusion

The present economic situation and the establishment of Taho should be viewed more

as an opportunity to venture the business. The Jam-me! Flavored taho’s general objective is

to uplift the economic condition of the members and to promote sustainable integrated

development of the community. Under this concept, capital will be required by the members

to operate such business. It entails huge sum of capital in order to meet a high impact and

impression for the prospective buyers. Positioning itself at Minpro Citimall is an advantage

arena of the inevitable increase of population and because it is a captive market. while

young, we anticipated a great potential for this business to grow big. Together with intense

desire and developmental efforts of the team, Jam-me Flavored Taho will spread its

establishment in different locations in Zamboanga, hopefully, entire Philippines.

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taho

Documents

study jam

market study

flavored taho business

project feasibility

financial study

mouthwatering flavored

management study

technical study