Kingfisher School of Business and Finance

1st Semester A.Y. 2020-2021

Project Proposal
Saba Banana: Towards Resource Maximization and Sustainability

Submitted by:
Alvarez, John Paul M.
Cabatbat, Edison V.
Ferrer, Jeffrey A.
Ferrer, Jeremy Samuel C.
Bautista, Myka B.
Camajen, Ashley Mae D.
De Leon, Jomelyn M.
De Sagun, Neda R.
De Vera, Ericka Mae P.
Diaz, Erika Mae V.
Group 7

Submitted to:
Ms. Maybelle Ann S. Lopez, MBA
Ms. Mylahnie R. Lopez
Instructor

Date of Submission: October 12, 2020

I. Title
II. Rationale
In the Philippines, it is already common for the banana peel to be thrown out and use as
a fertilizer. Banana peels are commonly seen as a by-product only. Turning banana peels into
product is one of the best ways to achieve sustainability. This project will use Saba banana to
produce juice and the banana peel will primarily use as input to reengineer the typical meat
patty used in burger. Not only this project will address the issues of environmental and health
problems but also to introduce in the market the innovated products from banana while
promoting the flexibility of Philippine resource.
III. Objectives
 Aims to promote the use of local resources in the Philippines, specifically the Saba banana
in pursuit to product innovation.

Saba banana is one of the most important fruit crop in the Philippines, it constitutes
significant portion in the country’s export revenue. Philippines is ranked second as the top
exporter of banana according to Food and Agriculture Organization of United Nations.
Buying local products, specifically the saba banana will also give rise to economic
opportunity for local suppliers of saba banana. Considering that variety of products derived
from saba are gaining wide acceptance in the market, this proposal will provide new healthy
product idea while promoting the use of local product, specifically the saba. It is also
significant to continually innovate saba products to increase the product competitiveness.
IV. Background of the Project
Filipinos are undeniably fond of eating burger and as its complement are various flavor
of drinks. The proposed products are banana peel burger patty and banana lemon juice which
are both produced from Saba—a type of banana.
Banana flesh is cooked to create “sweetened Saba’’ mixed with lemon to generate
banana lemon juice. It is a good and refreshing drink especially during this summer season to
ease and beat the heat of the sun. On the other hand, the banana peel that is usually set aside
can be processed into burger patty. Converting banana peel as the main ingredient lessens
meat consumption, thus, promotes healthy eating by incorporating fruits into our snack food.
Producing such products contribute to the sustainability—at least in the community. In
terms of its importance to the environment, converting banana peels into food reduces food
waste. One problem faced by the present society is pollution that is caused by various wastes,
including food waste, that contribute to landfills which has a negative impact to the environment
and to the citizens of the community because it releases methane, a greenhouse gas.
Philippines produce an average of 7.5 million tonnes of banana every year. In 2018,
52% of the total banana production is exported—27% is Saba—leaving 48% of the total banana
production domestically. Base from this information, it is likely that tonnes of banana peels were
left and thrown, adding to the wastes that causes pollution in the country. Converting the
banana peels into product does not only reduces the food wastes annually in the country for it
also has relevence economically. The country’s current GDP is seen to be shrinking (De Vera,
2020). Innovating the country’s common waste—which is the banana peel—into a profitable
product would not only help environmentally but also economically, especially in the country’s
current economic condition due to the pandemic.
 Fruit peels, although biodegradable, take a long time to fully decompose and banana
peels in particular take up to two years to decompose and since the fruit is abundant in the
Philippines, there are many Filipinos that consume it and throw the peel away. The Banana Peel
Burger Patty and the Banana Lemon Juice will use both the banana and its peel which will
utilize all the parts of the fruits that will reduce the wastes that ends up in the landfills resulting in
reduction of greenhouse gases caused by food wastes.
The products also have relevance to food sustainability. The Banana Peel Patty is a
great healthy option to the usual burger patties made of meat and the Banana Lemon Juice is a
healthy beverage option. Bananas have a lot of health benefits. It contributes to heart health for
it contains potassium and mineral electrolyte that keeps the heart beat. It also contributes to
digestion and weight loss for it is rich in fiber and vitamin B6, which also helps against diabetes.
It also contains vitamin A which is good for one’s vision and calcium for the bones (Szalay,
2017). Banana peels, on the other hand, also have its own health benefits for it is also a great
source of potassium, fiber, and antioxidant which reduce inflammation and protects the body
against chronic conditions (Link, MS, RD,2019).
Moreover, due to the products’ characteristic, which is utilization and maximization of
resources, it helps in the aspect of food security. According to the Food and Agriculture
Organization (FAO), Philippines have the highest record of food insecure people in Southeast
Asia in 2017 to 2019 that is published by CNN Philippines on July of 2020. FAO stated that lack
of money is the main reason of severely food insecure people. Together with the Word Health
Organization, FAO suggests a healthy diet, but evidence says that most healthy food are in high
prices. One of the objective of using banana peel as the main ingredient in the burger patty is
not only to reduce food waste, but also to provide a cheaper product—compared to the regular
burger patty—without sacrificing its nutritional value.

V. Project Work Plan

 A. Product or Service Design
 Features and Benefits
- It is nutritious and healthy food. The
product has its primary benefit of
incorporating banana peel burger patty
into our snacks and banana lemon juice
as drink introduces various health benefits
like can help on preventing obesity, fight
cancer and relieves
depression issues thus
offering a quite satisfactory
product.
- It is Cost-less
and Affordable. With its
main ingredient which is
Saba Banana Peel that is a
leftover, another product
can be produced which can
be processed and offer to the
public at its low price.
Figure 5.2
 Value Proposition
Figure 5.1 - Perfect fat-substitute. Nowadays, burger patties are made up of meat which
commonly brought large amount of fats which make it inappropriate for our
body yet with the banana peel we can still eat delicious burger with a much
potential to improve our mental and physical condition.
- Different and Fit for human consumption/edible. Study says that banana
peel is not poisonous thus it can be viable as food intake and on the other
different in a way that what’s existing in the market today are just patties that
are made of meat.
 Uniqueness
- Fruit waste turns into Banana Peel Burger Patty and Banana Lemon
Juice. The product offered itself is unique from others because it targets
vegetarians and health conscious individuals and families that in the near
future will continually expand its market share because people now are heavily
emphasizing the mantra “health is wealth”.

B. Process Flow
  Banana Peel Patty Burger

Figure 5.3

INGREDIENTS
 Banana peel
 Salt
 Pepper
 Flour
 Eggs
 Onions
 Water
 Ketchup
 Burger buns

Table 5.1
The production of banana peel patty starts from boiling the banana peel for about ten
minutes. After that, chop the banana peel until minced then chop the onions. Mix the minced
banana peel, onions together with five pieces of eggs. Put some salt and pepper. Then add five
tablespoons of flour and water. Mold it on a plastic wrapper to achieve a burger patty shape and
let it chill for thirty minutes. Heat the pan with cooking oil and fry the banana peel patties until
golden brown. Put the banana peel patties into the burger buns and add ketchup.
In producing a product, there are various of decisions relating to products and processes
that need to be addressed. One of these decisions include planning the production to meet the
demand. The business must ensure that saba banana as the main ingredient used in
production, are of high quality and have an adequate quantity. These are crucial importance in
the manufacturing of a product.
Building a strong supplier relationship have a huge contribution to quality, timely delivery of
raw material needed in producing banana peel patty burger and growth of the business. As the
saba banana is perishable, inventory management should take into consideration for
operational efficiency. It ensures to have right quantities of ingredients need to place into the
production of banana peel patty burger. It helps to avoid shortage or surplus. Carrying extra
inventory may avoid shortages but it will also tie up capital and take up space. Maintaining low
level of inventory in the other hand, may not meet the production's demand. Decisions regarding
equipment needed in production are also vital in producing the product. In making banana peel
burger patty, cooking tools such as frying pan, spatula, chopping board and knife are necessary.
The business should also decide whether to buy patty maker machine to increase production.
 Banana Lemon Juice
 Figure 5.4
C. Facility Layout

Figure 5.5
 The figure 5.5 shows the facility layout of the physical store of the business. In the
picture you can see the entrance of the store, the dining hall for customers, the cashier counter,
the kitchen as well as the storage room, the restroom that will be used by the customers, and
the office for the staff. In the left side of the layout, you can see that there is a designated
delivery area for the raw materials as well as other inputs that will be used in order to run the
business.

D. Supply Chain
Figure 5.6

As shown in the illustration of the supply chain, it starts from purchasing the Saba
Banana in the public market since supply of this banana is abundant in the local markets.
Suppliers, especially those near in the location of business operation, will later on be analyzed
to avoid additional freight costs and in order to choose the supplier with lowest price offered with
the most convenience and certainty in fulfilling the company’s eventual high volume orders of
Saba Banana. After the purchase of Saba Banana, it will then be placed in the storage as stock
of raw materials for the current and near future manufacturing of Burger Patty to be used for
Burgers, and Banana Lemon Juice. The Burgers and Banana Lemon Juice will be offered
directly to the final customers by the company.
 E. Capital Requirement
Legal Requirements and Permits:
Amount
DTI Business Name Registration Certificate 500
Mayor’s Permit 2,000
BIR Clearance 500
Barangay Clearance 500
Zoning Clearance 300
Community Tax Certificate 100
Health Certificate 250
Occupancy Permit 350
Building Permit 350
Sanitary Permit 250
Fire and Safety Inspection Permit 500
Public Liability Insurance 1000
SSS Clearance 300
Projected budgeted costs (Annual): P 6,900
Table 5.2
Rentals:
Rent per Month 3,500
Total Rent for 6 Months: P 21,000
Table 5.3
Utility Expenses:
Amount
Electricity 750
Water 550
Waste Disposal 150
LPG (2 Cylinders) 1,200
Telecommunication 500
Utility expense per month: P 3,150
Projected utility expense (6 months) P 18,900
Table 5.4

Kitchen Utensils and Equipment:

 Unit Quantity Unit Price Total Amount
Frying Pan pcs. 2 250 500
Pot pcs. 2 300 600
Spatula pcs. 2 50 100
Knives set 1 350 350
Spoon and Fork set 2 75 150
Chopping Board pcs. 3 80 240
Projected costs (6 months) P 1,940
Table 5.5
Dining Utensils (for dine in or take-out):
Unit Quantity Unit Price Total Amount
Ceramic Plates sets 5 250 1,250
Drinking Glass sets 5 200 1,000
Pitcher pcs. 5 40 200
Packaging Box packs 20 80 1,600
Table Napkin packs 10 150 1,500
Paper Bag packs 20 50 1,000
Paper Cups packs 20 40 800
Straw packs 5 25 125
Toothpicks packs 5 15 75
Projected costs (6 months) P 7,550
Table 5.6
Sanitation and Cleaning Equipment and Supplies:
Unit Quantity Unit Price Total Amount
Broom and Dust Pan pc. 1 130 130
Trashcan pcs. 2 45 90
Air Freshener pcs. 6 220 1,320
Rags pcs. 10 5 50
Hand Sanitizer/Alcohol Gallons 4 350 1,400
Tissue Packs 3 200 600
Toilet Brush pc. 1 50 50
Toilet Bowl Bleach Bottles 5 150 750
Mop with Spinner pc. 1 500 500
Projected costs (6 months): P 4,890
Table 5.7
Projected Product Costs per week
Unit Quantity Unit Cost Total Amount

Banana (saba) kgs. 3 P70 210

Sugar pack 1 P45 45
 Mint pcs. 20 P20 400

Ice packs 7 P35 245

Lemon kgs. 2 P30 P60

Mayonnaise packs 4 P32.75 131

Ketchup bottle 2 P22.55 45.1

Egg pcs. 20 P7.2 144

Garlic kg. 1 P280 280

Flour kgs. 2 P23.2 46.4

Onions kg. 1 P120 120

Black Pepper pack 1 P30 30

Cooking oil liters 4 P165 165

Salt packs 2 P12.4 24.8

Burger Buns packs 15 P20 300

Total weekly product costs P 2,246.3

Projected budgeted cost (6 months) P53,911.2

Table 5.8
VI. Ethical Considerations
A strong sense of ethics in the workplace can improve a company in a variety of ways,
both internally and externally. Making ethical considerations in business is not just important for
developing a positive public image for a company. It can also help the company avoid lawsuits
and the potential consequences related to them, such as fines and negative media coverage.
Profitable business that also makes contributon to society is important on Corporate Social
Responsibility(CSR). Though doing business ethically incurs additional costs, it would be offset
by resulting positive reputation that can increase sales. First ethical consideration has to do with
the use of labels as tools to produce ethically desirable ends such as good health and consumer
satisfaction. Since the company engages in food industry, do no harm to the customers is the
very first thing to ensure as well as to show evidence with the health claims of the products that
are offered. Furthermore, disclosing the process on how the products were made is as much
important as disclosing the ingredients. This is to conform with the duty of disclosure and duty
not to misrepresent of business ethics. Second is to engage with the corporate environmental
responsibility. It is the way in which organizations can incorporate environmental issues into
their operations in order to eliminate waste and emissions, maximize the efficiency and
productivity of its resources and minimize practices that badly affect the country’s natural
resources. Lastly, ethical treatment to the stakeholders of the company namely employees,
customers and suppliers through giving what they deserve and to avoid unnecessarily putting
them at risk or danger.
VII. Conclusion
 Some people like eating burgers everyday and it became their favorite food. Our project
proposal which is the Saba Banana Peel Burger Patty and Banana Lemon juice could make a
difference in the community as it offers a way of preventing the effect of meats from the typical
burger meat patty that we all know when we are eating too much of it. The product has a lot of
health benefits and at the same way can help the community save and use its resources and
wastes. Philippines is one of the known nation to be abundant of agricultural resources such as
Saba banana. Thus, this project opens doors to promote the cultivated fruit crop and the
maximization of its totality that can also contribute to the local farmers as it can actually be an
extra source of income, food and livelihood. It is a good project to be ventured into business as
it is cost-effective. It is not only a business that is profit oriented but a business with a purpose.
It somehow uses all of its parts from its kernel and peel without wasting resources and helping
eliminate wastes. To ensure long term success, planning is a crucial factor. For the long term
plans of the project proposal, the proponents will consider business’s location options for
expansion since location can impact the business’s target market; expand the market as the
business develops. The business needs to be sure to secure all the required licenses and
permits mandated by law. In the long run, the proponents also plan to expand facility and open
branches from different locations. Lastly,improve top selling products to move to a lower cost,
develop and launch additional products to keep in pace with the trends in the market.

VIII. References
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