I.
INTRODUCTION
Coffee has been one of the most buy drinks, almost all the people buy
them either to wake themselves up or be energized and be ready for the day.
Today, many people start their day with coffee ranging from different varieties
and flavors. Booth n’ Beans is created for the people to enjoy their coffee with
a few twists for them to either relax or be entertained. The first floor would be
for the people who are on break and do not have enough time and the second
floor would be for relaxation and fun.
Booth was based on the design of the shop since every floor would
have different booths and each one of them will have their own vibe so that
customers can choose whichever one they prefer.
Beans represent the coffee that will be the signature dish for the shop
with different varieties, flavors and intensity.
II. PROJECT SUMMARY
A. Name of the Firm
Booth n’ Beans
B. Business Location
Main location at Vega Centre, Lopez Avenue, Los Baños, Laguna
C. Brief Description of the Business
Booth n’ Beans is a partnership business wherein two or more owners
manage the business lowers the possibility of financial risk. Booth n’ Beans
focuses on the wellness and cravings of each individual who enters the shop.
III. MANAGEMENT AND PERSONNEL COMPONENT
Chief Executive Officer: Ronn Anthony Arguzon
Nationality: Filipino
Address: Los Baños, Laguna, Philippines
Roles: In charge of managing the overall operations and resources of a
company
Operations Head: Kristina Gayahan
Nationality: Filipino
Address: Los Baños, Laguna, Philippines
Roles: In charge of designing policies, overseeing customer service and
implementing technology solutions
Production Head: Franco Gayahan
Nationality: Filipino
Address: Los Baños, Laguna, Philippines
Roles: In charge with the planning, coordinating, and control of manufacturing
processes
Marketing Head: Daniel Sosa
Nationality: Filipino
Address: Los Baños, Laguna, Philippines
Roles: In charge of overseeing the promotion of a business, service, product
or brand
Finance Head: Jennifer Espinosa
Nationality: Filipino
Address: Los Baños, Laguna, Philippines
Roles: In charge of the financial health of the company and performs a lot of
data analysis and use their result to increase the business
IV. MARKETING STUDIES
A. Marketing Profile
Booth n’ Beans is located on a specific location that would be open to
all public masses with the main target consumer who are students and office
workers.
Booth n’ Beans would be a large scale business consisting of 100 and
more employees since it would have 4 branches; the main branch would be at
Vega Centre, Los Baños, Laguna while the other 3 would be located at SM
Calamba, Sta. Cruz, Laguna and UP Open University.
Our mission is to have a positive impact on the environment and
economy of the country while also providing the people with caffeine for them
to gain energy. Each coffee would be made with the finest ingredients that
would have a positive impact on our customers. We offer quality services and
products that would leave our costumers wanting for more and for them to
come back.
B. Demand Analysis
C. Supply Analysis
Local Supply
Growers: Working Intermediaries:
on small plots of Transport or sell
land. coffee & pastries to a
processor
Government Processors: Farmers
Agencies: They sell it send up to produce
in auction for export. the supply chain.
Exporters: Buy from Dealers: Supply the
auctions and then sell products to the coffee
to dealers shop or grocery store.
Foreign Supply
Farmers: Produces Organizations: They
works on small organize into formal
holders to large associations or
private estates. cooperatives.
Exporter: Process and Intermediaries:
commercialize supply Provides farmers
from farm to meet the services in getting the
needs of buyers. supply to the market.
Importers: Bring
goods from the origin Consumer/Retailers
country to the place of
sale and exchange.
D. Competitive Analysis
1. Selling Price
Our shop sells hot and cold coffee ranging from 80 pesos to 180 pesos.
We also sell different kinds of breads and pastries ranging from 30 pesos to
50 pesos. We also offer coffee + bread + pastry combo ranging from 100
pesos to 130 pesos.
2. Competitions
The service and the place is high quality and high in demand but
business competitors that offer the same product and service may affect the
business.
3. Distribution and Cost of Transportation
Business increase sales by making it accessible to a wider range of
customers.
4. Channel of Product Distributions
Business needs to catch certain customers and may remind them of
the business name and products. Advertising helps change negative
perceptions of your business. It can also increase visibility within the industry,
helps to attract partners that can expand your business.
5. General Competitive Practice
Gives more ideas to improve and grow the business. Partnership
invests in the business and each partner has a share in the profits and losses.
It also access to new products, reach a new market and increase customer
loyalty.
E. Program Analysis of Marketing Strategies
1. Geographic Segmentation Strategy
It is located in a place that is centered by students and employees that
will be beneficial to the customer and the entrepreneur.
2. Psychographic Strategy
Our shop has an affordable price that can accommodate every
consumers specially students and office workers.
3. Demographic Segmentation Strategy
The target consumers are both male and female. Main target consumer
does not require a high income where high school students can afford it.
4. Pricing Strategy
Our store offers combo products that may attract the customers that
ranges from 100-130 pesos only.
5. Channel of Distribution
Booth n’ Beans’ future branches, seek to be near their target market
the students and employees from different universities and offices, that will
provide them satisfaction from stressful environments. Thus, the following
places are their areas of expansion:
SM Calamba
Sta.Cruz, Laguna
UP Open University
6. Promotion and Advertising
Some people nowadays are into social media. We would like to use
social media such as facebook, twitter, and instagram as a way to introduce
our shop and products. It is the easiest way we know to advertise it. Fliers will
also be given to people before and on the grand opening of the shop.
V. PRODUCTION
Booth n’ Beans aims fair prices for each product in operating our
business in order for us to gain the trust of our customers and for our
customer to feel confident with the product that they consumed.
Providing the best service and comfortable place for studying that is
very convenient for it is located in a place that is centered by students and
employees that will be beneficial to the customer and the entrepreneur.
Since Booth n’ Beans serve coffee with food, we consider healthy
religion in creating our menu. We would add halal on our menu for the
individuals who are prohibited in eating harm food (non-halal slaughtered
animal). We would also be adding fruits and vegetables to our menu to ensure
the health of each individual since we also serve coffee. We also consider the
time of the day. We would change our menu every 5:00 am - 10:30am,
10:30am - 1:00pm, 1:00pm - 5:00pm, 5:00pm -10:00pm and 12:00am -
5:00am to give our customers the correct meal depending on the time. We’ll
also be serving fruit smoothies and teas for the individuals who don't drink
coffee.
Technological Aspect
Technology is an influence to human existence by bringing up new
risks as well as improvement to our businesses. The resources found here to
help your business needed to understand how technology is useful in
business by examining the benefit and risk advances.
Many companies also had the use of other technologies that can
benefit their business to increase the ratings of their product in order to
overcome their use of technology. We came up with a solution by improving
the machinery and products to be more unique, to have a high rating of our
business product. We also came up with new ideas to outgrow their
companies with the use of information, delivery and online selling. These
ideas are an easy way to gain more sales from the buyers.
The world today is modern. Many factories use high-technology or
machines to do the work and make the process fast and easy. In addition,
they will not affect the salary for the workers since most of them are
machinery. Technologies make our lives easy, especially those things that
cannot be done by humans. Businesses have positive impacts to the local
environment like funds for improvements in infrastructure and provide facilities.
Economical Aspect
Booth n’ Beans faced a lot of economic opportunities and economic
threats due to the economic events in the Philippines. The most common
economic threat is high electricity rate and inflation rate that changes now and
then. The continuous increase of the prices of goods might affect the
company budget, in result to that, the company have to raise the prices of
their products and increasing the price may lead to a decline of sales. In
addition, rapidly rising prices not only affects the customers pay but also the
business itself because of the materials and inventory that they have to pay. If
replacement inventory costs more than what you have sold, this may lead to
inventory shortages. Inflation rate also affects the employees, when
employees didn’t get wage increases this might lead them to quit working.
Lack of workers will lead to slow production of products that will greatly affect
the performance of the company.
Business Model
Partner Network
Marketing and Sales Partner
Content Partners
Key Activities
Marketing
Selling
Offer/Value Proposition
Quality Services, Foods & Drinks
Distribution
Channels
Internet (Online)
Cost Structure
Ingredients
Equipment
Salaries
Advertisements
Revenue Statement
Sales
Tips
Income
Products/Services Offerings
Products
Bread - a usually baked and leavened food made of a mixture whose
basic constituent is flour or meal.
Pastry - dough that is used to make pies and other baked goods and
typically has a high fat content.
Coffee - a beverage made by percolation, infusion, or decoction from the
roasted and ground seeds of a coffee plant.
Services
Snack Bar Service - the serving of oneself (as in a restaurant or gas
station) with goods or services to be paid for at a cashier's desk or by
using a coin-operated mechanism or a credit or debit card.
Self Service - a public eating place where snacks are served usually at a
counter
Equipment/Materials Needed
For making the bread and pastry:
1. Offset spatula-used for spreading frosting.
2. Dough spreader-spread dough in a raised mass.
3. Micro plane zester-use to peel garnishes.
4. Cake pans of all sizes and shapes.
5. Oven, refrigerator and freezer thermometer.
6. Pastry blender or cutter.
For making the coffee:
1. Espresso machine - to transform beans into different drinks.
2. Espresso grinder - increases surface area of beans.
3. Regular coffee grinder - for the ones who will order specialty drinks.
4. Coffee brewers.
5. Decanters, air pot and satellite servers - for self-serve station.
6. Frappe and smoothie blenders.
7. Iced tea brewers and iced tea dispensers
Raw Materials
Coffee and Espresso
Milk
Tea Bags or Loose Tea
Hot Chocolate
Flavoring Syrups, vanilla
Sugar, Sweetener, and Creamer
Flour, starch
Nuts, almonds
Fruit fillings
Oil, butter
Eggs
Floor Plan
First Floor
Second Floor
VI. FINANCIAL STUDIES
Our main goal is to be one of the most unique and leading coffee shop
in the country while to food we made will be a unique and out of this world
experience that would leave a lasting impression to our customers.
Booth N’ Beans aim to follow the laws and regulations of the
Philippines when starting. The aim of the company is not only the happiness
and satisfaction of the customers but as well as the employees, treating them
with equality and fairness.
A company cannot start a business nor produce a product without a
capital, equipment, equipment and worker since Booth n’ Beans is a new
business. The owner will invest their personal savings for the first month in
order to provide initial operation of the business. On the next month, the
owner will apply bank loans to support and continue the progress, growth and
popularity of the business to have business to have business partnership,
investment banks and other financial institution to gain financial support and
security.
A. For New Business Venture
The table below states the materials or item needed its quantity and
amount of expenses that Booth n’ Beans will need in the course of its
operation:
Initial Capital / Requirement Estimated Amount of Initial
Outlay Costs
Initial Raw Materials P 1,000,000
Kitchen Equipment P 98,500
Office Supplies P 50,000
Furniture and Fixtures P 110,000
Registration Fees, Permit and P 10,000
Licenses
Kitchen Fuel P 8,700
Utilities P 38,950
Salaries, Wages and Compensation P 1,000,000
Advertisements P 80,000
Research and Development P 73,480
2nd Floor Building Rent P 40,000
TOTAL P 2,519,630
B. For Existing Project
BALANCE SHEET
(Yearly)
ASSETS
Current Assets
Cash and Cash Equivalents P 5,000,000
Accounts Receivable P 1,000,000
Inventory P 750,000
Prepaid Expense P 200,000
Investments P 500,000
Total Current Assets P 7,450,000
Property and Equipment
Land P 1,215,000
Buildings and Improvements P 12,500,000
Equipment P 2,500,000
Less Accumulated Depreciation (P 250,000)
Other Assets
Intangible Assets P 200,000
Less Accumulated Amortization (P 10,000)
TOTAL ASSETS P 23,605,000
LIABILITIES
Current Liabilities
Accounts Payable P 1,500,000
Notes Payable P 500,000
Accrued Expenses P 250,000
Deferred Revenue P 100,000
Total Current Liabilities P 2,350,000
Long-term Debt P 10,000,000
TOTAL LIABILITIES P 12,350,000
SHAREHOLDER’S EQUITY
Common Stock P 500,000
Additional Paid-in Capital P 1,000,000
Retained Earnings P 9,855,000
Treasury Stock (P 100,000)
TOTAL LIABILITY AND SHAREHOLDERS’ EQUITY P 23,605,000
INCOME STATEMENT
(Yearly)
Income Statement Estimated Amount
Revenues
Coffee Sales Revenue P 1,750,000
Pastries Sales Revenue P 1,000,000
Bread Sales Revenue P 1,000,000
Total Revenue P 3,750,000
Expenses
Cost of Goods Sold P 600,000
Salaries Expense P 500,000
Rent Expense P 250,000
Utilities Expense P 125,000
Total Expense P 1,475,000
NET INCOME (LOSS) P 2,275,000
STATEMENT OF CASH FLOW
(Yearly)
Cash Flow Estimated Amount
Operating Activities
Net Income P 1,275,000
Increase in Account Receivable (P 100,000)
Decrease in Inventory P 75,000
Increase in Account Payable P 50,000
Cash Provided used in P 1,300,000
Operating Activities
Investing Activities
Purchase of Equipment P 1,500,000
Cash Provided used in P 1,500,000
Investing Activities
Financing Activities
Issuance of Common Stock P 250,000
Cash Provided used in P 250,000
Financing Activities
Net (Decrease) in Cash P 50,000
Cash Balance (January 1) P 450,000
Cash Balance (December 31) P 500,000
