1.

0 ` EXECUTIVE SUMMARY

The name of our business is Jaja’sk Company. The main objective of our business is to

change the traditional nilupak into a new one. This product have a goal to give the students a

nutritious and affordable snacks on their breaktime. We wanted to give them a snack that has

benefits for their body and is good for their health. This business aims to bring out the

popularity of nilupak. Nilupak isn’t usually famous to some millennials nowadays so we want

them to know that there is nilupak that is good for them.

Our target market are the grade 11 students of NHS. They are the majority to purchase our

products. Our business is a sole proprietorship. The total amount of financing requied is

P270 and it will come from our savings. The one who will manage the business is the owner

Market Analysis

Our target market are the Grade 11 and 12 students of Nagpayong High School. That ages 15

and above,both female and male. In the strands of Academic Tracks and TVL. Where they

have the income/allowance of P20 and above. All of these students are single.

Our potential customers are the Senior High School students of NHS,both female and male.

The product {Nilupak} that we have is new to them so we see that it will be saleable to them.

New products are good to sell mostly if they have no idea about it. These customers will be

curious on how our product tastes.We will sell our products here at the Centennial

II,Nagpayong,Pinagbuhatan,Pasig City. Where our school is located. Nagpayong High

School is our main market. Grade 11 students is 54% of the senior high school population.

50% are males and 50% are females. Grade 12 students is 46% of the senior high school

population, 48% are males and 52% are females.

The competitors we have are our classmates that could possibly have a product that will be

saleable than ours. The price of our product is affordable and cheap that only costs P5-P8. We
see that our product may be good for the students that has low budget for their snacks in

school. The only weakness that we have is that, our product is limited,that we can only make

60 pieces a day.

2.0 Company Description

Our business, which is selling Nilupak with chocolates,will be sold to the SHS students of

NHS. This is a kind of a provincial snack or dessert of Filipinos. Usually it is made of

cassava. But our Nilupak is made of saba banana with a twist which is chocolate. We mixed

it with chocolate to make it on trend for the millenials. Nilupak is affordable for everyone and

we assure that this will be a friendly budget for every students in Nagpayong

The type of our business in manufacturing. Nilupak is a home-made product. We do not use

machines,instead we used man power to create nilupak.The challenges that occur in our

sector are those we see as competitors,like our classmates and the canteen. Other than that is

the process of making our customers buy the product we have. It is a big challenge to

encourage them to buy some. The big population of our school is also a challenge for us that

when the customers liked our product, demands will start to increase. We can only produce

60 pieces a day and higher demands of our product will be a challenge for us to make our

man power double just to reach the wants of our customers. The type of business that we are

going to operate is manufacturing. Basically,foods are the needs of our customers and in this

situation or product will be saleable for our target customers which are the Grade 11 students

of NHS. We can fill the needs of these students by selling our nutritious and a low price

snack to them. Maybe the products of our competitors are more sweeter than our product,but

surely Nilupak is more nutritious than those they sell.

We chose this business opportunity because it is easy to make nilupak. The product nilupak

is also nutritious and this is good for the customers health. In starting up this business we
don’t need to spend a big amount of money. We selected NHS because we have more access

in this area. And we are only students so it is our only choice.

Item Value

Stove (superkalan) P160

Casserole P200

Mixing bowl P100

Ladle P50

Plastic gloves P24

Banana leaves P10

Total P544

Our business operation will start before the class hours of the students and up to their break

time. It’ll run for almost 5 hours every day. The permit that we need for selling our products

to the students is the permit of the teachers and the supervisor of the school.

Strength Weakness

Price: P5 – P8 Limited product

: It is affordable and cheap. - Our product is only limited for a day.

- We can only produce 50-60 pieces a

day.

Opportunities Threats

Daily allowance of students Canteen and classmates that sell

 - Their allowance ranges to P20- snacks – students may like more the snacks

P50and it is good for students who at the canteen or the products that our

have low budget on their snacks. classmates sell.

3.0 Organization and Management Structure

Our business will manufacture a product which is Choco-nilupak that is a

mixture of chocolate and nilupak. We made a product that twisted the traditional Nilupak into

a new one. Nilupak is usually made of cassava but our nilupak is made of saba banana mixed

with some chocolate bits.The uniqueness of our product is that it changed the traditional

recipe. It is more simple than the usual one. The advantage of this product it that,it has

chocolates and, chocolates are one of the trends in Filipino’s snack or desserts.

Procedure

1. Boil the saba banana until it tenders.

2. Peel off the skin and place the bananas in a mixing bowl.

3. Start crushing the banana and mix with sugar and chopped chocolats.

4. Mold the nilupak mixture into flat circles and set aside on a clean plate

5. Brush the top with some margarine and wrap the nilupak in banana leaf.

6. Lastly,carefully arrange the wrapped Choconilupak in a big tupperware.

The product itself will meet our customers needs. We know that food is one of the primary

needs of humans. Nilupak will surely be good for our customers because aside from it has a

cheap price it is also good for the health. It has lots of vitamins like Vitamin A,B6,and

C,protein, fiber, manganese and potassium.

Our pre-start strategy is to invite some potential customers near our place and give free tastes

for the first 10 customers that we will have. Giving them free taste can make our product be
known in our school. Also we will give them 1 free colored paper each in the first week of

Product Description

Production and Operation

Financial Analysis

4.0 COST OF PRODUCTION AND FINANCING PLAN

I.1. LAND AND BUILDING

S/N Particular Area Required Total Volume

(₦)
1 LAND 1 plot N50, 000
2 Building (Construction or Rentage) Construction N100, 000
N150, 000
Total

5.2 MACHINERY/EQUIPMENT

S/N Particulars quantity Unit Price (₦) Total Value (₦)

1 Mixing Tanks (Big Size) 2 700 1, 400
2 Turning Stick 2 200 400
3 Mixing Tanks (Small Sizes) 14 150 2, 100
4 Beaker 2 500 1, 000
5 Funnel (Small Size) 5 70 350
6 Packaging Bottles 1000 40 40, 000
7 Borehole Machine 1 20, 000 20, 000
TOTAL 21, 660 65, 250

5.3 Preliminary And Pre-Operative Expenses

S/N Particulars Amount (N)

1 Establishment Expenses 5,000

2 Start-up Expenses 50,000

3 Misc. Expenses 2,000

Total 57,000
5.4 WORKING CAPITAL (3 MONTHS)

S/N ITEM TOTAL VALUE (₦)

1 Raw-Material stock 150, 000
2 Semi-finished goods stock -
3 Finished goods stock
4 Sales on Credit 15, 000
5 Production Expenses -
TOTAL 165, 000
5.5 RAW MATERIAL

S/n Particulars Quality Rate (₦) Monthly value (₦) Annual

value (₦)

1 Chemicals Used GOOD - 12, 500 150, 000

5.6 UTILITIES

S/n Particulars Annual expenditure (₦) Remarks

1. Eletricity 10,00000

5.7 MAN POWER RECRUITMENT (WAGES AND SALARY)

S/N PARTICULARS NO WAGES/SALARY PER ANNUAL

MONTH (₦) EXPENSES (₦)
1 Skilled 1 10, 000 120, 000
2 Semi-skilled 8 16, 000 192, 000
3 Unskilled - - -
4 Office Staff 2 4, 000 48, 000
5 Any Other - - -
TOTAL 360, 000

5.8 REPAIR AND MAINTENANCE (Annual Requirement)

S/ PARTICULARS AMOUNT (₦)

1 Borehole (Pumping Machine) 24, 000

5.9 SELLING AND DISTRIBUTION EXPENSES

S/ PARTICULARS AMOUNT (₦) ANNUAL COST

N (₦)

1 Publicity Expenses 2, 000 24, 000

2 Vehicle Hire - -

3 Commission - -

TOTAL 2, 000 24, 000

6.0 ADMINISTRATION EXPENSES

S/N PARTICULARS AMOUNT (₦) ANNUAL COST

(₦)

1 Stationery & Printing 2, 000 24, 000

2 Post/Telephone/Telegram 500 6, 000

2, 500 30, 000

TOTAL

6.1 DEPRECIATION

S/N TYPE OF ASSET COST OF EXPECTED DEPRECIATION

ASSET(₦) LIFE

1 Mixing Tank (Big 1, 400 2 Yrs 700

Size)

2 Turning Stick 400 2 Yrs 200

3 Mixing Tank (Small 2, 100 2 Yrs 1, 050

Size)

4 Beaker 1, 000 2 Yrs 500

5 Funnel (Small Size) 350 2 Yrs 175

6 Borehole Machine 20, 000 5 Yrs 4, 000

TOTAL 6, 625

7.0 TOTAL COST OF THE PROJECT

S/ PARTICULARS TOTAL VALUE (₦)

1 Fixed Capital

(Total of item No. 5.1 &5.2) 215, 250

2 Working Capital

(Total of item No. 5.4, 5.6, 5.7, 5.8, 5.9, 6.0, &6.1) 588, 025

3 Preliminary and Pre-operative expenses

(Total of item No. 5.3) 57, 000

Total Cost of the Project 860, 275

7.1 FINANCIAL NEED

S/ PARTICULARS VALUE (₦)

1 Machinery 20, 000

2 Working Capital 600, 000

3 Others 200, 000

TOTAL 820, 000

7.2 FINANCING PLAN

S/ PARTICULARS VALUE (₦)

1 Owners’ Equity 360, 275

2 Term Loan 500, 000

3 Overdraft -

TOTAL (The total must equal to value in 7.0) 860, 275

SALE REVENUE (Usually you are expected to make projections for 3 to 5 years simply by:

Past sale + Percentage of Inflation Factor = Sale Forecast

Month Item Quantity Sold Rate per unit (₦) Sales Realization (₦)

January Liquid 1000 100 100, 000

February Liquid 600 100 60, 000

March Liquid 800 100 80, 000

April Liquid 1, 200 100 120, 000

May Liquid 1000 100 100, 000

June Liquid 400 100 40, 000

July Liquid 700 100 70, 000

August Liquid 600 100 60, 000

September Liquid 500 100 50, 000

October Liquid 1000 100 100, 000

November Liquid 1, 500 100 150, 000

December Liquid 1, 800 100 180, 000

TOTAL 11, 100 1, 110, 000

7.3 PROFITABILITY PROJECTIONS

S/ PARTICULARS AMOUNT (₦)

N 1yr 2yr 3yr 4yr 5yr

A Sales Realization 1, 110, 000

B Loss Cost of Sales:

i Raw Material 150, 000

ii Utilities

iii Salaries/Wages 360, 000

iv Repairs & Maintenance 24, 000

v Selling & Distribution Expenses 24, 000

vi Administrative Expenses 30, 000

vii Interest

viii Rent

ix Depreciation 11, 100

x Miscellaneous Expenses 2, 000

C Gross Profit/loss (A-B)

D Income Tax

E Net Profit

F Repayment

G Retained Profit