Feasibility Chicken Patties
Feasibility Chicken Patties
Feasibility Chicken Patties
Chapter I Executive Summary The business enterprise is a new venture and will be implemented in the future. It is a sole proprietorship form of business organization. Owned and managed by the proprietor himself but he is helped by her two assistants. It will be established and will start its operations at downtown of San Jose, Malilipot, Albay.
The enterprise will be a small-scale business enterprise which will provide a pleasant and convenient store for the costumers who will patronize our product. PJ Patties Shop owned by the owner himself, who build his business at San Jose, Malilipot, Albay. The business offers a unique taste of patty which will serve as an alternative instead of different basic foods such as rice, it is best supplement to lessen too much carbohydrates.
The business is entirely new, does not know or have any experience and people who manages it are all first-timers in the field of business but they assure that will achieve the goals and objectives of the business.
MISION
To excel in sales and distribution of chicken patties using a carefully devised marketing program towards local competitiveness.
To provide a lower cost and palatable tastes of patties new products. To provide a nutritious supplement for any other foods.
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OBJECTIVE PJ Patties Shop is able to create a unique marketing strategy to the market and to maintain market sustainability in order to meet competitive challenge and overcome market barriers.
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PJ Patties Shop is own and manage by __________________the owner and general manager of the business.
Legal Business Description: Sole Proprietorship i. Form of business organization: The proposed business is in the form of sole proprietorship. It will easily manage and operate by one individual. On the other hand, we could not easily operate our business without the help of prospective employees with high potential business establishment.
In sole proprietorship, the main owner shall be liable from all phases in the company either shortages or surplus of the capital.
ii.
Licensing and other requirements for setting up the business In putting up PJ Patties Shop there have several permits that the owner needs to
get. The owner need to comply and accomplish all the permits as requirements to make the business legal and they are the following:
PJ Patties Shop
List of owner:
Jeffrey C. Paras
Management Team
Organizational Structure Below is the organizational chart which describes in a capsule form the flow of authority from the manager to her assistants:
General Manager
1st Assistant
2nd Assistant
PJ Patties Shop
Job Description and Specification Below are the job descriptions which describe the function of the people involved in the operation of the business: A. OWNER and GENERAL MANAGER 1. Overall in-charge of the business and engages in the management aspects of the enterprise; 2. Primarily responsible in the financial aspects of the enterprise; 3. Prepares the financial statements at the end of every 6 months from the start of operations; 4. Does the overall inventory of raw materials as well as the inventory of finished products; 5. Washes the kitchen utensils used before leaving the workplace; 6. Keeps an inventory of finished products on a daily basis; 7. Assists in the sale of finished products.
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A. OWNER AND GENERAL MANAGER 1. Knowledgeable in the operation and management of a sole proprietorship enterprise; 2. Must have an excellent sales talk ability; 3. Must be confident and optimistic; 4. Must know basic accounting and bookkeeping; 5. A graduate of business related courses; 6. At least 18-35 years old.
B) FIRST ASSISTANT 1.Must be hardworking; 2. Must be willing to work under pressure; 3. Must be flexible at all times; 4. Must have knowledge in making simple reports; 5. Must know how to communicate in English and the local dialect; 6. Must be physically fit; 7. Must have pleasing personality; 8. Must have knowledge in inventory reporting; 9. Must be a graduate of any business course; 10. Can adapt to quality standard.
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Compensation of the officers and staffs: Employee Description General Manager 1 Assistant 2nd Assistant
st
No. of Workers 1 1 1
Every employee will avail the benefits that the manager will offer as long as they will perform their job well. They will be having health care and fringe benefits.
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PRODUCTS DESCRIPTION The product is called Chicken Patties. It is basically a patty made of chicken as a special filling inside the crust. The standard size of each patty is 4 inches long, 3 inches wide and inch thick. It is C shaped in appearance with crust at the outside and inside is cooked curry chicken as filling. The introductory selling price is 10 per patty.
Chicken meat is one of the most efficient sources of protein for human consumption.
The crust will be kept intact to maintain its freshness and protect them from the outside environment. The proponent will use paper pouch intended for the items. And the product will be wrapped into a thin sheet of compacted paper.
PJ Patties Shop
Specific Target Market The product is best as heavy meal substitute. A piece of patty is already
equivalent to a heavy meal like lunch or dinner. The crust is a substitute for rice as a source of carbohydrates. The chicken filling is equivalent for a dish. One needs cold water or beverage to complete his/her meal.
The specific target market of this product is all those belonging to the community members are expected to be regular customers. Childrens who go to school are the first targets.
CUSTOMER PROFILE Regular customers of Tasty Patties are those who are able and willing to exchange
their money for a nutritious and delicious food. These customers likewise are seekers of good nutrition and maintain a healthy and balanced diet. They belong to all genders, and special targets are also travellers, visitors and tourists.
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1. Development of substitute products; 2. Threat of new entrants with similar or same products; 3. Governments policies; 4. Development and innovation in technology; 5. Sources and cost of production; 6. The dynamic setting of environment.
Risk and Solution The strengths of the enterprise are the following: 1. It is a sole proprietorship, hence it is easy to manage and operate; 2. Introduction of an entirely new and unique product; 3. The business enterprise has no existing direct competitors that produces and sells the same product.
In spite of the optimism in the establishment of this enterprise, the business however, recognizes and accepts the following constraints in its success and prosperity:
1. The enterprise may run short of sufficient capital; 2. The raw materials used in the production may also suffer high inflation rate; 3. Competitors may abound and create strategies better than that of Tastee Patties; 4. The distribution channel may become obsolete in the following years of operation
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Most of the ventures that opened were bakeries, computer shops, canteen, eatery and sari-sari stores. The canteens and eateries offer cooked food which residents, and students buy good for a snacks or a heavy meal.
The enterprises will also take an opportunity on the frequent closure of sari-sari stores located on the community. Such closure will enable the enterprise to cater the specific market segment such stores.
Distribution Channel Originally, the channel of distribution for the product is through retailing. However, the enterprise sought alternative channels to ensure a greater market share. The alternative channels are:
The alternative channel of distribution the products to the market have a relative importance in the following sense:
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Pricing and Pricing Policy 1pc of chicken patty is 15 dozen is 85 1 dozen is 170
Purchase price of flour (soft wheat flour) is 30 pesos per kilo; Purchase price of chicken is 120 pesos per kilo; Conversion is 30 pieces of patty per kilo of flour; Ratio of chicken to flour is 2:3;
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Description Freezer Gas Range LPG Cooking spoon Regular Kitchen Knife Chopping Knife Chopping Board Kitchen Knife Kitchen Scale Kitchen Trays TOTAL
Cost 12,000.00 3,000.00 600.00 30.00 20.00 20.00 50.00 20.00 400.00 50.00
Total 12,000.00 3,000.00 600.00 30.00 20.00 20.00 50.00 20.00 400.00 150.00 P16,290.00
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Quantity/Unit(s) 1 6 1
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GENERAL MANAGER
C. R
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PJ Patties Shop
Residential
Vulcanizing Shop
To Datag
Residential
Waiting Shed
To Legazpi
To Tabaco
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Machineries and Equipment Description Freezer Gas Range LPG Cooking spoon Regular Kitchen Knife Chopping Knife Chopping Board Kitchen Knife Kitchen Scale Kitchen Trays TOTAL Quantity 1 unit 1 unit 11 kgs. 1 1 1 1 1 1 3 Cost 12,000.00 3,000.00 600.00 30.00 20.00 20.00 50.00 20.00 400.00 50.00 Total 12,000.00 3,000.00 600.00 30.00 20.00 20.00 50.00 20.00 400.00 150.00 P16,290.00
3,258.00
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Permit and licences Description Business Permit DTI Permit BIR Permit Barangay clearance Mayors Permit Total Annually 1,000.00 500.00 300.00 100.00 500.00 2,400.00
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Advertising and Promotion Kinds of Advertisement Flyers Tarpaulin Quantity 1 box (1000pcs) 2 Cost 500.00 250.00 Annual 500.00 500.00 1,000.00
Utility Expense Description Electric Bill Water bill Monthly 800.00 200.00 P1,000.00 Annual 9,600.00 2,400.00 12,000.00
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Unit Cost
P10.00/piece 100
Daily
1,000.00
Monthly
3,000 30,000.00
Annually
36,000 360,000.00
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A.FIXED ASSET Machineries and Equipment Furniture and Fixtures 16,290.00 2,720.00
B.OPERATING EXPENSE Raw materials Rent Expense Salary Expense Benefits Expense Advertising and Promotion Utility Expense Permit and Licenses 13,900.00 2,000.00 8,000.00 650.00 1,000.00 1,000.00 2,400.00 P 47,960.00 C. CONTINGENCY ALLOWANCE (10%) TOTAL 4,796.00 P 52,756.00
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Sales (Net)
360,000.00
Less: Operating Expenses Raw Materials Advertising and Promotions Utilities Salaries Benefit Expense Rent Expense Permit & Licenses Add: Contingency 10% Depreciation - Machineries & Equip Furniture & Fixtures Net Income before Tax Less: Income Tax (12%) Net Income after Tax 4,968.24 36,433.76 166,800.00 1,000.00 12,000.00 96,000.00 7,800.00 24,000.00 2,400.00 4,796.00 3,258.00 544.00 318,598.00 41,402.00
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Total Cash Outflow Machineries and Equipment Furniture and Fixtures Raw Materials Advertising and Promotions Utilities Salaries Benefit Expense Rent Expense Permit & Licenses Contingency Total Cash Balance, End 16,290.00 2,720.00 166,800.00 1,000.00 12,000.00 96,000.00 7,800.00 24,000.00 2,400.00 4,796.00
407,960.00
333,806.00 74,154.00
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Liabilities and Owners Equity Capital Tax Payable Net Income 47,960.00 4,968.24 36,433.76
89,362.00
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ROI
.76 x 100%
76%
PAYBACK PERIOD
47,960.00 36,433.76
1.31 X 12
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