Bojol’s Apparel

‘Bojol’s Apparel’

“The Ultimate Clothing for the World to See in”

Prepared by:
Rheymarbest Enoc
Kenneth Baquero
Knavin Amonsot
John Ian Subil
Nico Hibaya

Phone:09456897082
Email: Rheymarbest_enoc1204@gmail.com
Bojol’s Apparel

Executive Summary
Opportunity
Problem
There is a growing demand for a clothing apparels during this time of
pandemic that caters the people from around Bohol through online.
Solution
Bojol’s Apparel mission is to offer quality and variety wears in an
assortment of sizes and styles to accommodate all the body types and
shapes.
Market
The goal of the Bojol’s Apparel is to serve the locals of Tagbilaran that
have difficulty finding better quality in cheaper price clothes. We will
also serve the people outside Tagbilaran through delivery.
Why us?
We are an aspiring student who are planning to becoming a central hub
of shopping activity for the locals of Tagbilaran as well others who
enjoy shopping and wearing cheap quality clothes around Bohol.

Expectations
The company will start with a two months inventory on hand apparel as
this is the main revenue generator. The majority of the assets will
reside in inventory. Opening day cash on hand balance will be P10k.
Successful operation and building a loyal customer base will allow
Bojol’s Apparel to be self-sufficient and profitable.
Bojol’s Apparel

Chart Title
₱20,000.00
₱18,000.00
₱16,000.00
₱14,000.00
₱12,000.00
₱10,000.00
₱8,000.00
₱6,000.00
₱4,000.00
₱2,000.00
₱0.00
FY2020 Fy2021 Fy2022

Revenue Expenses and Cost Net loss

Financing Needed
We need 10000 pesos to start. Anyone of the company should
contribute to start the business and at year 4 the contributors will be
paid back.
Bojol’s Apparel

Opportunity
Problem and Solution
Problem Worth Solving
There are several important needs in Bojol’s Apparel business that are
being either underserved or not met at all.
 There is need for a large assortment of sizes to compliment the
various body types and sizes of the community. This is a size
segment that is missing throughout the clothing retailers in the
city.
 There is a need of focus and attention to customer’s personal
preferences and customer retention will be given priority.
Because of high rate of returned products, customer service and
retailers has been lost.
Our Solution
Bojol’s Apparel is a new business and online business store that caters
the locals of Tagbilaran. As our name suggests our focus is to provide
quality cheap products, and position ourselves as the top apparel store
servicing this particular market.

We are not the first apparel online store in the city but our intention is
to become the central hub of shopping activity for the locals. And also
to put a mark on the mind of the locals that we have the best quality
cheap apparels.
Bojol’s Apparel

Target Market
Market Size and Segments
Market Description
The primary target customer of Bojol’s Apparel will be the locals of
Tagbilaran. As we are situated in the epicenter of their residential
community, we believe that they will make up the largest percentage of
our customer base.
The other target customers are the community of other places of Bohol
– ‘Others’. Because not only Tagbilaran people like to buy quality
cheap products, we believe that they can influence the rate of sales of
our products.

Market Segmentation
We have two particular market segments that we plan on catering to:
First, the growing number of Tagbilaran’s population is concentrated
heavily in the southwestern part of the island therefore leading to the
highest concentration of our customer base.
Second, the potential customers and is labeled as “others”. Because
Bojol’s Apparel offers a variety of clothing apparel we feel that we’ll
attract many curious shoppers. Our ambiance and customer service will
make them repeat customers.

Competition
Current Alternatives
Direct Competition:
 Branded Products
Bojol’s Apparel

 Boutique
 RTW stores
 All other Boutique Retailers
 Ukay-Ukay
 Pre-loved clothes seller
Indirect Competition:
 Accessories store
 Gloves Store
 Belt Store
 And etc.

Our Advantages
Our key advantages that make us better than the competition are:
 Carry an assortment of sizes to fit the more ample frames of the
locals, target customer base.
 Continuously review our inventory and sales to adjust our
inventory levels accordingly.
 Provide customer with top notch personalized customer service in
an atmosphere of Filipino hospitality.

Execution
Marketing and Sales
Marketing Plan
With Social Media our marketing strategy will focus heavily on sales
promotion and stable positioning in the market.
Bojol’s Apparel

We plan on maintaining a flexible pricing strategy. Most of our lines will

come with a Suggested Retail Price (SRP) that we will follow.
We will also keep an up-to-date Facebook page with regularly updated
content.
Sales Plan
We plan on implementing a 1-day return/exchange policy to build trust
with our customers and maintain retention and loyalty.

Operations
Locations and Facilities
The store can be found online through Shopee or Facebook. We are still
planning to create a physical store but at this moment we try to use
online because of the pandemic. Whenever the store be built, it will be
located at the Tamblot Street, Tabilaran City.
Equipment and Tools
We will have a website presence where fashionable customers outside
Tagbilaran can go to learn more about our store. All business deliveries
and shipments will be handled through the courier deliveries. Meet up
and pick up is also considered in our store.

Milestone Due Date

Register to BIR Nov. 25,2020
Create Fb Page Dec. 1 ,2020
Create Store Policies Dec. 1,2020
Place Inventory Dec. 1, 2020
Bojol’s Apparel

Checking the Products Dec. 2,2020

Grand Opening (Online) Dec. 3,2020

Key Metrics
Our Key Metrics for success:
Have sales keep on track of our top popular items that bring in the most
sales. We need to focus on keeping our most popular items always in
our store.
Return customers should compromise 20% of sales rising to over 50%.
We want our customers to come back for our sales and the new styles.
We can keep track of that by customer layout programs, register them
on our platform so their accounts come up whenever they purchase.

Company
Overview
Our store is a Partnership. We have five founding owners, Rheymarbest
Enoc, John Ian Subil, Knavin Amonsot, Nico Hibaya and Kenneth
Baquero.
Rheymarbest Enoc, Knavin Amonsot and Kenneth Baquero will handle
all administrative and managerial duties while John Ian Subil and Nico
Hibaya acts as a silent partner.

At the launch we will have a full-time staffer who takes care of the
customers who come in the store or visit the store. There will be a part
Bojol’s Apparel

time worker who will fill on lunches or on particularly business times.

As the need arises, we will add more possible positions later.

TEAM
Rheymarbest Enoc, Knavin Amonsot and Kenneth Baquero will be
responsible for Administrative functions, purchasing, inventory control
and promotions. They will also act as a part-time sales representative.
John Ian Subil and Nico Hibaya will just act as an assistant of the store.

FINANCIAL PLAN
Forecast
Key Assumptions
The growth of Bojol’s Apparel will be moderate and the cash balance
will always be positive. We will accept cash, checks, and all major credit
cards. We will not be selling on credit. We will continue to reinvest
residual profits into company expansion, and personnel.
Revenue by Month
Bojol’s Apparel

Chart Title
₱20,000.00
₱18,000.00
₱16,000.00
₱14,000.00
₱12,000.00
₱10,000.00
₱8,000.00
₱6,000.00
₱4,000.00
₱2,000.00
₱0.00
Dec Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov

Column2

Expenses by Month

Chart Title
₱12,000.00

₱10,000.00

₱8,000.00

₱6,000.00

₱4,000.00

₱2,000.00

₱0.00
Dec Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov

Expenses -

Net Profit (or Loss) by Year

Bojol’s Apparel

Chart Title

10000
9000
8000
7000
6000
5000
4000
3000
2000
1000
0
FY2020 Fy2021 FY2022

Financing
Use of funds
We anticipate 20000 of pre-launch startup expenses including:
 Pre-launch rent: 5000 One month of Prepaid Rent
 Pre-launch fixup: 2000. We will do most of the work ourselves
 Legal: 10000
We also need 30000 pre-launch assets:
 10000 cash on hand
 10000 inventory
 2000 other current assets
 8000 furniture, shelves etc.
Total starting costs are 50000.
Sources of Funds
Bojol’s Apparel

We will need 50000 to get this up and running. The owners will invest
10000 each in order to start this small business.

Statements
Projected Profit or Loss
FY2020 FY2021 FY2022

Revenue 10000 15500 22000

Direct Costs 5000 7750 11250
Gross Margin 5000 7750 11250
Gross Margin % 50% 50% 50%
Operating Expenses
Salaries and Wages 2000 3000 4000
Employee Related Expenses 750 1000 1500
Total Operating Expenses 2750 4000 5500

Operating Income 1500 2000 3000

Interest Incurred 1000 800 850
Depreciation and Amortization 2500 2500 2500
Gain or Loss from Sale of Assets
Income Taxes 1500 1600 1650
Total Expenses 7500 12550 18000
Net Profit 2500 2950 45000
Net Profit/Sales 25% 19% 20%
Bojol’s Apparel

Projected Balanced Sheet

Starting Balances FY2020 FY2021 FY2022
Cash 10000 20000 38000 60000
Accounts Receivable 3300 4500 7300
Inventory 10000 30500 60000 60000
Other Current Assets 2000 2000 2000 2000
Total Current Assets 22000 50700 90000 102000
Long-Term Assets 7000 7000 7000 7000
Accumulated Depreciation 0 1500 2500 3000
Total Long-Term Assets 5000 5500 4500 4000
Total Assets 27000 56200 94500 106000
Accounts Payable 10000 20000 32000 32000
Income Taxes Payable 1200 1000 1140

Sales Taxes Payable 4500 6500 6800

Short-Term Debt 2500 2900 3000 3050
Prepaid Revenue
Total Current Liabilities 12500 28600 42500 42990
Long-Term Debt 15000 12500 11000 7500
Long-Term Liabilities 15000 12500 11000 9500
Total Liabilities 27500 31100 53500 52490
Paid-In Capital 25000 25000 25000 25000
Retained Earnings 8000 8000 30000 75000
Earnings 31000 32500 33700
Total Owner’s Equity 17000 48000 85000 118700
Bojol’s Apparel

Total Liabilities & Equity 44500 79100 138500 171190

Projected Cash Flow Statement

FY2020 FY2021 FY2022

Net Cash Flow from Operations

Net Profit 31000 32500 33700
Depreciation & Amortization 2500 2500 2500
Change in Accounts Receivable 3300 1200 2800
Change in Inventory 20500 29500 0
Change in Accounts Payable 10000 12000 0
Change in Income Tax Payable 1200 200 140
Change in Sales Tax Payable 4500 2000 300
Change in Prepaid Revenue

Net Cash Flow from Operations 14500 25000 35800

Investing & Financing
Assets Purchased or Sold
Net Cash from Investing
Investments Received
Dividends & Distributions
Change in Short-Term Debt 400 100 50
Change in Long-Term Debt 2500 1500 3500

Net Cash from Financing 2100 1400 3450

Cash at beginning of Period 10000 20000 38000
Bojol’s Apparel

Net change in Cash 10000 18000 22000

Cash at End of Period 20000 38000 60000

Appendix

Profit and Loss Statement (With Monthly Detail)

FY2020 October 17 November 17 December 17

Revenue 1000 1550 2200

Direct Costs 500 775 1150
Gross Margin 500 770 1250
Gross Margin % 50% 50% 50%
Operating Expenses
Salaries and Wages 2000 3000 4000
Employee Related Expenses 750 1000 1500
Total Operating Expenses 2750 4000 5500

Operating Income 1500 2000 3000

Interest Incurred 1000 800 850
Depreciation and Amortization 200 250 250
Gain or Loss from Sale of Assets
Income Taxes 150 160 160
Total Expenses 750 1250 1800
Net Profit 2500 2950 4500
Net Profit/Sales 25% 19% 20%

Profit and Loss Statement (Annual Detail)

Bojol’s Apparel

FY2020 FY2021 FY2022

Revenue 10000 15500 22000

Direct Costs 5000 7750 11250
Gross Margin 5000 7750 11250
Gross Margin % 50% 50% 50%
Operating Expenses
Salaries and Wages 2000 3000 4000
Employee Related Expenses 750 1000 1500
Total Operating Expenses 2750 4000 5500

Operating Income 1500 2000 3000

Interest Incurred 1000 800 850
Depreciation and Amortization 2500 2500 2500
Gain or Loss from Sale of Assets
Income Taxes 1500 1600 1650
Total Expenses 7500 12550 18000
Net Profit 2500 2950 45000
Net Profit/Sales 25% 19% 20%

Balance Sheet (With Monthly Detail)

Bojol’s Apparel

Mar
FY2018
Apr '17 May '17 Jun '17 Jul '17 Aug '17 Sep '17 Oct
'17 Nov '17 Dec '17 Jan '18 Feb '18

Cash

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Total Current Assets

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Total Assets

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Total Current Liabilities

Long-Term Debt

Total Liabilities

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Total Owner's Equity

Total Liabilities & Equity

Balance Sheet (Annual Detail)

Starting Balances FY2020 FY2021 FY2022

Cash 10000 20000 38000 60000
Accounts Receivable 3300 4500 7300
Inventory 10000 30500 60000 60000
Other Current Assets 2000 2000 2000 2000
Total Current Assets 22000 50700 90000 102000
Long-Term Assets 7000 7000 7000 7000
Accumulated Depreciation 0 1500 2500 3000
Total Long-Term Assets 5000 5500 4500 4000
Total Assets 27000 56200 94500 106000
Accounts Payable 10000 20000 32000 32000
Income Taxes Payable 1200 1000 1140

Sales Taxes Payable 4500 6500 6800

Short-Term Debt 2500 2900 3000 3050
Bojol’s Apparel

Prepaid Revenue
Total Current Liabilities 12500 28600 42500 42990
Long-Term Debt 15000 12500 11000 7500
Long-Term Liabilities 15000 12500 11000 9500
Total Liabilities 27500 31100 53500 52490
Paid-In Capital 25000 25000 25000 25000
Retained Earnings 8000 8000 30000 75000
Earnings 31000 32500 33700
Total Owner’s Equity 17000 48000 85000 118700
Total Liabilities & Equity 44500 79100 138500 171190

Cash Flow Statement (With Monthly Detail)

FY2020 October 17 November 17 December 17

Net Cash Flow from Operations

Net Profit 2583 3012 2700
Depreciation & Amortization 500 500 500
Change in Accounts Receivable 330 100 200
Change in Inventory 2050 2950 0
Change in Accounts Payable 1000 1200 0
Change in Income Tax Payable 1200 200 140
Change in Sales Tax Payable 400 200 300
Change in Prepaid Revenue

Net Cash Flow from Operations 1500 2000 3800

Bojol’s Apparel

Investing & Financing

Assets Purchased or Sold
Net Cash from Investing
Investments Received
Dividends & Distributions
Change in Short-Term Debt 400 100 50
Change in Long-Term Debt 2500 1500 3500

Net Cash from Financing 2100 1400 3450

Cash at beginning of Period 10000 20000 38000
Net change in Cash 10000 18000 22000
Cash at End of Period 20000 38000 60000

Net Profit

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Bojol’s Apparel

Cash Flow Statement (Annual Detail)

FY2020 FY2021 FY2022

Net Cash Flow from Operations

Net Profit 31000 32500 33700
Depreciation & Amortization 2500 2500 2500
Change in Accounts Receivable 3300 1200 2800
Change in Inventory 20500 29500 0
Change in Accounts Payable 10000 12000 0
Change in Income Tax Payable 1200 200 140
Change in Sales Tax Payable 4500 2000 300
Change in Prepaid Revenue

Net Cash Flow from Operations 14500 25000 35800

Investing & Financing
Assets Purchased or Sold
Net Cash from Investing
Investments Received
Dividends & Distributions
Change in Short-Term Debt 400 100 50
Change in Long-Term Debt 2500 1500 3500

Net Cash from Financing 2100 1400 3450

Cash at beginning of Period 10000 20000 38000