STAR POPCORN

A Business Plan

Presented to

The faculty of the Senior High School Department

Davao City National High School

Davao City

In partial Fulfillment

Of the Requirement for the

Entrepreneurship

1st Semester/ 2nd Term/ S.Y. 2016-2017

By

Bacor, Archie

Digal, Zabdiel

Etorma, April Ella Mae

Matuguina, Juvy Mae

Pedrosa, Noilene

Rivera, Cherry
 October 2016

ACKNOWLEDGEMENT

This Business Plan will not be possible without the help, guidance and trust of
the following:

To Mrs. Leonor Castolo, our teacher, who shared her knowledge about
Entrepreneurship and guide us throughout the whole week of making this Business
Plan.

To our parents for the financial and moral support. They were the one who inspired us
to do our best for this business plan and encouraged us to never give up.

To our beloved Almighty Father, our Lord God, for giving strength and guidance, for
keeping us safe, and for giving us happiness in times of problem.

We sincerely acknowledge them all because without them, this business wouldn’t
be successful. We are very grateful of the help they have given that led us to attain this
accomplishment.
 DEDICATION

”We dedicate this Business Plan to our parents who are very supportive with our
Business Plan and help us through the ups and down.

To our teacher, for the patience that she gave us upon teaching us on how to make this
possible.

And lastly, to our Almighty God who gave us the knowledge, wisdom and strength that
helped us finish this Business Plan”
 TABLE OF CONTENTS

I. EXECUTIVE SUMMARY------------------------------------------------------- 1
II. BUSINESS GROUND ----------------------------------------------------------- 2
A. Name of the Enterprise 2
B. Brief Description of the Entrepreneur 2
C. Projects Contribution of the Economy 2
III. PRODUCT ------------------------------------------------------------------------- 3
A. Description of the Product 3
B. Comparison to its Competitors 3
C. Competitors 3
D. Target Market 3
IV. MARKETING PLAN ------------------------------------------------------------- 4
A. Demand Analysis 4
B. Supply Analysis 4
C. Future Supply Analysis 4
D. Market Share 5
E. Marketing Program 5
a. Selling and Pricing Strategy 5
b. Costing of Raw Materials 6
c. Selling Price 8
d. Marketing Strategy 8
V. MANAGEMENT PLAN --------------------------------------------------------- 9
A. Business Plan 9
B. Forms of Ownership 9
C. Organizational Chart 9
D. Jobs Description 10
E. Jobs Qualification 12
F. Gantt Chart 14
VI. TECHNICAL PLAN -------------------------------------------------------------- 15
A. Work Flow Diagram 15
B. Vicinity Map 18
C. Plant Lay-out 18
D. Equipment and Supplies Need 19
 a. Equipment 19
b. Operating Supplies 19
c. Office Supplies 19
d. Raw Materials Requirement 20
e. Waste Disposal Method 20

VII. FINANCIAL PLAN --------------------------------------------------------------- 21

A. Statement of Assumption 21
B. Total Projected Cost 22
C. Financers 22
D. Financial Statement
a. Income Statement 23
b. Operating Expense 23
c. Projected Cash Flow 24
d. Projected Balance Sheet 24
E. Financial Analysis
a. Gross/Profit Analysis 24
b. Net Profit Margin 25
c. Return on Assets 25
d. Return on Investment 25
e. Payback Period 25
VIII. CONCLUSION -------------------------------------------------------------------- 26
A. Appendixes 27
 LIST OF TABLES

1. Demand analysis ----------------------------------------------------------------------- 4

2. Supply Analysis ------------------------------------------------------------------------- 4
3. Future Supply Analysis --------------------------------------------------------------- 5
Costing of Raw Materials
4. … ------------------------------------------------------------------------------------------- 6
5. … ------------------------------------------------------------------------------------------- 6
6. … ------------------------------------------------------------------------------------------- 7
7. .. -------------------------------------------------------------------------------------------- 7
8. Daily Production Volume ------------------------------------------------------------- 7
9. Selling Price ----------------------------------------------------------------------------- 8
10. Gantt Chart ------------------------------------------------------------------------------ 14
11. Equipment ------------------------------------------------------------------------------- 19
12. Operating Supplies -------------------------------------------------------------------- 19
13. Office Supply ---------------------------------------------------------------------------- 29
14. Total Projected Cost ------------------------------------------------------------------- 22
15. Income Statement ---------------------------------------------------------------------- 23
16. Administrative and Operating Expense ------------------------------------------- 23
17. Projected Cash Flow ------------------------------------------------------------------ 24
18. Projected Balance Sheet ------------------------------------------------------------- 24
19. Gross Profit Margin -------------------------------------------------------------------- 24
20. Net Profit Margin ----------------------------------------------------------------------- 25
21. Return on Asset ------------------------------------------------------------------------ 25
22. Return on Investment ----------------------------------------------------------------- 25
23. Payback Period ------------------------------------------------------------------------- 25

LIST OF FIGURE

1. Organizational Chart ------------------------------------------------------------------ 9

2. Work Flow Diagram ------------------------------------------------------------------- 15
3. Vicinity Map ------------------------------------------------------------------------------ 18
4. Plant Lay-out ---------------------------------------------------------------------------- 18
 I. EXECUTIVE SUMMARY

Star Popcorn is a newly-build business where it can compete to other great

Popcorn business. Star Popcorn aims to capture the attention of the economy. This
Business Plan aims to research and find out ways on constructing the business
where its capability to attract customers will enhance and make the business run for
a long time. Star Popcorn is a popcorn house that aims to fulfill the hunger and
craving of the customers by giving them delicious popcorns. Star Popcorn is where
customers can discover the different flavors of Popcorns.

This Popcorn stall is not like any other Popcorn store. It will never stop creating
and finding new flavors that could be a hit to the economy making its name and
gathering more customers throughout Davao City and the whole Philippines.
 II. BUSINESS BACKGROUND

A. Name of the Enterprise

Star Popcorn is a popcorn stall that aims to satisfy the customer’s craving by
offering them different flavors of delicious Popcorns. It was named by the entrepreneur
as “Star Popcorn” because this popcorn is the star among the other popcorns. This is
aunique kind ofpopcorn and stand out among the other popcorns of the competitors.
Star Popcorn has a lot of flavors that can surely fulfill the craving customers. This is not
just an ordinary popcorn store; families and friends are not just here to eat but also to
bond and gain happy memories. The business is located inside the Gaisano mall of
Davao, J.P. Laurel Avenue, Davao City, Davao del Sur.

B. Brief Profile of the Entrepreneurs

ZabdielDigal is a student of Davao City National High School who is currently a

grade 11 students taking up Humanities and Social Science strand under the Academic
track. He is just a teenager who believesthat “In order to succeed, your desire for
Success should be greater than your fear of Failure”. He is a passionate student and
never let his fear to win instead he used it as a motivation to accomplish the success he
have been aiming for. His goal is to become successful as a person, as a daughter/son
to their parents and to our Almighty God.

C. Projects Contribution to the Economy

Star Popcorn contributes to the Economy by giving jobs to those people who
needs it. It also contributes to the government by paying tax that will surely help the
economy’s status of the Philippines.
 III. PRODUCT

A. Description of the Product

Star Popcorn offers different flavors of popcorns from cheese, barbeque and
garlic. This popcorn is made with satisfactory and well calculated measures to make
very delicious popcorns that will surely satisfy the customers taste.

B. Comparison to its Competitors

Competitors are those businesses who are in the same line of market. So in
order to surpass those competitors, Star Popcorn will produce the best qualities of
popcorns.

C. Competitors

There is only one competitor within the vicinity and that is the Kettle corn located
inside the Gaisano mall of Davao, J.P. Laurel Avenue, Davao City, Davao del Sur.

D. Target Market

The target market are the tourists and locals who droped by to shop and unwind,
and the people living in Davao City.
 IV. MARKETING PLAN

A. Demand Analysis
Table 1
STAR POPCORN
QUANTITY DEMAND FOR THE PAST THREE YEARS
YEAR Gaisano Mall of Davao Qty. Demand Average
of 10 per person/year
2013 84,301 843,010
2014 91,210 912,100
2015 86,143 861,430
Source:

B. Supply Analysis
Table 2
QUANTITY SUPPLIED FOR THE PAST THREE YEARS
YEAR Qty. Supplied Average of 50% per
Annual Demand
2013 845,763
2014 743,235
2015 819,803

C. Future Supply Analysis

Table 3
STAR POPCORN
QUANTITY OF DEMAND FOR FUTURE THREE YEARS
YEAR Gaisano Mall of Davao Qty. Demand Average
of 10 per person/year
2017 91,890 918,900
2018 90,123 901,230
2019 91,923 919,230

QUANTITY OF SUPPLY FOR FUTURE THREE YEARS

YEAR Qty. Demand Average of 50% per
Annual Demand
2017 912,009
2018 912,905
2019 911,290
D. Market Share
Even we have competitors Star Popcorn still can capture an initial
market share of 1% on the first year, 2% increase on the second year, 3%
on the third year of operation and still increasing in each year.

E. Marketing Program
a. Selling and Pricing Strategy
Star Popcorn offers different flavors of popcorns with a incredible
low price. Our tools and materials are constantly washed and
sterilize to assure you that our products are clean and safe.

b. Costing Raw Materials

CHEESE POPCORN
Table 4
Quantity Unit Description Unit Cost Total Cost
400g Cheese Php 50.00 Php 50.00
800g Corn seed Php 100.00 Php 100.00
¼ kilo Oil Php 12.50 Php 50,00
¼ kilo Salt Php 3.00 Php 12.00
50 pcs. Packaging Php 20.00 Php. 20.00
10 bond papers Print Php 5.00 Php 50.00
TOTAL:Php 282.00

GARLIC POPCORN
Table 5
Quantity Unit Description Unit Cost Total Cost
400g Garlic Php 60.00 Php 60.00
800g Corn seed Php 100.00 Php 100.00
¼ kilo Oil Php 12.50 Php 50.00
¼ kilo Salt Php 3.00 Php 12.00
50 pcs. Packaging Php 20.00 Php. 20.00
10 bond papers Print Php 5.00 Php 50.00
TOTAL: Php 292.00
 BARBEQUE POPCORN
Table 7
Quantity Unit Description Unit Cost Total Cost
400g Barbeque Php 60.00 Php 60.00
800g Corn seed Php 100.00 Php 100.00
¼ kilo Oil Php 50,00 Php 12.50
¼ kilo Salt Php 12.00 Php 3.00
50 pcs. Packaging Php 20.00 Php. 20.00
10 bond papers Print Php 5.00 Php 50.00
TOTAL:Php 292.00

c. Selling Price
Table 9
 V. MANAGEMENT PLAN

A. Business Name

The business shall be registerd as Star Popcorn and located inside the Gaisano
mall of Davao, J.P. Laurel Avenue, Davao Ciy, Davodel Sur. The contact person of the
said business is ZAbdielDigal. The customers can contact him through mobile number
09233541112(sun), 090546660281(globe0, or through facebook “Star
Popcorn(Davao)”.

B. Form of Ownership

Star Popcorn is under Sole-Proprietorship. The business shall be registered at

the department of trade and industry.

C. Organizational Chart

D. Jobs Description

Manager

 Controls the entire business operation

 Liable of keeping things organized and defined
 Manages pastry making and baking, suggests changes to inventory and
pricing and purchases supplies when needed.
 Monitors quality of goods and service
 Familiar with a variety of the fields concepts, practices and procedures.
 Performs a variety of tasks. Leads and directs the work of others.
Cook

 Controls the entire kitchen

 Keeps the working area in good sanitary order
 Cooks the items and have them ready in time for every 6 hours a day.
 Follows the procedure on a consistent basis to keep the quality and good
cost constant.
 Be an important part of the team that will make this operation a success.

Purchaser

 Responsible of attaining all high quality raw materials needed.

 Keeps track of the raw material so that there won’t be any shortage
 Task of knowing the prices and the availability of the high quality raw
materials.

Treasurer

 Records all of the financial transaction of Star Popcorn.

 Organizes and presents all the transactions of the business.
 Keeps an eye on the flow of money and the growth of the business.

Auditor

 Must inspect, calculate and authenticate all of the business’s financial

accounts and financial statements.
 Commends the possible cost savings and risk aversion measures.
 Helps the business flourish and help achieve the business’s goals.

E. Jobs qualifications

Manager
  Must have the capability of handling all of the tasks in order to attain the
maximum capability of the business.
 Dedicated enough to sacrifice his/her time in helping to develop the
business’s image and reputation.
 Must have great managerial, leadership and social skills.

Cook

 Have an exceptional skills in cooking popcorn

 Familiarity with cooking equipment
 Reliability and flexibility in working hours
 Must love popcorns
 Loyal and honest to the business and also must be emotionally, physically
and mentally fit.

Purchaser

 Must have good communication skills

 Must be street-smart and flexible
 It is a duty to thoroughly canvass all possible store for purchase in raw
materials needed in production.
 Must be loyal to the business, honest and fit on emotion, physical and
mental characteristics.

Treasurer

 It is required to possess basic accounting skills.

 Must be effective in recording accounts and transactions of the business.
 Must be precise and cautious in dealing and computing the transactions
since it involves money.
 Must be loyal and honest to the company and fit on emotion, physical and
mental aspects.

Auditor

 It is required to possess basic accounting skills.

 Must have the ability of checking the financial accounts and statement of
the business
  It is a requirement to know all the responsibility that an auditor must hold.
 Loyal and honest to the business and also must be emotionally, physically
and mentally fit.

Critical Time Table of Completion of Jobs (in months)

Activities

1. Business Plan
Making
2. Construction of the
establishment
3. Procurement of
permits and
licenses
4. Purchase
equipment needed
5. Install equipment
needed for cooking
6. Purchase operating
and office supply
7. Open books of
Account
8. Hiring of
employees
9. Orientation of the
workers
10.Full Marketing
Operation
F. Gantt Chart of Pre-opening Activities

Table 10

A Gantt chart is an organized chart to show the following steps that the
Entrepreneur took a monthly basis for the business to be established. In the first two
months, Star Popcorn will do the Business Plan research. After the Business Plan, a
three-month construction will begin making the establishment of Star Popcorn. During
the constructing, Star Popcorn will procure permits and license needed to start the
business and purchases of equipment will occur. On the 6th month, installing of
equipment, purchases of operating and office supply and opening of book of Account
will take place. Scheduled on the 7th month, hiring and orientation of the new employees
will take place. And finally, during the last remaining months a full grand opening of the
business will transpire.
 VI. TECHNICAL PLAN
A. Work Flow Diagram
STEP 1

Purchasing raw materials

Production process

The process of making popcorns is set up in each particular steps:

Step 1: Purchasing raw materials

Buying the raw materials such as; corn seeds, cheese powder, barbeque
powder, garlic powder, salt, cooking oil and other raw materials.

Step 2: Preparing materials needed:

Preparing the necessary materials and ingredients needed to make popcorn.

Step 3: Cooking the Popcorn

Pour 1 tbsp. of cooking oil then put the corn seed after 1 minute.

Step 4: Mixing

Mix the Popcorn with their assigned flavors (cheese, garlic or barbeque) by
shaking it in a Tupperware.

Step 5: Packaging
 After mixing, put the popcorn inside the packaging and pour a little amount of salt
before sealing.

B. Vicinity Map
 C. Plant Lay-Out

Figure 4

The figure shows the layout of the Star Popcorn Stall. The place is isn’t that big and it is
because the entrepreneur want it to look like a stall where customers can’t dine in and
eat, instead, they’ll just take out and eat it while strolling around the mall.
 C. Equipment, Utensils, and Supplies needed

a. Equipment

Table 11

Particulars Quantity Total Salvage Net Estimated Annual

Acquisition Value Book Life Span Depreciation
Cost (10%) Value (years) Cost
Frying Pan 1 unit Donation
Tupperware 3 pieces Php 1200 Php 120 Php 5 years Php 216
1,080
Gas Stove 1 unit Donation
Shellane 60 units Php 60,000 Php Php 5 years Php 1,080
6,000 5,400
TOTAL: Php 61,200 Php6,120 Php6,480 Php 1,296

B. Operating Supplies
Table 12
Quantity Unit Description Unit Cost Total Cost
2 pcs. Hairnet Php 25 Php 50
2 pcs. Apron Php 50 Php 100
2 pcs. Gloves Php 40 Php 80
3 pcs. Scooper Php 20 Php 60
TOTAL:
C. Office Supplies
Quantity Unit Description Unit Cost Total Cost
2 pcs. Ballpen Donated
2 pcs. Record book Php 35 Php 70
1 pcs. Scientific calculator Php300 Php 300
TOTAL: Php 335 Php 370

D. Raw Materials Requirement

All the basic needs in cooking popcorn such as oil and etc.

E. Waste Disposal Method

In Star Popcorn, the waste disposal management is segregation between
biodegradable, non0biodegradable and plastic. The establishment will use three
garbage bags for the proper segregation to happen. Star Popcorn is trying their
best to keep the business and at the same time, maintain the cleanliness of the
surroundings.
VII. FINANCIAL PLAN