"BAMA Gaufre" 2 -

1 | P a g e
Introduction
Waffle has been introduced during 14th to 16th century, and it has been
known to be a household snack or a light meal to those people who are in a
hurry. In the Western Countries, such as United States of America, they consider
waffle as a breakfast meal which pairs with a maple syrup and fruit juice or black
coffee. Now, in today’s generation, waffle has evolved itself by not just only a
household food but into a more marketable business such as the world renowned
Belgian Waffle and the Philippines’ Waffle Time. Waffle, a classic yet renowned
snack has not only fed up the Western countries but the entire world already with
different variations and twist. In our group, this snack will be laid with a little twist
from its original concept and will be known as the “BAMA Gaufre”.
BAMA Gaufre (pronounced as “goof”) is a derivation of two main raw
materials of the product. The Banana and Mango which the name BAMA came
from and the first two letters of the fruit was combined to become the word
“BAMA”. On the other hand, Gaufre is a French word which means Waffle in
which French is one of the three main languages the country of Belgium uses
that is said to be the origin of Waffle.
The concept of BAMA Gaufre, is to use Waffle recipe which is the culprit
why the snack is a heavy meal since it uses ingredients similar into making waffle
which is prepared through waffle iron. However, the BAMA Gaufre will not be
cooked into a Waffle Iron which is should be done when cooking waffles but in
our case, it will be steamed. Moreover, the BAMA Gaufre will be a more

innovative product using the abundance of our local crops here in the Philippines
2 | P a g e
most especially in Mindanao.
Being one of the largest exporters of Banana and Mangos in Asia, our
product is pertinent for this. In a tropical country, such as ours
(http://www.hobotraveler.com/tropical/list-of-tropical-countries.php), these fruits
are not any more seasonal yet a whole year round crop which is available in
every farm. Ripe Mangoes and Banana will serve as the filling of the product thus
making it as “BAMA Gaufre”. By the name itself, it would somehow generate
curiosity to the consumer because the name is peculiar.
Our proposed product, the BAMA Gaufre, which the local ingredients are
abundant with a reasonable price, will help our local farmer who produce
mangoes and bananas and would somehow improve their economic situation.
Furthermore, our product offers a healthy option to students that are still within
their budget.

3 | P a g e
CONCEPTUAL FRAMEWORK
MARKET
ANALYSIS
TECHNICAL
ASPECT
FINANCIAL
ASPECT
MANAGEMENT
ASPECT
SOCIO-ECONOMIC
BENEFIT
Description
and Outlook
Size of the
Industry
Target
Market
Market
Segmentation
Marketing and
Sales Activities
Detailed
Product
Competition
The Product
Product
Process
Machinery and
Equipment
Structures
Raw
Materials
Details of Financial
Assumption
Initial Capital
Requirement
Cost & Expense
Schedule
Projected
Financial Aspect
Financial
Ratios
Management
Staff Structure
Key Manager
Legal Structure
of the Program
Owners
Socio-
Desirability
Contribution to
Income &
Employment
Socio-Economic
Benefit
Plant
Location
Plant Size and
Production
Plant
Layout

4 | P a g e
STATEMENT OF THE PROBLEM
In business environment, determining the competent condition of your product is
very important. This is to know the possible condition of your product in the
middle of the business operation as compared with the any other possible
competitor.
These are the following problems will be considered in taking this feasibility
study.
1. What is the marketing feasibility of the project considering the following:
a) Description and outlook of the industry
b) Size of the Industry
c) Target Market
d) Market Segmentation and Presentation
e) Marketing and Sales Activities
f) Competition
2. What is the technical feasibility of the proposed business considering the
following:
a) The Product
b) Production
c) Machinery and Equipment
d) Plant Size and Production Schedule
e) Plant Location
3. What is the financial feasibility of the proposed business considering the
following:

5 | P a g e
a) Details of Financial Assumptions
b) Initial Capital Requirements
c) Projected Financial Statements
d) Financial Ratios
4. What is the management feasibility of the proposed business considering
the following:
a) Management Staff Structure
b) Key Managers and Personnel
c) Legal Structure of the Program
d) Owners
5. What is the socio-economic benefit of the feasibility of the proposed
business considering the following:
a) Social Desirability
b) Contribution to Income and Employment
c) Tax Contribution

6 | P a g e
Chapter 2
Market Analysis
This chapter will discuss the description and outlook of the industry, size
of the industry, target market, market segmentation and presentation, market
sales and activities and detailed production and competition.
Description and Outlook of the Industry
Waffle, being one of the most known breakfast meal in Western Countries
such as the United States of America and Europe has been around during the
Medieval Age. This snack has already set its name in every corner of the world.
In these countries, waffle is usually enjoyed during breakfast coupled with a
maple syrup and fruit juice or coffee. Moreover, waffle nowadays comes with
diverse taste and variations depending on the culture where it is being sold.
Here in the Philippines, waffle has become one of the famous snacks
which are commonly seen in schools and malls. For instance, the Philippine’s
Waffle Time has set its name in the market popping out like mushroom in key
cities here in the Philippines. Earlier this year, the Famous Belgian Waffle had
also invaded Cagayan de Oro as one of their market, setting one of their prime
branches at Limketkai Mall and satellite locations in Centrio and SM.
Entrepreneurs tend to open up a franchise business in waffle industry
where urbanization and economic growth is augmenting thus making their
product more profitable. Moreover, Waffle is following global development

creating a scene in the market of Cagayan de Oro city making it as waffle frontier
7 | P a g e
in the next few years.
Size of Industry
Waffle Time and the Famous Belgian Waffle is the two major waffle seller
here in the city that is widely scattered in key economic areas such as the malls
and schools. Having been able to satisfy the customer’s taste buds, these two
waffle seller had undisputedly set their pedestal in the market. On the other hand,
by launching our BAMA Gaufre (which is steamed and has a fruit filling) is also
affordable in the marketplace will give the customers a new innovative product to
enjoy and a healthier snack. Our prime target markets are the students of Capitol
University having a population of 4,975.
In Cagayan de Oro city alone, there are more than fifteen waffle outlets.
Although our product is new because it’s different on its original concept, the
taste of BAMA Gaufre is surely Pinoy that is diverse from other present products.
SUMMARY OF RESPONDENTS
Market Segment
Total Number of
Respondents
Percentage
Arts and Sciences 5 1.35%
Business Administration 69 18.65%
Computer Science 19 5.14%
Criminology 31 8.38%
Education 49 13.23%

Engineering 24 6.49%
Maritime Education 139 37.56%
Nursing and Midwifery 34 9.2%
TOTAL 370 100%
8 | P a g e
MARKET SEGMENTATION AND PRESENTATION
The group surveyed a total of 370 respondents.
Year
Level
CAS CBA
CM
E
CoC
S
CoCri
m
CoE
CoEn
g’g
CoN &
GM
No. of
Respondents
First 1 23 56 10 9 21 6 7 133
Second 1 18 39 5 9 13 4 8 96
Third 2 14 44 2 6 9 5 8 90
Fourth 1 14 0 2 7 7 4 11 44
Fifth 0 0 0 0 0 0 5 0 5
TOTAL 5 69 139 19 31 49 24 34 370
METHODS OF DATA
In this study, we used structured questionnaire in collecting data, wherein
the set of questions was given to the respondents with regards to the product.
The method will help proponents to find out the food inclination of each
respondent that represents our target market. It will help us lead to a new
innovative product that has a big probability to boom in the business world.

9 | P a g e
SOURCE OF DATA
The sources of data were accumulated through the results from the
structured questionnaires from the respondents of Capitol University. That
includes the following programs/courses: BS in Maritime Education which has the
greatest sample size of the production of Capitol University, BS in Nursing and
School of Midwifery, BS in Computer Science and Information Technology, BS in
Criminology, BS in Secondary Education and Elementary Education, BS in
Business Administration, BS in Arts and Science and BS in Engineering.
VALIDATION OF INSTRUMENTS
Accurate data were from the results that came from the survey through
our structured questionnaire was answered by the respondents; the survey was
conducted last August 7, 2014

10 | P a g e
PRODUCT TASTE
ANSWER No. of Respondents Percentage
YES 358 96.77%
NO 12 3.23%
TOTAL 370 100%
Note: The table shows 96.77% of the respondents have already tasted a waffle.
YES 13 3.51%
NO 357 96.49%
TOTAL 370 100%
Note: In this table, it reveals 96.49% of the respondents have not yet eaten a
steamed waffle which means we have a vast possibility in entering the waffle
industry with a new innovative product
.
CONSUMPTION TO RAW MATERIALS
Mango Only 49 13.25%
Banana Only 12 3.26%
I eat both 285 77%
I don’t eat both 24 6.49%
TOTAL 370 100%
Note: The table tells us 77% of the respondents eat both ripe mangos and
bananas and only 6.49% are the ones who don’t eat both mango and banana.

YES 351 94.86%
NO 19 5.14%
TOTAL 370 100%
Soda 94 26.86%
Water 30 8.57%
Juice 125 35.71%
Shake 101 28.86%
TOTAL 350 100%
11 | P a g e
WILLINGNESS TO BUY
YES 231 62.43%
NO 18 4.86%
MAYBE 121 32.71%
TOTAL 370 100%
Note: The table shows 62.43% of the respondents are willing to buy a new
version of a waffle.
Q#5 Do you wish to pair your Steamed Waffle with a drink?
94.86% percent of the respondents agreed to pair their waffle with a drink.
Q#6 What drink would match the Steamed Waffle?
This table shows 35.71% of the respondents would prefer Juice to match the
product, followed by Shake, Soda and Water.

Quality 213 57.57%
Brand 33 8.91%
Packaging 28 7.57%
Price 96 25.95%
TOTAL 370 100%
12 | P a g e
Q#7 What do you consider in buying a product?
Our respondents consider Quality in buying a product which is then followed by
Price, Brand and its Packaging.

13 | P a g e
MARKET SEGMENTATION AND PRESENTATION
According to Sakana Maki Sushi’s Feasibility Study, they stated the
students of the specified courses have a daily allowance ranges from 30-100
pesos. More so, 62% of the respondents are willing to try the product.
Our product, the BAMA Gaufre, provides a high nutritional value compare
to other waffle being sold in the market, wherein the market itself can enjoy
without the fear of acquiring health problems. However, we will emphasize too
much of anything is not good.
Students nowadays are now prone and vulnerable of acquiring early
health problems because of the unhealthy foods that are exposed to them that
are sold in the sidewalks. Not mentioning the pollutions, dust and other airborne
diseases may acquire by those products since it sold in the street. We also saw
this threat that’s why creating health beneficial food products is our chief
objectives.
MARKETING SALES AND ACTIVITIES
To uphold our product by the customers in the market, we will distribute
flyers and leaflets in selected places in the city like schools and malls and other
strategic locations.
We will also use social networking sites as a medium of our
advertisement; it is a common knowledge today that most of the people
(http://www.emarketer.com/Article/Social-Networking-Reaches-Nearly-One-Four-
Around-World/1009976) have their own Facebook, Twitter, Instagram and other

similar social networking sites. This advertisement is free and there would be no
14 | P a g e
additional marketing and promotional expenses in our part.
To entice more customers to buy our product, posters and vast tarpaulins
are neatly displayed in store area containing all the necessary advertisement and
product information so our customers can have an easy outlook and product
knowledge.
“BAMA GAUFRE”
DESCRIPTION OF THE PRODUCT
Waffle is one of the oldest products invented; it started during the
medieval times, around 9th to 10th century and was later on introduced to the
whole world during the 14th to 16th century.
By the early 20th century, waffle recipes become rare in recipe books, and
only 29 professional waffle craftsmen, the oublieurs, remained in Paris. Waffles
were shifting from a predominately street-vendor-based product to an
increasingly homemade product, aided by the 1918 introduction of GE’s first
electric commercial waffle maker. By the mid-1930s, dry pancake/waffle mix had
been marketed by a number of companies, including Aunt Jemima, Bisquick, and
a team of three brothers from San Jose, Calif. – the Dorsas. It is the Dorsas who
would go on to innovate commercial production of frozen waffles, which they
began selling under the name “Eggo” in 1953
(http://en.wikipedia.org/wiki/Waffle#History).

In the 21st century, waffle continues to evolve. What began as flour and
water heated between two iron plates
(http://www.tastespotting.com/search/waffles/1) or commonly known as waffle
irons, are now popular worldwide. These are produces in different varieties, sizes
and flavors, with has distinctive taste depending on the culture taste of the
15 | P a g e
customer where it is created.
Today, consumers have become more health conscious on the product
they eat. In order to compete with the new trend in the market arena, developing
healthier products with a delicious taste is a grand concept. The research
signifies consumers are drifting en route for convenience, health and wellness.
Mango, the products main ingredient contains varieties of phytochemical
and nutrients which are under preliminary research for their potential various
disease process.
Banana is known for its potassium content which is beneficial for
cardiovascular aspects. It also contains low glycemic carbohydrates with fiber
that speeds up the digestions; banana also contains vast amounts of vitamins,
nutrients and minerals.
The Cagayan de Oro business environment as well as its municipal zest
combined with its (http://www.zamboanga.com) warm and easy nature of the
local people. These give it an independent setting that gives numbers of
businessmen to stay in the city for good.
This project will help to give employment to the local people, and will help
to grow the economy of the city by paying tax and purchasing resources from the

local farmers who grow mangos and bananas. The local farmers will supply
tomato and mango will have a regular customer for their products and regular
16 | P a g e
income.
COMPETITION
The following are the firms/establishments that offer Waffle in key areas
here in Cagayan de Oro.
1. Famous Belgian Waffle
2. Waffle Time
The above mentioned competitors are the two major waffle sellers that
offer varied waffle flavors in Cagayan de Oro; they also provide best selling
waffle available in the market.

17 | P a g e
CHAPTER 3
Technical Study
This chapter will discuss the product, its process, production schedule,
equipment used, plant size and plant layout and structures.
THE PRODUCT
The BAMA Gaufre, the new twist in waffle, is made by using the waffle
mixture similar in making a homemade waffle. However, our product does not
follow the usual concept in making a waffle which is using a waffle iron to cook it
but it is done by steaming the waffle. The filling of the waffle is the mango and
banana. The waffles are sliced into identical slices and can be served with
cheese on top of it.
PRODUCTION PROCESS
Ingredients and Preparation of the Waffle Recipe:
 3 eggs
 1 ½ cups milk
 one tablespoon baking powder
 ¼ teaspoon salt
 1/8 cup of condensed milk.
 2 cups flour
 ½ cup melted butter
 1/2 cup sugar
 one tablespoon vanilla

18 | P a g e
 Butter
 Mashed mango
Preparing the steamer and fruits
 Add some water in the steamer.
 Slice the Banana into rectangular strips and line strips with the mango.
Mixing the ingredients
 Mix all the dry ingredients (flour, sugar, salt and baking powder) into one
large bowl.
 In a separate bowl, mix the eggs and melted butter. Beat the mix
ingredients thoroughly.
 Mixed altogether the dry ingredients with the eggs and butter into a large
bowl and add milk, vanilla and condensed milk.
 It should be mixed thoroughly until there are no visible small groups of
flour.
 Add the mashed mango and stir.
Steaming the BAMA Gaufre
 Prepare the molding Tupperware.
 Put a moderate amount of the Waffle Recipe into the Tupperware and put
the Banana and Mango on top of it for the filling. Once done putting the
fruits, add another layer of the Waffle recipe.
 Cover the Tupperware with aluminum foil to prevent the water from
dripping into the product. Put it into the steamer in 15 to 20 minutes.

 Get the product from the steamer and turn the Tupperware upside down
into a plate; it will slide down automatically to the plate. To garnish, add
19 | P a g e
some quick melt cheese.
 Slice the Steamed Waffle and it’s ready to serve.
PLANT SIZE AND PRODUCTION SCHEDULE
YEAR DAILY (unit)
TOTAL UNITS
(year)
TOTAL AMOUNT
(year)
1st 35 slices 6,720 P 100,800
2nd 45 slices 8,640 129,600
3rd 45 slices 8,640 129,600
4th 60 slices 11,520 172,800
5th 75 slices 14,400 216,000
TOTAL 260 slices 49,920 P 748,800.00
Machinery and Equipment
The product requires electric equipment such as steamer for cooking the
BAMA Gaufre, Refrigerator for storing the finished products and the raw
materials that is being used. We also need measuring cups, large bowls, spatula
and other baking tools for the preparation of the product.

22 | P a g e
CHAPTER 4
Financial Aspect
In business, management and financial aspect go hand in hand. Proper
management cannot push through without capitalization is properly laid down
through the use of the financial statements.
Details of the Financial Assumptions
The selling price of each slice of the product is Php 15.00 for the first period
of the operation and will increase 2.00 pesos in every period.
1. Demand is 6,720 pieces for the period and will have an increase of 10% in
every period.
2. Purchase is P 17,826 for the first and will have an increase of 10% per
period.
3. Raw materials end is 3% of the total purchase.
4. Office supplies are assumed to increase 5% every period.
5. Business permit and licenses are assumed to be P1,500.00 and will
remain constant for the next five years.
6. Manufacturing overhead (Electricity) will have an increase of 5% per
period.
7. Transportation expense will increase by 5% in every year.
8. Salaries and wages will have 5% in every year.
9. SSS, Medicare is assumed to increase 5% annually.
10. Rental expense is P 1,000 monthly and will remain constant for the next
five years.

23 | P a g e
11. Income tax rate is 32%..
12. 13th month pay will increase by 5% annually.
13. Advertisement and Promotion will have an increase of 5% annually.
Form of Ownership
The type of ownership will be Partnership. It is composed of nine (9) partners
wherein each of them will be contributing P 6,667.67 as initial investment. Every
one of them is responsible and liable for any inconsistency in every business
transactions.
The partners will then set specific dates to visit the field to observe and
check the workers. Each of them is paid with equal salary, which is covered up
already in the investment of the partners
Initial Capital Requirements
The project will be operated by the partnership and have a capital
contribution to finance the proposed project. Each contribution of the partners is
as follows.
Partners Form of Investment Amount
Basilio, Christian Cash P 6,666.67
Emilia, John Paul A. Cash P 6,666.67
Itum, Suzette Q. Cash P 6,666.67
Jaguit, Charmaine Cash P 6,666.67
Japson, Denmark Cash P 6,666.67
Maglangit, Garry A. Cash P 6,666.67
Moral Jr., Reynaldo Cash P 6,666.67
Nambatac, Angela P. Cash P 6,666.67
Revil, Luis Lorenzo Cash P 6,666.67

24 | P a g e
SCHEDULE 1
FIXED ASSET
Particular Amount
Furniture P 5,700.00
Tools and Equipments 2,800.00
Total P 8,500.00
SCHEDULE 2
SELLING ACTIVITY SCHEDULE
YEAR DEMAND (units)
SELLING PRICE
(Php)
Earning (Php)
1st 6,720.00 15.00 P 100,800.00
2nd 7,392.00 17.00 125,664.00
3rd 8,131.20 19.00 154,489.40
4th 8,944.32 21.00 187,830.72
5th 9,838.75 23.00 226,291.25
TOTAL 41,026.27 P 795,078.77

25 | P a g e
SCHEDULE 3
PURCHASE OF RAW MATERIALS
ITEMS UOM DAILY MONTHLY YEARLY
AMOUNT
(Php)
Egg Pieces 3 48 576 P 3,000.00
Mangoes Kg .5 8 96 1,200.00
Banana pieces 3 48 576 750.00
Butter Cup 1 16 192 2,000.00
Milk Cup 1.5 24 288 4,000.00
Condense Cup .25 4 48 1,000.00
Flour Cup 2 32 384 3,300.00
Sugar Cup .5 8 96 2,000.00
Calumet Tablespoon 1 16 192 576.00
TOTAL P 17,826.00
SCHEDULE 4
OUTRIGHT EXPENSES
ITEMS QTY
UNIT
PRICE
(Php)
AMOUNT
EST. LIFE
(year)
ANNUAL
DEPRECIATION
(Php)
Booth 1 5,000.00 P5,000.00 5 P 1,000.00
Table 1 500.00 500.00 5 100.00
Stool
(chair)
1 200.00 200.00 5 40.00
TOTAL P5,700.00 P 1,140.00

26 | P a g e
TOOLS AND EQUIPMENT
ITEM QTY
UNIT
PRICE
(PHP)
AMOUNT
(PHP)
EST.
LIFE
(Year)
ANNUAL
DEPRECIATION
(Php)
Steamer 1 560.00 560.00 5 P 112.00
Stove
(Electric)
1 920.00 920.00 5 184.00
Molder 10 55.00 550.00 5 110.00
Measuring
Cups
6
90.00 per
set
90.00 5 18.00
Mixer 1 40.00 40.00 5 8.00
Bowl 2 75.00 150.00 5 30.00
Tupperware 1 120.00 120.00 5 24.00
Knife 1 60.00 60.00 5 12.00
Ladle 1 125.00 125.00 5 25.00
Food Tong 1 70.00 70.00 5 14.00
Scoop 1 25.00 25.00 5 5.00
Chopping
Board
1 90.00 90.00 5 18.00
TOTAL P 2,800.00 P 560.00

27 | P a g e
SCHEDULE 5
OFFICE SUPPLIES
ITEMS QTY (PC)
UNIT PRICE
(Php)
AMOUNT
Ballpen 12 5.00 60.00
Columnar 2 25.00 50.00
Paper 500 0.25 125.00
TOTAL P 235.00
SCHEDULE 6
EMPLOYEE SALARY AND WAGES
Daily (Php) Monthly (Php) Yearly (Php)
P 200.00 P 3,200.00 P 38,400.00
Less: Yearly contribution for SSS, Medicare, Pag-Ibig (Php) : 4, 926.00
TOTAL : P 33,474.00
DIRECT LABOR
Per Preparation
Schedule (Php)
Monthly (Php) Yearly (Php)
40.00 P 640.00 7,680.00
Less: Yearly contribution for SSS, Medicare, Pag-Ibig (Php) : 985.20
TOTAL : P 6,694.80

28 | P a g e
SCHEDULE 7
BUSINESS PERMIT
Permit Amount (Php)
Mayor’s Permit 1,400.00
Fire Permit 100.00
Total P 1,500.00
SCHEDULE 8
OVERHEAD EXPENSES
EXPENSES (Php)
UTILITIES MONTHLY (PHP) ANNUAL (PHP)
Electric P 300.00 P 3,600.00
Water 150.00 1,800.00
TOTAL P 450.00 P 5,400.00
SCHEDULE 9
TRANSPORTATION EXPENSE
DAILY (PHP) MONTHLY (PHP) YEARLY (PHP)
P 14.00 P 224.00 P 2, 688.00
RENTAL EXPENSE
MONTHLY YEARLY (Php)
P 1,000.00 P 12,000.00

29 | P a g e
13th MONTH PAY
EMPLOYEE AMOUNT (PHP)
Service Crew P 4,000.00
Waffle Expert 1,000.00
TOTAL P 5,000.00
ADVERTISEMENT AND PROMOTION EXPENSE
COLATERALS EXPENSE (PHP)
Streamers P 300.00
Flyers 300.00
TOTAL P 600.00

30 | P a g e
BAMA Gaufre
Statement of Cashflow
For the Years Ended 2014-2016
2014 2015 2,016.00
CASH FLOW AMOUNT AMOUNT AMOUNT
Cash Balance, Beg
60,971.00 87,865.40
Partners Contribution 60,000.00
Sales 100,800.00 125,664.00 154,492.80
TOTAL 160,800.00 186,635.00 242,358.20
Less: Cash Outflow
Purchase of Fix Assets 2,800.00
Purchase of Furniture and Fixtures 5,700.00
Purchase of Raw Materials 17,826.00 19,608.60 21,569.46
Payment to Direct Labor 6,694.80 7,029.54 7,381.02
Lights and Water 5,400.00 5,670.00 5,953.50
Salaries and Wages 33,474.00 35,147.70 36,905.09
Transportation 2,688.00 2,822.40 2,963.52
Rent 12,000.00 12,000.00 12,000.00
Advertisement & Promotions 600.00 630.00 661.50
SSS & Philhealth 5,911.20 6,206.76 6,517.10
Permit & License 1,500.00 1,500.00 1,500.00
13th Month Pay and others 5,000.00 5,250.00 5,512.50
Office Supplies 235.00 246.75 259.09
Income Tax 0.00 2,657.85 8,929.83
TOTAL 99,829.00 98,769.60 110,152.60
Cash Balance, End 60,971.00 87,865.40 132,205.60

31 | P a g e
BAMA Gaufre
Statement of Income
2014 2015 2016
AMOUNT AMOUNT AMOUNT
SALES:
UNIT SALES 6,720 7,392 8,131.20
SELLING PRICE 15 17 19.00
TOTAL 100800 125664 154,492.80
LESS: COST OF SALES
MATERIALS
Raw Materials, Beg
534.78 588.26
ADD: Purchase Available for Use 17,826.00 19,608.60 21,569.46
LESS: Materials, End 534.78 588.26 647.08
17,291.22 19,555.12 21,510.63
Direct Labor 6,694.80 7,029.54 7,381.02
FACTORY OVERHEAD
Light and Water 5,400.00 5,670.00 5,953.50
Rent 12,000.00 12,000.00 12,000.00
17,400.00 17,670.00 17,953.50
TOTAL COST OF SALES 41,386.02 44,254.66 46,845.15
GROSS PROFIT 59,413.98 81,409.34 107,647.65
LESS: OPERATING EXPENSE
Salaries and Wages 33,474.00 35,147.70 36,905.09
Transportation 2,688.00 2,822.40 2,963.52
Advertisement & Promo 600.00 630.00 661.50
SSS, Philhealth, Pag-Ibig 5,911.20 6,206.76 6,517.10
Permit & Licenses 1,500.00 1,500.00 1,500.00
Office Supplies 235.00 246.75 259.09
13th Month Pay 5,000.00 5,250.00 5,512.50
Outright Expense 1,700.00 1,700.00 1,700.00
TOTAL OPERATION EXPENSE 51,108.20 53,503.61 56,018.79
INCOME BEFORE TAX 8,305.78 27,905.73 51,628.86
Less: INCOME TAX (32%) 2,657.85 8,929.83 16,521.23
INCOME AFTER TAX 5,647.93 18,975.90 35,107.62

32 | P a g e
BAMA Gaufre
Statement of Balance Sheet
2014 2015 2016
AMOUNT AMOUNT AMOUNT
ASSETS
Current Assets
Cash 60,971.00 87,865.40 132,205.60
Raw Material, End 534.78 588.258 647.08
Total Current Assets 61,505.78 88,453.66 132,852.68
Non Current Assets
Tools and Equipment 2,800.00 2,800.00 2,800.00
Furnitures and Fixtures 5,700.00 5,700.00 5,700.00
TOTAL 8,500.00 8,500.00 8,500.00
Less: Outright Expense 1,700.00 3,400.00 5,100.00
Total Non Current Assets 6,800.00 5,100.00 3,400.00
TOTAL ASSESTS 68,305.78 93,553.66 136,252.68
LIABILITIES and PARTNER'S CAPITAL
Tax Payable 2,657.85 8,929.83 16,521.23
Partners Capital 60,000.00 65,647.93 84,623.83
ADD: Net Income 5,647.93 18,975.90 35,107.62
Total 65,647.93 84,623.83 119,731.45
TOTAL LIABILITIES AND CAPITAL 68,305.78 93,553.66 136,252.68

33 | P a g e
FINANCIAL RATIOS
2014 2015 2016
Payback
Period =
Investment 60,000.00 60,000.00 60,000.00
Net Income 5,647.93 18,975.90 35,107.62
TOTAL
10.62336037 3.161906191 1.709030512
2014 2015 2016
Gross
Margin
Ratio =
Gross Profit 59,413.98 81,409.34 107,647.65
Sales 100,800.00 125,664.00 154,492.80
TOTAL
0.589424405 0.647833413 0.696781007
2014 2015 2016
Current
Ratio =
Current Assets 61,505.78 88,453.66 132,852.68
Current
Liabilities 2,657.85 8,929.83 16,521.23
TOTAL
23.1411815 9.90541019 8.041329023
2014 2015 2016
Return of
Total
Assets =
Net Income 5,647.93 18,975.90 35,107.62
Total Assets 68,305.78 93,553.66 136,252.68
TOTAL
0.082685981 0.202834345 0.257665557

34 | P a g e
FINANCIAL RATIO ANALYSIS
Payback Period
The payback period of the capital invested for the project on its first year will
be ten years after. However, considering that there is an increase of sales
that fallouts having an augmenting amount of the net income, within the next
4 to 5 years, the invested capital will be returned already.
Gross Margin
For the first year of the business, we have 58.94% for our Gross Margin. It
means that after paying off our inventory cost, we still have 58.94% of our
sales revenue to cover our operating costs. Moreover, for the succeeding
year of the business, we have an increase of 5.84% in our Gross Margin that
indicates our company is selling our inventory in a higher profit percentage.
Current Ratio
The Current Ratio of the company is relatively high. As perceived in our
financial ratio, we have more than a 100 times current assets than our
liabilities. The result signifies that our company is capable of paying our
debts as identified on the company’s financial ratio computation.

35 | P a g e
Return of Total Assets
Considering that the company is still on its start-up phase, we have a stumpy
percentage on our ROA. However, for the succeeding years of the operation
of the business, it is prominent that our ROA is increasing which is an
indicator that our company can earn a return on investment.

36 | P a g e
Break-Even Point in Sales
Units
Solving the above equation for x which equals break-even point in sales units, we
have:
Break-even Sales Units = FC
P – v
Solution
We have,
P = P15
V = 3.65
FC = 24,200.00
Substituting the known values into the formula for the breakeven point in sales
units, we have:
Breakeven Point in Sales Units (x)
BEV = 24,200.00 / (15 – 3.65)
BEV = 24,200.00 / 11.35
BEV = 2132.16 units
Break-even Point in Sales Peso = P 15 x 2132.16
= P 31,982.4

37 | P a g e
CHAPTER 5
MANAGEMENT FEASIBILITY
Management Structure
OWNERS
Manager
Worker

38 | P a g e
KEY MANAGERS AND PERSONNEL
Owners:
 To make sure the business runs correctly.
 Has the knowledge of the product the business is offering
 Make sure the policies within the business are working, and
employees are following laws.
 The owner should be aware of the market for their product and
should find ways to fit their product into the market
Managers:
 Managers are usually responsible for ensuring the people assigned
to them are doing their task correctly.
 Managers are operating the business well.
 Ensure procedures are being followed. Set priorities.
Workers:
 Follow the policy of the business.
 Taking reasonable care to protect themselves and the business.
 Proper use of safety equipment, clothing and device matters.
 Cooperating with the workplace safety and health.
 Report accidents, occupation illness and near misses.
 Cooperate with your employer and supervisor.

39 | P a g e
CHAPTER 6
SOCIO-ECONOMIC STUDY
INTRODUCTION
This chapter includes the socio-economic benefits of the proposed project.
The proposed project aims to help our localities and the farmers of the country.
Nowadays, it is important small entrepreneurs should realize the worth of
creating or starting a business would largely contribute to the socio-economic
development of the country.
In this certain project, the researcher considers the whole part of the
business especially the social impact in the community.
CONTRIBUTION TO INCOME AND EMPLOYMENT
The main goal of a certain business is to have high income especially in the part
of the owner. A business should create a harmonious relationship between the
manager and employees to attain the main goal of the business which is to have
income. All workers need income to support their own needs and also for their
service rendered in the business. Building up this business is a great opportunity
for unemployed people to have a job. It will also be their opportunity of having
another source income.
TAX CONTRIBUTION

The business is expected to give great contribution to the government in
the form of taxes. The tax payment from the business would help the localities as
well as the economy for its future projects especially for the agriculture projects
will benefit farmers. This would help the country to become more progressive.
40 | P a g e
RECOMMENDATION
After considering all the important factors in the study such as the
marketing, technical, and socio-economic and management study. Based on the
study, it is recommended the proposed project, BAMA Gaufre, will be pursued
and establish at the CU Food Court. It will decrease the unemployment rate and
be able to help our government to improve infrastructures. In order for it to
compete with other pancake business establishments, its product must be
improved.

"BAMA Gaufre" 2 -

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Viewers also liked

Viewers also liked (6)

Similar to "BAMA Gaufre" 2 -

Similar to "BAMA Gaufre" 2 - (20)

Recently uploaded

Recently uploaded (20)

"BAMA Gaufre" 2 -