the document entitled trend setter 1158 hair and beauty Salon was done in fulfillment with the subject requirement in Marketing Mngmt.

1. Hair and Beauty Salon
Business Plan
PAMPANGA AGRICULTURAL COLLEGE
Magalang Pampanga
INSTITUTE OF GRADUATE STUDIES
DOCTORS of PHILOSOPHY
Major in Management
Prepared by:
GLENDA N.NAGUIT
Presented to :
DR.EMELITA KEMPIS

2. Trend Setter 1158
Hair and Beauty Salon ( for all ages)

3. Rationale:
The business of pampering and beautifying is big
business, even when the business is a small one. So
many people utilize these services. From Barbershops
to Salons where you can get everything from a simple
haircut to a complicated weave with extensions. Then
you have Spa’s that provide services such as massages
with a focus on skincare and body treatments. With all
these options, nearly everyone is familiar with this
genre of business.
Trend Setter 1158 Salon is a full-service beauty salon
dedicated to consistently providing high customer
satisfaction by rendering excellent service, quality
products, and furnishing an enjoyable atmosphere at an
acceptable price/value relationship. We will also
maintain a friendly, fair, and creative work environment,
which respects diversity, ideas, and hard work.

4. Objective
The objectives for the first three years of
operation include:
 To create a service-based company whose goal
is to exceed customer's expectations.
 To increase the number of clients served by at
least 20% per year through superior
performance and word-of-mouth referrals.
 To develop a sustainable start-up business,
contributing to increased employment of
community residents.

5. Mission
To supply services and products that enhance
our clients' physical appearance and mental
relaxation.
Vision
To be the best full-service beauty salon
dedicated to consistently providing high
customer satisfaction by rendering excellent
service, quality products, and furnishing an
enjoyable atmosphere at an acceptable
price/value relationship.

6. Our Motto
"TheTrend Begins Here!"

7. I.TOTAL ENVIRONMENT OF
THE PROPOSED BUSINESS

8. I.TOTAL ENVIRONMENT OF THE
PROPOSED BUSINESS FORM FACTORS
TO CONSIDER:
1. EDUCATIONAL FACTOR
2. SOCIO – CULTURAL FACTOR
3. ECONOMIC FACTOR
4. ADMINISTRATIVE FACTOR
5. POLITICAL FACTOR

9. EDUCATIONAL FACTOR
People nowadays are knowledgeable when it
comes in pampering theirselves.Trend Setters
1158 Salon will target each of the three groups
separately.
HIGH LITERATE CLIENTS :
PROFESSIONALS
MIDDLE INCOME EARNERS
YOUNG GENERATION

10. EDUCATIONAL FACTOR
HIGH LITERATE CLIENTS : PROFESSIONALS
Teachers from various schools located at Bulaon
Resettlement
SanVicente Pilot School for Philippine Craftsmen
Potrero High School
Central Elem.School
San Antonio Elem. School
Sta. Barbara Elem. School
Parulog Elem. School
Duat Elem. School
Balas Elem. School
Potrero Elem. School
Doctors,Nurses and office staff from Bulaon District
Hospital
Professionals that work to nearby cities that resides
in the Resettlement

11. EDUCATIONAL FACTOR
MIDDLE INCOME EARNERS
Business owners ( Business operation inside
the Resettlement)
Vendors at the Bulaon Public Market
Jeepney / Tricycle Drivers
Housewives of OFW’s and Working nearby
areas
YOUNG GENERATION
Students

12. I.2. SOCIO – CULTURAL FACTORS
This deals with the accessibility to potential
customer,location age group, and market
segmentation.
 Trend Setters 1158 will upon
commencement of operations, sell a wide
range of beauty services and products. We
will provide quality hair, nail, and skin
services, along with top lines of beauty
products. What will set Trend Setters apart
from the competition is our commitment to
providing all of these services in one
convenient location.

13. Location
 The salon will be located in a retail strip
mall at Block 11 lot 9, Bulaon City of San
Fernando, Pampanga. The salon will utilize
100 square meter lot area. The location is
strategically situated on one of the busiest
streets in Bulaon Ressettlement. It is a high
profile area, with easy access from all parts
of the Ressettlement.
I.2. SOCIO – CULTURAL FACTORS

14. Location
BULAON
CHURCH
BULAON
HOSPITAL
B
R
I
D
G
E
T
O
A
N
G
E
L
E
S
T
O
S
A
N
F
E
R
N
A
N
D
O
BUALON
JEEPNEY
TERMINAL
BUALON
PUBLIC
MARKET
BUALON
TRICYCLE
TERMINAL
TREND
SETTER 1158
SALON
OVAL
S.V.P.S.P.C.
POTRERO
HIGH SCH
TO RESETTLEMENT
Blk 11
Lot 9

15. Marketing Strategy
 Our marketing strategy is a simple one: SATISFIED
CLIENTS are our best marketing tool. When a client
leaves our business with a new look, he or she is
broadcasting our name and quality to the public. Most of
our clients will be referrals from existing clients.
 No major advertising campaigns are anticipated. Our
research has shown that word of mouth is the best
advertising for this type of business. We will, however,
run specials promos throughout the week. We will also
ask clients for referrals, and reward them with
discounted or free services depending on the number of
clients they bring. We will also offer discounts to the
new clients who have been referred. There are plans for
a lottery that will offer a free trip to, say, like Boracay. A
client would simply refer new clients to us, and we will
place a card in a box for each client he or she brings.
The more they bring, the more chances they have of
winning the trip.

16. Market Segmentation
Trend Setter 1158 will be targeting three diverse groups of
customers. We will work hard to distinctly appeal to each of these
groups. By focusing on more than one group, Trend Setters is
lowering their risk that in a downturn one group will negatively
effect the company.
Men will typically make up 70-75% of the clientele. Men have
shorter hair requiring a faster, simpler job.
Females who cannot afford an upscale salon. Women tend to
favor a female specific upscale salon if they can afford it. There is
not often a difference in quality of an upscale salon relative to a
family hair salon other than a upscale salon will tend to pamper you
more, only accepts appointments, and the facility is generally a bit
plusher. Someone who is fiscally responsible as opposed to
someone who likes opulence will favor a family style salon.
Mothers with children. Most young children are notoriously
difficult when it comes to getting haircuts. A family style salon is a
more laid-back place that allows the children to play while they are
waiting and then will work with the parents in calming the kids
nerves when they are ready for their shearing.

17. I.3. ECONOMIC FACTOR
The Salon is strategically located at the busiest street of
the Resettlement were in the target market are as
follows:
 Various schools located at Bulaon Resettlement
 SanVicente Pilot School for Philippine Craftsmen
 Potrero High School
 Central Elem.School
 San Antonio Elem. School
 Sta. Barbara Elem. School
 Parulog Elem. School
 Duat Elem. School
 Balas Elem. School
 Potrero Elem. School

18. I.3. ECONOMIC FACTOR
 Bulaon District Hospital
 Different Businesses / establishment
 Bulaon Public Market
 Subdivisions nearby the Resettlement
* Summerfields * Villa Mirasol
* Rockville *
 FourThousand Seven Hundred Thirty
Houses ( 4,730 )
 Nearby Barangay
* Calulut * Del Carmen
* Anao, Mexico

19. I.4.ADMINISTRATIVE FACTOR
Form of Business Ownership
General Partnership
Partners divide responsibility for management and liability, as
well as the shares of profit or loss according to their internal
agreement. Equal shares are assumed unless there is a written
agreement that states differently.
CAPITAL SHARE:
GLENDA N. NAGUIT ₱ 150,000.00
IRENE B. NACPIL ₱ 150,000.00
KAREN B. NACPIL ₱ 150,000.00
SARAH N. BENGCO ₱ 150,000.00

20. Personnel Plan
 The personnel plan calls for a receptionist who will
greet customers and receive payments for services
and products. There will be three hair stylists, one
barber, one nail technician, one facialist, one waxing
technician, one shampoo technician and a massage
therapist. Everyone but the receptionist will be
contract workers, and will be paid a sliding
commission scale based on the amount of revenue
created. Future plans include the hiring of additional
shampoo technician and foot spa technician as the
business expands.
 In the first year, assumptions are that there will only
be three hair stylists, a barber, and part time nail,
facial, and massage technician until the business can
build a reputation that will attract others to work
there.

21. I.5. POLITICAL FACTORS
Trend Setters Salon, is located at Bulaon Resettlement
Barangay Bulaon, City of San Fernando Pampanga which
is govern by Laws that every business that operates with
in the city must secure the following permits for the
business to operate legally and smoothly;
 Barangay Business Clearance – annual fee
 Dept. of Trade and Industry Certificate
 Municipal Business Permit – annual fee
 City Health Certificates
 Municipal Zoning Certificate
 Fire Department
 Bureau of Internal Revenue
 Income Tax
 Non-VAT: 3% Percentage Tax
 VAT: 12%

22. II. MARKET STRUCTURE

23. 2.1. Products and Services
Trend Setters is considered an upscale full-
service beauty salon. We will offer a wide range
of services that include:
 Hair: cuts, relaxers, perms, colors, shampoo,
conditioning, curling, reconstructing, weaving,
waving.
 Nails: manicures, pedicures, polish, sculptured
nails.
 Skin Care: European facials, body waxing,
massage.
 Eye Lashes: Curling, Extension
 Eye Brows: Threading

24. 2.2. PRICES
HAIR
 Haircut ( Men and Women) ₱ 50.00
 Haircut ( Kids ) ₱ 40.00
 Blowdry ₱ 100.00
 HAIRTREATMENT
 Hair Color ₱ 300.00
 Hair Spa ₱ 150.00
 Hair Cellophane ₱ 350.00
 Hair Rebond
 Color Rebond ₱ 1,000.00
 Milk Rebond ₱ 1,200.00
 Semi – Rebond ₱ 1,000.00
 Brazillian Blowdry ₱ 1,200.00
 Hair Curl ₱ 700.00
 Hair Weave ₱ 1,000.00

25. NAILS
 Manicure ₱ 50.00
 Pedicure ₱ 60.00
 Manicure with Nail Art ₱ 75.00
 Pdicure with Nail Art ₱ 75.00
SKIN CARE
 European Facial ₱ 300.00
 Body Waxing
 Whole Legs ₱ 600.00
 Upper Legs ₱ 300.00
 Lower Legs ₱ 300.00
 Armpit ₱ 150.00
EYE LASHES
 Curling ₱ 200.00
 Extension ₱ 200.00
EYE BROWSTHREADING ₱ 100.00

26. 2.3. PROMOTIONS / PACKAGING
 No major advertising campaigns are anticipated. Our
research has shown that word of mouth is the best
advertising for this type of business. We will, however, run
specials throughout the week. We will also ask clients for
referrals, and reward them with discounted or free
services depending on the number of clients they bring.
We will also offer discounts to the new clients who have
been referred. There are plans for a lottery that will offer
a free trip to, say, like Boracay. A client would simply refer
new clients to us, and we will place a card in a box for
each client he or she brings. The more they bring, the
more chances they have of winning the trip.
 Our business atmosphere will be a relaxing one where
clients can kick back and be pampered. Soft drinks or
juices, and sandwhiches will be offered to clients as they
enter for service. Televisions will be located in the waiting
and hair-drying area.

27. 2.4. PLACE
BULAON
CHURCH
BULAON
HOSPITAL
B
R
I
D
G
E
T
O
A
N
G
E
L
E
S
T
O
S
A
N
F
E
R
N
A
N
D
O
BUALON
JEEPNEY
TERMINAL
BUALON
PUBLIC
MARKET
BUALON
TRICYCLE
TERMINAL
TREND
SETTER 1158
SALON
OVAL
S.V.P.S.P.C.
POTRERO
HIGH SCH
TO RESETTLEMENT
Blk 11
Lot 9

28. Reception Area
TRENDSETTER
1158

29. TOP VIEW
OF

30. TREND SETTER

33. III. MANAGEMENT AND
CONTROL

34. 3.I. Organizational Structure
MANAGER
RECEPTIONIST
/ CASHIER
SENIOR
STYLIST
SHAMPOO
TECHNICIAN
BARBER
FACIAL /
MASSAGE
THERAPHIST
NAIL
TECHNICIAN

35. BUSINESS OWNER/ CAPITAL SHARE
GLENDA N. NAGUIT ₱ 150,000.00
IRENE B. NACPIL ₱ 150,000.00
KAREN B. NACPIL ₱ 150,000.00
SARAH N. BENGO ₱ 150,000.00

36. IV. RISK MANAGEMENT
AND CONTROL

37. Skill at what we do, good
customer service, and creating a
pleasant environment for our
customers will be important to
implementing our business plan.

38. Competition and Buying Patterns
 Traditional barbers. They rarely serve appointments, it is
generally a walk-in service. While barbers are usually willing to
provide whatever cut you are interested, they are generally
providing straight forward haircuts, typically on the conservative
side. The advantages of a barber is they are inexpensive and easy to
use. Their disadvantages is often conservative styling capacities,
sometimes a long wait as the barber may be an old timer who
enjoys to chit chat.
 Franchised "quick salons." An example of this would be Reyes
Haircutters. The advantage of this style is the store will be the same
from location to location and some people like this predictability.
 Independent salons. These shops typically focus on a specific
niche and do not serve a wide group of customers. The advantages
to these could be an independent salon that fulfills all of your needs.
The disadvantage is that because they tend to be more focused,
more often than not this type of salon will not offer exactly
what customers are looking .

39. 4.2.Competitive Edge
 Trend Setters wants to set itself apart from other beauty salons that
may offer only one or two types of services talking from clients who
often come to salon, they desire that all of the services that we are
proposing must be available in one place, but they remain frustrated
because they must get their hair done at one place, and nails done at
another. Although the focus of Trend Setters is hair services, we do wish
to offer our clients the convenience of these other services in one
location.
 There are a number of salons like ours, but they are mainly in the very
high income parts of Bulaon and surrounding areas. We do not intend
to compete with these so called "Day Spas." We wish to offer a middle
ground for those clients who can't quite afford those high-end luxury
salons.
 Our business atmosphere will be a relaxing one where clients can kick
back and be pampered. Soft drinks or juices, and sandwhiches will be
offered to clients as they enter for service. Televisions will be located in
the waiting and hair-drying area.

40. SWOT ANALYSIS
STRENGTH WEAKNESSES OPPORTUNITIES THREATS
business location –
strategically
located at the
busiest street of
Bulaon
Resettlement
Independent Salons
along and nearby
the area
government
regulation
softening
new substitute
products emerging
Caters all type of
Clients
:Professionals,
Middle Income
earners,
Housewives, Men,
Students, and
Children.
limited human
resources and staff
development of
new technology
price competition
Salon Personnel
are NC II Holders.
products or service
similar to
competitors'
growing trend and
customer base
economic pressure

41. V. FINANCIAL
MANAGEMENT AND
CONTROL

42. Our goal is to be a profitable
business beginning in the first
month. The business will not have
to wait long for clients to learn
about it since the stylists will
already have an existing client
base.

43. 5. I. Source of Funds
 The start-up capital of ₱ 600,000.00
will be used for the design, leasehold
improvements, and equipment of the
salon.
 Leasehold improvements will amount
to approximately ₱ 300,000.00 and
salon equipment will cost about ₱
250,000.00 and ₱50,000.00 for cash-
on-hand at starting date.

44. 5.2. Start-up Summary
Trend Setters 1158 will incur the following start-up
costs:
 Computer with point of sale terminal.
 Computer with printer for back office.
 Five cutting stations, each station requires a barber
chair, cabinet, large mirror, blow dryer, curling iron,
electric razor, several pairs of scissors, spray bottle,
two sided mirror, and assorted combs and brushes.
 Desk for reception area.
 Three couches for the reception area.
 Display shelf for sale of retail products.
 Assorted plants.
 Assorted toys for the children.
 Legal fees for business formation and
generation/review of contracts.

45. 5.3. Financial Assumptions
 The financials that are enclosed have a number
of assumptions:
 Revenues will grow at an annual rate of 20%
 Monthly income will increase at 40% in the
month of November ,December , February
and March, due to a historical jump in
revenues at this time of year.
 Product sales are a minimal part of the market.
A ₱ 5,000.00 revenue per month is estimated.
 Utilities Expenses will increase by 10%
annually
 Business License, repairs and maintenance will
increase by 10% annually

46. VI. Summary and
Conclusion

47. The "hair" service industry is fairly diverse. On one
end of the spectrum you have the traditional barber,
on the other end you have the fashionable boutique
salons. Somewhere in between there are independent
hair stylists, franchise barbers and stylists, and beauty
salons.
Trend Setters will be organized and managed in a
creative and innovative fashion to generate very high
levels of customer satisfaction, and to create a working
climate conducive to a high degree of personal
development and economic satisfaction for employees.
Training classes to help improve employee product
knowledge and skills will be conducted on a regular
basis. As the business grows, the company will consider
offering an employee benefit package to include health
and vacation benefits for everyone.

48. VII. Professional Reflection

49. Business Plan are considered as the Master Plan
of any business. It serves as the bible of each
businessman who venture to establish a new business.
I, and my sisters who will serve as my business
partners, dream to have our own business that we
will enjoy to manage because of the same interest we
have in pampering our selves.
I want to extend my sincerest thanks to our dear
professor who believes in our capabilities and push
us to exceed our limitation.
I am very grateful that I was enrolled in this
subject, and accept the challenges in making a
business plan and able to developed my own that will
serves as a guide to us to be succesful in our business
venture.

50. Thank you....