I.

Today the country is facing many economic problems, such as

devaluation of our currency, unstable oil price, unemployment

etc. which bring the people in a disturb condition.

The effect of these problems is that the prices of our prime

commodities have been inflated. Hence as students and a

concerned citizen, where thinking of something that can helpful

and will learns our burdens in this situation. As a new comer in

the business. We intend to engage in a dress shop business to

give people what they need in line of beautiful dress.

For assurance, this project will undergo, the study,

analysis and through examination which will determine its

viability in all aspect.

Thats why in choosing this project we have gain ideas from

different sources that make this study as a possible

manifestation in establishing a business.

For our location , Talavera Nueva Ecija is perfect for the

location because people always practice fiestas and other

occasion and besides there is a little number of competitors

A. Name and address of Business

Jesmichernang Suits and Barong Shop

Talavera Nueva Ecija
B. Name and Adress of Principals
1.
2.
3.
 4.
5.
6.

C. Nature of Business
Services ( Rent and sale)

D. Statement of Financing Needed

The total project cost is estimated at P1,500,000.00 which

will be provided by six ( 6) members of the group. The amount

includes the pre-operating expenses and the working capital

requirements of the said project.

Based on the 5-year financial projections made by the

group , ROI averages to 5%, while payback period is 3 year/s and

, otherwise refer to the financial projections (pro-forma cash

flow, balance sheet and income statement) attached in this

report.

II Executive Summary

The business that the group proposing is a Jesmichernang

Suits and Barong Shop located in Talavera , Nueva Ecija , it

will offer new dress that will be for rent and for sale . the

proponents will finance the project and will run as

partnership .it will run with three staff only , from the

cashier up to two helpers. The name of the business is obtain

from the initial letter of the name of the respondents. the

business will identify identifying, determining, investigating,

and analyzing relevant factors surrounding the dress shop

industry necessary in the preparation of a project feasibility

study.

The components of its business operation such as

organization and management, market and marketing, technical and

financing and financial would be essential to determine the

current trends and practices prevailing in the industry.

Investigating the problems besetting a particular business had

bearing in the outcome of any business plan or proposal. Another

factor for consideration was the external influences like

political and legal conditions, socio-economic climate,

technological changes, environmental and competitive position

within the target market could affect the course of doing

business.

The strengths, weaknesses, opportunities and threats of the

industry was analyzed so that a recommendation could be made

therof.

These variables made up the core study in analyzing and

determining the feasibility of a certain project. The feedback

culled in this research work would guide researchers and

potential investors whether to push or abandon the project or

whether such would be achievable or not under some given

circumstances.
 Descriptive survey method of research was used. Data

gathering techniques included the use of questionnaire, informal

interview, observation and documentary analysis. In terms of

statistical treatment, simple frequency and percentage

distribution were employed.

Data were then interpreted to a generalized statements about

the variables that could be reasonably deduced from the presented

data.

III. Industry Analysis

A. Future Outlook and Trends

There are at present more than 5 Suits and Barong

Shop presently operating within Talavera, Nueva Ecija .

Approximately there are more than 1,000 occasions happening in

the two from Christening , Marriage occasions, , fiesta and

others in Talavera which needed dress for this types and kinds

of occasion. The dress shop intends to capture only 40 % or 40

clients of the unserved clients demand according on the analysis

presented on the marketing study.

B. Analysis of Competitors

The target clients of the proposed business are the

different people in Talavera , Nueva Ecija The prospecting

clients are the unserved demand customers of other dress shop .

It will offer good dress and low prices by hiring a professional

and well trained tailor .

Competitors

Table 1
Name of Competitors , Number of Clients Served Per Year,
And the Demand Figures
2016

Name of Firm Number of Clients Demand Figures

Served Per Year No. of Clients
1. Hugo Dress Shop 96 100
2. Jet Dress Shop 55 70
3. North Dress Shop 73 90
4. Thunder Dress 43 65
Shop
5. Linda Dress Shop. 61 75
6. Star Dress Shop 67 80
7. Others 105 120
TOTAL 500 600

Source: Business and Permit Office (Talavera Hall)

Based on the Table 1 above, Hugo Dress shop has the highest

number of clients as it reached the maximum number of services

they give to the clients . It is not considered as direct

competitor of the business because it handled those big clients

but North Dress shop consider as direct competitor as it caters

small group of people and offer low prices of its dress . The

third column is the demand figure which rather based on the

interview conducted. The firms can only accommodate 500 clients

out of 600 projected demands.

C. market Segmentation

Table 4
Percent of Market Share of the Different Security Agencies,
Projected Share of dress shops

Projected
Supply Fig. %
Name of Firm
No. of Clients
1. Hugo Dress Shop 96 18
2. Jet Dress Shop 55 10
3. North Dress Shop 73 14
4. Thunder Dress Shop 43 8
5. Linda Dress Shop. 61 11
6. Star Dress Shop 67 12
7. Others 105 19
Jesmichernang
8. Suits and Barong Shop 40 8

TOTAL 540 100.00

The table 4 above shows that 8% of the clients can be

catch up by Jesmichernang Suits and Barong Shop.
IV Description of Venture

A. Product

The Jesmichernang Suits and Barong Shop rendered , we

offered different kinds of dress for all occasions . Each of the

dress and services rendered are very affordable and the customers

will really feel satisfied, there is a big demand for the dress

rental services we offered because we offered much lower prices

compared to others.

B. Service

Product Service

The list of Suits and Barong Shop rentals and dress which

will be offered is presented in the product description

Dress Rental( 1 day)

Christening 150.00
Marriage 250.00
others 250.00

C. Size of Business

The business office has a total area of 30 sq.m. The area

has a division between waiting lounge and production office. 2

tables placed on waiting lounge for clients while in production

office where tailors and managers detailed.

D. Office Equipment and Personnel

The equipment is composed of tailor machine Tailor machine

Computer, Cashiers Machine, Divider, Glass Shelter, calculator ,

Money box , Cutter Chair , Monoblock chair, Ladder chair Computer

Table , Dining table, Dress stand, Cabinet and Glass cabinet, it

will be run by manager a helper and a tailor

E. Background of Entrepreneurs
V. Production Plan

A. Manufacturing Process

The Jesmichernang Suits and Barong Shop will be

manufactured in the shop , from 7: 00 am to 7 :00 pm in the

evening , the store will be open also from the same time.

B.Physical Plant

The building will be in the form of renting , Improvements

will be done like repainting, installation of aircon and electric

fan, built-in filling cabinets, tables, chairs, etc. A counter

will be built to serve as divider between the receiving and that

of operation area.

Features of the structure include a toilet and bath, and an

entrance door. Utilities like water and telephone are already

installed in the building.

aircon
n
C. Machinery and Equipment

Equipment

Equipment
Descriptions Qty Unit Unit Cost Total Cost
Tailor 1 1 11,500 11,500
machine
Computer 1 1 14,000 14,000
Cashiers 2 1 18,000 36,000
Machine
Divider 1 1
25,531 25,531
Glass 1 1 3,900 3,900
Shelter
calculator 1 1 399 399
Money box 2 1 2,520 5,040
Cutter 1 1 1,299 1,299
Total 97,669

Furniture and Fixtures

Furniture and Fixtures

Descriptions Qty Unit Unit Cost Total Cost
Chair 1 Piece 1900 1900
Monoblock 4 Pieces 140 560
chair
Ladder chair 1 Piece 1290 1290
Computer 1 Piece 1250 1250
Table
Dining table 1 piece 950 950
Dress stand 1 piece 950 950
Cabinet 3 Pieces 1,600 4800
Glass 1 Piece 2100 2100
cabinet
Total 4,200 13,800
Supplies

Supplies
Descriptions Qty Unit Unit Cost Total Cost
20 20 400
21 15 315
50 4 200
60 20 1200
4 60 240
30 15 450
plastic 90 .50 45
Other 400 400
expenses
Total 3,250

Utilities (electricity, water, telephone)

Utilities

Item Descriptions Monthly Annual

Electricity 2300 27,600
Water 1000 10,000
Communications 1250 15,000
Total 52,600

D. Name of Suppliers of Raw Materials

The supplies will be obtained from Valisno textile in

Cabanatuan City

VI Marketing Plan

A. Pricing

The pricing policy that the business will be adopting is the

Cost plus mark-up. Instead of looking at the market, the business

will look at the own cost structure. Decide the profit to make

and add it to the costs to determine selling price.

 Dress Rental( 1 day) Sale
Christening Dress 150.00 P1,500
Marriage 250.00 1,500
others 250.00 1,500

Terms and Condition of Sales and rentals

All the products will be paid on cash. Upon the order of the

customer he will pay the amount of his purchase. The dress will

be given to the customer. In terms of rental all the dress will

be rented in one day whole basis only , additional 5 % will be

charges per day if the customers failed to return in time.

B. Distribution

The propose project will distribute services and items

within Talavera , Nueva Ecija and its nearby Town.

C. Promotion

The business will be advertised in Talavera , Nueva

Ecija where the business is located, the nearest city in the

location where an average part of target market is located.

Streamers will be place in different places in Talavera ,

Nueva Ecija . The specific target locations of these streamers

are in Talavera Smarket, City Hall, and in the Highway of

Talavera. The proponents choose these prime locations of the

streamers because these are the places where the target markets

can possibly be situated or passing by. Banners are less costly

compare to tarpaulin so it will be larger in size and place

streets/highways.

D. Products Forecast

Supply

Table 2
Name of Firms, Place of Business and Number of
Clients Served Per Year
2016

Name of Firm Address Number of Clients

served per year
1. Hugo Dress Town Market 96
Shop
2. Jet Dress Shop Town Market 55
3. North Dress Town Market 73
Shop
4. Thunder Dress Town Market 43
Shop
5. Linda Dress Town Market 61
Shop.
6. Star Dress Town Market 67
Shop
7. Others Various locations 105

500
TOTAL

On the above table the total sum of the number of the

clients served by the different Dress Shop within the town of

Talavera which has a total of 500 clients and on this

tabulation it is stated the present services for the Dress Shop

Demand Supply Analysis

Name of Firms, Demand and Supply Figure

2016
Name of the Firms Demand Supply
Figure Figure Unserved
Projected Present Customers
Demand No. of
Clients
Served
1. Hugo Dress Shop 100 96 4
2. Jet Dress Shop 70 55 15
3. North Dress Shop 90 73 17
4. Thunder Dress Shop 65 43 22
5. Linda Dress Shop. 75 61 14
6. Star Dress Shop 80 67 13
7. Others 120 105 15
TOTAL 600 500 100

The present supply of Jesmichernang Suits and Barong Shop

from the different shops mentioned above where the combined

number of clients is 500.

Total projected is 600, while existing supply is only 500. There

exists a demand-supply gap of 100 of the unserved clients, the

proposed business will supply 8% or equivalent to 40 potential

clients.

VII Organizational Plan

A. Form of Ownership

The proposed business will adapt partnership . This was

chosen by the owner of the business because of the simplicity of

the organizations and less legal requirements and minimal of

capital to be invested by the owner of the business.

B. Identification of Partners

Manpower Requirements

Proposed Position/Salary
Position No. Monthly Annual
Owner/Manager/ 1 8,500 102,000
Cashier
Helper 1 3,500 42,000
Tailor 1 4,000 48,000

Total 192,000

The owner of the business will act as manager and cashier

and also hired helper, and tailor for the full operation of the

business.

Compensation

Position No. Monthly Annual

Owner/Manager/ 1 7,000 84,000
Cashier
Tailor 1 6,000 72,000
helper 1 1 6,000 72,000
Helper 2 1 4,000 48,000
Total 276,000

Organization Structure

Manager

Helper 1 and Tailor

2
D. Management Team Background

1. The applicant must comply with the job specification and

requirements.

2. He/She must pass the interview and must take the

different examination.

3. He/She must submit the necessary documents like SSS

number, TIN number, NBI clearance, Philhealth number.

Termination

1. For employees showing habitual tardiness at work :

1st offense : Written memorandum.

2nd offense : Suspension for one week.

3rd offense : immediate dismissal from work.

2. In case of absences for reason of sickness, he/she must

present a medical certificate.

3. Theft, fraud and dishonest will also result to immediate

dismissal.

4. Employees are immediately responsible for all the damages

and breakage due to negligence.

E. Roles and Responsibilities of members of Organization

Owner/Manager:

1. Directs the entire business operation, which includes

supervising all the sales and its helper

2. Ensures the dress meets quality and standard service

regulatory requirements, and makes sure customers are

provided with exceptional service.

3. Sets the example of the organization's policies and

standards for performance.

4. Performs management responsibilities include hiring,

training, scheduling and motivating employees. Ensures that

proper, supplies and merchandise are ordered and stocked to

maintain appropriate inventory levels. This includes

communicating to his helper regarding the products or

services being offered.

5. Drives sales and increase revenues for the business. This

involves promoting the store, motivating helper to increase

sales and providing excellent customer service to establish

a continual customer presence, develop daily, weekly or

monthly revenue goals for the establishment and ensure those

goals are met.

6. Ensures that employees follow all guidelines when preparing

the dress .

7. Held the helper accountable for consistently high-quality

services.

8. Develops helpers by initiating training programs and

offering feedback to new and longtime employees.

 9. Ensures that all employees meet the business health and

safety guidelines.

10. Maintaining helper work records, preparing payroll checks

and completing tax and paperwork for new employees.

11. Keeps track of all business records.

12. Trains, assigns duties to and evaluate workers.

13. Responsible for the financial side of the operation,

keeping track of both the income and product inventory

14. Engages in marketing and promotion.

Helper/ Vendor

1. Serves as front liner of the business

2. Take orders of customers.

3. Prepares the orders and giving the ordered dress to the

customers

4. Take charge on the dress just in case that the manager is

not around.

5. Contributes to store goals for increasing sales / add-on

sales.

6. Do other duties and responsibilities as may be required by

the manager.

4.4 Manpower Requirements

Helper/ Vendor

Female or male, preferably single

 20-23 years old

With pleasing personality

College graduate

Must have at least1 year experience

Trustworthy and hard working

Willing to go on flexible time

Waiter/Utility

Male

18-23 years old

Trustworthy and hard working

VII Assessment of Risk

The following SWOT analysis captures the key strengths

and weaknesses within the company, and describes the

opportunities and threats facing the dress shop

Strengths

Strong relationships with vendors that offer high-quality

ingredients and fast/frequent delivery schedules.

Excellent staff who are highly trained and very customer

attentive.

Great retail space that is bright, hip, clean, and located

in an upscale mall, suburban neighborhood, or urban retail

district.
 High customer loyalty among repeat customers.

High-quality food offerings that exceed competitors

offerings in quality, presentation, and price.

Weaknesses

The Jesmichernang Suits and Barong Shop name lacks brand

equity.

A limited marketing budget to develop brand awareness.

The struggle to continually appear to be cutting edge.

Opportunities

Growing market with a significant percentage of the target

market still not aware that dress shops exists.

Increasing sales opportunities in dress business.

The ability to spread overhead over multiple revenue

centres. The dress shop will be able to spread the

management overhead costs among the multiple shops ,

decreasing the fixed costs per shops

Threats

Competition from local dress shops that respond to

Jesmichernang Suits and Barong Shop superior offerings.

 A slump in the economy reducing customer's disposable income

spent on renting and buying dress.

IX Financial Plan

The proposed projects investment cost are worth P150,000

equipments , Furniture, Fixtures to form part of the projects

operational facility in its daily operations that cost around

P13,800 and pre-operating expenses that are indispensable in the

start of the business operations like permits and licenses,

inventory, advertising, rental deposits and supplies with a cost

amounting around P38,531.

Fixed Asset Investment Amount

Equipment 97,669
Furniture and Fixtures 13,800
Total 111,469
Pre and Operating Expenses
Prepaid Rent (2 mos.) 20,000
Legal Requirements 4,600
Supplies 3,250

Total 27,850
Add: Revolving Capital 10,681

Total Project Cost 150,000

Sources of Funds
The capital requirement needed in the proposed business

will be sourced from the savings of the proponents.

Assumptions Underlying Projections

 1. Sales increased by 10% annually.

2. The cost of sales increased by 7% annually.

3. Depreciation is computation thru straight line method.

4. Operating Expenses will increased by 5% per annum.

VII. FINANCIAL ANALYSIS

7.1 Return on Investments

ROI = Net Income

Investments x 100

Year 1 46,134
150,000
ROI 31%

Year 2 79,425
150,000
ROI 53%

Year 3 117,495
150,000
ROI 78%

Year 4 160,988
150,000
ROI 107%

Year 5 210,540
150,000
ROI 140%
Average 81%

Payback Period

Payback Period = Investments

Annual Cash Return
 Average Net Income 122,916
Add: Depreciation 83,000
Annual Cash Return 205,916

Payback Period .72 or 8. 7 months

Jesmichernang Suits and Barong Shop

Projected Cash Flows Statement
Five-Year Period
Pre- Year 1 Year 2 Year 3 Year 4 Year 5
operating
period
CASH IN FLOWS
Capitals beg.
Sales 798,120 877,932 965,725 1,062,297 1,168,526
CASH OUTFLOWS
Machine and 97,669
Equipment
Furniture and 13,800
Fixtures
Prepaid Rent (2 20,000
mos.)
Legal 4,600
Requirements
Supplies 3,250

Legal 4,600 4,830 5,071 5,324 5,590

Requirements
Rent 120,000 126,000 132,300 138,915 145,860
Salary 192,000 201,600 211,680 222,264 233,377
Utilities 52,600 55,230 57,991 60,890 63,934
Supplies 39,000 40,950 42,997 45,146 47,403
Advertisings 2,300 2,415 2,535 2,661 2,794
Cost of Sales 319,680 342,057 366,001 391,621 419,034
Total 730,260 773,082 818,575 866,821 917,992

NET CASH FLOWS 67,860 104,850 147,150 195,476 250,534

Add: Cash Beg. 10,681 10,681 78,541 183,391 330,541 526,017

Balance
CASH BALANCE 150,000 78,541 183,391 330,541 526,017 776,551
END

Jesmichernang Suits and Barong Shop

Projected Income Statement
Five-Year Period
 Year 1 Year 2 Year 3 Year 4 Year 5
REVENUES

Sales 798,120 877,932 965,725 1,062,297 1,168,526

Less: Cost of 319,680 342,057 366,001 391,621 419,034
Sales
Less: 478,440 535,875 599,724 670,676 749,492
Operating
Expenses

Legal 4,600 4,830 5,071 5,324 5,590

Requirements
Rent 120,000 126,000 132,300 138,915 145,860
Salary 192,000 201,600 211,680 222,264 233,377
Utilities 52,600 55,230 57,991 60,890 63,934
Supplies 39,000 40,950 42,997 45,146 47,403
Advertisings 2,300 2,415 2,535 2,661 2,794
Depreciations 16,600 16,600 16,600 16,600 16,600
Total 427,180 447,625 469,174 491,800 515,558
NET INCOME 51,260 88,250 130,550 178,876 233,934
BEFORE TAX
Less: 5,126 8,825 13,055 17,887 23,393
NET INCOME 46,134 79,425 117,495 160,988 210,540
 Jesmichernang Suits and Barong Shop

Projected Balance Sheet

Five-Year Period
Pre- Year 1 Year 2 Year 3 Year 4 Year 5
operating
period
ASSETS
Current
Cash 10,681 78,541 183,391 330,541 526,017 776,551
Prepaid Rent 20,000 20,000 20,000 20,000 20,000 20,000
(2 mos.)
Legal 4,600 4,600 4,600 4,600 4,600 4,600
Requirements
Supplies 3,250 3,250 3,250 3,250 3,250 3,250
Total 106,391 211,241 358,391 553,867 804,401
Non-Current
Assets

Machine and 97,669 97,669 83,269 68,869 54,469 40,069

Equipment
Less: Acc. 14,400 14,400 14,400 14,400 14,400
Depn
Book Value 83,269 68,869 54,469 40,069 25,669

Furniture 13,800 13,800 11,600 9,400 7,200 5,000

and Fixtures
Less: Acc. 2,200 2,200 2,200 2,200 2,200
Depn
Book Value 11,600 9,400 7,200 5,000 2,800

Total Assets 201,260 289,510 420,060 598,936 832,870

Owner Equity
Capital beg. 150,000 150,000 201,260 289,510 420,060 598,936
Add: Net 51,260 88,250 130,550 178,876 233,934
income
Total 201,260 289,510 420,060 598,936 832,870
Capital
 Schedule 1
Depreciations

Particulars Cost Salvage Depreciable Estimated Annual

Value Value useful Depreciations
life
Machine and 97,669 25,699 72,000 5 14,400
equipment
Furniture 13,800 2,800 11,000 5 2,200
and
Fixtures
Total 16,600