A Feasibility Study On Grill House in Oroquieta City

A FEASIBILITY STUDY ON GRILL HOUSE
IN OROQUIETA CITY
PRESENTED TO THE FACULTY OF

COLLEGE OF BUSINESS
LA SALLE UNIVERSITY OZAMIZ CITY
IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE

DEGREE OF BACHELOR OF SCIENCE IN BUSINESS
ADMINISTRATION
REGINE KAYLE A. ALINAS

BSBA-MM4
LOUISE CAMILLE C. LAO
BSBA-MM4
JAY FRANCIS A. CALLANTA
BSBA-MM4
MARCH 2015
TABLE OF CONTENTS
Title Page
Approval Sheet i
Certification ii
Acknowledgement iii
Abstract iv
Executive Summary v-vii
Conclusion viii
Recommendation viii
CHAPTER 1
Introduction 1
Review of Related Literature 2-3
A. Rationale of the Study 3
B. Objective of the Study
a. Market Study 4
b. Human Resource and Legal Management Study 4
c. Socio – Economic Study 4
e. Technical Study 4
f. Financial Study 4-5
C. Significance of the Study 5
D. Scope and Limitation 6-7

CHAPTER 2
Methodology
A. Market Study 8
B. Human Resource and Legal Management 8
C. Environmental Study 9
D. Technical Study 9
E. Socio-Economic Study 9
F. Financial Study 9
CHAPTER 3
Market Study
A. Market Description 11
B. Demand 11-15
C. Competitor’s Profile 15-17
D. Promotional Activities 18
E. Branding 18
F. Price Analysis 19
G. Pricing 19
H. Channel of Distribution 20
Technical Study
Technical Aspect 21
I. Technical Description of the Products 22
II. Time and Motion 22-25
III. Materials, Tools and Supplies 26-30

IV. One Production Run 31
V. Inventory Management 31-32
VI. Plant Location 32
VII. Plant Schedule 33
VIII. Plant Safety 33-34
IX. Production Capacity 34
X. Waste Disposal 34
Management Study
A. Vision-Mission of the Business 35
Proponent’s Profile 36
B. Form of Business Organization 37
C. Functions 37-38
D. Manpower Requirement 38
E. Salaries, Wages and Benefits 38-39
F. Job Specification and Job Description of Employees 39-41
G. Hiring Procedures 41-42
H. Pre Operating Period 42-43
I. Gantt Chart/ Project Time Table 44
J. Operating Policies, Rules and Regulations 44-46
Socio-Economic Study 47
CHAPTER 4
Financial Study
Financial Highlights 48
Financial Assumptions 49
Financial Statements
Projected Statement of Comprehensive Income 50
Projected Statement of Financial Position 51
Projected Statement of Cash Flows 52
Projected Statement of Changes in Equity 53
Schedules
Schedule 1: Sales 54-55
Schedule 2: Cost of Sales 56
Schedule 3: Production Supplies 57-58
Schedule 4: Cleaning Supplies 59
Schedule 5: Office Supplies 60
Schedule 6: Machineries and Equipment 61-62
Schedule 7: Leasehold Improvement 63
Schedule 8: Salaries and Wages 64
Schedule 9: Employer SSS Contribution 65
Schedule 10: Employer Philhealth Contribution 66
Schedule 11: Employer Pag- ibig Contribution 67
Schedule 12: Permits and Licenses 68
Schedule 13: Advertising Expense 69
Schedule 14: Utilities Expense 70
Schedule 15: Rent Expense 71
Schedule 16: Furniture and Fixtures 71
Schedule 17: Ingredients 72-73

Computations
Project Cost 74
FS Analysis 75-77
APPENDICES
Sample Questionnaire 78-79
List of References 80-81
Materials, Tools, Ingredients and Supplies 82-99
Floor Plan 100
The Researchers 101
LIST OF TABLES
Table 1: Number of Government Employees 10
Table 2: Respondents Who Eat In Restaurants 11
Table 3: Where the Respondents Usually Eat 11-12
Table 4: Number of Respondents Who Would Visit the Proposed Business 12
Table 5: Number of Government Employees Who Would Visit the Business 13
Table 6: Number of Times the Respondents Would Visit the Business 13
Table 7: Combo Meal Preferred By the Government Employees 14
Table 8: Annual Demand of Each Combo Meal 15
Table 9: Prices of Combo Meals 19
Table 10: Time and Motion 22
Table 11: Preparation of Products 23-25
Table 12-13: Production Supplies 26-28
Table 14: Cleaning Supplies 28

Table 15: Office Supplies 28-29
Table 16: Machineries and Equipment 29
Table 17: Furniture and Fixtures 30
Table 18: Utilities 30
Table 19: Inventory 32
Table 20: Schedule of Operation 33
Table 21: Production Capacity 34
Table 22: List of Workers with their Corresponding Wages 38
Table 23: Job Specification and Job Description 39-41
Table 24: Gantt Chart/Project Time Table 44
Table 25: Household Population 47
Table 25: Financial Results for 2015-2019 48
LIST OF FIGURES
Figure 1: Branding 18
Figure 2: Channel of Distribution 20
Figure 3: Organizational Chart 37

APPROVAL SHEET
The feasibility study on Grill House in Oroquieta City is prepared and submitted by Regine
Kayle Alinas, Louise Camille Lao and Jay Francis Callanta and in partial fulfillment of the
requirements for the degree of Bachelor of Science in Business Administration has been
examined and recommended for acceptance and approval of oral examination.
FEASILIBILTY STUDY COMMITTEE
Mr. Nemar Jay Capitania, CPA, MBA

Adviser
Mr. Anthony Marollano, MBA Ms. Cynthia Tac-an, CPA, MBA

Member Member
Ms. Daryl F. Quinco, CPA, MBA, LLB Mr. Raymundo Dolor, CPA, MBA, LLB
Member Chairman
PANEL OF EXAMINERS
Approved by the Committee on Oral Examination as PASSED with ( ) no revisions (√) minor
revisions ( ) major revisions on February 14, 2015
Mr. Raymundo Dolor, CPA, MBA, LLB
Chairman
Mr. Anthony Marollano, MBA Ms. Cynthia Tac-an, CPA, MBA

Member Member
Ms. Daryl F. Quinco, CPA, MBA, LLB Mr. Nemar Jay Captania, CPA, MBA
Member Adviser
Accepted and approved in partial fulfillment of the requirements for the degree of Bachelor of
Science in Business Administration.
CERTIFICATION
To Whom It May Concern:
This is to certify that this feasibility study titled “GRILL HOUSE IN OROQUIETA
CITY” has been thoroughly checked for grammar use and sentence construction by the
undersigned.
This certification is issued upon the request of the researchers- Regine Kayle A.
Alinas, Louise Camille C. Lao and Jay Francis A. Callanta for whatever purpose this may serve
them best.
DR. IRENE E. EGUICO

English Editor
ACKNOWLEDGEMENT
Immeasurable appreciation and deepest gratitude for the help and support are extended to the
people who in one way or another have contributed in making this study possible.
A heartfelt thanks and undying faith to our Almighty Father who enlightened our path to strive
hard and to never lose hope.
To Mr. Nemar Jay Capitania, the researchers’ adviser for his never ending support, guidance,
valuable comments, suggestions, and provisions that helped in the completion and success of this
study.
To the panelists, for the intellectual critiques and suggestions that helped shape and realize this
study.
The researchers would like to thank their parents for the moral support and financial ass istance
because without them, this study would not be possible.

ABSTRACT
The study aims to find out the feasibility of Grill House in Oroquieta City. Three hundred forty-
six government employees were surveyed to identify the demand of the combo meals the
proposed business is offering. A descriptive type of research design was used in this feasibility
study. The researchers made questionnaires and were submitted to experts for corrections. This
feasibility study found out that Grill House in Oroquieta City is a feasible business.
EXECUTIVE SUMMARY
A. Project Description
Project: Grill House
Business Name: GRILL’N
Proponent: Mr. Jonathan T. Callanta
Location: Ciriaco, Pastrano St., Oroquieta City, Misamis Occidental
Form of Business: Sole Proprietorship
Total Project Cost: P 397,000
Payback Period: 1.13 (1 year and 2 months)
ROI: 86.83%
I. Market Aspect
Market concentration of the project will be at Oroquieta City and it targets the government
employees. Based on the data gathered, the first year of operation Combo 1 will have a demand
of 8,004 and will increase up to 9,729 on its fifth year of operation. Combo 2 will have a demand
of 4,008 on its first year of operation and will increase up to 4,872 on its fifth year of operation.
Combo 3 will have a demand of 4,764 on its first year of operation and will increase up to 5,791
on its fifth year of operation. Combo 4 will have a demand of 5,196 on its first year and will
increase up to 6,316 on its fifth year of operation. Combo 5 will have a demand of 5,952 on its
first year and will increase up to 7,235 on its fifth year of operation. Combo 6 will have a
demand of 6,816 on its first year and will increase up to 8,285 on its fifth year of operation. The
proposed business has a demand of 37,740 for the first year and increased up to 42,228 for the
fifth year of operation. Promotional activities like flyers (P1,500), tarpaulin(P 1,000) and
signage(P 1,000) are recommended in the first year, while the radio advertisement which costs P
1,500 per month will air until the next five years of its operation for the purpose of public
information of the existence of the business.
II. Technical Aspect
Grill House in Oroquieta City will offer 6 combo meals. Combo 1 will be for P87.00, Combo 2
will be for P135.00, Combo 3 will be for P125.00, Combo 4 will be for P99.00, Combo 5 will be
for P85.00, and Combo 6 will be for P105.00. The proposed business is expected to operate
seven times a week and will start its operation at 9:00am and ends at 9:00pm. With the major
equipment such as the grill, rice cooker and freezer with the right ingredients, the proposed
business can produce 95 combo meals a day. Main ingredients like meat products will be
delivered daily by the suppliers and some will be bought weekly.
III. Management Aspect
GRILL’N will be opened as a sole proprietorship form of business. The owner will manage the
business operation. His son will serve as the cashier. The owner will hire 2 grill cooks and 4
service crews. The 2 grill cooks will have a salary of P7,800 a month and the 4 service crews
will have a salary of P7,696 a month. P556,608 is total annual cost in maintaining the employees.
There will be an increase of 3% in their salaries every year.

IV. Socio-Economic Aspect
The business will focus in Oroquieta City which is a 4 th class component city with an average
annual income of P160M or more but less than P240 M. Oroquieta City has a land area of
237.88 sq. km and is composed of 47 barangays. As of 2014, the projected population in
Oroquieta City reaches 71, 532 residents with an estimated growth rate of 1.30% annually and
around 14,841 households. The main source of income in Oroquieta City is from agriculture,
fishing, small scale businesses and employment. The employment rate in Oroquieta City is at
93.80%. The target market of the proposed business are the employees of the Provincial Capitol
and City Hall with a total number of 2,256. With a new business being introduced to the market,
opportunities arise. Grill’n offers employment to the unemployed, thus minimizing
unemployment rate.
V. Financial Aspect
The projected cost of the business is Php 369,692. The financial statements showed the results of
the overall computations and the performance of the business. The business’s net income for the
following years: Php 321,008 (2015), Php 385,518 (2016), Php 427,858 (2017), Php 472,655
(2018), and Php 520,042 (2019). Grill House in Oroquieta has a payback period of 1year and 2
months. It has an increasing net income for over five years wherein for the first year of operation
the business can generate an income of Php 321,008 and for the fifth year of operation the
business can generate an income of Php 520,042. Grill House in Oroquieta City has a project
cost worth Php 396,692 and the return on investment for the first year is 86.83%. Based from the
results, it shows that the income of the Grill House will be increasing annually which meant that
the business is feasible.

CONCLUSION
Based on the gathered and analyzed data, it is proven that Grill House in Oroquieta City is a
feasible and profitable business.
RECOMMENDATION
The researchers recommend that the business is good for businessmen to invest with. The
proposed business ensures high return on investment rate. Moreover, the research needs further
study to ensure the success of the business.

CHAPTER 1
INTRODUCTION
Filipinos are known for being food lovers. Some just satisfy their stomach for survival,
for some eating give them pleasure that drives them to be happy, and for some it relieves them
from stress and depression. Restaurants are places where people can dine, take their orders and
pay after they finish eating or choose to takeout their orders. This kind of business is one of the
fast growing businesses in the market today. This kind of business offers a cooking service
which uses food to attract customers. Restaurants offer different kinds of dishes depending on
their line specialties. However, most of the people think that restaurants offer food as their
product and not thinking of the services that it offers them.
Grilling is already part of the ancient times for cooking food and this kind of cooking is
still used in modern times. The history of grilling starts a very long time ago and has been
developed time to time.
The researchers intend to put up a grill house in Oroquieta City. It is a restaurant that
offers grills of different kinds of meat to the people of Oroquieta and the visitors from other
places. It is a restaurant with a family friendly ambience.
As observed, there are only few restaurants in Oroquieta which offers grill as their main
dish. The researchers would like to determine the feasibility of the said business that offers
grilling of different kinds of meat to the people of Oroquieta and to the visitors from other
places.
REVIEW OF RELATED LITERATURE
Grilling involves cooking food on a rack over a heat source, usually a charcoal fire or
ceramic briquettes heated by gas flames. Direct heat quickly sears the outside of food, producing
distinctive robust, roasted―and sometimes pleasantly charred―flavors and a nice crust. If food
is cooked over moderate heat, it gains a crust as well as a smokier taste. Choosing between a gas
or charcoal grill is a lifestyle choice; they perform comparably, if not equally. For the most
versatility, choose a grill with a large cooking surface and a lid. Most Americans (some 65
percent) choose gas grills for their convenience and the consistent heat provided by gas flames;
others enjoy the hands-on approach to lighting a charcoal fire. Here are a few other useful tools:
a chimney starter for charcoal, long-handled tongs, basting brush, spatula, oven mitts, a wire
brush for cleaning, disposable foil pans, and a meat thermometer.
There are multiple grilling techniques and methods. The types of heat sources for grilling
are numerous. Factor in the different types of food like steaks, poultry, fish, seafood and
vegetables and you can quickly see that the ways and methods of grilling are going to be many
and diverse. The key is to customize your grilling techniques and your use of equipment to suit
the food type to obtain the result you desire. To get the best results from a particular method or
technique, these factors have to be put into play. The main factors are food type, heat source and
desired result. The last factor has to do with personal preference or weather, as in, will you be
grilling indoors or outdoors?

The history of grilling begins shortly after the domestication of fire, some 500,000 years
ago. The backyard ritual of grilling as we know it, though, is much more recent. Until well into
the 1940s, grilling mostly happened at campsites and picnics. After World War II, as the middle
class began to move to the suburbs, backyard grilling caught on, becoming all the rage by the
1950s.
In suburban Chicago, George Stephen, a metalworker by trade and a tinkerer by habit,
had grown frustrated with the flat, open brazier-style grills common at the time. Once he
inherited controlling interest in the Weber Bros. Metal Spinning Co, a company best-known as a
maker of harbor buoys, he decided the buoy needed some modification. He cut it along its
equator, added a grate, used the top as a lid and cut vents for controlling temperature. The Weber
grill was born and backyard cooking has never been the same.
A. RATIONALE OF THE STUDY
The researchers preferred Grill House in Oroquieta City as the subject of study because
the researchers have come up with a common observation --- that is, the lack of grilling
establishments in Oroquieta City. Hence, the study aims to explore the feasibility as well as the
profitability of Grill House in Oroquieta City business. The study was conducted last June 2014-
February 2015.
B. OBJECTIVES OF THE STUDY
This study is conducted to determine the viability and feasibility of Grill House in
Oroquieta City. Specifically, it seeks to determine the following:
A. MARKET STUDY
1. The appropriate target market and the projected demand in the next five years.
2. The marketing strategies (product, place, promotion, price) that is appropriate for the market.
3. The cost of marketing the product.
B. HUMAN RESOURCE STUDY
4. The organizational structure that is appropriate to the business.
5. The manpower requirement of the business including their functions and skill requirements.
6. The availability of this manpower in the locality.
7. The average wages in the industry vis-à-vis the minimum wage.
C. SOCIO-ECONOMIC STUDY
8. The demographics (age, gender, household, civil status, religion and some other relevant
information) of the people that are relevant to the business in the location stated.
9. The sources of income of the people in the said location
D. TECHNICAL STUDY
9. The tools, equipment, machineries and supplies requirement.
10. The maximum capacity (production)
11. The time and motion of its operation.
12. The standard mix of ingredients.
E. FINANCIAL STUDY
13. The project cost.

14. The financing scheme.
15. The profitability, solvency and liquidity.
16. The payback period.
17. The return on investment.
C. SIGNIFICANCE OF THE STUDY
a. Employees – the business will give new job opportunities for the skilled workers,
help them develop and learn new skills and give them the right salary which will
be their source of income.
b. Government – Grill’n will be a big help for the local government units to generate
more income from the taxes paid by the business. The business will also reduce
the unemployment rate in Oroquieta.
c. Suppliers – the business will be a big help for the suppliers to increase the sales of
their business and pay the right amount for every transaction to develop
harmonious relationship.
d. Future researchers – this research can be used by the future researches as a
guideline, gather and increase their knowledge, and will serve as a reference to
their future study.

D. SCOPE AND LIMITATION
I. MARKET STUDY
The study will be limited on determining the possible target market and the marketing
strategies to be used by the business to answer the demand of the target market.
II. HUMAN RESOURCE AND LEGAL MANAGEMENT
The study implies the possible employees to be hired, the qualifications, the needs to be
attained of an employee, the process in which the employees will undergo for training, and
the qualities that the employees must avoid in the management. The possible hired
employees must be at least a graduate of secondary level, with the age of 18 – 45 years old
and are not having employed in other establishment. The owner is responsible in managing
the business and meets the necessary terms and conditions in the operation.
III. SOCIO ECONOMIC STUDY
The study aims to determine on how the business affects the society. This study seeks to
provide ambrosial grilled dishes and excellent service to customers that would satisfy them.
This is used to determine the impact of having the business in relation to the customers,
government, community, and employees.

V. TECHNICAL STUDY
This study identifies the effectiveness and efficiency of the owner and their employees in
doing their duties and responsibilities. This involves the equipment and tools used, and how
the owner and employees handle certain problems regarding running the business.
VI. FINANCIAL STUDY
This study focuses on the budget, projects and other financial entities. It will also
determine the covered expenses as the business operates throughout its first year and the
following years. It seeks to predict the possible income and the possible threat that will
happen to the business.

CHAPTER 2
METHODOLOGY
A. Market Study
The research made use of descriptive type of research to obtain the needed data necessary for the
proposed business. Survey questionnaires serve as a research instrument to gather information
about the needs and wants of the consumers so that the supply and demand will be determined
and analyzed. The result of the survey determined the feasibility of the proposed business.
Random sampling was used to get the respondents. The respondents of the study were the
government employees of Oroquieta City. The survey questionnaire consisted of the socio-
demographic profile of the prospective clients which included the name, address, age and
income. The data collected were tallied and analyzed. The results of the interpreted data were
used to determine the feasibility of the proposed business.
B. Human Resource and Legal Management Study
The researchers conducted interview to gather information. The business name and
designing of the organizational structure were discussed and determined by the researchers
through sharing of ideas, opinions and suggestions. The researchers proposed the type of
business which is partnership. Employees needed to run the business and their job specifications
were identified. The researchers visited the Department of Labor and Employment to conduct a
personal interview about the labor laws that must be used in hiring employees, the right
compensation for the employees, the proper management of the emp loyees and the operating
policies.
C. Environmental Study
The researchers did survey, canvass, interview and sharing of ideas in order to handle the
customers well, how to maintain food, how to dispose wastes properly and keep proper sanitation
in line with the activities in promoting cleanliness within the environment.
D. Technical Study
In this study, the researchers concentrated on the supplies used in operating the business.
The researchers used set of questionnaires as a tool in gathering information. The researchers
visited the location of the proposed business in Oroquieta City and know its terms and conditions
upon renting the place. The researchers canvassed the chairs and tables made out of woods in
some furniture outlets in Ozamiz City and consulted for their specialized supplies that fit in the
proposed business.
E. Socio – Economic Study
The researchers used survey, interviews, canvass, observation and exchanging of ideas to
come up a data identifying the strengths and weaknesses of Grill’n in the society. It seeks to give
job opportunities that would help minimize the unemployment rate of Oroquieta city. It aims to
follow all the rules and regulations of the government and as well as satisfying the needs and
wants of the people.
F. Financial Study
In gathering information of how much will be the capital needed for the proposed
business, the researchers consulted an accountant to do accounting of the cost of needed
materials for the proposed business. Investments and savings of the proponent will be the main
source of capital. The researchers with the help of an accountant will do computations for them
to determine the overall initial investment of the proposed business.

CHAPTER 3
MARKET
STUDY
The researchers spent three days observing and gathering information from different restaurants
in Oroquieta City. The researchers found out that most of the customers that went to restaurants
were government employees. The researchers distributed questionnaires to attain the objective of
the market study. The purpose of the survey is to know how many of the government employees
of Oroquieta City would be willing to eat in Grill’n. The researchers went to Oroquieta City Hall
and Provincial Capitol to gather information with regard to the population of government
employees. The researchers decided to limit the distribution of questionnaires from the different
offices of the Provincial Capitol and City Hall.
Table 1 shows the population of the government employees and sample size of the population
that are needed in gathering the data.
Table1. Number of Government Employees
Government Employees Total No. of Employees Sample size

Provincial Capitol 1,846 253
City Hall 680 93
Total 2526 346
There are 2,526 government employees in Oroquieta City and the sample size is 346. The
researchers were able to conduct the survey using the questionnaires after knowing the total
number of respondents. After conducting the survey, the researchers tallied the gathered
information and came up with the distribution of data needed for the demand.
A. Market Description
Today, eating becomes a habit to most of the people especially here in Philippines. People go to
restaurants or a fast food chain with their friends or family depending on what they are craving,
and one of those is grilled products. The target market of the proposed business are the
employees working in the city government and the provincial government. The researchers
selected this target market based on their observation on its competitors and based on the site
where Grill’n is located which is accessible to all government employees.
B. Demand
Table 2 shows the number of respondents who eat in restaurants.
Table2. Respondents Who Eat in Restaurants
No. of Respondents Percentage

Yes 336 97%
No 10 3%
Total 346 100%
The table illustrated that 97% or 336 of respondents eat in restaurants while 3% or 10 do not eat
in restaurants.
Table 3 shows what food outlets in Oroquieta City the respondents usually visit. The respondents
are allowed to select more than one from the given choices.
Table3. Where the Respondents Usually Eat
Food Outlet Number of Respondents Percentage

Jollibee 76 22%
Chicken Ati-atihan 94 27%
Luciano’s Retsaurant 9 3%
Rhovic’s Restaurant 18 5%
Villa Amor Hotel & 39 11%
Restaurant
Ogis Lechon Manok 62 18%
Halang-halang Outlets 48 14%
Total 346 100%
The table shows the places where the respondents usually eat in Oroquieta City. The respondents
are allowed to check one from the given choices. There are 76 or 22% who usually eat at
Jollibee, there are 94 or 27% of employees eat at Chicken Ati-Atihan, there are 9 or 3% in
Luciano’s Restaurant, there are 18 or 5% who usually eat in Rhovic’s Restaurant, there are 39 or
11% who eats in Villa Amor Hotel & Restaurant, there are 62 or 18% who eats in Ogis Lechon
Manok and lastly, there are 48 or 14% who eats in Halang- halang Outlets. Therefore, the top 4
food outlets where the respondents usually eat are Jollibee, Chicken Ati-atihan, Ogic Lechon
Manok and Halang-halang Outlets.
Table 4 shows the number of respondents who would visit the proposed business
Table 4.Number of Respondents Who Would Visit the Proposed Business
Number of Respondents Percentage

Yes 321 93%
No 25 7%
Total 346 100%
The table illustrated the number of respondents who are willing to visit the proposed business.
There are 321 or 92% who will visit the proposed business, however there are also 25 or 7%
from the population who are not willing to visit the proposed business.
Table 5 shows the equivalent number of people, from the given sample size, who will visit the
proposed business
Table5. Number of Government Employees Who Would Visit The Proposed Business
Total Number of Employees No. of People that Will Visit

the Proposed Business
Total 2,526 x 93% 2,279
Table 5 shows the estimated number of people who will visit the proposed business based on the
total population of government employees. It is derived by multiplying the total number of
employees to the 93% of respondents who answered yes.
Table 6 shows how many times in a month the respondents will visit the proposed business
Table6. Frequency of Visit
Number of Percentage Equivalent

Employees Visits
Once a month 1,800 79% 1800
Twice a month 342 15% 684
Thrice a month 137 6% 411
Total 2,279 100% 2,895
There are 2,279 from the total population who are willing to visit the business. The table shows
the number of times those respondents would visit the place. There are 1,800 or 79% who would
visit Grill’n once, there are 342 or 15% who would visit Grill’n twice and there are 137 or 6%
who would visit Grill’n thrice. Therefore, there will be a total of 2,895 equivalent visits per
month.
Table 7 shows the distribution of government employees according to their preferred combo
meal.
Table7. Combo Meal Preferred by the Government Employees
Combo Meals Number of Employees Percentage
Combo 1 667 23.05%
Combo 2 334 11.53%
Combo 3 397 13.71%
Combo 4 433 14.95%
Combo 5 496 17.13%
Combo 6 568 19.63%
Total 2,895 100%
According to what Table 5 shows, there are 2,895 visits in a month. There are combo meals
presented that the respondents will choose from. The respondents chose only one meal despite
the number of times they are going to visit in a month. There are 667 orders of Combo 1 in a
month. There are 334 orders of Combo 2 in a month. There are 397 orders of combo 3 in a
month. There are 433 orders of Combo 4 in a month. There are 496 orders of Combo 5 in a
month. There are 568 orders of combo 6 in a month. Therefore, there are 2,895 combo meals
sold in a month.
Table 8 shows the annual demand of the 6 Combo meals.
Table8. Annual Demand of Each Combo Meal
Monthly Demand No. of Months of Annual Demand
Ope ration
Combo 1 667 (12) 8,004
Combo 2 334 (12) 4,008
Combo 3 397 (12) 4,764
Combo 4 433 (12) 5,196
Combo 5 496 (12) 5,952
Combo 6 568 (12) 6,816
TOTAL 2,895 34,740
The annual demand of Combo 1 is 8,004, Combo 2 is 4,008, Combo 3 is 4,764, Combo 4 is
5,196, Combo 5 is 5,952 and Combo 6 is 6,816. There will be a total demand of all combo meals
is 34, 740 annually.
C. Competitor’s Profile
The researchers searched for the competitors that might share with the profit of Grill’n. Since
Grill’n offers grilled dishes as the main course, we considered other restaurants and fast food
chains as indirect competitors.
 Jollibee
Jollibee is the largest fast food chain in the Philippines, operating a nationwide
network of over 750 stores. It is an American-style fast food restaurant with

Filipino-influenced dishes specializing in burgers, spaghetti, chicken and some
local Filipino dishes. The company has also embarked on an aggressive
international expansion plan in the USA, Vietnam, Hong Kong, Saudi Arabia,
Qatar and Brunei, firmly establishing itself as a growing international QSR
player.
 Chicken Atitihan
Chicken Ati-Atihan is a unique and flexible dining restaurant known of their
finest grilled chicken. As their saying goes “We didn’t invent chicken barbeque,
we perfected it just for you.”. Apart from it, they offer a variety of Filipino dishes
served in a very reasonable prices. With the resto’s very “pinoy- like” ambiance,
diners may always enjoy the feel-at- home dining experience. And the consistency
of every cooked recipe even made their name very authentic.
 Luciano’s Hotel and Restaurant
Luciano’s is a restaurant that was launched last October 2012. It offers variety of
dishes that includes Japanese cuisine as their specialty. The restaurant is open
daily from 7:00 AM- 12 mindnight.
 Payling’s Restaurant
Payling's Restaurant has opened to give the locals a unique taste of Filipino-
American cuisine in a homely kind of settings. The restaurant has its home- like
structure. You might be intimidated at first to get inside because of its closed
wooden doors. But when you see the interior design, you’d be excited what this
restaurant has to offer. Most of their servings are good for 2-3 people so their
price range is relatively affordable. Price budget: PHP 200-300.
 Villa Amor Hotel and Restaurant
Is a local hotel business with restaurant in Oroquieta City. It offers different
kinds of Filipino food.
 Ogis Lechon Manok Fast Food
Ogis Lechon Manok, a pioneering lechon manok business established on July 19,
1999 in Mabini St., Molave in Zamboanga del Sur. It was owned and operated by
Puting Manok Corporation. The name Ogis is a Visayan term which means puting
manok in Tagalog. A decade of excellence in serving delicious lechon manok is
the edge of Ogis over various lechon manok businesses in Mindanao. Ogis proves
itself in the business and realizes its tagline;” Lamian hangtod sa pagkahurot” or
“Masarap hanggang maubos”.
 Halang- halang Outlets
These outlets are located near the city plaza and the sea area. They offer different
“lutong-bahay” dishes, barbecue and halang- halang as their specialty viand at
very affordable prices.

D. Promotional Activities
The researches proposed that the business should engage and invest into promotional
activities to attract more customers.
1. Signage – the business will put up creative signage to attract its target
market.
2. Tarpaulin – the business will post tarpaulins around the city to make the
target market aware of the product.
3. Social Media – the business will have its own page on facebook, twitter
and instagram to reach people that are active on social media.
4. Radio Ads – the business will invest in radio advertisements to give the
listeners information about the business and to attract them.
E. Branding
The brand name of the proposed business is GRILL’N.
Tagline: “The taste you cannot resist”
Figure 1.
F. Price Analysis
The researchers came up with a price that is affordable to the customers. Since Grilll’n doesn’t
have a direct competitor, the price of every combo meal is based on the cost of production plus
the 25% mark up.
G. Pricing
Table 9 shows the prices of every combo and extra rice per serving in Grill’n.
Table9. Prices of Combo Meals
Combo Meals Price pe r Serving
Combo1 (Pork belly + Unli Rice + Soft 87
drink)
Combo 2 (Tuna belly + Unli Rice + Soft 135
drink)
Combo 3 (Baby Back Ribs + Unli Rice + 125
Soft drink)
Combo 4 (Chicken Barbecue + Unli Rice 99
+ Soft drink)
Combo 5 (Grilled Bangus + Unli Rice + 85
Soft drink)
Combo 6 ( 2 pcs. Hungarian Sausage + 105
Unli Rice + Soft drink)

H. Channel of Distribution
SUPPLIER
GRILL’N
SERVICE CREW
CUSTOMERS
Figure 2.
TECHNICAL
STUDY
TECHNICAL ASPECT
The researchers came up with these combo meals because according to the Filipino Style Recipe
website, grilled pork belly, chicken, bangus, pork ribs and tuna belly are the most popular
Filipino grilled foods that are best paired with rice. These grilled foods including hungarian
sausage are available at Big J grill house which is located at Ozamiz City, a one hour drive from
Oroquieta City. Based on the gathered information through interview conducted by the
researchers, these grilled foods are included in their top best sellers. Since it is just a
neighboring town, the researchers assume that these products are also sellable in Oroquieta City.
The researchers interviewed personnel from Chicken Ati-atihan in Oroquieta City with regards to
the number of cups the customers can consume on their unlimited rice and they came up with the
average of 2-3 cups of rice. The researchers used this information as the basis of preparing for
the unli rice.
The following are the varieties of combo meals offered in Grill’n:
A. Combo 1 – a combo of grilled pork belly with unli rice and an 8 oz. soft drink.
B. Combo 2 – a combo of grilled tuna belly with unlirice and an 8 oz soft drink.
C. Combo 3 – a combo of grilled baby back ribs with unli rice and an 8 oz. soft drink.
D. Combo 4 – a combo of grilled chicken barbecue with unli rice and an 8 oz. soft drink.
E. Combo 5 – a combo of grilled bangus with unli rice and an 8 oz. soft drink.
F. Combo 6 – a combo of 2 pieces grilled Hungarian sausage with unli rice and an 8 oz. soft
drink
I. Technical Description of the Product/Service

Custome r Order
In this phase, the proposed business will get the orders of the customers. The customers will also
pay after ordering since it is pay as you order.
Preparation
In this phase the cook and grill cook will begin and take charge of preparing the products for
grilling.
Cook
This phase is the grilling of the food.
Plate
This is the finishing stage which is putting the grilled food and rice on the plate.
Serve
This phase is the delivering of food with the drink towards the table of the prospective customer.
II. Time and Motion
Table 10 shows the time and motion from ordering to the cleaning of tab les.
Table10. Time and Motion
Tasks Combo 1 Combo 2 Combo 3 Combo 4 Combo 5 Combo 6

1. Ordering 5 mins 5 mins 5 mins 5 mins 5 mins 5 mins
and Paying
2. Cooking 20 mins 15 mins 15 mins 20 mins 15 mins 10 mins
3. Serving 3 mins 3 mins 3 mins 3 mins 3 mins 3 mins
4. Eating 10-15 10-15 mins 10-15 mins 10-15 mins 10-15 10-15 mins
mins mins
5. Cleaning 4 mins 4 mins 4 mins 4 mins 4 mins 4 mins
of table
Total 40-45 35-40 mins 35-40 mins 35-40 mins 35-40 35-40
mins mins mins
Table 11 shows the procedure and time needed to make each combo meal.
Table11. Preparation of Products
Recipes Procedures Time

Grilled Pork Belly In a bowl, combine Preparation Time: 3 hours and
marinade ingredients then 20 minutes
marinate pork belly for at least Cook Time: 20 minutes
3 hours or in a fridge Total Time: 3 hours and 40
overnight. Remove the pork minutes
belly and then reserve the
marinade. Combine ketchup
and oil in marinade then mix
well for basting. Grill
marinated pork belly over hot
charcoal for 10 minutes each
side or until tender while
basting with marinade mixture.
Grilled Tuna Belly Wash tuna belly and pat dry. In Preparation Time: 1 hour and
a bowl, combine lemon juice, 15 minutes
garlic, ginger, brown sugar, Cook Time: 15 minutes
olive oil, soy sauce and pepper. Total Time: 1 hour and 30
Stir until well-blended. Add minutes
tuna and marinate in the
refrigerator for at least 1 hour,
turning fish occasionally in the
marinade. Drain tuna,
reserving the marinade. Grill
marinated tuna belly over hot
charcoal for 3 minutes each
side or until tender while
basting with marinade mixture.
Grilled Baby Back Ribs Wash and clean ribs. In a pot Preparation Time: 30 minutes
big enough to fit the ribs, Cook Time: 2 hours and 5
combine all the ingredients for minutes
the marinade; stir well to melt Total Time: 2 hours and 35
the brown sugar. Put the ribs in minutes
the pot with the marinade.
Cover the pot and let sit for at
least 30 minutes. Heat the
stove top grill; with a pair of
thongs, gently take the cooked
meat from out of the pan and
lay it on the hot grill. Drain the
meat or pat dry a little to avoid
splattering. You may drizzle a
little oil on the grill to prevent
the meat from sticking to the
grill. Grill for about 3-4
minutes on each side. Brush
with marinade. Plate it and
you’re done, oh wait, you may
reduce the marinade liquid
that’s in the pot until it
becomes thick and then pour
some on top of the meat or on
the side as a sauce.
Grilled Chicken Barbecue 1. In a bowl, combine soy sauce, Preparation Time: 1 hour and
juice of 1 lemon, salt, ground 20 minutes
black pepper, and garlic Cook Time: 20 minutes
powder then stir and mix well. Total Time: 1 hour and 40
Pour- in the lemon lime soda minutes
and stir. Put the chicken in the
marinade for 1 hour.
Meanwhile, light a grill. Brush
the chicken with oil and season
with salt and black pepper.
Grill over moderate heat, about
20 minutes.
Grilled Boneless Bangus Combine soy sauce, tomato, Preparation Time: 1 hour and
garlic, ginger, pepper, and salt 15 minutes
in a bowl and stir. In a deep Cook Time: 15 minutes
wide plate, pour- in the Total Time: 1 hour and 30
mixture and then lay down the minutes
fish in a manner that the sliced
part is facing down (skin
should face up). Cover and
place in the fridge. Marinate
for 1 hour. Grill each side for
10 minutes.
Grilled Hungarian Sausage Remove sausage from its pack Preparation Time: 5 minutes
and wash. Put the sausages on Cook Time: 10 minutes
the grill grate over indirect Total Time: 15 minutes
heat while basting it with
barbecue sauce. Cook with the
lid closed for fifteen minutes.
Flip the sausages, and check
their temperature.
Rice Wash the rice thoroughly. Preparation Time: 5 minutes
Check for small pebbles or rice Cook Time: 30 minutes
husks. Wash a second time(and Total Time: 35 minutes
a third) if necessary. Measure
the water. Bring the water to a
boil, then turn the heat down to
simmer for 20 minutes or until
the rice has fully absorbed the
water. Let it stand for a few
minutes so the top surface is
not too wet. Fluff while still
hot.
III. Materials, Tools, Supplies
The following are the materials to be purchased for the production and operation of the business.
Table12-13. Production Supplies
Estimated Supplier Quantity Price Alte rnative Price Total

Name Useful 2015 2016 2017 2018 2019 in Peso Supplier in
Life Peso
Plates 1 year Gaisano 100 pcs. 40 pcs. 40 pcs. 40 pcs. 40 pcs. P 39.00 Unitop P37.00 P10,140
Mall
Drinking 1 year Gaisano 100 pcs. 40 pcs. 40 pcs. 40 pcs. 40 pcs. P56 Unitop P56.00 P14,560
Glasses Mall
Spoon 1 year Gaisano 100 pcs. 40 pcs. 40 pcs. 40 pcs. 40 pcs. P 7.00 Unitop P7.00 P1,820
Mall
Fork 1 year Gaisano 100 pcs. 40 pcs. 40 pcs. 40 pcs. 40 pcs. P 7.00 Unitop P7.00 P1,820
Mall
Steak 1 year Gaisano 100 pcs. 40 pcs. 40 pcs. 40 pcs. 40 pcs. P 59.00 Unitop P50.00 P13,000
Knife Mall
Sauce 1 year Unitop 100 pcs. 40 pcs 40 pcs. 40 pcs. 40 pcs. P 18.00 Gaisano P P4,680
Plate Mall 18.00
TOTAL P44,200
Table 13
Name Estimated Supplier Quantity Price in Peso Alte rnative Price in Peso Total
Useful Life Supplier
Apron 1 yr Unitop 5 pcs P43 Novo P42.50 P215
Chopping 1 yr Gaisano Mall 3 pcs P150 Unitop P152 P450

Board
Kitchen Towel 1 yr Unitop 10 pcs P25 Novo P25.56 P250
Toothpick 1 yr Gaisano Mall 10 pcs P59.75 Novo P59.75 P597.50
Container
Tissue Holder 1 yr Unitop 10 pcs P119 Novo P120 P1,190
Knife 1 yr Public Mall 2 sets P300 Gaisano Mall P350 P600
Knife 1 yr Unitop 2 pcs P65 Novo P66.95 P130
Organizer
Weighing Scale 1 yr Gaisano Mall 1 pc P489.60 Gloria Bazar P590.75 P489.60
Kitchen 1 yr Unitop 2 pcs P39.75 Novo P40 P79.50
Scissors
Clip 6 months Unitop 5 pcs P19.75 Novo P20 P98.75
Barbecue 6 months Unitop 5 pcs P28 Novo P25 P140
Brush
Stainless 1 yr Unitop 2 pcs P105 Novo P95.75 P210
Strainer
Stainless 1 yr Unitop 3 pcs P192 Novo P195 P1,152
container
Boiler 1 yr Unitop 3 pcs P399 Novo P355 P1,197
Big Fork for 1 yr Unitop 5 pcs P95 Gaisano Mall P100 P475
grilling
Soy Sauce 1 yr Unitop 20 pcs. P39.75 Novo P40 P795
Container
Kitchen Catsup 1 yr Unitop 3 pcs P55 Novo P50 P165
Container
CR Mat 6 moths Unitop 2 pcs P99.75 Novo P105 P199.50
Mat 6 months Unitop 2 pcs P35 Novo P35.75 P70
Sponge 6 months Unitop 10 pcs P18 Novo P20 P180
Steel brush 1 yr Unitop 5 pcs P32 Novo P35.75 P160
Broom/Dustpan 1 yr Unitop 3 pcs P159 Novo P150.75 P477
Total Cost P 9,321
Table14. Cleaning Supplies
Useful Life
Plastic Black 1 month Unitop 10 dozens P10 Novo P12 P100
Bag
Mop with 6 months Citi Hardware 3 pcs P320 Gaisano Mall P315.75 P960
squeezer
Dishwashing 1 yr Shoppers 30 pcs P64 Gaisano Mall P12 P1,920
Soap Plaza
Hand Soap 2 months Ria Thrifty 30 pcs P12 Gaisano Mall P12 P360
Mart
Plastic Trash 1 yr Unitop 5 pcs P85.75 Gaisano Mall P90.75 P428.75
Cans
Tissue Paper 1 week Shoppers 5 packs P21.50 Ria Thrifty P23.75 P430
Plaza
Total Cost P 4,198.75
Table15. Office Supplies
Name Estimated Supplier Quantity Price in Peso Alternative Price in Peso Total
Useful Life
Calculator 1 yr Crown 2 pcs P150 Unitop P135 P300
Ball pen 2 weeks Crown 5 pcs P6 Unitop P5.50 P30
Bond Paper 2 months Crown 1 rim P270 Unitop P270 P270
Stapler 1 yr Crown 2 pcs P35 Unitop P25 P70
Scotch Tape 2 months Crown 3 pcs P25 Unitop P20 P75
Receipt 6 months Crown 350 pcs P5 Gaisano Mall P40 P1,750
Total Cost P 2,495
Table16. Machineries and Equipme nt
Name Estimated Supplier Quantity Price in Peso Alternative Price in Peso Total
Useful Life
Refrigerator 8 yrs Quality 1 unit P17,000 Gloria Bazar P19500 P17,000
Appliance
Freezer 8yrs Quality 1 unit P17,000 EMCOR P17352 P17,000
Appliance
Ceiling Fan 4 yrs Quality 2 units P1,850 Citi Appliance P1850 P3,700
Appliance
Acer Computer 8 yrs Octagon 1 unit P22,990 Gloria Bazar P25,500 P22,990
with printer
Rice Cooker 5 yrs Quality 1unit P9,703 Citi Appliance P10,800 P9,703
Appliance
Aircon (Split 5 yrs Gloria Bazar 2 units P26,999 Citi Appliance P27,500 P53,998
Type)
Water 3 yrs Gloria Bazar 1 unit P1,850 Unitop P 1,230 P1,850
Dispenser
Total Cost P 126,241
Table16. Furniture and Fixtures
Useful Life
Tables with 5 yrs Bodiongan’s 4 sets P2,500 Singidas P3,800 P10,000
chairs(Good Furniture Furniture
for 2)
Tables with 5 yrs Bodiongan’s 6 sets P4,500 Singidas P 5,500 P27,000
chairs (Good Furniture Furniture
for 4)
Total Cost P37,000
Table17. Utilities
Ope ration Cons umable Cons umable Life Supplier Price in peso Total
Requirements Quantity
Electricity 724 kwh 1 month MOELCI P 11.00/kwh P 7,964.00
Water 36 cu. M 1 month MOWD P 27.00/cu m P 972.00
Telephone-Internet 1 month PLDT P 1, 499 P 1,499
Total Cost P 10,885.00
IV. One Production Run
The proposed business will have one production run of each combo per day. For Combo 1, one
production run is equivalent to 19 servings, Combo 2 is equal to 9 servings, Combo 3 is equal to
11 servings, Combo 4 is equal to 12 servings, Combo 5 is equal to 13 servings and combo 6 is
equal to 15 servings. Combo 1 is composed of pork belly marinated in soy sauce, calamansi,
garlic, brown sugar and black pepper. Combo 2 is composed of tuna belly marinated in soy
sauce, ginger, garlic, calamansi, brown sugar, olive oil, black pepper and Mang Tomas. Combo 3
is composed of pork ribs marinated in pineapple juice, tomato ketchup, soy sauce, brown sugar,
black pepper, Worcestershire sauce and Mang Tomas. Combo 4 is composed of chicken
marinated in lemon lime soda, soy sauce, calamansi, salt, garlic powder, black pepper and
vinegar. Combo 5 is composed of boneless bangus marinated in soy sauce, garlic, ginger, salt,
black pepper and calamansi. Combo 6 is composed of 2 pieces Hungarian sausage. These
combos are grilled with the use of charcoal.
V. Inventory Manage ment
The business will have the purchasing of ingredients every Sunday by the manager/owner and a
crew. The meat products will be delivered directly to the store everyday by the suppliers.
Hungarian sausage will be ordered every two weeks from Bite Wise Trading with a P450 cargo
shipping fee all the way to Oroquieta City for every 40-45kg. BiteWise Trading is a reliable
retailer, wholesaler and supplier of various excellent-quality, best-tasting, value- for- money food
products. It is located in Paranaque City, Metro Manila.

Table19. Inventory
Ingredients Quantity Cost Daily Quantity Daily Quantity Weekly

required Per Demand required Production required Production
per Serving in a day Cost in a week Cost
serving
Direct Materials
Hungarian 2 pcs P49.14 19 38 pcs P933.66 27 packs P 6634.00
Sausage
Chicken 300g P42.00 14 4.2 kg P588.00 29.4 kg P 4116.00
Pork Ribs 250g P55.00 13 3.25 kg P715.00 22.75 kg P 5005.00
Tuna 200g P64.00 11 2.20 kg P704.00 15.40 kg P4928.00
Bangus 250g P35.00 16 4 kg P560.00 28 kg P3920.00
Pork Belly 200 g P36.00 22 4.4 kg P792.00 30.80 kg P5544.00
Soft drink 1 bot/8 oz. P8.00 95 95 bot. P760.00 28 cases P5376.00
Indirect Materials
Rice 158 g P 6.94 95 15 kg P 660.00 105 kg P 4620.00
Soy Sauce 2 tbsp P 1.07 76 152 tbsp P 81.32 16 bottles P572.00
Garlic 1 clove/ P 0.40 49 49 cloves/ P19.60 1.7kg P136.00
5gms 245 g
Calamansi 1 pc P 0.30 63 63 pcs. P 18.90 5 packs P 150.00
Black ½ tsp/ P 1.70 76 95 g P 129.20 18 packs P360.00
Pepper 1.25 g of 37g
Salt ½ tsp/ P 0.01 52 65 g P0.52 ½ kilo P5.00
1.25 g
Brown 1 tsp/5 g P 0.20 46 46 tsp/ P 9.20 1 ½ kilo P 59.00
Sugar 230g
Tomato 3 tbsp P 3.92 32 96 tbsp P 125.44 18 bottles P 909.00
ketchup of 567g
Olive Oil 1 tbsp P 7.47 11 11 tbsp P 82.17 5 bottles P 622.00
Mang 2 tbsp P 2.68 24 48 tbsp P 64.32 15 bottles P 435.00
Tomas of 325g
Pineapple 4 tbsp P 3.04 13 52 tbsp P 39.52 4 cans of P 276.00
Juice 1.36L
Worcester- 1 tbsp P 2.03 13 13 tbsp P 26.39 4 bottles P195.00
shire Sauce
Lemon 3 tbsp P 1.28 14 42 tbsp P 17.92 3 bottles P144.00
Lime Soda
Vinegar 2 tbsp P 0.86 14 28 tbsp P 12.04 3 bottles P86.00
Garlic ½ tsp P 1.63 14 7 tsp P 22.82 7 packs of P338.00
Powder 37g
Ginger 1 tsp P 0.03 27 27 tsp P 0.81 1 kilo P60.00
Charcoal 0.03 taro P0.79 95 3 taros P75.00 21 taros P525.00
TOTAL P5,980.83 P45,015

VI. Plant Location
The proposed business is located in Ciriaco - Pastrano Street, Oroquieta City, right at the heart of
the city. The location is a stone’s-throw away from the Roman Catholic Church, the City Pla za
and the City Hall.
VII. Plant Schedule
The production of business will be from Monday to Sunday. The opening of Grill’n will start at
10:00 am in the morning to 9:00 pm in the evening. At 8:00 am, the workers are expected to
report for preparation such as sweeping and mopping the floor, preparing the ingredients prior to
the opening of the business at 10:00 am in the morning. The closing operation will end at 9:00
pm in the evening and the sanitary keepers as well as the waiters are in-charge of cleaning the
area for 30 minutes.
Table20. Schedule of Operation
TIME ACTIVITIES
9:00– 10:00 am SIMULTANEOUS CLEANING AND
PREPARATION
10:00 am – 8:45 pm STORE OPENING AND BUSINESS HOURS
8:46 pm – 9:00 pm STORE CLOSING AND CLEANING
VIII. Plant Safety
The safety of the customers and employees is an obligation of establishment as they were beside
the premises. Before the start of the operation, the employees should secure that the materials
and all other equipment are in good condition and that the ingredients are available. The
management should exert effort to obtain the best equipment and supplies for efficient, effective
and economical operation. The business would provide fire extinguisher in case of emergency or
uncontrolled situation.
IX. Production Capacity
This is volume of products that can be generated by a production plant or enterprise in a given
period by using current resources. The business will operate 12 hours a day, 7 days a week. It
starts at 9:00 am and ends at 9:00 pm in the evening. The business can accommodate 32
customers for those who want to dine in.
Table21. Production Capacity
Combo Meals No. of products No. of products Total time

produced per produced per consumed in
day day (Cook time) making the
product a day
Combo 1 22 18(20 mins.) 360 mins./day
Combo 3 13 11(5mins.) 55 mins./day
X. Waste Disposal
Waste can be disposed using trash cans and plastic bags to be easily collected by the garbage
collectors to prevent the unusual odor and to maintain cleanliness with in the area. The wastes
will have separate containers for biodegradable and non-biodegradable. Other materials that can
be recycled will be kept in containers for sanitation purposes and for future use.
MANAGEMENT
STUDY
A. Vision- Mission of the Business
VISION
GRILL’N aims to be Oroquieta City’s leading restaurant that offers budget- friendly
combo meals. Moreover, it also aims to attain high level of customer satisfaction.
MISSION
To provide delicious and remarkable grilled dishes and provide the customers with
impeccable service.
Proponent’s Profile
Name: Jonathan T. Callanta
Age: 48 years old
Citizenship: Filipino
Address: 150 Independence St., Upper Langcangan, Oroquieta City, Misamis Occidental
Occupation: Program Head of MODTRC and Provincial Special Concerns
Business: Therapeutic Solutions (Rehabilitation Center in Iligan City)

B. Form of Business Organization
The proposed business is a sole proprietorship form of business entity. This entity is
engaged in grilling food which is made to order by each customer.
The owner will be the manager and at the same time will be the supervisor to monitor the
day by day operation of GRILL’N. His son will serve as the cashier since the owner does not
want to hire anyone when it comes to the transaction of money.
Organizational Structure
Owner/Manager
2 Grill Cook Owner’s 5 Service Crew

Son/Cashier
Figure 3.
For the Organizational structure, the cook, the grill cook and the service crew are directly under
the supervision of the owner.
C. Functions
 Owner/Manager
 Controls and maintains overall operation.
 Grill cook
 The one in charged in the grilling of products.
 Service Crew
 The service crew is in charge in serving the customers, cleaning of tables and
washing of utensils.
 Owner’s Son/Cashier
 The cashier will take all the orders
 Answers customer questions regarding the products, procedures and policies
 Receives payment by cash and change by cash
 Computes and records transactions
D. Manpower Require ment
The proposed business will hire two grill cooks and four service crews.
Compensation Package
Table 22.List of Workers with their Corresponding Wages
Position Daily Monthly Annual
wage/Person wage/Person Wage/Person
Grill cook 300 P 7,800 P 93,600
Grill cook 300 P 7,800 P 93,600
Service Crew 1 296 P 7,696 P 92,352
Service Crew 2 296 P 7,696 P 92,352
Service Crew 3 296 P7,696 P 92,352
Service Crew 4 296 P 7,696 P 92, 352
E. Salaries, Wages and Benefits
 Salary is given every 15th and 30th day of the month.

 Full- time employees will receive authorized benefits such as 13 th month pay, SSS, Pag-
ibig, and Phil health.
 Full- time employees are qualified to take a leave at least 7 days for a sick- leave every
year.
 The hired employees have a duty for 12 hours every day. Employees are paid daily and
also provided with meal for lunch.
Duties and Responsibilities
Duties are something that is done as part of a job while responsibilities are something that you
should do because it is morally right and legally required.
F. Job Specification and Job Description of Employees
Table23. Job Specification and Job Description
Job Title Job Specification Job Description

Owner/Manager  Accomplishes human
resource objectives by
recruiting, selecting,
orienting, training,
assigning, scheduling,
coaching, counseling, and
disciplining employees;
communicating job
expectations; planning,
monitoring, appraising, and
reviewing job
contributions; planning and
reviewing compensation
actions; enforcing policies
and procedures.
 Maintains safe, secure,
and healthy environment
by establishing, following,
and enforcing sanitation
standards and procedures;
complying with legal
regulations; securing
revenues; developing and
implementing disaster
plans.
 Weigh, measure, and mix
ingredients according to
recipes or personal
judgment, using various
kitchen utensils and
equipment.
Grill Cook  Must be 18-30 years old  Observe and test foods to
 2 year experience as a grill determine if they have
cook been cooked sufficiently,
 Competent in working using methods such as
under pressure smelling, or piercing them
 No medical history with utensils.
 Observing cleanliness at  Portion, arrange, and
all times garnish food, and serve
food to waiters or patrons
 May work exclusively on
the grill station/kitchen
 Take grilled food orders
from crew
 Check and recheck
equipment temperature to
ensure accuracy of order
 Maintain work area by
cleaning and sanitizing
constantly
 Clean and sanitize grilling
and broiling equipment
after use
 Ensure preventative and
general maintenance of
grilling equipment
 Grill requested food items
in accordance to
customers’ specifications
and preset recipes
Owner’s son/ Cashier  Attends and takes orders
from the customers and
will be the one to collect
payment
 Responsible for ensuring
that the customers are
satisfied with the service
 In case the owner will not
be around, the cashier will
be in charge of ensuring
that all crews are
supervised in terms of
quality and output.
Service Crew  Must be 18 years old  Provide courteous and
and above efficient food and
 Must be at least a beverage services to the
college level guests.
 Must be responsible on  Present menu, take order,
his/her assigned task or suggest and recommend
job. appropriately.
 Competent in working  To attend and respond to
under pressure with less guests’ needs promptly
supervision. and professionally.
 With at least 6 months  To present bills to diners,
of experience. collect payment and give
 Inclined to learn. to the cashier, return
change or credit card to
diners.
 To perform general
housekeeping and
cleaning duties, including
sweeping, mopping,
cleaning glasses, furniture
& fittings, laying of tables
and up-keeping of rest
room etc.
G. Hiring Procedures
Requirements:
 Bio-data
 2x2 ID Picture
These are the procedure in hiring:
Step 1: Submit all the necessary requirements

Step 2: Preliminary Interview
Step 3: Medical Tests
Step 4: Evaluation
Step 5: Training
Step 6: Orientation
H. Pre Operating Pe riod
All activities are needed to be achieved before operation starts. Pre-ordering activities serve as a
guide so that there is a basis on what to do and when to start.
1. Planning of the Business.
The first activity is to prepare a business plan. The time spent is approximately two
weeks.
2. Survey of the price of the furniture, fixtures, equipment and materials.
This is done in order to know the expenses in obtaining the materials and equipment
needed in operating the business. It has an allocation time of three weeks.
3. Securing Business Permit and Licenses
 Legal Requirements
-Registration with BIR (Bureau of Internal Revenue)
-Registration of business name with DTI (Department of Trade and Industry)
-Barangay Clearance and Business Permit
 Open a Bank Account
The proposed business will open a bank account before the business will start operating.
The proposed business should be registered with DTI to assure that any organization
would not copy the name of the proposed business which is “GRILL’N”. It requires 15
days period of processing before the name of the registered business certificate can be
issued by the said government agency.
 Business/Mayor’s Permit
Business permit must be applied at the licensing office at the Municipal Hall of the said
locality. It would be based on the reported business entity to be put up; we secured
barangay clearance as a requirement for an application.
The proposed business should be register with BIR and secured Tax Identification
Number (TIN) which will be used as simplifying the record control p roducers relating to
taxation and securing Value Added Tax (VAT).
4. Rental agreement and space renovation
The signing of contract for rental of space is betwee n the owner and the owner of
building. It follows then the cleaning, renovation and beautification of the business area
and it takes 1 month.
5. Processing of equipment, fixtures and materials.
Purchasing and obtaining materials will take one month.
6. Training and hiring of workers.
Hiring of employee will take 1 month to the operation of the business. Two weeks will be
allotted for the hiring or workers and the remaining weeks will be for the training and
orientation of the hired employees/workers.
7. Start of business operation.
After all activities are done the business will start to operate.
I. Gantt Chart/ Project Time Table
Table 24.Project Time Table

MONTHS
SEPTEMBER 2014 OCT OBER 2014 NOVEMBER 2014 DECEMBER 2014 JANUARY
TASKS 2015
WEEKS
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
1. Planning of
the business
2. Survey of the
prices of
furnitures,
fixtures and
materials
3. Securing
business permits
and other
licenses
4. Rental
agreement and
space
renovation
5. Processing of
equipment,
fixtures and
materials.
6. Hiring and
training of
employees
7. Inventory of
supplies and
other
preparation
8. Start of
business
operation
J. Ope rating Policies, Rules and Regulations
Set of policies must be attained for the success of the business.
General Policies
 GRILL’N will open at 10:00 a.m. until 8:45 p.m.
 GRILL’N will open daily.
 There will be 52 weeks over-all operation in a year.

Owner and Employee Policies
 There must be a logbook for the employees to sign before the s tart of work and after
the shifting duty.
 The proposed business must open on time.
 The materials needed in operating the business should be prepared before the business
opens.
 Cleanliness in the area must always be observed.
Working Conditions
 The employees are paid every 15th and 30th day of the month.
 The employees must render 8 hours a day from Monday to Sunday.
Employee Benefits
 The cook will receive benefits such as SSS, Phil health, and 13 th month pay.
 Employees are provided free lunch.
Employee Sanctions and Terminations
No employee can be dismissed from work except for a just or authorized cause and only after
due process.
Due Process
Cases of just cause will involve the following,
 An employee is given an opportunity to defend his or her side
 Notice of dismissal to the employee
 Notice of intent to dismiss and grounds for dismissal

In authorized cause
 Written notice of dismissal to the employee specifying the grounds, at least 30 days
before the date of termination.
 Absences and tardiness of an employee are subject to salary deduction. Absences with
valid reasons, like emergency, accident, serious illness or death of immediate family
member are excused if provided with proof or certificate for absences that will be given
to the owner.
Grounds for Terminations
Just Cause –refers to conduct that is of such a serious nature or extent that it essentially breaks
the employment relationship.
 Serious misconduct
 Willful disobedience
 Gross and habitual neglect of duty
 Fraud or breach of trust
 Commission of a crime or offense against the employer, his family or representative
Authorized cause –do not arise from fault or negligence of the employee
 installation of labor-saving devices
 redundancy
 retrenchment to prevent losses
 closure and cessation of business

SOCIO-
ECONOMIC
STUDY
In business it is necessary that you know your place in the community. Oroquieta City is noted as
a 4th class component city by the Philippine Statistics Office in 2014. Regarding urbanization,
Oroquieta City is classified as partly urban.
The city’s rate of population growth did not show an upward trend over the years. It is significant
to note that its highest population growth rate of 2.73% was in 1970 when Oroquieta had just
become a city. Administratively, the component city of Oroquieta City is subdivided into 47
barangays in urban and 7 barangays in rural. Oroquieta City rely its income sources on
agriculture, fishing, small scale businesses and employment. According to the Cooperative and
Livelihood Development Division, the employment rate in Oroquieta City is at 93.80%.
Their household increases 4% annually according to the Planning and Development department
of the Oroquieta City municipal. The occupied housing unit that is built concrete and has
cemented flooring is 60% of the total population while the remaining perce ntage has a housing
units made of bamboo or nipa.
Table25. Household Population
Barangay Population Barangay Population

Canubay 693 Pines 669
Lamac Lower 812 Poblacion 1 598
Lamac Upper 315 Poblacion 2 257
Langcangan Lower 413 San Vicente 412
Alto
Langcangan Proper 370 San Vicente 376
Bajo
Langcangan Upper 606 TobocNorte 722
Layawan 211 Toboc Sur 627
Loboc Lower 479 Talairon 886
Loboc Upper 423 Talic 714
Mobod 1,261
CHAPTER 4
FINANCIAL
STUDY
FINANCIAL ASSUMPTIONS:
1. All Sales is on Cash basis
2. Inflation is expected to be 3% per year
3. The business uses straight- line of depreciation
 Machineries & Equipment 5 years
 Furniture & Fixtures 5 years
 Leasehold Improvements 5 years
4. The business is financed by 100% equity
5. Sales is expected to increase by 5% per year
6. Salaries of employees is increased by 3% per year
7. Drawing
 50,000 per year
8. The employer has provided the employees with the ff.:
 SSS
 Philhealth
 Pag- ibig
 13th month pay
9. Cost of unused cleaning supplies and office supplies at the end of the year is negligible
10. Year end balance of ingredients is equal to one week production requirement
11. Cost of unused production supplies is equal to the cost of replacement cost of the items for
the following year.
12. All amounts are rounded off to the nearest peso.

FINANCIAL STATEMENTS:
GRILL’N
PROJECTED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEARS ENDED 2015-2019
F 2015 2016 2017 2018 2019

Sales 3,568,932 3,747,379 3,934,748 4,131,485 4,338,059
Cost of Sales 2,432,030 2,553,632 2,681,314 2,815,379 2,956,148
Gross Profit 1,136,902 1,193,747 1,253,434 1,316,106 1,381,911
Less: Operating Expenses
Salaries and wages 400,192 412,198 424,564 437,301 450,420
Rent Expense 120,000 120,000 120,000 120,000 120,000
Production Supplies 44,321 24,020 24,741 25,483 26,248
Cleaning Supplies 9,957 10,256 10,563 10,880 11,207
Office Supplies 6,252 6,440 6,633 6,832 7,037
SSS Contribution 41,592 41,592 41,592 41,592 41,592
Pag- ibig Contribution 7,200 7,200 7,200 7,200 7,200
PhilHealth Contribution 6,900 6,900 6,900 6,900 6,900
Permits and Licenses 17,365 18,060 18,782 19,533 20,315
Advertising Expense 21,500 18,000 18,000 18,000 18,000
Utilities Expense 98,296 101,245 104,282 107,411 110,633
Depreciation Expense-M and E 16,928 16,928 16,928 16,928 16,928
Depreciation Expense-LI 17,991 17,991 17,991 17,991 17,991
Depreciation Expense-F and F 7,400 7,400 7,400 7,400 7,400
TOTAL 815,894 808,229 825,576 843,451 861,869
Net income 321,008 385,518 427,858 472,655 520,042
GRILL'N
PROJECTED STATEMENT OF FINANCIAL POSITION
AS OF 2015-2019
F 2015 2016 2017 2018 2019

ASSETS:
Cash 419,337 845,330 1,313,608 1,826,626 2,386,972
Prepaid Rent 10,000 10,000 10,000 10,000 10,000
Ingredients 46,365 47,756 49,189 50,665 52,184
Production Supplies 24,020 24,741 25,483 26,248 27,035
TOTAL CURRENT ASSETS 499,723 927,827 1,398,280 1,913,539 2,476,192
Machineries and Equipment 109,313 92,385 75,457 58,529 41,601

Leasehold Improvements 71,966 53,975 35,984 17,993 2
Furniture and Fixtures 29,600 22,200 14,800 7,400 0
TOTAL NON-CURRENT ASSET 210,879 168,560 126,241 83,922 41,603
TOTAL ASSETS 710,602 1,096,387 1,524,521 1,997,461 2,517,795
LIABILITIES
Accrued SSS contribution Payable 3,466 3,466 3,466 3,466 3,466
Accrued Pag- ibig Contribution 600 600 600 600 600
Accrued PhilHealth Contribution Pay. 6,900 6,900 6,900 6,900 6,900
Accrued Utilities Expense 8,936 9,204 9,480 9,765 10,058
Total Liabilities 19,902 20,170 20,446 20,731 21,024
EQUITY
TOTAL OWNER'S EQUITY 690,700 1,076,217 1,504,075 1,976,730 2,496,772
TOTAL LIABILITY AND OWNERS EQUITY 710,602 1,096,387 1,524,521 1,997,461 2,517,795
GRILL'N
PROJ ECTED STATEMENT OF CAS H FLOWS
AS OF 2015-2019
F 2015 2016 2017 2018 2019
OPERATING ACTIVITIES:
Net Inco me 321,008 385,518 427,858 472,655 520,042
ADD:
Accrued SSS Contribution Payable 3,466
Accrued Pag-ibig Contribution Payable 600
Accrued PhilHealth Contribution Payable 6,900
Accrued Utilities Expense 8,936 268 276 284 293
Depreciat ion expense-M and E 16,928 16,928 16,928 16,928 16,928
Depreciat ion Expense-LI 17,991 17,991 17,991 17,991 17,991
Depreciat ion expense- F and F 7,400 7,400 7,400 7,400 7,400
Total 383,229 428,105 470,453 515,258 562,654
Less: Increase in Prepaid Rent 10,000
Ingredients 46,365 1,391 1,433 1,476 1,520
Production Supplies 24,020 721 742 764 787
Total 80,386 2,112 2,175 2,240 2,307
Net Cash flow fro m operations 302,843 425,993 468,278 513,018 560,346
INVES TING ACTIVITIES

Furniture and Fixture 37,000
Leasehold Improvement 89,957
Machineries and Equip ment 126,241
Net cash flow fro m investing 253,198
FINANCING ACTIVITY
Initial Investment 369,692
Net cash flow fro m financing 369,692
TOTA L CASH INFLOW 419,337 425,993 468,278 513,018 560,346

ADD: CASH, BEG 0 419,337 845,330 1,313,608 1,826,626
CAS H B ALANCE, END 419,337 845,330 1,313,608 1,826,626 2,386,972
GRILL’N
PROJECTED STATEMENT OF CHANGES IN EQUITY
AS OF 2014-2018
F 2015 2016 2017 2018 2019

OWNER'S EQUITY, BEG 369,692 690,700 1,076,217 1,504,075 1,976,730
ADD:NET INCOME 321,008 385,518 427,858 472,655 520,042
TOTAL 690,700 1,076,217 1,504,075 1,976,730 2,496,772
LESS: OWNER'S
DRAWING 50,000 50,000 50,000 50,000 50,000
OWNER'S EQUITY, END 640,700 1,026,217 1,454,075 1,926,730 2,446,772
SCHEDULES:
SCHEDULE 1:
SALES
2015 2016 2017 2018 2019
Annual demand for Combo 1 8,004 8,404 8,824 9,266 9,729
x Selling Price 87 87 87 87 87
Total demand for Combo 1
(Pesos) 696,348 731,165 767,724 806,110 846,415

x Selling Price 135 135 135 135 135
(Pesos) 541,080 568,134 596,541 626,368 657,686

x Selling Price 125 125 125 125 125
(Pesos) 595,500 625,275 656,539 689,366 723,834

(Pesos) 514,404 540,124 567,130 595,487 625,261

(Pesos) 505,920 531,216 557,777 585,666 614,949

x Selling Price 105 105 105 105 105
(Pesos) 715,680 751,464 789,037 828,489 869,914
TOTAL SALES 3,568,932 3,747,379 3,934,748 4,131,485 4,338,059

SCHEDULE 2:
COST OF SALES
COMBO COMBO COMBO COMBO COMBO
COMBO 1 2 3 4 5 6 TOTAL
Direct Materials:
Main Ingredient 792 704 715 588 560 934
Cost of Soft Drink 176 88 104 112 128 152
Total Direct Materials 968 792 819 700 688 1,086
Allocated Direct Labor 139 69 82 88 101 120
Allocated Overhead 255 128 151 162 186 221
Total cost of goods sold per day 1,362 989 1,052 950 975 1,427
x days in a year 360 360 360 360 360 360
Annual Cost of goods sold 490,298 356,209 378,756 342,151 351,018 513,598 2,432,030
2,015 2,016 2,017 2,018 2,019

Annual Cost of Goods Sold 2,432,030 2,553,632 2,681,314 2,815,379 2,956,148
SCHEDULE 3:
PRODUCTION SUPPLIES
2015 2016 2017 2018 2019 2020

Name
Plates 3,700 1524.40 1,570 1617.24 1,666 1,716
Drinking Glasses 5,600 2307.20 2,376 2447.71 2,521 2,597
Spoon 700 288.40 297 305.96 315 325
Fork 700 288.40 297 305.96 315 325
Steak Knife 5,000 2060.00 2,122 2185.45 2,251 2,319
Sauce Plate 1,800 741.60 764 786.76 810 835
Total 17,500 7210.00 7,426 7649.09 7,879 8,115
Apron 215 221.45 228 234.94 242 249
Chopping Board 450 463.50 477 491.73 506 522
Kitchen Towel 250 257.50 265 273.18 281 290
Toothpick Container 598 615.43 634 652.90 672 693
Tissue Holder 1,190 1225.70 1,262 1300.35 1,339 1,380
Knife 600 618.00 637 655.64 675 696
Knife Organizer 130 133.90 138 142.05 146 151
Weighing Scale 490 504.29 519 535.00 551 568
Kitchen Scissors 80 81.89 84 86.87 89 92
Clip 99 101.71 105 107.91 111 114
Barbecue Brush 140 144.20 149 152.98 158 162
Stainless Strainer 210 216.30 223 229.47 236 243
Stainless Container 1,152 1186.56 1,222 1258.82 1,297 1,335
Boiler 1,197 1232.91 1,270 1307.99 1,347 1,388
Big Fork for grilling 475 489.25 504 519.05 535 551
Soy Sauce Container 795 818.85 843 868.72 895 922
Kitchen Catsup Container 165 169.95 175 180.30 186 191
CR Mat 200 205.49 212 218.00 225 231
Mat 70 72.10 74 76.49 79 81
Sponge 180 185.40 191 196.69 203 209
Steel brush 160 164.80 170 174.84 180 185
Broom/Dustpan 477 491.31 506 521.23 537 553
Total Cost 44,321 24,020 24,741 25,483 26,248 27,035
2015 2016 2017 2018 2019 2020

Production Supplies 44,321 24,020 24,741 25,483 26,248 27,035
Increase/decrease 20,273 720.61 742.23 764.50 787.43

SCHEDULE 4:
CLEANING SUPPLIES
Item Quantity Price In Peso Annual Total Cost

Requirement in
units
Plastic Black Bag 10 dozens P10 120 dozens 1,200
Mop with squeezer 3 pcs P320 6 pcs 1920
Dishwashing Soap 5 pcs P64 30 pcs 1920
Hand Soap 5 pcs P12 30 pcs 360
Plastic Trash Cans 5 pcs P85.75 5 pcs 428.75
Tissue Paper 4 packs P21.50 192 packs 4,128
Total Cost 9,957
2015 2016 2017 2018 2019

Cleaning Supplies 9,957 10,256 10,563 10,880 11,207
Increase/Decrease 298.71 307.67 316.90 326.41

SCHEDULE 5:
OFFICE SUPPLIES
Item Quantity Price in Peso Annual TOTAL

Requirement
in units
Calculator 2 pcs P150 2 pcs 300.00
Ball pen 2 pcs P6 52 pcs 312.00
Bond Paper 1 rim P270 6 reams 1,620.00
Stapler 2 pcs P35 2 pcs 70.00
Scotch Tape 3 pcs P25 18 pcs 450.00
Receipt 2 pcs P5 700pcs 3,500.00
Total Cost 6,252.00
2015 2016 2017 2018 2019

Office Supplies 6,252 6,440 6,633 6,832 7,037
Increase/Decrease 0 187.56 193.19 198.98 204.95

SCHEDULE 6:
MACHINERIES AND EQUIPMENT
Estimated
Name Useful Life Quantity Price in Peso Total
Water Dispenser 5 yrs 1 unit P1,850 1,850
Refrigerator 8 yrs 1 unit P17,000 17,000
Freezer 8yrs 1 unit P17,000 17,000
Ceiling Fan 5 yrs 2 units P1850 3,700
Rice Cooker 5 yrs 1 unit P9,703 9,703
Acer Computer 5 years 1 unit P22,990 22,990
Aircon 5 yrs 1 unit P53,998 53,998
Total Cost 126,241
Depreciation Expense
2015 2016 2017 2018 2019
Ceiling Fan 3,700.00 3,700.00 3,700.00 3,700.00 3,700.00
Rice Cooker 9,703.00 9,703.00 9,703.00 9,703.00 9,703.00
Acer Computer 22,990.00 22,990.00 22,990.00 22,990.00 22,990.00
Aircon 26,999.00 26,999.00 26,999.00 26,999.00 26,999.00
Total 63,392.00 63,392.00 63,392.00 63,392.00 63,392.00
Life in years 5.00 5.00 5.00 5.00 5.00
Annual Depreciation Expense 12,678.00 12,678.00 12,678.00 12,678.00 12,678.00
Refrigerator 17,000.00 17,000.00 17,000.00 17,000.00 17,000.00

Freezer 17,000.00 17,000.00 17,000.00 17,000.00 17,000.00
Total 34,000.00 34,000.00 34,000.00 34,000.00 34,000.00
Life in Years 8 8 8 8 8
Total Annual Dep. Expense 16,928.00 16,928.00 16,928.00 16,928.00 16,928.00
Cost of Machineries and Equipment 126,241.00 126,241.00 126,241.00 126,241.00 126,241.00
Less: Accum. Depreciation 16,928.00 33,856.00 50,784.00 67,712.00 84,640.00
Book Value of Machineries and Equip. 109,313.00 92,385.00 75,457.00 58,529.00 41,601.00
SCHEDULE 7:
LEASEHOLD IMPROVEMENT
2015 2016 2017 2018 2019
Cost of Leasehold improvement 89,957 89,957 89,957 89,957 89,957
divided by life in years 5 5 5 5 5
Depreciation Expense 17991 17991 17991 17991 17991
Accumulated Depreciation- LI 17991 35982 53973 71964 89955
Cost of Leasehold improvement 89,957 89,957 89,957 89,957 89,957

Less: Accumulated Depreciation-LI 17,991 35,982 53,973 71,964 89,955
Book Value of Leasehold 71,966 53,975 35,984 17,993 2
SCHEDULE 8:
SALARIES and WAGES

2015 2016 2017 2018 2019
Service Crew salary per month 7696 7927 8165 8410 8662
# of Service Crew 4 4 4 4 4
Total monthly salary 30784 31708 32659 33639 34648
# of Months per Year 12 12 12 12 12
Annual Salary 369408 380490 391905 403662 415772
13th Month Pay 30784 31708 32659 33639 34648
TOTAL 400192 412198 424564 437301 450420
GRAND TOTAL 400192 412198 424564 437301 450420

SCHEDULE 9:
EMPLOYER SSS CONTRIBUTION
2015 2016 2017 2018 2019

ER - Contribution 673.00 673.00 673.00 673.00 673.00
No. of Employees 2.00 2.00 2.00 2.00 2.00
Total 1,346.00 1,346.00 1,346.00 1,346.00 1,346.00
Months Contributed 12.00 12.00 12.00 12.00 12.00
Total 16,152.00 16,152.00 16,152.00 16,152.00 16,152.00
Service Cre w
ER - Contribution 530.00 530.00 530.00 530.00 530.00
No. of Employees 4.00 4.00 4.00 4.00 4.00
Total 2,120.00 2,120.00 2,120.00 2,120.00 2,120.00
Total 25,440.00 25,440.00 25,440.00 25,440.00 25,440.00
GRAND TOTAL 41,592.00 41,592.00 41,592.00 41,592.00 41,592.00
SCHEDULE 10:
EMPLOYER PHILHEALTH CONTRIBUTION
2015 2016 2017 2018 2019

Philhealth Contribution 112.50 112.50 112.50 112.50 112.50
No. of Employees 2.00 2.00 2.00 2.00 2.00
Total 225.00 225.00 225.00 225.00 225.00
Total 2,700.00 2,700.00 2,700.00 2,700.00 2,700.00
Service Cre w
Philhealth Contribution 87.50 87.50 87.50 87.50 87.50
No. of Employees 4.00 4.00 4.00 4.00 4.00
Total 350.00 350.00 350.00 350.00 350.00
Total 4,200.00 4,200.00 4,200.00 4,200.00 4,200.00
GRAND TOTAL 6,900.00 6,900.00 6,900.00 6,900.00 6,900.00
SCHEDULE 11:
EMPLOYER PAG-IBIG CONTRIBUTION
2015 2016 2017 2018 2019

Pag- ibig Contribution 100.00 100.00 100.00 100.00 100.00
No. of Employees 2.00 2.00 2.00 2.00 2.00
Total 200.00 200.00 200.00 200.00 200.00
Total 2,400.00 2,400.00 2,400.00 2,400.00 2,400.00
Service Cre w
Pag- ibig Contribution 100.00 100.00 100.00 100.00 100.00
No. of Employees 4.00 4.00 4.00 4.00 4.00
Total 400.00 400.00 400.00 400.00 400.00
Total 4,800.00 4,800.00 4,800.00 4,800.00 4,800.00
GRAND TOTAL 7,200.00 7,200.00 7,200.00 7,200.00 7,200.00
ACCRUED CONTRIBUTION PAYABLE
2015 2016 2017 2018 2019

SSS CON. PAYABLE 3,466.00 3,466.00 3,466.00 3,466.00 3,466.00
PHILHEALTH CON. PAY. 6,900.00 6,900.00 6,900.00 6,900.00 6,900.00
PAG-IBIG CON. PAYABLE 600.00 600.00 600.00 600.00 600.00
SCHEDULE 12:
PERMITS AND LICENSES
2015 2016 2017 2018 2019

Business Tax 7,500.00 7,800.00 8,112.00 8,436.48 8,773.94
Mayor's Permit ( Gasoline Operator) 515.00 535.60 557.02 579.30 602.48
Sanitary Inspection Fee 1,000.00 1,040.00 1,081.60 1,124.86 1,169.86
Zoning Clearance Fee 300.00 312.00 324.48 337.46 350.96
Garbage Fee 1,000.00 1,040.00 1,081.60 1,124.86 1,169.86
Building Inspection Fee 250.00 260.00 270.40 281.22 292.46
Plumbing Inspection Fee 100.00 104.00 108.16 112.49 116.99
Electrical Fee 500.00 520.00 540.80 562.43 584.93
Mechanical Inspection Fee 100.00 104.00 108.16 112.49 116.99
Personnel (Occupational Tax) 350.00 364.00 378.56 393.70 409.45
Police Clearance 100.00 104.00 108.16 112.49 116.99
Personnel ( Health Certificate Fee) 150.00 156.00 162.24 168.73 175.48
Business Plate 400.00 416.00 432.64 449.95 467.94
Bill/Signboard Fee 100.00 104.00 108.16 112.49 116.99
Storage of Gasoline 5,000.00 5,200.00 5,408.00 5,624.32 5,849.29
TOTAL 17,365 18,060 18,782 19,533 20,315
SCHEDULE 13:
ADVERTISING EXPENSE
2015 2016 2017 2018 2019
Flyers (200pcs.) 1,500
Tarpaulin 4”x2” (5pcs.) 1,000
Radio Advertisement (P1,500/month) 18,000 18,000 18,000 18,000 18,000
Signage (2”x5”) 1,000
Total 21,500 18,000 18,000 18,000 18,000
INITIAL INVESTMENT FOR ADVERTISING

Flyers (200pcs.) 1,500
Tarpaulin 4”x2” (5pcs.) 1,000
Radio Advertisement (P1,500/month) 1,500
Signage (2”x5”) 1,000
Total Initial investment for advertising 5,000
SCHEDULE 14:
UTILITIES EXPENSE
2015 2016 2017 2018 2019
Month Water Expense 972 1,001 1,031 1,062 1,094
Telephone-Internet 1,499 1,544 1,590 1,638 1,687
Monthly Electricity Expense 7,964 8,203 8,449 8,702 8,964
No. of Months 11 11 11 11 11
ACCRUED UTILITIES EXPENSE

2015 2016 2017 2018 2019
Month Water Expense 972 1,001 1,031 1,062 1,094
Telephone-Internet 1,499 1,544 1,590 1,638 1,687
Monthly Electricity Expense 7,964 8,203 8,449 8,702 8,964
Accrued Utilities Exp. 8,936 9,204 9,480 9,765 10,058
Increase/Decrease 0 268.08 276.12 284.41 292.94

SCHEDULE 15:
RENT EXPENSE
2015 2016 2017 2018 2019
Monthly Rent expense 10,000.00 10,000.00 10,000.00 10,000.00 10,000.00
x 12 Months 12.00 12.00 12.00 12.00 12.00
Total 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00
SCHEDULE 16:
FURNITURE AND FIXTURES

2015 2016 2017 2018 2019
Furnitures and Fixtures 37,000 37,000 37,000 37,000 37,000
Life in years 5.00 5.00 5.00 5.00 5.00
Cost of Furniture & Fixtures 37,000 37,000 37,000 37,000 37,000

Less: Accumulated Depreciation 7,400.00 14,800.00 22,200.00 29,600.00 37,000.00
Book Value 29,600.00 22,200.00 14,800.00 7,400.00 0.00
Estimated
Name Useful Life Quantity Price in Peso Total
Tables with chairs(Good for 2) 5 yrs 4 sets 10,000 10,000.00
Tables with chairs (Good for 4) 5 yrs 6 sets 27,000 27,000.00
Total 37,000.00
SCHEDULE 17:
INGREDIENTS
Ingredients Quantity Demand Quantity Quantity Price pe r Total

require d require d in a require d in a Unit Price
per serving day week
Pork Belly 200 g 22 4.4 kg 31 kg 180 5,544
Soy Sauce 2 tbsp. 76 152 tbsp. 16 bot. 35.75 572
Garlic 1 clove 49 245g 1.7 kg 80 136
Calamansi 1 pc 63 63 pcs 5 packs 30 150
Black Pepper 1/2 tsp. 76 95 g 18 packs 20 360
Salt 1/2 tsp. 52 65 g 0.5 kg 10 5
Brown Sugar 1 tsp. 46 230 g 1.5 kg 39 59
Tomato ketchup 3 tbsp. 32 96 tbsp. 18 bot. 50.5 909
Tuna 200g 11 2.20 kg. 15.4 kg 320 4,928
Olive Oil 1 tbsp 11 11 tbsp 5 bot. 124.5 623
Mang Tomas 2 tbsp. 24 48 tbsp 15 bot. 29 435
Pork Ribs 250 g 13 3.25 kg 22.75 kg 220 5,005
Pineapple Juice 4 tbsp 13 52 tbsp 4 cans 69 276
Worcester-shire Sauce 1 tbsp 13 13 tbsp 4 bot. 48.75 195
Chicken 300g 14 4.20 kg 29.4 kg 140 4,116
Lemon Lime Soda 3 tbsp. 14 42 tbsp 3 bot. 48 144
Vinegar 2 tbsp. 14 28 tbsp 3 bot. 28.5 86
Garlic Powder 1 tsp. 14 7 tsp 7 packs 48.3 338
Hungarian Sausage 2 pieces 19 38 pcs. 27 kg 245.71 6,634
Soft drink 1 bot. 95 95 bot. 28 cases 192 5,376
Rice 158g 95 15 kg 105 kg 44 4,620
Bangus 250g 16 4 kg 28 kg 140 3,920
Charcoal 0.03 taro 95 3 taros 21 taros 25 525
Ginger 1 tsp. 27 27 tsp 1 kg 60 60
Total Cost pe r Week 45,015
Ingredients, beg 2015 2016 2017 2018 2019

Cost per Week 46,365 47,756 49,189 50,665 52,184
46,365 1,391 1,433 1,476 1,520

GRILL'N
PROJECT COST
F
Furniture and Fixture 37,000
Machineries and Equipment 126,241
Production Supplies 26,969
Cleaning Supplies 925
Office Supplies 1,220
Permits and Licenses 17,365
Initial Ingredients 45,015
Prepaid Rent 20,000
Advertising Expense 5,000
Leasehold Improvement 89,957
TOTAL 369,692
FINANCIAL STATEMENT ANALYS IS
PROFITAB ILITY RATIOS 2014 2015 2016 2017 2018
PROFIT 321,007.75 385,517.69 427,857.89 472,654.82 520,041.58

RETURN ON SALES = NET
SALES 3,568,932.00 3,747,378.60 3,934,747.53 4,131,484.91 4,338,059.15
8.99% 10.29% 10.87% 11.44% 11.99%
RETURN ON TOTAL PROFIT 321,007.75 385,517.69 427,857.89 472,654.82 520,041.58

ASSETS= TOTA L
ASSETS 710,601.62 1,096,387.39 1,524,521.41 1,997,460.64 2,517,795.15
45.17% 35.16% 28.07% 23.66% 20.65%
GROSS
PROFIT 1,136,901.60 1,193,746.68 1,253,434.01 1,316,105.71 1,381,911.00
GROSS PROFIT RATIO
NET
SALES 3,568,932.00 3,747,378.60 3,934,747.53 4,131,484.91 4,338,059.15
31.86% 31.86% 31.86% 31.86% 31.86%

LIQUIDITY
RATIOS
ASSET NET SALES 3,568,932.00 3,747,378.60 3,934,747.53 4,131,484.91 4,338,059.15

TURNOVER= TOTAL ASSETS 710,601.62 1,096,387.39 1,524,521.41 1,997,460.64 2,517,795.15
5.02 3.42 2.58 2.07 1.72
CURRENT NET SALES 3,568,932.00 3,747,378.60 3,934,747.53 4,131,484.91 4,338,059.15

ASSET AVERAGE CURRENT
TURNOVER= ASSETS 419,336.93 845,330.14 1,313,608.23 1,826,626.29 2,386,972.44
8.51 4.43 3.00 2.26 1.82
LEVERAGE
RATIOS
EQUITY-TO- TOTAL EQUITY 690,699.62 1,076,217.31 1,504,075.21 1,976,730.03 2,496,771.60

ASSET
RATIO= TOTAL ASSETS 710,601.62 1,096,387.39 1,524,521.41 1,997,460.64 2,517,795.15
0.97 0.98 0.99 0.99 0.99
CASH FLOW
RATIOS
OPERATING CASH
CASH FLOW FLOW 302,843.06 425,993.20 468,278.10 513,018.06 560,346.14
TO SALES= NET SALES 3,568,932.00 3,747,378.60 3,934,747.53 4,131,484.91 4,338,059.15
0.08 0.11 0.12 0.12 0.13
CASH FLOW OPERATING CASH

TO NET FLOW 302,843.06 425,993.20 468,278.10 513,018.06 560,346.14
INCOME= NET INCOME 321,007.75 385,517.69 427,857.89 472,654.82 520,041.58
0.94 1.10 1.09 1.09 1.08

PROFIT 321,007.75 385,517.69 427,857.89 472,654.82 520,041.58
RETURN ON
AVERAGE
INVESTMENT
INVESTMENT 369,691.87 369,691.87 369,691.87 369,691.87 369,691.87
86.83% 104.28% 115.73% 127.85% 140.67%
PAYBACK
1.13
PERIOD
COST OF NO. OF
YEAR NET CASH INFLOWS INVESTMENT BALANCE YEARS
2015 321,007.75 369,691.87 48,684.12 1
2016 385,517.69 48,684.12 -336,833.57 0.13
2017 427,857.89 0.00 0.00
2018 472,654.82 0.00 0.00
2019 520,041.58 0.00 0.00
1.13
1 year and 2
months
APPENDICES
Sample Questionnaire
Name (optional):
Address:
Age:
Occupation:
Directions: Put a check on the circle provided of your chosen answer.
1. Do you eat in restaurants?
Yes No
If no, thank you for your time.
2. Where do you usually eat?
o Jollibee
o Chicken Atiatihan
o Rhovic’s Restaurant
o Luciano’s Restaurant
o Villa Amor Hotel and Restaurant
o OgisLechonManok
o Halang- halang Outlets
3. If there will be a grill house here in Oroquieta, would you visit the place?
Yes No
If yes, how many times in a month?
o Once
o Twice
o Thrice
Others (specify): ________________
4. Which of the following combo meal do you prefer to buy?
o Pork Belly with unlimited rice and a drink for P87
o Tuna Belly with unlimited rice and a drink for P135
o Baby Back Ribs with unlimited rice and a drink for P125
o Chicken Barbecue with unlimited rice and a drink for P99
o Boneless Bangus with unlimited rice and a drink for P85
o 2 pcs. Hungarian Sausage with unlimited rice and a drink P105

References
Cooking Class: Grilling. (n.d.). Retrieved September 18, 2014, from

http://www.cookinglight.com/cooking-101/techniques/cooking-class-grilling
Grilling Techniques | Methods and Ways of Grilling. (n.d.). Retrieved September 25, 2014, from
http://www.the- grilling- spot.com/grilling- techniques.html
A Brief History of Grilling : ABOUT US : Food Network. (n.d.). Retrieved September 19, 2014,
from http://www.foodnetwork.com/recipes/articles/a-brief-history-of- grilling.html
What is Restaurant. (2012, August 1). Retrieved October 7, 2014, from

http://fandbfood.com/what- is-restaurant/
Grilling. (n.d.). Retrieved September 20, 2014,

from http://www.seriouseats.com/grilling
Grilled Pork Belly. (2013, May 22). Retrieved January 13, 2015, from
http://filipinostylerecipe.com/2013/05/grilled-pork-belly/
Grilled Tuna Belly. (2013, March 21). Retrieved January 13, 2015, from
http://filipinostylerecipe.com/2013/03/grilled-tuna-belly/
Sunglao, G. (2010, October 31). Boneless Bangus in Pandan Leaves.

Retrieved January 13, 2015, from
http://panlasangpinoy.com/2010/10/31/shared-recipe- genesees-grilled-boneless-bangus- in-
pandan- leaves/
Subido, K. (2013, September 9). Filipino Grilled Chicken Recipe.

http://www.foodandwine.com/recipes/filipino- grilled-chicken
Manalo, L. (2014, March 9). Grilled Tuna Belly - kawaling pinoy.

http://www.kawalingpinoy.com/2014/03/grilled-tuna-belly/
Grilled Tuna Belly. (n.d.). Retrieved January 14, 2015, from

http://www.yummy.ph/recipe/grilled-tuna-belly
Grill Cook Job Description. (n.d.).

http://www.hcareers.com/us/resourcecenter/tabid/306/articleid/518/default.aspx
About Us. (n.d.). Retrieved January 22, 2015, from

http://www.jollibee.com.ph/about-us/
Chicken Ati-atihan. (n.d.). Retrieved January 22, 2015, from

http://www.boholposts.com/classified-ad/chicken-ati-atihan/
The Sunset Guy: Food trip at Payling’s Restaurant in Oroquieta City.

(2014, December 28). Retrieved January 22, 2015, from
http://www.thesunsetguy.com/2014/12/paylings-restaurant-at-oroquieta-city.html
Ogis Lechon Manok - Franchise, Business and Entrepreneur. (2011, July 5).
http://www.pinoy-entrepreneur.com/2011/07/05/ogis-lechon-manok/
Baby Back Ribs | Latest Recipes. (2009, August 30).

http://www.latestrecipes.net/2009/08/30/baby-back-ribs/
MATERIALS,
TOOLS,
INGREDIENTS
AND
SUPPLIES
FLOOR PLAN
THE RESEARCHERS
Name: Regine Kayle A. Alinas Name: Louise Camille C. Lao
Address: 88 Las Aguadas St., Ozamiz City Address: 999 Ledesma St., Ozamiz City
Birth date: August 25, 1995 Birth date: June 4, 1995
Email Add.: [email protected] Email Add.: [email protected]
Name: Jay Francis A. Callanta
Address: 150 Independence St., Upper

Langcangan, Oroquieta City
Birth date: July 26, 1991
Email Add.: [email protected]

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A FEASIBILITY STUDY ON GRILL HOUSE

PRESENTED TO THE FACULTY OF

IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE

REGINE KAYLE A. ALINAS

Executive Summary v-vii

Review of Related Literature 2-3

A. Rationale of the Study 3

B. Objective of the Study

b. Human Resource and Legal Management Study 4

c. Socio – Economic Study 4

f. Financial Study 4-5

C. Significance of the Study 5

D. Scope and Limitation 6-7

B. Human Resource and Legal Management 8

C. Competitor’s Profile 15-17

I. Technical Description of the Products 22

II. Time and Motion 22-25

III. Materials, Tools and Supplies 26-30

V. Inventory Management 31-32

VI. Plant Location 32

VII. Plant Schedule 33

VIII. Plant Safety 33-34

IX. Production Capacity 34

A. Vision-Mission of the Business 35

B. Form of Business Organization 37

E. Salaries, Wages and Benefits 38-39

F. Job Specification and Job Description of Employees 39-41

G. Hiring Procedures 41-42

H. Pre Operating Period 42-43

I. Gantt Chart/ Project Time Table 44

J. Operating Policies, Rules and Regulations 44-46

Projected Statement of Comprehensive Income 50

Projected Statement of Financial Position 51

Projected Statement of Cash Flows 52

Projected Statement of Changes in Equity 53

Schedule 1: Sales 54-55

Schedule 2: Cost of Sales 56

Schedule 3: Production Supplies 57-58

Schedule 4: Cleaning Supplies 59

Schedule 5: Office Supplies 60

Schedule 6: Machineries and Equipment 61-62

Schedule 7: Leasehold Improvement 63

Schedule 8: Salaries and Wages 64

Schedule 9: Employer SSS Contribution 65

Schedule 10: Employer Philhealth Contribution 66

Schedule 11: Employer Pag- ibig Contribution 67

Schedule 12: Permits and Licenses 68

Schedule 13: Advertising Expense 69

Schedule 14: Utilities Expense 70

Schedule 15: Rent Expense 71

Schedule 16: Furniture and Fixtures 71

Schedule 17: Ingredients 72-73

List of References 80-81

Materials, Tools, Ingredients and Supplies 82-99

Floor Plan 100

The Researchers 101

Table 1: Number of Government Employees 10

Table 2: Respondents Who Eat In Restaurants 11

Table 3: Where the Respondents Usually Eat 11-12