Banana Heart Business Plan
Banana Heart Business Plan
Banana Heart Business Plan
Presented to:
Ms. Leslie Ann Gamundoy
March 2019
Pamantasan ng Cabuyao
College of Business Administration and Accountancy 2
Executive Summary
Heart Attack is partnership business owned by Vina Mae Alcasabas, Evon
Jasmine Barrameda, Melinda Mae Florendo, Riza Gonzales and Jam Cary Menoza. It can
be located at Katapatan Homes Subd. Brgy. Banay-banay, Cabuyao, Laguna beside
Pamantsan ng Cabuyao. It offers convenient, affordable, hygienic, and nutritious food
since its main ingredient is from banana heart unlike the other street food type business
that can be found around the university, and to satisfy the costumer’s tummy whenever it
feels hungry and craving. Its target market is students, faculty, and workers of
Pamantasan ng Cabuyao.
Its purpose is to help the students, faculty member, workers of Pamantasan ng
Cabuyao in minimizing their time for break, and lunch, also to help save at least a little
amount of money since it is affordable, and also for the owner to have and extra income.
Personal and mass selling will be used as its marketing strategy, and the marketing staff
will promote this product to the possible costumers until the final product will be served,
free tasting will be used also to attract costumer. This will have a P45,000 initial capital.
It will be profitable since students always seek for something unique that might
captivates their stomach and satisfy their cravings.
The liquidity of the business is expected to increase in the next three years of
operation gradually. Sales will increase abruptly for the third year because of the increase
in the number of students, and its popularity. The business will starts it operation during
the first semester of 2019 and will continuously grow after several years of its operation.
Heart Attack aims to be the dominating food cart business on universities and
academic institutions on Cabuyao, Laguna and possibly in every cities of Laguna. To give
convenience to the costumers, and satisfy the costumers’ hunger and craving with
affordable, hygienic, and nutritious food. To earn higher profit and have sustainable
growth, to own the heart of every person who buys Heart Attack’s product for the first
time, and to be a trusted and well-known hygienic food cart business.
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Operating Plan
Development
The flow of operation will start on processing the mixtures at the production
location and will be distributed at different food carts for its final product that will be
offered to the market. There will be specific suppliers of the raw materials needed for
production, the Vyl Monte Farm supplied the agriculture products, while the Coln Food
Inc. will supplied the manufactured products. The food carts will operate every Monday-
Friday from 9am-5pm. This can be located outside Pamantasan ng Cabuyao.
Production
Below are the procedures on how to process the mixtures and how to prepare the final
products:
Ingredients (For Balls and Patties)
Banana Heart
Corned Beef
Eggs
All Purpose Flour
Baking Powder
Onion
Pepper
Salt
Magic Sarap
Steps in Production of Heart Attack
1. Peel off the excess part of banana heart. After peeling, cut the banana heart into
tiny cube pieces. Palm the banana heart with salt to extract the sap of it. Next, boil
the palmed banana heart with beef broth until it softens.
2. Mince the onion while letting the banana heart boil.
3. Prepare the ingredients needed for the mixtures and the materials.
4. Drain the boiled banana heart and let it cool in a bowl.
5. Put the eggs on the banana heart and mix it in circular movement, add the all
purpose flour, baking powder, and mix it again.
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6. Add the corned beef, and other condiments to the mixture, and mix it until it
becomes sticky.
7. Flavour the mixture if it reached the standard taste of it.
8. Create a sample from the final mixture to know if the taste it is already precise.
Staffing
The proponents will also work for the business as the vendors of every kiosk that
will be placed in selected academic institutions around Cabuyao, Laguna. The production
of mixtures will be part taken by the business owners to minimize the cost of production
and operation.
Equipments
Operation Equipments
Table 1
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Production Equipments
Table 2
Useful Life
Particulars Price
(in years)
Chopping Board 1 P50.00
Knife 1 P100.00
Mixing Bowl 1 P50.00
Measuring Cups 1 P50.00
Tongs 1 P150.00
Saucer Pan 1 P325.00
Spatula 1 P195.00
Strainer 1 P200.00
Molder 1 P50.00
Supplies
Operation Supplies
Table 3
XParticula Qty. Unit of Cost per Total Cost
rs Measurement Unit
Gas 1 Tank P650 P650
Rice 1 Kg P40.00 P40
Bread 60 Pc. P2.8 P164.00
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Office Supplies
Table 4
Unit of Cost per
Particulars Qty. Measurement Unit Total Cost
Clear Book 1 Pc. P60.00 P60.00
Bond paper 1 Ream P120.00 P120.00
Pen 1 Box P5.00 P50.00
Pencil 1 Box P5.00 P50.00
Staple wire 2 Box P20.00 P40.00
Liquid
1 Pc. P20.00 P20.00
eraser
Tape 1 Pc. P8.00 P8.00
Record
1 Pc. P85.00 P85.00
book
Marketing Plan
Product
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Heart attack offers you three varieties of food choices: Banana Heart Balls, where
balls made from the mixture of banana heart and its secret ingredients that are molded
into small round pieces; a Banana Burger, which its patty is made from banana heart and
its secret ingredient which made it unique and healthy; last, Banana Heart with Rice,
where a paper cup serves as the container for rice and banana balls will serve as the
entrée, it was made for the convenience of the costumer to eat in a short period of time.
This food cart business is different from other type because it serves healthy and
nutritious food added its convenience and affordability, unlike the street foods found from
carts. Heart Attack wants to captivate the market minds that whenever they crave for
something, it is the Heart attack will satisfy their tummies, because of its flavourful taste
that will savour by their tongues.
Place
The food cart is located outside Pamantasan ng Cabuyao, for the convenience of
the students to easily buy Heart attack’s products. This type of business is direct selling of
good, after the products will be produced it will be served immediately to the costumers.
Price
In pricing, the business use pricing objectives which is price return objectives,
where the owners focus is on the return of investment rather than earning higher profit.
The business only set the best lower price for the product for their market
competitiveness since their target market are the different types of person who does not
have enough much time for their breaks and lunch time. A piece of Banana Balls will cost
P2.00, the Banana Burger is P15.00 each, and serving of Banana Heart with Rice will
cost P25.00. This pricing strategy will be competitive since students does not own much
allowances, and usually budgets it for their savings.
Costing of Products
Puso Balls P2.00 each
Cost of Goods Sold
Balls P76.075
Sauce 69.33
Other Operating Expenses 224.59
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Distribute the
The costumers Wait for the final product
will take their Heart Attack to the
orders at the foods to be costumers
foodcart. cooked. immediately.
Physical Evidence
The food cart is located at a place near the schools, around Cabuyao area. The
entrepreneurs choose this place because they see the students as an advantage on gaining
more profit. The products are affordable, therefore, many students will buy the products.
And not only the students, but also the teachers and other workers in school or near the
school can afford the product. And the entrepreneurs also choose this place because they
want their consumers to be very convenient when buying their snacks or lunch.
Spatial Layout of the Food Cart
Top of the Cart
Figure 2
Rice Cooker
Balls Storage
Burger Storage
Mixtures
Sauce
Money Lounge
Supplies
Gasoline
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Market Analysis
Banana heart products are specially made for the students who don't have enough
money to buy a quality and healthy food in their small amount of allowance. And since
they are students their habits are buying their foods in order for them to satisfy their
cravings. In a small amount of P2 they can buy a banana heart balls, in their P15 they can
buy a banana heart burger, and for as low as P25 pesos they can buy banana heart rice.
The possible competitors are the other street food vendors.
Political Factors
The political factors affecting business are often given a lot of importance.
Several aspects of government policy can affect business. All firms must follow the law.
Managers and workers must find how upcoming legislations can affect their activities.
Increase and decrease of taxes, especially, for the raw materials and the supplies. It can
affect the pricing of the products.
Economic Factors
Economic factors affecting business include all important trends in the economy
that can help or hinders the company in achieving its objectives. It commonly concludes
consumer behaviour, employment factors, interest rates and inflation.
Social Factors
Social factors includes the trends, the way people socialize, the growing
population, specially nowadays that most of the people finds shopping online is more
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convenient and less time consuming. While the elders still stick to the traditional
shopping. So that as marketers, it is needed to understand what the customers want.
Technological Factors
Use technological aspect in producing goods, using electric hand mixer & gas
stove. Communicating to the target customers by means of social media, posting the
pictures of Banana Heart products with the caption of how much it is and where it is
located.
Environmental factors
Heart attack is also considering, environmental factors. Teaching the workers to
do proper wastes segregation, always put a trash bin beside the cart for the sticks and
plastics that would be used by the customers.
Legal Factors
Lastly, one of the most important things heart attack considers is the safety, health
& right of every customer and also the sellers. Knowing the rights and laws will help you
have a good relationship together with your customers.
Market Strategy
Heart Attack has different variety: Banana Heart Ball is made with the heart of
banana it is molded in a small round piece. A Banana Burger which is the patty is also
made with heart of banana with a secret mixture. And Banana Balls with Rice where it
has 6 pieces of Banana Balls with rice and a paper cup as a container. There will be a
food cart located in the Universities within the City of Cabuyao, Laguna. The purpose of
this is to satisfy the cravings of students with affordable food. It became unique because
of the banana heart that is not commonly used as ingredient. It also suits in the students
that on budget. The Heart Attack team is very stick in implementing the proper process of
making the product to ensure the safety and cleanliness of each product they produce.
For the Promotion, the first operation day the business tried to offer a free taste
for the customer will become aware of the taste and also to know the business exists. The
price strategy of Heart Attack is Penetration Pricing which involves setting a low initial
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price for the product. And a Target Return Objective because the business sets a specific
level of profit as an objective.
Market and Sales Plan
Heart attack is not only affordable and delicious, it is also unique and convenient
to the people who are not eating vegetable and since it is chopped very small customers
couldn’t find it easily. It is also rich in potassium, helps prevent asthma, cancer, high
blood pressure and diabetes. After 3 years it aims to become one of the countries famous
street foods that best enjoy by the students of different schools in our country. It will also
marks the mind of the costumers with its slogan, “Tusukin mo ang puso ko, at isawsaw
mo sa suka ko.”, that will help the business to penetrate its market.
Organizational Plan
Heart Attack is a form of partnership type of Business which owned by five
persons where Jam Cary Menoza as the General Manager, Melinda Mae Florendo as the
Assistant Manager, Riza Gonzales as the Cashier, Evon Jasmine Barrameda as the cook,
and Vina Mae Alcasabas as the buys the supplies. Each members of the partnership invest
P15,000.00 as an initial capital of the the business.
Articles of Partnership
of
Heart Attack
Know All Men By These Presents:
That we, the undersigned, all of legal age and residents of Republic of the
Philippines have agreed to amend a limited partnership under the terms and conditions
herein set forth and subject to the provisions of existing laws of the Republic of the
Philippines.
Financial Plan
Statement of Comprehensive Income Analysis
At year one, the company will earn a sales of P463,200.00 with an expense of
P259,868.32.00, and a net profit of P203,331.68. On year two, the sales will increase by .
36%, with P464,880.00, with its expense to .64 % with P254,868.32, and profit increased
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to .01% with P203,358.36. While at year three, the company has an increase of sales by
33.58% with P561,120.00, with an expense increase to P10.64% with P289,474.96, and
profit increased to 33.58% with P271,645.04.
Heart Attack
Statement of Comprehensive Income
Year 1
Sales
Heart Attack
Statement of Comprehensive Income
Year 2
Sales
Garlic 400
Pepper 400
Chilli 1,000 16,400
Supplies (in Particulars)
Gas P3,900
Plastic Cups 3,000
Paper Cups 6,000
Plastic Spoons 2,000
Sticks 1,000
Cooking Oil 4,000
Dressing 4,000
Rice 11,000
Tasty Bread 16,000 50,900
Transportation Expense 9,600
Office Supplies Expense 1,445
Rent Expense 36,000
Kitchen Equipments Expense 1,170
License Expense 5,000
Utilities Expense 12,000
Salaries Expense 72,000
Kiosk- Depreciation Expense 2,000
Operation Equipments- Depreciation Expense 1,306.64 261,521.64
Net Income P203,358.36
Heart Attack
Statement of Comprehensive Income
Year 3
Sales
Salt 700
Magic Sarap 1,000 P85,200
For Dipping Sauce
Corn Starch P 1,600
All Pupose Flour 1,000
Sugar 9,000
Soy Sauce 1,000
Vinegar 3,000
Salt 400
Onion 1,000
Garlic 400
Pepper 400
Chilli 400 18,200
Supplies (in Particulars)
Gas P3,900
Plastic Cups 4,500
Paper Cups 4,500
Plastic Spoons 3,000
Sticks 1,000
Cooking Oil 7,000
Dressing 2,000
Rice 9,000
Bread 9,000 43,900
Transportation Expense 9,600
Office Supplies Expense 1,445
Rent Expense 36,000
Kitchen Equipments Expense 1,170
License Expense 5,000
Utilities Expense 12,000
Salaries Expense 72,000
Kiosk- Depreciation Expense 3,000
Operation Equipments- Depreciation Expense 1,959.96 289,474.96
Net Income P271,645.04
Assets
Current Asset
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Cash P240,385
Non-Current Assets
Operation Equipments 2,600
Operation Equipments- Accumulated Depreciation 653.32
Kiosk 7,000
Kiosk- Accumulated Depreciation 1,000
Total Asset P248,331.68
Owner’s Equity
ABFGM’s, Capital P45,000
Add: Net Income 203,331.68
ABFGM’s, Capital Ending P248,331.68
Heart Attack
Statement of Financial Position
Year 2
Assets
Current Asset
Cash P445,396.68
Non-Current Assets
Operation Equipments 2,600
Operation Equipments- Accumulated Depreciation 1,306.64
Kiosk 7,000
Kiosk- Accumulated Depreciation 2,000
Total Asset P451,690.04
Owner’s Equity
ABFGM’s, Capital P248,331.68
Add: Net Income 203,358.36
ABFGM’s, Capital Ending P451,690.04
Heart Attack
Statement of Financial Position
Year 3
Assets
Current Asset
Cash P718,695.04
Non-Current Assets
Operation Equipments 2,600
Operation Equipments- Accumulated Depreciation 1,959.96
Kiosk 7,000
Kiosk- Accumulated Depreciation 3,000
Total Asset P723,335.08
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Owner’s Equity
ABFGM’s, Capital P451,690.04
Add: Net Income 271,645.04
ABFGM’s, Capital Ending P723,335.08
Operating Activities
Cash Received From Costumers P463,200
Cash Paid To Suppliers (121,000)
Other operating Expenses Paid (137,215)
Net cash from operating activities 204,985
Investing Activities
Purchase of Operation Equipment (2,600)
Purchase of Kiosk (7,000)
Net Cash from investing activities (9,600)
Beginning Cash Balance 45,000
Ending Cash Balance 240,385
Heart Attack
Statement of Cash Flows
Year 2
Operating Activities
Cash Received From Costumers P464,880
Cash Paid To Suppliers (121,000)
Other operating Expenses Paid (138,868.32)
Net cash from operating activities 205,011.68
Beginning Cash Balance 240,385
Ending Cash Balance 445,396.68
Heart Attack
Statement of Cash Flows
Year 3
Operating Activities
Cash Received From Costumers P561,120
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