candy corner / candy store
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EXECUTIVE SUMMARY Name and logo
After a thorough study the entepreneur decided to name the business Little Candy Corner because it would be a little store located on one part of SM Manila Ground Floor that would cater the needs of the children, and the children at heart about candies. We came to arrive on starting and putting up a business that all people from different walks of life would need and that they are assure even if competition is very keen will still progress because it is the most important need of the people. candy is one of the basic need of every people.
Location Ground Floor Sm Manila Floor plan
Cost of construction Php 45,000.00 Pre-operating Expense The pre-operating will be half day of the first day of March, that will serve the crowd. Starting from 9:00 am to 3:00pm will be the pre-operating time but all the stock candies shall be serve for 10 persons only.
DESCRIPTION OF THE BUSINESS Little Candy Corner objectives for the first three years are: To make Little Candy Corner an icon brand. To develop an effective, well placed e-commerce site for sales of homeopathic and naturopathic products. To launch a laser-focused marketing campaign in a controllable and measurable market that will drive customer's toward the company's website. To create an infrastructure for the fulfillment of Web-based sales The primary source of revenue for the business will be the sale of candy, chocolate, and gift baskets to the general public. Currently, The owner is sourcing a number of wholesalers that will provide the business with an expansive number of brands of chocolate bars and candies. As mentioned in the executive summary, the Candy Store also intends to have an extensive gift basket segment to the business for people that want to send gifts to loved ones, friends, and clients. This is an extremely important aspect to the Companys operations as it will allow the Candy Store to substantially increase
its inventory turnover. During holiday seasons, The owner expects that that 30% of the Companys candy product sales will come from candy gift baskets. In the future, the business may also develop an online ordering platform where customers can place large orders for candy/gift baskets to be delivered to homes and businesses within the target market. This, much like the gift basket aspect of the business, would substantially increase revenues.
Cos per serving The serving would be per grams which is 15 pesos per gram.
MARKET STRATEGY The most important market needs are knowledge, reliability, pricing, timely completion and high quality. One of the key points of our strategy is to focus on those decision making individuals that know and understand these needs. The aim of the firm to contact with their customers is to first give our flyers and leaflets. The owner intends on using a number of marketing strategies to ensure maximum visibility for the Candy Store. Foremost, he intends to source a highly visible retail location from which the Company will conduct business. This location will feature highly visible signage that will inform the public of the Companys candy offerings and its grand opening. The business will also maintain a sizeable amount of print/media advertisement in local newspapers, journals, and flyers that are distributed throughout the community. The Candy Store will also develop ongoing relationships with event planners and corporate gift companies that will outsource their candy basket needs to the Company. These relationships will be an invaluable source of referrals for the business. Finally, the Candy Store intends to develop its own online website that will showcase
the Candy Store, its hours of operation, contact information, and location information. In the future, e-commerce functionality may be added to this website so that people from all over the country can order gift baskets for local and long distance delivery. This
functionality will not be added to the Companys website until after retail operations have commenced.
ANALYSIS OF THE COMPETITION In order to reach our objectives of increasing consumer awareness and sales, our team decided to implement various methods such as coupons, in-store samples, magazine ads. In-store samples will be beneficial in health candy stores. We will offer much more days in the credit term. Further research for the development of the product. Assures consumer of a good candy quality by maintaining a moderate room temperature and by using refrigerator for preserving other candys need to refrigerate.
FINANCIAL DATA Total project cost Office Supplies Fixed Assets Stall Rental (for 3 months) Salary (P7,000 x 3 ) Fixed Capital Business Registration 4, 042 3, 976 44,000.00 Initial capital requirements The initial capital requirements of the Little Candy Store is 44,000.00. P 462 5,520 15,000 15,000
Sources of financing The main source of financing of the proponent is his savings and some amount from his parents.
Project income and expense / Rate of return of investment Net Profit Margin = Net income after tax Sales
dessert! Year 1 P287, 040 672,000 .43 Year 2 P331, 520 739,200 .45 Year 3 P373, 024 813,120 .46 Year 4 P418, 144 894,432 .47 Year 5 P478, 542 983,875 .49
Operating Profit Margin = Profit before taxes
Candy Corner! Year 1 P358, 800 672,000 .53 Year 2 P414, 400 739,200 .56 Year 3 P466, 280 813,120 .57 Year 4 P522, 680 894,432 .58 Year 5 P598, 178 983,875 .60
Gross Profit Margin = Gross Profit Sales
SUPPORTING DOCUMENTS PERMITS AND BUSINESS REGISTRATION Barangay clearance Business permit (barangay) Business tax (local tax) Permit fees-Mayors permit PENRO Fire safety Sticker/Plate Health fee Sanitary inspection fee BIR DTI Total P 70.0 250.00 300.0 300.00 500.00 156.00 150.00 550.00 500.00 600.00 500.00 P3, 976.0
Operational chart Getting the Order
Paying of the price
Giving Numbers for the Order
Servng the Menu
8:00 in the morning to prepare all the stock candies
9:00 Clearning the vicinity
9:30 opening of the establishment and serving all candies
SWOT ANALYSIS STRENGTH New candy style Packaging is tested and non-toxic candy are BFAD approve Price is lower than others Biodegradable packaging made from 100% recycled plastic Offer much larger gap in payment. (15 days for others for E & Ps it will be 20 days).
WEAKNESS Not well-known brand Fairly new company Packaging are simple Not as much money to spend on advertising Limited availability
OPPORTUNITIES Gain a larger share of the market- Bigger companies have more fluctuation. Save money for a very low price with clean and safe dressed chickens. Increasing demands due to nutritional contents and product popularity. Our product will be in great demand to the health conscious consumers due to increasing rate of heart attack and other diseases caused by real candy products. Economy friendly prices compare to the increasing candy products. Our product is the perfect serving substitute for our unstable economy.
THREATS Competitive market Retailers stock premium brands, not less well-known brands Other brands such as magnolia spend more money on
advertising, so they have a larger share of voice and share of market Sudden increase of commodity prices due to economic crisis. Unavoidable implantation. Typhoons and other weather conditions that can affect the price of our raw materials. price increase of our products due to VAT
Employment Candy is Corner Contribution for the to social and of economic people
specifically to the resident of Valenzuela.
B.) Income Its ability to generate consistent profits will ultimately determine its worth in the market place.
C.) Taxes With the taxes, Little Candy Corner will pay to the Municipal Hall and BIR, it will be a part on building a progressive nation.
D.)Supply of Commodities There is a large market for Little Candy Corner Supply is likely promising.
E.) Demands of Materials Demands for materials are considered adequate.