CAVITE STATE UNIVERSITY-CCAT CAMPUS

PATTYLICIOUS

A Business Concept Submitted to the Faculty of the

Department of Management Studies of
Cavite State University
CCAT Campus

In partial fulfillment of the requirements for

BSHM 141 Cost Control

BYREL AMOR C. FERNANDEZ

MAY 2022

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Table of Contents

I. Title Page……………………………………………………………………..…1

II. Table of Contents………………………………………………………....…....2

III. Executive Summary……………………………............................................4

IV. Introduction…………………………………………………………………..….5

V. Background of the Business

a. Description of the Business……………………………………………….6

b. Products or services offered………………………………………….......6

c. Location……………………………………………………………………..7

d. Business Logo……………………………………………………………...8

e. Vision & Mission…………………………………………………………....8

f. Business Organization………………………………………………….….9

VI. Target Markets

a. Market Definition and Segmentation……………………………………11

b. Target Market Segmentation Strategy………………………………….11

VII. Demand and Supply Analysis

a. Needs and Requirements………………………………………………..13

b. Distribution Channel………………………………………………………16

c. Competitive Forces…………………………………………………….....16

d. Communications…………………………………………………………..17

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VIII. Product Costing and Pricing……………………………………………........18

IX. Forecasted Sales and Expenses

a. Expense Budget by Week………………………………………………....21

b. Expense Budget by Month………………………………………………...21

c. Sales Forecast by Week…………………………………………………...22

d. Sales Forecast by Month…………………………………………………..22

e. Profit and Loss Statement………………………………………………....23

X. SWOT Analysis………………………………………………………………..24

XI. Keys to Success……………………………………………………………….25

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EXECUTIVE SUMMARY

The Overall goal of this business is to serve quality and affordable food and

to ensure consumers satisfaction and also to gain profit. This business tends to

serve the consumer daily needs and also be part of healthy community system

through providing a nutritious food to the people. This business was made with

delicious patty, made of three kinds of vegetables which is banana blossom, potato

and eggplant with the good quality product. Because of its veggie texture and the

taste completely delicious and yet it is also much healthier than ordinary burger

made of meat.

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INTRODUCTION

This study was conducted with the aim of estimating the viability and

feasibility of the product proposed. This study focused on providing new, innovative

and healthier product where everyone can afford it in cheapest and affordable way.

The product proposed is healthy and new to the taste of many, young or adult. The

market feasibility study was created for the authors to assess the implicit building

of the author's business that will be located on Paradahan 1, Tanza, Cavite.

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BACKGROUND OF THE BUSINESS

A. Description of the Business

The Business proposes to produce a burger as a main product. The product

will be branded as "Pattylicious" with its tagline "Your Healthy, Nutritious Food

Buddy". The product will serve as a burger and the same time it can also be a

dish that served as a best partner with your rice. The business tends to serve

the customers daily needs and also be part of healthy community system

through providing a nutritious food to the people.

Pattylicious will provide the needs and wants to satisfy its customer by

producing delicious patty made of three kinds of vegetable which is banana

blossom, potato and carrots and have a good quality product. Pattylicious have

a thick and veggie texture and the taste is completely delicious and yet it is

also much healthier than ordinary burger made of meat. This Pattylicious is the

most unique patty, innovative and healthy that will surely get your attention.

B. Products or services offered

Pattylicious will provide new and innovative product where everyone can

afford it in cheapest and affordable way. It is a burger where the patty is made

of vegetables such as Heart of the Banana, Eggplant and Potato that rich in

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nutrients and vitamins. It will be your “Healthy, Nutritious Food Buddy”. It can

use to be your snack or partner with your rice.

Figure 1.1. The Product

C. Location

Pattylicious will be place in a public place where lots of people always go

and pass through; it will be located in front of Tanza National Trade School in

Paradahan 1 Tanza, Cavite. We will put an appealing and designs to our mini

shop to attract the customer.

Figure 1.2. The Location

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D. Business Logo

Figure 1.3. The Business Logo

E. Vision & Mission

Vision

We seek to provide and promote great tasting, healthy organic patties and

to offer an affordable, safe and clean food to the customers. We understand

the consequences of hunger and poor nutrition and we are committed on

creating a stronger and healthier community.

Mission

Our mission is to be the consumer’s first choice. We will provide unique and

innovative products made from nutritious ingredients with affordable but high-

quality products through working faster, simpler and together.

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F. Business Organization

GENERAL
MANAGER

CASHIER COOK

Figure 1.4. Organizational Chart

General Manager

 Development of the business

 Responsible for overseeing and supervising a business activities and

employees
 Keep the workers aligned with the goal of a business

 Strategies to improve overall quality and productivity.

 Plan, coordinate and manage all business operations to achieve
organizational goals.
Cook

 Prepare the product for the customers

 Weigh, measure, mix and prepare ingredients according to recipes

 Ensure kitchen area, equipment and utensils are cleaned.

 Check food and ingredients for freshness

 Work well under pressure and within the time limit.

Cashier

 Welcoming customers and answering the questions, helping them to

locate items, and also providing advice or recommendations.

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 Checks the daily cash accounts.

 Accepting payments, ensuring all prices and quantities are accurate.

 Processing refunds and exchange, resolving complaints.

 Bagging or wrapping purchases to ensure safe transport.

 Following at store procedure

 Maintaining clean workplace

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TARGET MARKETS
a. Market Definition and Segmentation

The early stages of developing product or service require the entrepreneur

to choose a target consumer to aim. In line with this, the proponents identified

a specific target market that will allow developing of effective marketing

strategies that will maximize the success of the business.

The proponents identified the target market through geographic

segmentation. In marketing, geographic segmentation is when a business

divides its target market based on location in order to better tailor is marketing

efforts (Foley, 2018). Since the goal is to market our product” Pattylicious”,

there is a demographic customer base. Specifically, the target market would

be the residents of Paradahan 1, Tanza Cavite and people who pass by. When

going to or from work, market, etc., especially when it is from school because

it was located in front of the Tanza National Trade School.

b. Target Market Segmentation Strategy

Pattylicious employs various tactics to promote its products. This

component of the marketing mix covers the tactics used to communicate with

the target market. Pattylicious uses the following promotion:

The personal selling where in the personnel will encourage customers to

buy more products from the menu. In additional to what the customer already

ordered.

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Pattylicious have also a Facebook Page to encourage also the people to

buy or to go to our mini shop. Through FB page, they will see the products that

we offer.

Figure 2.1. Business Page

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DEMAND AND SUPPLY ANALYSIS

a. Needs and Requirements

Requirements

This section outlines the significant procedures of local government which

relates in putting up a food stall in Tanza, Cavite.

Procedures

 Application and submission of requirements

The accomplished business transaction form together with the

requirements shall be submitted to the Bureau of Permits (BP). The BP

personnel shall encode the business transaction form details and the

requirements for processing and computation of business permit fee and

sanitary permit fee. The BP personnel shall issue a computer-generated

Business Identification Number (BIN) slip to the applicant.

 Assessment of business tax and regulatory fees

The applicant shall proceed to the License Division of the City Treasurers

Office for computation and assessment of Business Tax and Regulatory Fees.

The applicant shall present the issued Business Identification Number to a

licensing officer on duty. The latter shall then compute and generate the

License and Regulatory Fees Form which shall be given to the applicant.

 Payment of license and regulatory fees

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The applicant shall proceed to the cashier and shall present the issued

License and Regulatory Fees (LRF) Form. The cashier shall receive and

record the payment of the applicant and shall validate the LRF Form which will

serve as the Official Receipt.

 Release of Business Permit

The applicant shall go back to the Bureau of Permits office. After verifying

the Official Receipt, personnel will generate the Business Permit and Sanitary

Permit and it will be release to the applicant upon signing of the BP Director.

Requirements for Mayor’s Permit

1. Certification – either one of the following:

a. DTI Business Name Certificate; or,

b. DTI (if Sole Proprietorship); or,

c. SEC Registration (if Partnership or Corporation); or,

d. CDA (if Cooperative)

2. Barangay Clearance/ Permit

3. Authorization letter of owner with ID

4. Contract of Lease of Land Title/Tax Declaration

5. Sketch of Location

6. Community Tax Certificate (Cedula)

7. Sanitary Permit Certificate of SEC Registration/ Articles of Incorporation

(for Corporation)/ Articles of Partnership (for Partnership)

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8. Location Clearance

9. Occupancy Permit

10. Public Liability Insurance

11. Fire Permit

12. SSS (Certification/Clearance)

Needs

Tools
Items Quantity
Bowl 2 sets
Bread Knife 2 pcs.
Vegetable Knife 2 pcs.
Chopping Board 2 pcs.
Table 4.1 Tools

Equipment

Items Quantity
Refrigerator 1
Burger Stove 1
Table 4.2 Equipment

Furniture and Fixtures

Items Quantity
Cabinet 2
Tables 2
Chairs 8
Decorations 1 set
Table 4.3 Furniture and Fixtures

Packaging

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Items Quantity
Paper Box 5 packs
Paper Bag 5 packs
Paper wrapper 5 packs
Table 4.4 Pack aging

b. Distribution Channel

The possible distribution channels would be through;

 Grab Food

 Food Panda

 Toktok; and

 Meet-ups

c. Competitive Forces

Porter's Five Forces is a framework for examining a firm's competitive

landscape. Competitive rivals, possible new market entrants, suppliers,

customers, and replacement goods all have an impact on a company's

profitability.

Competitive rivalry. The competitors of the business will be the following:

 Mango Craze

 Minute Burger

 Angel’s BURGER

 Riley’s & Bree

 Burger Lane

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Who is offering the same product.

Supplier power. There will be many suppliers among the market because

here in Paradahan 1, there are many who are selling the resources needed

for the product to be made.

Buyer power. This force will be the most to be look out for because without

the buyers, the business will not profit.

Threat of substitution. The possible threat of substitution would be;

 Egg Sandwich

 Bacon Sandwich

 Monay

 Tasty Bread

 Pandesal

Which can be easily purchased and made in homes.

Threat of New Entry. During this Pandemic, many people are innovating

new products that they can sell and this may be a threat in our business

and in this Pandemic, entering in the industry is easy.

d. Communications

Communication with the suppliers and consumers will be through online

platforms or Social Medias like Facebook, Telegram and Instagram.

Communication can also be formed through phone calls and messages.

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Product Costing and Pricing

Recipe 1
Recipe name: Patty Puso Preparation time: 30 mins
Number of serves:12 Portion selling price.

Unit of Recipe
Ingredients Quantity Unit cost (₱/ Unit)
M cost (₱)
Banana Blossom 1 pc 20.00/pc 20
Egg 3 Pc 8.00/pc 24
Flour ¼ kilo 00
40. /kilo 10
White onion 1 Pc 00
10. /pc 10
Garlic 1 pc 5.00/pc 5
Hamburger buns 12 pc 00
20. /6pcs 40
Cheese 62 g 48.00/130g 24
Tomatoes 2 Pc 00
5. /pc 10
Lettuce 1 pc 10.00/pc 10
Mayonnaise 250 g 00
15. /250g 15
Ketchup 200 g 18.00/200g 18
Total cost 186
Cost/serve 15.50
Mark up Price 7.75
Mark Up % 50%
Selling Price 23.25/23.00
Method
1. Peel off and discard the
outer, fibrous skin layer of
banana heart until you reac h
the lighter, softer core. Trim of
the steam and discard. Cut the
banana core into half and slice
thinly.
2. In hot water, place shredded
banana heart and soak for 15
to 20 minutes. Wait for it to boil.
3. In a bowl or Tupperware,
combine banana heart, flour,
and eggs. Mix well form into 4
uniform sized patties.
4. Add onions and garlic.
Season with salt and pepper to
taste.
5. In a pan over medium heat,
heat about 2 tablespoon oil.
Gently Add banana patties in

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single layer and cook for about

2 to 3 minutes on each side or
until golden and firm. Remove
from pan and drain on paper
towels.
Table 5.1 Patty Puso Recipe

Recipe 2
Recipe name: Patty Long Preparation time: 30 mins
Number of serves:12 Portion selling price.

Unit of Recipe
Ingredients Quantity Unit cost (₱ / Unit)
M cost (₱)
Eggplant 3 Pc 7.00/pc ₱21
Egg 3 Pc 8.00/pc 24
Flour ¼ kilo 40.00/kilo 10
Water 1 Pc 10.00/pc 10
White onion 1 pc 5.00/pc 5
Garlic 12 pc 20.00/6pcs 40
Hamburger buns 62 g 48.00/130g 24
Cheese 2 Pc 5.00/pc 10
Tomatoes 1 pc 10.00/pc 10
Lettuce 250 g 15.00/250g 15
Mayonnaise 200 g 18.00/200g 18
Ketchup 3 Pc 8.00/pc 24
Total cost 211
Cost/serve 17.58
Mark up Price 8.79
Mark Up % 50%
Selling Price 26.37/26.00
Method
1. Boil your eggplant (with skin)
for 10 minutes
2. Remove eggplant skin and
mash the eggplant with a fork.
Feel free to lessen the eggplant
seeds by removing them using
a spoon
3. Mix flour and eggplant and
add the egg and mix it together.
4. Add white onions, garlic, salt
and pepper as needed.
5. Heat a frying pan over
medium high heat and place

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the patties. Fry both sides until

brown and crunchy
Table 5.2 Patty Long Recipe

Recipe 3
Recipe name: Patty To Preparation time: 30 mins
Number of serves: 12 Portion selling price.

Unit of Recipe
Ingredients Quantity Unit cost (₱/ Unit)
M cost (₱)
Potato 3 pc 8.00/pc 24
Egg 3 Pc 8.00/pc 24
Flour ¼ kilo 40.00/kilo 10
Water 1 Pc 10.00/pc 10
White onion 1 pc 5.00/pc 5
Garlic 12 pc 20.00/6pcs 40
Hamburger buns 62 g 48.00/130g 24
Cheese 2 Pc 5.00/pc 10
Tomatoes 1 pc 10.00/pc 10
Lettuce 250 g 15.00/250g 15
Mayonnaise 200 g 18.00/200g 18
Ketchup 3 Pc 8.00/pc 24
Total cost 214
Cost/serve 17.83
Mark up Price 8.92
Mark Up % 50%
Selling Price 26.75/27.00
Method
1. Peel off and discard the
outer part of the potato.
2. Cut the potato into 4 slices
3. Boil the potato in 5-10
minutes.
4. Smash the potato and then
mix flour and potato, and add
the egg and mix it together..
5. Add white onions, garlic, salt
and pepper as needed.
6. Heat a frying pan over
medium high heat and place
the patties. Fry both sides until
brown and crunchy.
Table 5.3 Patty to Recipe

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FORECASTED SALES AND EXPENSES

a. Expense Budget by Week

This section will determine the daily expenses of the business from Monday

to Friday.

EXPENSES BY WEEK

Monday Tuesday Wednesday Thursday Friday Total

Packaging 250 250 250 250 250 1250
Salaries Expense 1500 1500 1500 1500 1500 7500
Rent Expense 125 125 125 125 125 625
Utilities Expense 110 110 110 110 110 550
Advertising Expense 10 10 10 0 10 40
Total Expenses 1995 1995 1995 1985 1995 9965
Table 6.1 Expenses by Week

b. Expense Budget by Month

This section will determine the monthly expenses of the business from July to

September

EXPENSES BY MONTH
July August September Total
Packaging 5000 5500 4900 15400
Salaries Expense 7500 8000 7500 23000
Rent Expense 2500 2500 2500 7500
Utilities Expense 2200 2200 2200 6600
Advertising Expense 1600 1800 1600 5000
Total Expenses 18800 20000 18700 57500
Table 6.2 Expenses by Month

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c. Sales Forecast by Week

This section will determine the sales forecasted from the products, Patty
Puso, Patty Long and Patty To in a week from Monday to Friday.
SALES PROJECTED BY WEEK
Monday Tuesday Wednesday Thursday Friday Total
Price per Unit 23 23 23 23 23 115
Patty Puso Units Sold 25 30 23 27 40 145
Total 575 690 529 621 920 3335
Price per Unit 26 26 26 26 26 130
Patty Long Units Sold 23 20 25 28 35 131
Total 598 520 650 728 910 3406
Price per Unit 27 27 27 27 27 135
Patty To Units Sold 19 22 24 28 30 123
Total 513 594 648 756 810 3321
TOTAL SALES 1686 1804 1827 2105 2640 10062
Table 6.3 Sales Forecast by Week

d. Sales Forecast by Month

This section will determine the sales forecasted from the products Patty

Puso, Patty Long and Patty To in the months of July, August and September.

SALES PROJECTED BY MONTH

July August September Total
Patty Puso 13340 13376 13304 40020
Patty Long 13624 13660 13588 40872
Patty To 13284 13320 13248 39852
TOTAL SALES 40248 40356 40140 120744
Tab le 6.4 Sales Forecast b y Month

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e. Profit and Loss Statement

This section will determine the projected income of the business

from the month of July to September.

PROFIT STATEMENT
July August
Net Sales 40248 Net Sales 40356
Less: Cost of Sales 20300 Less: Cost of Sales 19900
Gross Profit 19948 Gross Profit 20007

Depriciation Exp. (F&F) 100 Depriciation Exp. (F&F) 100

Depriciation Exp. (Equip) 250 Depriciation Exp. (Equip) 250
Packaging 5000 Packaging 5500
Salaries Expense 7500 Salaries Expense 8000
Rent Expense 2500 Rent Expense 2500
Utilities Expense 2200 Utilities Expense 2200
Advertising Expense 1600 19150 Advertising Expense 1800 20350
Net Income 798 Net Income 106
Table 6.5 Projected July Income Table 6.6 Projected August Income

September
Net Sales 40140
Less: Cost of Sales 20000
Gross Profit 20140

Depriciation Exp. (F&F) 100

Depriciation Exp. (Equip) 250
Packaging 4900
Salaries Expense 7500
Rent Expense 2500
Utilities Expense 2200
Advertising Expense 1600 19050
Net Income 1090
Tab le 6.7 Projected Septemb er Income

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SWOT ANALYSIS

Having a business is not an easy thing to do and there are many things to

consider when operating and keeping it running. One of those things are the

SWOT Analysis wherein the business will identify its own Strengths, Weaknesses,

the Opportunities given and the Threats to consider outside the business.

STRENGTH
 Affordable price
 Unique Product
 Cleanliness and Quality
 Innovation

WEAKNESS
 Limited Location
 Unchanged menu items
 Brand Recognition

OPPORTUNITIES
 New Technology
 New products development
 Introduce new healthy snack

THREATS
 Competitors
 Inflation

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KEYS TO SUCCESS

 Provide a Great Product. Once the consumers arrive, the items or services
given must be excellent enough to meet or exceed their expectations. This
is how you develop a long-term repeat consumer who will benefit the
business by spreading the word. One of the easiest and most cost-effective
methods to get a small business noticed is to turn consumers into brand
ambassadors.
 Do Your Research. It's never just business; it has to be extremely personal
as well. However, this does not imply that entrepreneurs should throw
caution to the wind and launch enterprises simply on the basis of their own
personal beliefs. Gut instincts are valuable, but they are not the same as
knowledge. It is derived from data, which is obtained via study. To
effectively target consumer personas, you must first understand what drives
and motivates them. One of the most important aspects of small company
success is research.
 Keep Things Organized. Access to information quickly and effectively will
make a huge impact in a small business's daily operations, whether it's
through a real file cabinet or a well-organized digital folder structure on your
computer. Specific folders for each area of the business should be suitably
named and structured in a way that makes sense to you and is easy enough
for everyone in the firm to access as needed. Backups of digital information
are also necessary, especially when dealing with financial information. To
avoid potentially catastrophic circumstances down the line, it's critical to
keep children safe.
 Detailed Record Keeping. Proper bookkeeping allows you to understand
the financial health of your company and what can become an issue in the
future. It can determine whether or not you become a small company
success story. At the same time, it may help with company planning by

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painting a picture of future forecasts. You must be able to calculate how

much money the company makes and sells. While many business owners
simply consider hiring an accountant to pay their taxes as needed, knowing
your numbers entails much more.
 Keep Focus & Have Patience. When launching a new business, being
focused on a specific purpose is critical for success. You must first identify
your overarching aim and then make smaller goals that will progress along
the road. To help you stay to a schedule and avoid distractions, make a "to-
do list" every night before going to bed and start working on it first thing in
the morning. However, it is critical to create a realistic to-do list in order to
avoid setting yourself up for failure. That said, it is equally critical to have
resilience, not just in the face of everyday problems, but also in the face of
long-term business success expectations.
 Be Prepared to Make Tough Decisions. For the benefit of the company,
every business owner must make sacrifices. Pride may be fatal to a
business, and not all decisions will always reflect your values. Although a
small business owner's personal and emotional investments in the company
should be significant, they cannot be the guiding force behind every daily
decision. You should realize when you need assistance and understand that
others may know more about certain parts of the business than you do. It is
OK to seek assistance. It is difficult to approach a problem with humility and
an open mind, but it is the only way to make an informed business choice.
 Keep Your Overhead to a Minimum. "Cash is King," as the saying goes,
and it's not untrue; cash is one of the most important aspects of small
company success. The majority of business owners recognize the
importance of profitability as the first line of defense against any
unanticipated issue. However, not all small firms can maintain a substantial
adequate reserve to handle unexpected revenue or spending surges.

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Although "50 percent of small firms operate with less than 15 cash buffer
days," the bigger the cash flow, the more stable the organization (JPMorgan
Chase & Co., 2020.)
 Know the Operational Needs. You must know all there is to know about
your company, and this knowledge should not be restricted to figures.
Understanding what the organization need to function efficiently is critical.
Employees, equipment, supplies, and anything else necessary are
included. However, there is also the intangible factor to consider. Process
efficiency and inventory management may have a significant impact on
operating expenses. Researching best practices in a certain market and
putting them to the test to see what works best for the company—by trial
and error—could be a time-consuming procedure. However, it will increase
the profitability and performance of your company.
 Hire the Right People and Treat Them Well. More than in giant
businesses, every employee in a small firm must be trusted to perform his
or her daily obligations with as little supervision as possible. To reduce
overhead costs to a minimum, the structure must be as lean as feasible. As
a result, no small firm can afford to squander a job by recruiting the wrong
person. The same cannot be said for the reverse circumstance. A great
employee is something that no small firm can afford to lose. Create a strong
team and treat them nicely. Pay attention to them and assist them in their
development.
 Always Look to Improve. Avoid complacency and obliviousness to new
ideas. It's time to start looking for methods to improve once things start
going well and the firm hits its stride. Perhaps it's automating a tedious
procedure, introducing a new product, developing a distinct taste, or
extending business hours. Whatever it is, keep in mind that there is always
opportunity for development in every firm. To prevent getting stagnant, you

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must constantly moving; innovation is critical to being a small company

success story. Being watchful, open, and listening to your staff and clients
will automatically lead to new methods to develop your firm.

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