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EXECUTIVE SUMMARY
The study is about street food cart, catering street food as its main dish. The name of
the business is Food Y’all, serving the best in terms of quality of the food and the sanitary in
all competitors involved in this kind of business. It will serve a food that most students’
cravings will satisfy, such as french fries, kikiam, hotdogs, fishballs, and iced tea that is
perfect for the weather of Davao City. The study will provide relevant data that will show the
feasibility and viability of the business and its different factors to operate successfully. The
study resulted into a positive result that will lead the business to be pursue. The cost of
investment and its payback period was good sign to continue the business. In addition, the
business will not only provide benefits to the students, but also to the community, this is
because the business will use an environmental friendly machineries and equipment.
2
MARKETING ANALYSIS
The market projection of this business is predicated on the surveys conducted and
different related data gathered among the University of Mindanao, Matina campus.
Projection of demand, supply, and sales is based on the various factors just like the increase
in population, market acceptableness, the capability to provide and different factors. This
study is feasible because our target population are willing and capable to avail our product
and services. We also think about factors like our competitors and prevailing costs of the
suppliers, which will have an effect on our costs. As shown in our demand-supply analysis
we have realized that we are able to offer the accessible market based on our production
capability.
Demand Forecasting
Currently, an upcoming direct-to-consumer street food business conducted a survey
to see if the products they are willing to sell will benefit the customers as well as the business.
Based on the data gathered, the customers responded positively. It shows that most of the
customers are willing to spend 10-30 pesos to purchase the products offered by the business.
Aside from that, they want to eat street foods 2-3 times a week usually at 2:00-5:00 pm.
Moreover, the customers are expecting to have a great taste and affordable street foods.
Upon knowing the result of the survey, the owner plans to continue establishing their
business with great taste and affordable food to fulfil the needs of the customers and to keep
up with the demand.
Kikiam
P15.00/serving
French Fries
P15.00/serving
Hotdog
P15.00/serving
Fish Ball
P10.00/serving
Ice Tea
P10.00/serving
Combo
P50.00/serving
*Place
4
This element of the marketing mix states the venue or location where products are
offered and where customers can easily access them. School outdoors are the most
prominent places where the company’s products are distributed. The main place through
which Food Y’all distributes its products is at University of Mindanao (Matina) entrance.
*Promotion
The Food Y'All will promote the sustainability taste of the products through making the
different kind of sauces such as chili sauce, sweet and spicy, barbeque, and sweet and sour
which through these, it can satisfy the taste preference of any customers. And by that, Food
Y'all will also include cleanliness and sanitation service for it can be more appealing to any
customers walk down in the pathway. The proponents also promotes the Combo promo that
includes all the products and that is where the customers can save the money. Moreover, the
main promotion of Food Y'All is to give the satisfaction of every customers need through
developing, sustaining, and improving the Food Y’Allfacilities and its proponent will give its
best for the Food Y'All that stands for “Food For All.”
5
SWOT ANALYSIS
➢ Perception of consumers
➢ Have a shorter payback that street foods were
period unhealthy and not clean
➢ Low capital cost ➢ Many existing
➢ Accessible to target competitors will lower
markets their prices
➢ No rental fees ➢ Maintenance of special
➢ Workers are skilled to features is costly
manage customers (e.g. equipment)
STRENGTHS WEAKNESSES
OPPORTUNITIES THREATS
Conclusion
In the marketing aspects, the proponents conclude that “Food Y'All” street food cart
business is not just an ordinary street food cart. Itaims for a good reputation where
everybody want to get recognize due to it’s sustainability taste and perfect combo in
everybody’s snacks and “timo” time. Proper sanitation and cleanliness is the right word
where Food Y'Allassured of it’s existence. In addition, the business itself will make sure to be
the most affordable and great taste food where everyone would wonder to eat and buy.
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TECHNICAL ANALYSIS
Food Y’All is an outdoor mini food cart selling affordable and suitable for the liking of
the majority and valued customers. It is convenient for on the go food with immediate
satisfaction thus, budget friendly. It fulfils general food cravings without compromising
quality. The main products of this food cart areFrenchFries, Kikiam, Fishball and Hotdogs.
These products are very popular among the streets here in the Philippines. That is why we
are offering these products on high quality and taste buds friendly accompanied with
homemade sauce without losing its authenticity.
MANUFACTURING PROCESS
LPG (13.5kg)
MACHINERY AND
EQUIPMENT NEEDED
ESTIMATED COST ESTIMATED LIFE
FOODCART
GAS STOVE
BIKE
Beverage
Sauce area
Cooking area
For cooked Preparation area
products
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FACILITY NEEDS
Food Y’All will not have complex workplace organization. This food cart is
not electrically operated but rather it will only use liquefied petroleum gas for its way of
cooking desired products. It does not require any maximized place or large area for its
production. The small area will be occupied are arranged according to its function
effectively.
PRODUCTION SCHEDULE
The production of said products must equal to its desired sales in its daily
operation since the nature of the product is immediately consumable. By that thought,
business will not maintain any beginning or ending inventories and it was assumed that it
wouldconsider 3 percent growth in its production.
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The business will serve french fries, kikiam, hotdogs, fish balls or the combo of these
foods. Production technologies have been explored to investigate its suitability. As what have
been discussed in the equipment and materials there is not much production technology
needed. Gas stove and LPG is one of the most important production equipment needed in
order to operate the business. It is suitable to use for cooking as it would make the work
faster and it would be easier to use since everyone is familiar with it. With this, the person in
charge in cooking will find it easier to get the job done. It is also safe since the brand used
was already tested and proven by most of the users. Gas stove is the best choice to use in
production since it can fit easily in the small space of the stall, aside from it the we decided
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to use gas stove because this equipment will not need an electricity to function, with this the
cart would be convenient to use and will only contribute a lower cost of production.
Since the business is located along, the hallway in front of Pocket Saver boutique
when entering the campus it would be easier for the customer to find and notice it. To be
able to have a space to rent for the food cart, there should be a meeting of the minds of both
parties, which are the owner of the area and the lessee which is the owner of Food Y’all. The
first thing that the business should do is make an agreement to the owner of the vacant space
to rent the area. Both parties should have an agreement of the terms of the payment and the
rules and regulations for renting the space. In order for the business to be successful the
lessee should obey the terms and rules properly. The main goal is to make the business
convenient for the customers so that they would often visit the store. The food cart will be
placed along the hallway where can students access it easily, aside from its accessibility the
site where the food stall is being placed could easily attract new customers, especially those
customers who like their food to get done faster and easy to eat. The students of University
of Mindanao likes food that can be found easily that is why the site where the food stall will
be place is perfect.
The site was being chose for its availability and accessibility. The hallway will never
be empty during school days; students who come and go can easily see it. Most of the
students after school will stop in these areas to buy some food before going home so this site
is always visible. In choosing the location, the researchers considered the preference of the
students and this site will be the suitable location to attract the target market of the product.
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Per Unit
Raw Materials Quantity Total Cost
Cost
Ingredients
Monthly/pack Yearly/pack Monthly Yearly
Fries 310 3,720 ₱ 68.00 ₱ 21,080.00 ₱ 252,960.00
Kikiam 248 2,976 ₱ 36.00 ₱ 8,928.00 ₱ 107,136.00
Hotdog 372 4,464 ₱ 180.00 ₱ 66,960.00 ₱ 803,520.00
Fishballs 279 3,348 ₱ 43.00 ₱ 11,997.00 ₱ 143,964.00
Nestea 31 372 ₱ 173.00 ₱ 5,363.00 ₱ 64,356.00
Ketchup 31 372 ₱ 365.00 ₱ 11,315.00 ₱ 135,780.00
Mayonnaise 31 372 ₱ 1,000.00 ₱ 1,000.00 ₱ 372,000.00
Oil 31 372 ₱ 330.00 ₱ 10,230.00 ₱ 3,960.00
Total ₱ 136,873.00 ₱ 1,883,676.00
Per Unit
Quantity/pcs Cost Total Cost
Materials
Pan 2 ₱ 400.00 ₱ 800.00
Ladle 2 ₱ 150.00 ₱ 300.00
Strainer 1 ₱ 250.00 ₱ 250.00
Plastic Container 5 ₱ 200.00 ₱ 1,000.00
Sauce Container 3 ₱ 60.00 ₱ 180.00
Food Container 6,000 ₱ 2.00 ₱ 12,000.00
Paper plate 10800 ₱ 1.00 ₱ 10,800.00
Total ₱ 25,330.00
TOTAL RAW MATERIALS (YEARLY) ₱ 1,909,006.00
OTHER INPUTS
Any new business owner would want to make sure that the business can be as
successful as it can. The very first thing to do to ensure the health and protection of the
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business is securing a business license. One of the reasons why it is so important to have a
business license is to ensure that the financial health of the young business is in good
standing. This is an important step in order to prove that your business is legitimate. By
having a business license, it tells the community that you are taking your business seriously.
Business license is very important to avoid problems in running your business.
The business needs to be register in DTI to register the business trade name, to use
your business trade name for operation and to give the owner the power to protect the
business against being used and registered by other business establishments. Mayor’s
business permit is needed in order for the BIR to issue a certificate of registration. BIR
Certificate of Registration to comply with the Philippine tax requirements. The business also
needs to secure a sanitary permit to make sure that a business observe the standard of the
Sanitary Code of the Philippines.
Conclusion
Food Y’All business utilizes the technical resources that meet the desired capacity of
its production. It uses the working system formulated. It maximizes the information needed
and duly supplied the necessary details as the equipment, technology and materials used.
The location was suitable for the market it targets. It increases the business strength to be
able to attain its goal on operating the business.
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Arnold Bilo
(Owner)
Direct Main
Labor Vendor
to the cart
Main Vendor • High level of patience Sells the street food and
customers cart.
14
(Month) (Year)
Conclusion
We’ve come up with a simple type of business organization because we are targeting best
possible chance of expanding and inviting more business partners to invest with us, using our own
market strategy and the quality of our food. Providing the best in terms of sanitary in of all the food
carts we are competing on this field. In terms of salaries all employees are equal so that all of them
Financial Analysis
Statement of Assumption
a) The cart will operate at least 5 times a week including working holidays for a total of 240
b) We conduct a random interview with the street vendor outside the campus and here’s what
c) Kikiam 150serving./day.
d) Hotdogs 200pcs./day.
h) Combo 50 serving/day.
i) We multiply each product to 240 days which is our cart will operate and multiply to their
j) Sales will increase 5% year as well as the yearly expenses due to maintenance and possibility
k) Raw materials ending are 20% based on the raw materials purchased.
m) The owner borrowed P21,000 from Ermelyn’s enterprises payable 4 years, interest 10%
payable annually.
P540,000
P720,000
P360,000
P432,000
P480,000
Foodcart 5 years
P14,000 P2,800
Bike 4 years
P3,000 P750
P4,000 P1,000
Total -
P21,000 P4,550
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Food Y'all
Statement of Financial Performance
For the Year Ended December 2020-2023
30%
2020 2021 2022 2023
Sales P3,132,000 P3,288,600 P3,453,030 P3,625,682
Cost of Sales
Direct Materials 1,527,205 1,832,646 1,893,734 1,905,951
Direct Labor 182,400 182,400 182,400 182,400
Total 1,709,605 2,015,046 2,076,134 2,088,351
Gross Profit 1,422,395 1,273,554 1,376,896 1,537,330
Operating Expenses
Selling and Distribution
Depreciation Expense 4,550 4,550 4,550 4,550
Advertising Expense 15,000 15,000 15,000 15,000
Salaries Expense 182,400 182,400 182,400 182,400
Utilities Expense 10,800 10,800 10,800 10,800
Interest Expense 2,100 1,575 1,050 525
Rental Expense 60,000 60,000 60,000 60,000
Income before tax 1,147,545 999,229 1,103,096 1,264,055
Income Tax 344,263.50 299,768.82 330,928.92 379,216.59
Net Income 803,282 699,461 772,167 884,839
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Sales in Peso
3,400,000
3,300,000
3,200,000
3,100,000
3,000,000
2,900,000
2,800,000
2,700,000
2,600,000
2020 2021 2022 2023
2,700,000
2,600,000
2,500,000
2,400,000
2,300,000
2,200,000
2,100,000
2020 2021 2022 2023
Food Y'all
Statement of Cash Flow
For the year ended December 31, 2020-2023
Increase in Cash in
Bank 265,044 177,906 287,356 429,371
Add: Cash in Bank beg. 100,000 365,044 542,950 830,305
Cash in Bank
end 365,044 542,950 830,305 1,259,677
21
F
Food Y’all
S
Statement of Financial Position
A
As of December 31,2020-2023
A
ASSETS
Current Assets 2020 2021 2022 2023
Cash P365,044 P542,950 P830,305 P1,259,677
Inventories 381,801 458,161 473,433 476,488
Total Current Assets 746,845 1,001,111 1,303,738 1,736,165
Non Current Assets
Cart Utensils 5,250 5,250 5,250 5,250
Foodcart 14,000 14,000 14,000 14,000
Bike 3,000 3,000 3,000 3,000
Gas Stove 4,000 4,000 4,000 4,000
Less: Accumulated Depreciation -4,550 -9,100 -13,650 -18,200
Total Non Current Assets 21,700 17,150 12,600 8,050
Total Assets 768,545 1,018,261 1,316,338 1,744,215
1 1
P770,294 P2,385,856
2 2
P583,156 P1,615,562
3 3
P792,606 P1,032,406
4 P239,800 .26
P934,621
3.26 years
Year 1 .909
P770,294 P700,197
Year 2 .826
P583,156 P481,687
Year 3 .751
P792,606 P595,247
Year 4 .683
P934,621 P638,346
Total PVCI
P2,415,477
Less: Cost of
investment (P2,385,856)
2% 3.26 0.48
Conclusion
The basis of our financial projection, financial statements are based only on our
quantities produce every year. Cost of investment is estimated base on our research on food
cart start up businesses in various feasibility study. We may not be accurate on what would
the actual numbers would be if we start this business but we are certain that this numbers
General Conclusion
At the beginning of this study, we identify first all the needed criteria for a data source to
be feasible or viable. We conducted a survey where it resulted the business to be a good business
to start outside the campus of University of Mindanao. According to the survey conducted, many
students were searching for a go-to-foods that is affordable and where they could eat it
conveniently, with this, Food Y’All is suitable for their wants and cravings. The business will not
only benefit the customers but also the owner. Food Y’All have a shorter payback period which is
a positive sign of a good business, easy to sell, low operational cost, accessible to target markets
and have a high profitability and revenue. The business also have a possible weaknesses and threats,
however, precautions are now being identified and observed to control the possible problems that
the business may encounter.
The goal of the business is to minimize the cost to maximize profit, which leads to a
conclusion to use a cart with a bike attaching with it to lessen the cost. The machineries, equipment
and production technologies have been carefully explored to assure its suitability to serve its
function to the operation of the business. According to the technical analysis, the business start-up
cost will not exceed to 3,000,000 pesos. On the other hand, the investment cost estimation totalled
P2,385,856 yearly that is favorable to the business owner. According to the estimated computed
Income Statement the net income will continue to increase from 2020 to the year 2023 if the gross
profit will continue to increase even though the expenses also increases. The payback period of the
business is 3.26 years, which states that the business will recover its cost of investment in 3 years
and 3 months.
In conclusion, the business Food Y’All is feasible and viable to continue. The different
factors that may affect the successfulness of the business was being observed carefully to come up
with this conclusion. The assumptions applied were based on the probability of the markets
condition and situation. A good business plan and good business management will lead to the
success of the business.
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Appendices
1. Select more than one of each items that you have purchased at any
4. Select the qualities that you would most like to see in a street food cart.
5. What time of the day would you likely to eat street food?
Tally of Questionnaire
The questions are multiple choices which can easily determine the
Customers Profile:
43%
Male 43
57 57%
Female
100 100%
Total
23 24
0% 2% Age 25
22 1%
21
1%
3%
18
11%
20
39%
19
43%
In pie chart, ages 18-20 (93%) were those active to respond in the proponents
questionnaire.
44
32
14
4
2 2 1 1
College Department
29
Education (44%), next is from College of Engineering Education (32%), and the third
one is from College of Arts and Fine Arts Education. Some of the remaining colleges
1. Select more than one of each items that you have purchased at any
streetfood vendor.
Hotdog
47 47%
Kikiam
34 34%
French Fries
36 36%
FishBalls
40 40%
30
Others: Kwek-Kwek,
12
Siomai, Waffle, Isaw, 12%
In the Table 12, Hotdog got the highest demand of repondents which had
47%, the next one was Fishball (40%), then French Fries (36%). The
respondents who answered others were 12%, the names specifically were Kwek-
kwek (5%), Siomai (3%), Waffle (1%), Isaw (2%), Squid Balls (1%), and 1% was
30 27 CAE
25 CEE
20 CAFAE
15
CCJE
15
CASE
10
CHE
5 2 CTE
0 CHSE
10-30 php 30-50 php 50 php
In Figure 9, most of the respondents were willing to spend from the range
of 10-30 php which have the percentage of 39%. The next was the price of 30-50 php
20 CAE
15 CEE
10 CAFAE
CCJE
5
CASE
0
CHE
Once a
week 2-3 times a CTE
3-4 times a
week Everyday
week CHSE
In Figure 10, the range percentage of once a week and 2-3 times a week
were closely near. The percentages were 40% and 44%, respectively.
4. Select the qualities that you would most like to see in a street food cart.
32
80
70
60 CHSE
50 CTE
40
30 CHE
20 CASE
10
0 CCJE
CAFAE
CEE
CAE
Figure 11.Qualities that customers would like to see in street food cart.
In Figure 11, the results were consumers want the qualities to have a
5. What time of the day would you likely to eat street food?
35
30 CAE
25 CEE
20 CAFAE
15
24 CCJE
10
CASE
5
6 CHE
0 1 1
Between 10am- Between 12pm- 2pm-5pm Mostly at night CTE
12pm 2pm
In Figure 12, the time that the respondents want to eat were around 2:00
pm to 5:00pm (66%) in which that is the time was most of people are hungry at that
time.