Teachers E-Loan

Macondray Finance Corporation

Company Background
Macondray Finance maintains its operations in Pasong Tamo Extension and with its satellite offices in Bagtikan, Makati and Kalaw, Manila At present, Macondray Finance has focused its capital resources to cater to various niche products, such as the seafarers loans, SSS & GSIS pensioners since 2003

It also provides its borrowers with other corollary services such as orientations on borrowing, investing and financial budgeting.

Lapanday Office

Kalaw Office

Affiliate Companies
Macondray Plastics Inc. Macondray Agro-industrial Corp. Macondray Industries Inc. Macondray Insurance Brokers Corp.

Target Markets
Butuan City Agusan Del Norte Agusan Del Sur

Northern Mindanao

Competitors
Companies Philfund Hills Small Loans PMC Uhland DAsian Hills Bank Cantillan Bank Rates/Mo. 3% 3% 3.5% 1-4.8% 1.2% 1.16% Term 60 mos. 12 mos. 24 mos. 36 mos. 36 mos. 61 mos. Processing Time 2 days 5 days 2-3 days 1 day 1 month 3 days

Peoples Bank

2.6%

60 mos.

3 days

Macondray

2.9%

24 mos.

1 day

THE PROPOSED WEBSITE

www.teacherseloan.webs.com

Teachers E-Loan

Mission
The company shall position itself to provide sustainable and alternative financial services to every professional public school teachers

Vision
To become the leading provider of most innovative financial total solutions in the region and the rest of the world

Teachers E-Loan

Product Proposal
Teachers Salary Loan (TSL)

Target Market
DepEd Active Teachers Elementary & High School

Market Area
Butuan City Agusan del Norte Cabadbaran City, Magallanes, Remedios T. Romualdez, Buenavista, Nasipit Agusan del Sur Sibagat, Bayugan City, Prosperidad, San Francisco, San Luis, Esperanza

Main Competitors
Name
Uhland Philfund

Teachers E-Loan
Term
36 mos. 60 mos. 12 mos.

Rates/Mo.
1 to 4.8% 3%

Releasing
1 day 2 days 5 days

Location
Guingona Ave. T. Calo cor. Ochoa St. J.C. Aquino St.

Hills Small Loan 3%

PMC
D Asian Hills Bank Cantillan Bank Peoples Bank

3.5%
1.2% 1.16667% 2.66667%

24 mos.
36 mos. 61 mos. 60 mos.

2-3 days
1 mo. 3 days 3 days

R. Calo St. (Timber City)

J. C. Aquino St. Montilla Blvd. Libertad

Requirements
Borrower
Appointment Letter Bank Statement ATM Payroll Account Prior Month Payslip Valid Ids Co-borrower (either coteacher/spouse/nearest relative with regular monthly income 2 2X2 ID pictures Latest proof of billing address Sketch of residence
Note: Major requirements

Teachers E-Loan
Co-borrower
Latest one (1) month payslip 2 2X2 ID pictures Latest proof of billing address, if residence differs from borrower Sketch of residence, if residence differs from borrower

Teachers E-Loan

SERVICE ILLEGIBILITY:
o Active DepEd Teacher o In serviced of the same school not less than 1 year o Payroll thru DBP ATM Account o With NTHP of less than P 4,000.00 o Age: 57 years old below o With owned residence

Teachers E-Loan

LOANABLE AMOUNT:
- Maximum of 60,000 (Principal) or 96,000 (PN Value)
Term of Loan Processing time Interest Rate Computation basis : : : : 24 months 1 to 2 days (maximum) 2.9% per month Principal Amount

Teachers E-Loan

DEDUCTIONS:
Processing fee DST Collection fee Notarial Fee Insurance 2 RMF
Note:

: : : : : :

Php500.00 (fixed) 0.50% Php30.00/mo. Php250.00 Php400.00 Php0.75 premium per month

1 - To accommodate referrals, for new accounts only 2 - In-house & lesser risk on death or accident

Teachers E-Loan

Types of Loans Buy-out loans, New loan & Extension loan Approval
MA 4,000 4,000 Principal 35,000 60,000 PN Value 48, 000 96,000 Term < = 12 mos. > 12 to 24 mos. Approver SBD/GRZ SBD/GRZ & LPJ

Teachers E-Loan

Documentations
Evaluation Sheet Application Form Promissory Note Disclosure Statement Special Power of Attorney ATM Authorization CI Report Individual Loan Sheet Check Voucher

Policies and Procedures

Teachers E-Loan

1. Documentary requirements received by Loan Assistant for authentication 2. Loan assistant conducts interviews with borrower & co-borrower 3. Loan assistant will verify payroll account on acquired DepEd payroll listing 4. If verified, will endorse to Credit Investigator (CI)

Teachers E-Loan

5. Credit investigator conducts CI in residence area & character check 6. Loan Assistant prepares the Evaluation Sheet for approval 7. If approved and with positive feedback from CI, encode to Lending System the information by Loan Assistant 8. Loan Assistant process the loan application for account and system approvals

Teachers E-Loan

9. Print the necessary system generated forms and documentations for clients signature 10. Print the check voucher and check for signing by the authorized signatory/ies 11. If everything are in order, release of check loan proceeds

PART 2: SWOT Analysis

STRENGTH
1. The entity itself has its own stand or good reputation in the lending industry (20 years), so customers will be safeguarded or protected by the policies they will encounter 2. With regards to processing arrangement, the entity offers fastest and shortest turn-around time for loan processing and approval 3. Since one feature of the service can be done thru internet, communication entails convenience for customers and for faster transactions

4. The entity offers competitive and considerable rates which will be favourable for customers depending on their income status. 5. Legality will also imposed at all time to both parties involved 6. The uniqueness of the service gives advantages to the entity since target customers of the type of loan was not usual

WEAKNESSES 1. Since the service offered was on introduction or bloom stage, it might not patronize by the potential customers immediately 2. Since the entity is not much bigger compared to other competitors, the liquidity and asset structure of the business might be a potential weakness of the entity compared to others. The more resources, the more opportunities to attain. Moreover, if more prospect customers would patronize the service, chances would happen that not all of them would be catered

3. The same as strength, interest rate might be a weakness depending on preferred rate that customer wants. Since, most of the customers today are price conscious, they will consider all possible future outcome of patronizing the service.

OPPORTUNITIES
1. With this new service offered by the entity, teachers from other schools might be a prospect customers that would be favourable for the entity 2. On the customer side, the service offered would be helpful for them to finance whatever needs they have since in reality income of target customers are not that high compared to other profession. Valuing customers must always consider to attract more customers and get their loyalty 3. If the service would become successful for the succeeding years, theres a big tendency that Macondray might pursue and establish other lending services not only regional, but across the nation 4. Development of a niche market could take advantage before competitors

THREATS
1. Basically, since the entity has lots of competitors, so that would be the primary threat in dealing with potential customers. 2. The service might not boom immediately 3. Death of the borrower, or extremely together with coborrower for whatever circumstances might give huge impact on the entity, specially on financial aspect 4. Early retirement of the borrower

5. Transfer of school that entails changes in significant information, including the accounts of the customers might be a threat 6. Since this type of service is unusual for those competitors that offers also different products, this might be a threat for those competitors 7. Profitability and stability might attain 8. Economic status might hinder the progress of the service, for example, the taxes etc.

Porters 5 Forces Analysis

PART 3 Products and Corresponding Target Markets Target Market Demographics Professional Teachers Butuan City 57 years old below Income range? Readiness Stage Attitude towards the service

Industry or societal trends Financial resources nowadays are very crucial in the society that suffice primary needs. This is why emerging markets of lending industry is boosting since it would not only benefit both lender and parties obtaining service, but can also contribute to market share side. Lots of variables are being considered in choosing the best entity, but, the usual rivalry covered in this industry was the rate and loan amount.

Target Customers Needs and Wants By choosing and obtaining the service offered, customers has the convenience in prioritizing their necessary and primary needs. In choosing this type of loan, everything is set what the customer wants and what he/she only needs to do is to pay sufficient amount on a timely basis.

Part 4 Marketing Strategies Service Positioning Thru convenience and fastest transaction or turn-around time, entity will position itself as such type of business in the industry. Service is created in the business entity, but its brand will marked in the mind of customers relative to competing services.

General Strategies? Product Marketing Mix?

Computations

Forecast and Financial Analyses

The TEACHERS E-LOAN program assistance offers loans at below-market interest rates especially focuses to public school teachers in Butuan City. This program is designed to expanding its personal loan business to target professionals like teachers who had job security and a track record of regularly paying their premiums.

Computation: MA (Monthly Amortization) TERM 24 mos. Rate 2.9% PN Value (Principal Net Value) 96,000.00 Principal Amount Interest Amount 4,000.00

66,816.00 P 29,184.00

Other Charges Service Charge Collection Fee Notarial Fee Insurance RMF P 500.00 30.00 / month 250.00 400.00 .75 P 1,180.75

MARKETING BUDGETS Marketing Personnel 100,000.00 Ads & Promotion 12,000.00 Marketing Research 10,000.00 Travel & Personal Expenses 15,000.00 Total Marketing Expenses, 12/31/13 P 137,000.00

Sales unit and dollar forecast

Sales July 2013 August 2013 5,000 Sept 2013 5,000 Oct 2013 Nov 2013 5,000 20,000 Dec 2013 20,000 2014 Project 10,000 consulti ng Market 10,000 research Strategic 0 reports 100,000

5,000

10,000

20,000

60,000

5,000

5,000

5,000

50,000

Total sales

20,000

10,000

5,000

10,000

35,000

45,000

210,000

100000

90000
80000 70000 60000 50000 40000 30000 20000 project consulting Markey Research Strategic Reports

10000
0

Cost of Goods Sold Beginning Inventory, 7/1/13 Purchases Cost of Goods Avail for Sale Less: Ending Inventory Cost of Goods Sold

P 960,000.00
60,000.00 P 1,020,000.00 444,000.00 576,000.00

(10persons approved for the month of July 2013)