Chapter II – Project Background

Introduction

Nowadays, having pet cats and dogs is a common thing among households. They serve as

human companions and establish a strong human-animal bond between them and their owners.

Jessica Pierce, Ph.D. (2015) quoted that “90% of pet owners consider their pet as part of the

family”. Aside from the fact that they offer good companionship, pet cats and dogs also serve as

a buffer against stress. Newsonen (2018) states that petting dogs not only ups your oxytocin but

also lowers your cortisol, the stress hormone. Furthermore, having pet cats and dogs instills a

sense of responsibility, patience and trust among owners since these are essential characteristics

in dealing with pet ownership. Hence, it is a generally accepted fact that pets such as cats and

dogs help maintain a positive and optimistic outlook in life, reduce loneliness among households

and equip owners with core values.

One of the dilemmas that are being encountered by dogs and cat owners is the problem

with regards to pet sitting or finding a reliable sitter especially if they are away from home due to

school or work. Several possibilities may occur if pets like cats and dogs are not attended

properly such as starvation, dehydration, lack of exercise which may lead to health problems and

certain kinds of accidents. Being aware of these possibilities and having experienced the

struggles of pet keeping, the owner of the business can relate with the hassles that pet owners are

going through.

Seeing the increasing demand for pet sitting services, the owner saw an opportunity to

venture on a pet daycare center, exclusively for cats and dogs. The business seeks to provide

convenience and aid to pet owners who find a hard time in taking care of their cats and dogs due
to work or school. Through this institution, balancing work or school and pet keeping becomes

more convenient and less stressing. Hence, after identifying the needs of the target market, the

business is expected to generate profit.

Coddled Paws is a cat and dog daycare center, designed to cater the needs of pet cats and

dogs and pamper them with care while their owners are away for offices or school. Coddled

Paws offers a hotel for cats and dogs where they can spend their day in a fully air-conditioned

suite. Moreover, it has a pet playground, separate for dogs and cats where they can have fun and

play with their new playmates, enabling them to socially interact and exercise at the same time.

With regards to food, Coddled Paws will feed their clients’ cats and dogs with commercially sold

cat and dog food. Furthermore, the business has a licensed animal care technician to monitor the

health of pets. Also, there are shower rooms for pets where they are being bathed and cleansed to

maintain their proper hygiene. Coddled Paws is located along the 21st Street, Bacolod City in

front of Dood’z Rowger’s Lutong Bahay where 21 Food Park was located before.
Project Proponents

Philip Anthony P. Maquiran - Born on December 11, 1999. Philip Anthony Maquiran is

currently taking up ABM Track in Liceo De La Salle and will work as the Chief Executive

Officer (CEO) for the business. His role is to oversee the overall performance of the business and

make major decisions for the company.

Earl Daric G. Cuadra - Born on August 3, 2001. Earl Daric Cuadra is currently taking up ABM

Track in Liceo De La Salle and will work as the Chief Accountant for the business. He is in

charge of keeping track of the total expenses of the business, total revenues, and cash flows.

Furthermore, he is the one who will formulate the financial statements at the end of the

accounting period.

John Noie B. Sayam - Born on March 7, 2001. John Noie Sayam is currently taking up ABM

Track in Liceo De La Salle and serves as the General Manager for the business. His task is

supervise the daily operations of the business and make sure that everything is running smoothly.

Ryan Christian G. Jardin - Born on July 6, 2001. Ryan Christian Jardin is currently taking up

ABM Track in Liceo De La Salle and works as the team's Operations Manager for the business.

His role is to ensure that the operations of the business is smooth sailing. Furthermore, he

oversees the management of labor, production, and quality control.

Marc Adrian L. Ramos - Born on May 26, 2001. Marc Adrian Ramos is currently taking up the

ABM Track in Liceo De La Salle and functions as the Marketing Manager for the business. His

role is to look for the latest trends and assisting the CEO in making decisions related to

marketing the business products. Also, he is tasked to formulate marketing plans.

Caleb Kalvin M. Reynoso - Born on September 17, 2001. Caleb Kalvin Reynoso is currently

taking up ABM Track in Liceo De La Salle and works as the Staff Supervisor for the business.

His role is to make sure that the staff and crew of the business are performing their jobs

accordingly by orienting them with their specific duties.

Primary Focus

Vision

Coddled Paws envisions itself as the leading cat and dog daycare center not just in

Bacolod City, but also in the entire Philippines. The business sees itself to have established a

brand in the animal daycare industry in the future, having expanded its branches across the

country. Furthermore, Coddled Paws visualizes itself to be recognized nationwide as a pet-

friendly center for both cats and dogs and a trusted institution by its clients, offering high quality

of services at a reasonable price.

Mission

Coddled Paws aims to provide the best animal daycare center for cats and dogs that will

supply them with the utmost care that they need. Furthermore, the business seeks to provide

comfort, satisfaction and convenience to its valued customers by lending them a hand in the

journey of pet ownership. Hence, Coddled Paws aims to deliver and maintain a world-class

quality of services to satisfactorily accommodate the needs of its clients.

Objectives

Coddled Paws has set specific goals in order to fulfill its vision and mission statements.

Furthermore, these objectives will serve as a guide for the business to be on track. Specifically,

these objectives will focus on the vital factors of the business. These includes profit earning
which is the main goal of every business, promoting customer satisfaction through good services,

empowerment for human resources, and promoting good relationships in the business.

 To generate profit by establishing a business that caters the demands of customers,

specifically dog and cat owners.

 To provide a safe and comfy place where cats and dogs can eat, sleep and play while their

owners are away.

 To promote customer satisfaction through offering world-class pet care services

 To empower employees by sending them to seminars and workshops that will improve

their working skills and benefit the business.

 To establish good customer-employee, as well as good employer-employee relationship.

Proposed Name of the Business

The name of the business is Coddled Paws since it basically means pampered pets. The

word "coddle" refers to treating someone or something with too much care or kindness.

Meanwhile, the word "paws" refers to the pets specifically the dogs and cats.

Type and Form of Business Organization

Coddled Paws will be a service type of business since it is a pet daycare center. This

means that the business will offer professional skills and expertise in taking good care of pets.

The form of business organization that Coddled Paws will apply is corporation. This

means that the business will be established by six incorporators that will manage the overall

operations of the business venture. Furthermore, having a corporation type of business would
mean that the owners will have limited liability since it is created as one entity and shareholders

are not liable for any losses or debts of the business.

Chapter III – Management Aspect

Personnel/Employees

Philip Anthony P. Maquiran – Chief Executive Officer

The Chief Executive Officer (CEO) stands atop the business organization. He carries the task of

making major corporate decisions, overseeing the overall development and performance of the

business, from its operations down to the utilization of its resources, and developing plans that

will enable the organization to attain its business objectives.

Earl Daric G. Cuadra – Chief Accountant

The Chief Accountant is in charge of monitoring the performance of the business through

developing financial statements that will be the basis whether the firm is gaining profit or losing.

He is also tasked to provide necessary advice as to how the business will be able to improve its

financing and how can it minimize its operating expenses while maximizing its profitability.

John Noie B. Sayam – General Manager

The General Manager is the one who supervises the daily operations of the business. He ensures

that the flow of operations are smoothly running and makes sure that the business is generating

sales. He is also tasked to attend to the needs, demands, and inquiries of the customers and

directly report to the higher administration of the business organization.

Ryan Christian G. Jardin – Operations Manager

The Operations Manager is in charge of supervising the overall operations of the business. He is

responsible for the effective management of production, labor, and quality control to ensure that

the services being offered by the business meet the demands and expectations of the customers.

Furthermore, he is tasked to analyze and improve the organizational processes of the business.

Marc Adrian L. Ramos – Marketing Manager

The Marketing Manager is tasked in marketing the services of the business to the target

customers through advertisements. He is in charge of developing and implementing marketing

strategies and promotions in order to build brand awareness and attract potential clients.

Furthermore, he analyzes demographics as well as monitor the strategies of the business

competitors to measure their impact.

Caleb Kalvin M. Reynoso – Staff Supervisor

The Staff Supervisor is the one who ensures that quality customer service is provided through

overseeing the performance of the staff. He/she is responsible of implementing policies and

procedures about the specific jobs of the employees to help them perform their tasks efficiently.

Also, he/she serves as link between the upper management and employees such as passing

information and resolving issues.

Animal Care Technician

An animal care technician is someone qualified to provide utmost care to animals. He or she is

in-charge of confirming the health condition of the pets in the center and prescribes its

medication to their owners. Moreover, he or she oversees if there are pets that are in need of a

treatment and performs first-aid care on them.

Caretaker
The caretaker is the one who is responsible of protecting and taking good care of the pets while

their owners are away. He/she provides the basic needs of the pets such as feeding, bathing,

giving medications and taking them out for exercise. Also, he/she is responsible in keeping a

record of the physical condition, diet and behavior of the pets. Furthermore, he/she helps

the pets to learn how to socialize and play with each other.

Security Guard
The security guard is tasked to handle the interior and exterior security through manual

observation and the use of on-site cameras. He or she is responsible for using corporate protocol

to greet facility guests, assigning the proper security badge to each visitor, monitoring the

interior and exterior of the facility, checking to make sure that certain doors are locked when

they are supposed to be and reporting any suspicious activity to the local police department

immediately.

Cashier

A cashier is efficient, courteous and possesses excellent customer service skills. He or she

responds to complaints, processes refunds or exchanges of items, and maintains a clean

workspace. A cashier should have a strong work ethic and high level of accuracy since he or she

is tasked with the monetary transactions done by the customers. He or she should be responsible,

attentive to customer needs, and committed to providing excellent service.

Organizational Chart/Structure

PHILIP ANTHONY MAQUIRAN

CHIEF EXECUTIVE OFFICER
RYAN CHRISTIAN JARDIN
EARL DARIC CUADRA
OPERATIONS MANAGER
CHIEF ACCOUNTANT

JOHN NOIE SAYAM MARC ADRIAN RAMOS

GENERAL MANAGER MARKETING MANAGER

JOHN CALEB REYNOSO

STAFF SUPERVISOR

CASHIER ANIMAL CARE

TECHNICIAN SECURITY GUARD

CARETAKERS
A Detailed Breakdown of the Members’ Individual Skills
The executive management of the business is composed of individuals who possess certain skills

and excel in different fields of work which make the success of the business possible. Hence, the

organization is made up of professionals who are competitive and experts of their crafts.

Philip Anthony P. Maquiran – He has the ideal leadership skills and excellent time

management, necessary for the smooth sailing of the business. He knows how to handle people

very well and is very diligent with his work. Furthermore, he comes up with the most convenient

and efficient solutions especially during emergencies. Also, he leads people rather than just

ordering them around, making him gain the trust and respect of his colleagues.

Earl Daric G. Cuadra – He does the work with speed and accuracy. He means business when

he does his job, finishing whatever task assigned to him. Moreover, he makes sure that every

peso of expense and revenue incurred by the business is thoroughly counted, making him a

trustworthy member of the team.

John Noie B. Sayam – He has the outstanding management skills and the ability to

communicate effectively to the employees. He provides detailed instructions about the work and

orients the employees about their specific tasks and duties. Also, he is quick in formulating

solutions to problems and emergencies, making him suitable for the job.

Ryan Christian G. Jardin – He possesses keen observation and has the mindset of a

perfectionist. He ensures the smooth flow of operations, from labor to quality control.
Furthermore, he can immediately detect errors and provide necessary corrections to achieve

customer satisfaction.

Marc Adrian L. Ramos – He is good in talking and convincing people, allowing him to perform

his job as a marketing manager. He has good interpersonal communication skills and has the

ability to develop efficient marketing plans in order to bring customers to the business.

John Caleb M. Reynoso – He is good in supervising people and guides them with their specific

tasks in the business. He has good communication skills, enabling him to effectively relay

information. Also, he ensures that every employee of the business performs their job

accordingly.

Seeking Help From Other Professionals

Starting up a business does not only require a good amount of capital, but also a wide

range of connections. In order for the business to keep running and ensure high quality of

services and profitability, the expertise and advice of professionals are needed. Seeking the help

of professionals might require the firm to incur expenses as payment for their services. However,

these investments give good returns to the business since their services enable the firm to gather

information, provide necessary advice for decision-makings, analyze business flaws, and give

corresponding evaluation of the business performance.

Lawyers. The services of a lawyer are needed by the business in dealing with contracts, titles,

and memorandum of agreements. Furthermore, the expertise of a lawyer will allow the business

to process its licensing and gain knowledge about the regulations and business legalities.

Through the help of a lawyer, the business will be able to safeguard its interests and properties

knowing that they are abiding with the law and does not tolerate illegal business activities.
Business Bankers. The firm will need the expertise and knowledge of a business banker in

dealing with the finances, loans, and investments of the business. Furthermore, the business

banker offers a wide range of financing options and cash management solutions in order for the

business to be guided in managing its finances and making its money grow, taking high risks and

expecting higher return.

Veterinarian. The business will need the help of a veterinarian in monitoring the overall health

of the pets through prescribing medicines, recommending good quality and nutritious pet food,

and conducting vaccinations. Moreover, the service of a veterinarian will allow the business to

provide credible and trustworthy pet care services in order to ensure customer satisfaction.

Employee Training and Development

Among the resources available in a business venture, the most valuable is the human

resources since manpower influence everything in the business especially in production and

establishing customer relationships. Possessing skilled and well-trained employees lessens the

risk and having complexity in the business. Since the battle for the top becomes more

competitive, it is necessary for us to ensure that our personnel will be able to learn and enhance

the skills and techniques they need to be more effective in performing their specific

responsibilities and duties.

Hence, the proponents of the business will ensure that all employees will be able to

develop their skills and talents through training, varying on their own specialized fields.

Orientation for the employees will be our first step which is to provide the employees

particularly those who are newly hired with information about the business venture such as

firm’s background, strategies, objectives, mission and vision. In such way, employees will be
acquainted with company’s policies, rules and regulations. Furthermore, our company will

consider conducting lectures that is intended to give information regarding the development of

skills, qualities and personalities of large group of employees. Moreover, our firm will

administer computer-based training that will provide freedom to employees to learn and grow

their talents at their own pace in their most favorable time. As the business grow over time, our

company will consider sending our employees for external training programs, seminars and

workshops that will help them have more experience and knowledge in their specific fields since

these campaigns are usually conducted by professional images.

Chapter IV – Marketing Aspect

Marketing Description

The target market of Coddled Paws are students and professionals who are cat or dog

owners and do not have the time to attend to the needs of their pets due to school and offices.

The age bracket of the target market ranges from 15 years old to 40 years old, both male and

female groups. Since the business will be located along Lacson 21 st Street, Bacolod City, one of

the main target markets of Coddled Paws will be students, faculty and staff who work in colleges

and universities near the business such as the University of St. La Salle, Colegio San Agustin-

Bacolod, and Riverside College. Furthermore, the other main target market of the business will

be workers and professionals working near the business or within Bacolod City.

Product/Service Features
 Coddled Paws offers world-class quality pet care services that provides a venue for pet

owners to shelter their pets, giving them the utmost care that they need while they are away for

schools and office works. Specifically, the business caters the demands of its valued customers

for pet keeping through providing pet sheltering service which is the main feature of the

business. Moreover, the business offers pet grooming and bathing services, maintaining the

overall health and hygiene of pets admitted in the business. Furthermore, the business also offers

pet strolling and playing activities with its separate pet playgrounds for cats and dogs. This

allows the pets to socialize and play with one another. Also, the business provides pet feeding

services wherein cats and dogs are being served with nutritious pet food. These pet care services

being offered by Coddled Paws greatly differs from its competitors since the business provides a

wide range of choices, allowing its customers to control their expenses.

Product Benefits

Coddled Paws provides its customers with high quality pet care services and giving them

convenience with regards to balancing their time between pet keeping and work or school.

Moreover, availing the services of the business reduces hassles and saves time and energy in the

perspective of the customers. Thus, even though the prices might be costly, the business assures

its customers that the services being provided to them are worth every penny of their expenses.

Furthermore, the business offers its clients with various pet care services to choose from. Hence,

they can control their expenses and manage their budget for their pets.

Unique Selling Proposition

The quality of services that Coddled Paws offers is a cut above the rest and can compete

with and even outperform its competitors. Coddled Paws is designed to cater all the basic needs
of pets, specifically cats and dogs. It is a combination of a pet shelter, pet playground, pet eatery,

and even a pet clinic since the business will avail the service of a veterinarian who will conduct

visits to the business to check the condition of the facilities, prescribe pet supplements and

medicines, and endorse nutritious food products for cats and dogs.

In order to improve the selling of its services and boost its sales, Coddled Paws had

developed plans to gain competitive advantages against its competitors. Furthermore, the

business will apply various strategies that will set them apart from their competing brands and

market its service to the public.

Coddled Paws will employ various marketing principles in order to build brand awareness

to the public and sell its services efficiently. The different strategies that will be utilized by the

business to market its product to the customers are listed below.

 Use advertisements such as posters, flyers, and brochures which can also be posted

online.

 Give out promos such as bundles and packages e.g. avail all services for 2 pets, the next

one will avail all services for one peso

 Value customer loyalty through membership cards.

MEMBERSHI
P
CARD

CODDLED PAWS

1816497
Pricing Strategy
SERVICES AND PRICING
Pet Sheltering Category Price
Pet Sheltering: Half Day Student/Senior Citizen Php 240
(9:00 am-1:30 pm/1:30 pm-6:00 pm) Adult Php 300
Student/Senior Citizen Php 440
Pet Sheltering: Whole Day
Adult Php 550
Pet Grooming and Bathing
Student/Senior Citizen Php 200
Pet Bathing
Adult Php 250
Student/Senior Citizen Php 360
Pet Bathing with Hair Cut and Nail Trim
Adult Php 450
Pet Feeding
Student/Senior Citizen Php 120
Pet Feeding for Half Day Pet Sheltering
Adult Php 150
Student/Senior Citizen Php 240
Pet Feeding for Whole Day Pet Sheltering
Adult Php 300
Pet Walking/Strolling and Playing Activities
Pet Walking/Strolling and Playing Student/Senior Citizen Php 160
Activities for Half Day Sheltering Adult Php 200
Pet Walking/Strolling and Playing Student/Senior Citizen Php 320
Activities for Whole Day Sheltering Adult Php 400

Sales and Distribution Plan

In order for Coddled Paws to ensure corporate health and maximize its profitability, it needs

to consider certain factors that will determine whether it is achieving its goal of making people

buy or avail its pet care services and generate profit. Below are the things that the business

should take into consideration in order to enhance sales:

 Ensuring High Quality of Services – Maintaining the world-class quality of pet care

services will be the greatest edge of the business against its competitors. Not only it will

ensure customer satisfaction, it will also be the main component for customer loyalty and

the continuous generation of income.

 Establishing Customer Support Service – The business should cater the questions,

suggestions and insights of the customers, thus it should have a customer care hotline

which will allow them to contact the business and voice out their concerns. With this, the

business will be able to improve what needs improvement and maintain what is good.

 Direct Distribution of Service – Among the five types of distribution used in business,

Coddled Paws will utilize the direct distribution. Direct distribution refers to the channel

of distribution by which a business gets its product or service straight to the customer

without using any intermediaries.

 Monitoring Operating Expenses and Tracking Sales – The business should be aware

of the expenses that it incurs in its operations. As much as possible, the business should

cut-off unnecessary expenses so that a higher amount of net profit is guaranteed at the

end of the fiscal year. Furthermore, the business should also be acquainted with the

amount of sales that it earned in order to formulate financial statements.

 Analyzing Financial Ratios – Financial ratio analysis allows the business to see and

evaluate its performance with regards to how it handles its assets, liabilities, and equity.

Moreover, financial ratios are concrete basis whether the business is truly earning or

leading to bankruptcy.

 Developing New Advertising Strategies – Society changes rapidly which affects the

latest trends in business and economy. Hence, business organizations should be flexible

enough to adapt to changes and go with the flow or else they will be left out. With this,

the business should innovate creative yet effective advertising strategies such as focusing

on online marketing, especially in social media in order to gain more customers and

increase sales.
 Chapter V – Production and Technical Aspect

This chapter highlights the necessary machinery and equipment, the manpower, other

technicalities such as electricity and water, workspace facilities, and total production cost of

Coddled Paws. Since the business organization is a service type of business, the production

process and the production schedule are disregarded.

Machinery and Equipment

 Hair Dryer for Pets – a device used for drying up the pets after having a bath.

 Pets’ Bathtub – a tub used for washing the pets.

 Pets’ Playground – an area for pets to exercise and socialize.

 Kennel – temporary shelter for pets.

 Poop Scoop and Bags – tools used for picking up the feces of pets.

 Food Bowl – a bowl used in feeding the pets.

 Computer Desktop – a device used to compile and record data.

 Printer – a device used to print, scan and photocopy documents.

 Cash Register Machine – a device used to calculate financial transactions.

 Telephone and Wi-Fi – devices used for communicating and accessing the internet.

Number of People Needed

For the business to provide high quality services to its valued customers, the business

needs to manipulate a moderate number of personnel. Hence, to further promote customer

satisfaction, each service that Coddled Paws will offer will have a corresponding number of

facilitators together with the executive members of the business.

1. Philip Anthony P. Maquiran (CEO)

- Spearhead the major business strategies and decisions

2. Earl Daric G. Cuadra (Chief Accountant)

- Spearhead the liquidation of expenses and sales

3. John Noie B. Sayam (General Manager)

- Spearhead the daily operations of the business

4. Ryan Christian G. Jardin (Operations Manager)

- Spearhead the management of labor and quality control of business services

5. Marc Adrian L. Ramos (Marketing Manager)

- Spearhead the promotion of the business services

6. Caleb Kalvin M. Reynoso (Staff Supervisor)

- Spearhead the supervision of the personnel of the business

7. Animal Care Technician

- Tasked with the monitoring of the overall well-being of the pets

8. Caretaker

- Provide assistance to the animal care technician in taking care of the pets

9. Security Guard

- Ensures the safety of the workplace

10. Cashier

- Receives the payment of customers and in charge of the cash register

Other Technicalities

Electricity, Water, Telephone and Internet

Utilities such as electricity, water, telephone and internet are essential in performing the

services that are offered by the business. Electricity is necessary for the machineries and

equipment to function. Furthermore, water is needed for sanitary uses most especially in pet

grooming and bathing services performed by caretakers. Moreover, telephone and internet is

essential in accommodating the inquiries from customers in availing the services of the business.

The source of these utilities will be from CENECO (Central Negros Electric Cooperative, Inc.)

for electricity, BACIWA (Bacolod City Water District) for water and Globe Telecom for

telephone and internet.

Arrangement and Location of Machines

Machines and equipment are highly recommended to be placed in a specific area of the

workplace in a certain service for the cats and dogs. These utilities must be placed depending on

its purpose especially the major usage of the equipment.

Work Station

The workplace of the service will be allocated into different work stations. Each station

will be assigned a specific task that is necessary to provide proper service. For example, there

will be a work station assigned in sheltering the pets. Another workstation will also be assigned

in pet grooming services. Also, there are separate work stations for the pet playgrounds and

feeding area of pets.

 Storage and other areas

There will be a storage room wherein the supplies used in the services of the business

such as cleaning supplies, pet grooming supplies, pet feeds and the like. Also, a portion of the

storage room will be used to store the equipment of the business.

Physical Space and Facilities

There will be a space wherein the service will take place. There are specific facilities for

grooming, sheltering, pet playground, and pet feeding.

Quality Control System

Service quality control will be ensured through performance and customer’s reviews. The

standard of service will be implemented in the workplace in order to provide a high-quality

performance.

Waste Disposal

All the wastes left from the service and facilities will be properly disposed in a disposal

area. Trash bins will be provided by the business to promote waste segregation and proper waste

disposal.
Total Production Cost

The total production cost can be divided into nine separate subcategories namely: Labor,

Store Supplies, Office Supplies, Promotional Materials, Maintenance, Machineries and

Equipment, Facilities and other technicalities, Utilities, and Miscellaneous. Their respective

prices are broken down in the table below.

Production Cost Expenses

Labor Php 180,000.00
Store Supplies 61,300.00
Office Supplies 1,500.00
Promotional Materials 4,000.00
Maintenance 5,500.00
Machineries and Equipment 175,000.00

Facilities and other Technicalities 9,000.00

Utilities 12,000.00

Miscellaneous 2,000.00

Total Php 450,300.00

 Chapter VI – Financing Aspect

This section of the technical paper will tackle the financial aspect of the business,

specifically the start-up expenses, operating expenses, and the projected income. The start-up

expenses is consist of the expenses required to put up the business. On the other hand, the

operating expenses includes the monthly expenses incurred to keep the business running. Lastly,

the projected income statement shows assumed profit that will be generated in the venture.

Coddled Paws
Start-up Cost Report
For the month of June 2019

Business Registration Fees Php 6,570.00

Business Licensing and Permits 4,694.00
Starting Supplies 61,300.00
Land 2,004,000.00
Building 15,000,000.00
Machineries and Equipment 508,499.00
Promotional Materials 5,000.00
Insurance 10,500.00
Office Furniture and Fixtures 388,500.00
Total Start-up Cost Php 17,989,063.00

Total Start-up Expenses Php 17,989,063.00

Total Operating Expenses Php 432,099.00
 x6 2,592,594.00
Total Start-up Cost Php 20,581,657.00
Coddled Paws
Operating Expenses
For the month of June 2019
Operating Expenses
Salaries
Owners (6) Php 198,000.00
Workers (10) 157,500.00
Telecommunications
Telephone and Wi-Fi 2,299.00
Utilities
Electricity 7,500.00
Water 1,500.00
Store Supplies
Dog Food 12,000.00
Dog Shampoo 4,200.00
Cat Food 16,000.00
Cat Shampoo 4,800.00
Kennel Cleaner 16,000.00
Promotions and Advertisements 1,500.00
Office Supplies
Coffee Powder 1,000.00
Water 300.00
Pens and Markers 600.00
Paper 1,000.00
Stationery 1,000.00
Ink 3,000.00
Stickers 600.00
Packaging 800.00
 Repairs and Maintenance 2,500.00
Total Operating Expenses Php 432,099.00
Coddled Paws
Income Statement
For the month of June 2019
Sales Php 3,580,200.00
Less Operating Expenses:
Salaries Expense 2,133,000.00
Telecommunications Expense 13,794.00
Utilities Expense 54,000.00
Store Supplies Expense 318,000.00
Promotions and Advertisement Expense 9,000.00
Office Supplies Expense 49,800.00
Maintenance Expense 15,000.00
Total Operating Expenses 2,592,594.00
Net Income Php 987,606.00

Assumption:
For simplicity, all sales are assumed to be collected in cash, at the time the transaction is made.
Therefore, there are no credit sales.

Note that only the operating expenses are presented in the income statement. This is

because the income statement measures only the performance of the business. Thus, the start-up

cost is irrelevant in this report. However, a separate start-up cost report is required in order for

the owners to know how much they have invested to start the business.
 For the benefit of information, deducting the total start-up cost from the net income will

show if as of the report date, the business has already recovered its initial investment. If the value

is a negative, then the business has not yet “paid” for its start-up cost as of the report date.

Chapter VII – Socio – Economic Aspect

This chapter tackles the socio-economic impact of the business, specifically the impact of

the project to the employees, government, and other beneficiaries and communities.

Impact of project to employees

Source of Income

One of the primary benefits of the business is the different job opportunities to its

employees. Specifically, it provides them with a source of income where they can apply their

skills and competencies. Furthermore, the business helps them to establish themselves and

become financially stable for them to be able to meet their daily needs.

Employee Benefits and Empowerment

Another impact of the business to the employees are the non-wage benefits as well as

empowerment. By being an employee, an individual is entitled to avail discounts or deductions

from his or her salary as payment for his or her employee benefits such as SSS contributions for

their pension in the future, PhilHealth for their health care insurance, and PAG-IBIG

contributions for housing loans. What is good about this is that the owner or the employer pays a

portion of these contributions as the employer share. Hence, the employees will be able to

establish themselves as career men and women.

Impact to the government

 The business will be of benefit to the government in various ways. First of all, the most

common benefit to the government would be through taxation. Through paying taxes, the

business would be of help and support in the growth of economy. Furthermore, since it is

necessary for the business to recruit potential workers, this would lessen the unemployment rate

in the city of Bacolod. Hence, the business will be a factor in the prosperity of the economy.

Other beneficiaries and communities

Pet Owners

The business can benefit the pet owners by providing a safe and relaxed environment for

pets, specifically cat and dog owners. Moreover, the business will aid the pet owners who are not

able to handle or take care of their pets for a certain period of time due to school or work.

Through the services that the business offers, the pet owners will be satisfied and will be given

the assistance that they demand for pet care.

Students

One of the beneficiaries of the business are the students since most of them have a hectic

schedule due to their required assignments, performance tasks, and quizzes. Furthermore,

students who have cats or dogs can benefit in the project since the business will provide a venue

where their pets are sheltered, fed, and groomed properly while they are away for school. Thus,

they can focus with their priorities and have a quality time with their studies.

Professionals

Another beneficiary of the business are the professionals and office workers who are also

pet owners. Like students, professionals who have cats and dogs also find it hard to balance their
time in pet keeping and work. Hence, through the services of the business, they will be able to

have someone who will look after their pets while they are at their offices.