I.

INTRODUCTION
The world nowadays is in great turmoil, financial crisis seems to plunge each

and everyone. Aching global oil crisis, threatening nuclear crisis, and sinking financial economies are such of the few that warned us that we have to save and we have to be practical. Thus, in order to answer the needs of the time, we carved this idea of having a fish farm business project to alleviate or even just soothe the crisis faced by most of the consumers right now. We plan to raise this project, not just of aiming to have bountiful gains but also to aid the masses of consumers by offering quality product guaranteed with pocket-friendly price. II.

NATURE OF BUSINESS
Well name our business as Dive Fish Farm Company, an ideal business

venture, to be located at Dongon, Maasin City. It will engage in fish farming and selling commercial fish such as Bangus. It will target to sell to the well known restaurants, sardine manufacturers and mainly to the ordinary consumers. We, the partners, well have to converge our resources and intellect to run this proposed business. As agent of the business success, each one of us shall endeavor to make this venture to be lucrative. The production phase is expected to create minimal cost because there are lot of traditional yet effective process of raising fishes that can be combined with scientific technology which will surely provide productive harvests at low cost. The cash requirement of implementing the project is estimated to reach P 700,000. The source and cost of financing the project will be charged to the partners capital.

III.

RISKS
The risks involved with starting Dive Fish Farm Company are:

Will there be an escalating demand for the product offered by the company? Will the price not be onerous to the consumers? Will the cost of accessing Dive Fish Farm Company not hinder the consumer to negotiate?

IV.

PROPONENT, MANAGEMENT AND PERSONNEL

Each of the partners is responsible for the management of the business operations. They are also responsible to look out the 20 personnel of the company in maintaining and raising the fish farm. The work force will be the one to maintain and to take care of the fish farm but with supervision of the partners. Each partner has his own respective scheduled duty in the company in order to supervise the employees each day. PROPONENTS Edner Anthony Casulla Joel Gaddi Leo Omamalin Michelin Tan Juvy Ann Verano

PERSONNEL OR WORK FORCE Number 1 1 1 Position Manager Security Guard Cashier Qualification CPA/Commerce Grad College level Commerce Grad Salary P6,000 1,000 5,000

1 16

Bookkeeper Workers

Accountancy Grad High School Grad

5,000 1,000

Number 1, 000 1, 000 10 1 3 1 1 2 1

Description Mini-Styro Box Plastic Sealer Delivery Van Weighing Scale Cash Register Telephone Ceiling Fan Fish Net

Unit Cost P2.00 each P11.00 per 100 pieces P300.00 P500.00 P 1, 300.00 P 9, 000.00 P 1, 800.00 P 1, 200.00 P 1, 500.00

Total Cost P 2,000.00 P 110.00 P3, 000.00 P 500.00 P 3, 900.00 P 9, 000.00 P 1, 800.00 P2 , 400.00 P 1, 500

MACHINERIES AND EQUIPMENTS

Total 710.00

P 523,

ORGANIZATIONAL CHART

MANAGER

CASHIER

BOOKKEEPER

WORKERS

SECURITY GUARD

V.

PROJECT TIMETABLE

Activity 1 2

Time Frame (Week) 3 4 5 6 7 8 9 1 0

1 1

1 2

1. Project Planning 2. Acquiring Space 3. Acquiring equipment 4. Securing Business Permit 5. Hiring Personnel 6. Searching of customer 7. Start of operation

VI.

MARKET FEASIBLITY
Our target market is not just the plain consumers or the families but we have

widened our scope from the families to the restaurants and sardines manufacturer. We will also distribute our products through consignors. The major targeted consumers and costumers of our products mostly are the people in our province Southern Leyte. But it doesnt mean that well just confine here in our province but well also mark to accept customers from neighboring islands. We have expected that the demand of our product will reach up to maximum 150,000 kilograms this coming 5 years. The supply divides as about 83% for human consumption and 17% for exports and non-food uses. The proposed prices of our product lie between P100.00 to P150.00 per kilo. The price will be anticipated fluctuate due to the variability of demand and supply of the harvest. Our price will be much lower than the competitor to attract customers, to provide them satisfaction and most of all, to suffice our objectiveto provide

pocket-friendly price to the customer. Well always mark to maintain the competitiveness of our product by maintaining its quality. Well have to freeze and to make them clean to avoid any damage and unnecessary smell. For bulk sale, we will offer a free delivery system especially to far-flung customers. There are two channels of distribution of our product which can be illustrated as follows: (1) Direct type of distribution. DIVE FISH FARM END CUSTOMER

(2) Indirect type of customer by channeling first the product to consignors. DIVE FISH FARM CUSTOMER CONSIGNOR END

VII.

PROPOSED MARKETING PROGRAM

We will make the packaging of our product be attractive to the buyer. We

will categorize the packaging into three according to the number of kilos: 1 kilogram; 2 kilograms; 3 kilograms and above. The color of our packaging will be a color gradient white and blue plastic with a mini-Styrofoam box inside which will serve as the container. We have also planned to advertise our product in radio and in newspaper. VIII.

PROJECTED SALES
For the next five years, we will expect to sell almost 150,000 kilograms of

fishes considering that our marketing program and competitive position will be maintained. Financially, we are trying to aim to reach 15 million pesos cumulative gross sales for the next five years. IX.

PRODUCTION

Product Specification

The fish that we are going to produce and sell is a high quality fish, fresh and one source of providing protein. The customer doesnt have to wait for a longer time because we have sufficient supply of fish, continuous operation and on time delivery. We can assure that every kilo have its exact weight. Production Process

In raising Bangus, we will provide and sprinkle milk powder or flour to the growing Bangus. The fishes could also be given breadcrumbs and food leftover. The size of the male Bangus was ready for market within 4 months while the female will almost reach 6 months before ready to be marketed. It is possible to harvest 1 ton of Bangus in every one hectare within 3 to 4 months if the sufficient food supply for the fishes will be maintained. Plant Size and Production Schedule

Well timing the period of raising the Bangus in such a way that we can possibly harvest every month and there will be no lag of production. Well develop a systematic and sophisticated scheduling of raising and harvesting. The size of the pond is 1.5 hectares by 1.5 hectares long and wide and 4 meters deep which contained 15 cubicles. Startup Source and Supply of Bangus

The supply of the young Bangus for the start up is available in the Department of Agriculture, Maasin City. Its unit cost is P2.00 each. The supply of the commercial floater feeds costs P1, 550.00 per sack based on the current quoted price of Magic 9 Marketing Enterprises, Tunga-Tunga, Maasin City. Utilities

We need electrification for the lighting and mainly for the refrigeration of our product. Our water supply is connected to Barangay Dongon Water Supply for our rest room, washing and processing area but except for the water supply to our fish farm. We will sustain the water supply for the fish farm by getting directly from

Dongon River via pipelines. We also have to ponder wireless telephone to ease the access of the customer and this will cost P5, 000. 00 per month.

X.

OPERATING COST:
Tools and Equipment Miscellaneous Expense Salaries Expense Installations Total 523,710 200,000 400,000 100,000 1,223,710

XI.FINANCIAL FEASIBILITY
Funding Use of Funds 700,000 523,710 276,910 1,500,000

Pre-operating expense Fixed Assets to be acquired Initial Working Capital Total

Sources of Funds 1,200,000 300,000 1,500,000

Equity Contribution Bank Loan Total Major Assumptions

Sales 1,500,000 in year 1 to increase 22,000 kilos every year or total of 3,300,000 sales increase. Cost of Sales is 60% of the Sales.

Salaries Expense Installation Expense Miscellaneous Expense Depreciation Expense Operating Expenses

400,000 100,000 200,000 26,180

The total fixed asset will be depreciated using straight line method and are expected to have average useful life of 20 yrs. Other expenses except salaries will vary every year in increase of 1%. The installation expense will only appear during the first year. Fixed asset to be acquired is P523, 710 in year 1 to increase by 2% every year. Capitalization 1,200,000 300,000

Owners Equity Bank Loan

The amount of Bank Loan is already net cash proceeds which mean that the interest is already deducted in advance.

Financial Projection Dive Fish Distribution Company Forecasted Income Statement For the first Five Years Year1 1,800,000 648,000 1,152,000 Year2 5,100,00 0 3,060,00 0 2,040,00 0 Year3 8,400,00 0 5,040,00 0 3,360,00 0 Year4 11,700,0 00 7,020,00 0 4,680,00 0 Year5 15,000,00 0 9,000,000 6,000,000

Sales Less: Cost of Sales Gross Profit Less: Operating Expenses Salaries Installation Miscellaneous Depreciation Total Expenses Net Earnings

400,000 100,000 200,000 26,186 726,186 425,814

400,000 202,000 26,186 628,186 1,411,81 4

400,000 204,020 26,186 630,206 2,729,79 4

400,000 206,060 26,186 632,246 4,047,75 4

400,000 208,120 26,186 639,306 5,365,694

Dive Fish Distributor Company Projected Balance Sheet For the first Five Years

Year1 ASSETS: Cash Fixed Assets Accumulated Depreciation. Total Assets LIABILITIES AND EQUITY Loan Payable Owners Equity Retained Earnings Total Liabilities & Equity 300,000 1,200,00 0 425,814 1,925,814 1,428,00 0 523,710 (26,286) 1,925,81 4

Year2 2,380,00 2 534,184 (52,372) 2,861,81 4

Year3 3,663,48 4 544,868 (78,558) 4,129,79 4

Year4 4,946,73 3 555,765 (104,744) 5,397,75 4

Year5 6,229,7 44 566,880 (130,93 0) 6,665,6 94

250,000 1,200,00 0 1,411,81 4 2,861,814

200,000 1,200,00 0 2,729,79 4 4,129,794

150,000 1,200,00 0 4,047,75 4 5,397,754

100,000 1,200,0 00 5,365,6 94 6,665,69 4

Dive Fish Distributor Company Projected Cash Flow For the first Five Years Estimated Cash Inflows: Sales Partners Investment Proceeds from bank loan Total Cash Inflow Estimated Cash Outflow: Operating Expenses & Cost of sales Acquisition of Fixed Assets Cash Payment for bank loan Total Cash Outflow Cash Balance ADD: Beginning Balance Cash Ending Balance 1,121,71 0 523,710 50,000 1,871,71 0 1,428,29 0 1,428,29 4,087,81 4 10,474 50,000 4,148,28 8 951,712 1,428,29 0 2,380,00 7,055,8 34 10,684 50,000 7,116,5 18 1,283,4 82 2,380,0 02 3,663,4 10,355, 854 10,897 50,000 10,416, 751 1,283,2 49 3,663,4 84 4,946,7 13,655,8 74 11,115 50,000 13,716,9 89 1,283,01 1 4,946,73 3 6,229,74 Year1 1,800,00 0 1,200,00 0 300,000 3,300,00 0 Year2 5,100,00 0 5,100,00 0 Year3 8,400,0 00 8,400,0 00 Year4 11,700, 000 11,700, 000 Year5 15,000,0 00 15,000,0 00

0 Financial Analysis

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Return on Investment = Average Net Income/Average Equity =2,796,174/ 1,200,000 =.233

= 23.3% Average Net Income=Sum of annual net income for 5 yrs./5 =425,814+1,411,814+2,729,794+4,047,754+5,365,694 5 =13,980,870/5 =P2, 796,174 Average Equity= (Equity of year 1+year5)/5 =1,200,000+1,200,000 2 =2,400,000 2 =P1, 200,000

The Group behind the Wall: Michelin Tan Leo Omamalin Edner Anthony Casulla

 Juvy Ann Verano Joel Gaddi

We have attached herewith our resumes.