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A FEASIBILITY STUDY OF ESTABLISHING A SALON AND SPA IN

BULA, GENERAL SANTOS CITY, SOUTH COTABATO

PRESENTED TO

THE FACULTY OF THE COLLEGE OF BUSINESS EDUCATION

RAMON MAGSAYSAY MEMORIAL COLLEGES

GENERAL SANTOS CITY

IN PARTIAL FULFILLMENT OF THE REQUIREMENTS IN

FEASIBILITY STUDY

(FS 1)

BY:

DAHAN, MARKDEL A

FEBRUARY 2022
Chapter I

INTRODUCTION

This chapter discusses the background of the study, the rationale of the

study, the objectives of the study, scope and limitation, significance of the study,

research methodology and definition of terms.

Background of the Study

A beauty salon and spa is a business that offers services for nails, such as

manicures and pedicures, or for hair care and style and of course body spa. The

majority of establishments that fall under the category of beauty salons provide

both nail and hair styling services. Aestheticians may also provide other skin care

services in beauty salons, such as facials, scrubs that exfoliate the skin, and anti-

aging methods. A spa or day spa is a business that only provides skin care and

esthetician services. Numerous beauty salons also provide cosmetic procedures

like makeup application, eye enhancement, general makeovers, and cosmetic

training.

Spas and Beauty Salons are getting more popular in the modern world as

individuals seek wellness alternatives to relieve stress from their stressful

lifestyles. Men's and women's beauty and personal care services and goods are

available at spas and beauty salons. Another element influencing the market

growth is the guidance and information provided by spa practitioners and

beauticians at spas and beauty salons. Moreover, the high standard of living and

soaring disposable income inspire clients to seek such services in order to


refresh their skin and alleviate stress, consequently fueling the market

expansion. As there is a larger demand for herbal or natural goods to maintain

the body's health, this business is expected to expand even further. Additionally,

the advent of innovative spa technologies and the rising desire for personal

appearance among young people and the elderly are anticipated to drive the

worldwide spa and beauty salon market. (Shivaji Sirsat, 2022)

In the Philippines, Industry experts report that the wellness industry has

become even more relevant in the post-COVID world. The pandemic has

affected every aspect of life worldwide and shaken people to their core. It has

made people more aware of the importance of personal health and well-being as

the foremost protection against the pandemic. As part of environmental wellness,

practice sustainable tourism: Spa is just one aspect of the multifaceted wellness

industry. While the wellness industry offers a bright future, spa and wellness

stakeholders need to develop practices that communicate the relevance and

importance of its services to the public. (Cathy Brillantes-Turvill, 2021)

In General Santos City, Women who wish to keep their complexion,

hair, nails, and overall appearance may find it difficult to do so in a

tropical climate. Treatments created for other climates may not always be

effective, especially when we take into account the greater average

temperature and humidity across the city. Not just skincare and other

skin-related goods are affected by the quick increase in demand for

beauty items. Increasingly popular on the market are products for hair.
The women of General Santos City are also paying close attention to

better conditioners and shampoos as well as more specialized goods like

hair spa items, hair masks, and hair coloring goods. These changes could

also be viewed as improvements. They have a benefit on General Santos'

total economy while raising the city's happiness rating for women. With

new trends emerging on the market, expect to see further changes in the

way women pamper and care for themselves in the near future. (Avel

Manansala, 2018)

This study helps the researchers in comprehending the idea and setting of

managing a salon and spa at the same time as well as the most difficult aspect of

doing so. Due to the expansion of infrastructure, the population is growing

quickly, yet the availability of salons and spas is restricted. The study's

components that help the reader comprehend how this salon and spa will

function and operate to fulfill its aim are also a crucial component.

Rationale of the Study

The purpose of this research is to see if the proposed business idea is

viable or not in Bula, General Santos City, South Cotabato. The researcher made

the decision to do a feasibility study for a spa and salon to establish if this

business will have profit in the market, and whether the proposed firm is

expected to lost its race due to heated competition among other competitors in

the industry.

Objectives of the Study


The study aims to determine the viability of establishing a salon and spa in

Bula, General Santos City, South Cotabato

Especially it aims to:

1. Analyze the serviceability of salon and spa industry in Bula, General

Santos City, South Cotabato.

2. Describe the salon and spa business in Bula, General Santos City, South

Cotabato

3. Determine the viability of establishing a salon and spa in the following

aspects:

3.1 Marketing

3.2 Technical

3.3 Management and Organization

3.4 Financial; and

3.5 Socio-Economic

Scope and Limitations

This study focuses on determining the viability of stabling a salon & spa

business in Bula, General Santos City, South Cotabato. It is also to specify the

scope of the study in terms of the topics, objectives, and areas of the other

research. Data will be collected and presented using information provided by

interviewees during the process.

The researchers will limit their study on the five major aspects which are

the marketing, technical, management and organization, financial and socio-


economic aspects. The respondents' places of business and where the

researchers would collect the data are in Bula, General Santos City, South

Cotabato. The study will be conducted between the months September to

unknown.

Significance of the Study

In order to determine the viability of the project as well as to understand its

importance, the researcher decided to perform a feasibility study of opening a

salon and spa in Bula, General Santos City, South Cotabato.

The result of this study will be beneficial to the following;

Existing Players, The study's findings will assist business owners in Bula,

General Santos City, South Cotabato, in enhancing their salon and spa

operations. Additionally, it would give them insight into how to create efficient

procedures for everyday salon and spa operations and how to increase their

profitability.

Potential Investors, Investors could use this information to help them

weigh their options for starting a business and understand the risks and potential

rewards.

The Customers, The study's findings would be important to the clients so

they could satisfy their demands and goals in a way that would completely satisfy

them in terms of timing.


The Government, This study will aid the government in determining

whether the proposed business would benefit the general population and will

enable them to comprehend this sort of business sufficiently to establish the

proper tax to be imposed and the policies to be put in place for this type of

business.

The Researchers, The study's findings would aid the researchers in their

search for new knowledge, ideas, and information as well as in their evaluation of

the challenges and advantages of operating this kind of business.

The Future Researchers, The results of this study would benefit the

future researchers' awareness and understanding of the steps taken in the round

rag making industry. They may use it as a future reference for more studies and

it would help them become better analysts.

Research Methodology

The research methodology includes the research design, respondents and

locale of the study, data gathering tools and the data gathering procedures. The

data and information required to carry out this investigation would be gathered

using this procedure.

Research Design

In this study, the researchers utilized a descriptive-exploratory design. It is

used to sum up the major aspects of a research into a hypothetical or theoretical

idea. The least amount of variable control is typically provided by field research

conducted in unknown environments.


The research design shows the flow of operations in conducting the study.

Figure 1 shows the research design of the proposed business.


Salon and Spa in Bula, General Santos City,
South Cotabato

Objectives of the Study Research Methodology

Business Analysis Research Design

Descriptive-exploratory
Business Description

Locale of the Study


Viability of the Study

Bula, General Santos City


Marketing
Respondents
Technical
Meraki Salon & Spa

Management
Mae Roma Beauty Salon and Theater Spa

Financial
Wuilquin Salon Barber & Spa Gensan

Socio-Economic
Metamorephosis Glam House Salon & Spa

Sankalpa Beauty Salon, Massage Spa


and Aesthetic by Edren

Data Gathering Tool

Interview guide and online research

A Feasibility Study of Establishing a Salon and


Spa in Bula, General Santos City, South Cotabato

Figure 1. Research Design


Respondents
The researcher will chose Meraki Salon & Spa, Mae Roma Beauty Salon

and Theater Spa - Main Branch, Wuilquin Salon & Spa, Metamorephosis Glam

House Salon & Spa, Sankalpa Beauty Salon, Massage Spa and Aesthetic by

Edren,. Pres Quirino Ave. since they are the major business players in salon &

spa industry

The researchers selected these five (5) salon and spa businesses in the

goal of picking their ideas about how to start a profitable salon and spa venture.

The survey's findings will be applied to marketing aspects.

Locale of the Study

This proposed business will be developed in Bula, General Santos City,

South Cotabato. The proposed business is a good idea because General Santos

City is a city that is rapidly expanding and has many residents who enjoy

grooming; it has potential due to the city's expanding population.

Data Gathering Tools

The researchers used an interview guide and survey questionnaires to

provide suggestions for how to make the respondents understand the study in

order to gather the necessary information from the respondents. The researchers

utilized the interview guide as a reference while asking a question to the

interviewees.

Data Gathering Procedure


In the conduct of the study, the target respondents are firstly identified by

the researchers. Then wrote and delivered a letter of intent to the respondents.

The researcher started the interview process once it had been approved. The

researcher made notes while the interview was being conducted. Following the

interview, the researchers collected, processed, and summarized the data. The

data was then developed and analyzed by the researchers to complete the study.

Definition of Terms

The following definitions of terms are presented to assist in understanding

this feasibility study:

Bula, General Santos City – this refers to the specific area where the

proposed business will be located.

Financial Aspect – It's used to generate a financial projection, which

includes figuring out the total cost of the planned project, locating funding

sources, putting together projected financial statements, and doing financial

statement analysis.

Management and Organization Aspect – utilizing planning, arranging,

staffing, and managing tasks in the most effective way possible to carry out the

targeted educational supply business.

Marketing Aspect – Refers to market study and research, marketing

strategy, pricing strategy, and promotional strategy, all of which are a part of the

intended educational supply company's marketing plan.


Salon and Spa - This refers to the nature of the researcher's proposed

salon and spa business, which will provide high-quality services to a range of

clients in Bula, General Santos City, and South Cotabato.

Socio-economic Aspect – It establishes how significant and

economically beneficial the new enterprise would be to society.

Technical Aspect – evaluates the operational and basic flow of the

project. It contains the necessary tools, supplies, a layout plan, and a supply line.
Chapter II

THE INDUSTRY AND BUSINESS DESCRIPTION

This chapter discusses the products and services, major players in the

industry, Market Trends and direction, capacity of the industry, key success

factors, and general description of the venture and business strategic plan.

The Product/Services

Salon and Spa aims to offer quality salon and spa services in an

affordable price for the customers.

The proposed salon and spa will provide a range of services that the

current player is unable to provide, including facials, waxing and other forms of

hair removal, lash lifts, manicures and pedicures, hair cutting, coloring and

styling, body scrubs, and body massage. In addition, the company will provide

more options promos and discounts based on the service that the customer

wants to use.

Major Players in the Industry

Since the LGU-General Santos City hadn’t yet give us the list of existing

business Salon & Spa in General Santos City, therefore I come up these major

existing players from google. However, there are major players in the industry of

Salon and Spa that serves as both challenger and competitor for the proposed

business Hermosa Salon and Spa. The researcher chose five (5) major players

who operate salon and spa in General Santos, South Cotabato because of their

viability of operating the business.


Meraki Salon & Spa is located at Pres Quirino Ave, General Santos City,

South Cotabato. According to their website, the establishment operated 3+ years

in the business. They offered services and other related services such as

haircuts and styling, hair color, treatments, sugaring & waxing, nails and skin.

Mae Roma Beauty Salon and Theater Spa located at Dacera Street,

General Santos City, South Cotabato. According to their website, the

establishment operated 5+ years in the business. They offered services such as

hair, lash, nail, facial, waxing and gluta services.

Wuilquin Salon & Spa located at San Miguel St, General Santos City,

South Cotabato. According to their website, the establishment operated 5+ years

in the business.

Metamorephosis Glam House Salon & Spa located at 14 Lapu-Lapu St,

General Santos City, South Cotabato. According to their website, the

establishment operated 3+ years in the business. They offered Lash & Brow Lift,

Brow Threading, Rebond with Keragloss, Rebond, Manicure & pedicure and

massage.

Sankalpa Beauty Salon, Massage Spa and Aesthetic by Edren

located at G Mesa St, General Santos City, 9500 South Cotabato. It doesn’t

include from their website how many years they operated in business. They

offered manicure & pedicure, footspa, gel polish,nail extension, haircut,

haircolor, hair rebond, balayage hair color, brazaillian w/ collagen botox,

amazon hair flower, lash lift, lash extension, eyebrow lamination, facial
(anti-aging/anti acne), exilis facial & body contour, thermage, massage,

sauna & body scrub, ventosa.

Market trends and Directions

Citizens of Barangay Bula, the target market of the proposed business

and nearby barangays in General Santos City, South Cotabato, have a variety of

needs and wants, including personal care services, which drives small industry

demand. As part of a growing consumer trend, people are putting more and more

demand on salon and spa services. The proposed business will lead the way for

salon and spa's future expansion in the commercial sector. In addition to being a

highly competitive industry that supports the growth of the nation's economy and

offers consumers high-quality services that satisfy their needs, modern salons

and spas offer quality goods and services at reasonable prices.

Capacity of the Industry

Due to the lack of current salons and spas in the area, Barangay Bula in

General Santos City, South Cotabato, has significant salon and spa potential.

There is a high capacity to satisfy customers by offering excellent service and

sustaining high levels of consumer satisfaction. The establishment of this

business will cater to the needs of both the residents of barangay Bula in General

Santos City, South Cotabato, and those from other barangays nearby.

Key Success Factors

This section highlights the key factors that will significantly contribute to the

success of the Salon & Spa in General Santos City, the following are:

Customer satisfaction
The success of a salon or day spa will depend on your capacity to serve

customers. Make sure they leave satisfied each time they visit as this is the only

guaranteed approach to keep loyal consumers. Furthermore, organic word-of-

mouth promotion for your salon or spa can be very effective. Good customer

service is built on friendly, well-trained personnel.

Clean and Safe Atmosphere for your Salon or Spa

Starting the time, they enter your salon or spa, clients should be given a

clean, safe, pleasant, and relaxing environment. Spa and salon clients anticipate

a hygienic environment and the floors should be swept in between clients. A

clean and usable inventory of towels, trimmers, and other supplies should be

available for new customers. Couches and other furnishings should be placed in

waiting areas. Magazines and/or coffee-table books should be available for

reading. You can keep and draw in new clients by doing whatever you can to

make your salon or spa more calming and friendly.

Salon and Spa Convenience

One of the benefits of opening a more full-service beauty salon is that your

consumers will find it more convenient. If you provide hair, nail, beauty, and spa

services, you give your customers a one-stop shop for all their beauty needs. A

client can schedule many services in one visit rather than visiting numerous

establishments at various times. Additionally, offering a choice of salon and spa

products to your clientele is beneficial for both you and them.

Quality Product
It is essential to guarantee the service's quality. Considering that the

Customers may return if they consider the service, they received was unsafe and

the employees failed to prepare it quickly. If you provide a service or use a

product that has a dangerous ingredient, you must remove them immediately.

Good Location

The proposed business is at precise location since the area are within the

high-way therefore the passer by customer will easily can see the ventures

building and its services offer.

Service Quality

The proposed business will assure that every client will satisfy due to the

fact that our employees are well trained to render and maintain their good service

quality.

Variety of Services Available

The proposed business will offer variety of services such as including

facials, waxing and other forms of hair removal, lash lifts, manicures and

pedicures, hair cutting, coloring and styling, body scrubs, and body massage.

General Description of the Venture

This part presents business name, service style, service label of the

venture, business logo, business features and styles, services, uniqueness of the

products and services, potential venture, business strategic plan, vision, mission,

objectives, SWOT analysis, location analysis, location map and vicinity map.
Business Name

The researchers decided to name the proposed business Hermosa Salon

and Spa, the “Hermosa” is derived from the Spanish wors which means beautiful

and gorgeous, which is suitable and appropriate for the business to be

established that offers beauty services. The brand name is attractive, easy to

pronounce, simple and yet easy to remember.

Business Logo

Figure 2. Business Logo

Service Features and Styles

The proposed business is Salon and Spa where it is located at the front of Green

Oil Gasoline Station brgy. Bula,General Santos City, South Cotabato. It is near

from the Police Station 6 and there are many business establishments around

the area such as Tune Frozen Goods and Letchon Manokan. The proposed
business will rent a commercial lot with 300 sq. meters with only (2) story building

and will renovate.

The 1st floor will be the salon area and the 2 nd floor is the spa area. The

business will be formed as a partnership, which implies that there will be two

owners, each of whom will be personally entitled to any profits and accountable

for any obligations. The said 1 story facility will be open for eight hours a day,

From Monday to Saturday 9 a.m. to 5 p.m. and close on Sunday. The proposed

business will hire a fifteen (15) employees, four (4) of them will be assign in the

massage, two (2) makeup artist, two (2) spa therapist, two (2) nail technicians,

two (2) hair dresser, one (1) receptionist and the remaining one (1) person will

serve as a manager.

Uniqueness of the Service

In the world of social media, sharing is caring. To create a fire within the

new enterprise. In the salon, the proposed firm would create an Instagram-

friendly atmosphere so that clients could take images and share them on social

media. Customers who have received the most shares and likes will receive a

discount on their future services. The salon's free Wi-Fi will be accessible to

clients.

Potential of the Venture

The salon and spa business proposed venture will provide customers a

new look. There will be an increase in demand from customers since, even in the

midst of a pandemic; individuals like to visit a spa or beauty salon to maintain

their appearance. The proposed business is located at the easily accessible


Brgy. Bula, General Santos City, South Cotabato. The planned business will

provide services that are special and unique to the marketplace. The planned

business would have an Instagram-friendly atmosphere that is well-liked by

locals and visitors to the neighborhood of Brgy. Bula. Its viability and profitability

will rise as a result. The developing economy and population of Bula are primary

factors of the potential endeavor.

Business Strategic Plan

The business strategy plan, the vision and mission, the objectives, and the

SWOT analysis are all addressed in this part. It provides location analysis,

including vicinity map and location map.

Vision

Our vision is to be the City’s most customer-centric business, where our

clients can find and discover services they might want to try

Mission

Our mission is to serve our clients with integrity and offer a unique service,

foster self-worth, and encourage confidence.

Objectives

1. To allow our service to give in every potential we as employees have to

satisfy our customers

2. To satisfy customers by providing them a quality and excellent services

3. To have more and more customers each day.

4. To provide service creation, guest’s care, treatment procedures, logistics

5. To create a harmonious and consistent workflow among all activities


6. To be one of the affordable and best salons anyone could possibly walk

into.

SWOT Analysis

SWOT analysis captures the input strength and weaknesses inside the

business and describes the opportunities and the potential threats that a

business will encounter in the process.

Strengths

Features of the project or business that set it apart from others. To draw in

more clients, the planned business would be located in a distinctive area in

comparison to its rivals. Customers will be satisfied with the items' reliability and

high quality.

Excellent Customer Service- Providing outstanding customer service

can help organizations build strong relationships with their clients.

Service quality - The proposed firm will ensure to offer a high-quality

service and build a close relationship with the clients.

Skilled Employee - The proposed business would employ a

knowledgeable individual who is skilled at performing his or her job. Customers

will work with excellent staff members who recognize the importance of offering

high-quality services.

Weaknesses
New Market Entrant – As the new planned business is unfamiliar to the

target market, it may be difficult for it to win over clients' loyalty. The suggested

company will make an investment to attract new clients.

Weak Image - It is difficult to launch a new company in the region

because of the monopoly. The business is still developing its name and

reputation among individuals looking to hire the services.

Opportunities

Monopoly market- There is no rivals for the proposed business in

the area. Making more profit as a monopoly than in a market with competition.

High Potential Target Market- leads to greater freedom for your goods to

stand out and greater ability to develop loyal relationships with customers.

Threats

New Entrant in the market - As a result, new competitors can readily

enter the market, compete with established companies, and gain market share.

Consumer Behavior - Customers are unpredictable because of issues

over which a firm has limited control, such as changing consumer preferences.

The targeted business is forced to consider and account for measures to sustain

and maximize customer loyalty because they have little influence over these

changes.

Vicinity Map
The vicinity map contains the different business establishments beside

and front of the proposed business. The figure below shows the vicinity map of

the proposed business.

Figure 3. Location

United
Brigada Proposed
Pentec- Open Area
Pharmacy ostal Business
church Rachel’s
Sky
Tuna Grill
Balbacua
Jorge Royeca Blvd.

Anita’s
Sabon
Lechon
Green Oil Station
Hauz
Barato
Store Gasoline
Purok – 5 Residents
Station

Figure 4. Vicinity Map


CHAPTER III

MARKETING ASPECT

This chapter discusses market research and analysis, marketing strategy,

pricing strategy, and promotional strategy.

Market Research and Analysis

The market research and analysis discuss the several factors affecting the

success of the business in the field of market that including the target market,

estimated market share and intensity of competition.

Target Market

The primary target market of the proposed business is the residence

market of the people in Barangay Bula, General Santos City, South Cotabato.

The secondary target market of the proposed business is the residences

outside of Barangay Bula, General Santos City, South Cotabato.

Estimated Market Share

In Bula, General Santos City, South Cotabato. The researchers

estimated that the existing competition of the proposed business will have 10%

share in the market in the salon and spa. This 30% will represent the free/open

market and the 60% will include the other existing players of the salon and spa,

where they will divide the fraction equally however, this sharing might possibly

change in the long run, since the proposed business is new, and it is more

accessible for the prospect customers. Figure 5 below, shows the percentage of

the market shares of the business in Bula General Santos City, South Cotabato.
Proposed Venture

10%

Open
30% Market
Proposed Venture
60%
Open Market
Existing Players

Existing
Players

Figure 5. Estimated Market Share

Intensity of Competition

Since the LGU- General Santos City did not yet give the list of registered

business names, according to Google, there are no existing Salon and Spa

businesses here in Bula, General Santos City, South Cotabato. Therefore, the

intensity of the competition is low. As a new entrant in the industry, the strategy

of the proposed business is to give extra perks to customers. This strategy may

help create loyal customers who will be happy to frequent the business for many

years to come.

Service Strategy
Marketing strategy includes all basic and long-term activities in the field of

marketing. These includes advertising your services through flyers, social media,

banners, and tarpaulins are all possible marketing strategies. This will be carried

out during the first year of operation and in years prior until the target market and

society begin to take interest.

Sales and Distribution Strategy

To increase sales and build customer relationship, the proposed business

will be using two sales strategies. The first is direct sales, which takes place face-

to-face and involves customers being informed about the products and services.

The second is an indirect sales technique that makes use of websites and social

media to facilitate transactions. The website's content discusses the goods and

services that the proposed business offers.

Pricing Strategy

The topic of pricing structure will be discussed in this section.

Pricing Structure

The proposed business would utilize a cost-based pricing structure as its

pricing strategy. In this method, the business determines the selling price of the

goods by adding the product's cost and profit (calculated as a percentage). To

determine the final price of the product, it bases its calculation on the reselling

expenses of the item.


Table 1

List of Price (Salon)

Services Proposed Business Rate

Hair Spa 999

Hair Color 999

Hair Bottox 999

Haircut with Blow-dry 199

Hairspa with haircut 499

Brazilian Blowout 2499

Blow-dry 199

Manicure 89

Pedicure 99

Nail Art 249

Table 2
LIST OF PRICES (SPA)

Services Proposed Business Rate

Acne Facial 799

Deep Cleansing 399

Diamond Peel 349

Foot Spa 249

Hand Spa 199


Foot Massage 30 mins. 199

Hand Massage 30 mins. 199

Whitening Facial 299

Promotional Strategy

The proposed business must use a variety of marketing techniques to

spread its name throughout the market and build a solid reputation. Both sales

promotion and advertising will be used by the proposed business.

Advertising

This strategy is a way to communicate with potential clients to help them

understand why the services being given are superior to those of the

competitors. The proposed business will use the following advertising methods.

Tarpaulins. This type of advertising will be shown in public areas so that

people are aware of the opening day that the business will begin operations, the

products and services provided, the location of the proposed business, and its

phone number. Three months prior to the start of the operation, it will be posted.

There will be 20 tarpaulins put around Bula, General Santos City, South

Cotabato, each measuring 2 by 3 feet.

Social Media. the proposed business would use social media as part of

its marketing strategy, such as a Facebook page or an Instagram, to make it

simple for people to learn more about it. The Facebook page's articles discuss
the salon and spa as well as online reviews and updates on customer service.

Every day, the Facebook page will be monitored, and every week, new special

deals will be posted and shared in an effort to increase its likes and shares on

Facebook. The advertisements that are put on the page will instantly appear in

their news feeds.

Sales Promotion

The sales promotion is essential to the proposed business since it will

encourage clients to increase sales and serve as a means of cultivating a

reputation of loyal clients. All clients who purchase goods and services from the

proposed business will receive several discounts and freebies.

Discounts. All clients who use our products and services will receive a

5% discount as part of the proposed business's opening promotion. It will expire

three months after launching. Each customer will receive a discount card, and if

they use our products five times and return for a sixth time, we will give them a

20% discount as long as they show their discount card. The proposed business

will also sell loyalty cards for 100 pesos each. For every minimum purchase of 90

pesos, consumers who use the loyalty card will receive 1 point.

Giveaways. Customers of the proposed business will receive free gifts

depending on the services they choose to avail, and the proposed business will

be handing out free gifts. These prizes will be made available for each important

occasion, such as Christmas and festival celebrations in Bula, General Santos

City, South Cotabato.


CHAPTER IV

TECHNICAL ASPECT

This chapter discusses the technical aspect of the proposed business

which contains the suppliers, sources of suppliers, supplies order flow, technical

processes which include service flow, production needs, facilities, and

equipment, utilities, labor supply and floor plan lay out.

The Suppliers

This shows and discusses the sources of supplies and the suppliers order

flow of the proposed business.

Sources of Supplies

The five primary suppliers will provide the materials, ingredients, and

supplies required for the planned business's operation. These brands are based

on local and national markets and include T-Top Professionals, Mondes

Professional, L'Oreal Professional, Revlon, and Shiseido. KCC General Santos

City for other simple supply needs.

Supplier's Order Flow

The proposed business's supplier's order flow is discussed in this section.

It explains the process for purchasing, paying for, delivering, and fulfilling the

chosen goods or equipment.

The method of sanitization comprises measuring the body temperature

and disinfecting with alcohol. The second part of the process is the inquiry, which

will evaluate whether the required supplies are available. The third step is placing
the order. This is the procedure suppliers go through to take supply orders and

provide billing statement. When an order is placed, it is time to get the supplies

ready before serving. Payment will be made in the area of the cashier or

receptionist as the final step.

Figure 6 below present the face-to-face suppliers order flow of the

proposed business.

Sanitization

Inquiry

Order Placement

Order Preparation

Serving

Payment

Figure 6. Supplier’s Order Flow (Face to Face)


The procedure of purchasing products from suppliers online is shown in

the figure. The proposed business should first make online inquiries and fill out

the required information, including name, phone number, and address, on the

electronic website or application. Through phone calls, inquiries about the

availability of the materials, cost estimate, and delivery schedules. The second

step is placing the order. If the products are available, they will be put in the

application's online shopping cart, and the proposed business will acquire the

supplies it needs. Following order placement, the proposed business will pick a

payment method, such as bank transfer or cash on delivery.

Figure 7 below present the online suppliers order flow of the proposed

business.

Inquiry

Order Placement

Payment

Figure 7. Suppliers Order Flow (Online)


Technical Process

This section discusses the process flow and service flow that the company

uses to generate its products and provide its target market with its services.

The supply flow starts with the customer's inquiry at the cashier or

receptionist, who will then conclude the service in the defined area by presenting

the customer's designated area. Then, order placement takes place for the

necessary and different kinds of services for the shop operation. The last step is

the Payment. After the customer has obtained service, payment will be made in

the cashier's or reception area.

Service Flow

The quality of service provided by a connection to a consumer is referred

to as service flow. It can assist you in doing repeated business tasks more

quickly and effectively, reducing the chance of errors and raising general

efficiency.

As a result, the proposed business experiences a significant setback. As a

result, the suggested business will be able to answer queries from customers.

Figure 8. Below presents the face-to-face service flow of the proposed

business.

Sanitization

Inquiry

Service
Figure 8. Service Flow (Face to Face)
Online Service Flow

The customer will message the website to request accommodations.

When placing an order, the customer will select the services they want to use

from a selection of options online. After that, the receptionist will then provide the

customer with an exact date. If the day designated is available, the client will visit

the salon to receive face-to-face service. The final step is making the payment,

which is done in the area with the cashier or receptionist.

Figure 9. Below presents the online service flow of the proposed business

Online Inquiry

Order Placement

Booking

Face to Face Service


Figure 9 Online Service Flow (Online)

Payment
Service Needs

This section discusses the production requirements of the proposed

business. For the intended business to run well, facilities, equipment, utilities,

and a labor supply are required.

Facilities

Facilities are things that are created or developed with a certain purpose,

such as convenience or service.

The proposed business needs the following:

Cashier’s Area - The proposed business would have a cashier's desk

where customers can make payments. The cashiers will be able to utilize

2 computers in this area. In this location, some items will also be appropriately

shown. The space is 2 m by 5 m in size (estimated). The same as the reception

area.

Reception’s Area - This area will be considered a service counter

connected to the business. Additionally, it serves as the public area where

clients, patients, and other people dealing with the office or business can be

received.

Parking Lot - Finding a secure location to park the vehicle they brought

seemed simple. A specific parking lot is provided by the CCTV camera proposed

business. A parking lot measures 3 m by 7 m(estimated). The management will

have a tarpaulin printed with parking lot written on it so that customers'

automobiles are given for vehicle security and with a guard there. This location is

in front of the establishment.


Waiting Area - The proposed business provides a waiting space for the

use of the clients. The waiting space is 3 m × 6.5 m x 0.8 m in size (estimated).

The customer can watch television in the waiting area to distract them while

waiting.

Washing Area - The proposed business will provide a washing space with

the following measurements: 0.68 x 1.2 x 1.04 (estimated). It contains a sink

where most of the supplies that the salon and spa typically utilized can be

washed.

Manicure and Pedicure Area - Inside the salon, the proposed business

will have a manicure/pedicure area with dimensions of 0.83 x 0.67 x 0.96 meters

(estimated). There will be chairs for manicures and pedicures here, along with

additional supplies and tools.

Laundry Area - The proposed business will contain a laundry room where

clothes, towels, equipment, and materials are washed. A washing machine and

drying rack will be located in this 8 × 2.1 m space (estimated).

Hair Salon Area - The proposed business will provide a space for a hair

salon. This space measures 0.56 x 0.65 x 0.89 meter (estimated). All the

supplies, tools, and equipment required for hair styling and other salon services

are located in this area.

Staff Room - The proposed business will provide a staff room. The

majority of the service preparation will take place in this space, which will be the

staff's room. Its dimensions are 5.2 m x 4.3 m (estimated). A heater and

medicines are located here.


Spa Area – The proposed business will offer a spa area/room, measuring

9 m x 3 m (estimated). where spa services including facials and massages take

place. This space will be equipped with air conditioning, facial-treatment

equipment, and chairs.

Storage Room - The proposed company will offer a storage space that is

2m by 2.5m (estimated). All of the tools, supplies, equipment, and other things

will be hidden in this location. To keep it clean and organized, this will include a

large cabinet. The cabinet measures 0.6 x 2.6 meters (estimated).

Restroom - The proposed business will have a restroom; it has a

sized of 2.5m x 5m (estimated). This will have a one sink and one toilet.

Equipment

The proposed business to operate well, it will require tools or equipment.

For the services provided, the equipment on the following list is required.

Computer set - The proposed business will use a gadget to store files

and documents for use in conducting business. The cashier will use the

computer, which has the following specifications: 8GB DDR4 2666 RAM; 250GB

M.2 NVMe Solid State Drive; and a 15.6′′ widescreen display, to conveniently

record transactions and invoices. The manager and cashier will each have

access to this equipment.

Air conditioner - The proposed business will use air conditioning to

provide ventilation for the store, its customers, and its staff. 18,000 Btu/h, 12.24

EER, the application area is between 23 and 33 sqm, and the style is an R410a
refrigerant. To ensure the comfort of those people, it will be set at a moderate

temperature.

CCTV cameras - The proposed business puts a high priority on security.

The business has CCTV cameras cameras installed both inside and outside. The

CCTV cameras have the following specifications: 1.0MP Exir Turret 1/4"

Progressive CMOS ICR, 1280x720:25fps(P)/30fps(N), 2.8mm/F2.0 lens, H.264,

IP67, DWDR, 3D DNR, BLC IR range: up to 30m DC12V AND PoE. The

cameras are installed to protect the business's customers and employees as

well.

Generator - In order to prevent a loss for the operation, the proposed

business provided backup equipment. Specifications Type: 1 Cylinder, 4 Stroke,

OHV, Air Cooled Gasoline Displacement: 277ml Tank Volume: 20L Japan

Technology PURE GASOLINE NO NEED TO MIX 2T OIL Max Output: 2500W

Rated Output: 2000W Rated Power: 6.5 HP Displacement: Recoil Start Only

Type: 1 Cylinder, 4 Stroke, OHV, Air Cooled Gasoline The generator planned for

the business. It is used to maintain service and prevent delays in the event of a

power outage.

Flat screen TV - The establishment will have two (2) 43-inch Samsung

Smart 4K Crystal HDR UHD TVs from the TU 7000 Series in Titan Grey

positioned in the waiting room and salon to market other products and provide

motion graphics for customers to enjoy while watching TV commercials.

Telephone – The proposed company will offer one (1) telephone for

taking queries. From the WiFi provider, this will be linked. Wireless Home Telpad
(MA7R), operating system: nougat, is the name of the phone model. 8GB of

internal memory that is extendable by 2GB to 32 GB is available. 1024 × 600

pixels and a 7" Display resolution. For quick purchases and enquiries, utilize this

in the area where the cashier and receptionist work.

Blow Dryers – The proposed business will use blow dryers as part of its

hair salon equipment. It will purchase a Watsons Hair Dryer Ionic 2200W2, which

has three heat settings, three speed settings, a cool shot feature, and an air

concentrator feature to aid technicians in drying clients' hair.

Hair Straighteners – The proposed business will use Philips hair

straighteners, which have 2 temperature settings, a quick 60-second heat-up

time, a temperature ranges up to 220°C, ThermoProtect technology, universal

voltage compatibility for use anywhere in the world, 100mm-long plates for quick

and easy straightening, Keratin ceramic plates for smooth gliding and shiny hair,

and a key-lock function for secure and convenient storage.

Washing Machine – The proposed business will wash the garments and

towels in a washing machine. The washing machines will have the following

specifications: a container capacity of 147-40FT High, a load capacity of 8kg, a

spin speed of 1,400 rpm, an Energy Label of 4.5, an Energy Consumption of 250

kWh per year, an Energy Consumption of 0.67 kWh for Cotton Eco at 40°C, a

Water Label of 4.5, a Water Consumption of 68 L (8.5 L/kg), and an Auto Power

Off of Yes "Auto power off.

Facial Steamer – The proposed business will make use of facial

steamers. The facial steamer's technical parameters are as follows: Size:


93x33x28cm, Power: 750W, Frequency: 50/60Hz, Temperature: 5-40oC, and

General Weight: 8.5kg.

Ice Roller – The proposed business will use ice roller in the facial spa.

This has an anti-aging effect as its purpose. The skin can also be revived,

refreshed, and rejuvenated using an ice roller. This equipment weighs 180g and

measures 23.5*6.3cm.

Ultrasonic Skin Scrubber – The proposed business will employ an

ultrasonic skin scrubber made of ABC materials with the following specifications:

weight: 115g, ultrasonic frequency: 24K/S, power: 2W, charging time:

approximately 2.5 hours, and use time: 80 minutes. The introduction of nutrients

and deep cleansing of skin debris by a scrubber can enhance microcirculation,

dredge sweat glands, minimize pores, and help you with a variety of skin issues.

UV Sanitizer - All equipment from the salon and spa will be sanitized by

the proposed company using a UV sanitizer. The UV sanitizer will have an

Ultraviolet Light to Eliminate 99.9% of Germs, Viruses, and Bacteria without

Using Harmful Chemicals, 8watts UVC Germicidal Lamp*253.7nm, Can Kill over

20,000 Different Types of Bacteria.

LED Facial- The proposed business's facial spa will make use of LED

technology. Size: 475mmx315mm, Input:DC12V 2A, Voltage:100-220V 50Hz,

Plug:EU Plug(we will supply adapter according to delivery country),

Technology:PDT/LED, Number of LED:287 leds, Time:5-60minutes are the

specifications for the LED facial. It benefits age spots, freckles, dark circles, and

early aging signs.


Foot Spa Machine– The proposed business will get a foot spa machine

with two switches for heating, an isolation cover, a massager wheel, and a

heater.

Printer – The receptionist area of the proposed business will have a

printer. Weight: approximately is a specification for the printer. 7.9 kg, approx.

dimensions 435 x 370 x 148 mm, approx. sFCOT copy speed About 19 sec [8]

sESAT 7.7 ipm [8], 99 copies at most, and a maximum print resolution of 9600 [1]

x 2400 dpi.

LED Nail Dryer – The proposed business will purchase an LED nail dryer

from the sky more brand with the following specifications: Power: 86W, Voltage:

100-240V, Plug: US Plug, LED Beads:39Pcs, Life:50000 hours, Time

Setting:10s, 30s, 60s, and 99s, Size: approximately

20.1x20.4x9.5cm/7.9x8.1x3.5 (1cm=10mm=0.39inch).

Professional Scissors – The proposed business will use professional

scissors for the hair styling and cutting. The proposed business will get a total of

four (4) scissors.

Wax Warmers – The proposed business will provide Wax Warmers that

has its specification Voltage 110V-120V/220V-240V, Frequency 50Hz/60Hz,

Power 220W, Volume 2800ML, Maximum temperature 65°C, Adjustment range

40-65°C, Material ABS Outside, Aluminum Inside.

Gel Warmers – The proposed business will get a total of two (2) high-

density, impact-resistant composite gel warmers. Multi-bottle LCD with


illuminated power ON/OFF, illuminated temperature settings, and a heat

indication lamp.

Salon Shampoo Sink with Bed - The proposed business will have three

(3) shampoo sinks with beds for salons. Specifications Bowl size: 19.7" x 19.1" x

38.8-54" (L x W x H) Material: PP bowl & Stainless-Steel Support Pipe Weight:

8.32lbs Base diameter: 20" Height range: 38.8"-54" Hose length: 5Ft.

Table 3

List of Equipment

Particulars Quantity
Air conditioner 2
Blow Dryers 4
CCTV Cameras 7
Computer Set 1
Facial Steamer 4
Flat Screen TV 2
Foot spa machine 4
Generator 1
Hair Curlers 4
Hair Straighteners 4
Hydra Facial Machine 1
Ice roller 4
Laser Tattoo removal 1
LED Facial machine 4
Printer 1
Salon Shampoo sink with bed 4
Telephone 1
Towel Warmers 2
Ultrasonic skin scrubber 4
UV sanitizer 4
Washing machine with dryer 1
Wax warmers 4
Furniture and Fixtures

The fixtures and furniture are movable items that are anchored

permanently to the building's framework. The following furniture and equipment

will be used by the proposed business to run its operations.

Sofa- The proposed business will give the consumer a hard wood sofa to

use while they wait. To prevent overcrowding and in compliance with the

executive order for Covid-19 health safety standards, the establishment will set a

restriction on the number of individuals permitted inside the area. This will be put

in the waiting area so that the client can feel comfortable.

Table- The proposed business will purchase Eleven (11) tables.

Computers and other office materials shall be kept on one (1) table. The

reception desk will have a table, three (3) will be in the waiting area, and the

remaining seven (7) will be in the salon and spa section. The receptionist area

will have a longer, taller style than a typical table.

Cabinet- The proposed business will use cabinets with a size of 0.6m x

2.6m to store the equipment needed for clients and others. It is planned to

provide a secure, clean storage area.

Chair- The most essential component of the store is where customers

seat and stay. Nine (9) chairs are placed on the 1st floor in the salon, while the

remaining will be place on the 2nd floor for the spa.

Mirror- One of the most important salon accessories, it will aid in

performance guidance and let clients appreciate the craftsmanship. Dimensions:

1 m x 4 m and 2 m x 7 m (Ground Floor) (Second Floor).


Bed- The bedroom can be a relaxing or comfortable place to sleep. It is a

single bed with dimensions of 0.9 m x 1.9 m and is typically designed as a

solemn, rectangular room with a music system and a closet for their clothes.

Accessories & Bowls– The proposed business will spend approximately

of four (4) on bowls and accessories that will be used in the salon and spa to mix

medicines and other items.

Receptionist Chairs/Desk– The receptionist will use this furniture. One

(1) chair and desk will be purchased by the proposed business. In general, the

receptionist desk serves as a stopping point for customers and clients. It will offer

convenience and supportive seats.

Salon styling chairs- The proposed company will employ four (4) salon

styling chairs with backwashes. This will be used in the salon to wash and

condition hair.

Salon Technical Chairs & Trolleys– The proposed business will buy four

(4) salon technical chairs and carts. This chair and trolleys are ideal for storing

and maintaining the appearance of a clean, well-organized salon or spa.

Pedicure/Manicure Chair & Table– The proposed business will buy four

(4) pedicure chairs and a manicure table for usage by clients who request

pedicures. The proposed business will offer ease and convenience.

Pedicure/Manicure Technician Stool & Carts– The proposed business

will buy the technicians a total of four (4) stools and trolleys. This will aid salon

and spa personnel in their work and help them become productive and efficient.
Curtains- The proposed business will buy six (6) curtains for the spa

services. Customers will be comfortable and the salon and spa space will feel

nice.

Flower Vase- The proposed business will purchase a three (3) flower

vase to provide more design on the salon and spa. This will be appearing on the

eye of the customers.

Wall Clock- One (1) wall clock will be bought by the proposed

business. This is an essential element of the salon and spa because it informs

both the client and the employees about the time.

Wall Frames- The proposed business will purchase a four (4) wall frames

to provide more design on the salon and spa. This will give an appearing effect

on the eye of the customer.

Table 4

Furniture and Fixtures

Particulars Quantity
Cabinet 2
Curtain 6
Customer Mirror 2
Flower vase 4
Golden Lion and lion Decoration 2
Manicure Table 4
Nail Spa Chair 4
Pedicure chair 4
Pedicure/manicure technician cart 4
Reception Desk 1
Receptionist chair 1
salon mirror 4
Salon Styling chair hydraulic &
4
Trolley
Single Bed Set 4
Sofa 2
Table 2
wall clock 1
wall frames 8
customer chairs 12
Accessories & bowls 4

Utilities

The main utilities include water, electricity, and communication. Typically,

a business that is subject to government regulation offers these.

Electricity- Due to the proposed business's reliance on machines and

computers for the majority of its activities, energy is crucial to the everyday

operations of the proposed business and will be provided by SOCOTECO II.

Water Supply- The water will be supplied by the GenSan WATER

DISTRICT, and it will be utilized to wash clients' hair. Along with other things, it is

utilized to maintain the restroom's cleanliness.

Communication- This service will be offered by PLDT

Telecommunications. The proposed business will benefit greatly from the use of

the internet, especially when purchasing supplies from suppliers. The proposed

business will pay 1,599 per month.

Labor Supply

There will be a total of ten (10) individuals working for the proposed

business. They will fill out an application inside the proposed business, and if

qualified, they will be recruited. able to work 8 hours a day and at least have a

high school diploma. Their salaries are determined by the labor code, with one
(1) manager overseeing the operation of the establishment; one (1)

cashier/receptionist in charge of handling payments and inquiries for the

proposed business; four (4) members of the salon service crew in charge of

providing salon services and customer assistance; and four (4) members of the

spa service crew in charge of providing spa services and customer assistance.

Waste Disposal

The proposed business will be accountable for its waste, which will be

correctly handled and disposed of. The proposed business will include a trash

collecting location within the building with two trash cans, one of which will be

biodegradable and the other not. The trash produced by the business will be

collected by the barangay. The barangay will pick up the trash every Wednesday.

Building/Plant Lay-out

The layout will show how the facilities and equipment are arranged in the

proposed business to give clients a comfortable and secure space.

Below shows the floor plan of the proposed business.


Figure 10. Floor Plan (Ground Floor)
CHAPTER V

MANAGEMENT AND ORGANIZATIONAL ASPECT

This chapter presents and discusses the form of the business

organization, organizational structure, personal qualifications, personnel duties

and responsibilities, personnel salary structure, pre-operating activities and time

table.

Form of the Business Organization

The proposed company will be organized as a partnership, which means

that two individuals will own and run it. The owner will have joint ownership of the

salon and spa, as well as management responsibilities and any profits or losses

the business has made. The researcher made the decision to start a partnership.

Organizational Structure

The organizational structure is a simple type. The default operating system for

the majority of small enterprises is a simple organizational structure since it

centralizes decision-making within the company. How actions including task

distribution, collaboration, and monitoring are focused on achieving

organizational goals the basis upon which standard operating procedures and

routines are built is provided by organizational structure. The store's simple

organizational structure is shown in the image on the following page, where the

researcher also discusses how each individual fits into the organization and its

environments.
Manager

Make-up Artist Nail Technician Receptionist Spa Therapist


Hair Dresser (2)
(2) (2) (1) (4)

Figure 12. Organizational Structure


Personnel Qualification

This section discusses about the qualifications or requirements of each

employee to do the particular job.

The qualifications for the different positions are as follows:

Manager

• A graduate of any business-related course

• At least 21 years old

• Excellent in terms of oral communication, good written and interpersonal

• Has the ability to work under pressure

• Preferably Female

Spa Therapist, Nail Technicians, Make Up Artist and Hair Dresser

• At least high school level or NC II passers

• At least 21 years old

• Excellent communication skills and organizational skills

• Has the ability to work under pressure

• Male or Female

Receptionist

• At least college level


• At least 21 years old

• Has a pleasing personality

• Loyal and honest

• Must be hardworking

Personnel Duties and Responsibilities

In order to avoid tasks and responsibilities that contradict with one

another, personnel roles and responsibilities refer to each employee's job

description across the entire business. The business flow improves and is easier

to control.

Manager

• Manages the company's day-to-day administration.

• Implements regulations, policies and employee’s morale

• Hires and fires employees

• All administrative and store operations are under his supervision.

• Enforces all company policies and procedures, including those related to

safety, pricing, and customer service.

• Establishes strategic goals by gathering pertinent business, financial,

service and operations information

• Maintains control over the store's budget and loss prevention initiatives.

Receptionist/Cashier

• Collects payment and issues receipts

• Counts money in cash drawers at the beginning and end of shifts to

ensure that the amounts are correct and there is an adequate change
• Changes receipt paper as needed

• Entertains the customers inquiries

• Provides pricing information by answering questions

• Maintains safe and clean working environment by complying with

procedures and regulation

Spa Therapist

• Provides a variety of spa services, including body treatments, massages,

facials, waxing, foot spas, and hand spas, in a secure and relaxing

environment.

• Upholds hygiene standards and follow health and safety regulations

• Keeps a clean stocked room

• Maintains equipment

Nail Technicians, Make Up Artist and Hair Dresser

• Provides a variety of salon services (Hair treatment, hair styling, make up

and manicure/pedicure) in a secure and relaxing environment

• Upholds hygiene standards and follow health and safety regulations

• Keeps a clean stocked room

• Maintains equipment

Personnel Salary Structure

The regular monthly payment that an employee receives from his or her

or her business, particularly if they are professionals. Each day for six days a

week, employees will put in eight hours of effort. Each worker will put in an
average of 26 days each month. Depending on the position a person holds,

salaries in the suggested firm may vary.

Table 5

Personnel Monthly Salary Structure

Personnel No. of Personnel Basic Salary Total Salary SSS PHIC HDMF Total Deduction Monthly Net Pay Annual Net Pay
ER EE EC ER EE ER EE
Manager 1 19,136 19136 1,805 855 30 861.12 861.12 574.08 574.08 2320.2 16,816 201792

Receptionist 1 9,568 9568 902.5 427.5 10 430.56 430.56 287.04 287.04 1155.1 8,413 100956

Spa Therapist 4 9,568 38272 3610 1710 40 1722.24 1722.24 1148.2 1148.2 4620.4 33,652 403824

Nail Technician 4 9,568 38272 3610 1710 40 1722.24 1722.24 1148.2 1148.2 4620.4 33,652 403824

Hair Dresser 2 9,568 19136 1805 855 20 861.12 861.12 574.08 574.08 2310.2 16,826 201912

Make-up Artist 2 9,568 19136 1805 855 20 861.12 861.12 574.08 574.08 2310.2 16,826 201912

Total 14 66,976 143520 11,733 6413 160 6458.4 6458.4 4305.6 4305.6 17,337 126,184 1514220

Pre-operating Activities

These activities will take place before the company officially opens for

business. In order to avoid incurring extra costs while carrying out the tasks, the

time allocated to these operations would be based on precise and surveyed data.

Prior to the start of the actual business activity, the actions on the listed

below will be completed.

Conducting a Feasibility Study

In this activity, the prospective owner is assisted during this exercise to


Investigate the viability of the planned business in the area. It is done to

thoroughly assess the viability and profitability of a proposed business. This work

is significant because it will show that this business can be established

successfully. A feasibility study will assist in determining whether the project is a

viable business to launch, whether it will be profitable, and whether it will

succeed in the market, it will take (3) months.

Leasehold Improvement

The organizational structure needs to be strengthened. It is done in order

to set up the office space. Clean up the area and improve consumer comfort, It

will take (3) months.

Securing the Permit and Licenses

The organization must go through this process in order to conduct

legitimate business. This will be done in order to process the paperwork needed

to start the business. Due to queue and waiting to get licenses is long , it will take

two (2) months to process the necessary documentation, and the prospective

owner will need to apply for permits and licenses.

Hiring of the Employees

While getting the permit and licenses, hiring of workers will have to be

started. Employees who are truly qualified for the type of business will be chosen

by the company. The owner will seek out the most efficient workers who also

have the required credentials. Employees will go through training till they are

ready to operate the company. Employee recruitment will take two (2) months

because employees are considered the organization's hands.


Acquisition of the Inventory, Equipment and Furniture & Fixtures

During this activity, the business's necessary furnishings, equipment, and

fixtures will be purchased. These will be bought from the suppliers that the owner

has negotiated and chosen, it will take (2) months.

Purchase of Supplies and Materials

During this activity, all the materials and resources required to run the firm

will be purchased. The furniture, fixtures, and other materials will all be

purchased during the course of a two-month (2) buying activity, and before the

business's official opening, all of the goods and materials will be attached and

displayed.

Promotion of the Business

The prospective business will introduce itself to a larger audience.

Employees will hand out brochures, broadcast messages on the radio, and

create tarpaulins. Before the intended business's grand opening, this activity will

need to be finished in three (3) months.

Grand Opening of the Business

When everything is prepared and the company is well-known in the

neighborhood, this is the moment to launch the business. During the opening

week of business, the potential firm will provide discounts. Marketing will keep

going until a lot of prospective customers are aware of the business.

Time Table

A time table is a schedule of the specific times that the events will

take place. The Time Table for the Business is displayed in the Table on the
following page. It lists the pre-operating operations that the salon and spa will

carry out over the course of a year. (12) Months.


Table 6

Time Table

Duration of the Months


Activities
1 2 3 4 5 6 7 8 9 10 11 12

Conducting
Feasibility
Study
Leasehold
Improvement
Securing of
Permit and
Licenses
Hiring Employees

Acquisition of
Inventories,
Equipment, and
Fixtures and
Furniture

Purchase of
Supplies and
Materials
Promotion of the
Business
Grand Opening of
the Business
Schedule 1
Equipment
Quantit Total
Particulars y Cost cost
Airconditioner 2 32,295 64590
Blow Dryers 4 1,299 5196
CCTV Cameras 7 3,200 22400
Computer Set 1 22,500 2250
Facial Steamer 4 7,990 31600
Flat Screen TV 2 21,990 43980
Footspa machine 4 1,990 7960
Generator 1 27990 27990
Hair Curlers 4 2,399 9596
Hair Straighteners 4 2,446 9784
Hydra Facial Machine 1 52,998 52998
Ice roller 4 1,999 7996
Laser Tatto removal 1 38,000 3800
LED Facial machine 4 11,990 47960
Printer 1 3,500 3500
Salon Shampoo sink with bed 4 3,500 14000
Telephone 1 1,978 1978
Towel Warmers 2 4,750 9500
Ultrasonic skin scrubber 4 1,499 5996
UV sanitizer 4 2,999 11996
Washing machine with dryer 1 30,498 30498
Wax warmers 4 1,899 7596
Total 64 423164

Schedule 2

Furniture & Fixtures

Quantit
Particulars y Cost Total cost
Cabinet 2 3,399 6798
Curtaini 6 390 2340
Customer Mirror 2 990 1980
Flower vase 4 330 1320
Golden Lion and lion
Decoration 2 520 520
Manicure Table 4 900 3600
Nail Spa Chair 4 5,500 22000
Pedicure chair 4 200 800
Pedicure/manicure technician
cart 4 120 480
Reception Desk 1 5,500 5500
Receptionist chair 1 1,300 1300
salon mirror 4 2,000 8000
Salon Styling chair hydraulic &
Trolley 4 7,500 30000
Single Bed Set 4 5,500 22000
Sofa 2 4,500 9000
Table 2 700 1400
wall clock 1 675 675
wall frames 8 500 4000
customer chairs 12 349 4188
Accessories & bowls 4 79 316

Schedule 3

Personnel No. of Personnel Basic Salary Total Salary SSS PHIC HDMF Total Deduction Monthly Net Pay Annual Net Pay
ER EE EC ER EE ER EE
Manager 1 19,136 19136 1,805 855 30 861.12 861.12 574.08 574.08 2320.2 16,816 201792

Receptionist 1 9,568 9568 902.5 427.5 10 430.56 430.56 287.04 287.04 1155.1 8,413 100956

Spa Therapist 4 9,568 38272 3610 1710 40 1722.24 1722.24 1148.2 1148.2 4620.4 33,652 403824

Nail Technician 4 9,568 38272 3610 1710 40 1722.24 1722.24 1148.2 1148.2 4620.4 33,652 403824

Hair Dresser 2 9,568 19136 1805 855 20 861.12 861.12 574.08 574.08 2310.2 16,826 201912

Make-up Artist 2 9,568 19136 1805 855 20 861.12 861.12 574.08 574.08 2310.2 16,826 201912

Total 14 66,976 143520 11,733 6413 160 6458.4 6458.4 4305.6 4305.6 17,337 126,184 1514220
Schedule 4
Schedule 5

Utility Expenses

Monthl
Utility Expenses y Annually
Electricity 20000 240000
Water supply 2000 24000
Internet 1899 22788
Total 23899 286788

Pre-Operating Expenses

Particulars Cost
Brgy. Clearance 60
Business Location clearance 60
CENRO 500
Certificate of Tax Payment 30
Confirmation/Certificate/Verification/
Clearance Fee 30
Fire Safety Clearance 500
Flyers 20
Garbage Collection fee 500
Installation fee 24000
Permit Fee 1500
Permits & Licences 75
Sanitary Health Clearance 460
Tarpaulins 2500
Training & Seminars 10000
Water Permit 5000
Total 45235
Schedule 6

Office Supplies

Particulars Quantity Price Total cost


Ballpen 12 10 120
Calculator 2 299 598
fastener 2 47 94
logbook 2 70 140
Long & short bondpapaer 2 220 440
official receipt 2 30 60
Stapler 2 170 340
Total 24 846 1792

Schedule 7

Operational Supplies

Particulars Quantity Price Total Cost


4in 1 footspa set 4 150 600
acetone 10 gal 500 5000
apron 8 300 2400
basket 10 78 780
bathroom tissue 100 98 9800
bleaching powder 15 518 7770
blush 5 150 750
brusher and combs 20 40 800
clips 16 12 192
color brushes 20 40 800
color mixing bowls 8 50 400
concealer 5 150 750
cotton balls 50 79 3950
cuticle cream 6 gal 400 2400
cuticle oil 50 120 6000
detergent soap 100 45 4500
dust mop 2 290 580
dust pan 2 70 140
ear candling set 250 100 25000
exfoiliant essential oil 30 45 1350
eye brows 8 299 2392
eye cream 20 199 3980
eye liner 10 300 3000
Eye protector 4 200 800
eye shadow 5 sets 499 2495
eyelash glue 50 460 23000
eyelash lift 250 250 62500
eyelash remover 50 400 20000
face mask 100 39 3900
face oil 30 90 2700
Face Scrubber 4 970 3880
facial kit 4 70 280
facial set 4 300 1200
fake eyelashes 250 40 10000
Fire Extinguisher 1 4599 4599
floor sweeps 2 120 240
glass squeeze 2 150 300
gloves 100 35 3500
hair colorant 360 158 56880
hair oxidizer 360 206 74160
hair treatment 12 gal 700 8400
hairscissor kit 6 1200 7200
Hand soap 100 75 7500
hand, foot, and body lotion 10 gal 440 4400
head band 8 45 360
highlighter 5 89 445
honey 20 180 3600
lipstick 8 250 2000
liquid foundation 10 199 1990
make up brush 4 sets 350 1400
manicure set 8 200 1600
mascara 10 299 2990
massage oil 12 gal 800 9600
moisturizer 30 90 2700
nail polish 500 14 7000
Needle 7 528 3696
picogel 20 499 9980
plastic protective capes 8 12 96
powder 8 169 1352
primer 10 189 1890
scissor organizer 8 270 2160
serum 30 499 14970
shorts 10 58 580
silicon wash pad 25 25 625
slippers 10 89 890
spatulas 8 45 360
spray bottles 20 39 780
sunblock 20 200 4000
tie 20 20 400
toner 100 149 14900
towel large 10 200 2000
towel medium 10 159 1590
towel small 15 80 1200
waste bin 6 150 900
waxing kit 2 1359 2718
window washer 2 170 340
Total 480380
Schedule 8

Depreciation Expenses

Equipment
Total Useful Depreciatio
Particulars Quantity Cost
cost life n Cost
Air conditioner 2 32,295 64590 5 12918
Blow Dryers 4 1,299 5196 5 1039.2
CCTV Cameras 7 3,200 22400 5 4480
Computer Set 1 22,500 2250 5 450
Facial Steamer 4 7,990 31600 5 6320
Flat Screen TV 2 21,990 43980 5 8796
Foot spa machine 4 1,990 7960 5 1592
Generator 1 27990 27990 5 5598
Hair Curlers 4 2,399 9596 5 1919.2
Hair Straighteners 4 2,446 9784 5 1956.8
Hydra Facial Machine 1 52,998 52998 5 10599.6
Ice roller 4 1,999 7996 5 1599.2
Laser Tattoo removal 1 38,000 3800 5 760
LED Facial machine 4 11,990 47960 5 9592
Printer 1 3,500 3500 5 700
Salon Shampoo sink with bed 4 3,500 14000 5 2800
Telephone 1 1,978 1978 5 395.6
Towel Warmers 2 4,750 9500 5 1900
Ultrasonic skin scrubber 4 1,499 5996 5 1199.2
UV sanitizer 4 2,999 11996 5 2399.2
Washing machine with dryer 1 30,498 30498 5 6099.6
Wax warmers 4 1,899 7596 5 1519.2
Total 84632.8

Furniture & Fixtures


Useful Depreciatio
Particulars Quantity Cost Total cost
life n Cost
Cabinet 2 3,399 6798 5 1359.6
Curtain 6 390 2340 5 468
Customer Mirror 2 990 1980 5 396
Flower vase 4 330 1320 5 264
Golden Lion and lion Decoration 2 520 520 5 104
Manicure Table 4 900 3600 5 720
Nail Spa Chair 4 5,500 22000 5 4400
Pedicure chair 4 200 800 5 160
Pedicure/manicure technician
4 120 480 5
cart 96
Reception Desk 1 5,500 5500 5 1100
Receptionist chair 1 1,300 1300 5 260
salon mirror 4 2,000 8000 5 1600
Salon Styling chair hydraulic & 6000
4 7,500 30000 5
Trolley
Single Bed Set 4 5,500 22000 5 4400
Sofa 2 4,500 9000 5 1800
Table 2 700 1400 5 280
wall clock 1 675 675 5 135
wall frames 8 500 4000 5 800
customer chairs 12 349 4188 5 837.6
Accessories & bowls 4 79 316 5 63.2
Total 25243.4

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