Republic of the Philippines

University of Eastern Philippines

UNIVERSITY OF EASTERN PHILIPPINES LABORATORY HIGH SCHOOL
University Town, Northern Samar

MODULE 3 in

ENTREPRENEURSHIP
Academic Year 2022-2023

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Name: ______________________________
Grade & Section: ____________________________

RHOAN MAE G. EDRIA

Subject Teacher
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ENTREPRENEURSHIP
 BUSINESS PLAN IMPLEMENTATION
Lesson 1: Starting and Operating a Simple Business
Learning Outcome:
 Implement the business plan
 Operate the business
 Self the product/service to potential customers
 Identify the reasons for keeping business records
 Perform key bookkeeping tasks
 Interpret financial statements (balance sheet, income statement, cash flow projections, and
summary of sales and cash receipts)
 Prepare an income statement and a balance sheet
 Identify where there is a profit or loss for a business
 Generate an overall report on the activity

OVERVIEW

Even the most well-thought-out business plan is just a piece of paper if it isn’t doesn’t have
a plan for implementation. This is the portion of the business plan where objectives are clarified,
tasks are assigned with the deadlines, and program is charted to reach goals and milestones.

Guidelines for successful business plan implementation

1. Objectives
The objectives should be crystal clear and specifically spelled out, since it will be
used as a building block for the rest of the implementation plan.
For example, assume the start-up is a small consulting firm. The objective should be
tough but reachable, and could read something like this:
1.1 Secure office space and be open for business in three months.
1.2 Sign three clients within first three months of operations.
1.3 Sign 10 clients within the first year.

2. Tasks
This part details what must be accomplished to achieve the objectives. Include a
task manager for each step, so that roles are clearly defined and there is accountability.
Enumerate tasks and assignments with descriptions specifically plainly and generally
stated; without getting into a step-by-step, micromanaged explanation of how the tasks will
be carried out. Emphasize the expected results associated with these tasks.
Continuing with the above example, the tasks section might read like this:
2.1 Secure office space – real estate agent
2.2 Obtain licenses and permits – you
2.3 Set up office phones and computers – office manager
2.4 Begin recruiting clients – sales manager
2.5 Create marketing collateral – marketing manager
2.6 Solicit referrals from clients – relationship manager

3. Time allocation
Each task should be paired with an appropriate time frame for completion. The time
allocation should be aggressive but reasonable in order to ensure not just completion but
competent work. For assistance in framing this timescale, use a program such as Microsoft
 Project, or just create own Gantt chart- a helpful tool that shows how long it will take to
complete different tasks and in what order the tasks should be finished.

4. Progress
The overall management team leader needs to be in charge of monitoring each
task’s progress and the completion percentage of each objective. When delays occur, try to
get the root of the problem. Did the person responsible drop the ball? Did he or she have
too many responsibilities to handle? Did a third party, such as a supplier or the bank, fail to
hold up its end of a deal? Adjust the Gantt chart appropriately to account for the delay and
make a note of the previous deadline and the reason it was missed.
While the above steps may seem like overkill, the early days of a start-up are
critically important it’s a time when good management patterns are set and also probably a
lean era when revenue has yet to start rolling in.
The more efficient the start of an implementation of the business plan is the more
likely it will survive in the early period.

Operating A Business
Before starting a business, aspiring entrepreneurs should seek professional advice
from small enterprise advisors, accountants or consultants on what is the best type of
enterprise to establish, as this varies according to the legal framework and economic
structures prevailing at a given time.
The form that a business takes is influenced by both the wishes or needs of the
owner and also by the types of products that are to be made. It is usually simpler and
cheaper to register either as a personal business with a single owner/director. However,
this may not be appropriate if additional partners are required to contribute capital or
specific skills.
Other types of business that can therefore be considered include a partnership or if
the proposed enterprise has a larger number of interested investors, the form of the
business could be a cooperative, association, a not-for-profit organization or a corporation.

ACTIVITY 1
 Enumerate and explain the different forms of business organizations and types of
operation.

Business Registration Requirements

Once the form of the business has been decided, there are number of registration
procedures that need to be taken before trading begins. Again, these very in both the
number of steps and the degrees of complexity and bureaucracy in the registration
procedures. Professional advice is needed to guide the entrepreneur through each stage,
from a consultant and an accountant who are experienced in these processes.

The following are the basic requirements to start commencing a business in the
Philippines:
1. SEC registration – for partnership or corporation
2. DTI registration - for registering your business trade name (BTR)?
3. Mayor’s business permit – for getting the license to operate in the city or municipality
and payment of your local business taxes.
4. BIR registration - for getting TIN, official receipts and invoices, registering your books of
accounts, and paying your national internal revenue taxes (Income tax, VAT or
Percentage Tax, Withholding Taxes, etc.,)
5. SSS, PhilHealth, and Pag-ibig Fund registration – for registering yourself or company as
an employer and for remitting your employees contribution together with your
employer’s share.

Usually, the BIR and the City/Municipality Office require the certificates of
registration with the SEC or DTI before a business can be registered to these agencies.
Thus, there is a need to register through these offices to start the business.
A one-stop shop is available for entrepreneurs who need to register who need to
register with the various government agencies, such as the DTI, SEC, BIR, SSS, Pag-
ibig Fund and Philhealth. However, this service is only available to a few cities in Metro
Manila and is not yet available nationwide.

Special Requirements
Aside from the basic requirements, there are also special licenses or registrations
that must be obtained by a business to start its operation. For example, banks,
financing, company, lending company, pawnshops, money changers, money remittance
business, and other financing institutions are required to be registered with the Bangko
Sentral ng Pilipinas (BSP). If you are manufacturing and selling products related to food
and drugs, you also have to register with Bureau of Food and Drugs (BFAD). For
schools and entities involved in providing education, they should register with the
Commission on Higher Education (CHED) and Department of Education (DepEd).

Other Steps to Follow Before Operating a Business

1. Set up an accounting system or hire an accountant. Knowing how the business is doing
financially is important for planning and survival. Using an accounting software package
will make tracking business transactions easier.
2. Advertise the business. No one will buy the products or services if the customers don’t
know that the company exists. Create a website and advertise in different media, such
as newspaper and radio. Ask customers for referrals. Network with other business
owners which will help in the recognition and gain referrals for the new business.
3. Secure insurance for the business. Liability insurance protects the business in the event
litigation. Consider life and disability insurance, health insurance, insurance, if you are
leasing an office or storefront.

Selling the Product

Selling a product doesn’t have to be complicated. At its most basic level, a sales
program is defined principally by what to sell, who to sell it to and how to sell it. Beyond
that, sales invoice remains focused on the details of the product and customers. As a sales
program continues, there will be a need to keep paying attention to changing trends and the
needs or desires of the customers. By observing these changes, you will be able to adjust
the program and keep the sales strong.

Method 1 - Showing Enthusiasm for the Product

1. Study of the Product
To convey knowledge about the product and to answer customers questions
about the product, will project complete understanding of the product. It is absolutely
vital to know the product inside out. If a customer asks something that cannot be
answered right away, it is better to say that the exact answer will be looked into and
feedback will be given right away.

2. Emphasize the perks of the product to customers.

 It is important to translate the products name features into benefits as well as
giving good product information to the right people. This makes it easier for the
customer to see why they should purchase the product. Think about thing like:
2.1 will the product make the customers life easier?
2.2 Will the product create a sense of luxury?
2.3 Is the product something that can be employed by many people?
2.4 Is the product something that be used for a long time?

3. Ensure that the product has been accurately explained.

In person-to-person sales there is a need to ensure that good product
information is supplied via retail packaging, point of purchase displays, and any
marketing materials. Even in selling the products directly or making a pitch, having a
good product information on display will help convince customers. Make sure that all
product information is informative, true, and complete.

Method 2 – Connecting with the buyer

1. Share your love of the product.

A good salesperson believes in the product that is being sold, and transfers
this enthusiasm to the customer.
2. Anticipate the customers motivation.
To be able to answer any questions that customers may have about a
product, it is important to anticipate those questions. This will show understanding of
customer needs. Make sure to connect emotionally with customers by addressing
those needs.
3. Practice breaking the ice with customers.
If working in direct sales, the way to connect with people is critical. Instead of
asking a close-ended question, ask the more positive, open-ended questions. In
addition, make remarks about the product that will interest customers and start
deeper conversations.
4. Convert the customers motivations into the products characteristics.
In marketing, this is known as “positioning”, and it consists of equating the
product with the customers hopes and desires. A number of factors are important
when positioning a product.
5. Be honest about the product.
This means being transparent in the delivery of product information. Avoid
being afraid of honesty, it builds trust. Even if sale will not happen today, the honesty
and generosity will be remembered, and can translate into future sales.
6. Close the sale.
There are many styles and methods of closing a sale, but one of the most
effective has the mnemonic, ABC. Always Be Closing. Confirm the prospective
buyer’s interest in the product by meeting the needs.
7. Give customers time to consider.
Appearing overly pushy is a turn-off for many buyers. Customers may want to
go home and do a quick online search for more information. Take note that
information you give matches with what they read online.

Method 3 – Selling the Product as an Owner Salesperson

1. Familiarize yourself with all aspects of the product.

2. Market the product.
 3. Review the sales performance.
4. Troubleshoot sales, if necessary.

Keeping Business Records

Good record keeping can help protect the business, measure the performance and
maximize profits. Records are the source documents, both physical and electronic, that
specify transaction dates and amounts, legal agreements, and private customers and
business details.
Developing a system to log, store and dispose of records can benefit the business a
systematic recorded allowing you to:
 Plan and work efficiently
 Meet legal and tax requirements
 Measure profit and performance
 Generate meaningful reports
 Protect your rights
 Manage potential risk

Key Bookkeeping Tasks

Dividing up many bookkeeping tasks into daily, weekly, monthly, quarterly and yearly
checklists and being consistent about completing each task makes bookkeeping simple
and rewarding.

Daily Tasks
1. Review Available Cash
2. Monitor Incoming and Outgoing Payments

Weekly Tasks
1. Record and reconcile transactions
2. File and upload receipts
3. Enter unpaid bills from vendors
4. Pay vendors
5. Prepare and send invoices
6. Review projected cash flow