Technical Aspect

In the technical aspect it identifies whether the services rendered could be the highest possible quality level with minimum cost. In this aspect we will discuss the equipment and other computer application we use in the business. We purchase the equipment as packages in order to lessen our expenses.

Hardware and Software is our much focus aspects. We did researching on how much the Hardware and Software will cost us, through net surfing. The internet connection we used is a package plan PLDT DSL with telefax phone amounting to P2,799. 0 with the capacity of 10 computers and have a speed of 2 Mbps (megabytes per second). In hardware aspect, our target number of PC is 10 (monitor-flat screen, keyboard, mouse, webcam), 3 in 1Printer, Scanner & Photocopier. 

In Software, we will be installing original Operating System of Windows 7 as the latest operating system and MS Office Professional 2007 likes MS Word, Excel, Power point, Access, Desktop Publishing and installing the popular on line games such World of warcraft , CounterStrike, Battle Realms, Dance Audition, Auto Jam, and we will be installing Norton 360 version 3.

premium for our anti-virus and anti-spyware. We offer other service to customers likes printing in black and white and colored prints, DVD/CD burning, photocopying.

telefax, scanning and payphone.

List of Hardware

• PC’s intel athlon Php. 17,500. 00 3 in 1
• PSC HP Officejet 2610
• Print/Scan/Copy Php. 14,500.

  00

• Amount OS MS Office 2007 Php. 19,200. 00

Game Software

• Warcraft (dota) Php. 1,450. 00
• Counterstrikes Php.

  350. 00

• Battle Realms Php. 720. 00
• Dance Audition Php.

  1,968. 00

• Autojam Php. 1,968. 00
• Anti-virus and anti spy ware Php. 10,800.

  00

Manpower

Manpower requirements are very important to any business in order for them to have an intelligent and accurate people who will manipulate inside the firm. Requirements will serve as basis on personal and general background of an employee enable for the company to know the capacity of their skills and ability to do the work that is assign to them.

Business owner will be in charge in human resource. The personnel of the Internet cafe will be the industrial partner who works by shift, 8 hours a day, the first shift is from 7:00 am to 3:00 pm while the second shift is from 2:00 pm to 10:00 pm and the 3rd shift will be 10:00 pm to 7:00 am. A walk in technician will be called in case if computer malfunctions and he will visit then the shop/cafe twice a month. Walking Technician P 1,000.

00/visit twice a month

Estimated Annual Cost For Manpower

For Walking Technician. 000. 00/year (2000*12) Additional budget allocation for computer troubleshooting Php. 500 (500*12) (Just incase our technician is not available. )

Operation Of A Business

Factors that we consider while putting up our own Internet cafe o Location- Picking a good spot and we’ll hit us a gold mine.

o Competition- Most business-minded people think of competition as a race to charge the lowest prices in order to win customers. While it’s good for the customers, exceeding the lower boundaries can drive you and your competitors to bankruptcy. One cannot expect to recover a Php500, 000 investments if hourly rentals go down to as low as Php10. It goes without saying that in this industry, there are no customer loyalty; just cheaper rentals.

Software Licensing-it’s really important to have an original operating system, because pirated OS can eventually damage the system. Expected ROI- investing money in a business is a risk in our case the well tabulated if financial statement is our major concern. Cafe opens at 7:00 am until 10:00 pm. Ahead of other competitors, this will lead us of being known. Our goal is to give the needs of the students and others in an early manner of time.

It will also include the completion all legal requirements before the operation of business. In operational procedure we keep in minds all the legal aspects of establishing a business such as Business permit & the following requirements are:

Legal Requirements

Registration with BIR (Bureau of Internal Revenue) Registration of business name with DTI ( Department of Trade and Industry) Barangay Clearance and Business Permit Mayors Permit

Barangay Clearance

The proposal business will secure Barangay permit that is our responsibilities.

It would make the immediate community to be aware of the business that would give satisfaction and promote community involvement.

Registration Of Name With Dti Job Functions Position Function Manager

• Establishes store policies and procedure for strict implementation
• Execute final decisions on all matters pertaining to the operation and the management functions of the business
• Audit individual computers to check for proper system
• Visit the shop alternate everyday

Accountant

• Check the book of accounts and financial statement in daily basis
• Handles license renewals,facilities preparation and payment of annual tax generated by the business.
• Visit the shop every other day.

Computer Assistant / Cashier

• Accept payment
• Maintains inventory of supplies in the shop
• To assist customers in their needs Maintain cleanliness and orderliness.
• Help conserve Utilities consumption
• Logging the customers hours consumed I. T.
• Incharge in computer maintenance 

Operation Of A Business

• Factors that we consider while putting up our own Internet cafe
• Location- Picking a good spot and we’ll hit us a gold mine.
• Competition- Most business-minded people think of competition as a race to charge the lowest prices in order to win customers. While it’s good for the customers, exceeding the lower boundaries can drive you and your competitors to bankruptcy. One cannot expect to recover a Php500, 000 investments if hourly rentals go down to as low as Php10.

  It goes without saying that in this industry, there are no customer loyalty; just cheaper rentals.

• Software Licensing-it’s really important to have an original operating system, because pirated OS can eventually damage the system.
• Expected ROI- investing money in a business is a risk in our case the well tabulated if financial statement is our major concern. Cafe opens at 7:00 am until 10:00 pm. Ahead of other competitors, this will lead us of being known. Our goal is to give the needs of the students and others in an early manner of time. It will also include the completion all legal requirements before the operation of business.

  In operational procedure we keep in minds all the legal aspects of establishing a business such as Business permit & the following requirements are:

Legal Requirements

• Registration with BIR (Bureau of Internal Revenue)
• Registration of business name with DTI ( Department of Trade and Industry)
• Barangay Clearance and Business Permit
• Mayors Permit

Barangay Clearance

The proposal business will secure Barangay permit that is our responsibilities. It would make the immediate community to be aware of the business that would give satisfaction and promote community involvement.

Registration Of Name With Dti

The proposed business should be registered with DTI to assure that any organization of individual for their business proposal for future use would not copy the name of our business. It acquires 15 days period of processing before the name of the business registered certificate can be issued by the said government agency.

Business/mayor’s Permit

Business Permit must be applied with the licensing office at the Municipal Hall of the said locality. It would be based on the reported business entity to be put up; we secured barangay clearance as a requirement for an application.

Bureau of Internal Revenue The proposed business should register with BIR and secured TIN (Tax Identification Number) which will be used as simplifying the record control producers relating to taxation and securing VAT (Value Added Tax)

Mayor’s Permit

Mayor’s permit must acquired before the operation of the business

Steps in processing permits

Step 1 

Business Name Registration Certificate Validity:

• 5 years Requirements:
• Accomplished Business Name Registration Form [Single Proprietorship/Partnership]
• Tax Identification Number (TIN) o Registration fee of P 300. 00

Step 2 

Mayor’s / Business Permit Local Municipality where the business is located
Validity:

1 year Requirements:

• Accomplished Business Permit Application Form
• DTI-Business Name Certificate
• Sketch of he business location
• Barangay Clearance
• Lease Contract

Step 3 

Bureau of Internal Revenue (BIR) National Office

Step 4 

Securities and Exchange Commission (SEC) Certificate Requirements:

• Verification Slip Form (re: proposed name)
• Accomplished Registration Data Sheet

Legal Requirements Cost

• Barangay Clearance ——150. 00
• Mayor’s Permit —–9,514. 00
• Business Tax 1,400. 00
• Mayor’s Permit 2,096.

  00

• Business Plate 350. 00
• Refuse Fee 2,384.

  00

• Sanitary Permit 2,064. 00
• Health Certificate 200. 00
• Occupational Tax 200. 00
• Inspection Fee 200.

  00

• Filing 100. 00
• Processing 120. 00
• Zoning 400. 00
• BIR – 300. 00
• DTI – 500.

  00

• Total – P 10,464. 00 15 [pic]* The mayor’s permit computation was computed by Ms. Lorna Torres at Business Permits and Licensing Office, City of Caloocan Signage Permit 5ft Length 2ft Width * According to Mr. Bong Reyes of Engineer’s Office of Caloocan City Hall signage permit is 35.

  00 per square ft.

• Computation: 10sq. ft. x 35. 00 = 350. 00
• Additional Inspection fee 150.

  00

• Filing fee 50. 00
• Total Cost Php550.

  00

• The amount of signage is Php. 4,000. 00

The store will be open Monday through Sunday. Ahead from other Internet shop along the area, the mall opens at 8:30 am; we always believe that the early bird catches the worm.

The place is good for group, good for kids, attire- casual.

Assumptions:

• Business Year will start at June 2009
• Prepaid Rent is Php. 10,000. 00 monthly, Payment will first month of the business year.
• Payable must paid before the division of income
• Division of income will be at the end of business year Salaries for Other technician will be Php. 500. 00 per visit, estimated once a month 
• Air condition maintenance will for Php.

  450. 00 every year

• Water expense is Php. 117. 50 minimum bill every month.
• Bill of telephone was included in DSL
• Cleaning Expense is Php.

  1,735. 00 for the whole year

• Anti virus is package purchase that good for 5 computers amounting Php. 3,600. 00 each
• 2010 purchase another Norton Anti virus for the additional computer 16 [pic]
• Padlock and other cleaning materials considered as expense at the end of the year ? Membership card is good for 1 year
• All lightings materials are included in lease of contract
• Membership card, small tarpaulins & fliers will purchased twice a year

List Of Supplies

The materials needed for the operation of the business:

• Bond Paper 150. 00 (500pcs.

  /rim) CD w/ Case 13. 00/set

• Ballpen – 48.

  00/box of 12pcs.

• Stapler – 100. 00
• Stapler Wire – 30. 00 HP 96 Black Ink – 800. 00
• HP 97 Tri-Color – 850.

  00

• Record Book – 25. 00
• Fire Extinguisher 10lbs. (Danwell)- 3,950. 00
• Other Equipment Air-condition (Condura) 14,500. 00
• Furniture & Fixture Quantity Unit Price Total Price Computer
• Table 14 1,300.

  00 18,200. 00

• Table for Server 1 1,500. 00 1,500. 00
• Monoblock Chair 15 249.

  75 4,995. 00

• Tool Chair 5 89. 00 445. 00 Cabinet 1 ,000. 00 1,000.

  00

• Total 26,140. 00

Additional Expense 17 

The proposed business should be registered with DTI to assure that any organization of individual for their business proposal for future use would not copy the name of our business.

It acquires 15 days period of processing before the name of the business registered certificate can be issued by the said government agency.

Business/mayor’s Permit

Business Permit must be applied with the licensing office at the Municipal Hall of the said locality. It would be based on the reported business entity to be put up; we secured barangay clearance as a requirement for an application. Bureau of Internal Revenue The proposed business should register with BIR and secured TIN (Tax Identification Number) which will be used as simplifying the record control producers relating to taxation and securing VAT (Value Added Tax)

Mayor’s Permit

Mayor’s permit must acquired before the operation of the business

Steps in Processing Permits

• STEP 1 1. Business Name Registration Certificate Validity: 5 years Requirements: Accomplished Business Name Registration Form[SingleProprietorship/Partnership] Tax Identification Number (TIN) Registration fee of P 300.

  00

• STEP 2 Mayor’s / Business Permit Local Municipality where the business is located Validity: 1 year Requirements Accomplished Business Permit Application Form DTI-Business Name Certificate Sketch of he business location Barangay Clearance Lease Contract
• STEP 3 Bureau of Internal Revenue (BIR) National Office
• STEP 4 Securities and Exchange Commission (SEC) Certificate Requirements: Verification Slip Form (re: proposed name) Accomplished Registration Data Sheet

Legal Requirements Cost

• Barangay Clearance ——150. 00
• Mayor’s Permit ——9,514. 00
• Business Tax 1,400. 00
• Mayor’s Permit 2,096. 00
• Business Plate 350.

  00

• Refuse Fee 2,384. 00
• Sanitary Permit 2,064. 00
• Health Certificate 200. 00
• Occupational Tax 200.

  00

• Inspection Fee 200. 00
• Filing 100. 00
• Processing 120. 00
• Zoning 400. 00
• BIR – 300.

  00

• DTI – 500. 00
• Total – P 10,464.

  00 * The mayor’s permit computation was computed by Ms. __________ at Business Permits and Licensing Office, City of Digos Signage Permit 5ft Length 2ft Width * According to Mr. _________ of Engineer’s Office of Digos City Hall signage permit is 35. 00 per square ft.Computation:10sq.

  ft. x 35. 00 = 350. 00

• Additional Inspection fee 150. 00
• Filing fee50.

  00

• Total Cost Php550. 00

 The store will be open Monday through Sunday. Ahead from other Internet shop along the area, the shop opens at 7:00 am; we always believe that the early bird catches the worm. The place is good for group, good for kids, attire- casual.

Assumptions

• Business Year will start at January 2010
• Prepaid Rent is Php.

  10,000. 00 monthly

• Payment will first month of the business year.
• Payable must paid before the division of income
• Division of income will be at the end of business year
• Salaries for Other technician will be Php. 1,000. 00 per visit (twice a month)
• Air condition maintenance will for Php. 50.

  00 every year

• Water expense is Php. 117.

  50 minimum bill every month.

• Bill of telephone was included in DSL
• Cleaning Expense is Php. 1,735. 00 for the whole year
• Anti virus is package purchase that good for 5 computers amounting
• Php. 3,600.

  00 each 2010 purchase another Norton Anti virus for the additional computer

• Padlock and other cleaning materials considered as expense at the end of the year
• Membership card is good for 1 year
• All lightings materials are included in lease of contract
• Membership card, small tarpaulins & fliers will purchased twice a year

List Of Supplies

The materials needed for the operation of the business:

• Bond Paper 150. 00 (500pcs. /rim) CD w/ Case 13. 00/set
• Ballpen – 48. 00/box of 12pcs.
• Stapler – 100.

  00

• Stapler Wire – 30. 00 HP 96
• Black Ink – 800. 00 HP 97 Tri-Color – 850. 00
• Record Book – 25.

  00

• Fire Extinguisher 10lbs. (Danwell)- 3,950. 00
• Other Equipment Air-condition (Condura) 14,500. 00

Guidelines Of Business

1. All Malicious site are blocked
2.

Were not allowing inserting flash drive or any storage device without the consent of the shop manager
3. Eating and drinking inside the premises is not allowed
4.

Students whose wearing school uniform especially from 8am to 12pm are not allowed to play games
5. One person for one pc to maintain orderliness

Ambiance

1. Not too dark not too bright because we want the shop more conducive to work and play
2. Our computer table have a board between user for privacy purposes * All furniture are fully furnished and labor included. 

Project Cost

As a part of the business, it’s more concerned is in financing and financial feasibility that perform activities. The total project cost we will able to determine how much money consumed from the start. The cash flow it indicates the total cost before the operation.

For the prepaid supplies and prepaid rent it will covered for one year. The improvement is composed of paint and labor, which is the cost for labor is 800. 0(400. 00 each person). It also include the payment of purchases such as Equipment, software, furniture and fixture and signage.

Payment for legal requirements, marketing and other expenses which other expense composed of padlock and cleaning materials.

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