MARKET DESCRIPTION / TARGET CUSTOMERS
The target customers are teenage girls and young women aged 15–25, mostly
students and social media users.
These customers prefer trendy, comfortable, and affordable clothing for school,
casual wear, and online content. They are influenced by fashion trends and are
interested in Instagram-worthy outfits.
The business will initially serve customers within school communities and nearby
areas but will also reach a wider audience through online selling platforms.
OPERATIONAL PLAN
Business Name: Clarenz Atelier
Location: Sapang Cauayan, Science City of Muñoz, Nueva Ecija
Type of Business: Online Fashion Retail – Clothing Production
1. Daily Operations
Operating Hours:
● Monday to Friday: 8:00 AM – 6:00 PM
● Saturday and Sunday: Closed (Production and inventory preparation)
Key Activities:
● 8:00 AM – Checking of messages and customer inquiries
● 9:00 AM – Order confirmation and processing
● 10:00 AM – Cutting and preparation of materials
● 11:00 PM – Sewing and production of bubble skirts
● 12:00 NN – 1:00 PM – Lunch Break
● 1:00 PM – 4:00 PM – Packaging of finished products
● 5:00 PM – Coordination with delivery services (J&T, Lalamove, etc.)
● 6:00 PM – Daily monitoring and record keeping
The daily operations are divided into pre-production (order management),
production (cutting and sewing), and post-production (packaging and delivery) to
ensure efficiency and smooth workflow.
2. Production Plan
Products Offered:
● Bubble skirts (various colors and sizes)
Production Schedule:
● Daily production depending on orders
● Small batch production (5–10 pieces per day)
● Estimated production time: 1–2 days per order
Equipment Needed:
● Sewing machine
● Cutting tools (scissors, measuring tape)
● Work table and storage
● Iron and basic sewing tools
The business prioritizes quality over quantity by ensuring that each product is
carefully crafted and inspected before release.
3. Manpower Requirement
The business will initially be managed and operated solely by the owner, who will
handle production, marketing, customer service, and order fulfillment. As demand
increases, the business plans to hire part-time assistants to support production and
improve efficiency.
4. Inventory and Supply Management
● Raw Materials: Fabric, thread, zipper and accessories
● Suppliers: Local fabric stores and online suppliers
● Inventory Check: Weekly monitoring of materials
● Storage: Materials are stored properly in clean and organized containers
A reorder point system will be implemented to ensure that materials are
replenished on time and to prevent production delays.
5. Quality Control
● Each product is inspected before packaging
● Checking of stitching, size accuracy, and overall appearance
● Ensuring products meet quality standards before delivery
This ensures customer satisfaction and minimizes product returns.
6. Safety and Work Practices
● Proper handling of sewing tools and equipment
● Clean and organized workspace
● Regular maintenance of sewing machine
● Safe storage of materials and tool
FINANCIAL PLAN
Start-Up Capital
Item Estimated Cost (PHP)
Sewing Machine 9,500
Tools 1,500
Fabric & Materials 10,000
Threads & Accessories 3,000
Printer & Ink 5,000
Table & Storage 5,000
Utilities 2,500
Permits & Licenses 2,000
Packaging Materials 2,000
Marketing 2,500
Miscellaneous 2,000
Total Start-Up Cost ₱ 45,000
Monthly Sales Projection
Description Amount
Price per piece ₱299
Estimated sales per day 10 pieces
Daily Sales ₱2,990
Monthly Sales (30 days) ₱89,700
The estimated sales are based on projected demand through social media
marketing and local target customers. Actual sales may vary depending on
seasonality and customer demand.
Monthly Operating Expenses
Expense Item Amount (PHP)
Materials 25,000
Packaging 3,000
Utilities 2,500
Delivery 2,000
Marketing 2,000
Miscellaneous 2,500
Total Monthly Expenses ₱37,000
Monthly Profit Projection
Description Amount
Total Monthly Sales ₱89,700
Total Monthly Expenses ₱37,000
Net Profit (before tax) ₱52,700
Break-Even Analysis
Description Amount
Total Start-Up Cost ₱45,000
Monthly Profit ₱52,700
Break-Even Period ≈ 1 month
Financial Assumptions
● Sales volume may increase during peak seasons such as school events and
holidays.
● The cost of raw materials may fluctuate depending on supplier pricing.
● Online marketing strategies are expected to improve sales performance.
● Production will remain limited to avoid excess inventory and minimize waste.
TAX COMPLIANCE PLAN
To ensure legal operation, the business will comply with all necessary
government regulations and requirements.
1. Business Registration
The business will be registered with the appropriate agencies, including:
● Department of Trade and Industry (DTI) for business name registration
● Barangay Clearance
● Mayor’s Permit from the local government unit
2. BIR Registration
The business will register with the Bureau of Internal Revenue (BIR) to obtain a
Tax Identification Number (TIN), authority to print official receipts, and registration of
books of accounts.
3. Tax Responsibilities
The business will comply with tax obligations, including the payment of
percentage tax or income tax, depending on the applicable classification. Regular tax
filing and payment will be observed in accordance with BIR regulations.
4. Record Keeping
Accurate records of all financial transactions will be maintained. This includes
sales records, expense tracking, and proper documentation of receipts and invoices
to ensure transparency and accountability.