Republic of the Philippines

TARLAC AGRICULTURAL UNIVERSITY

College of Engineering and Technology
Malacampa, Camiling, Tarlac

GEOScales Trading
A Business Plan

In Partial Fulfillment of the Requirements for

Business Entrepreneurship

Presented by:

Wyndyll Kyth V. Boquiren

Carla C. Carmen
Nichol I. Cordero
Diesybel A. Nuguit
Ma. Elizabeth C. Quilates

Presented to:
Mrs. Erlie Totaan
Instructor
 INTRODUCTION

Surveying and land surveying is the measurement and mapping of our

surrounding environment using mathematics, specialized technology and

equipment. As defined by Breed et al., it is the science or art of making

measurements that are necessary to determine the relative position of

points above, on, or beneath the surface of the Earth, or to establish such

points. Surveying has been an essential element in the development of the

human environment for so many centuries. It is an imperative requirement

in the planning and execution of nearly every form of construction. The

person mainly concerned in conducting surveys are called surveyors or

geodetic engineers. They are the ones responsible for collection, analysis

and management of the data from the field. Generally, surveyors work in

the office and in the field. In the field, they use a range of equipment to

take measurements such as high order GPS, Robotic Total Stations, and

aerial and terrestrial scanners relevant in taking measurements.

Surveying relies for its accuracy and efficiency on having the right

instruments. As indicated by La Putt in his book entitled Elementary

Surveying, accuracy and precision are two terms which are constantly

used in surveying. Having the proper tools and equipment is essential for

the surveying process because without proper surveying equipment,

accurate data cannot be gathered and success cannot be achieved.

 While geodetic engineers aim to provide exact, efficient and reliable

survey services, GeoScales Trading is set to bring on the latest field and

processing technologies.

OBJECTIVES

1. To increase profit margin every year

2. To develop the business by capturing 20% increase of customer per

year

3. To be recognized as leading seller of engineering supplies in

Central Luzon

KEYS TO SUCCESS

1. Provide high quality equipment, sourcing that equipment as

inexpensively as possible through making good, relationships with

equipment manufacturers

2. Use signage to attract customers, highlighting our cost and service

advantage

3. Create additional customer convenience factors to overcome a

perceived lack of convenience for customers

4. Develop customer incentive and loyalty programs to leverage

customer relationships
COMPANY SUMMARY

GEOScales Trading is a venture that will be

engaged in selling state-of-the-art surveying

equipment. The site where it will be situated

will be in Tanedo, Tarlac City considering the place is populous that many

will recognize the said business. The target market place of the business

is not only focused in Tarlac but to the entire Central Luzon. In its initial

opening, GEOScales Trading will lease in a commercial building suitable

enough to display their products and hold its office.

Surveying make usage of highest-quality surveying equipment and

tools that is why we are bringing GEOScales Trading to accommodate

your needs with great satisfaction. We want to help by promoting our

products and to contribute to the development of any project by providing

the supplies you can be proud of.

MARKET ANALYSIS

Surveyors or Geodetic Engineers will be the target market of

GEOScales Trading. Central Luzon is third among the eleven (11) regions

with Geodetic Engineers having 510 active members as indicated in the

Geodetic Engineers of the Philippines (GEP) membership. The number of

geodetic engineers in Central Luzon will continue to become higher as

there are two existing state universities, the Tarlac Agricultural University

(TAU) and Pampanga State Agricultural University (PSAU) offering

Geodetic Engineering courses. However, GEOScales Trading will be the

first and only venture in Central Luzon that will offer surveying equipment,

meaning, it won’t be having competitors.

ORGANIZATIONAL STRUCTURE

Figure 1. Organizational Structure of GEOScales Trading

PRESIDENT

Vice President, Human Vice President, Vice President,

Resources Finance Marketing

Custo
mer
Staff Servic
Accounting es
Budget Officer
Officer Officer
Sales
Office
Figure 2. Monthly Salary of GEOScales’ Management
r
 Position Monthly Salary
President
Human Resources Vice 50,000
President
Finance Vice President 50,000
Marketing Vice President 50,000
Accounting Officer 30,000
Budget Officer 30,000
Customer Service Officer 25,000
Sales Officer 25,000
Staff 15,000
Total 275,000

PRODUCT LINE

Figure 3. Product Line of GEOScales Trading

Surveying Instruments Accessories Others

Theodolite Range Pole Field Notebook
Total Station Rod Surveyor’s Safety Vest
Levels Tripod Surveyor’s Umbrella
Real Time Kinematic Prism Two-way Radio0
(RTK)
Plumb bob Bags and Cases
Measuring Tape

FINANCIAL PLAN
Figure 4. Start-up Requirements of GEOScales Trading

Start-up Requirements
Equipment 3,000,000
Pre-operating Expenses 50,000
Office Equipment 100,000
Salaries 275,000
Rent 20,000
Utilities 5,000
Supplies 5,000
Miscellaneous 5,000
Capital Requirement 3,460,000

Figure 5. Statement of Operation of GEOScales Trading for Five Years

 STATEMENT OF OPERATION

PARTICULAR Year 1 Year 2 Year 3 Year 4 Year 5

Revenue

Service 5,000,000 5,250,000 5,197,50 5,405,400 5,513,508

Revenue 0

Operation
Expenses
Salaries 3,300,000 3,399,000 3,432,99 3,501,649.8 3,571,682.796

0
Rent 240,000 240,000 240,000 240,000 240,000

Utilities 60,000 60,000 60,000 60,000 63,000

Supplies 60,000 60,000 60,000 60,000 63,000

Miscellaneous 60,000 60,000 60,000 60,000 63,000

Total 3,720,000 3,819,000 3,762,99 3,921,649.8 4,000,682.796

Expenses 0
Net Income 1,280,000 1,431,000 1,434,51 1,483,750. 1,512,825.204

0 2

Note:
Service revenue increase by 5% in yr 2
Staff Salaries increase by 3% in yr 2

Service revenue decrease by 1% in yr 3

Staff Salaries increase by 1% in yr 3
Service revenue increase by 4% in yr 4
Staff Salaries increase by 2% in yr 4

Service revenue increase by 2% in yr 5

Staff salaries increase by 2% in yr 5
Supplies, utilities and miscellaneous increase by 5% in yr 5

Figure 6. Cash Flow Statement of GEOScales Trading for Five Years

 Cash Flow Statement
PARTICULAR Year 1 Year 2 Year 3 Year 4 Year 5

Cash In

Initial 3,460,000 1,640,000 3,071,000 4,505,510 5,989,260.2

Investment
Revenue 5,000,000 5,250,000 5,197,500 5,405,400 5,513,508

Total Cash-In 8,460,000 6,890,000 8,268,500 9,910,910 11,502,768.2

Cash-Out

Equipment 3,000,000

Office 100,000
Equipment
Salaries 3,300,000 3,399,000 3,432,990 3,501,649.8 3,571,682.796

Rent 240,000 240,000 240,000 240,000 240,000

Utilities 60,000 60,000 60,000 60,000 63,000

Supplies 60,000 60,000 60,000 60,000 63,000

Miscellaneous 60,000 60,000 60,000 60,000 63,000

Total Cash-Out 6,820,000 3,819,000 3,762,990 3,921,649.8 4,000,682.796

Cash Balance 1,640,000 3,071,000 4,505,510 5,989,260.2 7,502,085.404

Figure 7. Statement of Financial Position of GEOScales Trading for Five

Years
 Statement of Financial Position
PARTICULA Year 1 Year 2 Year 3 Year 4 Year 5
R
Assets
Current 1,640,00 3,071,000 4,505,510 5,989,260.2 7,502,085.404

Assets 0
Non-cash
Assets
Office 100,000
Equipment
Less: AD 33,333 33,333 33,333 33,333 33,333
Net Book 66,667
Value
Total 1,706,66 3,037,66 4,472,17 5955927.2 7,468,752.40
Assets 7 7 7 4

Owners
Equity
Capital 3,460,00 1,640,000 3,071,000 4,505,510 5,989,260.2

0
Add: Net 1,280,00 1,431,00 1,434,51 1,483,750.2 1,512,825.204

0
Income 0 0
Total 4,740,00 3,071,00 4,505,51 5,989,260. 7,502,085.40
Equity 0 0 0 2 4