Splash Career FINAL PDF

In Partial Fulfillment of the Requirements in Feasibility Studies
Submitted to:
Benedict Jan T. Baloncio, MBA
Submitted by:
Bonglay, Mary Chon
Bustamante, Michael Angelo
Dosdos, Nina Grace T.
Pascua, Christian Bien
Sabanal, Seska Vic
Salas, Krissa
Tagupa, Evan Grace
Date Submitted
February 12, 2016
MISSION
To consistently deliver an outstanding carwash experience to every customer by
providing them with fast, clean, and friendly service at reasonable prices.
VISION
Splash career’s vision is to be a prominent car wash in Cagayan de Oro. To
provide quality service, use quality equipment, and earn customer loyalty.
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I. Executive Summary
Splash Career is a car wash venture soon to be situated at Nazareth 18th 1st street
Cagayan de Oro City, Misamis Oriental; it will offer high quality hand car wash
service, serving the customers with utmost respect and immediate response, while
providing a service that fills every customers need.
Splash Career is planning to establish its operations primarily at Nazareth,

CDOC. Nazareth is a suitable market for a car wash business since this area brings
a number of benefits in terms of the market it will provide for the business.
Splash Career has based its demand projections on the acquired market
observation. The total monthly demand for each vehicle includes the entire
services that are offered which consist of the wash only, wash and wax, and the
wash, wax, and interior. Moreover, the price per variant varies per vehicle and
the particular favored service the customers select.
Wash Wash and Wash, Wax, Interior

Vehicle
Only Wax Cleaning
Car P100 P140 P180
Motorcycle 40 60 -
Van 120 160 180
SUV/ Pick up 130 150 190
The potential market consists of a wide variety of vehicle owners, as well as

residents and people employed from within or close the Nazareth area,
particularly targeting middle to upper middle classmen.
Splash career involves the use of various marketing strategies to entice possible
customers; some of the most prominent strategies include offering loyalty cards,
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and the use of Festival and Christmas specials which consists of special rewards
and discounts.
The amount of Php 52,500.00 is required to finance the general setup of the
business which takes into account the purchasing of the needed equipment and
machinery, and the necessary expenses of the business which includes the day to
day expenses, salaries expense, promotional expense, and utilities expense.
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A. Service Description
Splash Career is a service that includes cleaning of the exterior and interior of
the vehicle. The worker mainly uses a high pressure hose to extinguish water to
the car’s surface and uses wash mitt to wipe the surface with foam. The service
is performed by hand.
CAR, VAN, PICK-UP:  EXTERIOR

WASH ONLY  Glass cleaning
 INTERIOR  Foam Wash
 Vacuum cleaning  Buffing polishing
 EXTERIOR  Car wax
 Foam Wash  Tire shiner
WASH AND WAX  Tire black
 INTERIOR
 Vacuum cleaning MOTORCYCLE:
 EXTERIOR WASH ONLY
 Foam wash  EXTERIOR
 Buffing polisher  Foam Wash
 Car wax WASH AND WAX
 Tire shinier  EXTERIOR
 Tire black  Foam Wash
WAX, WASH, INTERIOR  Wax
 INTERIOR  Tire Black
 Vacuum cleaning  Tire shinier
 Glass cleaning
 Interior detailing
 Carpet cleaning
 Seat cleaning
 Siding cleaning
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B. Target Market
1. Area Coverage
The Splash Career Company will be serving the area in Cagayan de Oro City
especially in Nazareth and Divisoria. The company’s target market will be the
students, self-employed and employees that own a car from within and near the
said area.
2. Demographic Profile
The car wash services are made available to all ages and because the team
emphasizes on reasonable service fees, the expenses that vehicle owners pay are
valued at a price that is appropriate to the service that the team is giving. The
students have their allowance as a source of income. The employed and self-
employed have their wage/ salary as their source of income. Thus, they can make
their car wash in response to how they allocate their income in a month.
The traffic count at Nazareth 18th-1ststreet is currently measured at more or less

820 vehicles per hour. With regards to the residents in Nazareth, the occupation
in that particular population ranges from student, self-employed and employee.
The service is available and accessible at a scheduled time. The service will be
practicing the first come, first serve basis to build fairness to customers. The
service is aspiring to capture the attention of the households and workers situated
in Cagayan de Oro City especially in Nazareth St. because they are the ones who
can use the service conveniently.
Moreover, the decision behavior of the users depends on the service that the
businesses are giving. In addition, they also chose the car wash services that can
satisfy their needs and can maximize their utility, where the payment is
reasonable in response to the service of the employees, the quality of the finished
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product, the speed of service, the additional services given, and the convenience
to use the wash is highly achieved and realized.
Hence, the company identifies its ideal customers as those who are at an
appropriate age to have a driver’s license, owns a vehicle, and resides or works
within or near the Nazareth area.
3. Psychographic and Behavioral Profile

Based on market observation, nearly all the customers tend to have affluent
lifestyles. In examining the profiles of the potential buyers of competitors, the
team discovered that the customers are mostly engaged in white-collared jobs
who are preoccupied and don’t have time to wash their own vehicles. The
company’s competitors target market is precisely aligned with the group of
customers they serve. To boost their number of customers within this group, the
competitors make use of various methods to attract them such as offering
numerous unique snack bars; one of the company’s competitors even provided a
live band as a way of drawing in more customers from within and outside this
group of customers.
C. Demand and Supply Analysis

1) Survey Results
The team conducted the survey for 5 days in Divisoria, Nazareth, and parking lots
in Gaisano and Centrio Ayala Mall between 10 am to 5 pm in the afternoon. There
are 180 respondents in total.
i. Respondents Profile
Based on part I of the questionnaire, the personal information generated in the
survey is part of the demographic characteristics: age, occupation, address.
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Table 1.1 Respondents Classified by Age
Age
22, 12.22%
<25 years old
6, 3.33% 26-30 years old
31-35 years old
23, 12.78% 81, 45.00%
36-40 years old
11, 6.11% 41-45 years old
46-50 years old
20, 11.11% >50 years old
17, 9.44%
The results from Table1.1 illustrated that majority of the respondents are less than
25 years old while the group 41-45 years old and more than 45 years old are
nearly equal and can be viewed as the second largest group of respondents.
Table 1.2 Respondents classified by occupation
Occupation
Student
51, 28.33%
58, 32.22%
Employed
Self
Employed
71, 39.44%
The results from Table 1.2 illustrated that 39.44% of the respondents are
employed, followed by the students and the self-employed.
Based on the survey, the respondents are situated in Cagayan de Oro City. Most
of the respondents came from Nazareth.
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ii. Respondents Behavioral Pattern
Based on part II of the questionnaire, the respondents’ behavioral pattern is based
on what type of vehicle they have, where they usually clean it, car wash
frequencies, car wash expense, additional services wanted, and car wash services
where they usually wash their car.
Table 2.1 Respondents Behavioral Pattern Classified by Type of Vehicle
Type of Vehicle
43, 23.89% car
73, 40.56% van
motorcycle
45, 25.00%
SUV/ pick-up
19, 10.56%
The results from Table 2.1 show that 40.56% of respondents are car users,
followed by the motorcycle and SUV/pick-up users that are nearly equal.
Table 2.2 Respondents Behavioral Pattern Classified by Where They

Usually Wash/ Clean their Vehicle
Where they usually wash
39,
21.67% home
141, carwash
78.33%
The results from Table 2.2 showed that 78.33% of the respondents usually wash/
clean their vehicle in carwash services.
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Table 2.3 Respondents Behavioral Pattern Classified by How Often They
Wash/ Clean Their Car in a Carwash in a Month
How Often
16, 11.35% 18, 12.77% Once
2 or 3 times
34, 24.11%
4 or 5 times
73, 51.77% more than 5

times
The results from Table 2.3 showed that most of the respondents who usually use
carwash service regularly use the service 2 or 3 times with a percentage of
51.77%.
Table 2.4 Respondents Behavioral Pattern Classified by How Much They

Usually Spend for a Carwash Service
a) For car, van, SUV/ Pick-up users
Usually spend
15, 13.39%
Php 50 - Php 70
13, 11.61% Php 71 - Php 90

46, 41.07%
Php 91 - Php 110
More than Php

38, 33.93% 110
The results from Table 2.4.a reveal that 41.07% of car, van, and SUV/ pick-up
users usually spend more than Php 110.
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b) For motorcycle users
Usually Spend
1, 3.45%
1, 3.45%
Php 40 - Php 60
Php 61 - Php 80
11, 37.93% 16, 55.17%
Php 81 - Php 100
More than Php 100
The results from Table 2.4.b show that 55.17% of motorcycle users usually spend
Php 40-Php 60.
Table 2.5 Respondents Behavioral Pattern Classified by When They

Usually Have Their Vehicle Be Cleaned
When they prefer to use carwash
Morning
44, 31.21%
50, 35.46%
Noon
Afternoon
Night
30, 21.28% 17, 12.06%
The results from Table 2.5 show that 35.46% of the respondents preferred their
vehicles to be cleaned in the morning.
Table 2.6 Respondents Behavioral Pattern Classified by Their Expectations

in a Carwash Service
Factors are rank from 1-4 (1 being the highest, 4 being the lowest) according to
the respondent’s preferences
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a. Good and Friendly Service from Washers
Good and Friendly from Washers

20, 14.18%
24, 17.02% 65, 46.10%

1 2 3 4
32, 22.70%
The results from Table 2.6.a shows that 46.10% of the respondents would like to
receive a carwash service with a high quality of good and friendly service from
washer’s while 14.18% of the respondents said that this factor could be not taken
into consideration.
b. Proper Opening-Closing Time Range
Proper Opening- Closing Time

Range
34, 24.11%
41, 29.08%
1 2 3 4
37, 26.24%
29, 20.57%
The results from Table 2.6.b shows that 29.08% of the respondents regarded the
factor, proper opening-closing time range, as could not be taken into
consideration seriously.
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c. Good Atmosphere
Good Atmosphere
32, 22.70% 37, 26.24%
1 2 3 4
34, 24.11%
38, 26.95%
The results from Table 2.6.c shows that 26.95% of the respondents want to
experience a good atmosphere while waiting in a carwash service because they
think that this will encourage them to come back.
d. Additional Services
Additional Services
25, 17.73%
40, 28.37% 1 2
32, 22.70%
3 4
44, 31.21%
The results from Table 2.6.d show that 31.21% of the respondents reveals that
they are not expecting too much if additional services are made available.
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Table 2.7 Respondents Behavioral Pattern Classified by the Additional
Services They Look for in a Carwash Service
Additional Services
7, 1.82%
Internet/ WIFI
44, 11.46% Waiting room
109,
28, 7.29% 28.39% Luggage room
Fast food
62, 16.15%
Gas station
Drink Station
88, 22.92%
46, 11.98% Other
The results from Table 2.7 shows that if additional services are realized, 28.39%
of the respondents highly need to have an access to internet/WIFI.
Table 2.8 Respondents Behavioral Pattern Classified by Where They

Usually has their Vehicle Be Washed
Carwash Locations
23, 16.31%
Caltex NHA
50, 35.46% Group Prix

14, 9.93%
Stay Cool
Top Garage
31, 21.99% Others
23, 16.31%
The graph includes the location where the respondents usually have their vehicle
be cleaned. The choices given are based on the team’s observation that they are
the carwash services that captures a large amount of customers, thus making them
one of the team’s leading competitors. The results from Table 2.8 shows that
35.46% of the respondents usually prefer to clean/wash their vehicle at Caltex
NHA because the carwash already has the services that highly benefits the
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customers when it comes to fast food, drink station, and gas station, and the
carwash is situated along the highway.
iii. Respondents Decision Making on Car Wash Services

Based on part III of the questionnaire, the respondent’s decision making on car
wash services are revealed through the factors: Reasonable service fees, speed of
service, cleanliness, service of employees, location, convenience to use the
service, additional services, quality of the wash, and satisfaction with the wash.
This is to show what factors influence the respondent’s decision in choosing
carwash services.
a) Reasonable Service Fees

5, 3.55% 2, 1.42%
15, 10.64%
76, 53.90%
43, 30.50%
5 4 3 2 1
The results from table 3.1.a shows that 53.90% of the respondents reveals that
service fees highly influence their decision in which car wash service to choose,
revealing that most of them are price sensitive.
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b) Speed of Service
5, 4.39% 1, 0.88%
26, 22.81%
5 4 3 2 1
3, 2.63%
79, 69.30%
The results from Table 3.1.b shows that 69.30% of the respondents sees speed of
service as a very important factor that highly influence their decision in which car
wash service to choose, revealing that most of them are time conscious.
c) Cleanliness
1, 0.71%
5, 3.55%
21, 14.89%
5 4 3 2 1
19, 13.48%
95, 67.38%
The results from Table 3.1.c reveals that 67.38% of the respondents wants
carwash services to be clean as it highly influences their decision in which car
wash service to choose, revealing that most of the respondents are very sensitive
to where they are staying.
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d) Service of Employees
23, 14.02%
7, 4.27%
18, 10.98% 87, 53.05% 5 4 3 2 1
29, 17.68%
The results from table 3.1.d reveal that 53.05% of the respondents have spoken
that carwash business should consider service of employees as a very important
factor because these influences their drive whether come back or invite others to
come, revealing that most of the respondents are very observant to the worker’s
behaviors and traits expressed in the workplace.
e) Location
1, 0.71%
4, 2.84%
16, 11.35%
5 4 3 2 1
69, 48.94%
51, 36.17%
The results from Table 3.1.e shows that 48.94% of the respondents wants location
to be a very important factor to consider since this mainly affects their decision
in which car wash service to choose, revealing that most of the respondents wants
the car wash location to be accessible – can be found easily.
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f) Convenience to Use the Service
4, 2.84%
4, 2.84%
21, 14.89%
54, 38.30%
5 4 3 2 1
58, 41.13%
The results from Table 3.1.f show that 41.13% of the respondents want the place
to be convenient as much as possible as this highly influences their decision on
which car wash services to choose, revealing that most of the respondents regard
the availability of the service as important that can also satisfy their needs.
g) Additional Services
7, 4.96%
13, 9.22% 37, 26.24%
5 4 3 2 1
37, 26.24% 47, 33.33%
The results from Table 3.1.g shows that 33.33% of the respondents wants carwash
businesses to make additional services as an important factor to consider as it
affects their decision on which car services to choose, revealing that most of the
respondents wants additional service like the WIFI to satisfy and maximize their
time while waiting.
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h) Quality of the Wash
0, 0.00%
11, 7.80% 4, 2.84%
25, 17.73%
5 4 3 2 1
101, 71.63%
The results from table 3.1.h shows that 71.63% of the respondents wants carwash
businesses to take quality of the wash as a very important factor since it highly
influences their decision in which car wash service to choose, revealing that most
of the respondents are very sensitive to the end result.
i) Satisfaction of the Wash

5, 3.55% 1, 0.71%
2, 1.42%
18, 12.77%
5 4 3 2 1
115, 81.56%
The results from Table 3.1.i shows that 81.56% of the respondents wants
satisfaction of the wash as a very important factor in a carwash service since it
highly influences their decision in which carwash service to choose, revealing
that most of the respondents want to be satisfied both from the work provided by
the employees and services provided by the car wash.
Correlation of Results:
The results from part I illustrated that 45% of respondents are less than 25 years
old, followed by ages between 45 to 45 years and more than 50 years which can
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be viewed as the second largest group of respondents. 39.44% of the respondents
are employed and the rest are classified as student or self-employed.
The results from part II illustrated that up to 78.33 percent of respondents are
usually wash/clean their vehicle in a carwash service because of their limited
time. The random respondents usually wash their cars two to three times in a
month. Their most convenient time for using the car wash service is in the
morning where they can use the service with regards to their available time. Most
of them will use the car wash service in which car, van, and pickup users usually
spend more than Php110 and motorcycle users from Php 40-60. Only 21.67
percent of respondents stated that they do not regularly use the car wash service
because they can wash their cars by themselves at home. They usually have their
vehicle be washed at Caltex NHA because they have the most convenient place
to stay. Furthermore, the respondents highly preferred a car wash service that has
a good and friendly service from the washers. Even though additional services
are moderately preferred, most of them wants car wash service operators to make
available internet/ WIFI.
The overall results from part III conclude that respondents think that all factors
are very important that influence their decision making in choosing a car wash
service. When considering by a factor, we could summarize that satisfaction of
the wash (81.56%) is very important for decision making on using car wash
service. Moreover, the quality of the wash (71.63%), cleanliness (67.38%),
service of employees (61.70%), speed of service (56.03%), reasonable service
fees (53.90%), and location (48.94%) are very important factor also. In the
meanwhile, convenience to use the service (41.13%) and additional services
(33.33%) are considered as an important factor for decision making on using car
wash service.
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2) Observation Results
i. Daily Demand and Market Share of Competitors
Competitors Mon Tues Wed Thurs Fri Total Market
demand Share
for week
Top Garage 12 15 14 14 33 88 31.09%
Caltex NHA 11 14 18 22 27 92 32.50%
Stay Cool 15 13 15 10 15 68 24.03%
Grand Prix 11 9 8 7 35 12.37%
Total 38 53 56 54 82 283 100%
ii. Demand per Month of Competitors

= (Total Demand/Operational Days per Week) x Operational Days per Month
= (283 units/6 days) x 26 days in a month
=1,226 units
iii. Demand per Month for Product

= Assumption of 10% of Market Share
= 1,226 units x 10%
= 123 units
iv. Price Per Capita Consumption
Daily Services
Provided Price per Total
Competitors Type (units) Unit Sales
Caltex NHA Motorcycle 7 40 280.00
Car 11 60 660.00
Van 2 100 200.00
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SUV 7 80 560.00
Grand Prix Motorcycle 0 0 0.00

Car 6 140 840.00
Van 2 200 400.00
SUV 3 250 750.00
Stay Cool Motorcycle 3 60 180.00

Car 6 100 600.00
Van 2 180 360.00
SUV 4 160 640.00
Top Garage Motorcycle 0 0 0.00

Car 16 80 1,280.00
Van 6 140 840.00
SUV 11 120 1,320.00
86 8,910.00
PER CAPITA CONSUMPTION= Total Sales

Total Purchases
PER CAPITA CONSUMPTION= 8,910.00
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PER CAPITA CONSUMPTION= Php 103.60
v. Competitor Placement and Offerings

The top four car wash competitors in Cagayan de Oro City, namely Caltex NHA,
Top Garage, Stay Cool and Grand Prix were being observed for one week for
three hours by each member of the group. In the week’s observation the results
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reveal that Caltex NHA consists of the highest number of customers with a market
share of 32.50%, followed by Top Garage with 31.09%, Stay Cool with 24.03%
and Grand Prix with 12.37%. Best practices of each competitor include the
following:
 CALTEX NHA (NHA Kauswagan Highway, Cagayan de Oro)

Caltex NHA has the highest number of customers in total during observation, it
has a great service, high convenience for the customers, they have affordable
price of food. The customers got their attention to low price and very affordable
‘lutong bahay’ food and has a mini bar to chill with, and gasoline station.
PRICES Specialty
Motorcycle P 40 Car Detailing
Multicab and Auto 60
SUV 80 Duty Hours
Van 100 24/7
L300 100
 TOP GARAGE(Kauswagan Hi-way, Cagayan De Oro)

Top Garage, which ranked to be the second, located at Kauswagan Highway, near
Caltex NHA, they have mini restaurants for their clients to visit while waiting for
their car to be washed, they have had their stickers printed to their loyal clients
for the others to be familiarized what Top Garage is.
PRICES Small Medium Large Extra Large

Ultimate Shine Wash P 80 P 100 P 120 P 140
Exterior Treatment
Asphalt Removal 80 115 135 155
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Regular Wax 350 395 495 595
TGR Signature Wax 650 750 850 995
Polish and Wax 800 1000 1200 1400
Rub down, Polish and Wax 1700 1950 2300 2600
Sunlight Protection 1000 1300 1600 1900
Glass Treatment 800 900 1000 1100
Engine Treatment
Engine Wash 50 50 50 50
Engine Detailing 1000 1000 1200 1200
Engine Dressing 50 50 80 80
Interior Treatment
Removal and Installation of 50/100 50/100 80/150 80/150
Seat covers
Headliner Color Restoration 700 750 800 850
Complete interior Detailing 2000 2300 2800 3000
SPECIALTY Duty Hours

Engine Treatment Weekdays: 9am- 10pm
Mini Restaurants Weekends: 9am- 1pm
 STAY COOL CAR WASH(18th-1st St., Nazareth, Cagayan de Oro)

Stay Cool, located at Nazareth, ranked to be the second to the last, they don’t
have the highest number visitors during observation, but their service are doing
good and great, especially their washers, very friendly and approachable.
PRICES Wash Under SPECIALTY

Auto P 100 P 150 Compressor
SUV 160 170 Massage
Pick- up 160 170
Small Van 150 150 DUTY HOURS
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Big Van 180 170 6:30am – 6:00pm
MultiCab and 100 150
Motorela
Jeep 100 150
Motorcycle 60 ---
Truck 400 ---
 GRAND PRIX AUTOCARE(JR. Borja Street, Cagayan de Oro City)

Grand Prix, placed at near the Cogon Market, as what the group observed it is a
crowded place where motorists can’t really have the convenience to be washed
because of heavy traffic going to the place and there are instances prone to danger
like snatching of things, yet they are good in handling service and building
relationship to customers because it is part of the top 4 among the others.
PRICES Small Medium Large Extra Large

Superwash P 140 P 160 P 200 P 250
Ultra Wash 260 280 320 390
Ultra Shine 350 400 450 500
*Superwash
Foam Wash, Vacuum, Clean windows, Towel Dry, Wipe Dash/ Console
*Ultrawash
Same services superwash + under chasis wash, Tire shine
*Ultrashine
Ultrawash + Air freshener spray, clear coat protectant, wheel brighter, glass
cleaner, 24hrs rain warranty
SPECIALTY DUTY HOURS
Underchasis Wash and Cafe 7am- 8pm
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D. Sales Projection
The table does not include major holidays such as New Year’s Day in the
operating days.
a) Cars
Month Operating Demand of Total Monthly
Days Cars per day Demand of
Service
June 26 8 208
July 26 7 182
Aug 26 10 260
Sept 26 9 234
Oct 26 8 208
Nov 26 9 234
Dec 26 10 260
Jan 26 10 260
Feb 26 9 234
b) Motorcycle
Days Motorcycle Demand of
per day Service
June 26 1 26
July 26 2 52
Aug 26 1 26
Sept 26 3 78
Oct 26 1 26
Nov 26 1 26
Dec 26 3 78
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Jan 26 2 52
Feb 26 1 26
c) SUV/Pick up
Days SUV/Pick up Demand of
per day Service
June 26 3 78
July 26 4 104
Aug 26 3 78
Sept 26 3 78
Oct 26 4 104
Nov 26 3 78
Dec 26 5 130
Jan 26 4 104
Feb 26 3 78
d) Van
Mont Operating Demand of Total Monthly
h Days Van per day Demand of
Service
June 26 3 78
July 26 4 104
Aug 26 3 78
Sept 26 3 104
Oct 26 3 78
Nov 26 3 78
Dec 26 4 104
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Jan 26 3 78
Feb 26 3 78
e) All Vehicles
Month Total Vehicle in a Month
June 390
July 442
Aug 442
Sept 468
Oct 416
Nov 416
Dec 572
Jan 494
Feb 416
E. Marketing Mix
a) Service
The customers want to receive a service that suits and appropriate for their needs.
If they want to ensure the outside maintenance and cleanliness of their vehicle at
a reasonable price with proper and immediate response from the workers, Splash
Career is all they need.
Features to meet these needs:
 The carwash service will be employing laborers that will ensure the
kind of service that customers deserve.
 The carwash service values customer’s time, by employing and
executing speed of service.
 The carwash service will be offering additional services like free WIFI
and baggage counter to its customers.
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 The carwash service can be accessed at a convenient place that can
make every customer relax and feel comfortable while waiting.
 The carwash service will be ensuring that the tools being used and
provided are safe and cannot do harm to the customer’s vehicle.
b) Price
Its price is based on the cost of the electricity, rent, water and labor. There will
also be discounts and free carwash.
Prices varies depending on what type of vehicle they have.
Vehicle Wash Only Wash and Wash, Wax,
Wax Interior
Cleaning
Car P100 P140 P180
Motorcycle 40 60 -
Van 120 160 180
SUV/ Pick up 130 150 190
c) Place
Splash Career Car Wash will be situated at Nazareth 18th - 1st street Cagayan de
Oro City, Misamis Oriental. This location is an ideal site to set-up a car wash
business for the following reasons:
 Conveniently located and easily accessible
 The Nazareth district is a densely populated residential area
 It is located near shopping areas as well as educational institutions such as
universities and colleges
 Good traffic conditions (traffic count being more or less 820 vehicles/hr)
 Visible
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 Competitive positioning or being situated near a competitor (Stay Cool Car
Wash)
 Landscaping
 Since the chosen location in Nazareth was formerly occupied by a previous
car wash business, the team managed to cut costs that could be used in
building/paving the site.
 There is ease of entry and exit in the car wash
 Space for volume production
 Effective drainage system
 Room for further expansion
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d) Promotions
Month Marketing Description Objectives Desired Results Budget
Strategies
May Pre-launching Training the laborers and To have 2 laborers P1,500
preparation of the opening of experienced and
the business dependable
laborers.
June Launching of Social Uploading and sharing photos Guarantees the By 5-15 car No budget
Media about the car wash over the customers and new owners in one 1
Web, displaying photos of the patrons that they week
services offered, the pricing, can “count on /
the materials used, the Rely upon” the car
process, the waiting area, and wash service.
even the picture of the
employee of the month.
Research This strategy will help the Introduce new Implemented No budget
Development company to make another service after 2 months
kind of service to offer.
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Tarpaulin For pricing and signage Generate Publicity Gain 10-20 new P1,260
customers
Wash now, get When the customer return Acquire new 10-20 customers P 1,300
discount on your they receive 5% off on cars, customers
next wash. SUV, Pick Up and 12.5% on
motorcycle. Which can only
be availed once and for this
month.
July Flyers Contains for the opening of Capture customers 10-15 new P30.40
new service. in FS Bazaar customers
Aug Festival Special Free car wash for first three Create Publicity Gain 10-20 new P360
car owners customers
Sept Frequency card When the customers returned Increase customer 10-20 New P250
5 times and got their card retention and customers in this
stamped, the 6th time would capture new month
be free. Applicable for this customers
month only.
32
Oct “Konduktor” Appoint “konduktors” of taxi Expanding the 5-15 taxi drivers P150
Affiliate Marketing cabs to persuade the drivers to market of our car in a day
make use of our car wash wash service by
service. “Konduktors” are making it
given a ₱10 incentive for accessible to a
every taxi driver they different market,
successfully persuade. The particularly the
“konduktors” are to jot down taxicab industry.
the plate numbers of the taxi
drivers cabs in order for us to
determine which cabs they
successfully convinced.
Nov Research This strategy will help the Introduce new 1 or 2 new No budget
Development company to make another service offering services to offer
kind of service to offer for the
next year.
33
Dec Christmas Special 1 day 5% off on cars, SUV, To gain sales 10-20 vehicles in P715
Pick Up and 12.5% on one day
motorcycle
Jan New Year’s Special First 10 customers will get Attract attention 10-20 car owners P150
Freebies freebies in this month
Total P5,915.40
34
F. Selling Expense
Month Marketing Materials/ Unit Quantity Cost Total Total Monthly
strategies Equipment/Labor Cost Expense
June Large Tarpaulin Printing Piece 2 480 960 1,260
Small Tarpaulin Printing Piece 30 10 300
July Flyers Printing Sheet 1 23 1 30.40
Photocopy Sheet 49 .60 29.40
Sept Frequency Card Printing Sheet 5 5 25 82
Stamp Piece 1 17 17
Ink pad Piece 1 40 40
Jan New Year’s Special Keychain Piece 10 15 150 150
Freebies
Total P 1,522.40
35
A. Operations Process
CAR, VAN, SUV/ PICK-UP OVERALL OPERATION PROCESS
EQUIPMENT/
PROCEDURE LABOR DURATION
TOOLS
Place the car on the
1 N/A N/A ------
washing area.
Let the owner check if
there are belongings
2 left inside the car. If N/A N/A ------
there is, let the owner
get it.
Vacuum
Clean the interior
3 cleaner, air Washer 3 minutes
first.
compressor
Vacuum
Get, clean, and dry cleaner, Power
4 Washer 10 minutes
the carpet. out carpet
cleaner
Interior
Clean the seats so as
Detailer, glass
the dashboards,
5 cleaner, suede Washer 10 minutes
ceilings, and sidings.
towel, towel,
Clean also the glass.
sponge
Power sprayer
Start cleaning the
6 with hose, Washer 10 minutes
exterior. Pre-rinse the
wheel brush
36
vehicle starting with
the tires first.
Splash foam in the
Wash foam,
vehicles surface.
foaming
After, start wiping
7 machine, air Washer 5 minutes
with the wash mitt to
compressor,
evenly spread the
wash mitt
foam.
Rinse the vehicle with
the use of power
8 Power sprayer Washer 1 minutes
sprayer from top to
bottom.
Dry the car’s surface Chamois towel,
and the wheels. Clean suede, vacuum
9 Washer 5 minutes
the glass and lens of cleaner, glass
the car. cleaner
Start applying the car
wax in a linear Car wax, suede
10 motion, spread it towel, buffing Washer 15 minutes
evenly using the towel
towel to shine.
Use the tire shinier to
11 Tire shinier Washer 4 minutes
shine the wheels.
Use the tire black to
12 Tire Black Washer 7 minutes
detail the tires.
37
Use the buffing Buffing
polisher in a linear polisher,
13 Washer 10 minutes
motion to shine the buffing
car’s surface. composition
TOTAL
80 minutes
DURATION
MOTORCYCLE OVERALL OPERATION PROCESS
PROCEDURE EQUIPMENT/TOOLS LABOR DURATION
Place the
1 motorcycle on the N/A N/A ------
washing area.
Pre-rinse the
2 Power sprayer with hose Washer 1 minute
motorcycle.
Spray the
motorcycle
surface with the
Wash foam, foaming
wash foam. After,
3 machine, air Washer 3 minutes
wipe it with the
compressor, wash mitt
wash mitt to
evenly spread the
foam.
Spray the wheels
Power sprayer, wheel
4 with pressured Washer 5 minutes
brush
water and use the
38
wheel brush to
remove stock dirt.
Rinse the vehicle
with the use of
5 power sprayer Power sprayer Washer 1 minutes
from top to
bottom.
6 Let it dry. Chamois towel Washer 5 minutes
Start applying the
car wax to the
Car wax, suede towel,
7 motorcycle’s Washer 3 minutes
buffing towel
body. Spread it
evenly to shine.
Use the tire black
8 Tire black Washer 5 minutes
to shine the tire.
Use tire shinier to
9 Tire shinier Washer 3 minutes
the wheels.
Use the buffing
polisher to shine
10 Buffing polisher Washer 5 minutes
the motorcycle’s
surface.
TOTAL
31 minutes
DURATION
39
B. Production Schedule
Total Monthly
Number of Units to be Units to be
Month selling days served per day served
June 26 15 390
July 26 17 442
August 26 17 442
September 26 18 468
October 26 16 416
November 26 16 416
December 26 22 572
January 26 19 494
February 26 16 416
Total Units to be Produced 4056
Production per day breakdown
40
June July Aug Sept Oct Nov Dec Jan Feb
Car
Wash Only 4 4 4 3 4 5 6 4 5
Wash and Wax 3 2 4 4 3 2 2 2 2
Wash, Wax, Interior 1 1 2 2 1 2 2 4 2
8 7 10 9 8 9 10 10 9
Motorcycle
Wash only 1 1 1 2 1 1 2 1 1
Wash and Wax 0 1 0 1 0 0 1 1 0
1 2 1 3 1 1 3 2 1
Van
Wash Only 1 2 1 1 1 1 1 1 1
Wash and Wax 1 1 1 1 1 1 2 1 1
3 4 3 3 3 3 4 3 3
SUV/ Pick up
Wash Only 1 2 1 1 2 1 2 2 1
Wash and Wax 1 1 1 1 1 1 1 1 1
41
3 4 3 3 4 3 5 4 3
15 17 17 18 16 16 22 19 16
42
C. Labor Requirement
Position Responsibility Qualifications
Washer In charge of the overall  At least a high school graduate
process in the car wash. age 20-30 years old.
Responsible for the  Has basic knowledge on how
safeness of the to perform car wash operation
equipment’s used during process.
the process.  Knows how to multi-task in a
job.
 Exhibits good character.
Cashier In charge of receiving  A high school graduate age
payments from the 20-35 years old.
customers and record  Knows how to do
total of transactions. Mathematics.
Tabulate bills and count  Able to work without
money in cash drawers supervision
to ensure that amounts  Have an eye for detailed input
are correct. of transactions.
Calculate total payments  Honest and reliable.
received during the time
period.
Responsible for
maintaining the store
image and answering
customer inquiries.
43
D. Machinery/ Equipment Requirement
EQUIPMENT
USES
/ TOOLS DESCRIPTION
Used for spraying water
Vespa Brand
Power Sprayer under high pressure at high
1
with Hose speeds to remove dirt or
grime
Used for sucking up dust
Vacuum and dirt of the vehicles Shop Vac Brand
2
Cleaner interior. 30L capacity
Water Used for storing large 55-gallon blue water

3
Container amounts of water storage
Used as a source of
Portable air
4 Air compressor pressured air.
compressor
Used as a foam generator.

Foaming Victory Brand
The foam gun is used to
5 machine with Stainless steel
squirt foam.
foam gun 21 galloons
Used to buff the car to make Sea Pump Brand

Buffing
7 it shinier 1 set (with buffing
Polisher
towel)
Used for cleaning the
8 Wheel Brush wheels of the vehicle Momentum brand
44
Microtex Brand
9 Car Wash Used as shampoo on the 2000 ml
Foaming cars surface.
Clean Shine Master
Brand
120ml (for leather,
10 plastic, vinyl)
Interior Used to clean the car's Wax Co Brand
Detailer interior. 250 ml (for fabric
type)
Turtle Wax Brand
397 g
11 Used to shine the cars Carnauba Cleaner
surface after it is cleaned. Wax
Car Wax
Formula 1 Brand
12 Tire Black Used to detail vehicle tires 680 ml
Used to shine vehicles Elevo Brand

13
Tire Shinier wheels 500 ml
Used as a rag during the
washing part. It is a safe 1 pc Microtex Brand
13
alternative to sponge.
Wash Mitt
Chamois: Used to wipe car 1 set of towels
14 Pro Kit Towels
surface for drying. Microtex Brand: 1
45
Buffing/ Polishing: Used chamois (drying), I
for buffing and polishing towel (glass interior),
cars surface. I towel (buffing/
Glass and interior: Used to polishing)
wipe the glass and lens of
the car.
Used to clean the carpet by

Power Out! spraying it to the carpet, rub
15
Carpet Cleaner foam until it disappears and Turtle Wax Brand
vacuum when dry. 510 g
Used to buff the car by
Buffing
16 applying it to the buffing Turtle Wax Brand
compound
machine. 532 ml
E. Service Location
The service site is located at 18th- 1st Nazareth Street, Cagayan de Oro City.
46
F. Service Layout
The service layout is designed to achieve efficiency and comfort for the workers as
well as providing satisfaction to the customers. The layout has a waiting area that
includes the chairs and tables where the customers can relax with WIFI and TV that
provides entertainment while waiting. Washing and drying area are combined to
provide efficiency and comfort both for the workers and customer. The power wash,
barrel, and toolbox are placed in between the washing and drying areas to avoid
inconvenience. The toolbox is the allocated place for equipment used during the
wash process. The cashier is located beside the waiting area.
G. Waste Disposal System

In the production process, the wastes that would be produced by the car wash would
include the water waste, trash found in the vehicles, and the discarded materials used
for cleaning the vehicles such as the depleted synthetic wipes and the empty bottles
47
of car shampoo, car powder, and tire black. Each of the following wastes varies in
the manner of disposal; the water waste would be disposed through an apt drainage
system found at one corner of the car washing area which is guided by a slightly
steep terrain. The trash found in the vehicles and the discarded materials used for
cleaning vehicles are disposed separately with regards to the type of garbage it
belongs, the trash would be classified as biodegradable, non-biodegradable, or
recyclable trash.
H. Quality Control System

CAR, VAN, SUV/ PICK-UP QUALITY CONTROL SYSTEM
EXTERIOR
Procedure Accept Reject
1 Get the power sprayer and The water sprayer The water
Pre-rinse the Vehicle. safe and water sprayer is
pressure is high. damaged
2 Use the foaming machine Generates high The foaming
to apply foam on the foaming action machine has
vehicle. leaked or
damaged
3 Wipe the whole vehicle The wash mitt is of The wash mitt is
with the wash mitt until microfiber worn out.
grime and dirt are material.
removed.
4 Use the wheel brush to The wheel brush is The wheel brush
remove remaining dirt’s on durable. is brittle.
the wheels.
48
5 Rinse again the vehicle. The water sprayer The water
safe and water sprayer is
6 Dry the vehicle with the The drying towel The drying towel
chamois towel. is chamois is old and worn
material. out.
7 Wipe glass and the lens of The glass cleaner The glass cleaner
the car with the glass is not expired. is expired.
cleaner
8 Apply car wax to the The car wax is of If the car wax is
vehicle carnauba not of carnauba
ingredient ingredient.
9 Apply tire black to the The tire black is of The tire black is
vehicle wheel. black gold. expired.
10 Apply tire shinier to the The tire shinier if The tire shiner is
wheels. not expired. expired.
11 Use a Buffing polisher for The buffing The buffing
finishing polisher is safe and polisher is
in good condition damaged.
INTERIOR
1 Suck dust using the The vacuum The vacuum
vacuum cleaner. cleaner is powerful cleaner is low in
in sucking dirt sucking dirt
49
2 Use an Air Compressor for The air pressure is The air
tough and unreachable dirt high. compressor is
damaged.
3 Clean seats using the The interior detailer The interior
interior detailer. safety for types of detailer is not
fabrics. suited for the
type of fabric.
4 Clean the carpet using the The carpet cleaner The carpet
carpet cleaner has a bristle cap cleaner is expired
and the bristle
cap is damaged.
5 Wipe the dashboard using The towel is The towel is
the buffing towel and the specially designed ordinary.
glass and lens with the for buffing
Glass and interior towel.
MOTORCYCLE QUALITY CONTROL SYSTEM

1 Get the power sprayer and The water sprayer The water
Pre-rinse the motorcycle. safe and water sprayer is
2 Use the foaming machine Generates high The foaming
to apply foam on the foaming action machine has
motorcycle. leaked or
damaged
50
3 Wipe the whole vehicle The wash mitt is of The wash mitt is
with the wash mitt until microfiber material. worn out.
grime and dirt are
removed.
4 Use the wheel brush to The wheel brush is The wheel brush
remove remaining dirt on durable. is brittle.
the wheels.
5 Rinse again the The water sprayer The water
motorcycle. safe and water sprayer is
6 Dry the vehicle with the The drying towel is The drying towel
chamois towel. chamois material. is old and worn
out.
7 Wipe glass and the lens of The glass cleaner is The glass cleaner
the car with the glass not expired. is expired.
cleaner
8 Apply car wax to the The car wax is of If the car wax is
motorcycle. carnauba ingredient not of carnauba
ingredient.
9 Apply tire black to the The tire black is of The tire black is
vehicle wheel. black gold. expired.
10 Use a Buffing polisher for The tire shinier if The tire shiner is
finishing not expired. expired.
51
Equipment/Tools Requirements
Items Accept Reject
1 Foaming Machine If the foaming If the foaming
with foam gun machine can carry up machine can carry up
to 20 gallons. to below 20 gallons.
2 Power Sprayer If an electric water If it is a small engine
sprayer and the water operated water
pressure is high sprayer
3 Vacuum Cleaner If vacuum cleaner can If vacuum cleaner
store up to 30L. can store up below
30L.
4 Air Compressor If the air compressor If the air compressor
is big. is small.
5 Water Container If it stores up to 22 If it is a pail.
gallons of water.
6 Wheel Brush If it is car wheel If it is a toothbrush.
brush.
7 Buffing Polisher If it is a big buffing If it is a small buffing
polisher wipe adapter. polishing wipe
adapter.
The car shampoo has
8 Car Wash a high foaming If it is detergent.
Foaming technology
The interior detailer The interior detailer
9 safety for types of is not suited for the
Interior Detailer fabrics. type of fabric.
52
The car wax is of If the car wax is not
10 carnauba ingredient of carnauba
Car Wax ingredient.
Tire Black and If it is a vegetable oil.
11
Tire Shinier If it is not expired.
If it is an ordinary
12 If it is of microfiber mitt.
Wash Mitt material.
If it is of microfiber If it is an ordinary
13 Pro kit Towels
material towel.
14 Buffing compound If it is not expired If it is expired
15 Glass Cleaner If it is not expired If it is expired
*Every 3 days the purchasing manager is scheduled to buy the materials such as
the car shampoo, tire black, glass cleaner, and buffing composition since these are
the inputs that are used and consumed at a large amount every day.
53
I. Service Cost
Car
Wash Only
Direct Materials Price Unit Capacity Cost/Unit
Car shampoo 270 80 3.38
Wash Mitt 349 200 1.75
Pro kit towels 549.75 100 5.5
Direct Labor Wage/ Mins. Needed Cost/ Unit
minute
0.45 24 minutes 10.8
Factory Price lifetime Units/ Day Cost per Unit
Overhead
Power sprayer/ 4,500 6 15 0.14
wash
Vacuum Cleaner 4,800.00 5 15 0.18
Air compressor 5,400 8 15 0.13
Foaming Machine 6,500 8 15 0.15
Total Production 22.03
Cost
Profit Margin 77.97
Price per unit 100
54
Car
Wash and Wax
Wash Mitt 349 200 1.75
Car wax 410 50 8.2
Tire Black 469.75 20 23.48
Wheel Cleaner 199.75 20 9.99
Buffing 399.75 20 19.99
composition
Wheel Brush 88 50 1.76
Direct Labor Per Minute Min needed Cost per unit
0.45 60 minutes 27
Factory Price Lifetime Units/ Day Cost per Unit
Overhead
wash
Vacuum Cleaner 4,800.00 5 15 0.18
Buffing Polisher 4,800 7 15 0.13
Cost
Profit Margin 38.22
Price per unit 140
55
Car
Wash, wax, interior cleaning
Wash Mitt 349 200 1.75
Car wax 410 50 8.2
Tire Black 469.75 20 23.48
Buffing 399.75 20 19.99
composition
Interior detailer 100 5 20
Glass Cleaner 99.75 20 4.99
Direct Labor Per Minute Mins. Needed Cost/ unit
0.45 80 minutes 36
Overhead
wash
Vacuum Cleaner 4,800.00 5 15 0.18
56
Cost
Profit Margin 44.23
Price per unit 180
Motorcycle
Wash Only
Wash Mitt 349 400 1.75
Direct Labor Per Minute Mins. Needed Cost per unit
0.45 15 minutes 6.75
Overhead
wash
Cost
Profit Margin 24.23
Price per unit 40
Motorcycle
Wash and Wax
57
Wash Mitt 349 400 1.75
Tire Black 469.75 60 7.83
Wheel Cleaner 199.75 40 5
Wheel Brush 88 88 1
Direct Labor Per Minute Mins. Needed Cost per Unit
0.45 31 minutes 13.95
Overhead
wash
Cost
Profit Margin 23.2
Price per unit 60
Van
Wash Only
Wash Mitt 349 200 1.75
58
0.45 24 minutes 10.8
Overhead
wash
Vacuum Cleaner 4,800.00 5 15 0.18
Cost
Profit Margin 97.5
Price per unit 120
Van
Wash and Wax
Wash Mitt 349 200 1.75
Car wax 410 45 9.11
Tire Black 469.75 20 23.49
Buffing 399.75 20 19.99
composition
59
0.45 60 minutes 27
Factory Price lifetime Units/ Day Cost per Unit
Overhead
wash
Vacuum Cleaner 4,800.00 5 15 0.18
Cost
Profit Margin 54.45
Price per unit 160
Van
Wash, wax, interior
Wash Mitt 349 200 1.75
Car wax 410 45 9.11
Tire Black 469.75 20 23.49
Buffing 399.75 20 19.99
composition
60
0.45 80 minutes 36
Overhead
wash
Vacuum Cleaner 4,800.00 5 15 0.18
Cost
Profit Margin 40.46
Price per unit 180
SUV/Pick-up
Wash Only

Wash Mitt 349 200 1.75
0.45 24 minutes 10.8
61
Overhead
wash
Vacuum Cleaner 4,800.00 5 15 0.18
Cost
Profit Margin 107.49
Price per unit 130
SUV/Pick-up
Wash and Wax Only
Wash Mitt 349 200 1.75
Car wax 410 45 9.11
Tire Black 469.75 20 23.49
Buffing 399.75 20 19.99
composition
0.45 60 minutes 27
62
Overhead
wash
Vacuum Cleaner 4,800.00 5 15 0.18
Cost
Profit Margin 54.19
Price per unit 150
SUV/Pick-up
Wash and Wax and Interior
Wash Mitt 349 200 1.75
Car wax 410 45 9.11
Tire Black 469.75 20 23.49
Buffing 399.75 20 19.99
composition
63
Direct Labor Per Minute Mins. Needed Cost per unit
0.45 80 minutes 36
Overhead
wash
Vacuum Cleaner 4,800.00 5 15 0.18
Cost
Profit Margin 50.2
Price per unit 190
64
J. Production Cost per Month
Car Wash
Only
Direct
₱1,105.52 ₱1,105.52 ₱1,105.52 ₱829.14 ₱1,105.52 ₱1,381.90 ₱1,658.28 ₱1,105.52 ₱1,381.90
Materials
Direct Labor 1,123.20 1,123.20 1,123.20 842.40 1,123.20 1,404.00 1,684.80 1,123.20 1,404.00
Factory
62.4 62.4 62.4 46.8 62.4 78 93.6 62.4 78
Overhead
Total Cost of
Goods 2,291.12 2,291.12 2,291.12 1,718.34 2,291.12 2,863.90 3,436.68 2,291.12 2,863.90
Manufactured
Total Cost of Goods Manufactured ₱22,338.42
Car Wash and

Wax
Direct
5,775.90 3,850.60 7,701.20 7,701.20 5,775.90 3,850.60 3,850.60 3,850.60 3,850.60
Materials
Direct Labor 2,106 1,404 2,808 2,808 2,106 1,404 1,404 1,404 1,404
65
Factory
56.94 37.96 75.92 75.92 56.94 37.96 37.96 37.96 37.96
Overhead
Total Cost of
Goods 7,938.84 5,292.56 10,585.12 10,585.12 7,938.84 5,292.56 5,292.56 5,292.56 5,292.56
Manufactured
Total Cost of Goods Manufactured 63,510.72
Car Wash,
Wax, Interior
Direct
2,575.04 2,575.04 5,150.08 5,150.08 2,575.04 5,150.08 5,150.08 10,300.16 5,150.08
Materials
Direct Labor 936 936 1,872 1,872 936 1,872 1,872 3,744 1,872
Factory
18.98 18.98 37.96 37.96 18.98 37.96 37.96 75.92 37.96
Overhead
Total Cost of
Goods 3,530.02 3,530.02 7,060.04 7,060.04 3,530.02 7,060.04 7,060.04 14,120.08 7,060.04
Manufactured
66
Motorcycle
Wash
Direct
223.60 223.60 223.60 447.20 223.60 223.60 447.20 223.60 223.60
Materials
Direct Labor 175.50 175.50 175.50 351 175.50 175.50 351 175.50 175.50
Factory
10.92 10.92 10.92 21.84 10.92 10.92 21.84 10.92 10.92
Overhead
Total Cost of
Goods 410.02 410.02 410.02 820.04 410.02 410.02 820.04 410.02 410.02
Manufactured
Motorcycle
Wash and June July Aug Sept Oct Nov Dec Jan Feb
Wax
Direct
0.00 583.18 0.00 583.18 0.00 0.00 583.18 583.18 0.00
Materials
Direct Labor 0.00 362.70 0.00 362.70 0.00 0.00 362.70 362.70 0.00
67
Factory
0 10.92 0 10.92 0 0 10.92 10.92 0
Overhead
Total Cost of
Goods 0.00 956.80 0.00 956.80 0.00 0.00 956.80 956.80 0.00
Manufactured
Van Wash June July Aug Sept Oct Nov Dec Jan Feb
Direct
282.10 564.20 282.10 282.10 282.10 282.10 282.10 282.10 282.10
Materials
Direct Labor 280.80 561.60 280.80 280.80 280.80 280.80 280.80 280.80 280.80
Factory
15.6 31.2 15.6 15.6 15.6 15.6 15.6 15.6 15.6
Overhead
Total Cost of
Goods 578.50 1,157.00 578.50 578.50 578.50 578.50 578.50 578.50 578.50
Manufactured
68
Van Wash,
and Wax
Direct
2,023.32 2,023.32 2,023.32 2,023.32 2,023.32 2,023.32 4,046.64 2,023.32 2,023.32
Materials
Direct Labor 702.00 702.00 702.00 702.00 702.00 702.00 1,404.00 702.00 702.00
Factory
18.98 18.98 18.98 18.98 18.98 18.98 37.96 18.98 18.98
Overhead
Total Cost of
Goods 2,744.30 2,744.30 2,744.30 2,744.30 2,744.30 2,744.30 5,488.60 2,744.30 2,744.30
Manufactured
Total Cost of Goods Manufactured

27,443.00
Van Wash ,
Wax, Interior
Direct
2,673.06 2,673.06 2,673.06 2,673.06 2,673.06 2,673.06 2,673.06 2,673.06 2,673.06
Materials
Direct Labor 936.00 936.00 936.00 936.00 936.00 936.00 936.00 936.00 936.00
69
Factory
18.98 18.98 18.98 18.98 18.98 18.98 18.98 18.98 18.98
Overhead
Total Cost of
Goods 3,628.04 3,628.04 3,628.04 3,628.04 3,628.04 3,628.04 3,628.04 3,628.04 3,628.04
Manufactured
SUV Wash June July Aug Sept Oct Nov Dec Jan Feb
Direct
288.86 577.72 288.86 288.86 577.72 288.86 577.72 577.72 288.86
Materials
Direct Labor 280.80 561.60 280.80 280.80 561.60 280.80 561.60 561.60 280.80
Factory
15.6 31.2 15.6 15.6 31.2 15.6 31.2 31.2 15.6
Overhead
Total Cost of
Goods 585.26 1,170.52 585.26 585.26 1,170.52 585.26 1,170.52 1,170.52 585.26
Manufactured
70
SUV Wash
and Wax
Direct
2,030.08 2,030.08 2,030.08 2,030.08 2,030.08 2,030.08 2,030.08 2,030.08 2,030.08
Materials
Direct Labor 702.00 702.00 702.00 702.00 702.00 702.00 702.00 702.00 702.00
Factory
18.98 18.98 18.98 18.98 18.98 18.98 18.98 18.98 18.98
Overhead
Total Cost of
Goods 2,751.06 2,751.06 2,751.06 2,751.06 2,751.06 2,751.06 2,751.06 2,751.06 2,751.06
Manufactured
SUV Wash,
Wax, Interior
Direct
2,679.82 2,679.82 2,679.82 2,679.82 2,679.82 5,359.64 2,679.82 2,679.82 2,679.82
Materials
Direct Labor 936.00 936.00 936.00 936.00 936.00 1,872.00 936.00 936.00 936.00
71
Factory
18.98 18.98 18.98 18.98 18.98 18.98 37.96 18.98 18.98
Overhead
TOTAL Cost
of Goods 3,634.80 3,634.80 3,634.80 3,634.80 3,634.80 3,634.80 7,269.60 3,634.80 3,634.80
Manufactured
TOTAL COST OF GOODS
₱288,793.18
MANUFACTURED
72
A. Legal form of Business
Splash Career Company is a business partnership firm legally registered from
SEC under the name of Evan Grace G Tagupa. It is engaged in a carwash service
that will be located at 18th-1st Nazareth St, Cagayan de Oro City. The service
involves close cooperation between parties having a specified and joint rights and
responsibilities. Decision making on the business should be decided accordingly
with the member’s agreement. Every member is liable to what will happen on
the business in the future.
73
B. Organizational Structure
Evan Grace G. Tagupa

GENERAL MANAGER
Nina Grace T. Mary Chon G. Krissa Marie E. Christian Bien S. Michael Angelo Seska Vic Sabanal
Dosdos Bonglay Salas Pascua Bustamante
PURCHASING
MARKETING FINANCIAL CASH OPERATION SALES MANAGER
MANAGER MANAGER CUSTODIAN MANAGER MANAGER
74
C. List of Officers
Members Position Responsibility Qualifications
Bonglay, Financial  Updates the financial  Has thorough
Mary Chon Manager plan every month. understanding and
 Responsible for knowledgeable
reviewing the current enough in analyzing
standing of the financial statements
company considering  Can work under
the flow of money. pressure
Bustamante, Sales  Responsible for the  Has communication

Michael Manager brand promotion of skills
Angelo the business.  Has interpersonal
 Must be aware of the skills
feedbacks of the
customers to enhance
the business.
Dosdos, Marketing  Develop strategies  Expert knowledge

Nina Grace Manager based on the of current
feedbacks gathered marketing trends
from the sales and multimedia
manager. platform
 Must monitor and  Must creative under
update the pressure
75
profitability of the
business.
Pascua, Operation  Monitors and  Makes sure that
Christian Manager analyzing the current plan is put in effect
Bien system of production & forecast
 Overseeing problems
inventory,  Can communicate
distribution of good effectively
& facility layout  Cool under pressure
 Responsible for the
safety and quality of
the equipments used.
Sabanal, Purchasing  Must forecast  Good in
Seska Vic Manager upcoming demand canvassing,
 Responsible for Effective in
creating and Budgeting
monitoring a
purchasing budget
Salas, Krissa Cash  Keeping each fund  Knowledgeable in
Custodian separate from the making journals of
other funds or business
accounts transactions
 Responsible for the  Good in handling
receiving of sales of money
the day.
76
Tagupa, General  Ensures  Knowledgeable on
Evan Grace Manager administrative leadership and
efficiency & proper management
procedure principles
 Responsible for  Can communicate
overseeing all effectively
administrative
functions
D. Office Equipment / Materials / Tools

Equipment/Material Uses Description
Tools
1 Laptop For research and information Lenovo
2 LED Tv Used to entertain the customers Devant brand
while waiting
3 WIFI Used to connect to the internet, to Globe
provide entertainment while
waiting.
E. Administrative Expenses
Month Item Unit Qty Cost Total Total
Cost Monthly
Expense
June LED TV Piece 1 12,059 12,059
WIFI Piece 9 months 1,299 11, 691 P23,750
Total P 23,750
77
F. Company Policies
For Members:
1. Everyone has assigned schedules for the month. Tardiness would not be
tolerated. A fine of P500.00 will be imposed to those who were unable to
adhere to the agreement. The collected fines will be used as a fund for the
research and development.
2. If he/she is absent in his assigned schedule, valid reason must be presented to
be for fine exemption.
3. The assigned member is expected to maintain the cleanliness and orderliness
of the overall process of the car wash.
4. Every member should meet the needs of the customers to achieve satisfaction
from the customers written on the mission.
5. Meetings will be conducted once a week to present his/her updates regarding
the carwash service and to present his opinions and feedbacks.
6. The assigned member should wear his/her uniform in his duty hours.
7. The official receipts should be kept and recorded during transaction. The
assigned cashier is liable to the flow of money on that day.
8.The members should not buy products that are not guaranteed and safety to the
vehicle.
9. Every member should meet the needs of the customers to achieve satisfaction
written on the mission statement.
10. The assigned members or workers must entertain every customer’s questions,
clarification, suggestions and feedbacks for customer’s satisfaction.
For Workers
1. Parties and workers must exemplify honest and responsible work to satisfy
the customers. Workers must avoid damage at all cost to avoid conflicts and
additional fees.
78
2. Workers must be happy at all times to generate good vibes to the customers.
3. Workers must maintain the condition of the equipment, machineries and
materials to avoid tragedy.
4. Every after using the materials, the workers is responsible for washing the
materials used in preparation for the next customer.
These terms are fixed and unnegotiable.
79
A. Sales Forecast
Unit Sales Year 1

Motorcycle (Wash Only) P 286
(Wash and Wax) 104
Car (Wash Only) 1014
(Wash and Wax) 624
(Wash, Wax & Internal Cleaning) 442
Van (Wash Only) 260
(Wash and Wax) 260
SUV (Wash Only) 338
(Wash and Wax) 234
TOTAL UNIT SALES P4056
Unit Prices
Motorcycle (Wash Only) P 40
(Wash and Wax) 60
Car (Wash Only) 100
(Wash and Wax) 140
Van (Wash Only) 120
(Wash and Wax) 160
SUV (Wash Only) 130
80
(Wash and Wax) 150
SALES
Motorcycle (Wash Only) P 11,440.00
(Wash and Wax) 6,240.00
Car (Wash Only) 101,400.00
(Wash, Wax & Internal Cleaning) 79,560.00
Van (Wash Only) 31,200.00
SUV (Wash Only) 43,940.00
TOTAL SALES P 529,360.00
Direct Unit Costs

Motorcycle (Wash Only) P 15.77
(Wash and Wax) 36.80
Car (Wash Only) 22.03
(Wash, Wax & Internal Cleaning) 135.77
Van (Wash Only) 22.25
81
SUV (Wash Only) 22.51
Direct Cost of Sales

Motorcycle (Wash Only) P 4,510.22
Car (Wash Only) 22,338.42
Van (Wash Only) 5,785.00
SUV (Wash Only) 7,608.38
Subtotal Direct Cost of Sales P 288,793.18
82
B. Break-even Analysis
The chart and table below shows the monthly Break-even Analysis for Splash
Career.
Php60,000.00
Php50,000.00
Php40,000.00
Php30,000.00 Total Sales

Total Cost
Php20,000.00
Fixed Cost
Php10,000.00
Php-
0 units
100
120
140
160
180
200
220
240
260
280
300
320
340
360
380
400
20
40
60
80
BREAK-EVEN ANALYSIS
Monthly Units Break-even 290 units
Monthly Revenue Break-even P 46,391.96
Assumptions:
Estimated Monthly Variable Cost 28,091.96
Estimated Monthly Fixed Cost 18,300.00
Return on Investment
ROI = ((Net Income – Capital) / Capital)*100
ROI = (74,495.82 – 52,500)
52,500 X 100
ROI = 41.90%
83
C. Projected Profit or Loss
The following Profit or Loss illustrates income and expenses for the whole 10
months operating cycle.
10 MONTHS
Sales P 529,360.00
Direct Cost of Sales 288,793.18
Other 26,000.00
TOTAL COST OF SALES 314,793.18
Gross Margin 214,566.82
Gross Margin % 40.53%
Expenses
Sales and Marketing Expenses 5,915.40
Administrative Expenses 23,750.00
Depreciation Expenses 3883.20

Utilities 45,000.00
Rent Expense 60,000.00
Other Expenses 1,522.40
Total Operating Expenses 129,871.00
Net Profit P 74,495.82
D. Projected Cash Flow

OPERATING ACTIVITIES
Net Income P 74,495.82
Depreciation and Amortization 3883.20
84
Gain or Loss on Disposal of Asset 0
Change in Accounts Receivable 0
Change in Inventory 0
Change in Accounts Payable 0
Change in Sales Taxes Payable 0
Change in Other Current Assets 0
Net Cash from Operating Activities P 78,379.02
INVESTING & FINANCING
ACTIVITIES
Long-Term Assets Purchased or Sold (26,000.00)
Investments and Contributions 0
Received
Change in Short-Term Debt 0
Change in Long-Term Debt 0
Dividends and Distributions 0
Net Cash from Investing & Financing (P 26,000.00)
Cash at Beginning of Period 0
Net Change in Cash 52,379.02
Cash at End of Period P 52,379.02
E. Projected Balance Sheet

Splash Careers’ balance sheet illustrates a healthy financial position for this new
company.
YEAR 1
Assets
Current Assets
85
Cash in Bank 45,213.52
Accounts Receivable 0
Inventory 7,165.50
Machine and Equipments 26,000.00
Accumulated Depreciation (3,883.20)
TOTAL ASSETS P 74,495.82
Liabilities and Capital

Current Liabilities 0
Accounts Payable 0
Long-term Liabilities 0
TOTAL LIABILITIES
Paid-in Capital 52,500.00
Profit or Loss 21,995.82
TOTAL CAPITAL 74,495.82
TOTAL LIABILITIES AND CAPITAL P 74,495.82
F. SOURCES OF FUNDS:
Each of the 7 members of this Feasibility Study shall contribute P7,500.00 to be able to
fully operate the desired Carwash business, “Splash Career.”
86

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In Partial Fulfillment of the Requirements in Feasibility Studies

Splash Career is planning to establish its operations primarily at Nazareth,

Wash Wash and Wash, Wax, Interior

The potential market consists of a wide variety of vehicle owners, as well as

CAR, VAN, PICK-UP:  EXTERIOR

The traffic count at Nazareth 18th-1ststreet is currently measured at more or less

3. Psychographic and Behavioral Profile

C. Demand and Supply Analysis

Table 1.2 Respondents classified by occupation

43, 23.89% car

73, 40.56% van

Table 2.2 Respondents Behavioral Pattern Classified by Where They

Where they usually wash

16, 11.35% 18, 12.77% Once

73, 51.77% more than 5

Table 2.4 Respondents Behavioral Pattern Classified by How Much They

13, 11.61% Php 71 - Php 90

More than Php

More than Php 100

Table 2.5 Respondents Behavioral Pattern Classified by When They

When they prefer to use carwash

Table 2.6 Respondents Behavioral Pattern Classified by Their Expectations

Good and Friendly from Washers

24, 17.02% 65, 46.10%

Proper Opening- Closing Time

32, 22.70% 37, 26.24%

Table 2.8 Respondents Behavioral Pattern Classified by Where They

50, 35.46% Group Prix

iii. Respondents Decision Making on Car Wash Services

a) Reasonable Service Fees

18, 10.98% 87, 53.05% 5 4 3 2 1

13, 9.22% 37, 26.24%

37, 26.24% 47, 33.33%

i) Satisfaction of the Wash

ii. Demand per Month of Competitors

iii. Demand per Month for Product

iv. Price Per Capita Consumption

Grand Prix Motorcycle 0 0 0.00

Stay Cool Motorcycle 3 60 180.00

Top Garage Motorcycle 0 0 0.00

PER CAPITA CONSUMPTION= Total Sales

v. Competitor Placement and Offerings

 CALTEX NHA (NHA Kauswagan Highway, Cagayan de Oro)

 TOP GARAGE(Kauswagan Hi-way, Cagayan De Oro)

PRICES Small Medium Large Extra Large

SPECIALTY Duty Hours

 STAY COOL CAR WASH(18th-1st St., Nazareth, Cagayan de Oro)

PRICES Wash Under SPECIALTY

 GRAND PRIX AUTOCARE(JR. Borja Street, Cagayan de Oro City)

PRICES Small Medium Large Extra Large

Month Total Vehicle in a Month

MOTORCYCLE OVERALL OPERATION PROCESS

PROCEDURE EQUIPMENT/TOOLS LABOR DURATION

Production per day breakdown

Water Used for storing large 55-gallon blue water

Used as a foam generator.

Used to buff the car to make Sea Pump Brand

Used to shine vehicles Elevo Brand

Used to clean the carpet by

G. Waste Disposal System

H. Quality Control System

MOTORCYCLE QUALITY CONTROL SYSTEM

Direct Materials Price Unit Capacity Cost/Unit