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					 Starting a Business                                                                                                                                    HOME BAKESHOP
                                                                                                                                            Production Cost
I. INVESTMENT REQUIREMENTS                                           II. PRODUCT PROCEDURES                                                 Particulars                                           Cost
                                                                                                                                            Total Direct Cost                            Php 2,054.75
                                                                          One of the methods in bread making is the straight-               Add: Total Indirect Cost                           710.47
  A.        Cost of Utensils*                                                                                                               Total over the 3,260 pcs. yield           2,765.22 / 3,260
                         Utensils                          Cost           dough method. The procedures are simple and can
                                                                                                                                            Production Cost per kg.                           Php .84
         Measuring cups/ spoons (plastic or                  Php          be done in your own home.
          stainless steel)                                 152.50                                                                                Finished product will result in 3,260 pieces of
         Spatula                                            61.00         1.  Preheat oven at 175oC (350oC).
                                                                                                                                                 pandesal
         Stainless bowl # 32 (2 pcs.)                      427.00         2.  Mix all ingredients.
         Dough cutter                                       53.50         3.  Knead the dough, place in bowl, cover with damp          B.   Product Pricing
         Plancha                                            64.75             cheesecloth and leave for two hours.
         Cheesecloth                                        25.50         4. Punch dough to remove air.                                     Production cost per kg.                           Php .84
       Subtotal                                        Php 784.25         5. Divide the dough into 16 equal portions (about                 Add: 10%-20% markup of the production cost            .17
                                                                              550 grams per piece).                                             Selling Price per kilogram                    Php .98
       B.   Equipment*                                                    6. Form each dough piece with approximate length
                     Equipment                               Cost             of 30 inches and roll in breadcrumbs.                              Market Price per piece                      Php1.00
         Weighing scale for spices 0-1 kg)           Php 334.00           7. Rest dough for 45 minutes.
         Dough kneader                                 83,853.00          8. Cut dough into 20 equal portions (about 27.5                   *    The higher the volume of production per day
         Oven (8planza – thermostat)                   45,738.00              grams per piece).                                                  (i.e., more than 3,260 pcs.), the lower the
         Working table                                 15,246.00                                                                                 production cost, thus increasing the markup to
                                                                          9. Roll in breadcrumbs and arrange on baking trays
       Subtotal                                     Php 145,171.00                                                                               more than 50%.
                                                                              in cut side up manner.
       C.   Raw Materials/ Ingredients*                                   10. Proof until double in size in warm and moist
                                                                                                                                            *    If price per kg. is lower compared with the
            Item         Baker’s     Kilograms                                proofing cabinet (about 32-34°C with 85%
                                                                                                                                                 existing market price, increase the markup to
                           %                             Cost                 relative humidity).
                                                                                                                                                 30% or more.
         Bread flour       100%           50 kgs.     Php1,372.00         11. Bake for 12-15 minutes or until golden brown.
         Water              55%         27.5 kgs.               -
         Refined            18%          9.0 kgs.                    III. COSTING AND PRICING                                         IV. REGISTRATION REQUIREMENTS
         sugar                                              383.75
         Vegetable            5%         2.5 kgs.                         A.   Product Costing
         shortening                                         156.50
                            1.7%         .86 kgs.
                                                                                                                                            1.   Business Name Registration
         Salt                                                 9.00             Direct Cost
         Instant yeast      19%          .38 kgs.                              Particulars                                     Cost
                                                                                                                                                 Visit Department of Trade & Industry (DTI)
                                                           133.50              Raw Material (50kg. Flour)              Php 1,372.00              Provincial Office where the business is located or
       Sub-total                                      Php2,054.75              Ingredients used for 50kgs.                   682.75              log on to www.bnrs.dti.gov.ph
                                                                               Total Direct Cost per kg.               Php 2,054.75
   * Based on current market prices.                                                                                                        2.   Mayor’s Permit/ Residence Certificate &
                                                                               Indirect Cost                                                     Sanitary Permit
                                                                               Particulars                                     Cost              From the local municipality where the business
                                                                               Labor Cost (P350/day min. wage)           Php 350.00              is located
                                                                               Transportation Cost                           100.00
                                                                               Water & Electricity                            55.00         3.   Tax Identification Number (TIN)
                                                                               Contingency Cost (10% of Direct Cost)         205.47              Bureau of Internal Revenue National
                                                                               Total Indirect Cost per kg.              Php 710. 47              Office, Agham Road, Diliman, Quezon City
                                                                                                                                                 Trunkline: (632) 981.7000 / 981.8888
                                                                                   Average produce of pandesal for 50 kgs. is                    Email: contact_us@cctr.bir.gov.ph
                                                                                   3,260 pcs.                                                    Website: www.bir.gov.ph


                                                                                                                                            4.   BFAD Certificate
          From the Bureau of Food and Drugs (BFAD)
          Civic Drive, Filinvest Corporate City         VI.   TRAINING INSTITUTIONS
          Alabang, Muntinlupa City
          Tel. No.: (632) 807.0721 / 842.5606                 •   Department of Science and Technology –
          Email: bfad@bfad.gov.ph                                 Science and Technology Information Institute
          Website: www.bfad.gov.ph                                (DOST-STII)
                                                                  Gen. Santos Ave. Upper Bicutan, Taguig,
                                                                  Metro Manila
V.   FINANCING FACILITY                                           Tel. Nos.: (632)837.2191 to 95 / Telefax: 837.7520
                                                                  Email: vbb@stii.dost.gov.ph
      •   SSS Special Financing Program                           Website: http://www.stii.dost.gov.ph
          Social Security System (SSS)
          Loans and Investment Office                         •   Technology Resource Center (TRC)
          SSS Building, East Avenue, Diliman,                     TLRC Building, 103 J. Abad Santos cor.
          Quezon City                                             Lopez Jaena Sts., Little Baguio, San Juan,
          Tel. Nos.: (632)920.6401 / 920.6446                     Metro Manila
          Email: member_relations@sss.gov.ph                      Tel. Nos.: (632) 727.6205
          Website: www.sss.gov.ph                                 Website: www.tlrc.gov.ph

      •   Small & Medium Enterprise Credit
          Phil. Business for Social Progress
          18th Flr., Phil. Social Dev’t. Center,
          Magallanes cor. Real St. Intramuros, Manila
          Tel. Nos. (632)527.7741 to 51 or 527.3751
          Fax No. (632)527.3743
          Email: pbsp@pbsp.org.ph or
          smec@pbsp.org.ph
          Website: www.pbsp.org.ph

      •   People’s Credit Finance Corporation
          395 Sen. Gil Puyat Ave. Makati
          Tel. Nos. (632) 897.8549 / 897.5822
          Fax No. (632) 897.8523 / 897.8528
          Email: info@pcfc.ph
          Website: www.pcfc.gov.ph




                                                                       BUREAU OF SMALL AND MEDIUM
                                                                       ENTERPRISE DEVELOPMENT (BSMED)
                                                                        rd




                                                                                                                         Printed July 2007
                                                                       3 Floor, OPPEN Building
                                                                       349 Sen. Gil Puyat Ave., Makati City
                                                                       Tel. Nos.: (632) 890.4968 / 897.7596 / 897.1693
                                                                       Fax No.: (632) 896.7916
                                                                       Email: bsmed@dti.gov.ph
                                                                       Website: www.dti.gov.ph

				
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