“Budget and Financial Planning for Pinoy Snack Shack”
I. Business Overview
Business Concept
“Pinoy Snack Shack” is a local Filipino snack food business
offering a wide variety of affordable, high-quality, and traditional
Filipino snacks, catering to the diverse tastes of Filipinos. The
business aims to create a unique and fun experience for customers
by providing iconic Filipino snacks in a casual and accessible
setting.
Mission Statement
To bring the flavors of the Philippines to every corner of the country, creating a memorable
snacking experience by offering traditional Filipino snacks that evoke nostalgia and warmth,
while promoting local ingredients and culinary traditions.
Vision
To become the leading snack shack brand in the Philippines, serving as a go-to destination
for snack lovers who seek authentic Filipino tastes and comfort food on the go.
Business Name : “Pinoy Snack Shack”
Type of Business : Food Stall (Local snacks and beverages)
Location : Local high school canteen or a nearby busy street)
Target Market : High school students, office workers, and passers-by
Objective : To offer affordable, tasty local snacks (like empanada, banana cue, etc.)
to a broad market.
II. Initial Capital Requirement and Financial Plan (Monthly)
Capital Expenses
Item Cost Estimate (PHP)
Business Permits & Licensing 2,000
Stall Construction/Setup 5,000
Equipment (e.g., fryer, blender) 6,000
Initial Stock of Ingredients 3,000
Signage & Branding 1,500
Miscellaneous (transport, etc.) 1,000
Total Startup Costs 18,500
Operational Expenses (Monthly)
Expense Category Cost Estimate (PHP)
Rent (if applicable) 3,000
Utility Bills (Electricity, Water) 1,500
Raw Ingredients (flour, meat, oil, etc.) 4,00
Employee Salary (if hiring) 5,000
Marketing & Promotion (flyers, online ads) 1,000
Miscellaneous Expenses 1,000
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Total Monthly Expenses 15,000
Projected Revenue
To estimate the income, the owner should think about the pricing of each product, the volume of
sales per day, and how many days the business will operate.
Revenue Calculation
Product Quantity Sold/Day Price (PHP) Daily Revenue
(PHP)
Empanada 50 20 1,000
Banana Cue 50 15 750
Iced Tea 30 10 300
Total Revenue 2,050
per Day
a) Total Revenue per Month
- 2,050 PHP x 30 days = 61,500 PHP
Profit and Loss Calculation
Revenue Amount (PHP)
Total Monthly Revenue 61,500
Total Monthly Expenses 15,500
Net Profit (Revenue - Expenses) 46,000
III. Break-Even Analysis
The break-even point tells the owner how much revenue they need to generate in order to cover
both fixed and variable costs.
a) Fixed Costs (Rent, utilities, salary, etc.): approx. 9,500 PHP
b) Variable Costs (Ingredients and marketing expenses): approx. 6,000 PHP
Cash Flow Statement
Cash flow is crucial to understanding how money is coming in and out of the business on a
regular basis.
1) Cash Inflows
a) Daily sales (as projected earlier)
2) Cash Outflows
a) Monthly expenses (as outlined above)
Financial Goals
The owner should set goals for the first 6 months or 1 year in business
1. Achieve a steady daily customer base of at least 30-50 customers.
2. Grow revenue by adding new products, such as drinks or desserts.
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3. Maintain a net profit margin of at least 30% after 6 months.
4. Break-even by the end of the first 3 months.
Funding Sources (if applicable)
Personal Savings : 10,000 PHP
Loan from Family/Friends : 8,500 PHP
Conclusion and Recommendations
The business has the potential to become profitable within a few months, provided sales targets
are met and operational costs are controlled. The student should be prepared for challenges like
fluctuating ingredient prices and should focus on marketing to expand the customer base.
Summary:
Total initial capital needed : P18,500
Monthly Operational Expenses : P15,500
Projected Monthly Revenue : P61,500
Net Profit (after expenses) : P46,000
This budget summary provides a clear and concise overview of the financial aspects of the
business, allowing for easy tracking of initial setup costs, monthly expenses, and projected
income.
