MANAGEMENT ASPECT

Name and Form of Business Organization

The business will be registered with the Department of Trade and Industry as SNACK

PRO VENDING. This will be owned and operated by Mr. Nilo M. Magdua, Ms. Phoebe A.

Maquilan, Ms. Marelle Marie T. Mendoza, and Ms. May Ann A. Rama, all general partners.

SNACK PRO VENDING will be a 24-hour fully automated mini mart whose services

mainly uses computerized equipment and high-end vending machines. The need for human

resource will be very minimal as almost all the facilities may be used with self-service.

Based on the terms agreed upon, the proponents opted to form a partnership. Moreover,

all of them will be general partners and evenly shoulder the expenses of the pre-operations.

Furthermore, the profits (or losses) will also be divided evenly among them. All the partners will

have a command over the overall operations of the businesses and combine all their assets,

money and industry to the common fund to achieve the common goal of achieving profit and

avoiding losses. To make the business entity legal and binding, documents will be secured from

the government agencies and other relevant offices that would grant permits to start the

operations of the business.

1. Business Registration with the Barangay

a. Fill up a form for the Barangay Certification of the business.
b. Submit the completed application form together with the following:
i. Certificate of Business Permit form DTI
ii. Two valid IDs
iii. Proof of Address such as the CTC
c. Claim the barangay Certificate of Business Registration.

2. Mayors Business Permit

47
 a. Secure the Barangay Clearance from the Barangay Hall where the businesses will

be located.
b. Proceed to the Business Permits Licensing Office (BPLO) of the city government

and secure an application for the business permits and license. Also secure the

location clearance from the City Government Office of Planning and

Development to determine if the business activity is approved in the zone.

c. Secure an Electrical Endorsement for the Electrical Division of the Department of

Engineering to determine if the business establishment is not high risk.

d. Secure the Fire Safety Inspection Certificate from the Bureau of Fire Protection to

determine if the business premises comply with all the requirements of the

building code. Submit accomplishment application from the BPLO together with

the following:
i. Barangay Clearance
ii. Photocopy of the Certificate of Business Name Registration BPLO

3. Department of Trade and Industry (DTI)

a. Obtain application forms (duplicate copy) and fill out completely. Only the

owners of the business or his/her attorney-in-fact (who is authorized in a proper

legal instrument) is authorized to sign all forms.

b. Submit the application forms to the DTI processor. He will then check if the

Business Name is still available. If yes, you will be asked to pay the application

fees.
c. Pay the following required registration and processing fee:
i. Bargaining P 200
ii. City/Municipality P 500
iii. Regional P 1,000
iv. National P 2,000
d. After showing the receipts to the processor, the business Name Certificate will be

released.
e. The business name will be valid for five years from the date of registration.

4. Securities and Exchange Commission (SEC)

48
 a. Verify and secure the proposed partnership name at the SEC. Once the name is

accepted, SEC will issue a name verification slip.

b. Accomplish the Registration Data Sheet with the following attachments:
i. Articles of Partnership that defines the rights, power and duties of each

partner, the profit/loss allocation and partners contribution. If the capital

is in the form of property additional requirement is needed.

ii. Deed of Assignment executed by the partners.
c. File the complete documents with the SEC upon payment of the requirements and

other filing fees.

5. Bureau of Internal Revenue (BIR)
a. Go to the Revenue District (RDO) that has the jurisdiction of the location of your

business.
b. Accomplish the application form for registration: BIR Form number 1903 for

partnerships.
c. Issuance of TIN and payment of P 500.00
d. Submit the accomplished form to the Officer of the Day, together with the

following documents:
i. Birth Certificate or any documents showing Name, Address, and Birthdate

of the applicant
ii. Mayors Permit
iii. Certificate of Registration of the Business Name from DTI on Article of

Partnership
e. Attended the required taxpayers briefing conducted by the RDO
f. Claim the Certificate of Registration on the indicated date of release.

6. Social Security System (SSS)

a. Go to the nearest SSS office
b. Accomplish the following form duly signed by the corresponding officer
c. R-1 (Employers Registration)
d. R-2 (Employment Record)
e. Presentation of the original copy of the Article of Partnership for authentication

purposes
f. Claim certificate of Membership
7. Philippine Health Insurance Corporation (PhilHealth)
a. Submit the following to the nearest PhilHealth office
i. Employment data record or ERI form (in duplicate)

49
 ii. Business Permit/License to operate and Articles of Partnership
b. After processing, the employer will be issued the following:
i. PhilHealth Employer Number (PEN) nd the Certificste of Registration
ii. PhilHealth Identification Number (PIN)

8. Home Development and Mutual Fund (Pag-Ibig Fund)

a. Submit the following to the nearest Pag-Ibig Office
i. Employment data record or ERI form (in duplicate)
ii. Business Permit/License to operate and Articles of Partnership
b. After processing, the employer will be issued with the following:
i. Pag-Ibig Employer Number (PEN) and the Certificate of Registration
ii. Pag-Ibig Identification Number (PIN) and MDR form for concerned

employees
c. Employees shall be asked to display the Certificate of Registration in their office

as the proof of the registration with Pag-Ibig.

9. Leyte Electric Cooperative (LEYECO)

a. Submit the documentary requirement like the barangay clearance, 2 ID photos,

and 2 valid IDs.

b. Pay and attend the new orientation seminar for electricity with a duly

accomplished registration form notarized by an attorney.

c. Have the business established be inspected by a LEYECO II electrician to check

the wirings and other electrical installation.

10. Leyte Metropolitan Water District (LMWD)

a. Barangay Clearance from the barangay by which the business is to be located.
b. 1x1 ID photo
c. Community Tax Certificate
d. Attend the seminar for new water installation
e. Paid seminar fee of P 150.00 and inspection fee of P 150.00
f. Duly accomplished registration form notarized by an attorney

11. City Engineers Office (CEO)

a. Application forms for BUILDING, SANITARY/PLUMBING, FENCING, and

ELECTRICAL and MECHANICAL PERMITS signed and sealed by a duly

licensed professional and signed by the owners.

b. Photocopy of PEZA Certificate of Registration

50
c. Two (2) complete sets if plans (ARCHITECTURAL STRUCTURAL

SANITARY/PLUMBING, FENCING, SITE DEVELOPMENT, ELECTRICAL,

MECHANICAL) signed and sealed by a duly licensed professional and signed by

the owners.
d. Two (2) copies of structural computations signed and sealed by Structural

Engineer.
e. Two (2) copies of detailed cost and material estimate signed and sealed by duly

licensed professionals and signed by owner.

f. Two (2) copies of lists materials and equipment to be imported (if any), signed

and sealed o (2) copies of detailed cost and material estimate signed and sealed by

duly licensed professionals and signed by owner.

g. Two (2) copies of lists materials and equipment to be imported (if any), signed

and sealed by a duly licensed professional and signed by the owners.

h. Layout of temporary facilities (site location, floor plan, electrical layout, load

schedule, single line diagram, list of all electrical/mechanical equipment with

capacity).
i. Environmental Compliance Certificate (ECC) or status application.
j. List of designers and project engineers for the different works as per attached

form.
k. Photocopy of designers and project engineers PRC license and latest PTR.
l. Name and phone number of Architect/Civil Engineer, In-Ch.

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 12. Articles of Partnership

SNACK PRO VENDING

KNOW ALL MEN BY THESE PRESENTS:

That we, the undersigned, all of legal age and residents of the Republic of the Philippines

have agreed to amend a general partnership under the terms and conditions herein set forth and

subject to the provisions of existing laws of the Republic of the Philippines.

AND WE HEREBY CERTIFY:

Article I. That the name of the partnership shall be SNACK PRO VENDING.

Article II. That the principal office of the Partnership shall be located at Philippine Pan

Highway, Tacloban City.

Article III. That the names, citizenship and designation of the partners of the said

partnership are as follows:

NAME CITIZENSHIP RESIDENCE DESIGNATION

Nilo M. Magdua Filipino Tacloban City General Partner
Phoebe S. Maquilan Filipino Tacloban City General Partner
Marelle Marie T. Mendoza Filipino Tacloban City General Partner
May Ann A. Rama Filipino Tacloban City General Partner

Article IV. That the term for which said partnership is to exist in 30 years from the

original recording of said partnership by the Securities and Exchange Commission.

Article V. That the purpose for which said partnership are as follows:

52
 1. To provide a 24 hour convenience to the residential parts of Tacloban City

who are far from the downtown area.

2. To provide a high-tech service for busy residents and customers.
3. To provide employment to the people of Tacloban City.

Article VI. That the capital of the partnership shall be P 6,000,000.00, Philippine

Currency contributed in cash by partners as follows:

NAME AMOUNT CONTRIBUTED

Nilo M. Magdua 2,500,00.00
Phoebe S. Maquilan 2,500,00.00
Marelle Marie T. Mendoza 2,500,00.00
May Ann A. Rama 2,500,00.00

Article VII. That the profits and losses shall be divided pro-rata among the partners.

Article VIII. That should there be any additional contribution made by a general partner,

such must be agreed upon by all the partners in writing and duly recorded at least two (2) days

after signing of same agreement. Such contribution shall amend Article VI of the Articles of

Partnership and in no case shall such amendment be done less than one (1) year after the original

recording of said partnership by the Securities and Exchange Commission.

Article IX. That the contribution of each limited partner may be returned to him/her three

(3) years after the original recording of said partnership by the Securities and Exchange

Commission.

Article X. That the general partner may be given the right to substitute an assignee as

contributor in his place, provided that he has duly notified his partners in writing, stating the

reasons thereof, five (5) days before affectivity of said substitution. Provided further that such

53
general partner has already settled his obligations to the partnership prior to the notification of

the substitution.

Article XI. That a partner may admit an additional general partner, provided that the other

partners have been duly notified in writing five (5) days before affectivity of admission and duly

concurred by all the partners in writing.

Article XII. That the remaining general partner or partners shall have the right to continue

the business in cases of death, retirement, civil interdiction, insanity or insolvency of a general

partner.

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 Article XIII. That the partners willingly undertake to change the name of the partnership

immediately upon receipt of notice/directive from the Securities and Exchange Commission that

another partnership, corporation, or person has been declare misleading, deceptive, confusingly

similar to a registered name or contrary to public morals, good customs or public policy.

IN WITNESS WHEREOF, we have here unto set out hands this 22 th day of August at

Tacloban City, Leyte.

Mr. Nilo M. Magdua Ms. Phoebe S. Maquilan

General Partner General Partner

Ms. Marelle Marie T. Mendoza Ms. May Ann A. Rama

General Partner General Partner

Signed in the presence of:

________________________ ________________________

Witness Witness

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Nature of the Business

The proposed automated mini mart will be offering automatic vending machines and self-

service counters that are all user friendly and convenient to use.

Organization Structure

SNACK PRO VENDING has the organizational structures that will help the business

operation be smooth, efficient and effective. Due to the minimal need of human resources, this

will avoid any overlapping of duties and responsibilities that may cause disputes or

misunderstanding and compromise the operation of the company. Below is the organizational

chart of our company

As can be observe in the above chart, the head of the organization is the General

Manager. Under her/his direct supervision are the cashiers, maintenance personnel, bookkeeper

and the security guard.

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Personnel Qualifications and Functions

In order for the establishment to have a smooth, efficient and effective business

operation, we have clearly defined the duties and responsibilities of each employee. We have also

itemized the required qualification for each position to make sure the hired personnel will be

knowledgeable of his/her post. Below is the table presentation, the job description and

specification for the positions in the company.

Table 21

Personnel Job Descriptions and Job Specifications

Snack Pro Vending

POSITION NO. JOB DESCRIPTION JOB SPECIFICATION

Operations 1 Assumes responsibility for all The managing partners will hire

Supervisor planning and policy formation. an operations manager that will

She shall decide the task to be oversee the over-all operations

performed in order to achieve of the establishment.

the goals. She must decide on

the resources that are to be used

in carrying out the task. She

sees to it that activities of

various parts of the

organization are coordinated

match individuals are

performing their task. She deals

57
 with people as complete

individuals and establishes fair

level of wage hour and working

conditions.
Cashier 2 Responsible for all monetary a. Female
b. Graduate of any business
transactions of the company.
related course.
Sees to It that all receivable are c. Have a reputable

being paid within the time character

d. Have at least 1 year
frame given. She also handles
related experience
payments of the companys

financial obligation.
Janitors 2 Make sure that the whole a. Male/Female
b. At least high school
premises are clean and order
graduate
c. 18 years old and up
d. Hardworking and

dependable
Security Guard 2 Responsible on keeping the a. Male
b. Must be a criminology
premises and cars secure and
graduate
safe. Reports incidents that may c. Must undergo a security

affect worse the company and training by any security

the clients. training by any security

agency
d. At least 25 years old
Maintenance 2 Make sure that the pallets and a. TESDA certified in any

Personnel all peripherals of the e-park IT courses

b. At least 2 year
system are functioning well.
experience in the same

58
 Report to IT specials anything job
c. At least 25 years old
that may hamper or cause d. Dependable and can

anything that may hamper or work with less

cause disruption in the smooth supervision

operations.
Bookkeeper 1 Keep the records of the a. A degree holder of BS

companys account receivables, Accountancy

b. Male/female at least 25
payables, rentals, prepaid
years old
expense and others. c. Must have an experience

of 3 years in related job

Inventory Clerk 2 Keep the records of the a. A degree holder in

companys incoming and business related course

b. Male/female at least 25
outgoing inventory
years old
c. Must have an experience

of 3 years in related job

Presented in the above table are the defined job description of each employee and the

qualification. Also presented were the number of the employees required.

All the positions above must be filled by locals who live near to the business

establishment. In the event that a local is unavailable, applicant from outside of Tacloban City

may be hired.

A traditional hiring process will be observed by the establishment. Each applicant need to

submit an UPDATED AND COMPREHENSIVE RESUME, 1x1 photo, an NBI Clearance,

TOR/copy of grades/high school diploma, and COE.

59
Compensation Structures

To encourage the employees to perform at their best, a reasonable compensation will be

arranged. Aside from that, additional benefits mandated by the government like SSS, PAG-IBIG,

and PHIL HEALTH will also be provided. We will also provide 13 th month pay, night differential

and bonus to be presented in the next page will be the compensation structure of the employees.

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 Table 22

Compensation Structure

Snack Pro Vending

COMPENSATION STRUCTURE

BENEFITS
TOTAL 13TH TOTAL
MONTHLY PHILHEAL TOTAL NET
POSITION NO MONTHLY SSS PAG-IBIG MONTH ANNUAL
SALARY TH DEDUCTIONS SALARY
SALARY PAY SALARY
ER EE ER EE ER EE
Operations Supervisor 1 10,000.00 10,000.00 600 400 100 100 100 100 600.00 10,000.00 9,400.00 112,800.00
Bookkeeper 1 8,000.00 8,000.00 480 320 100 100 100 100 520.00 8,000.00 7,480.00 89,760.00
Cashier 1 1 8,500.00 8,500.00 510 340 100 100 100 100 540.00 8,500.00 7,960.00 95,520.00
Cashier 2 1 9,350.00 9,350.00 561 374 100 100 100 100 574.00 9,350.00 8,776.00 105,312.00
Maintenance Personnel 2 8,500.00 17,000.00 1,020 680 100 100 100 100 880.00 17,000.00 16,120.00 193,440.00
Janitor 2 6,500.00 13,000.00 780 520 100 100 100 100 720.00 13,000.00 12,280.00 147,360.00
Security Personnel 1 1 7,000.00 7,000.00 420 280 100 100 100 100 480.00 7,000.00 6,520.00 78,240.00
Security Personnel 1 1 7,700.00 7,700.00 462 308 100 100 100 100 508.00 7,700.00 7,192.00 86,304.00
Inventory Clerk 1 8,000.00 8,000.00 480 320 100 100 100 100 520.00 8,000.00 7,480.00 89,760.00

TOTAL 11 73,550.00 88,550.00 5,313 3,542 900 900 900 900 5,342.00 88,550.00 83,208.00 998,496.00

61
 SNACK PRO VENDING

Organizational Chart

Management Committee
(ALL PARTNERS)

Operations Supervisor
Bookkeeper Cashier

Maintenance Personnel Security Personnel

Inventory Clerk Janitor

62