INTRODUCTION

The Handy BUTT Paper is not just an ordinary paper as it is mainly constructed with cigarette
buds. Cigarette butts are the most commonly discarded piece of waste worldwide. It is estimated
that 1.69 billion pounds of butts wind up as toxic trash each year, creating an enormous envi-
ronmental, health, and economic burden. In addition, cigarette butts are not biodegradable, thus
one can imagine the impact this has in our environment.
Handy Butt Paper derived its name from first the word Handy is from hand made because our
product is handmade papers. Second the word Butt is from our main raw material and last the
word Paper name from itself because our product is paper.
Base on research recycling, cigarette buds can put thousands of toxins into of our water. A single
butt can contaminate 1 liter of water with 9000 toxins. So we decided to start recycling these
butts and transform it into a business product, the Handy Butt Paper is composed of 75% ciga-
rette buds and 25% used papers.
EXECUTIVE
SUMMARY
Rather than throwing these butts around the street, we urge smokers to recycle their cigarettes
butts through collecting or segregating these into the recyclable trash bins. In order to fill the
need for a proper recycling of these filters, we shall dissolve the toxins out of the filters and press
them into papers. Thus, we are offering Bookmarks, Gift wrappers, Papers, and Scrapbooks, all
of which have the base material of cigarette butt. These are offered in varying designed and sizes
to accommodate varying tastes of consumers.

Competitive Advantage

Management Team
Handy BUTT Paper will be operating as a General Partnership with 4 capitalist partners and 4
capitalist-industrialist partners. They will be sharing an equal ratio of 12.5% per partner. Each
partner shall contribute cash in the amount of Php104,375.00. The capitalist-industrialist partners
are identified as the General Manager, Accountant, Supervisor, and Design Artist of Handy Butt
Paper.

Investment
Our total capital contribution amounted to Php835,000.00 which will be realized in 1.05 years as
per our payback period. The current ratio is 2.29, the percentage of equity to debt is 64%, and the
gross profit margin is 68% for the first year. The average return on investment for 5 years is
109%.

Conclusion
TABLE OF CONTENTS

Introduction ……………………………………………i
Cover Page …………………………………………..iii
Executive Summary …………………………………………..iv
The Company ……………………………………………1
Company Description ……………………………………………1
Mission Statement ……………………………………………2
Value Proposition ……………………………………………3
Products and Services ……………………………………………4
Market Analysis and Competition……………………………………………5
Industry Analysis ……………………………………………6
Market Figures ……………………………………………6
Competition ……………………………………………7
SWOT Analysis ……………………………………………8
Marketing Plan …………………………………………..12
Marketing Channels …………………………………………..12
Sales Target …………………………………………..13
Management and Organization …………………………………………..14
Financials …………………………………………..16
Fundraising and Use of Funds …………………………………………..18
ix
Appendix A …………………………………………..18
Refining the Plan …………………………………………..19
 I. THE COMPANY

i. Company Description

ii. Mission Statement

We, The Handy Butt Paper Company will work hand in hand and with dedication to

provide our beloved customers our best quality recycled products.

iii. Value Proposition

Handy Butt Paper Company envisions being the leading company in Paper industry

and to innovate and sustain waste reduction within an engaged community.

Products and Services

The production of the HANDY BUTT PAPER issued by the company is under the manufactur-

ing process. It includes extensive labor since our product is composed of papers. Workers will

focus in the process of removing toxins out of the filter, and secure the proper and safe process

of the butt papers. Equipment is used in the process of packaging and labelling of the product

that will added in the cost of the product after shipment from the supplier to the HANDY BUTT

PAPER warehouse. The result of the good quality of the product is caused by the skilled and

hard work of the makers, manufacturer, and suppliers of the HANDY BUTT PAPERS.

Our company’s primary objective is to provide convenience to our customers. Handy BUTT Pa-

per vital competitive advantage among our competitors is the unique product that we have, be-

cause handy butt paper uses recycled materials that can help our environment.
Market Analysis and Competition

In the Philippines most of the paper product that businesses use are from cut trees, however, the

Handy BUTT Paper will use cigarette butts or cigarette fibbers and recycled papers that helps

our environment. This innovation shall prevent logging of trees that destroys our ecosystem.

Our strategy is to sell our products in the place where there are many students. We will inform

the market, students and young adults alike, about our product, through the use of e-commerce

and social media, like Facebook and Instagram. We will ensure that we prioritize our customer’s

satisfaction in our products in order to earn their trust and loyalty. Third we will further innovate

our products to retain the customers that had supported us. Overall, these are effective ways to

stay competitive in the industry.

Industry Analysis

Our product is a new introduction to the market because we’re selling recycled paper made out

of waste cigarette butts and used papers. It is unique and new in the industry/market so the barri-

er to entry is LOW.

The rivalry of our indirect competitors is LOW, while our rivalry of our direct competitors is

HIGH. We will focus on advertising our product so the customers will know that a product like

this exist. Our company will continue to offer products that meet the satisfaction of our custom-

ers.
The threats of substitute is HIGH, since there a lot of indirect competitors that can be a substitute

for our products, the company will emphasize the quality and the benefits with its affordable

price of the products, which is recycled paper. We shall meet, if not surpass, the standards set by

our competitors in order to satisfy the needs of the customers.

The bargaining power of customers is LOW, because the customers do not have a lot of choices

available since our product is new to the market. We will maintain the good quality of our prod-

uct with its affordable price.

The bargaining of the supplier is LOW. Handy Butt Paper has many suppliers of raw materials

(mainly waste cigarette butts and used papers). We will provide Memorandum of Agreement in

each one of our suppliers. It indicates that the prices of the materials will be the same inclusive

of the change in prices made by the industry and the proper segregation of cigarette butts and

used papers. This is so that they may be able to provide the right amount of supplies.
Market Figures

Competition

Based on our research conducted the National Bookstore is a possible competitor of our recycled

product (Butts Papers) within Manila. National Bookstore carries a wide variety of gifts and dec-

orative accessories including the school and office supplies such us folders, gift wraps, scrap-

books and spiral notebooks most of which are handmade by Filipino craftspeople and made in

recycled materials.
 SWOT Analysis

Strengths:

 Unique Product
 Good Pricing Strategy
 Good Location
 Environmental – friendly
Weaknesses:

 Difficulty in production
 Lack of brand awareness as a new entrant to the market
 Low popularity
 Lack of experience and expertise as a beginners in the business
Opportunities:

 Curiosity of the market for the new product since the raw materials can be used to recycle or
to reuse to make an another product
 E commerce and social media are used as a channel to market and sell the product
 Innovation, the cigarette butts or cigarette filters can be substitute to make a recycle products
like papers, chairs, glue, etc.
 Availability of seminars or trainings to develop and enhance the skills and knowledge of the
employees
Threats:

 Strong competition
 Not the basic need of the consumers
 Change in consumer’s taste or the consumer’s preference fluctuates a lot
 Having a well-known competitors in the market

Marketing Plan

Cigarette butt is one form of non-biodegradable litter. Carried from the streets to drains and riv-

ers, then ultimately to the ocean and beaches. Cigarette filters are the single most collected item

in international beach cleanups each year especially in Manila areas. They are an environmental

blight on streets, sidewalks, and other open areas. The Handy Butt paper will lessen the waste of

cigarette butts on streets, sidewalks, and other open areas. This product will promote the use of

recycled materials that helps the environment.

The promotion of our product will be through different social media accounts, we’re going to use

Facebook and Instagram accounts so that our products may be viewed by our clients and cus-

tomers anywhere and anytime. We will also provide brochures for interested individuals or

groups for increased awareness of our products.

Our clients and customers can visit our store in Sampaloc, Manila. This place is our target mar-

ket because it is surrounded with different schools and universities, business offices and parks

where our buyers usually go.

Handy Butt Paper is still on the process of prospering, since we just started selling our products

online. But now, we will be launching our first Handy Butt Paper store in Sampaloc Manila. For

our first store, we will be hiring people who are fast learner. Since having a store is not just that

easy, we have to hire people who will be making an exact amount of our paper products to pro-

duce. We will teach them and train them so hard to make sure that the consumers will surely like

our beautiful, eco-friendly product. In addition, we will also hire at least two to three people who

are very good in sales talk and has a pleasant personality.

We all know that the social media in this generation is very useful to our society. So we decided

to start selling our first beautiful paper products online. It is named @handybuttpaper on Insta-

gram and Handy Butt Paper on Facebook. In just simply clicking the link of our Online Shop

they can already see the details on how to order their preferred products. In addition, the pictures

of the product was all posted on the Online Shop. Every picture has its own item number so the

costumers will not have a hard time on listing down their orders.

The process in our store will be first is to great all customers who will come in into the store by

all our staffs with a big smile from their face then second is ask the customers if what products

are they needed to buy, third is to offer to the customers all the different kinds of products that
we are selling in our store so they can also add it to their things to buy, then after the customers

done with choosing what they going to buy the staff will assist our customers to the cashier so

they can pay it there all products they wanted to buy in our store, then last after the customers

paid all the paper products that they buy our staffs will assist them again until they leave in our

store.

Marketing Channels

Brochures

We will be distributing brochures within the store, nearby establishments, and outside nearby

schools and universities. The company will produce 300 pcs per week.

E-commerce and Social Media

Since we are now in a modern world and almost everything can be found in the internet, we will

use online strategy by using free websites like Facebook and Instagram in order to gain and reach

a wider range of possible costumers.

Sales Target

PROJECTED SALES

Monthly Projected Sales in Volume

Month 1 2 3 4 5 6 7 8 9 10 11 12 Total

Scrapbook 1550 1450 1355 1120 1115 1690 1750 1770 1830 1860 1940 1446 18,876

Gift wrapper 250 267 276 290 310 325 367 398 438 456 498 586 4,461

Bookmarks 79 75 74 70 69 107 100 97 95 90 88 86 1,030

Paper 750 746 730 719 700 1109 1100 900 850 798 786 765 9,953

Total 2629 2538 2435 2199 2194 3231 3317 3165 3213 3204 3312 2883 34,320

Management and Organisation

Financials

Fundraising and Use of funds

Appendix A

Refining the plan