Dismo Tech.

TABLE OF CONTENTS
1.0 Executive Summary……………...………………………………………...…3
1.1 Business Objectives……………………………………………..………………….……3
1.2 Mission Statement …….…………………………………… …..……………………4
1.3 Guiding Principle...……..…………………………………………..……………………4
2.0 Company Description.……………..…………………………………………4
2.1 Ownership……..…………………………………………………………………………5
2.2 Legal Form…………..………………………………………...…………………………5
2.3 Location and Facilities…………..……………………………………………….………5
3.0 Products………………………………………………………………..………5
3.1 Products/ Services Description……………………..…………………………….………6
3.2 Competitive Comparison…………………………..……………………….…….………6
3.3 Product/ Service Sourcing…………………………...……………………………………6
3.4 Inventory Management……………………...……………………………………………6
3.5 Products/Services…………………………………………………………………………6
4.0 MARKET ANALYSIS....……………………………………………………..7
4.1 Industry Analysis………………..………………………………………………………..7
4.1.1 Market Size………………...……………………………………………………....7
4.1.2 Industry Participants…………………...…………………………………………..8
4.1.3 Main Competitors…………………...……………………………………………..8
4.1.4 Market Segments……………………..…………………………………….….…..8
4.2 Market Test……………………………….……………………………………..……….8
4.3 Market Strategy Segment…………………….……………………………….…………8
4.3.1 Market Needs…………………….…………………………………….………….8
4.3.2 Market Trends………………….…………………………………….……………8
4.3.3 Market Growth………………….………………………………….…………...…8
4.4 Positioning………………….…………………………………………….………………8
5.1 SWOT Analysis................................................................ Error! Bookmark not defined.

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5.1.1 Strengths ......................................................................... Error! Bookmark not defined.

5.2 Competitive Edge................................................................ Error! Bookmark not defined.

6.0 Organization and Management .......................... Error! Bookmark not defined.

6.1 Organizational Structure ....................................................... Error! Bookmark not defined.
6.2 Management Team................................................................ Error! Bookmark not defined.
6.3 Management Team Gaps ...................................................... Error! Bookmark not defined.
6.4 Personnel Plan................................................................ Error! Bookmark not defined.

7.0 FINANCIAL PLAN ........................................................................................13

7.1 Important Assumption....................................................................................................13
7.2 Start-Up Costs.................................................................................................................13
7.3 Source and Use of Funds..................................................................................................14
7.4 Break-Even Analysis........................................................................................................14
7.5 Projections.........................................................................................................................14
7.5.1 Projected Profit Loss...............................................................................................14
7.5.2 Projected Cash Flow...............................................................................................15
7.5.3 Projected Balance Sheet..........................................................................................16

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1.0 EXECUTIVE SUMMARY

The company named as DISMO TECH endeavors a straight forward progression in the gathering
of the best possible program output. But in order to pursue and move forward with the plan, the
company is required to develop a program for the partial fulfillment grade of correlating a school
subject study. In this regard, the company follows through the adherence of the study of discrete
mathematics. According to the study, each following data structure used for the said subject will
comply towards an application program or software that conceives beneficial studies.
Discrete Information System Mathematical Operation (DISMO TECH) as a company name,
was derived from two entities between discrete structures and the involvement of information
technology itself. Dismo tech is only considered as a small contractor due to the limited partnership
offered to the business plan. For the venture of the plan, the business will start from a small project
till it reaches its pinnacle state to push through a bigger project. Thus, if the small project plan
prospers in such an unexpected manner of success, then the business is most likely liable to further
enhance the plan through greater extended heights.
The inspiration of the program development is formed by a group of students that anticipates a
betterment in learning educational lessons through a program design. A design that implements a
topic of a school subject that prioritizes learning through tutorials, discussion, and the calculation
of answers for a specific topic problem.
Dismo tech focuses on three key service areas: programming language, application software
design, and the support in providing students an easy accessible program study. Dismo not only
focuses on the following services, but also strives for the development of the utmost finished
product by gathering feedbacks in potentially improving the business plan for more detailed
information and increasing efficiency of the program. In accordance to the small projection of the
business, the company has the advantage or ability to take feedbacks as criticism and quickly make
actions upon fixing issues or creating a possible inclusion of new features towards the software.
The purpose of the plan is to integrate the concepts of information technology studies along with
the logic discrete mathematics. This not only connect two studies, but also mainly providing
student consumers the upper hand of guidance towards the innovated creation of the application.

1.1 Business Objectives

Objectives are the prime guidelines with the absolute must to attain success with a sole purpose to
follow each objective goal.
Among these objectives are the following:
1. Prioritize that people’s or consumer’s vision and must therefore meet the expectational
needs and wants first before constructing program algorithm designs. Hence granting
consumers a comfortable experience.

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2. Accommodate more room for improvements of services by dedicating work efficiency and
effectiveness of the software in terms of accessibility, open friendly program, dedication
to support education, and develop an increasement of consumers productivity in
performances.

3. Always deliver a future that upholds the consumer’s positive feedback by maintaining a
consolidated output of work commitment and sustaining the relationship of the consumer’s
perspective by expanding more options through the software.

4. People should always come first before implementation of program interface.

1.2 Mission Statement

The inevitable mission of Dismo Tech is to foster the development of the user’s relationship
towards the software use and divulge any hidden opportunities into making the application superior
to its former inferior version, also to immerse a reasonable unique ability that entails difference
upon any other competitive products.

1.3 Guiding Principles

Aim High – always seek the probability of achieving greatness not just by settling for what is only
satisfactory but for respecting the fact that everything deserves to be seen at its best form. Dismo
envisions that the cost of every exerted effort comes with an outstanding result by showing
commitment and passion.
Be an Open Book – Desire the comprehension of deep understanding towards peers and the
working environment surrounding the place. Emerging oneself upon open forums will only
mitigate the performance of each group’s unity. Being open will guide in opening minds of others
into thinking, learning how they feel, and most importantly learn through combining innovative
creative ideas.
Be dedicated – It is believed that it is the key factor to present one’s personal commitment and
goal to be achieved consistently while increasing consecutive work productivity at its best form.
Showing dedication will prove work punctuality and dignity to liberate others inspiration.

1.4 Keys to Success

To attain the plausible outcome of prosperity, the company considers the key factors that contribute
to success are in fact a necessity towards the project.
 Always create a difference in working upon a product
 Manage competitive advantage with an organized base of growth strategies in marketing

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 Refine financial management with an update.

 Promote the product’s name by its beneficial support
 Maintain stability in recurring revenues.

2.0 Company Description

Dismo tech is a limited partnership of information technology that sets itself across the line of
gaining profit sales based on software development applications that can also transverse as a
supporting tool. A tool that can be used across different platforms such as the internet, pc
application, or even as a mobile application.
The company aims to pursue the entitlement of having at least a decent entertaining and eye-
catching program aesthetic. Nevertheless, implementing the best befitting design for the users to
utilize their subject increases their productivity to be more knowledgeable in their studies. The
company may seem small, but its overall establishment comes from group members years of
experience under the study of various information technology fields.
Due to the direction of technology’s continues evolution, it toils the business by challenging the
company members to conform towards updated measure that technology’s interfaces portray in
today’s trend. Hence, it requires the company to integrate newer studies before developing a new
constructed idea to project another business plan. Otherwise, without constructive ideas to adapt
towards the technology’s trend phase, the business would create redundancy over planning the
business venture.
Dismo tech. focuses mainly on Java programming language as it also revolves around the use of
application studios and other similar programming languages to support by utilization on the
software’s function effectively. Ultimately, the business endeavor seeks the growth of the market
by prioritizing market trends and correlate them under the study of discrete mathematics.

2.1 Ownership
Towards the very beginning of the company’s foundation. A group of people were gathered
formally. The formed group composes of five members as a team, while each member has a its
own specific role/ position to take place in developing software.

2.2 Legal Form

DISMO Tech. is formed at a year of 2019, conducting programs as a proposition to promote
educational welfare.

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2.3 Location and Facilities

The main corporate office of the team is located at the well-known centered subdivision of Avida
Dasmarinas at the street of Cavite Salawag. The residential population of the area comprises the
variety of families across the different pathways of houses.
Dismo tech’s team also finds its way for a meeting at alternate areas while conducting studies,
these areas are found around the campus of the De la Salle University Dasmarinas.

3.0 Products

3.1 Products/ Services Description

Dismo tech complies to the partnership by the ensuring control in product quality and
good rate in performance. Dismo provides the following services with the life cycle
method. These services are:

 Analysis on System Management

 Program Software Implementation
 Program Analysis
 System Toolkit Utilization
 Application Software Requirement
 Application feedback and testing

3.2 Competitive Comparison

The best way to differentiate the company’s vision is to represent and define the
obligation to be open friendly or either become an information technology ally to
consumers of the product. With that said, a foundation to provide local consumers by
meeting their expectations and needs can refine the structure of the business image to
be more profound in nature.

Upon creating a connection towards consumers, forming an alliance that gathers a

community of consumer-based application can also benefit from making the business
product even more enhanced due to its unique credibility of the consumer feedbacks.
Thus, reaching out for feedbacks creates an extent for opening new opportunities.

As other existing products from other companies sprout out, Dismo tech will provide a
free downloadable content with a trial addition of extra features to intrigue consumers
to buy and gain acces to the product’s full feature use.

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3.3 Product/ Service Sourcing

Dismo’s indicator to achieve consistency over service has been the conduct of
partnership involvement around the company. Among these items will provide
following factors to product/service sourcing:

1. Identifying procedure status promptly

2. Computer-based Traning Program (Increase effectiveness of members in
developing apps)
3. A clear work terms and conditions provided within the partnership
4. Product quality evaluation control
5. Provided technological gears/equipment by members of the team.

3.4 Inventory Management

Majority of Dismo’s working procedure will only comply by its services. Therefore, the company
does not support inventory.

3.5 Products/Services
The strategy of the business hinges on providing unparalleled service and support, which very
monumental for the business to be apart from the competition. It is a necessity to assess the
distinguishing the difference upon service and support in order to gain full trust as partners
with the consumers. The service offers will come with the inclusion of the following:

 Uptime guarantees: The inclusion "uptime guarantees" represents the all-inclusive service
agreements to insure maximum productivity for our consumers.

 Customer Beta Test: This will package comprehensive consumer-based testing program
with all by offering most of its program detail and include a systematic follow up. A
participation of consumer’s involvement will grant feedback for further analysis.

 Update analysis: A process to periodically assess the consumer’s business processes and
requirements, and offer cost-effective update solutions to match changing needs.

4.0 MARKET ANALYSIS

DISMO’s primary target are the IT students of De La Salle University Dasmariñas which were
mainly chosen due to the course specialization of the students who initiated the idea of establishing
this business. Competitors are available globally and are more innovative, thus our business plans
to limit the audience to the students of this university and give them a budget friendly and
beneficial program. The main goal of is to give IT students a more accurate result in solving various

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logical problems that are associated to discrete mathematics. This program is called the truth
generator table, wherein answers are not easily found throughout the internet as it relies mostly on
logic. The initial span given to this product is around one semester, throughout the end of this
semester we will be able to analyze the whether the product will be successfully demanded by
students. We cannot currently give a concrete amount of sales, because we do not necessarily need
a large amount of investment in establishing this product as it involves programming.

4.1 Industry Analysis

Dismo Tech. specializes in providing information management systems and technological
applications for business processes used solely for educational terms of support. Other competitor
establishments are on run and it is a perspective to always consider ways to outrun other companies
by starting build up ideas first.
The convergence of information industries will continue to arise because the technological and
business imperatives are far compelling towards the community. If one company does not see the
possibilities, others will.

4.1.1 Market Size

The establishments’ target market are mainly the IT students studying in DLSUD, which is more
or less around 300 of the total population. As seen throughout the years, this field has one of the
most least populated areas in the University, and with the implementation of the k-12 system a
declining number of students in this expertise can be seen. However, individuals who are expert
in this area may also be considered as potential target market, but still Dismo will still prioritize
the latter.

4.1.2 Industry Participants

Dismos’ competitors may range from already well known establishments who are far more
experienced or if a narrower perspective is considered, those having the same level of knowledge
specifically, other groups of IT students. Being an independent establishment whom initially put
forth in implementing this business without any form of government constraints, likewise there
aren’t need for any legal requirements such as: certificate, registration, and so on and so forth.
Through this, it can be seen how other establishments may be considered as competitors by solely
basing on their field of expertise. Mainly those with similar purpose whom also cater in discrete
mathematics, one of the most crucial aspects for developing a software or system, and this
business’ main objective.

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4.1.3 Main Competitors

All businesses face competition, for the competing products are applications and websites of truth
table generator or converter, and online tutorial for competing services. Knowing who the
competitors are, and what they are offering, can have advantages and disadvantages, First, the
advantage, it helps the team to make a unique product, services and better marketing strategy.
Studying the competitor’s opening will enable the team to give prices competitively and it can help
the team to respond to rival marketing campaigns with their own initiatives. For the disadvantages,
sometimes it assumes competitors are priced correctly. Also, if discussing about the matching
competitor pricing, then DISMO has no difference since they end up having to compete on price
with the competitors.

4.1.4 Market Segments

As previously stated, Dismo’s primary target market are limited to the IT students studying within
DLSUD than other individuals outside the said boundary. Likewise, even though other individuals
in the field of IT may also benefit the establishments’ offer due to the similarities of characteristics
involved, Dismo still prioritizes these students. Mainly, due to the fact that entering the world of
business the company needs to know first from a small group of people whether their product lacks
certain aspects or sufficiently satisfying their targeted market.

4.2 Market Test

Dismo tech plans on focusing on their primary target market due to the fact that their product is
still not definite. Meaning, further enhancements may be imposed from the comments and
suggestions of the users, which are the IT students before publicly implementing it. Feedback is
crucial to have an in depth understanding on whether the product met the given standards set by
their consumers before being able to expand their business.

4.3 Market Strategy Segment

To increase revenues, the marketing strategy goal is to engross students to take part of using and
downloading the content application to keep the sustaining pace in the relationship of participation.
The aim of this project’s promotion is to increase awareness and knowledge, to create interest, and
generate sales. The marketing communication that will be used are physical environment and
digital media. In a physical environment, the team can build an event such as seminars, trade
shows, where there will be an interaction between the target market and the producers. By
purchasing the product, the target market will receive an incentive, free item, or coupon.
Nowadays, promoting businesses on the digital or social media platform is more advisable because
most of the people on our generation prefers things online. These methods are used to increase the
sales of a given product.

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4.3.1 Market Needs

As seen, one of the main reasons for the implementation of truth generator table is to lessen the
difficulty of individuals who are in the expertise of creating a software or system. Since there is a
wide range of requirements in order for a program to work, one might find the need to compute
and solve tiresome. This gave Dismo the idea to implement the program, which is to use the
efficiency of technology in the creation of something that may consequently reduce the difficulty
for these stated individuals in creating their desired program.

4.3.2 Market Trends

There is an existing applications and websites for the truth table generator in the marketplace. This
generator generates and display truth tables that contains a JavaScript program which shows a
well-formed formula of sentential logic. The free version of the existing application supports all
usual connectives of classical logic, that is negation, conjunction, (inclusive) disjunction,
conditional (material implication), and biconditional. In Addition to features, the DISMO’s
proposal is to add features that is unique and interesting like logical games that enhance the ability
to learn in this course, or logical problems with tutorial.

4.3.3 Market Growth

In accordance to the probability of growth rates increasing drastically. Finding stability to

form newly created applications would also be part of the plan to balance the flow of the
market. As technology evolves, where new leads of software developments are in progress
to conduct a study out off, this leaves old applications obsolete in functionality as time
passes. Old products will have their prices lower and other digital interfaces will be
replaced with better trends. Therefore, it is mandatory to maintain implementing upgrading
systems in developing applications.

4.4 Positioning
Dismo may set aside from its competitors based on the following: 1.) Narrow target market focus.
2.) Budget friendly 3.) Concerns and suggestions from customers may be addressed quickly and
applied to the system offered for further enhancement. 4.) Customers always comes first.

5.1 SWOT Analysis

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5.1.1 Strengths
1. DSIMO Tech. provides a convenient tutorial and calculator/generator for discrete
math concepts specifically for the lessons of the students of De La Salle University
Dasmariñas taking the subject discrete math.
2. With DISMO Tech.’s application, calculation and analyzation of certain topics
would lessen the time and effort of the students in computation.
3. The application is of great help to anyone taking the subject discrete mathematics
within the university. Along with being able to provide accurate results and
discussion, the application is accessible and can be used by any student who
purchases the app and wishes to learn more about the subject.
5.1.2 Weaknesses
1. There are only a few courses within the university that are taking the subject discrete
mathematics per semester. This may decrease the number of users of the application since
it depends mainly on students who study the said subject.
2. Customers are limited only to the College of Science and Computer Studies students of De
La Salle University Dasmariñas.
3.There are restrictions and limitations within the application’s features. Some of the
application’s service availability depends on the user’s membership.
5.1.3 Opportunities
1. DISMO Tech. could expand its target market in the future and partner with other schools
or universities to cater students learning the subject discrete mathematics.
2. The application could be introduced and included on Schoolbook where professors could
upload topics or post activities that students could learn and answer online.
5.1.4 Threats
1. There are other competitors online who offer calculators/generators similar to DISMO
Tech.’s application.
2. There are other online resources that offers a variety of lessons regarding the subject
discrete math.

5.2 Competitive Edge

DISMO Tech.’s advantage over its competitors is that the company focuses on the target
market’s needs and specifically made the application for them. The content and ideas from

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the said application is guaranteed of its accuracy and relevance as it follows the lessons and
topics which are also being discussed inside the classroom.

5.3 Marketing Strategy and Positioning

Dismo mainly focuses on the field of information technology and as seen discrete mathematics is
crucial for developing a software or system, the reason why this application encourages not only
IT students to learn about the latter but also those who are passionately inclined in the field of
technology.
5.3.1 Positioning Statement
This establishment aims to be one of the pioneering in de la salle University Dasmarinas to produce
a program that upholds the needs of IT students for them to create their desired program or
application. As said in the its motto “we find answers” depicts how student, rather in addition
individuals in the area of Information technology will be able to attain their desired answers from
the various computations in correlation to making a software or system.
5.3.2 Pricing Strategy
Dismo charges 25.00 per hour
Minimum of one hour per user.

5.3.3 Promotion and Advertising Strategy

Being part of the IT industry, dismo would like to use the various resources inclined to this area in
its advertisements, mainly social media. Because it is known to be the most accessible and
convenient medium of communication of todays’ time. Through online advertisements the
establishment will be able to easily catch peoples’ attention whom may have an interest towards
this field.
5.3.5 Marketing Programs
The application may be accessible through online, as the field of IT strives for innovation and the
use of the available technological resources. In addition due to the limited budget in establishing
an event or program in addition there may also be a face-to-face time towards contacts.

5.4 Sales Strategy

Dismo tech would like to present their product towards their perspective customers with an initial
free trial of the program. Through this users will be able to experience the benefits given by the
newly implemented application and may further suggest feedback on whether it lacks in some
aspects or satisfied their expectations.

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5.4.1 Sales Forecast

Dismo aims in growing revenues ranging from atleast 15 up to 20% over the course of the year,
which is the estimated given time for the group in attaining sales. The establishment is currently
employed with only five employees, which are the ones who implemented the application.
Through this, it could be seen that both assets and revenue does not equate to a large amount, for
it customers only encompasses IT students within the university.

Table 5.4.1 Annual Sales Forecast

Annual Sales Forecast Year 1
Sales
Revenue 180,000.00
Additional Revenues(Residuals) 27,000.00
Total Sales 207,000.00

5.4.2 Sales Programs

Dismo gives its employees almost a fair amount of bonus or profit sharing, since each individual
in the establishment are almost on the same level. Since not much profit is attained, bonuses most
likely does not equate to an ample amount.

5.5 Milestones
The following milestones aids in gauging dismos’ target metrics
Milestone Date
Business implementation Today
Grow revenues 15% and assets 15% Year One
Secure 15% of revenue Year one

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6.0 Organization and Management

6.1 Organizational Structure

Manager
Ticlao, Mark Jonah
G.

Assistant Manager
Becina, Chriseanne
Verisse Imperial

Technical Lead Marketing Lead Financial Lead

Golingan, Joh-Ann Arago, Anne Rachel Camaclang, Danielle
P. Villaflor Nicole Ramos

6.2 Management Team

Mr. Ticlao, Mark Jonah G. is the Manager, he holds the highest-ranking in this project.
He is responsible for the overall success and for the most important administrative decisions.
He also examines the works of other members and ask for feedback on major decisions but
at the end he is the ultimate authority in making final decisions.
Becina, Chriseanne Verisse Imperial is the Assistant Manager who supervises the DISMO
Tech. operations, specifically the production of the products and reports it to the Manager.
Her main role is to ensure that the organization or team has effective operational and
financial procedures.
Golingan Joh-Ann P. oversees technological needs, researching, organizing, designing or
posting the product thru online and developing policies and procedures, and uses technology
or program to enhance the DISMO plans, products, and services.
Arago, Anne Rachel Villaflor has one of most important roles in management team which
is Marketing Lead. Her role is to set the objectives and marketing goals, to study the target
market and its environment, to have an efficient marketing plan and manage the marketing
strategy, and to design, plan and execute effective marketing campaigns.
Camaclang, Danielle Nicole Ramos is the one who is responsible for managing the
financial matters of the project and ensuring a financial report to the management team.

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Specifically, her role is to hold and plan the cash flow and to analyze the financial strengths
and weaknesses of proposing a product or service.

6.3 Management Team Gaps

As a startup business, DISMO Tech. may not have the funds available yet to hire for more
essential roles, like additional programmers for the software to work well.
To meet the gaps, the DISMO’s proposal is to add features in the program that is unique and
interesting like logical games that enhance the ability to learn in this course, or logical
problems with tutorial. From that, we may attract more consumers and gain more income to
have funds to hire people to make the product work better.

6.4 Personnel Plan

The following table demonstrates the budget requirements for DISMO staff over the next
three years.

Table 6.4 Personnel Plan

Annual Sales Forecast Year 1 Year 2 Year 3
Manager Php37,000 Php37,000 Php37,000
Assistant Manager Php36,500 Php36,500 Php36,500
Tech. Lead Php36,000 Php36,000 Php36,000
Marketing Lead Php35,000 Php35,000 Php35,000
Financial Lead Php35,500 Php35,500 Php35,500
Programmer 1 Php25,000 Php25,000
Programmer 2 Php25,000 Php25,000
Programmer 3 Php25,000
Programmer 4 Php25,000
Programmer 5 Php25,000
Total Php180,000 Php230,000 Php305,000

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7.0 FINANCIAL PLAN

7.1 Important Assumption
First important assumption is finances, the fund that will be used in running the business
are the savings or cash of the DISMO’s inventors and the received cash from the sponsors.
The estimated expenses of the business is Php 9,700 per month, to be able to pay for all the
expenses, the entrepreneurs will market the product to reach the estimated revenue per
month, Php 15,000.00.
Second important assumption is need, a business isn’t worth if nobody needs what they’re
offering. The target participants are CSIT students of DLSUD; students need help to their
projects, homeworks, and activities especially in programming. DISMO will be the perfect
application/website that will help the CSIT students since it includes all the topics related
in their course, and the students will have easier access and easier way to solve their
problems.
Third important assumption is resources, the entrepreneurs will provide more online
resources that are qualified for the target participants and aside from online resources the
business have it’s own professional consultants where the consultants will provide more
resources.
7.2 Start-Up Costs
Starting an online business on the internet can be relatively simple and affordable, but some
expenses are necessary. The typical and required startup costs associated in DISMO
business is Php 9,800 per month. The table below shows the required cost of the business’
start-up.
Equipment Php 1,000.00

Membership Fees Php 4,000.00

Marketing Php 300.00

Website Php 2,000.00

Payroll Php 1,000.00

Professional Consultants Php 1,500.00

TOTAL PHP 9,800.00

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7.3 Source and Use of Funds

The source of funds for the initial funding were in the form of equity financing. Personal
Savings is the first source of fund, second source of fund are friends and relatives, angel
capitals and sponsors.
7.4 Break-Even Analysis
The DISMO business aims to generate an amount of Php 15,000.00 per month, and Php
180,000.00 annual net profit per year. In order to meet that amount, the DISMO service
that costs Php 25.00 per hour on each user, must have at least 20 viewers per day. The base
paid costs Php 10,700 can be recovered within 6 months, after the expenses being
recovered, the sales generated for the rest of the year is considered as the business’ profit
since the expenses in this business for the following month and year will just be an update
of the system.
7.5 Projections
7.5.1 Projected Profit Loss
The company’s sales increases, and expenses also increases as year passed by. Since this
is a service business the expenses are just the maintenance, salaries of the inventors and
taxes. It is easier to have the higher chance to gain net profit than to loss net profit. Over
the three-year estimate, the company's total expenses increase as the income increases, as
well as the net profit.
The expected sales for the first year is Php 180,000.00, where the business must reach an
amount of Php 15,000 per month
Table 7.5.1 Pro Forma Profit and Loss
Pro Forma Profit and Loss Year 1 Year 2 Year 3
Income
Sales Php 180,000 Php 216,000 Php 280,800
Additional Revenues (Residuals) 0 0 0
Gross Profit Php 180,000.00 Php 216,000 Php 280,800
Expenses
Advertising Php 3,600.00 Php 4,000.00 Php 4,000.00
Miscellaneous Php 9,600.00 Php 10,000.00 Php 10,500.00
Professional Fees Php 18,000.00 Php 20,000.00 Php 24,000.00
Salaries Php 60,000.00 Php 65,000.00 Php 75,000.00
Utilities Php 12,000.00 Php 12,000.00 Php 15,000.00
Security, Updates of the system Php 10,000.00 Php 15,000.00 Php 20,000.00
All Other Operating Expenses (net) Php 5,000.00 Php 5,000.00 Php 7,000.00
Taxes Php 5,400.00 Php 6,400.00 Php 8,400.00

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Total Expenses Php 123, 600.00 Php 137,400.00 Php 163,900.00

Net Profit Php 56,400.00 Php 78,600.00 Php 116,110.00
PROFIT/LOSS PROFIT PROFIT PROFIT

7.5.2 Projected Cash Flow

The statement of cash flow shows the incoming and outgoing cash of the business and if
the business is deficit or not. Over the three year, the estimated cashflow displays a
SURPLUS status even if the net profit on the first year is low. It also shows that on the
following year, the net profit of the business increases.
Table 7.5.2 Pro Forma Cash Flow
Pro Forma Cash Flow Year 1 Year 2 Year 3
Income YEAR 1 YEAR 2 YEAR 3
Sales Php 180,000 Php 216,000 Php 280,000
TOTAL INCOME: Php 180,000 Php 216,000 Php 280,000
Expenditures
Fixed expenses
Equipment Php 15,000.00 Php 15,000.00 Php 15,000.00
Bills Paid Php 12,000.00 Php 12,000.00 Php 12,000.00
Membership fee Php 48,000.00 Php 48,000.00 Php 48,000.00
Total Fixed expenses Php 75,000.00 Php 75,000.00 Php 75,000.00
Variable Expenses
Marketing Php 3,000.00 Php 3,500.00 Php 4,000.00
Salaries Php 60,000.00 Php 65,000.00 Php 75,000.00
Consultants fee Php 18,000.00 Php 20,000.00 Php 24,000.00
Taxes Php 5,400.00 Php 6,400.00 Php 8,400.00
System update and Php 10,000.00 Php 15,000.00 Php 20,000.00
security
Miscellaneous Php 5,000.00 Php 5,500.00 Php 12,000.00
Total Variable Php 101,400.00 Php 115, 400.00 Php 143,400.00
expenses
TOTAL EXPENSES Php 176,000.00 Php 190,400.00 Php 218,400.00

SURPLUS(DEFICIT) SURPLUS SURPLUS SURPLUS

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 Dismo Tech.

7.5.3 Projected Balance Sheet

Now that students depend on technologies especially when it comes to school related, the
Proposed Balance Sheet of DISMO business have a positive result of its capital and the
cashflow. The positive result of the cash flow can be used to improve more the
system/application of the business. The DISMO must be keep in track with the updates of
the technologies and applications to maintain the positive cash flow of the business.

Table 7.5.3 Pro Forma Balance Sheet

Pro Forma Balance Sheet Year 1 Year 2 Year 3
Assets
Current Assets
Cash Php 50,500.00 Php 53,000.00 Php 60,500.00
Accounts Receivable Php 40,000.00 Php 50,000.00 Php 65,500.00
Inventory Php 3,000.00 Php 6,000.00 Php 8,000.00
Other Current Assets Php 5,000.00 Php 5,300.00 Php 8,000.00
Total Current Assets Php 98, 500.00 Php114,300.00 Php142.000.00
Long Term Assets
Long Term Assets Php 30,000.00 Php35,500.00 Php 45,500.00
Accumulated Depreciation Php15,500.00 Php 20,500.00 Php 25, 500
Total Long Term Assets Php 45,500.00 Php 60,500.00 Php 80,500.00
Total Assets Php 91,000.00 Php 116,500.00 Php 151,500.00
Liabilities and Capital
Current Liabilities
Accounts Payable Php 20,000.00 Php25,000.00 Php 30,500.00
Current Borrowing Php 5,000.00 Php 6,000.00 Php 8,500.00
Long Term Liabilities Php 55,500.00 Php42,000.00 Php 52,500.00
Total Liabilities Php 80,500.00 Php 73,000.00 Php 91,500.00
Paid In / Invested Capital Php 10,500.00 Php 43,500.00 Php 60,000.00
Earnings
Total Capital Php 10,500.00 Php 43,500.00 Php 60,000.00
Total Liabilities and Capital Php 91,000.00 Php 116,500.00 Php 151,500.00

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