A Project Feasibility Study on Establishing A Retro Diner in Calamba City

Charlene  Del Valle,; Allysa Camille   Ladan,; Trisha   Orejola,

A Project Feasibility Study on Establishing A Retro Diner in Calamba City

Charlene Del Valle | Allysa Camille Ladan | Trisha Orejola

Abstract:

The Roadside Diner is a retro and vintage styled mini-restaurant which offers American cuisine like pancakes, waffles, bacon and eggs, burgers, sandwiches, fries, milkshakes, pies, and other fast food of American origin. It also includes arcade machines to keep the customers entertained. The proposed business will be in Brgy. Halang, Calamba City, Laguna. The proponents of this study determined the demand and profitability of this type of business. The demand for the business was determined through a survey with the residents of the barangay within the 3km radius of the proposed location of the business. Results showed that out of the 400 sample population, 372 (93%) were willing to eat out in the proposed diner. The business will lease a space in D’ Fresco Building G/F in Brgy. Halang, paying monthly rentals of 135,000 pesos for a space of 150sqm. The business can accommodate 80 pax per day and will hire a manager, supervisor, cashiers, head cook, assistant cooks, dishwasher, servers, janitor and security guard. The business will operate for 360 days a year and will be open from 10am to 9pm. Each of the three partners of the business will contribute an amount of 1,200,000 pesos for a total of 3,600,000 pesos investment. Determining the feasibility and profitability of the business, the researchers arrived at an NPV of Php1,048,583.25 and a payback period of two years and four months. Hence, the business is not a bad investment.