Toddler’s Joy

A Business Plan

Presented to

The Faculty of Novaliches High School

Quezon City

In Partial Fulfillment

of the Requirements

In Entrepreneurship

By:

Aniag, Nico Royce M.

Bigwas, King Josmar Y.

Gerong, Jerome Mark A.

Liscabo, Mark Ryan B.

Magtangob, Juan Elmo A.

Marnilego, John Laurence S.

Noriega, Hannah Meriz U.

Ramos, Guenn Mae O.

Sy, Michaela E.

June 2021
A1: Company:

Toddler’s Joy

A2: Product/Service:

SOAPRISE!

A3: Intended Recipient:

Investors

Creditors

Lenders

Partners

A4: Purpose:

To entice investors, creditors, lenders and partners to fund a business venture and for future business
expansion or additional capital requirement.

A5: Does this firm have a mission or higher purpose?

SOAPRISE! is a native body care brand for children with the aim of enhancing lives via the thrill and
happiness in “SOAPRISE!”, the usage of mystery toys, and the beneficial effect of Toddler’s Joy
business methods. This has an influence on children, parents, communities, and the entire globe.
Furthermore, Toddler’s Joy aim is to produce the most aesthetically attractive, high-quality, unusual,
wonderful, and convenient kiddie care and housekeeping goods for children. Toddler’s Joy addresses
the requirements of people and the earth today by utilizing pure and basic ingredients and time-
tested production techniques.

A6: Who are you targeting and why?

Kids 7 years old and up and Toy collectors. They are the target for they can be interested in the
product since there are toys included that can be rare or collectible.
A7: What are their unmet needs? (pain points)

Children are not fond of taking a bath and washing their hands. That's why Toddler’s Joy innovated
this soap to encourage the children to have proper hygiene.

A8: How are you solving their pain points specifically?

Providing a toy within the soap for the target market to be motivated to have continuous proper
hygiene. Having some oils and fragrances that give the target market soothing refreshment.

A9: What is your distinctiveness?

The distinctiveness of “SOAPRISE!” is that there’s a twist, like there is a toy within, and are some oils
mixed with the soap that can also help for relaxation.

A10: What innovations have you introduced and why? How will you capture value? (The Potential Gain)

SOAPRISE is something unique. A toy is integrated in the soap. It will encourage the kids for
continuous use to practice proper hygiene amidst the COVID-19 Pandemic.

A11: What is the size of the price?

The size of the price is the population of the target market around the Quezon City area. As starters,
Toddler’s Joy would like to focus their production in their local location. Quezon City has a population
of over 2.936 million people, but Toddler’s Joy is open in expanding their business eventually in
neighboring cities in Metro Manila or even the whole country itself or internationally via e-commerce
in the future since “SOAPRISE!” has a great potential in these trying times amidst the COVID-19
Pandemic.

A12/A13: How much are you intending to sell the product/service?

a) At retail?

65 PHP without tax and 72.8 PHP with tax embedded

b) At wholesale?

Toddler’s Joy can sell SOAPRISE! for 873.6 pesos (taxed) and 720 (no tax embedded) per tray. With
this, customers can enjoy an 8% discount. For customers who would buy more than 3 trays, they can
have a 10% discount.
A14: What is your cost?

1500 PHP is “SOAPRISE!” capital cost. In part of it, 1050 PHP is “SOAPRISE!” cost of the needed
materials and ingredients for the soap for a month, which is good for 6 trays (36 pcs).

A15/A16: What is your % gross margin?

Gross margin = revenue - Cost of goods sold x 100 Revenue

Revenue = 2340

Cost of goods sold= 1050 for 6 trays

Gross margin= (2340 - 1050)/2340 x 100

Gross margin= 0.55x100

Gross margin= 55.12%

a) Initially?

The difference of price and cost of goods sold when there is no scale.

Initially, for 12 pieces of product, “SOAPRISE!” soap’s gross margins go well as Toddler’s Joy do not
need a large workforce to pay, as Toddler’s Joy are yet to experience a large amount of demand for
“SOAPRISE!”.

b) At scale

The difference of price and cost of goods sold when there are no economies of scale.

At scale, with larger demand, Toddler’s Joy may have to equip “SOAPRISE!” production with a larger
workforce which will make the cost of goods go up depending on how many resources Toddler’s Joy
add to the equation.
A17: What is your breakeven point?

If your business’s revenue is below the break-even point, you have a loss. But if your revenue is above
the point, you have a profit.

2340 > 29 = so we have a profit

“SOAPRISE!” fixed cost is P1050

and the variable costs are 29,

and the sales price per unit is 65

1050/(65-29)= ?

1050/36= 29

Toddler’s Joy needs to sell 29 units to break even.

A18: What is your realistic forecast of revenues?

2340 PHP is “SOAPRISE!” realistic forecast of revenues.

Revenue = income

Revenue = Quantity Sold x Price

Revenue = 36*65

Revenue = 2340

A19: What is your realistic forecast of profit?

Annually, Toddler’s Joy forecast of profit would be P18, 080 in total. If selling 36 pcs (6 trays) per
month, then less the expenditures monthly.

A20: Capitalization Requirement and Schedule:

It is expected that Toddler’s Joy should use around 1050 PHP worth of cost for the raw materials of
“SOAPRISE!”. It is expected to produce around 6 trays containing 36 pieces of soap for this amount. In
terms of workforce expenses, the people involved will require no pay. Other expenses such as
delivery to the customer will be shouldered by the target market, leaving Toddler’s Joy with no cost in
terms of shipments.
A21: Fund Raising Strategy:

For Fund Raising Strategy, Toddler’s Joy’s team would try to promote it on social media platforms,
same with the page to be used in selling “SOAPRISE!”.

Details of your Business Plan

A22: What is your business goals?

SMART

Specific- Toddler’s Joy’s specific goal is to sell “SOAPRISE!” where the consumers can appreciate and
learn the importance of washing hands and proper hygiene.

Measurable- Toddler’s Joy will start preparing for the product’s release and will prepare the platforms
that will be used to sell “SOAPRISE!”

Attainable- Toddler’s Joy’s team will ask for feed backs and how the product changes the customers’
lives.

Realistic- Toddler’s Joy will be consistent and patient on selling out the products just like how the
company are patient in the process of making it.

Time-bound- Toddler’s Joy’s will have customers in the first few days or first week after launching our
product.

A23: What is your personal goal in this venture? (grow or exit?)

Toddler’s Joy’s Team’s personal goal is to sell “SOAPRISE!” that can help the consumers, especially the
kids, to love washing hands, having proper hygiene amidst the pandemic and personally see the
growth of the business with teamwork.

Details of your Team

A24/A25: Who are key Team Members? Indicate if Full Time (FT) or Part Time (PT) in the business.

1. CEO- Nico Royce Aniag (FT)

2. Marketing- Juan Elmo Magtangob (FT) and King Josmar Bigwas (PT)
3. Operations- Hannah Meriz Noriega (FT) and Jerome Mark Gerong (PT)
4. Finance- Guenn Mae Ramos (FT) and Mark Ryan Liscabo (PT)
5. HR- Michaela Sy (FT) and John Laurence Marnilego (PT)
A26: Describe their background, strengths and major achievements

CEO- Nico Royce Aniag (PT)

- Graduating student of STEM strand from Novaliches High School, has leadership skills and
growth mindset, open-minded and decisive. He is a consistent academic excellence awardee
with High Honors in his 11th year and leaped with Highest Honors in his 12th year.

Marketing

King Josmar Bigwas

- Graduating student of STEM strand from Novaliches High School, creative and has good
communication and interpersonal skills. He is a consistent with High Honors in his senior
years.

Elmo Magtangob

- Graduating student of STEM strand from Novaliches High School, has good writing skills and
problem-solving skills. He is a consistent academic excellence awardee.

Operations

Jerome Mark Gerong

- Graduating student of STEM strand from Novaliches High School, has the sense of
responsibility and work ethic. With Honors awardee in his senior years.

Hannah Meriz Noriega

- Graduating student of STEM strand from Novaliches High School, well-organized, and has
active listening skills. She is able to think analytically, communicate effectively and execute
efficiently. She is consistent With High Honors in her senior years.

Finance

Mark Ryan Liscabo

- Graduating student of STEM strand from Novaliches High School, good in analytical skills and
budgeting skills. He is a consistent academic excellence awardee.

Guenn Mae Ramos

 - Graduating student of STEM strand from Novaliches High School, good in problem-solving
skills, and mathematically proficient. She is consistent With Honors in her 11th year and leaped
With Highest Honors in her 12th year.

HR

John Laurence Marnilego

- Graduating student of STEM strand from Novaliches High School, proactive and good in
communication skills. He is a consistent honor student in her senior years.

Michaela Sy

- Graduating student of STEM strand from Novaliches High School, analytically driven and
oriented. She is consistent with High Honors in her senior years.

A27: Who is in charge of what and how are major decisions made (or will be made)?

The decision is made by the majority vote of Toddler’s Joy Key Team Members in a discussion with
Nico Royce Aniag as the leader who is in charge of the team. The leader has a greater influence in
every major decisions.

28: Who are mentoring the Key Team Members?

Mrs. Arlene Gerona is the mentor of the Key Team Members.

A29: Describe mentor/s’ background.

Mrs. Arlene Gerona is Toddler’s Joy’s entrepreneurship adviser. She always guides the Key Team
Members in embarking their entrepreneurship journey.

Right to Win Market Analysis

A30: What are the trends? Why are they in your favor? (PESTLE)

The new trends in the market are the products that have relation to sanitation as the people are at
risk of the virus that is currently spreading in the world. Toddler’s Joy “SOAPRISE!” product will rise at
the market because it’s a necessary product that people need.

Political- The political environment is highly important since there might be some disturbance in
certain economic sectors, or future expansion might cause the item's sales to plummet.
Economical- The “SOAPRISE!” cost is affordable for the customers. And there is no inflation in sanitary
products in the market.

Social- The customers won’t have a problem consuming Toddler’s Joy’s “SOAPRISE!” because it’s a
necessity in hygiene and health safety.

Technological- Toddler’s Joy is maximizing the use of technology in producing and selling “SOAPRISE!”.
Toddler’s Joy uses the social media and online platforms to inform and provide service to customers.

Legal- There are several legal considerations that “SOAPRISE!” will adhere to.

Environmental- Toddler’s Joy’s products are eco-friendly and the materials use to make the
“SOAPRISE!” do not harm the environment as well as the method in creating the products.

A31: Why will the industry be profitable? (Rate high or low for each one and describe)

a) Competitive rivalry = High

⮚ There are branded soaps that established and started building an empire in this
industry.

b) Threat of new entrants = High

⮚ There will be no threats because there are bigger companies. The other companies
won't even try to compete.

c) Threat of substitutes = High

⮚ Substitutes are not an option, soap has been a basic commodity, and there is no
further research about substituting soap, especially ones that have treats for little
children.

d) Bargaining power of suppliers = High

⮚ There won't be such a bargain because Toddler’s Joy will implement a fixed price
basis, and supplier price is always supplier price.
 e) Bargaining power of customers = High
⮚ There won't be such a bargain because Toddler’s Joy will implement an SRP for each of
our products and won't be selling underground. Toddler’s Joy will not sell for a lower
cost but with cheaper quality.

A32: Who are key competitors? How do we compare vs them?

The key competitors for Toddler’s Joy’s business are other businesses that also sell soap as their
product. Toddler’s Joy’s “SOAPRISE!” is different from other businesses for the reasons:

1. “SOAPRISE!” is more affordable than the products offered by other businesses

2. Toddler’s Joy included a freebie toy within the soap product

3. “SOAPRISE!” soap is mixed with calming oil

A33: What are key factors for success in the industry? How do we compare vs these factors?

1. Product efficiency – Toddler’s Joy’s product is very efficient as soap with calming oil

2. Marketing – Toddler’s Joy will promote and advertise on social media to spread the name of the
product

3. Freebies – Toddler’s Joy’s soap product has an included freebie toy that will attract target
customers

A34: What are our strengths? How are we exploiting them?

Toddler’s Joy is creative and innovative in making a product. Since the time of pandemic, many people
will be conscious about their sanitation. We use our strength in creating a product that will surely
entice the people especially the kids. A soap that give cleanliness and joy which will attract both kids
and their parents.

A35: What are our weaknesses? How are we correcting them?

Toddler’s Joy’s weakness is that “SOAPRISE!” is not yet common in the market which makes the
customers doubt the product and continue to trust the known brands of soap. To counter this
obstacle, Toddler’s Joy will promote more by testing it in public and by promoting the product to the
target market.

A36: What are opportunities in the marketplace? How are we planning to exploit them?

Toddler’s Joy’s team knows that a lot of people were stuck in their houses while in quarantine, many
of them wanted to take this time to improve their looks so that if everything's back to normal, they
will have a better version of themselves. So with that, the soap can attract customers especially for its
soothing effect on the skin while giving the same amount of protection from germs from the other
brands they used to.

A37: What are external threats? How are we negating them?

Since a lot of products keep floating everywhere, like for example beauty and cleaning products such
as soaps, it will be pretty hard for the company to gain trust of the target customers since the soap is
just starting. A lot of trusted products are already in the market but as we all know, every product
starts small. Then through the experience and satisfaction of the customers, if they came back, the
market can grow larger and larger and slowly become known.

Offering Model (The Strategy)

A38: Target Market

a) Beachhead market

Nowadays, there's always a doubt when choosing the right soap, especially when cleanliness is a very
crucial part of our lifestyle. Lot of individuals choose to have a cheap soap that can fit their budget
without knowing if the soap can guarantee its safety and effectiveness.

b) Subsequent market

“SOAPRISE!” aims to give its target customers a high-quality soap that can exceed their standards
while maintaining its primary focus; to provide protection against germs, ensure safety, soothing, and
nourishes skin, while having the price that is relatively low compared to other brands present in the
market. The soap targets the satisfaction of every family and eventually a product that can be relied
on for its benefits while keeping its price affordable.

A39: Value Proposition

a) Functional. Benefit related to the performance

Toddler’s Joy’s soap provides cleanliness to the skin and also comes with health benefits that will
make the skin healthier. The soap will be mixed with essential oils that will provide protection,
smoothness, and softness to the customer’s skin with daily use.

b) Economic. Benefit related to the price

The price will be very affordable and Toddler’s Joy will be using high quality ingredients for the
production of “SOAPRISE!” The essential oils will come from trusted producers and the price will be as
affordable as most leading soap brands with twice the benefit.

c) Emotional. Benefit related to how the owner feels when owning or using the product
The soap will help boost confidence of the customers that use it for their skin as “SOAPRISE!” will
make it very presentable and glowing. Other than that, the soap also comes with a surprise at the
inside so customers will have something to look forward to as they finish their soap.

d) Social. Benefit related to how others will perceive the owner of the product or service

The perception of other people will be that “SOAPRISE!” users are very clean and care a lot
about their skins health. Toddler’s Joy’s brand makes sure that the company’s image reflects that of
sophistication and uniqueness so that the customers will feel the same when they use ”SOAPRISE!”.

A40: Positioning Statement

Compared to other soap brands, “SOAPRISE!” soap mixture will provide better and healthier option
for better skin health. Toddler’s Joy will use skin safe and non-drying materials, unlike “SOAPRISE!”
other competition which would have a lot of skin during chemicals especially with their cheaper soap
brands.

A41: Channel: The distribution system where “SOAPRISE!” will be made available to the target
customers are administered online through social media and e-commerce.

Operating Model (The Execution)

A42: Value Chain/Value Network (Draw the sequence, indicate timeline for each). Is competition’s value
chain any different?
A43: What are the key hurdles expected in the value chain? What are you planning to do about these?

Toddler’s Joy’s Flexibility or Adaptability will bring solution on some situations like what if the
materials to make “SOAPRISE!” are lacking and the company need to finish the orders on time. To
pass this obstacle, Toddler’s Joy plan to make a schedule on how the company will resupply the
materials, also the company will produce an excess amount of the product for unexpected orders. On
resupplying “SOAPRISE!” soap’s material, Toddler’s Joy should always estimate the amount that will
be needed to avoid oversupply.

A44: Resources: What are our hard assets? How can we exploit these?

These are the hard assets of Toddler’s Joy

Production office-a place where our products are being produced

Cash-are the money that Toddler’s Joy used in business

Equipment -different tools that is used in making the products

Raw materials-used in creating the product

Goods or product-the product that is for sale

A45: Resources: What are our soft assets? How can we exploit these?

1. Knowledge: By using the team’s knowledge, Toddler’s Joy can come up with ideas that will help
improve the company and the “SOAPRISE!” product. The company will use the key team’s knowledge
to keep on improving products and to be up-to-date to the customers’ demands.

2. Skills: Toddler’s Joy’s team will use skills to keep the quality of the products top-notch. The
company will also make use of their skills in technology to promote “SOAPRISE!” on different
platforms to gain more customers.

3. Relationships: Toddler’s Joy will build good relationships with the customers and employees, and
ensure the well-being of customers with “SOAPRISE!”.

A46: What are the critical processes we need to do well?

Toddler’s Joy will make sure to produce enough products to meet demands; the company may make
products in advance so that the customers may receive “SOAPRISE!” as early as possible while still
having the highest quality product.
The production process allows the creation of soap according to the demand of “SOAPRISE!” product
as it is nothing complicated, it is simply a process that allows Toddler’s Joy to deliver high quality
products to the target customers.

A48: Who are the key complementors who will help us deliver our value proposition? Are they in-house
or outsourced? What do we do so they are aligned with us?

1. The team’s parents

2. The team’s siblings

3. The team’s cousins

The key complementors that will aid Toddler’s Joy to deliver “SOAPRISE!” value proposition are the
people in-house, who are the team members’ parents, siblings, and cousins. These people will help
produce and repack the products that Toddler’s Joy will sell. They will also help Toddler’s Joy sell and
market the products.

A49: Cost of customer acquisition

Annually,

CAC= (10,000+ 1200) /174

CAC= 11200/174

CAC=64.37

A50: Appendix: Financials (Please show 5-year projections, indicate when is breakeven and when will
you be cash flow positive)