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Feasibility Study: WasHouse Laundry

This document provides an introduction and background for a feasibility study on establishing a laundry shop called WasHouse Laundry Shop. It discusses how doing laundry is an essential task but can be inconvenient for many. The feasibility study will evaluate the technical, marketing, financial, management, and socio-economic aspects of starting this laundry business. It will determine if the business is viable and how it could benefit customers, employees, factories, and the researchers conducting the study. The scope is focused on serving people in Caloocan City at an affordable price while maintaining good quality service.
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Download as PDF, TXT or read online on Scribd
100% found this document useful (1 vote)
5K views65 pages

Feasibility Study: WasHouse Laundry

This document provides an introduction and background for a feasibility study on establishing a laundry shop called WasHouse Laundry Shop. It discusses how doing laundry is an essential task but can be inconvenient for many. The feasibility study will evaluate the technical, marketing, financial, management, and socio-economic aspects of starting this laundry business. It will determine if the business is viable and how it could benefit customers, employees, factories, and the researchers conducting the study. The scope is focused on serving people in Caloocan City at an affordable price while maintaining good quality service.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 65

“WASHHOUSE LAUNDRY SHOP: REDUCING YOUR LAUNDRY'S INCONVENIENTES”

A FEASIBILITY STUDY ON ESTABLISHING LAUNDRY SHOP

St. Clare College of Caloocan


Accountancy, Business and Management
Feasibility Study
Grade 12 - D4

KIMBERLY ANN NOCETE


DANA ISABELLE MARQUEZ

November 2021
CHAPTER I

INTRODUCTION

All of the Filipinos are known as observant when it comes to household chores. As well

As food, shelter and clothes, doing our laundry is part of our basic essential requirements on a

daily basis. Doing laundry keeps the hygiene and avoids having stains and dirt that causes

disease and infection to our body. Most of the people doing the households and laundry are the

housewives. In some people, laundry is a burden, since most of the people are lacking time doing

laundry due to becoming busy with work and other tasks. To have fresh and looking new clothes,

There are 2 ways to wash your clothes, the hand wash and washing machine. It gives

convenience and benefits to people.

The purpose of this study is to provide people an easy and efficient way to wash and make

their clothes clean. Most people nowadays want to use an effortless way to do their task because

some of them are tired from work, some are just too lazy to handle washing their clothes.

WasHouse Laundry shop offers a service that can handle the simple task which is washing and

making their clothes clean for them to be able to have a ready to wear clothes. It also offers self

services if they want to do their own.

This study addresses the establishment of a laundry shop at Saranay road. In establishing a

laundry shop, It gives you hassle free business since it is used by a modern machine to wash

clothes and you can also save from it because this business does not need more than staff to

operate because you can do your laundry on your own. It is operated by a modernized machine
that is commonly used nowadays. This new marketing strategy will benefit the growth of the

Saranay business industry since the Saranay road is a newly built highway.

Background of the Study

During this time of pandemic, it is important that we keep our bodies or even our clothes

clean, so every time we go out we have a lot of dirty clothes that can be used to make sure we

avoid viruses or the deadly CoronaVirus disease. According to the Centers for Disease Control

(CDC) , there is laboratory evidence that the coronavirus can survive on plastic and stainless

steel surfaces anywhere from hours to a few days. Unfortunately, the same study didn't really

look at how long the virus may survive on fabrics, so coronavirus could still be present on

clothing for several hours. However many of us are more aware so whenever we have to leave

they make sure they are kept clean to avoid coronavirus.

We decided to make this service proposal for the purpose that we want to serve our

customers with the best quality of our service that will help them to reduce their household

chores, especially for those who are always working overtime and for the students or teenagers

who are living in boarding houses or apartments. We want to introduce to our customers the good

quality of our service at a low price. We will make sure they definitely not be disappointed and

we will make sure they will come back to our service again. According to Micheal LeBoeuf “A

satisfied customer is the business strategy of all”, because it is more important that customers are

satisfied and like the good quality of service. This is a perfect time for everyone to recognize the

business because of the good quality of service.


Statement of the Problem

This feasibility study was conducted to assess the feasibility of establishing a Laundry

shop at Saranay road. In this part, this will help to discuss and determine the factors that can affect

while operating and managing the business. The objective of the study is to assist the people

having their hard times of allotting time to washing their own clothes for themselves. It promotes

the sanitized and hygienic service product as it uses quality detergents and fabric conditioners.

Specifically, its goal is to evaluate and analyze the following:

➢ The Technical aspect of the study

● Service Description

● Service Process

● equipment / Material

● Plant Location

● Plant Layout

➢ The Marketing aspect of the study

● General Business condition

● Competitive Condition

● Target Market

● Demand

● Product

● Pricing Strategy
● Promotion

● Packaging

➢ The Financing aspect of the study

● Capitalization

● Source of funds

● Total Sales

● Total expenses

● Income Statement (5 years project)

● Balance Sheet (5 years project)

● Cash Flow Statement (5 years project)

● Return on Investment

● Ratio Analysis

➢ The Management Aspect of the study

● Form of Ownership

● Structure

● Job Analysis

● Company Policies

➢ The Socio-economic aspect of the study

● Contribution to the Government

● Contribution to the Society


Conceptual Framework

The Technical Study includes the service description, service process, equipment and

materials, plant location and the plant layout for the feasibility study of WasHouse Laundry

Shop. In this part, it talks about how to operate a laundry shop service, What are the equipment

and materials needed and used in running the business, and where the researchers are going to

put a business location and its layout.

The Marketing Study are as follows, the general business condition, competitive condition,

the target market, the demand and supply, the service, pricing strategy, promotion and the

packaging for this project. The detailed section will discuss the questionnaire survey targeted

respondents and the study's upcoming results, which will greatly impact the business's demand

and supply, and also instruct the researchers about whether the service offered will penetrate or

satisfy the said target market.

The capitalization, sources of funds, total sales, total costs, income statement, balance

sheet, cash flow statement, return on investment, and ratio analysis are included in the WasHouse

Laundry Shop Financial Study. This section examines and determines if the business is profitable

or not for this project. Besides, it can be used by the researchers as a guide to see if the

transactions within a year are increasing.

The Management Study examines the forms of ownership, business structure,

organizational structure, job analysis, and company policies developed by the researchers for this

project. In this area it provides information as to who will manage and operate the business, and

also company policies and management will be applied to ensure the proper operation of the

business.
Lastly, The Socio-Economic Study includes the business contribution to the Government

and to the Society. This area wants to ensure that not only business income is important but also

the welfare of the people, so in this study WasHouse Laundry will make sure to prioritize the

good quality of service so that the welfare of the people will not be put at risk.

Framework of the study


Scope and Limitation

This study of establishing a laundry shop business focused on the Local peoples within

Caloocan City. It is willing to serve all the people within Caloocan City, especially those who are

occupying apartments or dormitories since in this case today, many people are living in

apartments. These customers are usually the ones having problems with washing and drying their

clothes.

The most important requirement is the capacity to pay and accommodate the service, also

the proximity of the potential customers to the location and their availability to pick up and

deliver service. There are no specific age requirements for in view of the nature of the business

that needs to be based catering all ages.

Significance of the study

This study is providing consumers at a low price but good quality service is no different

from expensive service.

This section will give a short description of the different significance of the given study.

Customers - The researchers believe that customers will be the first to benefit from this study

that was made for them and the researchers studied the right price of their service at a good

quality service. Will benefit the consumer from the service and maybe can be used for a long

time.
Future Employee - The researchers believe that they will get benefits to future employees when

the study is successfully done here.

Factories - Soap factories may also have the benefits of this study. The researchers want the

product they will use in their service to come from the direct supplier to get a low cost.

Researchers - In doing this study, the researchers benefit from it because in their study they get

a lot of informations, knowledge that they can use in their future profession. Their study here can

be used in their lives as a way to become an entrepreneur.

Future Researchers - The future researchers may benefit from this study because they may have

similarities in what they study in this study. They can gain a lot of new information and

knowledge that is available in their study.

Definition of terms

In order to comprehend better the feasibility study, the following definitions of terms are

provided :

● Capitalization - The actual contribution of each partner for starting up a business.

● Company Policies - A set of guidelines for employers to consider when it comes to

employee accountability, health and safety, and customer relations.

● Equipment - A piece of equipment is a capital investment made by a firm to execute a

specific work for the company.


● Business - It is an act of one person making money by producing or buying and selling a

product or services.

● Target Market - The customers who have similar demographics and have been

recognized as the most likely to acquire a company's goods or service.

● Ratio Analysis - A ratio analysis is a comparison of line items in a company's financial

statements and statistics that is used to measure a cash flow budget, production

performance, and profitability.

● Laundry - An activity where clothes and linens are washed and dried up as well as

ironed.

● Detergent - A chemical liquid substance that serves as a cleaning agent for clothes. It

removes dirt and oils.

● Establishing - to start a company or organization that will continue for a long time.

● Delivery Service - Service delivery refers to the interaction between providers/dealers

and customers in which they exchange their product and pay.

● Fabric Conditioner - a product used to make laundered fabrics softer, fluffier and

fragrance.

● Disease - A condition or sickness with particular signs or symptoms.

● Apartment - is a living space that is simply a portion of a larger building


CHAPTER II

METHODOLOGY

This chapter describes and discuss about the different procedures including

research design, respondents of the study, locale and source of collecting data that will be used in

this chapter. In this part, researchers will examine the necessary gathered idea and the method

that is used to collect the information from the respondents of this study; The industry proportion

and situation and analyze the demographic data of respondents. The design, locale, and the

respondents of the study to determine the location and the strategy that will be used to analyze

the gathered data to ensure the feasibility of the study on its respondents and to the assigned

location. This will also enable the researchers to determine whether ideas and findings can be

developed to be relevant and long-lasting.

Research Design

Researchers constructed this feasibility study using Quantitative Research about the

service of laundry shops. In this part, We conducted the descriptive design and applied using

survey questionnaires via Google website. The online survey was conducted by providing

structured questionnaires to a number of identified respondents from the selected residents

around Saranay Main Road.


Research Locale

To better acknowledge the study, The researchers traveled the survey questionnaire

around Saranay Road, Caloocan City. This place was selected for knowing the efficiency among

the people in this location for them to be able to experience the WasHouse laundry shop services.

The total number of respondents that are being selected are in the different barangay in the

locations. Researchers aim to build a laundry shop in this area.

Respondents

In conducting a feasibility study of a laundry shop, there are many possible people that

may become customers. This research only targeted the people lacking time doing their household

chores also the individuals living in apartments and boarding houses. Researchers acquire at least

20 to 25 individuals from the setted locale. The chosen respondents are most likely to be one of

the customers of the laundry shop.

Source and Methods Collecting of Data

The data have been collected by the researchers using primary data. The primary data

were gathered by giving these out survey questionnaires via Google website to select around

subdivisions in Saranay Main Road.


CHAPTER III

TECHNICAL STUDY

Figure 1.1

This chapter reviews the process of production and the venture of the business. It will

also discuss the machineries and materials that will be used and other aspects that bring tools and

machineries to a perfectly working place so that it will be ready for the opening of the shop.

Plant layout, size and structural design will all be presented for the aim of determining the nature

of the business. As well as the classification of services that will be offered will be discussed to

present its description and pricing. The service specification and process using the flow chart.

The list of tools, machineries and materials enumerated with the associated cost, materials, and

financing.
General Business Condition

All Laundry services, along with the clothes are suitable to be washed in water, on a

normal cycle, and dried using heat in a tumble dryer. All utilities must be in good places, keep all

wires in the wet places and organize all wires to avoid short circuits. This is for the safety of the

staff or team.

Every room that is used in the laundry service production should be organized such that

the furniture, machines, electricity equipment, and other equipment all kept dry, clean, and

sanitary at all times.

Every place should be kept clean, the floor should always be dry, as well as the

surroundings should be tidy and everything kept in order. Sinks and toilets should be away from

any electrical area to avoid electrical problems to prevent any kind of disaster.

The customer is allowed to bring their pets but it can only be brought in the lobby, cannot

be included in the wash machine area to avoid any complications and cause trouble.

Smoking is prohibited because cigarettes and vape are prone to electrical fires inside the

shop. For everyone's safety, such things are not allowed inside.

The owner or management of the business production shall not allow any person affected

by any communicable, infectious, or other disease or physical ailment that can cause such

workforce harmful to public health, nor any person who refuses to submit to an evaluation, to

work there.
Production Process

Table 2.1 Production Process

The above chart shows the production process of WasHouse Laundry Shop. Each process is

explained as below:

1. Inventory - Inventory is needed before the shop is open so the transaction goes smoothly

and there are no mistakes. Inventory counts the supplies and equipment that will be used

in the laundry shop, and also to know how many have been used throughout the day.

2. Tagging - For the transaction, the first thing to do is to tag the customer info for their

laundry and when it comes to self service it is also a good thing to maintain the order of
the shop. Tagging is here to check the damage, lost and found items to be laundered by

the customer and recording the transactions with the customer.

3. Sorting - After the tagging the items are arranged in the different types of clothes or set.

Since the laundry shop offers self service, Some people will sort by color and others by

fabric type.

4. Pre - Treatment - The pre - treatment of the clothes is soaking in hot water. Hot water

will remove water soluble stains like tomato sauce, wine, and blood more quickly,

because heating causes molecules to move faster. This is additional services that the

laundry shop offers.

5. Washing - The clothes are washed in the washing machine using detergent washing

powder and or bleach on white. The Laundry shops offer self-service to the customer, so

they are independent of operating the washing machine to wash their clothes.

6. Drying - After the clothes are washed, they are transferred to dryers. Drying clothes is

important to enhance freshness and helps wetness of the cloth. Line dried clothes and

sheets smell much fresher than clothes that are tumble dried without the use of additional

chemical laundry fresheners like dryer sheets and fabric softener.

7. Ironing - After the clothes dry the next step is ironing to remove tangled clothes. This is

an additional service of the laundry shop usually that can be patronized by those who are

picking up laundry.

8. Packaging - Once the items have ironing, the clothes are properly hung and covered in

the plastic wrap and then tagged so that it can be easily identified. After that, ready to

deliver or pick up the items.


Workflow of the process

Table 2.2 Workflow of the process

Product Description

The Laundry shops machine is operating by placing the detergent and other soap that is

needed for washing clothes. It is very convenient because the consumer does not need to use

their hands for washing as well as it saves more time than the other method.
The shop offers enough services and extra services for its customers. It will be available

at a different and affordable price. The following are detailed descriptions of the proposed

services.

WASH & DRY

Wash and Dry is the services offered by the WasHouse

laundry shop. It is the process of putting the clothes in

the machine and switching it to washing first. After a

minute of washing, it needs to set the machine to dry to

remove all the wet from the clothes.

Figure 2.1

DRY CLEANING

Dry cleaning is a method of cleaning garments,

bedding, carpets, and other fabrics without the use of

water. Water can destroy materials like wool, leather,

and silk, and a washing machine can ruin buttons,

lace, sequins, and other delicate embellishments.

Figure 2.2
PRESS & IRON

An ironing press is a home appliance for fast and

efficiently ironing clothes. It can be used to iron smart

creases in pants, table linens and napkins, and suit

clothes. You can also use an ironing press with or without

steam, just like a traditional iron, but without all of the

hassle and effort.

Figure 2.3

FOLD

Fold is the way to prevent a bulk of messy clothes in

its place. To fold is to crease or bend something over

so it covers part of itself. It helps to make your clothes

organize and look good after washing and drying.

Figure 2.4

PICK UP/ DELIVERY DOOR TO DOOR

Pick up/Delivery Door to Door will make your life

easier because it offers to pick up the laundry in

front of the house and after the clothes have been

in the laundry shop, it is time to bring back the


clothes to its owner. The staff will deliver the clothes also in front of the house.

Figure 2.5

Materials and Equipment

● Washing Machine with dryer

The Washing machine with dryer is a combination in

a single cabinet of a washing machine and a clothes

dryer. It should not be confused with a stackable

combination of a separate washing machine and a

separate clothes dryer.

Figure 3.1

● Water Tank

A water tank is a container for storing water.

This is used in case of emergency when water

erupts.

Figure 3.2
● Iron and Ironing Board

The iron is the small appliance used to remove

wrinkles from fabric. While an ironing board is to

keep clothes flat while the wrinkles are being

ironed out. They normally have a rounded point at

one end, which makes it easier to iron shirt sleeves

and trouser legs.

Figure 3.3

● Laundry Basket

A Laundry basket helps to sort clothes and also can

store wet or dry clothes, dirty or clean, and will

handle everything from holding the dirty clothes as

they build up to transporting them to the washer and

back.

Figure 3.4
● Laundry Scale

A laundry scale is an analog or digital measuring

device that computes the weight of a bundle of wet or

dry laundry. It can be used to weigh laundry by the

pound to determine the cost of cleaning service, as

well to be used as an application in measuring staff

productivity.

Figure 3.5

● Laundry Detergents and Fabric softener

Laundry Detergents used for cleaning dirty

clothes are manufactured in powder and liquid

detergent. Fabric softener which protects the

fibers of your clothes and makes them look,

smell, and feel fantastic.

Figure 3.6
Plant Location

This facility will be built on Saranay Road in Bagumbong, close to the INC Saranay. The

location proposed in the business is depicted in the image below.

Figure 4.1

Plant Layout

The plant layout is a company approach to help the planned business of WasHouse

Laundry shop function successfully. The lobby area is a place where customers can wait for their

service to be done. We also provided free wifi access for the customers to be able to feel the

entertaining and comfortable environment of the laundry shop. In the side part of the lobby, there

is the place where the machine is located, it also comes with the waiting area for the customers

avail the self service. There would be a place where all of the done clothes will be back on the

owners and business conducted with customers which is the receiving and counter area. The area
at the back of the receiving/counter area is the services done and the materials or tools that are

needed in the laundry shop.

Figure 5.1

Plan Lay-out

● Lobby/Counter Area

This is a proposed perspective view of the Lobby and

Counter Area of the WasHouse Laundry Shop. This is

the Receiving Area or Counter Area where the

WasHouse Laundry shop receives or talks about the

concerns of the Customers to provide service.


Customers waiting on their companions, and also people who bring their pets because they will

not be allowed to use the wash machine area to avoid any issues.

Figure 6.1

● Wash Room

This is a proposed perspective view design where

the WasHouse service is conducted. This place

has a waiting area for the customers that

self-service to wait for their laundry.

Figure 6.2

● Storage Area

This is a proposed perspective view design where

items ready to pick up and to be delivered by the

WasHouse Laundry Shop are placed.

Figure 6.3
CHAPTER IV

MARKETING STUDY

Marketing Study

This chapter covers the management aspect of the business. This includes things like how

the business will be handled, how it will be controlled and supervised, and even how much it will

start-up cost. In this part, the survey results will be reviewed to determine if it will be effective in

the target market’s responses to the desired results obtained by the researchers.

For business it should be given time and effort to prosper. To be able to achieve quality

service to its customer, the proponent of this business must have creativity. The proposed goal of

the business will be to satisfy the expectation and interests of its target market.

The feasibility marketing aspect of every project is very good and most important

because it requires an understated analysis of the company's total demand and supply.

Description and Outlook of the study

Laundry is the one of the most difficult when it comes to doing household chores, it costs

a lot of time and effort to do laundry especially if you use the method of handwashing. There are

so many things needed to do laundry such as detergents, fabric conditioners and equipment as

well as machineries. In choosing the right detergent for your laundry, it needs to inspect and
examine every ingredient along with testing to be able to identify the directions for use and to

prove the efficacy of the cleaning agents you will use for your clothes.

As tons of years pass by, the demand for laundry services regularly grows as a

consequence of factors including the affordability of acquiring laundry services, a life changing,

also increasing the hassle free of your work. Selecting to obtain laundry services for your clothes

will provide benefits to the customer and the business. For example, the current situation, so

many people are demanding on cleaning and sanitizing services in such a way that they will

prioritize their health and safety.

Based on the survey we conducted among the 2 methods on execution of washing the

laundry, most of the responses are hand washing, possibly that many of them have not yet

attempted to acquire a laundry service.

We have planned to introduce our “WasHouse Laundry Shop” in the market since we

visualized offering an affordable in every service we are offering and life changing laundry

services.

Size of the Industry

On the report of 2020 Census of Population in the Philippines, the brgy 171 Bagumbong

has an estimated population of 111,731, this was based on the Census conducted last 2020 this

data gives us the opportunity to have a look on how large the market in an scale of the City.

According to Filipinowelth.com, laundry shop owners in the Philippines must pay a percentage
tax to build for businesses with annual gross sales of less than 1,500,000 million PHP. Depending

on the size of the business, this could be from around 3% to 5% of monthly income..

Target Market

WasHouse Laundry Shop’s target market for the opening of the shop consists of male and

female ages from 16 to 70's, especially those who are the people usually living in an apartment

with no room for doing laundry as well as the working people lacking time doing their own

laundry. These are mainly living near the INC Chapel in Saranay road and other neighboring

subdivisions also barangay from nearby. Considering the current pricing range, Washouse targets

socioeconomic classes A to C as its attempt to accommodate the variation of borders of

apartments that will be encountering the business. The target market is narrowed down to people

lacking time doing laundry including the ones who enjoyed doing laundry by themselves. They

will be interested and might be very much willing to test the services offered by the WasHouse.

Market Segmentation

WasHouse Laundry considers all types of population between the ages of 16 and 70,

regardless of gender or religion, whom had high and low income in the vicinity of INC Chapel

on Saranay road and other nearby subdivisions, and also barangays from the vicinity, as potential

buyers for the benefits of our potential customer service. We extend our time and effort to give

good service to meet their demands.


Demand study

1. What method do you prefer in doing laundry?

The Result shows that 76% of the respondents of the question survey prefer using a washing

machine method for doing their laundry while the 24% of the respondents are executing their

laundry by the method of hand washing. This results implies that there was a big proportion that

our services will be feasible to the target who use washing machines for their laundry.

2. What do you prefer in washing your clothes?


The Result shows that 68% of the respondents prefers to do their own laundry than the 26% of

the respondents who desire someone to do their laundry, meanwhile the 6% remaining

respondents are likely to leave their laundry to the staff so that they are in incharge of the clothes

of the customers. The results imply that 68% of the customers might choose the self services.

3. Do you use laundry services to wash your clothes?

The result shows that 74% of the respondents utilize laundry services sometimes and the 14% of
the respondents are often acquiring laundry services for their laundrys meanwhile the 14% of the
respondents always use the laundry services for their clothes. These results imply that 74%
haven't tried yet acquiring a laundry service for their clothes.

4. How often do you use laundry services?


This result shows that 66% of the respondents use laundry services for their clothes and 24% of
the respondents are answered often so they most of the time acquire laundry services while the
10% always make use of laundry services. This result implies that 68% of the respondents will
be the possible customers of the pennywise laundry shop since they use laundry services
sometimes.

5. What time do you prefer when doing your laundry?

The result shows that 64% of the respondents do their laundry in the morning, whereas 32% of
respondents answered that they do their laundry in the afternoon while 4% of the respondents do
their laundry at night. The result implies that 64% of the respondents are doing their laundry in
the morning so there is a big chance that the shop will start operating in the early morning.

6. How much time do you spend washing your laundry?


The result shows that 56% of the respondents take up to 1 to 2 hours doing their laundry and the

36% of the respondents said that they spend 3 to 4 hours while the 8% takes 5 hours and above

when they do their laundry. This result implies that the operating hours of the laundry shop must

be expanded.

7. How many kilos does your laundry weigh on a regular basis?

The result shows that 60% of the respondents are weighing their laundry at 4 to 5 kilos then the

28% of the respondents are considering 6 to 7 kilos of laundry they are getting while the 12

respondents of the question survey are answering the heaviest, which is the 8 to 9 kilos. This

result gave us an idea on the weighing basis of a customer's laundry.

8. Do you think it would be more convenient if your clothes were delivered to your home

after the laundry?


The result shows that 66% of the respondents agreed that it will be more convenient to avail

delivery services and 22% of the respondents said that if it's optional, 12% said they can manage

their laundry. This result shows that most of them are in favor of availing delivery services so

that the company might offer a door to door pick up and delivery service.

9. What do you prefer in detergent?

The result shows that 68% of the respondents are choosing a high quality of detergent even if it

is costly while the 32% of the respondents are choosing the low quality but affordable price

detergents and other cleaning agents. These results gave us an idea of offering a high quality

detergent over the low quality.


10. What items do you usually wash in the laundry shop?

This result shows that the 52% using a laundry service for their regular clothes and the 42% of

the respondents are utilizing laundry services for their home fabrics such as blankets meanwhile

the 6% of the respondents are making use of laundry only for their office clothes. This result

implies that the company can choose a durable machine for laundry since the respondents choose

so many varieties in laundry services.

Marketing and Sales Activities

This laundry shop is not cheap but has good quality service. WasHouse Laundry shop has

a full service and self service. The packaging for laundries are market bags or eco bags to save

the environment. Because of this, it's an expensive bag but the laundry are promoting the Eco

friendly to protect the Environment.

The study will be implemented in 5 month’s time.

The following activities should be followed.


➢ First Day = Distribution flyers and leaflets.

- Promoting via Facebook, Instagram and other social media platforms.

- Giving a loyal card to the customer. The loyalty card has a level of how many

times you used laundry service and when you beat the standards, you have a

chance to get a promo.

- Opening promo, the first 15 customers get 15% off for basic full service 1 day

only.

➢ 1st week = First 2 customers get free Dry service.

- The first 2 customers get free Dry service for the whole week only.

➢ 1st month = First 3 customers get free wash service.

- The first 3 customers get free wash service for only 1 day.

➢ 2nd month = complete x10 service equal to free Basic full service.

- If the loyalty card completes 10 services, the customer gets 1 Basic full service

for free.

➢ 3rd month = complete x20 service equal to free Premium full service.

- If the loyalty card completes 20 services, the customer gets 1 Premium full

service for free.

➢ 4th month = 1 full service equal to a raffle coupon.

- 1 full service get a raffle coupon for the chance to win a special promo from the

laundry shop and valid until 1 month.

➢ 5th month = Raffle Day !!!

- Prize: 1 winner of free Extreme full service, 2 winners of free Premium full

service and also 3 winners of free Basic full service for 1 service only.
Marketing and sales activities, as stated above, should be followed during the implementation of

the period. Any necessary changes can be extremely interesting.

Detailed Product

WasHouse Laundry Shop is a laundry shop that offers laundry services, either self-service

or with assistance. Compared to other shops, in Wash House Laundry Shop the customers have

their will whether they want to do their laundry or otherwise, they will leave their laundry to the

staff like the usual services. The self service the business offers is applicable to customers

wanting to acquire affordable but convenient laundry services; on the other hand, the usual

services are for the working customers. In washing the clothes, we will be using good quality

detergents and fabric conditioners to maintain the good quality of the services offered.

Competition

Businesses exist in a competitive environment. Laundry Shops are in fierce competition

to provide the best possible value for money and high quality of service. Competition is a typical

unique strategy offered by a laundry shop to get the attention of their customers. They are really

interested in their profit and customer gratifaction. The fact that the value of high quality of

service is affordable for them.


However, WasHouse is obligated to take care of all of their customers' laundry even

though others are self-service. It is important to value all customer equipment so that they can

give full confidence in the service provided so that they can be trusted to use the service again.

Businesses directly compete with each other in the market. These are businesses that

produce services that are similar or quite similar. In terms of our competitors, we are considering

small laundry shops because they will present a threat to our business. Most products are

differentiated in some way.

The Product

The WasHouse laundry shop will proceed to provide the following products. Laundry

services could save consumers time and especially made everyone's hardship easy. Since most

of the people are busy working, doing their agendas, doesn,t have the availability of space to do

laundry etc. Everyone must try to understand how laundry services work. Laundry services have

a cycle which contains washing, drying and ironing or pressing. It also depends on the kind of

cloth or fabric the customer laundry contains since in doing laundry, varieties of colors as well as

fabric should be separated to other kinds.

Packaging

The packaging at WasHouse is to see how clean and good quality the service is and thus

get the attention of the customers. This packaging looks elegant but affordable to us.
➢ The WasHouse Eco Bag

A laundry bag from the WasHouse Laundry shop is

eco-friendly packaging and promotes saving the

environment.

Figure 7.1

➢ The WasHouse Garment Hanging Bag

A garment hanging bag from the WasHouse Laundry is

for the Suit, Gown and Barong or other laundry. This is

also eco-friendly, WasHouse decided to avoid using

plastic from which flooding originates.

Figure 7.2

Marketing Strategy

The WasHouse Laundry Shop proposed a vending snack machine inside the shop. We

will build a snack station that will have a different variety of snacks and drinks that every

customer might enjoy while sitting tight waiting for their laundry. Intends to use social media to

advertise the business, as it is currently the most popular and frequently used marketing channel.
On their social media pages, the corporation employed publicity materials such as posters, GIFs,

and video teasers of our merchandise. Choosing a marketing strategy for the organization might

help manage shared information about the services the company provides. Our products, which

are all designed and developed by the firm, are all designed and developed by the company.

Price

The pricing of each service is based on the existing laundry shop. The researchers also

based possible Laundry shop fees on the right price for the service.

WasHouse Service has to have a minimum price of P165 pesos for full service and a

maximum price of P240.00 for full service. Therefore, it will adjust the price of the service based

on the country's growth or the price of small or significant bill expenses at WasHouse Laundry.

The WasHouse service's pricing will be determined by market pricing of the significant

expenses. Any change in the WasHouse service's pricing will be taken into account as a factor in

determining the consumers' ability to purchase the product


CHAPTER V

FINANCIAL STUDY

This chapter covers the financial aspects of the study, in order for a business to

understand it needs money to start. The researchers must forecast a three-year financial statement

to see whether the future industry will stay profitable in the face of competitors and poor

economic conditions

This chapter includes the source of funds, balance sheet, income statement, cost of goods

and cost of sales.

Financial Assumptions

1. Service price of WasHouse Laundry Shop:

WasHouse Standard Price (Full service)

Service Price

Basic P 185.00

Premium 210.00

Extreme 240.00

2. Sales demand increases 10% per year

3. Raw materials increases 5% per year


4. Depreciation expense is computed in a straight line basis with an estimated useful life of

3 years

5. 50% of net income will be distributed after 3 years

Initial Capital Requirements

The partners agreed to contribute an equal sharing of capital in the amount of

P500,000.00 each.

Initial Capital Requirements


Partner Ratio Invested Amount

Dana Isabelle A. Marquez 50% P500,000.00

Kimberly Ann C. Nocete 50% 500,000.00

Total 100% P1,000,000.00

Table 4.1
Cost and Expense Schedule

Schedule 1:
Purchased of Raw Materials

Quantity per Production


Item Unit Price Amount
Monthly Yearly

Detergent Liquid 2 box 24 box P2,592.00 P62,208.00

Fabric Conditioner 2 box 24 box 2,200.00 52,800.00

Bleach 2 box 24 box 2,772.00 66,528.00

Gas Propene 2 Tank 24 Tank 6,550.00 157,200.00

Total P14,314.00 P388,736.00

Table 4.2

Schedule 2: Rent Expense

Monthly Annual Cost

P6,000.00 P72,000.00

Table 4.3

Schedule 3: Salaries and Wages

Position Cost per Month Annual Cost

Manager P 5,000.00 P60,000.00

Cashier/ Receiving Clerk 3,000.00 36,000.00

Laundry Workers/ Washer 4,000.00 48,000.00

Cleaner 3,000.00 36,000.00

Total P15,000.00 P180,000.00


Table 4.4

Schedule 4: Office Supplies

Item Quantity Price Annual Cost

Record Book 2 P80.00 P160.00

Official Receipt 25 20.00 500.00

Ballpen 15 6.00 90.00

Marker 10 10.00 100.00

Bond paper 2 168.00 336.00

Stapler 2 50.00 100.00

Stapler Wire 3 57.00 171.00

Scissor 2 10.00 20.00

Tape 5 20.00 100.00

Total P1,577.00

Table 4.5

Schedule 5: Packaging

Item Quantity Price Monthly Annual Cost

Eco Bag 50 P55.00 P2,750.00 P33,000.00

Garment Hanging Bag 30 55.00 1,500.00 18,000.00

Total P51,000.00

Table 4.6
Schedule 6: Transportation Cost

Item Cost per Month Annual Cost

Delivery Expense P3,500.00 P42,000.00

Total P42,000.00

Table 4.7

Schedule 7: Promotional Expenses

Cost No. of Months Annual Cost

Flyers P250.00 12 P3,000.00

Total P3,000.00

Table 4.8

Schedule 8: Office Furniture & Fixture

Estimated Depreciation
Items Quantity Price Amount Useful Life Expense

Couch 1 P750.00 P750.00 5 P150.00

Waiting chair 2 6,375.00 12,750.00 5 2,550.00

Wall Fan 3 1,260.00 3,780.00 5 756.00

Total P17,280.00 P3,456.00

Table 4.9
Schedule 9: Machine & Equipment

Item Quantity Price Amount

Washing Machine 5 P21,990.00 P109,950.00

Gas Dryer Machine 5 P45,999.00 229,995.00

Flat Iron 2 389.00 778.00

Laundry Scale 2 1,000.00 2,000.00

Water Tank 2 4,000.00 8,000.00

Laundry Basket 15 90.00 1,350.00

Hanger 100 15.00 1,500.00

Ironing Board 2 990.00 1,980.00

Total P355,553.00

Table 5.1

Schedule 10: Depreciation Expense

Estimated Depreciation
Item Cost Useful Life
2022 2023 2024

Office Furniture & Fixture P17,280.00 (please schedule P3,456.00 P6,912.00 P10,368.00
7)

Office Equipment 355,553.00 10 3,555.30 7,110.60 10,665.90

P7,011.30 P14,022.0 P21.033.90

Table 5.2
Statement of Cost of Goods Sold

2022 2023 2024

Beg. Inventory

Add:

Purchase of Raw Materials P388,736.00 P413,334.98 P439,163.91

Direct Labor 48,000.00 48,000.00 48,000.00

Overhead:

Packaging 51,000.00 51,000.00 51,000.00

Cost of Goods Sold P487,000.00 P512,334.98 P538,163.91

Table 5.3

Projected Demand and Sales For 2022-2024

Demand 2022 2023 2024

Basic P18,733.33 P20,173.33 P21,757.33

Premium 18,733.33 20,173.33 21,757.33

Extreme 18,733.33 20,173.33 21,757.33

Total 56,199.99 60,519.99 65,271.99

Sales

Basic 281,000.00 302,600.00 326,360.00

Premium 359,600.00 381,200.00 404,960.00

Extreme 451,650.00 473,250.00 497,010.00

Total P1,092,250.00 P1,157,050.00 P1,228,330.00


Table 5.4
Projected Cost for the year 2022-2024

2022 2023 2024

P388,736.00 P413,334.98 P439,163.91

Table 5.5

Product Quantity Price Per Cost Per Contribution Margin


Name Produce Product Unit

2022 2023 2024

Basic P60.00 P185.00 P91.54 P93.46 96.46 99.46

Premium 60.00 210.00 P125.09 83.91 86.91 89.91

Extreme 60.00 240.00 P133.55 106.45 109.45 12.45

Total P283.82 P292.82 P201.82

Table 5.6

WasHouse Laundry Shop

Projected Income Statement

For the year ended Dec. 31, 2022-Dec. 25, 2024

2022 2023 2024

Sales P1,092,250.00 P1,157,050.00 P1,228,330.00

Less: Cost of Goods Sold 487,000.00 512,334.98 538,163.91

Gross Income 605,250.00 644,715.02 690,166.09

Less: Operating Expenses

Rent Expense 72,000.00 72,000.00 72,000.00


Salary 132,000.00 132,000.00 132,000.00

Office Supplies 1,557.50 1,557.50 1,557.50

Transportation Expense 42,000.00 42,000.00 42,000.00

Promotional Expense 3,000.00 3,000.00 3,000.00

Depreciation Expense 42,000.00 42,000.00 42,000.00

Total Operational Expenses 292,557.50 292,557.50 292,557.50

Income Before Tax 312,692.50 352,157.52 397,608.59

Less: Income Tax (32%) 100,061.60 112,690.41 127,234.75

Net Income P212,630.90 P239,467.11 P270,373.84

Table 5.7

WasHouse Laundry Shop

Projected Statement of Cash Flow

For the year ended Dec. 31, 2022-Dec. 25, 2024

2022 2023 2024

Cash Inflows

Cash, Beg P350,565.00 P415,590.00

Partners Contribution P1,000,000.00

Sales 1,092,250.00 1,157,050.00 1,228,330.00

Total Cash Inflows 2,092,250.00 1,507,615.00 1,643,920.00

Less: Operating Expenses

Purchased of Fixed Asset 372,833.00

Purchased of raw materials 388,736.00 413,334.98 439,163.91

Packaging 51,000.00 51,000.00 51,000.00


Direct Labor 48,000.00 48,000.00 48,000.00

Salary and Wages 132,000.00 132,000.00 132,000.00

Rent 72,000.00 72,000.00 72,000.00

Promotional Expense 3,000.00 3,000.00 3,000.00

Income Tax 100,061.60 112,690.41 127,234.75

TOTAL Operating Expenses 1,167,630.60 832,024.41 872,398.66

Cash Balance, End P1,975,619.38 P675,590.59 P771,521.34

Table 5.8

WasHouse Laundry Shop

Projected Balance Sheet

As of Dec. 31, 2022-Dec. 25, 2024

2022 2023 2024

Assets

Current Assets

Cash P1,975,619.38 P675,590.59 P771,521.34

Total Current Assets 424,620.00 675,590.59 771,521.34

Non Current Assets

Office Furniture & 17,280.00 17,280.00 17,280.00


Fixture

Machine & Equipment 355,553.00 355,553.00 355,553.00

Total 372,833.00 372,833.00 372,833.00

Less: Accumulated
Depreciation 7,011.30 14,022.00 21.033.90

Total Non-Current
Assets 365,821.70 358,811.00 351,799.10

Total assets 790,441.70 1,034,401.59 1,123,320.44

Liabilities & Equity

Current Liabilities

Partners Equity

Partners Contribution 1,000,000.00 790,441.70 1,034,401.59

Add: Net Income 212,630.90 239,467.11 270,373.84

Total Liability
& Equity, end P1,212,630.90 P1,029,908.81 P1,304,775.43

Table 6.1

Financial Ratio

2022 2023 2024

P212,630.90 P239,467.11 P270,373.84


Profit Margin
1,092,250.00 1,157,050.00 1,228,330.00

19.47% 20.69% 22.01%

P212,630.90 P239,467.11 P270,373.84

Returns on Investment 1,000,000.00 1,000,000.00 1,000,000.00


21.26 23.95 23.04

1,092,250.00 1,157,050.00 1,228,330.00

Returns on Total Asset P1,212,630.90 P1,029,908.81 P1,304,775.43

90.07 112.34 94.14

1,092,250.00 1,157,050.00 1,228,330.00

Returns on Equity P1,212,630.90 P1,029,908.81 P1,304,775.43

90.07 112.34 94.14

605,250.00 644,715.02 690,166.09

Fixed Asset Turnover 365,821.70 358,811.00 351,799.10

165.44 179.68 196.18

605,250.00 644,715.02 690,166.09


Total Asset Turnover
P1,212,630.90 P1,029,908.81 P1,304,775.43

49.91 62.60 52.90

51,100.00 51,100.00 51,100.00

Break Even Point in Units P283.82 P292.82 P201.82

884.71 884.71 884.71

Table 6.1
CHAPTER VI

MANAGEMENT STUDY

This chapter focuses on the company's overall corporate organization. The management

aspect suggests a clear and precise identification of duties, authority flow, and manpower

requirements. The business's Form of Ownership, organizational chart, job analysis, company

policies, Management policy and Call on duty were included in this study. The success of the

business will be determined by the management aspect. As a result, a detailed analysis of

officers, key personnel, and manpower requirements will be a major focus of this chapter. This

chapter will also cover business culture, which covers the operating schedule and day-to-day

monitoring.

Form of Ownership

A partnership will be the type of business ownership in which partners share income,

skills, and other assets and share managerial and financial responsibilities. The profit will also be

equally shared among the owners, as will the liability. Complementary skills and additional

contacts of each pattern can lead to achievement of greater financial results together than would

be possible apart. For the business to last longer, mutual support and motivation are needed.
Organizational Chart

Table 4.1
Job Analysis

Job Title: Manager

Name: Kimberly Ann C. Nocete

Job Description:

Responsibilities

● Conduct communication meetings once in month and ensure employee performance

effectively.

● Assigning Employee Tasks

● Manage and communicates with staff

● His/her job includes planning, organizing, directing and controlling all the employees of

the organizations as well as its relationship to each other.

● Responsible for checking sales records.

● Lead staff relations effectively within the laundry department.

Job Qualifications

● Graduate or Study of any management courses

● Male or Female, from 21 to 26 years old

● At Least 2 years working experience

● Must have a good moral character

● With pleasing personality

● Salary Scale: P5,000.00 monthly


Job Title: Cashier/Receiving Clerk

Name: Dana Isabelle A. Marquez

Job Description:

Responsibilities

● Responsible for the monthly income statements and balance sheets.

● Responsible for collection of receivables and payroll.

● Be Attentive at all also to the clients.

● Provides a positive customer experience with fair, friendly, and courteous service.

● Responsible for keeping record sales.

● She records all transactions.

● Handle concerns of guests and follow and follow up on activities as required.

Job Qualifications

● Female only, from 20 to 26 years old

● Graduate or Study of any Business and Accountant related courses

● At least 2 years working experience

● Must have a good moral Character.

● Friendly and positive attitude.

● Basic math skills

● Salary Scale: P3,000 monthly


Job Title: Laundry Workers/ Washer

Name: Unknown

Job Description:

Responsibilities

● Collecting clothing, sorting laundry by color and fabric type.

● Performing stain treatments

● Operating laundry to wash and dry items

● Operates and maintains folding equipment

● Ensures all machines and equipment are good conditions

● Always responsible to check all facility are clean

● Perform other duties as may be assigned by his/her superior.

● Guide the self service customer to operate the machine.

Job Qualifications

● Female Only

● 18 to 30 years old

● A college level or high school graduate

● Must have a good moral character and with pleasing character

● Must be responsible and hardworking

● Salary Scale: P4,000.00 monthly


Job Title: Cleaner

Name: Unknown

Job Description:

Responsibilities

● Carry out deep cleaning and detailed cleaning tasks.

● Always responsible to check all facility are clean

● Performing maintenance activities related to cleaning

● Perform other duties as may be assigned by his/her superior.

● Stock and maintain supply rooms.

Job Qualifications:

● Male or Female, From 18 to 30 years old

● A college level or high school graduate

● Must have a good moral character and with pleasing character

● Must be responsible and hardworking

● Salary Scale: P3,000.00 monthly


Company Policies

● Employees are mandatory to check all machines appliances clean

● Follow safety provision to avoid accidents

● Observe Cleanliness in the working area

● It is forbidden to be late for work

● Smoking is prohibited especially during work time and inside the facility.

Management Policy

● Customer shall be first priority

● Provide ongoing training for staff.

● Keep the laundry shop organized.

● Keep a maintenance schedule

● Make sure the area is always clean.

Call on duty

● If needed, the company requires the employees to work overtime.


CHAPTER VII

SOCIO-ECONOMIC STUDY

In general, this chapter includes information about the business's socioeconomic study

as well as its environmental impact. This will address the advantages that can be provided to

consumers, owners, and employees, as well as how to maintain the environment safe from the

chemicals used for the washing company.

Contribution to the Government and Economy

This business will benefit the economy through providing employment to every

individual, especially within the residents covered by the study. This will give the hired

employees and their families their source of income for their living needs. This business will

support local workers. It will also promote the business and also contribute to the competition

which will lower the price of the product but will maintain the quality of the products. The

business owners will pay their tax liabilities mandated by the law. Tax will help the government

generate funds for the improvement of public service and government projects(academia.edu,

FSUU-Accountancy Program)

Contribution to Society

The proposed laundry business will attract a large amount of extra income. Customers

looking for a laundry shop that will provide good cleaning services at a reasonable price will be
satisfied. The company will assist consumers or individuals in maximizing their time for other

tasks and providing comfort to customers.

CHAPTER VIII

CONCLUSION AND RECOMMENDATION

Upon collecting the response on the market survey, the market study recognized the

acquiring of a laundry shop and the demand for the laundry shop of the residents of the planned

place of the barangay Saranay Road, Bagumbong Caloocan City. The analysis showed the

demand for the service, allowing for the development of an effective marketing strategy that

would ensure the business's survival throughout its initial stages of operation and will last in the

long run.

Basically, based on the research and study that have been conducted, we seem to be

feasible at its location, market demand and the factors that can affect the market. We accordingly

conclude that our business is feasible and applicable for the setted location.
IX. APPENDICES

A. Survey Questionnaire

Name :

Age :

Gender :

Male

Female

Status:

Single Seperated

Married Widowed

Occupation :

Employed Self employed

Freelancer I am a student

How many are you in the family?

3 5
4 6 or more

Do you own a washing machine?


Yes
No

1. What do you prefer in washing your clothes?


Do my own laundry
Someone to do it for me
Through the Laundry Shop
2. Do you use laundry services to wash your clothes?
Sometimes
Often
Always
3. What do you prefer when doing laundry?
Hand wash
Washing Machine
4. How often do you use laundry services?
Sometimes
Often
Always
5. What time do you prefer when doing your laundry?
Morning
Afternoon
Night
6. How much time do you spend washing your laundry?
1 to 2 hours
3 to 4 hours
5 hours above
7. How many kilos does your laundry weigh on a regular basis?
4 to 5 kilos
6 to 7 kilos
8 to 9 kilos
8. Do you think it would be more convenient if your clothes were delivered to your home
after the laundry?
Yes, to save more time
Maybe, if it's optional
No, I can do it on my own
9. What do you prefer in detergent?
A high quality but costly
Low quality but affordable
10. What items do you usually wash in the laundry shop?
Regular Clothes (T-shirts, Polo Shirts, Shorts, Jeans, etc.)
Home Fabrics (Blankets, Comforter, Pillow Cases, etc.)
Office Clothes (Long Sleeves, Dresses, etc.)
Towels
Delicates (Undergarments, Infant's Clothes, Socks, etc.)
B. Logo

C. Promotional Materials
D. References

a. https://www.academia.edu/9642891/Feasibility_Study_Laundry_Services

b. https://www.academia.edu/37268623/_WASHATERIA_WASH_YOUR_PROBLE

M_A_FEASIBILITY_STUDY_ON_ESTABLISHING_A_COIN_OPERATED_L

AUNDRY

c. https://www.bplans.com/laundromat-business-plan/

d. https://www.academia.edu/40020781/LAUNDRY_BUSINESS_PLAN

e. https://www.slideshare.net/bryanoculam/feasibility-study-veggie-bread

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