Business Name: LendEase Loan
Business Type: Small lending business
Prepared by: Princes Arceo
Date: January 17,2025
Contact Information: 09632005340
TABLE OF CONTENTS
Executive Summary
Market Feasibility
Technical Feasibility
Resources Needed
Executive Summary
LendEase Loan is a micro-lending business aiming to provide financial assistance
to individuals and small businesses in the Philippines. With an initial capital
of 100,000 pesos, the business will offer short-term loans at a 5% monthly interest rate.
Our mission is to bridge the gap between financial need and accessibility,
providing quick, reliable, and transparent loan services. The study evaluates the market potential,
operational requirements, and financial viability to ensure sustainable business growth.
Market Feasibility
Industry Overview
Target Market
Small business owners needing working capital
Individuals who receive a regular pension
Individuals seeking emergency funds
Self-employed
Technical Feasibility
Operational Workflow
Loan application submission
Credit investigation and evaluation
Loan approval and disbursement
Loan repayment and monitoring
Resources Needed
Capital: 100,000 pesos initial investment
Personnel: 1 loan officer
Technology:Laptop, internet, Cellphone
y interest rate.
tes the market potential,
siness growth.
Startup Cost (Initial Investment)
The startup cost involves all the necessary items to get your business operational.
Item Cost Notes
Printer 11,000 Essential for printing loan agreements and loan application
Bond Paper (1 pack) 238.00 Used for printing documents
Ball pen ( 3 pcs) 30.00 Used for signing the loan application
A4 Document storage (1pc) 125.00 Used for Organize Documents
ink 1 set 617.00 Used for images, charts, or colorful text.
Stapler W/staple remover 158.00 Used for organizing documents such as loan agreements a
Envelope Long W/Garter (3 p 51.00 Used for organizing copies of loan agreements and loan ap
Total Startup Costs 12,219
reements and loan application
olorful text.
nts such as loan agreements and applications
f loan agreements and loan applications
Operating Cost (Monthly)
Operating costs are ongoing expenses you’ll incur while running the business.
Item Cost (PHP) Notes
Monthly Paper 476 For printing documents and receipts
Monthly Load 150 Tracks due dates and lending transactions for convenience
Total Monthly Operatin 626 Monthly cost for paper, ink, and utilities
for convenience
Loan & Interest Calculation:
Initial Capital Investment: 100,000.00
Loan Amount: 100,000.00
Interest Rate: 5%
Loan Term (in months): 12
We will calculate the monthly payment, interest earned, principal repayment, and remaining balance for ea
1. Monthly Payment Calculation:
For a 10,000 loan with 5% monthly interest, the monthly payment is calculated.
Loan Amount x 10%
Loan Amount 100,000.00
Interest Rate 5%
Monthly Interest per Loan 5,000.00
Monthly Interest per Loan x Months Loan Term
Monthly Interest per Loan 5,000.00
Months Loan Term 12
Total Interest per Loan 60,000.00
Loan Amount: +Total Interest per Loan
Loan Amount 100,000.00
Total Interest per Loan 60,000.00
Total Revenue per Loan 160,000.00
Total Revenue per Loan 160,000.00
Monthly payments for one ye 12
The monthly payment 13,333.33
2. Detailed Monthly Computation:
Here’s the table with exact dates and the breakdown of the loan schedule:
Payment Date Interest Earned
Jan 1 5,000.00
Feb 1 4,333.33
Mar 1 3,883.33
Apr 1 3,410.83
May 1 2,914.71
Jun 1 2,393.78
Jul 1 1,846.80
Aug 1 1,272.47
Sep 1 669.43
Oct 1 36.23
Nov 1 -628.62
Dec 1 -1,326.72
Step-by-Step Explanation
January (Start Date: Jan 1):
Interest Earned: 5,000.00
Payment Received: 13,333.33
Principal Repayment: 8,333.33
Remaining Balance: 86,666.67
Net Profit (for the year):
Item Amount
Annual Revenue 25,761
Annual Operating Costs 7,512
Net Annual Profit 18,249
Net Monthly Profit 1,521
Summary of Computation (for the year):
Item Amount
Initial Capital Investment 100,000
Total Startup Costs 12,219
Annual Operating Costs 7,512
Net Annual Profit 18,249
Net Monthly Profit 1,521
Summing up the interest earned from January to October (as the balance will be fully paid by the next mo
Interest Earned:
January 5,000.00
February 4,333.33
March 3,883.33
April 3,410.83
May 2,914.71
June 2,393.78
July 1,846.80
August 1,272.47
September 669.43
October 36.23
November
December
Total Interest Earned 25,760.92
cipal repayment, and remaining balance for each month, starting from January 1.
ment is calculated.
oan schedule:
Payment Received Principal Repayment Remaining Balance
13,333.33 8,333.33 86,666.67
13,333.33 9,000.00 77,666.67
13,333.33 9,450.00 68,216.67
13,333.33 9,922.50 58,294.17
13,333.33 10,418.62 47,875.54
13,333.33 10,939.56 36,935.99
13,333.33 11,486.53 25,449.45
13,333.33 12,060.86 13,388.59
13,333.33 12,663.90 724.69
13,333.33 13,297.10 -12,572.41
13,333.33 13,961.95 -26,534.37
13,333.33 14,660.05 -41,194.42
Loan Amount x Interest Rate
Total Revenue per Loan x Monthly payments for one year
Payment Received - Interest Earned
Formula
Revenue from 1 loans per month
Monthly Operating Costs x 12
Annual Revenue - Annual Operating Costs
Net Annual Profit ÷ 12
s the balance will be fully paid by the next month):
