Ateneo de Davao University
School of Governance and bu siness E. Jacinto St., Davao City

NATIVE DELIGHT
(BISAYANG MANOK-“BISNOK”)
A Feasibility Study on Poultry business in Davao City

In Partial Fulfillment of the Requirements in
MANAGEMENT CONSULTANCY

Submitted to:
Mr. Mark Gil M. Mamac, CPA

Submitted by:
Dinging, Jessa Riel
Llameg, Althea
Nunez, Laulen
Tan, Natasha Elysse
Torrejos, Jessie Manuel
Zosa, Kristhy May

March 4, 2013
Ateneo de Davao University
“Ang Saya sa MANOK na BISAYA”

NATIVE DELIGHT
(BISAYANG MANOK-“BISNOK”)

A Feasibility Study on Poultry business in Davao City
ABSTRACT

This study aims to know the feasibility of Bisayang Manok as a poultry business in Davao City that may add to the supply to the excessive demand of bisayang manok in certain restaurants in the city.

The chicken industry in the Philippines consists of commercial sectors and backyard sectors. Commercial sector includes hybrid chickens and broilers which occupies a larger percentage in country’s chicken supply and production. On the other hand, the backyard sector includes native chickens which has insufficient supply, yet has a high consumer demand in the market.

The supply of native chickens in Davao City is not enough to meet the increasing demand of the consumers. Thus, the Native Delight wants to increase the production and supply of native chickens in the city. If the study turns to be feasible, for the meantime, the Native Delight will only cater a particular famous restaurant in Davao City. However, in the long run, Native Delight will cater a larger scale of consumers.

The study uses Darag native chicken. It will be free-ranged, and be fed by organic foods.

The results indicated that Bisayang Manok as a poultry business in Davao City is a feasible business.

ACKNOWLEDGEMENT

This Feasibility Study was made possible by the guidance, supervision, assistance and contribution of the following:

* To Almighty God for giving us strength and protection in preparing this Feasibility Study.

* To the proponents parents who always guide and give them words of wisdom in doing their best in preparing the Feasibility Study as well as providing both their financial and emotional support, especially to Mr. Alberto V. Llameg Jr. for the improvement of the proponents’ design of the structures.

* To the proponents’ intelligent adviser and Management Consultancy Instructor, Mr. Mark Gil M. Mamac, CPA who imparted his knowledge with patience and diligence through his advises and evaluations which helped them met the necessary works for the completion of this study.

* To Ms. Lowella Garcia who patiently and willingly shared her ideas and expertise to the proponents in explaining the matters regarding the study.

* To Mr. Romeo S. Reginio, Jr. for his compassion in providing the proponents with answers to their inquiries and suggesting technical ideas for the completion of the study.

The proponents which are the group 3 of AM4D class sincerely acknowledge and give their heartfelt thanks to the person/s mentioned above who helped them brought the success of making this Feasibility Study. Once more, the proponents are very grateful for this accomplishment.

Table of Contents ABSTRACT i ACKNOWLEDGEMENT ii Chapter 1 1 PROJECT SUMMARY 1 A. Name of the Business Entity 1 B. Location 2 C. Descriptive Definition of the Project 2 D. Project’s long range of the project 3 E. Feasibility Criteria 4 F. Summary Findings and Conclusion 5 G. Highlights of the Project 6 Chapter 2 7 REVIEW OF RELATED LITERATURE 7 Chapter 3 11 MARKET STUDY 11 A. Product 11 B. Market Description 14 C. Demand 15 D. Supply 16 E. Demand-Supply Analysis 16 F. Price Study 17 G. Marketing Program 17 H. SWOT Analysis 17 Chapter 4 19 TECHNICAL FEASIBILITY 19 A. The Product 19 B. Manufacturing or Service Process 20 C. Plant Size and Production Schedule 21 D. Machinery and Equipment 24 E. Plant Location 25 F. Plant Layout 25 G. Building and Facilities 26 H. Raw Materials and Supplies 26 I. Utilities 27 J. Waste Disposal 27 L. Labor Requirements 28 Chapter 5 29 FINANCIAL FEASIBILITY 29 A. Initial Working Capital Requirements 29 B. Sources of Funds 29 C. Major Assumptions 29 Chapter 6 33 SOCIO-ECONOMIC STUDY 40 Chapter 7 41 MANAGEMENT STUDY 41 A. Form of Ownership 41 B. Organizational Chart 41 APPENDIX 42 Table A List of Organic Supplements 47 Table B List of Raw Materials 50 Survey Questionnaire 52 Curriculum Vitae of the Proponents 53 References 55

Chapter 1

PROJECT SUMMARY

A. Name of the Business Entity The business entity is named Native Delight. The word native came from the product itself because the entity is going to sell native chickens. The proponents associated the word to the product for the reason that restaurants here in Davao City which are the target market will have an idea what will the entity sell. The second word delight allures customers of having a feeling of high degree satisfaction from the sound of it. With this, the proponents will give the customers the feeling of great contentment just from the name itself.

1. Name of the Product
The product’s name is BisNok. BisNok came from two words which are bisaya and manok. Instead of directly naming it as Bisayang Manok, the proponents shortened it through combining the first three letters of Bisaya and the last three letters of Manok to make it simple and catchy – BisNok. Through this, it will catch the customers’ attention and the latter will easily remember the name of Native Delight’s product.

2. Logo The proponents laid in detail the representations shown on the Native Delight’s logo. The color and design of the logo is matched with the entity’s nature of business that is organic and very much chicken.

B. Location
Native Delight’s one-hectare farm is located at Wangan, Calinan, Davao City. It is situated in a nearby developing farm and the supplier of the entity’s native chicken eggs. It will only take an hour and a half to travel from town proper going to the farm since the road is well-paved. The area is ideal for poultry farming and the water and electricity is already accessible for the convenience in doing the business’ operations. Lastly, the rent of the farm is much cheaper compared to others.

C. Descriptive Definition of the Project
The proponents came up with this project because they wanted to have a farm for native chickens located here in Davao City. The said city has a low production of native chickens wherein the supplies are limited which results to a difficulty in meeting the consumers’ demand. Furthermore, the supplies are locally imported from Kidapawan City to Davao City. In other words, there are few farms in the city that produces and at the same time supplies native chicken regularly in numerous volumes. Thus, the main objective of the proposed project is to supply native chicken in Davao especially in downtown area wherein most of the famous restaurants are established. The proponents aim to build up a trusted name as the main producer and supplier of quality native chickens. In addition, provide an organic, healthy, and diseased-free chicken to the consumers who would like to buy from Native Delight. Through this assurance, the consumers will continuously buy and consume the entity’s product, and as well be highly satisfied with it. The proponents’ proposed small-scale business needs half a hectare just for the estimated number of chickens which are about 200-300 heads per week and since their farm is an one-hectare land with an existing house that will be renovated to be the office of Native Delight. The remaining space is to be allocated for the chicks’ coop, for the fenced area which is for the chicken to roam at, and for the laying hens’ coop which is an area for the hens to lay their eggs. There is no need for cage; instead, there is a small poultry house just enough for the chickens to be sheltered especially during rainy days. There are also waterers and feeders that will be placed in the edges of the coops and as well as water tanks or barrels just near the coops. With regards to the waste due to the operations of the business, Native Delight has a management system in disposing the wastes to promote a healthy and environment-friendly poultry business. The building for the necessary structures of the farm will take at most three weeks before Native Delight can start the production. Meanwhile, after building the structures, it will take another four to five months to finally produce mature native chickens.

D. Project’s long range of the project
Native Delight aims to be the most trusted supplier of native chickens in Davao City on its 15th year of doing business. Moreover, Native Delight intend to: 1. Make BisNok a well-known trusted native chicken product; 2. Have a thirty (30) additional laying hens; 3. Expand the business in terms of its production volume; 4. Buy at least four hectares of land for the purpose of poultry area expansion; 5. Provide native chickens not only in restaurants, but also to cater supermarkets and walk-in customers; 6. Let their employees attend seminars and trainings for them to improve existing knowledge and skills, and acquire a new one with regards to the business which will help them improve the business in terms of its facilities and operations; 7. Improve the existing office building located at Wangan, Calinan; 8. Acquire another office located in downtown area; 9. Attain a strong and established name in the market which will help lead them to another goal – to cater major cities in Mindanao area; 10. Become a pioneer in producing and supplying native chicken eggs other than the BisNok in Mindanao; 11. Provide more jobs for some unemployed individuals and boost the economy

E. Feasibility Criteria

1. Market feasibility * There must be a high-demand of native chicken in the market. * In Davao, Native Delight must consider its other competitors whether they are few or a lot. If there will be a few competitors then it means that there will be a low supply of native chickens.

2. Technical Feasibility * There must be a trusted supplier of native eggs. * The area must be appropriate for raising native chickens. 3. Socio-Economic Feasibility * The Native Delight must be able to help the city government in terms of providing job opportunities. * The Native Delight must be able to contribute to the city government through paying income taxes and other fees. * Native Delight must implement proper waste disposal. * The Native Delight must promote an eco-friendly business. 4. Organization and Management Feasibility * Native Delight must have enough capital to start the business. * Native Delight must have properly management. * Native Delight must hired qualified employees that fit to their respective positions.

5. Financial Feasibility * The entity will be able to attain a desired profit and a higher rate of return * There are sufficient sources for internal and external functioning * Reliable information about cost and revenue can be obtained
F. Summary Findings and Conclusion

1. Market Feasibility
Native Delight will be producing, and at the same time supplying native chickens in their target markets, particularly Conching’s. For the meantime, the entity will only cater one major restaurant due to the low volume of production of native chicken eggs because of the limited area for the poultry farm. Since the area is limited, it will be difficult to raise more than five hundred (500) heads of native chickens in a half hectare area. This volume of native chicken will not suffice the demand of even the three restaurants in Davao City, namely Colasa’s, Conching’s and Dencia’s. Base on above information, the proponents can really infer that there is a high demand of the product yet, there is a scarcity in supply. Native delight’s major competitors are the suppliers from Kidapawan City which is far from Davao. Native Delight can compete with their prices by offering a reasonable price lower than of our competitors’. Also due to scarcity of supply, it will not be too difficult and costly to do the strategies in marketing our product.

2. Technical Feasibility
The project area is a one-hectare land which is located in Wangan, Calinan, Davao City. There is already a house for the caretakers within the area for them to conveniently do their assigned task. Their daily routine is already listed for them to be guided accordingly in handling and managing the chickens. The proponents plan to build 7 coops for the chickens’ habitat followed by a certain process cycle which begins by buying and collecting eggs at Balikbukid. Then, the incubation of the collected eggs at MD2LA. After that, the driver will go back to MD2LA to collect the newly hatched eggs and the caretakers will be the ones to place them in the chick coop. After a certain period of time, they will release the chicken in the free range. And lastly when they will reach the age of 12-14 weeks, the chickens will be selected by an authorized person from Conching’s which will be harvested and delivered right away to the said restaurant.

3. Financial Feasibility
The company’s starting capital will be amounting to one hundred eighty thousand pesos (Php 180,000) and this will be proportionately contributed by the incorporators. This will be used to fund the said business and to start its operations.

4. Socio-economic Feasibility The project can provide jobs for those unemployed individuals who have knowledge and skills in handling and raising native chickens. In this way, it can help the economy through decreasing the number of unemployment in Davao City. This project will also help boost up the city’s agricultural industry specifically in poultry business. Furthermore, this will promote an organic way of raising chickens as well as promoting a healthy food for the consumers. Through an organic way of raising chickens, the business entity is not harming the ecosystem because it won’t be using chemicals to constrain the growth of the chickens because we will raise them naturally. Through this, Native Delight promotes an eco-friendly business to the society.

5. Management Feasibility The partners which are the owners of Native Delight will be responsible in decision making with regards to the business transactions and will act as managers of the entity. The receptionist will be responsible for incoming orders from the client. The caretakers tend to the everyday need of the native chickens in a variety of settings. The driver will be in-charge in delivering the native chickens to the respective buyers. Lastly, the security guards will secure the farm.

G. Highlights of the Project Red Jungle fowl (Gallus gallus) was one of those developed in the Philippines through crossbreeding of various fowl breeds and strains. The Red Junglefowl would often mingle, feed, and breed with them as sometimes they would wander in the forests looking for food and one of the reasons why they're a flighty, hardy bird capable of adapting to local conditions. Due to their mixed heritage, hens will develop spurs like males do although it is not a main occurrence.
Chapter 2

REVIEW OF RELATED LITERATURE

Native Chicken (Gallus gallus domesticus). Zoologically, the native chicken belongs to the genus Gallus of the family Phasianae. The domestic chicken is simply called Gallus domesticus. The wild ancestors of the domestic chicken probably originated in Southeast Asia, and four species of these wild jungle fowls are still known in the area. These are: Gallus gallus, the red jungle fowl; Gallus layette, the Ceylonese jungle fowl; Gallus sonnerati, the gray jungle fowl; and Gallus various, the black or green jungle fowl. However, the red jungle fowl has the widest distribution of the wild species and may well be the chief ancestor of the modern breeds (Nesheim et al., 1979).

According to the Food and Fertilizer Technology center for the Asia and Pacific Region, native animals have provided valuable contributions in the cultural, social, and economic status of farming communities in the rural areas. Aside from providing them with an alternative source of livelihood, these animals have been known to contain high quality protein. The growing population around the world prompted the demand for producing more which led to intensive farming, making use of exotic commercial breeds and hybrids. But with people becoming more conscious of their health, natural products exhibit for choosing native chicken and pig when it comes to animal production. Native Chickens possess almost the same advantageous characteristics like the native pigs. But aside from those, they also have the ability to look for their own foods, hence intensive production is not that much needed. Feeding them is easy as readily – available local feeds such as corn, palay, rice bran, kitchen leftovers, grasses or even insects and worms are palatable to them. They can also be beneficial for those who are planting other agricultural crops because they aid in improving soil fertility (Brion, A.C.B.,2012). Some of the Philippine native chickens that are raised in the backyard of many farmers in the rural areas still resemble their wild ancestral type. They are nervous, flighty, but the female has strong maternal instincts. They are hardy and can reproduce and survive with minimal care and management (Arboleda, 1987).

In the Philippines, native chickens constitute a large portion of the total chicken population. For many years, these chickens have been part of the natural setting and provide additional sources of income for so many rural farmers (Lambio, 1993).

Slowly, the value of native chicken is being recognized. In addition to its common contribution in the form of eggs and meat, a source of additional income to the rural farmers during lean months of the year, and as object for recreation in the form of cockfighting, many people in the urban areas are now looking at the native chicken as a source of nutritious food. City residents who lead a more sedentary life prefer foods that are low in cholesterol. Their preference is now shifting to eggs coming from native chicken which, being small, are also believed to supply a small amount of cholesterol. Aside from that, native birds and eggs are tastier and more savory than the improved breeds. This explains why, kilo for kilo, native poultry products are more costly than the exotic breeds (Cocjin, 1989). It is estimated that 54.74% of the total chicken population of the country are Native Chicken distributed as follows: Western Visayas, 13.32%; Southern Mindanao, 10.63%; Southern Tagalog, 9.51%; Central Visayas, 10.36%; Cagayan Valley, 9.29% (UPLB,2001). A native chicken lays 40 – 60 eggs in a year. However, recent findings showed that when properly managed and fed with the right quality and amount of feeds, the native hen can produce as much as 130 – 200 eggs in a year (PCCARD, 1998).

According to Rose Canastra of CIMPC in 2008, chicken is the cheapest source of protein. There is a great demand for organic chicken abroad and even in the Philippines alone of which the need cannot be met. The demand for chicken is around 635 million every year. And since Western consumers are now demanding organic food, they avoid chickens that were raised and treated with so much chemical medicines and preventive antibiotics that can cause deadly diseases to humans such as cancer. The supply of native chickens in the Philippines is scarce since it still does not have a free range chicken industry. Darag Native Chicken. Darag is a general term for the Philippine native chicken strain indigenous to and most dominant in Western Visayas. It evolved from the Red Jungle fowl (Gallus gallus bankiva). The typical plumage for the male, which is locally called Labuyo or Alimbuyog, is the red-winged, hackle and black feathers and black tail. For the female, also called Darag, the plumage is yellowish – brown. The comb is single, the earlobe is whitish and the shank is gray for both male and female. Adult male weighs an average of 1.3 kilograms while the female weighs an average of 1.0 kilograms. Present market for native chicken demands for Darag native chicken. It is the strain of native chicken that possesses a distinctive taste compared to others. In its absence, the mongrels can be used. This chicken has a bloodline of Darag but have a different plumage colour. The ratio of rooster to hen should be within 1: 7-10. Rooster should be changed every year to prevent inbreeding that may lead to abnormalities or deformities among the offspring. A hen could lay as much as 18 – 20 eggs per clutch. This number can be reached by collecting the eggs of hen in the nest everyday leaving only two to three eggs. The eggs should be stored under room temperature. Return the eggs in the nest when the hen shows broodiness. Culling should be done among hens every three years. It was observed that when the hen reaches this age, the egg production level decreases and its meat is tougher when cooked. It lays fewer eggs per clutch and the chicks hatched are weak. Hens showing similar poor egg production, obesity, poor vitality, or have developed physical deformities should also be culled even at their younger age (Pudadera, J.T., 2012).

The researchers conducted a study that aims to determine and compare the chemical composition, physico-chemical properties and sensory qualities of meat from Darag and commercial broiler chicken. Results of the study showed that Darag chicken meat, when cooked, contains less fat, is high in protein, rich in potassium and has more unsaturated fatty acids. Scientists attribute this to the higher amount of the free amino acid (aspartic) content in its meat (Department of Science and Technology, Research and Development Institute, 2008).

Poultry Production. Research on meat production worldwide indicates that poultry is the fastest growing livestock sector, especially in the developing countries (Delgado et al, 1999; Taha, 2003; Landes et al, 2004; Conroy, 2004). The Philippines is no exception (Costales et al, 2003). The outlook for the Philippine chicken industry appears optimistic because the demand for chicken products is expected to increase along with population and income growth (DA and NAFC 2002 a, b). According to the Philippine Department of Agriculture’s Bureau of Agricultural Statistics, domestic chicken production increased by 1.53% in 2009 and is projected to expand again. Demand for chicken meat is also forecast to rise this year as a result of a projected improvement in the Philippine economy and a growing population. The Philippine poultry sector, valued at about P144 billion, expanded by 10% in 2009 and represents about 14% of total agricultural production in the country. Chicken production, valued at P98 billion and the primary source of growth in this sector, went up by 10% (Bureau of Agricultural Statistics). The backyard poultry sector, which is defined by the Bureau of Agricultural Statistics (BAS 1987) as having less than 100 birds per household, deserves more attention because it comprises the majority of the poultry inventory in the Philippines. For example, the backyard production of native chickens accounted for about 54% of the total chicken inventory in 2005 (BAS 2006a). According to the Philippines Bureau of Statistics (BAS), the poultry subsector grew by 3.72 % in 2010 and accounted for 14.93 % of total agricultural production. Chicken and egg production has steadily grown over the past few years. Native chickens accounted for 47 % of the chicken inventory, broilers 34%, and layers 19 % in 2010. On the other hand, as of 2012, price of native chicken increased with insufficient supply.

Chapter 3

MARKET STUDY

A. Product
1. Product’s Name
Native Delight’s product – BisNok, is a Philippine Native Chicken specifically called Darag. This kind of native chicken came from the Genus Gallus family of Phasianae. Darag’s scientific name is Gallus gallus bankiva that evolved from Red Jungle fowl. The male locally called “labuyo” has red-winged, hackle and black feathers and tail. On the other hand, the female which is called Darag has typical yellowish-brown feathers. The proponents chose native chicken as the product because there is a need for supply due to its increasing demand.

2. Logo

Figure 3.1 Logo of the Product

The letters in the logo is filled with color green because it symbolizes that the proponents are applying the free-range system in raising the native chicken. The letter “O” was replaced by an egg of which the proponents’ product originated. The native chicken behind the letter “B” represents the product of Native Delight. The white circular floor in the logo represents the purity and cleanliness of our product. Lastly, the chicken in the logo showing an action of eating the letters signifies that the product, native chicken, is nourished and fed by organic foods and supplements.
3. Location

Figure 3.2 Map going to Native Delight

Native Delight’s one-hectare farm is located at Wangan, Calinan, Davao City. It is a two-kilometer travel away from Calinan proper, and a one-kilometer travel away from Balik Bukid sa Wangan Farm which is nearby in a developing farm and at the same time the supplier of the entity’s native chicken eggs. Despite of its distance, the road going to the area is well-paved. So, it will only take an hour and a half to travel from town proper going to the farm. The water and electricity is already accessible for the convenience in doing the business’ operations. The rent for the land only costs Php5000.00 per hectare annually which is in fact cheap in this manner.

The location of Native Delight’s poultry farm is an ideal place for raising the chicken. First, the place has its humid weather that suites the chicken’s habitat; secondly, there is a wide space for the chickens to roam around, and for us to put up the chicken coops; third, it is far from residential areas, thus, there will be a lesser incidence of having complaints; lastly, the environment is good for organic feeding of the native chickens.

4. Organic Feeding Native Delight opts to do organic feeding because of two major reasons: A. Less costs to be incurred
Organic feeding utilizes natural food or unprocessed food for the chickens. So, less cost will be incurred because the food can be found anywhere and if purchased, it will be in a lesser cost. Native chickens can survive under minimal care thus, supplemental feeding is suggested and this is needed to meet the nutrient requirement of the chickens. On the other hand, the availability of naturally-occurring feedstuffs depends on the months of the year. The following are the suggested feedstuffs for formulating home-mixed rations: dirty rice, kangkong, banana stems, and madre de kakaw leaf meal. Dirty rice must comprise 50-70% of the ration. Other materials can be mixed depending on their availability. This kind of ration is ideal during rainy months. During summer, fresh rice hull and palay and/or corn grits will do. The rice hull can also serve as litter material in the housing. Furthermore, the proponents make use of herbal medicines for Darag Native Chicken. This is shown on Table A on the Appendix Section.

B. Better health benefits
Organic-feed chickens have high beneficial fats that lower cholesterol, and higher amount of Omega-3 Fatty Acids and Vitamin A. Their eggs taste much better than those from commercially-raised chickens which receive regular dose of antibiotics, vaccines and other medications. Though it takes longer cooking time for the meat of most native chickens, its taste is incomparable with 28-day broiler confined in overcrowded poultry houses where they also release their wastes. Chickens raised in the open catch insects that may be harmful to the plants and to the people. Thus, there are lesser flies to spread germs and organisms that cause diseases to the people (Genki F., 2008).

5. Free range System According to agmrc.org, "Pastured or free range, poultry" refers to a poultry production system that is characterized by chickens, turkeys or ducks being raised primarily on pasture. The birds supplement their grain feed by foraging for up to 20 percent of their intake and are often moved regularly to fresh pasture. “[The outdoor] ranging area is fenced, thereby technically making this an enclosure; however, free range systems usually offer the opportunity for extensive locomotion and sunlight prevented by indoor housing systems. Farmers practice free range to achieve free range or humane certification, to reduce feed costs, to produce a higher-quality product”. Therefore, Native Delight will use this kind of system because it is more natural way of raising chickens and native chickens are usually free range. The natural way is good for the chickens because they will receive the natural lighting from the sun plus the organic food that the entity will provide.

B. Market Description

The major consumers of BisNok will be the restaurants that caters native chickens especially those who make it as their special dish. For now, Native Delight’s product will be disposed to one of those famous restaurants in Davao City that has native chicken dishes. In means of transportation, Native Delight will purchase a 2x4 multicab to deliver the ordered product.

C. Demand

Figure 3.3 Demand Graph of Native Chicken in Davao City

As the proponents had gathered data from the three major restaurants here in Davao City that caters native chicken dishes, the proponents were able to come up with a graph that shows the demand for native chickens on a per month consumption. In the graph, Conching’s has the highest percentage of demand, so the proponents decided to cater them first as our customer.

D. Supply

Figure 3.4 Supply Graph of Native Chicken in Davao City

The graph shows that Bankerohan Public Market has the highest percentage of volume in terms of native chicken supply. Its percentage is 62% which is equivalent to 400 heads per week but this will not be on a regular basis of supply while Native Delight can only provide 240 heads per week but this will be on a regular basis based on the computation.

E. Demand-Supply Analysis The proponents compared the demand graph and the supply graph as shown above, therefore they decided that Native Delight’s product will not be so hard to sell in the market, due to its scarcity.

F. Price Study The prices of dressed broiler chickens at Bankerohan Public Market in Davao City with prevailing retail price ranged from Pph115.00-Php120.00 per kilo. Even though prices may increase anytime in a week due to shipment of live broiler to Metro Davao, the price of native chickens in the same market are much higher compared to broiler chicken. Their prices reach Php180.00 up to Php200.00.

G. Marketing Program

Native Delight’s marketing program will not invest too much on effort, time, and money to market the product because the entity’s product, BisNok, is an organic native chicken wherein it has a high market demand, but the supply is scarce. The scarcity of its supply can make it easily be marketed. Therefore, it is the entity’s advantage to go directly to our target client to offer our product BisNok. On the long run, Native Delight will invest on their marketing program through making a homepage in the internet which is to be nationally recognized. The entity will also invest in giving out flyers to walk-in customers to give an idea about the nature of the business. In addition, the entity will also invest in making and giving loyalty cards to Native Delight’s customers to give the latter incentives from buying the product. During Christmas season, Native Delight will conduct a free taste and free demonstration on sample native chicken dishes to give their clients some new ideas on how to make something new and tasteful out from the product.

H. SWOT Analysis Strengths: * Native Delight won’t have a hard time marketing the product because the demand for native chicken is high but the supply is scarce. * The proponents proposed business is located within Davao City particularly at Wangan, Calinan, Davao City. * There is no other business entity who can regularly supply native chickens in Davao City. * Native Delight produces organic native chickens of which will benefit the health of consumers in Davao City.
Weaknesses:
* Native chickens grow slower compared to broiler chickens. * Difficult to do mass production of native chicken. * Native Delight has to establish its name and must gain the trust of their consumers.

Opportunities: * When Native Delight continues to grow, it would be able to expand the business which could provide larger amount of orders. * The entity would be able to cater not just the restaurants as well as the supermarket and walk-in customers * Native Delight can venture to a new product like dressed native chicken and organic-feed broiler chickens.
Threats:
* Bad weather like heavy rains followed by hot temperature which causes illnesses to the native chickens will weaken their immune system to broiler chickens who receive regular vaccination. * If other possible competitors will notice that the business is really feasible, they might enter to the same industry which means there will have a number of suppliers in Davao City.

Chapter 4

TECHNICAL FEASIBILITY

A. The Product

* Eye * Bronchial Tubes * Lungs * Ceca * Ovary * Kidney * Superior Larynx * Esophagus * Trachea * Crop * Heart * Proventiculus * Gall bladder * Spleen * Liver Figure 4.1 Anatomy of a Chicken * Gizzard * Pancreas * Duodenal loop * Small Intestine * Mesentary * Large Intestine * Cioaca * Oviduct

B. Manufacturing or Service Process

Figure 4.2 Process Cycle
The cycle begins by buying and collecting the eggs at Balik Bukid, Native Delight’s supplier of eggs, in Wangan, Calinan. Next is the incubation of the collected eggs at MD2LA for 21 days. After that, the newly collected hatched eggs will be kept in the chick coop within two months. Then the release of the chickens in the free range will be next when the chickens are ready to roam around and adapt the environment. The chickens in the free range after one month will be ready for selection from a certain authorized person, coming from the Conching’s. The selected chickens which are at age of 12-14 weeks will be harvested and delivered to the Conching’s.
C. Plant Size and Production Schedule The work routine process of the caretaker… * Turn off the lights depending on the natural light visibility of the day * Feed the chickens every 7 in the morning and 4 in the afternoon with organic mixture. * Feed the chicks every 4 hrs in a day and change their water. The chick should be fed with the organic mixture. * After two weeks of age from the chick’s hatching, the light on the chick coop should be turned on 24/7. * From two to fourth week of hatch, the light of the chick coop should be turned on every night. * After 2 months of age the chick should be released to the free range. * Report to the office clerk if any of the chick or chicken had died or stolen for inventory purposes. * Check and collect the eggs in the laying hens coop every day. * Coordinate with the driver and office clerk every Friday to buy eggs from Balik Bukid. Afterwards, deliver the bought and collected eggs from the laying hens coop to MD2LA for incubation. * Clean all the chick’s coops. * Prepare the organic food mixture for the next day. For the chicken, mix dirty rice, kangkong, banana stems, and madre de kakaw leaf. The measurement of the dirty rice must be 50-70% of the whole mixture. Other materials can be mixed depending on their availability. For chicks, mix brown rice, chopped bamboo leaves and a virgin coconut oil. * If ever there is a dead chick or chicken, dig a 3 feet hole at the back of the house and bury the carcass, and report it to the office clerk for inventory purposes. * Prepare the compost hole inside the chicken free- range cage. * Put the vegetable rejects in the compose hole and cover with soil. * Turn on the lights depending on the natural light visibility of the day The work routine process of the driver… * Report to work at 8 in the morning * Check on the office clerk for orders and deliveries. * Coordinate with the caretaker on which free range cage are to be harvested. * Gather the chickens that are ready to be delivered. * Weigh the chicken to be harvested in the weighing scale * Count the chickens that are ready to be delivered and report it to the office clerk for bookkeeping purposes and billing for the customers. * Check the delivery car if the fuel is sufficient for the delivery of the product. * Check the delivery car for maintenance purposes. * Transfer the chicken to the delivery truck with the help of the other caretaker * Deliver the product to the client. * After the delivery, this will be the time to buy for the supplies that are needed in the farm. * Pay for the cost of the incubation then ask for a receipt for audit purposes, and pick up the batch of chicks of the week at MD2LA. * On the way to the farm, make a stop over to the market to collect vegetable rejects for the organic compost. * Park the delivery car at the parking area. * Remit the paid cash by the supplier to the office clerk. * Unload the vegetable rejects from the delivery car. * Place the collected vegetable reject at the prepared compost hole. * The works end at 5:30 in the afternoon. * Coordinate with the caretaker every Friday of the week. The work routine of the receptionist… * Reports to work at 8 in the morning. * Check the order status * Check the inventory base on the bookkeeping and the actual head counts to determine if there is a loss. * Coordinate with the caretaker on how many chickens are to be delivered on that day. * Check and determine the weights of the chickens to be delivered and compute for the price for billing. * Inform the clients for the volume of supply to be delivered and the cost of the delivery * Ask the caretaker for a list of needed supplies in the farm. * Inform MDLLA ahead of time every week when picking up. * Ask for the total cost of incubation. * Coordinate with MD2LA for the pickup of the chicks every week and the cost. * Compute the daily and weekly cost * Prepare the monthly billing every end of the month. * Prepare the payroll every 15th day of the month. * Wait for the driver’s remittance of the cash from the sales and secure it in the cash vault. * Deposit the collected cash in the bank every other day * Record the everyday transaction of the employees * Withdraw from the bank every 15th of the month for salary. * Every end of the month makes a report to the company owner. * Work end at 5:30 in the afternoon.

D. Machinery and Equipment

Equipment | Use | Car | Used for delivery | Cell Phone | Used to contact supplier, buyer, owner and for emergency use | Housing Equipment | Use | Position | For Chicks: | | | Feeder | Used as a food container | Placed inside the cage | Waterer | Used as a water container | Placed inside the cage | Bulb | Used for warming the chicks | Placed inside the cage | For Brooders/Roosters: | | | Feeder | Used as a food container | Placed inside the cage | Waterer | Used as a water container | Placed inside the cage | Basket | A place where the brooder will lay their eggs | Placed inside the cage | For Free-range Chickens: | | | Feeder | Used as a food container | Placed at the side of the pen | Waterer | Used as a water container | Placed at the side of the pen | Tugkaran | A place to rest of the chicken | Placed inside the coop |

E. Farm Location

Native Delight’s one-hectare farm is located at Wangan, Calinan, Davao City. It is two kilometers away from the Calinan proper and one kilometer away from Balik Bukid sa Wangan. The area is ideal for poultry farming because it is far from its neighboring houses thus, complains due to the foul smell of the chickens’ waste can be avoided. The water and electricity is already accessible for the convenience in doing the operations of the business. Lastly, the rent is cheap which just costs Php5000.00 per hectare annually.

F. Farm Plant Layout

House
216 Sq. Meters
House
216 Sq. Meters
Chick House
50 sq. meters
Chick House
50 sq. meters
Chick House
50 sq. meters
Chick House
50 sq. meters
Coop
1250 sq. meters

Coop
1250 sq. meters

Coop
1250 sq. meters
Coop
1250 sq. meters

107 meters
107 meters

Coop
1250 sq.meters

Coop
1250 sq.meters

Coop
1250 sq.meters

Coop
1250 sq.meters

Water Pump
10 Sq. Meters
Water Pump
10 Sq. Meters
Gate
Gate

93.5 meters

Figure 4.2 Floor Plan

G. Building and Facilities

Native Delight’s building and facilities comprise the following structures: Brooders house is a coop where the chicks are raised till they are old enough to survive without additional heat. Grower house is a coop that where the chickens scavenge for their own food that will be provided by the entity until the chickens are ready to be delivered to the buyer. Lastly, the Laying house is a coop that is design for the matured hens to lay eggs and this will protect the produce eggs from predators.

H. Raw Materials and Supplies
The needed raw materials that will be acquired for the constructions of the coops is shown below and the proponents will a lot a three weeks for the said construction. * * 4 cans mixed sand and gravel * 26 kilos of cement * Woods for the carpentry * 3 pieces of marine plywood * 6 pcs. Post strap w/ bolts, nuts and BC washers * 8 kilos Umbrella type roofing nails * 8 kilos common wire nails * 1/8 U.S. screen * 1/4 plastic screen (green) * 20 ft. bamboo * #4 PVC pipe * #4 PVC pipe elbow * Water container * Aluminium screen for the water container * ½ hose * Steel (stand for the water container) * Welding rod * Plastic feeder (for chicks) * Rattan baskets * Lock * 50W bulb * Power switch * Weather proof electric socket * Boots * Masks * Gloves * 3 gallons Pail with cover * Shovel * Deeper cup * Crate * Tie box * 4WD pick up type multicab (surplus) * General office supplies * 12 x 18 White board marker * Clock * Logbook * LED flashlight * Sack

I. Utilities
Here are the following utilities that will be themed by Native Delight, its source and costs:
1. Water Consumption- it will be directly pumped below the ground to be assured that the water is fresh and away from chlorine.
2. Electric Consumption- it will be provided by Davao Light Ab oitiz Company.
3. Fuel- it will be purchase from the nearest gasoline station.

J. Waste Disposal
The proponents plan to dig 4ft. hole and it is 2 meters away from the house. Next is the chicken’s manure will be collected everyday and put it in a sack then the sack be placed on the hole and it will be covered to prevent the odor. The collected manure will be sold to gardeners or farms for fertilizers.

L. Labor Requirements

Employees | No. of Persons | Function | Classification of Labours | Pay Scales | Caretakers | 2 | Persons in-charge in feeding the chickens and cleaning the areaPerson in-charge for the slaughter and dressing of the chickensPerson in-charge for laying hens and the chicks | Direct | PHP 197.26/day | Driver | 1 | Person responsible for delivering the product to the respective target market | Indirect | PHP 328.77/day | Receptionist | 1 | Person in-charge for receiving the orders coming from the client | Administrative | PHP 263.01/day | Owners/ managers | 4 | Persons responsible for decision making with regards to the business transactions | Administrative | | Security Guards | 2 | Persons responsible for securing the parameter the farm during day and night | Indirect | PHP230.14/day |

Chapter 5

FINANCIAL FEASIBILITY

A. Initial Working Capital Requirements
The working capital requirements as the proponents had agreed upon will maintain the stability of the business, assets of the business should be greater than its liabilities. In this way the proponents can assure that Native Delight will be capable on pursuing the said business.

B. Sources of Funds
Native Delight’s starting capital will amount to one hundred eighty thousand pesos (Php 180,000.00) and this will be proportionately contributed by the partners. This will be used to fund the said business and to start-up our operations.

C. Major Assumptions * Payment to suppliers will be on cash to cash basis. * The frequency of sales is weekly. * Cash basis method will be used in preparing the financial statement. * Depreciation cost is computed using a straight line method. * Salaries and wages of the employees will be the standard salary imposed by the Department of Labor and Employment. * Selling price of the native chicken will increase annually by 2.8% because entity does not have a regular competitor in supplying native chickens to its supplier. * The financing aspect of the business is through the capital budget shared by the partners.

* For long-term financing, sources are from the profit of the business; for short-term financing, the sources came from the capital budget shared by the partners. * The business does not have a loan or other alternative source of income to fund the business * The currency used in financing the business is Philippine peso. * The starting capital budget to fund the business is one hundred eighty thousand pesos only (Php 180,000.00). * The business’s security is guarantee. * On the first year of doing the business, there is already a two hundred twenty-one and twenty-five centavo (Php 221,021.25) annual cash return from the initial investment, and there is a continuous increase in the annual cash of return of the following years. * Aside from the inflation and deflation rates, there are no other contingencies and seasonal peaks which could affect the financing of the business because of the increasing demands for native chickens. * The cost capital rate is 7%.

NATIVE DELIGHT | Capital Outlay | | | | | | | | | Projected expenditures | Cost | Amount | | Total | Building Improvement | | | | | | | Materials | | | | | | | Footing | | | 282.00 | | | | Carpentry Works | | | 23,720.00 | | | | Tinsmithry Works | | | 6,728.00 | | | | Hardwares | | | 4,566.00 | | 35,296.00 | | Labor | | | | | 10,588.80 | | Total Cost of Building Improvement | | | | | 45,884.80 | | | | | | | | | Transportation Equipment | | | | | 102,000.00 | | | | | | | | | Furnitures & Fixtures | | | | | | | Television | | | 4,000.00 | | | | Radio | | | 1,000.00 | | | | Electric Fan | | | 700.00 | | | | Mobile Phone | | | 1,000.00 | | 6,700.00 | Total | | | | | 154,584.80 | | | | | | | | | Cash Allocated for: | | | | | | | Salaries and Wages for 3 months | | | 84,000.00 | | | | Office Supplies & Materials for 3 months | | | 900.00 | | | | Taxes & Licenses for 3 months | | | 5,500.00 | | | | Light and Power for 3 months | | | 45,616.32 | | | | Communication Expense for 3 months | | | 750.00 | | | | Rent Expense for 3 months | | | 1,250.00 | | | | Gasoline and Lubricants for 3 months | | | 15,000.00 | | | | Working Capital/Pre-opening Expense | | | 26,983.68 | | | Total Estimated Capital Outlay | | Php | 180,000.00 | | 180,000.00 | | | | | | | | | Total Projected Expenditures | | | | Php | 334,584.80 |

NATIVE DELIGHT | Projected Balance Sheet | For year 1 to 5 | | | | | | | | | | | | | | | | | Current Asset | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | | Cash | | Php 494,546.72 | Php 757,930.14 | Php 1,059,277.75 | Php 1,397,983.47 | Php 1,897,713.96 | | Total Current Asset | | 494,546.72 | 757,930.14 | 1,059,277.75 | 1,397,983.47 | 1,897,713.96 | Fixed Asset | | | | | | | | Transportation Equipment | Schedule I | 102,000.00 | 91,800.00 | 81,600.00 | 71,400.00 | 61,200.00 | | Building Improvement | Schedule H | 45,884.80 | 41,296.32 | 36,707.84 | 32,119.36 | 27,530.88 | | Furniture & Fixtures | Schedule C | 6,700.00 | 5,360.00 | 4,020.00 | 2,680.00 | 1,340.00 | | Less: Accum. Dep. | | | | | | | | Transportation Equipment | Schedule H | (10,200.00) | (10,200.00) | (10,200.00) | (10,200.00) | (10,200.00) | | Building Improvement | Schedule H | (4,588.48) | (4,588.48) | (4,588.48) | (4,588.48) | (4,588.48) | | Furniture & Fixtures | Schedule D | (1,340.00) | (1,340.00) | (1,340.00) | (1,340.00) | (1,340.00) | | Total Fixed Asset | | 138,456.32 | 122,327.84 | 106,199.36 | 90,070.88 | 73,942.40 | Total Assets | | Php 633,003.04 | Php 880,257.98 | Php 1,165,477.11 | Php 1,488,054.35 | Php 1,971,656.36 | | | | | | | | | Current Liability | | | | | | | | Income Tax Payable | | 89,525.47 | 101,034.12 | 115,875.98 | 131,535.96 | 184,541.39 | Total Liabilities | | 89,525.47 | 101,034.12 | 115,875.98 | 131,535.96 | 184,541.39 | Partner's Equity | | | | | | | | Partner's Capital | | 334,584.80 | 543,477.57 | 779,223.86 | 1,049,601.14 | 1,356,518.38 | | Partner's Drawings | | - | - | - | - | - | | Add: Net Income | | 208,892.77 | 235,746.29 | 270,377.28 | 306,917.25 | 430,596.59 | Total Partner's Equity | | 543,477.57 | 779,223.86 | 1,049,601.14 | 1,356,518.38 | 1,787,114.97 | Total Liability & Partner's Equity | Php 633,003.04 | Php 880,257.98 | Php 1,165,477.11 | Php 1,488,054.35 | Php 1,971,656.36 | | | | - | - | - | - | - | | | | | | | | | | Average Total Equity | | 543,477.57 | 661,350.71 | 914,412.50 | 1,203,059.76 | 1,571,816.68 | | Average Total Asset | | 633,003.04 | 756,630.51 | 1,022,867.55 | 1,326,765.73 | 1,729,855.35 |

NATIVE DELIGHT | Projected Income statement | For year 1 to 5 | | | | | | | | | | | | | | | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Sales | Schedule A | Php 1,209,600.00 | Php 1,270,080.00 | Php 1,333,584.00 | Php 1,400,263.20 | Php 1,595,651.88 | Less: Cost of Sales | Schedule S | 211,200.00 | 217,113.60 | 223,192.78 | 229,442.18 | 235,866.56 | Gross Profit | | Php 998,400.00 | Php 1,052,966.40 | Php 1,110,391.22 | Php 1,170,821.02 | Php 1,359,785.32 | | | | | | | | LESS: OPERATING EXPENSES: | | | | | | | Salaries & Wages | Schedule L | 336,000.00 | 336,000.00 | 336,000.00 | 336,000.00 | 336,000.00 | Bookeeping Fee | Schedule M | 24,000.00 | 24,000.00 | 24,000.00 | 24,000.00 | 24,000.00 | 13 month pay and bonuses | Schedule N | 28,000.00 | 28,000.00 | 28,000.00 | 28,000.00 | 28,000.00 | Office Supplies & Materials | Schedule B | 3,600.00 | 3,700.80 | 3,804.42 | 3,910.95 | 4,020.45 | Taxes & Licenses | Schedule E | 41,788.00 | 52,698.40 | 55,208.32 | 57,843.74 | 64,372.19 | Light & Power | Schedule F | 182,465.28 | 187,574.31 | 192,826.39 | 198,225.53 | 203,775.84 | Communication | Schedule G | 3,000.00 | 3,084.00 | 3,170.35 | 3,259.12 | 3,350.38 | Rent Expense | Schedule J | 5,000.00 | 5,000.00 | 5,000.00 | 5,000.00 | 5,000.00 | Gasoline and Lubricant | Schedule K | 60,000.00 | 60,000.00 | 60,000.00 | 60,000.00 | 60,000.00 | Depreciation Expense: | | | | | | | Transportation Equipment | Schedule I | 10,200.00 | 10,200.00 | 10,200.00 | 10,200.00 | 10,200.00 | Building Improvement | Schedule H | 4,588.48 | 4,588.48 | 4,588.48 | 4,588.48 | 4,588.48 | Furniture & Fixtures | Schedule D | 1,340.00 | 1,340.00 | 1,340.00 | 1,340.00 | 1,340.00 | Total Operating Expenses | | 699,981.76 | 716,185.99 | 724,137.96 | 732,367.81 | 744,647.34 | NET INCOME (LOSS) BEFORE TAX | | Php 298,418.24 | Php 336,780.41 | Php 386,253.26 | Php 438,453.21 | Php 615,137.98 | Less: Income Tax (30%) | | 89,525.47 | 101,034.12 | 115,875.98 | 131,535.96 | 184,541.39 | NET INCOME (LOSS) AFTER TAX | | Php 208,892.77 | Php 235,746.29 | Php 270,377.28 | Php 306,917.25 | Php 430,596.59 |

NATIVE DELIGHT | Projected Cash Flow | For year 1 to 5 | | | | | | | | | | | | | | | | | | Year 0 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Cash Flows from Operating Activities: | | | | | | | Net Income | | Php 208,892.77 | Php 235,746.29 | Php 270,377.28 | Php 306,917.25 | Php 430,596.59 | Add (deduct): Depreciation: | | | | | | | | Tools and Equipment | | 10,200.00 | 10,200.00 | 10,200.00 | 10,200.00 | 10,200.00 | | Building Improvement | | 4,588.48 | 4,588.48 | 4,588.48 | 4,588.48 | 4,588.48 | | Furniture & Fixtures | | 1,340.00 | 1,340.00 | 1,340.00 | 1,340.00 | 1,340.00 | | Increase in Income Tax Payable | | 89,525.47 | 11,508.65 | 14,841.85 | 15,659.99 | 53,005.43 | Net Cash from operation | | Php - | Php 314,546.72 | Php 263,383.42 | Php 301,347.61 | Php 338,705.71 | Php 499,730.50 | | | | | | | | | Cash Flow from investing activities: | | | | | | | | Fixed Assets | (154,584.80) | | - | - | - | - | | Net cash from investing activities | (154,584.80) | | | | | | | | | | | | | | Cash Flow from financing activities: | | | | | | | Partners Investment | 334,584.80 | | | | | | Partners Drawings | - | - | - | - | - | - | | Net Cash from Financing | 334,584.80 | - | - | - | - | - | Net Increase in Cash During the year | | 180,000.00 | 314,546.72 | 263,383.42 | 301,347.61 | 338,705.71 | 499,730.50 | Add: Cash Balance Beg. | | | 180,000.00 | 494,546.72 | 757,930.14 | 1,059,277.75 | 1,397,983.47 | Cash Balance End. | | Php 180,000.00 | Php 494,546.72 | Php 757,930.14 | Php 1,059,277.75 | Php 1,397,983.47 | Php 1,897,713.96 |

NATIVE DELIGHTProjected Break-Even AnalysisFor year 1 to 5 | | | | | | | | | | | | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Revenue | Php 1,209,600.00 | Php 1,270,080.00 | Php 1,333,584.00 | Php 1,400,263.20 | Php 1,595,651.88 | Less: Variable Cost | | | | | | Taxes & Licenses | 41,788.00 | 52,698.40 | 55,208.32 | 57,843.74 | 64,372.19 | Light & Power | 182,465.28 | 187,574.31 | 192,826.39 | 198,225.53 | 203,775.84 | Total Variable Cost | 224,253.28 | 240,272.71 | 248,034.71 | 256,069.26 | 268,148.03 | | | | | | | Contribution Margin | 985,346.72 | 1,029,807.29 | 1,085,549.29 | 1,144,193.94 | 1,327,503.85 | Revenue | 1,209,600.00 | 1,270,080.00 | 1,333,584.00 | 1,400,263.20 | 1,595,651.88 | Contribution Margin Ratio | 81% | 81% | 81% | 82% | 83% | | | | | | | Less: Fixed Cost | | | | | | Salaries & Wages | 336,000.00 | 336,000.00 | 336,000.00 | 336,000.00 | 336,000.00 | Bookeeping Fee | 24,000.00 | 24,000.00 | 24,000.00 | 24,000.00 | 24,000.00 | 13 month pay and bonuses | 28,000.00 | 28,000.00 | 28,000.00 | 28,000.00 | 28,000.00 | Office Supplies & Materials | 3,600.00 | 3,700.80 | 3,804.42 | 3,910.95 | 4,020.45 | Communication | 3,000.00 | 3,084.00 | 3,170.35 | 3,259.12 | 3,350.38 | Rent Expense | 5,000.00 | 5,000.00 | 5,000.00 | 5,000.00 | 5,000.00 | Gasoline and Lubricant | 60,000.00 | 60,000.00 | 60,000.00 | 60,000.00 | 60,000.00 | Depreciation Expense: | | | | | | Transportation Equipment | 10,200.00 | 10,200.00 | 10,200.00 | 10,200.00 | 10,200.00 | Building Improvement | 4,588.48 | 4,588.48 | 4,588.48 | 4,588.48 | 4,588.48 | Furniture & Fixtures | 1,340.00 | 1,340.00 | 1,340.00 | 1,340.00 | 1,340.00 | Total Fixed Cost | 475,728.48 | 475,913.28 | 476,103.25 | 476,298.55 | 476,499.31 | Contribution Margin Ratio | 81% | 81% | 81% | 82% | 83% | | | | | | | Breakeven Sales in Peso | Php 583,998.67 | Php 586,952.47 | Php 584,887.01 | Php 582,893.61 | Php 572,749.39 | | | | | | | Margin of Safety in Pesos | 625,601.33 | 683,127.53 | 748,696.99 | 817,369.59 | 1,022,902.49 | Margin of Safety % | 52% | 54% | 56% | 58% | 64% |

NATIVE DELIGHT | | | | | Cash Payback Period | | | | | | | | | | | Annual Cash Return | | | | | Year | Net Income | Total Depreciation | Annual Cash Return | | | 1 | 208,892.77 | 16,128.48 | 225,021.25 | | | 2 | 235,746.29 | 16,128.48 | 251,874.77 | | | 3 | 270,377.28 | 16,128.48 | 286,505.76 | | | 4 | 306,917.25 | 16,128.48 | 323,045.73 | | | 5 | 430,596.59 | 16,128.48 | 446,725.07 | | | 6 | 621,391.31 | 14,788.48 | 636,179.79 | | | 7 | 665,159.24 | 14,788.48 | 679,947.72 | | | 8 | 710,392.20 | 14,788.48 | 725,180.68 | | | 9 | 758,090.51 | 14,788.48 | 772,878.99 | | | 10 | 808,383.14 | 14,788.48 | 823,171.62 | | | 11 | 871,757.59 | - | 871,757.59 | | | 12 | 927,652.53 | - | 927,652.53 | | | 13 | 986,569.71 | - | 986,569.71 | | | 14 | 1,048,666.59 | - | 1,048,666.59 | | | 15 | 1,114,108.73 | - | 1,114,108.73 | | | | | | | | | Cash Payback Period | | | | | | Initial Investment | Annual Cash return | Accum. Cash Return | No. of Years | No. of Days | 1 | 334,584.80 | 225,021.25 | 334,584.80 | 1.49 | 542.72 | 2 | 180,000.00 | 251,874.77 | 180,000.00 | 0.71 | 260.84 | 3 | 180,000.00 | 286,505.76 | 180,000.00 | 0.63 | 229.31 | 4 | 180,000.00 | 323,045.73 | 180,000.00 | 0.56 | 203.38 | 5 | 180,000.00 | 446,725.07 | 180,000.00 | 0.40 | 147.07 | 6 | 180,000.00 | 636,179.79 | 180,000.00 | 0.28 | 103.27 | 7 | 180,000.00 | 679,947.72 | 180,000.00 | 0.26 | 96.63 | 8 | 180,000.00 | 725,180.68 | 180,000.00 | 0.25 | 90.60 | 9 | 180,000.00 | 772,878.99 | 180,000.00 | 0.23 | 85.01 | 10 | 180,000.00 | 823,171.62 | 180,000.00 | 0.22 | 79.81 | 11 | 180,000.00 | 871,757.59 | 180,000.00 | 0.21 | 75.36 | 12 | 180,000.00 | 927,652.53 | 180,000.00 | 0.19 | 70.82 | 13 | 180,000.00 | 986,569.71 | 180,000.00 | 0.18 | 66.59 | 14 | 180,000.00 | 1,048,666.59 | 180,000.00 | 0.17 | 62.65 | 15 | 180,000.00 | 1,114,108.73 | 180,000.00 | 0.16 | 58.97 |

NATIVE DELIGHT | Financial Highlights | For year 1 to 5 | | | | | | | Return on Revenue | | | | | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Net Income | Php 208,892.77 | Php 235,746.29 | Php 270,377.28 | Php 306,917.25 | Php 430,596.59 | Revenue | 1,209,600.00 | 1,270,080.00 | 1,333,584.00 | 1,400,263.20 | 1,595,651.88 | Rate of Return on sales | 17% | 19% | 20% | 22% | 27% | | | | | | | Return on Equity | | | | | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Net Income | Php 208,892.77 | Php 235,746.29 | Php 270,377.28 | Php 306,917.25 | Php 430,596.59 | Ave. Partner's Equity | 543,477.57 | 661,350.71 | 914,412.50 | 1,203,059.76 | 1,571,816.68 | Rate Return on Equity | 38% | 36% | 30% | 26% | 27% | | | | | | | Return on Asset | | | | | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Net Income | Php 208,892.77 | Php 235,746.29 | Php 270,377.28 | Php 306,917.25 | Php 430,596.59 | Ave. Total Asset | 633,003.04 | 756,630.51 | 1,022,867.55 | 1,326,765.73 | 1,729,855.35 | Rate Return on Asset | 33% | 31% | 26% | 23% | 25% |

Return on Investment | | | | | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Net Income | Php 208,892.77 | Php 235,746.29 | Php 270,377.28 | Php 306,917.25 | Php 430,596.59 | Total Investment | 334,584.80 | 334,584.80 | 334,584.80 | 334,584.80 | 334,584.80 | Return on Investment | 62% | 70% | 81% | 92% | 129% | | | | | | | Current Ratio | | | | | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Curent Asset | Php 494,546.72 | Php 757,930.14 | Php 1,059,277.75 | Php 1,397,983.47 | Php 1,897,713.96 | Current Liabilities | 89,525.47 | 101,034.12 | 115,875.98 | 131,535.96 | 184,541.39 | Current Ratio | 5.52 | 7.50 | 9.14 | 10.63 | 10.28 |

Native DelightNet Present ValueFor Year 0 to Year 15 | Y0 | (PHP 334,584.80) | Y1 | PHP 195,226.89 | Y2 | PHP 220,323.63 | Y3 | PHP 252,689.05 | Y4 | PHP 286,838.55 | Y5 | PHP 402,426.72 | Y6 | PHP 580,739.54 | Y7 | PHP 621,644.15 | Y8 | PHP 663,917.95 | Y9 | PHP 708,495.81 | Y10 | PHP 755,498.26 | Y11 | PHP 814,726.72 | Y12 | PHP 866,964.98 | Y13 | PHP 922,027.76 | Y14 | PHP 980,062.24 | Y15 | PHP 1,041,223.12 | Total | PHP 9,312,805.35 |

Chapter 6

SOCIO-ECONOMIC STUDY

Native Delight affects the society, particularly Davao City in a couple of ways. First, it helps the Government of Davao for they will be able to collect additional business tax coming from the small amount that we will pay for operating such business. Also in terms of the unemployment rate of the city, the entity will be able to lower it by providing jobs to some unemployed persons living in Davao. However, the livestock production has an impact on the environment through possible effects on surface and ground water quality, gas emissions from animal wastes, and unpleasant odors arising from the chickens’ waste. But, the manure disposal is not really a big problem for Native Delight because it does not usually entail wet disposal not like in piggery enterprises. Instead of just disposing the chicken dung, it can be routinely collected and convert it into organic fertilizer or fish feeds. Furthermore, there is the issue with regards to the gases that are emitted from the livestock’s waste. These gases are carbon dioxide, methane, and nitrous oxide. These three contributes to atmospheric changes that lead to global warming. Foul odors coming from the chickens are a function of the scale of operation and sound manure management. This scenario intensifies the adverse environmental impact of the industry.
Thus, the challenge here is to constantly develop more efficient and effective technologies for managing animal wastes tailored to different scales of production, even as various means of converting such wastes to useful products (e.g. biogas, fertilizer) have been in theme for many years. Native Delight raises the chickens in a traditional way hence the entity opts not to take any form of chemicals that will make that chicken grow faster. Instead, the entity will make use of organic foods and supplements for the chickens. Through this, Native Delight is helping the ecosystem because of the organic materials which are eco-friendly. The proponents business does not just properly manage its wastes but as well as it promotes eco-friendly poultry business.

Chapter 7

MANAGEMENT STUDY

A. Form of Ownership
Partnership is the relationship existing between two or more persons who join to carry on a trade or business. Each partner contribute money to put up the business.and also each of them must share in the profits or losses of the venture.
The form of ownership is partnership because it is owned 4 persons. The Native Delgiht is owned by Natashia Tan, Althea Llameg, Laulen Nuñez,and Jessa Riel Dingding.

B. Organizational Chart

Figure 7.1 Organizational Chart of the Management

The owners of the Native Delight are responsible for decision making with regards to the business transactions and act as managers of the business. The receptionist is the person in-charge for receiving the orders coming from the client. The caretakers are the one to take good care of the native chickens and other farm facilities. The driver is responsible for delivering the product to the respective target market. Lastly, the security guards are responsible for securing the parameter of the farm day and night.

Qualifications of the workers/employees: Receptionist * Must be a 4 year – course College Graduate * Preferably 20 – 30 years of age * Must be Female * Must have good communication skills and sufficient knowlegde in accounting works
Caretakers
* Must have at least 2 years experience in poultry farming * Must be 21-35 years of age * Must be willing to work as a stay-in tenant
Driver
* Must have a professional/non-professional driver’s license * Must have atleast two (2) years experience in driving * Must be familiar in Davao City Area * Must be 25-40 years of age
Security Guards * Must be 25-39 years of age * Must have atleast one (1) year security experience

APPENDIX Schedule AProjected Revenue | | | | | | | | | | | | | | | | | Year 1 | Year 2 | | Per Week | Per Month | Per Annual | Per Week | Per Month | Per Annual | Particular | Qty | kg/pc | Total Kgs | Price/Kg | Total Sales Per week | | | Qty | kg/pc | Total Kgs | Price/Kg | Total Sales Per week | | | Chicken | 240 | 0.7 | 168 | 150.00 | 25,200.00 | 100,800.00 | 1,209,600.00 | 240 | 0.7 | 168 | 157.50 | 26,460.00 | 105,840.00 | 1,270,080.00 | Total | | | | | 25,200.00 | 100,800.00 | 1,209,600.00 | | | | | 26,460.00 | 105,840.00 | 1,270,080.00 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Year 3 | Year 4 | | Per Week | Per Month | Per Annual | Per Week | Per Month | Per Annual | Particular | Qty | kg/pc | Total Kgs | Price/Kg | Total Sales Per week | | | Qty | kg/pc | Total Kgs | Price/Kg | Total Sales Per week | | | Chicken | 240 | 0.7 | 168 | 165.38 | 27,783.00 | 111,132.00 | 1,333,584.00 | 240 | 0.7 | 168 | 173.64 | 29,172.15 | 116,688.60 | 1,400,263.20 | Total | | | | | 27,783.00 | 111,132.00 | 1,333,584.00 | | | | | 29,172.15 | 116,688.60 | 1,400,263.20 | | | | | | | | | | | | | | | | | | | | | | | | | Year 5 | | Per Week | Per Month | Per Annual | Particular | Qty | kg/pc | Total Kgs | Price/Kg | Total Sales Per week | | | Chicken | 240 | 0.7 | 182 | 182.33 | 33,242.75 | 132,970.99 | 1,595,651.88 | Total | | | | | 33,242.75 | 132,970.99 | 1,595,651.88 |

Schedule BOffice Supplies & Materials | Particular | Monthly | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Office Supplies & Materials | 300.00 | 3,600.00 | 3,700.80 | 3,804.42 | 3,910.95 | 4,020.45 | Total | Php 300.00 | Php 3,600.00 | Php 3,700.80 | Php 3,804.42 | Php 3,910.95 | Php 4,020.45 | Note: increase every year is based on the 2.8% economic inflation rate | | | | |

Schedule CFurniture & Fixtures | Particular | Quantity | Unit cost | Total Cost | Television | 1.00 | 4,000.00 | 4,000.00 | Radio | 1.00 | 1,000.00 | 1,000.00 | Electric Fan | 1.00 | 700.00 | 700.00 | Mobile Phone | 1.00 | 1,000.00 | 1,000.00 | | | | Php 6,700.00 |

Schedule DFurniture & Fixtures Depreciation | Particular | Total Cost | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Television | 4,000.00 | 800.00 | 800.00 | 800.00 | 800.00 | 800.00 | Radio | 1,000.00 | 200.00 | 200.00 | 200.00 | 200.00 | 200.00 | Electric Fan | 700.00 | 140.00 | 140.00 | 140.00 | 140.00 | 140.00 | Mobile Phone | 1,000.00 | 200.00 | 200.00 | 200.00 | 200.00 | 200.00 | Total | Php 6,700.00 | Php 1,340.00 | Php 1,340.00 | Php 1,340.00 | Php 1,340.00 | Php 1,340.00 | Note: Depreciation of Furniture & Fixtures will depend on their economic life; Estimated Life 5 years. | | | | | | | | | | | |

Schedule ETaxes & Licenses | Particular | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Percentage Tax | | | | | | Annual Sales | Php 1,209,600.00 | Php 1,270,080.00 | Php 1,333,584.00 | Php 1,400,263.20 | Php 1,595,651.88 | Tax Rate | 3% | 3% | 3% | 3% | 3% | Percentage Tax | 36,288.00 | 38,102.40 | 40,007.52 | 42,007.90 | 47,869.56 | | | | | | | BIR 0605 | 500.00 | 500.00 | 500.00 | 500.00 | 500.00 | Business Permit | 3,000.00 | 12,096.00 | 12,700.80 | 13,335.84 | 14,002.63 | DTI | 2,000.00 | 2,000.00 | 2,000.00 | 2,000.00 | 2,000.00 | Total Tax | Php 41,788.00 | Php 52,698.40 | Php 55,208.32 | Php 57,843.74 | Php 64,372.19 |

Schedule FLight and Power | Particular | Monthly | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Light Bill | Php 15,205.44 | Php 182,465.28 | Php 187,574.31 | Php 192,826.39 | Php 198,225.53 | Php 203,775.84 | Total | Php 15,205.44 | Php 182,465.28 | Php 187,574.31 | Php 192,826.39 | Php 198,225.53 | Php 203,775.84 | Note: increase every year is based on the 2.8% economic inflation rate | | | | |

Schedule GCommunication Expense | Particular | Monthly | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Cellphone Post-paid | Php 250.00 | Php 3,000.00 | Php 3,084.00 | Php 3,170.35 | Php 3,259.12 | Php 3,350.38 | Total | Php 250.00 | Php 3,000.00 | Php 3,084.00 | Php 3,170.35 | Php 3,259.12 | Php 3,350.38 | Note: increase every year is based on the 2.8% economic inflation rate | | | | |

Schedule HBuilding Improvement | Particular | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Building Improvement | Php 45,884.80 | Php 41,296.32 | Php 36,707.84 | Php 32,119.36 | Php 27,530.88 | Less: Accumulated Depreciation | 4,588.48 | 4,588.48 | 4,588.48 | 4,588.48 | 4,588.48 | Total | Php 41,296.32 | Php 36,707.84 | Php 32,119.36 | Php 27,530.88 | Php 22,942.40 | Note: Depreciation of building renovation will depend on their economic life; Estimated Life 10 years. | | |

Schedule ITransportation Equipment | Particular | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Transportation Equipment | Php 102,000.00 | Php 91,800.00 | Php 81,600.00 | Php 71,400.00 | Php 61,200.00 | Less: Accumulated Depreciation | 10,200.00 | 10,200.00 | 10,200.00 | 10,200.00 | 10,200.00 | Total | Php 91,800.00 | Php 81,600.00 | Php 71,400.00 | Php 61,200.00 | Php 51,000.00 | Note: Depreciation of building renovation will depend on their economic life; Estimated Life 10 years. | | | | | |

Schedule JRent Expense | Particular | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Rent Expense | Php 5,000.00 | Php 5,000.00 | Php 5,000.00 | Php 5,000.00 | Php 5,000.00 | Total | Php 5,000.00 | Php 5,000.00 | Php 5,000.00 | Php 5,000.00 | Php 5,000.00 | Note: Remain Constant | | | | | | | | | | | |

Schedule KGasoline and Lubricant | Particular | Monthly | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Gasoline and Lubricant | Php 5,000.00 | Php 60,000.00 | Php 60,000.00 | Php 60,000.00 | Php 60,000.00 | Php 60,000.00 | Total | Php 5,000.00 | Php 60,000.00 | Php 60,000.00 | Php 60,000.00 | Php 60,000.00 | Php 60,000.00 | Note: Remain Constant | | | | | | | | | | Employee | Year 4 | | Monthly | Annual | In – house caretaker / cleaner (2) | 12,000.00 | 144,000.00 | Receptionist | 8,000.00 | 96,000.00 | Security Guard (2) | 14,000.00 | 168,000.00 | Driver | 10,000.00 | 120,000.00 | Total | 28,000.00 | 336,000.00 | | | | Employee | Year 5 | | Monthly | Annual | In – house caretaker / cleaner (2) | 12,000.00 | 144,000.00 | Receptionist | 8,000.00 | 96,000.00 | Security Guard (2) | 14,000.00 | 168,000.00 | Driver | 10,000.00 | 120,000.00 | Total | 28,000.00 | 336,000.00 | Note: Remain constant | | |

Schedule LEmployee Salaries & Wages | | | | Employee | Year 1 | | Monthly | Annual | In – house caretaker / cleaner (2) | 12,000.00 | 144,000.00 | Receptionist | 8,000.00 | 96,000.00 | Security Guard (2) | 14,000.00 | 168,000.00 | Driver | 10,000.00 | 120,000.00 | Total | 28,000.00 | 336,000.00 | | | | Employee | Year 2 | | Monthly | Annual | In – house caretaker / cleaner (2) | 12,000.00 | 144,000.00 | Receptionist | 8,000.00 | 96,000.00 | Security Guard (2) | 14,000.00 | 168,000.00 | Driver | 10,000.00 | 120,000.00 | Total | 28,000.00 | 336,000.00 | | | | Employee | Year 3 | | Monthly | Annual | In – house caretaker / cleaner (2) | 12,000.00 | 144,000.00 | Receptionist | 8,000.00 | 96,000.00 | Security Guard (2) | 14,000.00 | 168,000.00 | Driver | 10,000.00 | 120,000.00 | Total | 28,000.00 | 336,000.00 |

Schedule MBookeeping Fee & Allowances | | | | | | | Employee | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Bookkeeper | 24,000.00 | 24,000.00 | 24,000.00 | 24,000.00 | 24,000.00 | Total | 24,000.00 | 24,000.00 | 24,000.00 | 24,000.00 | 24,000.00 | Note: Honorarium will remain constant | | | | | | | | | |

Schedule N13 month pay and bonuses | Employee | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | In – house caretaker / cleaner (2) | 12,000.00 | 12,000.00 | 12,000.00 | 12,000.00 | 12,000.00 | Receptionist | 8,000.00 | 8,000.00 | 8,000.00 | 8,000.00 | 8,000.00 | Security Guard (2) | 14,000.00 | 14,000.00 | 14,000.00 | 14,000.00 | 14,000.00 | Driver | 10,000.00 | 10,000.00 | 10,000.00 | 10,000.00 | 10,000.00 | Total | 28,000.00 | 28,000.00 | 28,000.00 | 28,000.00 | 28,000.00 |

Schedule S | | | | | | | Cost of Sales | | | | | | | | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Particular | Per Month | Per Year | | | | | Coconut Oil | 240.00 | 2,880.00 | 2,960.64 | 3,043.54 | 3,128.76 | 3,216.36 | Brown Rice | 240.00 | 2,880.00 | 2,960.64 | 3,043.54 | 3,128.76 | 3,216.36 | Dirty Rice | 800.00 | 9,600.00 | 9,868.80 | 10,145.13 | 10,429.19 | 10,721.21 | Eggs | 6,720.00 | 80,640.00 | 82,897.92 | 85,219.06 | 87,605.20 | 90,058.14 | Incubation | 9,600.00 | 115,200.00 | 118,425.60 | 121,741.52 | 125,150.28 | 128,654.49 | Total | 17,600.00 | 211,200.00 | 217,113.60 | 223,192.78 | 229,442.18 | 235,866.56 | | | | | | | | Note: increase every year is based on the 2.8% economic inflation rate | | |

Table A List of Organic Supplements

Indications | Herbal Medicines | As Purgatives/Dewormers | * Makabuhay vine or manunggal * Beetle Nut (fruit) * Ipil-ipil or Lead Tree seeds | As Antibiotics | * Pepper (kutitot or siling labuyo) * Onion * Garlic * Lemon Grass (tanglad) * Terramycin shrub (fruit yellow bearing plant) * Ginger | For Respiratory Ailments | * Patani Leaves * Atis Leaves * Eucalyptus Leaves * Lagundi * Malunggay | For Insecticidal Repellants /anti parasite | * Kadios Leaves * Adgaw / Alagaw * Madri de Cacao/kakawate leaves * Hagonoy leaves * Tobacco midribs * Neem tree leaves * Cobra vine * Tawa-tawa |

Table B List of Raw Materials Description | Materials | OFFICE SUPPLIES | * Ball pen * Weighing scale * Bond paper * Stapler * Staple Wire * OR Receipt * Table * Chair * Calculator * Folder * Purchase Order Receipt | FENCE | * Net (8 feet) * Wood (for Structure) * Water (for the Laying hen and Chicken) * PVC Pipe * PVC Elbow | WATER CONTAINER | * Screen (cover for the Container) * Hose * Steel (stand for the water) * Welding Rod * Cement (resting for the PVC Pipe) * Wood (for the mold of the cement) * Nails * Waterer (for the chicks) * Lock * Nails | SECURITY | * Post (for Light) * Spot Light * Wire * Switch | CARETAKER | * Mask * Boots * Gloves * Pail * Shovel * Cup * Hat | TRANSPORTATION | * Crate * Car * String | COOP (FOR THE CHICKS) | * Wood (for the structure) * Sine * Nails * Screen * Wood (catching the dung) * Lock * Bulb * Wire * Switch * Outlet | COOP (FOR THE LAYING HEN) | * Wood (for the structure) * Wood (for the pen) * Sine * Nails * Ply wood * Wood box * Coconut Leaves * Lock | COOP (FOR THE CHICKEN) | * Wood (for the structure) * Wood (for the coop) * Sine * Lock * Nails | FEEDER (FOR THE LAYING HEN AND CHICKEN) | * Bamboo cut in two * Wood (for the top of the feeder) * Sine (cover the feeder) * Plastic feeder (for the chicks) |

Survey Questionnaire 1. Are you looking for a native chicken? Yes__ No__ 2. Do serve native chicken? Yes_ _ No__
If yes, 1. If yes, who is your supplier? _________ 2. Which do you prefer in buying native chicken? dead __ alive__ 3. What kind of native chicken do you buy from your supplier? a. Organic b. Nonorganic 4. Do you buy it as a whole or by parts? _____ 5. At what price do you buy a one whole chicken? _______ 6. Are your customers’ looks for native chicken delicacies? Yes__ No___ 7. How many orders of native chicken do you consume in a week? _____ 8. At what month is your peak season in serving native chicken delicacies? 9. How much is the estimated number of orders during peak season? 10. What is the terms of payment offered by your supplier? ______ 11. How many grams do you want your chicken be?
If no, 1. Are willing to serve native chicken if there is supplier? Yes__ No__ 2. Are you willing that we will be the one to supply native chicken? Yes __ No__ 3. At what price are you willing to pay for one whole chicken? 4. Do you buy it as a whole or by parts? _____ 5. Are your customers’ looks for native chicken delicacies? Yes__ No__ 6. What mode of payment do you prefer?
Installment____
Cash Basis___ Cash on delivery____ 7. What is the possible number of native chicken are you willing to order in a week? 8. How many grams do you want your chicken be?

References

Internet Sources * http://www.new-terra-natural-food.com/organic-chicken-farming.html * www.backyardchicken.com * http://en.wikipedia.org/wiki/Philippine_Native_Chicken * http://www.mixph.com/2007/02/darag-native-chicken.html * http://www.raising-chickens.org/Philippine-Native-Chicken.html * http://invest.cfo.gov.ph/part3/PCCARD/native-chicken-darag.html * http://www.pcaarrd.dost.gov.ph/home/ssentinel/index.php?option=com_content&view=article&id=1878%3Adarag-chicken-production-enhanced-with-rad&Itemid=41 * http://anahawnon.com/articles/Herbal%20Medicines%20Chickens.pdf * http://www.thenewstoday.info/2008/12/19/native.chicken.html * http://www.agmrc.org/commodities__products/livestock/poultry/pastured-free-range-poultry * http://countrystat.bas.gov.ph * http://www.dti.gov.ph