A FRANCHISE BUSINESS PLAN

Presented To:

Prof. Armi Rose Titular

Teacher-In-Charge

In Partial Fulfilment of the

Requirements for the Course

MM 324 Franchising

By:

Ignacio, Christine Joy

Sorongon, Lady Pauline

March 24, 2017

I. EXECUTIVE SUMMARY

A. Company Name

The company name is PERF Restaurants Incorporated.

It is the solo franchisee of Burger King in the Philippines but as time goes by JFC (Jollibee Food Corporation) buys 80% of PERF Restaurants

Incorporated. In the long run, JFC will fully purchase the company but as of now the PERF Restaurant Incorporated is still the owner.

B. Type of Business The type of business is Quick Service Restaurant.

Just like Jollibee, Chowking, MCDO, Mang Inasal, and etc. because they don’t use pending numbers. If possible, after you arrive the counter, you will take your order and able to receive immediately. The spending time to

accomplish their task should be 2 minutes and 30 seconds.

C. Company Description The predecessor to what is now the international fast food restaurant chain

Burger King was founded in 1953 in Jackssonville, Florida, as Insta-

Burger King. Inspired by the McDonald brothers’ original store location in San Bernardio, California, the founders and owners, Keith J. Kramer and

his wife’s uncle Matthew Burns, began searching for concept. After the original company began to falter in 1954, it was purchased by its

Miami, Florida, franchisees James McLamore and David R. Edgerton. The

two initiated a corporate restructuring of the chain; the first step being to rename the company Burger King. The duo ran the company as an independent identity for 8 years and eventually expanding to over 250

locations in the United States, when they sold it to the Pillsbury Company 1967. (www.bk.com)

The ultimate Burger King logo is circular in shape with reddish-purple font color which contained ochre colored buns with a bright blue swoosh.

In Philippines, PERF Restaurants Incorporated acquired to manage the

said restaurants and today, Burger King has many outlets in Luzon, Visayas, and Mindanao.

D. Key Personnel

The Key Personnel is under of FUSION Agency which provide manpower service contractor for Mang Inasal, Jollibee, Chowking, Greenwich, and

Burger King. They are the one who conduct interview, resume, and applications and then they will forward the biodata of the applicant to the manager of the said company. In today’s generation the law restricted to

apply the 6 months contract that is why there has an agency as long as the performance of the employee is good then there is no need for renewal.

Burger King has 4 chief leaders, 30 team members, and 5 managers.

E. Start-Up Schedule and Competition

II. MARKETING

A. Major Marketing Objectives

VISION

BURGER KING

WILL BE THE MOST

LOVED BURGER QSR

IN THE PHILIPPINES

BY PROVIDING EVERYDAY

INDULGENCE THROUGH THE

WHOPPER

MISSION

TO DELIVER

THE BEST

BURGER

EXPERIENCE

TO EVERY GUEST,

EVERY TIME.

Values

Passion

We do whatever it takes to achieve the desired results. We have a strong sense of contentment and dedication to deliver only the best everytime.

EXCELLENCE

We do it right the first time, the next time, and all the time. We continuously dare and challenge the status gum.

GUEST FOCUSED

We provide service with a heart that goes the extra mile. The guest conquers first.

SOLICITUDE

We care for the guests and the organization.

We affect others positivity, desirability, and consistency.

FUN

We enjoy the job and find brightness in any situation. We celebrate successess.

We are happy.

INTEGRITY

We are what we are when no one is looking. The first of a true man’s character. We are authentic.

We deliver what we promises.

TEAM PRIDE

We inspire each other. We have one goal. We are one team.

We will higher.

B. Market Plan and Pricing Strategy (4 P’s)

PRODUCT AND PRICE

Code Number Name Item Price

140006 Classic Steakhouse AC 179.00

140010 Flame-Grilled BBQ Cheeseburger AC 89.00

210 Hamburger AC 69.00

310 X-tra Long Chicken Sandwich AC 100.00

311 X-tra Long Chicken Sandwich Cheese

AC

130.00

202033 X-tra Long Chicken Sandwich Bacon

Cheese AC

170.00

202034 X-tra Long AmericanChicken Sandwich

AC

130.00

315 X-tra Long Chicken Club Sandwich AC 130.00

202035 X-tra Long Chicken Cordon Bleu AC 130.00

202041 2-pc Bone-in-Chicken with Rice AC 150.00

366 10-pc Chicken Nuggets AC 145.00

361 6-pc Chicken Nuggets AC 95.00

304003 Mushroom & Egg Sandwich AC 85.00

304006 Spam Sandwich AC 85.00

304028 Spam Bacon Platter AC 95.00

304015 Bacon Platter AC-Dine-In 95.00

304007 Corned Beef Platter AC-Dine-In 95.00

720 Fries, Large 67.00

750 Onion Rings, Large 67.00

504010 Hash Brown Large 67.00

504029 Upsize Fries to Medium 20.00

504030 Upsize Fries to Large 30.00

504033 Instead Onion Rings, Medium 20.00

504034 Instead Onion Rings, Large 30.00

504037 Instead Hash Browns, Medium 20.00

504038 Instead Onion Rings, Large 30.00

402045 Upsize Drink to Large, 22 oz 25.00

402050 Upsize Drink to Juice, 22 oz 25.00

402055 Upsize Drink to Iced Tea, 22 oz 25.00

402060 Upsize Drink to Sprite, 22 oz 25.00

402063 Upsize Drink to Sarsi, 22 oz 25.00

402066 Upsize Drink to Coke Zero, 22 oz 25.00

402069 Upsize Drink to Coke Light, 22 oz 25.00

402074 Upsize Drink to Royal, 22 oz 25.00

402077 Upsize Drink to Minute Maid, 22 oz 25.00

402078 Upsize Fries & Drink to Medium 30.00

402079 Upsize Fries & Drink to Large 45.00

915 Hershey’s Sundae Pie 99.00

PLACE

Burger King Iloilo was located at SM City Iloilo, 2nd Floor, Main Mall,

Cinema Level.

PROMOTION:

o Tagline:

o COUPONS:

o WORD OF MOUTH

o INTERNET AND SOCIAL MEDIA

o TV ADVERTISING

C. SALES AND ADVERTISING

Projected Sales – (CONFIDENTIAL)

The cost of advertising in TV ad for monthly advertising will run for almost a million of pesos.

Company only used coupons, word of mouth, posters and

TV ad. There are no flyers given to the customer. They used discounts for senior citizen. Since their patty is

flamed grilled the oil is lessen that’s why more adults fully liked. They only used one kind of patty for all kind of hamburgers except for their Angus hamburger.

D. COMPETITORS

There has a 3 level of income which is A, B, and C. A is

the highest, B is medium, and C is low. Level A - Burger King, Zark’s Burger, American Legacy,

Floyd’s Burger, and Wendy’s

Level B – McDO, Jolibee, KFC and the like

Level C – Minute Burger, Franks Burger, and the like

E. CUSTOMER ADVERTISING (on-going)

o WORD OF MOUTH

o INTERNET AND SOCIAL MEDIA

o COUPONS

III. MANAGEMENT

A. FRANCHISOR

1. ORGANIZATIONAL STRUCTURE

2. POLICIES

HOUSE RULES BK SM CITY ILOILO

TIME-IN TIME-OUT POLICY:

1. Team members are required to be in complete uniform when requesting for time in and

time out, break out and break in.

2. Time-ins and break-ins should be at least 3 minutes before the scheduled time.

3. Time cards should be signed during time-in and time-out, break-in and break-out will not

be included on the DTR summary during cut-off.

CALL-IN POLICY:

1. When unable to report for work or to report on time. You are required to call the MIC via

store telephone 320-1909 at least two hours before your shift.

2. TEXT MESSAGES will no longer be entertained, reasons for absences and late will be

deemed invalid.

3. When CALLED-IN sick, a medical certificate or fit to work must be submitted to the

MIC before reporting to work for FOOD SAFETY purpose.

4. Other reasons for CALLED-IN must submit an AUTHORITY TO REPORT (ATR) from

FUSION OFFICE.

5. LATES and ABSENCES without a CALL IN will be dealt accordingly.

UNIFORM POLICY:

1. Submit yourself to the MIC for uniform inspection.

FRANCHISOR

MANAGER CHIEF LEADERS TEAM MEMBERS

FRANCHISEE

a. BK black Polo Shirt with nameplate with your own name printed in standard font &

color.

b. Black slacks (pants) with no side and back pockets / or with sealed side and back

pockets.

c. Black BK Cap with hair net / hair restraints

d. Clean hair cut for MALE and clean pulled back hair with back hair tie for FEMALE.

e. Black belt, black socks, and polished black leather shoes (splashers and doll shoes

style are no longer allowed) for safety.

f. Clean Apron for Kitchen Team Members.

g. Light make-up to enhance looks for female, face powder for male but not required.

However, BEARD and MUSTACHE should be cleaned for males.

h. Jewelries are not allowed except for a pair stud earing without stone or fancy gems

for females.

2. Wear your SM ID and Health Card ID at all times during your shift in compliance with

SM policy.

3. Complete uniform should be worn and tucked-in before and during shift.

4. BK Polo shirt and BK Cap should not be worn outside before or beyond working hours or

a shift and during break time outside the store.

CASH CUT OFF POLICY:

1. Front Counters should tucked out their polo shirt, and caps should be taken off during

cash cut off.

2. You are only given 10-15 minutes to perform cash count procedures.

3. Allowable variance between your declared cash and refloat is only +/- 10 pesos. Beyond

the allowable amount will be issued with I.R.

4. Any lost documents will be charged according to the total amount of the lost document.

5. Senior discounts should be totaled and the total number of tapes should declare prior to

refloat.

6. Refund/Void tapes should be arranged as Wrong Tape, Void Tape and Correct Tape.

7. Reasons for VOID should be reflected on the WRONG TAPE.

i. WRONG PUNCH = W.P

ii. CHANGE ORDER = C.O

iii. CANCELLED = CXLD

8. Wrong Tape, Void Tape, and Correct tape should be signed by both MIC and FC.

9. All FCs are required to secure their own pod lock for your fund bag.

OTHER HOUSE RULE POLICY:

1. All belonging inside your bag should be listed in a ticker and submit all your valuables to

the office together with your tickler. Declare the exact amount of your money onto your

tickler.

2. Submit your bag for inspection before leaving.

3. Do not leave your post or go to other station without the MIC’s permission unless

otherwise necessary.

4. Observe #CleanAsYouWork and #CleanAsYouGo POLICY at all times.

5. You are not allowed to use the Comfort Room at the GUEST Area or DINING Area. Use

the CR intended for BK employees instead.

6. Should you wish to purchase BK products for your own consumption or for take-out,

please secure an acknowledgement from the MIC and only the MIC should be the one to

assemble the order unless otherwise the FC is authorized. (Please your order either in

POS 1 or POS 2 only)

7. Remember to Connect. Appreciate. Respect. Everyone. #CARE

3. PERSONNEL (Wage and Salary)

For Team Members their salary is Minimum Wage.

For Managers and Chief Leaders their salary is Above Minimum Wage

with allowance and medical insurance.

B. FRANCHISEE

1. ORGANIZATIONAL STRUCTURE

2. POLICIES

SHIFT MANAGER

Team Members Team Members Team Members

SHIFT LEADERS

HOUSE RULES BK SM CITY ILOILO

TIME-IN TIME-OUT POLICY:

4. Team members are required to be in complete uniform when requesting for time in and

time out, break out and break in.

5. Time-ins and break-ins should be at least 3 minutes before the scheduled time.

6. Time cards should be signed during time-in and time-out, break-in and break-out will not

be included on the DTR summary during cut-off.

CALL-IN POLICY:

6. When unable to report for work or to report on time. You are required to call the MIC via

store telephone 320-1909 at least two hours before your shift.

7. TEXT MESSAGES will no longer be entertained, reasons for absences and late will be

deemed invalid.

8. When CALLED-IN sick, a medical certificate or fit to work must be submitted to the

MIC before reporting to work for FOOD SAFETY purpose.

9. Other reasons for CALLED-IN must submit an AUTHORITY TO REPORT (ATR) from

FUSION OFFICE.

10. LATES and ABSENCES without a CALL IN will be dealt accordingly.

UNIFORM POLICY:

5. Submit yourself to the MIC for uniform inspection.

i. BK black Polo Shirt with nameplate with your own name printed in standard font &

color.

j. Black slacks (pants) with no side and back pockets / or with sealed side and back

pockets.

k. Black BK Cap with hair net / hair restraints

l. Clean hair cut for MALE and clean pulled back hair with back hair tie for FEMALE.

m. Black belt, black socks, and polished black leather shoes (splashers and doll shoes

style are no longer allowed) for safety.

n. Clean Apron for Kitchen Team Members.

o. Light make-up to enhance looks for female, face powder for male but not required.

However, BEARD and MUSTACHE should be cleaned for males.

p. Jewelries are not allowed except for a pair stud earing without stone or fancy gems

for females.

6. Wear your SM ID and Health Card ID at all times during your shift in compliance with

SM policy.

7. Complete uniform should be worn and tucked-in before and during shift.

8. BK Polo shirt and BK Cap should not be worn outside before or beyond working hours or

a shift and during break time outside the store.

CASH CUT OFF POLICY:

10. Front Counters should tucked out their polo shirt, and caps should be taken off during

cash cut off.

11. You are only given 10-15 minutes to perform cash count procedures.

12. Allowable variance between your declared cash and refloat is only +/- 10 pesos. Beyond

the allowable amount will be issued with I.R.

13. Any lost documents will be charged according to the total amount of the lost document.

14. Senior discounts should be totalled and the total number of tapes should declare prior to

refloat.

15. Refund/Void tapes should be arranged as Wrong Tape, Void Tape and Correct Tape.

16. Reasons for VOID should be reflected on the WRONG TAPE.

iv. WRONG PUNCH = W.P

v. CHANGE ORDER = C.O

vi. CANCELLED = CXLD

17. Wrong Tape, Void Tape, and Correct tape should be signed by both MIC and FC.

18. All FCs are required to secure their own pod lock for your fund bag.

OTHER HOUSE RULE POLICY:

8. All belonging inside your bag should be listed in a ticker and submit all your valuables to

the office together with your tickler. Declare the exact amount of your money onto your

tickler.

9. Submit your bag for inspection before leaving.

10. Do not leave your post or go to other station without the MIC’s permission unless

otherwise necessary.

11. Observe #CleanAsYouWork and #CleanAsYouGo POLICY at all times.

12. You are not allowed to use the Comfort Room at the GUEST Area or DINING Area. Use

the CR intended for BK employees instead.

13. Should you wish to purchase BK products for your own consumption or for take-out,

please secure an acknowledgement from the MIC and only the MIC should be the one to

assemble the order unless otherwise the FC is authorized. (Please your order either in

POS 1 or POS 2 only)

14. Remember to Connect. Appreciate. Respect. Everyone. #CARE

3. PERSONNEL (Wage and Salary)

For Team Members their salary is Minimum Wage.

For Managers and Chief Leaders their salary is Above Minimum

Wage with allowance and medical insurance.

C. OPERATIONAL MANUAL

They have 3 shifting crews:

8 am-4 pm

10 am-6pm

3pm-11pm

The supplies of buns they get are from Tibiao Bakery. The vegetables are

from D & E Vegetables. The remaining ingredients are from international.

D. TRAINING MANUAL

The training of the employees must be done through their agents and lately

will improve their skills when they are hands on from the store.

IV. FINANCIAL AND ACCOUNTING 1. Start-up or Turnkey Costs (Itemized)

2. Pro Forma Income Statement

3. Pro Forma Balance Sheet

4. Projected Cash Flow

5. Provisions for Taxes

( The said financial and accounting are all confidential, Burger King Company

doesn’t allow us to give their Franchise Cost Package)

V. LEGAL ASPECTS 1. Business Structure

1. POLICIES

2.

2. Franchise Agreement (Confidential)

3. Franchisor-Franchisee Conditions (Confidential)

Area Manager

OIC, Assistant

Restaurant Managers, Shift Managers

Shift Leader

Team Member

Manpower Agency

Store Organization

VI. APPENDIX 1. Building Plans (Confidential)

2. Layout Designs

Burger King has 180 sitting capacity.

Picture taking with the manager, Mr. Jerson Elmido