Feasib Okra

The Feasibility of Proposed Rage Room: Rage 'n Release
A Feasibility Study
Presented to the Faculty of the
College of Business Administration
University of the Cordilleras
In Partial Fulfillment
of the Requirements for the Degree
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION
By
Albert Angelo P. Baloca
Mark Jenver C. Boragay
Tana A. Guinapon
Charles Aldwin P. Tambalque
Sushmina O. Thapa
Malkijah D. Valdoboyd
August 2023
APPROVAL SHEET
This feasibility study entitled FEASIBILITY STUDY OF

PROPOSED RAGE ROOM: RAGE ‘N RELEASE IN BAGUIO CITY prepared
and submitted by Albert Angelo P. Baloca, Mark Jenver C.
Boragay, Tana A. Guinapon, Charles Aldwin P. Tambalque,
Sushmina O. Thapa, Malkijah D. Valdoboyd in partial
fulfillment of the requirements for the degree of BACHELOR OF
SCIENCE IN BUSINESS ADMINISTRATION, has been examined and
recommended for acceptance and approval for oral examination.
JOSEPHINE S. GALANZA, MBA

Adviser
Feasibility Committee
ROU JAY S. BALAGOT, MBA GABRIEL R.DE GUZMAN, MBA

Member Member
ANTHONY VANCE B. CULATON, MBA

Member
JOE-EL S. MARCELO, MBA

Chairperson
______________________________________________________________
PANEL OF EXAMINERS
JOE-EL S. MARCELO, MBA

Chairperson
ROU JAY S. BALAGOT, MBA GABRIEL R.DE GUZMAN, MBA

Member Member
ANTHONY VANCE B. CULATON, MBA

Member
ACCEPTED AND APPROVED in partial fulfillment of the

requirements for the degree of BACHELOR OF SCIENCE IN BUSINESS
ADMINISTRATION
GRACE R. TOBIAS, Ph.D.

Dean, College of Business Administration
ii
ACKNOWLEDGEMENT
This study would not have been accomplished without
the support and help of several individuals who in their
own ways gave us the necessary help we need and guidance
to make it through our study. Their assistance made
everything we did possible.
We express our gratitude and sincere appreciation to
the following individuals:
To Mrs. Josephine S. Galanza, our Feasibility Study
Advisor, for being there; supporting, guiding and
assisting us all the way. For showing us that, we can
accomplish anything if we have the drive and
determination;
To the Chairperson and members of the panel for
their time for our oral defense and effort for looking
into details for the improvement of our study. Their
suggestions and constructive criticism gave the final
touches of our study;
To the respondents, who gave their time to answer
our questionnaires;
iii
And to our parents and families, who are our main
source of motivation, the individuals who made us strong-
willed through-out the making of the study.
A.A.B.
M.J.B.
T.G.
C.A.T.
S.T.
M.V.
iv
EXECUTIVE SUMMARY
Marketing Aspect
Rage and Release offers a unique and innovative
concept in Baguio City, providing individuals with a safe
and controlled environment to release stress and pent-up
emotions. The primary target market includes individuals
from various age groups, including teens, adults, and
middle-aged adults. The demand for such services has been
identified through market research and analysis, with an
increasing awareness of mental and emotional health and
interest for stress-relief outlets. Marketing strategies
will leverage social media and referrals to reach
potential customers.
Management Aspect
The proposed business, Rage and Release, will be
operated as a partnership with six owners. The name of
the business reflects its purpose, which is to offer a
controlled space for people to release their
frustrations. Each partner will contribute Php 200,000 as
initial capital. The regular operating hours will be from
1:00 PM to 10:00 PM daily, with the possibility of
overtime to accommodate high demand. A dedicated and
skilled workforce will be essential to ensure smooth
operations and customer satisfaction.
Technical Aspect
Rage and Release, located at Rainbow Bldg. Naguillan
Rd. Mrr Queen of Peace, Campo Filipino Baguio City, is
designed with safety and customer satisfaction in mind.
Sturdy materials and reinforced structures are used to
construct the rage rooms, containing activities within
the designated area. The design also minimizes the risk
of damage to surrounding structures and incorporates
safety barriers for additional protection. Proper
ventilation systems are installed to maintain good air
quality within the room, ensuring a safe and comfortable
environment for participants and staff. Additionally, a
waste disposal management system is in place to ensure
proper disposal of broken items.
v
Financial Aspect
Financial planning and management are critical for
the success of Rage and Release. The partners have agreed
to contribute a total of Php 1,200,000 as initial
capital, with each partner investing Php 200,000 through
cash and personal loans. The business's financial
analysis indicates a strong operating cash flow, ensuring
it can cover operational expenses and remain financially
stable.
Socio-economic Aspect
Rage 'n Release company aims to contribute to the
local community by addressing suppressed emotion and
providing a space for catharsis. By prioritizing public
well-being and emotional health, the business hopes to
set an example for other entrepreneurs in the business
community. Furthermore, the company's innovative approach
to recycling broken glass into glass powder contributes
to a cleaner environment, helping to clear streets and
creeks of unused glass bottles. In partnership with the
government's efforts to handle mental health challenges,
the company's services offer catharsis and a platform for
identifying individuals with mental illness, providing
psychological evaluations and talk therapy to help them
cope effectively.
vi
INTRODUCTION
In today's fast-paced and demanding world,
individuals often find themselves burdened with stressed
and pent-up emotions. Recognizing this growing need for
cathartic outlets, a proposed rage room emerges as a
potential solution to provide a safe and controlled
environment for people to release their frustrations.
This feasibility study aims to assess the viability and
potential success of establishing a rage room facility in
the local community. By examining market demand,
financial considerations, and the overall social impact,
this study seeks to determine the feasibility of this
unique venture. The insights gained from this study will
help proponents make informed decisions and potentially
contribute to the well-being of individuals within the
community. (Smith, J 2022)
The purpose of the rage room is to provide a safe
and fun venue for anyone feeling sadness, anxiety,
depression, anger and stress to vent or “blow off some
steam”. It seeks to help individuals to connect
with their internal anger and tension and vent it through
appropriate channels.
vii
TABLE OF CONTENTS
PAGE
Title Page........................................i
Approval Sheet....................................ii
Acknowledgement...................................iii
Executive Summary.................................v
Table of Contents.................................viii
List of Table................................xi
List of Figures..............................xiii
MARKETING ASPECT
Introduction.................................1
Service Description .........................2
Competitive Advantage........................5
Location ....................................5
Target Market ...............................7
Determination of Sample Size.................8
Questionnaire Analysis.......................9
Demand Analysis .............................13
Supply Analysis .............................15
GAP Analysis.................................16
Factors Affecting the Market ................17
Pricing Strategy.............................18
Penetration Strategy ........................20
Promotional and Advertising Strategies ......20
Summary of Costs for Marketing Aspect........21
viii
MANAGEMENT ASPECT
Introduction.................................22
Company Name.................................23
Company Logo.................................23
Company Philosophy ..........................24
Company Vision & Mission.....................25
Form of Ownership ...........................26
Capital Contribution.........................27
Organizational Chart.........................28
Job Roles and Responsibilities...............28
Work Schedule and Day-Offs...................37
Hiring Process...............................37
Employee Benefits............................43
Company Policies.............................47
Gantt Chart..................................50
Permits and Licenses.........................52
Summary of Cost for Management Aspect........53
TECHNICAL ASPECT
Introduction.................................54
Services Offered ............................55
Safety and Fire Exits........................61
Service Process..............................64
Location.....................................65
Business/ Plant Layout.......................66
Business Size and Capacity...................68
Lease Expense................................71
ix
Organizational Costing.......................71
Utilities Computation .......................82
Waste Disposal...............................83
Summary of Costs for Technical Aspect .......84
FINANCIAL ASPECT
Introduction.................................85
Major Assumptions............................86
Capital Contribution/Source of Financing.....93
Statement of Financial Performance...........96
Statement of Change in Equity................99
Significant Accounting Policies..............99
Commitments and Contingencies................105
Notes on Financial Statement.................106
SOCIO-ECONOMIC ASPECT
Introduction.................................117
Local Community..............................118
Business Community...........................118
Environment..................................118
Government...................................118
REFERENCES........................................120
APPENDICES
Questionnaire................................122
Permits and Licenses.........................123
Curriculum Vitae ............................128
x
LIST OF TABLES
Table No. Table Title Page
1 Familiarity.............................10
2 Willingness.............................10
3 Pricing.................................10
4 Frequency ..............................11
5 Competitors.............................11
6 Significance............................12
7 Experience..............................12
8 Benefits................................13
9 Historical Population of Demand.........14
10 Projected Demand........................15
11 List of Indirect Competitors............16
12 Summary of Cost Under Marketing Aspect..21
13 Contribution of Partners ...............27
14 Job Roles and Responsibilities .........28
15 Employee Benefits.......................43
16 Company Policies........................48
17 Monthly Schedule........................51
18 Business Permits and Licenses...........52
19 Summary of Cost Management Aspect.......53
20 Plant Size..............................68
21 Lease Expense...........................69
22 Construction Materials..................70
23 Furniture...............................73
xi
24 Equipment...............................74
25 Professional Expenses...................77
26 Summary of Construction Cost............78
27 Office Supplies.........................78
28 Operational Supplies....................79
29 Cleaning Tools..........................80
30 Cleaning Supplies.......................80
31 Miscellaneous Fees......................81
32 Energy Consumption......................82
33 Utilities Expense.......................82
34 Summary of Cost Technical Aspect .......84
35 Partnerships............................88
36 Yearly Revenue..........................89
37 Capital Contribution....................93
38 Start-up Cost...........................94
39 Pre-Operating Statement of Financial

Performance ............................96

Position................................96

Cash Flow...............................97
42 Projected Statement of Changes in

Owner’s Equity..........................97
43 Supplies................................100
44 Property and Equipment..................101
45 Accrued Expenses........................101
46 Revenue from Services and Other Income..102
47 Expenses by Nature......................103
xii
48 Notes...................................106
49 Test of Profitability, Liquidity and

Solvency................................110
50 Payback Period..........................114
LIST OF FIGURES
Figure No. Figure Title Page
1 Satellite map of Business Location......6
2 Business Location.......................6
3 Shatter Point Package...................19
4 Solo Smash Package......................19
5 Rage Warrior Package....................19
6 Business Logo...........................23
7 Organizational Chart....................28
8 Working Schedule........................37
9 Liability Waiver........................58
10 Service Process.........................64
11 Bird’s Eye View of Location.............65
12 Business Layout.........................66
13 Business Floor Plan.....................66
14 Business Space..........................67
xiii
Marketing Aspect 1
MARKETING ASPECT
Marketing is a way to connect what products and
services you have to offer with customers who want and
need such products and services. It is multi-faceted,
starting with researching your target market and how best
to deliver the message to coming up with a plan to
execute your promotion via various marketing media. The
goal is to develop a strategy to create, price and
distribute your products and services for an exchange
that will satisfy both your and your customers’
objectives. (Trish Green)
The idea of this research project was based on real
life situations wherein people experience stress and
frustrations that affect their daily basis of living.
Through observation, personal experience and information
gathering, the proponents decided to come up with a
service that could help the people lessen that stress and
life frustrations. Smash it will cater through the needs
and wants of customers to satisfy them by the service
offered.
Marketing Aspect 2
SERVICE DESCRIPTION AND FEATURES
Rage ‘n Release Rage room will be a new business in
Baguio City that will provide a safe, fun environment for
anyone who's experiencing normal feelings of stress and
anger to release these emotions acceptably. The rage
rooms will consist of make-believe living rooms and
kitchens with replicas of furniture and broken electronic
gadgets such as televisions, DVDs, chairs, tables, desks
and other breakable items. The rooms can also be an
almost empty space with graffiti across the walls. Our
stress relief services include throwing, hitting,
smashing breakable items, punching and screaming.
Just like any other service, appointments need to be
booked. Slot times vary, but the typical session is
around 15 to 20 minutes. Clients can also purchase
packages to share sessions with their friends or
customize room setup. Packages specify the amount of
time given for clients to spend in the rage room, the
number of individuals, the kinds and numbers of objects
to be smashed, the tools to be used, and any additional
equipment. A typical package takes 20 to 30 minutes to
complete and contains approximately 50 breakable objects
such as glasses, dishes, appliances, and gadgets.

Marketing Aspect 3
Before entering the rage room, clients must sign a
safety waiver and put on protective gear such as a hard
hat, goggles, and gloves. Then they will be placed in a
private room with reinforced walls and given pieces of
junk like broken or outdated household items and your
smash tool of choice.
BENEFITS:
Channeling anger can be difficult for many people,
especially when they begin to lose control of the
situation. These rage rooms provide a secure way for
releasing emotions. The entire experience is designed to
help people gain a sense of control and relief from their
anger and stress.
1. Gives a Sense of Empowerment Anger can stem from
a sense of helplessness and lack of control over a
situation. Finding a way to channel your anger, even
briefly, can help you feel like you’re reclaiming your
emotions. As a result, you may feel more empowered and
stable for understanding and managing the situation.
2. No Fear of Getting Judged
Anger and rage aren’t socially acceptable emotions,
and expressing them might feel counterintuitive to
everything we’re taught. Rage therapy offers a safe

Marketing Aspect 4
alternative to focus on these emotions without judgment.
You can choose a rage room to shout, break and explode,
no one will be standing to pass a comment.
3. A safe space to explore emotions
Piled up anger is always harmful for both you and
people associated with you. Rage therapy provides the
opportunity to explore your emotions in a safe and
contained way. There are boundaries in place that help
you manage your venting proactively and safely.
4. It might inspire you to take a new step.
Closure is often necessary for someone to be able to
move through and beyond a challenging emotional period.
After letting it all go in a rage room, you might feel
like you have the closure you need to make changes in
your life.
5. It can provide a bonding experience If you choose to
bring friends or loved ones to a rage room with you, it
practically becomes a team-building exercise. You might
even opt to share the experience with people you’re in
tension with! Maybe all you need to get to the other side
of your argument is some time raging.

Marketing Aspect 5
COMPETITIVE ADVANTAGE
Rage rooms are becoming quite popular, and given the
current world situation and personal circumstances,
people are stressed. The market is expanding as a result
of the increasing demand for anger management centers
among youngsters and adults. We are poised to take
advantage of this trend by providing far-reaching anger
management solutions to our clients. Currently in Baguio
City, there's no business for rage rooms. If advertised
well business will boom.
LOCATION
The rage room business will be conducting its
operation in Baguio City, particularly in the J Rainbow
Bldg. Naguillan Rd. Mrr Queen of Peace, Campo Filipino
Baguio City. This city is a great place where you can
quickly breathe out and relieve your stress from a long-
tiring work/ school day.

Marketing Aspect 6
Figure 1 – Satellite map of Business Location
Figure 2 – Business Location

Marketing Aspect 7
TARGET MARKET
Target market is a particular segment in which the
marketing campaign is focused. It is a group of people
recognized as the most likely potential customers because
of their shared characteristics and demographics. The
target market of the proposed business is from young
adults, aged 18-39 and middle-aged adults 40-45.
According to the American Psychological Association
(APA), those people aged 18-33 years old suffer the
highest levels of stress. According to a comprehensive
survey conducted by the Philippine Statistics Authority
in 2021, it was found that a staggering 82% of Filipino
workers reported feeling stressed in their jobs. The
study involved a large sample size, encompassing a
diverse range of industries and job positions across the
country.
Market segmentation is the sub-dividing of markets
into homogeneous subsets of customers, where any subset
may conceivably be selected as a market target to be
reached with a distinct marketing mix. (Philip Kotler).
This method was applied in determining the potential
target market to optimize marketing and sales effort of
the business.
Marketing Aspect 8
DETERMINATION OF SAMPLE SIZE
The sample size was determined by obtaining the
total population of teens aging from young adults, aged
18-39 and middle-aged adults 40-45. The proponents used
the data gathered from the Philippine Statistics
Authority (PSA) for the population of the different age
groups in Baguio City. The provided population for the
year 2020 was used as basis for forecasting. The
forecasted population of year 2023 is 392,262 which was
used to determine the sample size. 63% of the total
population are aged 18-45 – 247,517.
Slovin's formula was used to derive the sample size
with a 5% margin of error. The computation is as follows:
N
Slovin’s formula: n = 2
1+ Ne
whereas:
n = no. of samples
N = total population
e = error margin / margin of error

Marketing Aspect 9
N
Computation: n = 2
1+ Ne
247,517
n = 2
1+ ( 247,517 ) ( 0.5 )
n = 400 respondents
The proponents were able to acquire a total of 400
to be the sample size and respondents. The 400
respondents would be surveyed using both printed
questionnaires and an online Google form. The data
obtained would be treated with confidentiality and
absolute respect.
QUESTIONNAIRE ANALYSIS
The proponents distributed questionnaires to a total
of 400 respondents in Baguio City, from young adults,
aged 18-39 and middle-aged adults 40-45. To collect the
data, the proponents utilized paper. This method allowed
flexibility for the respondents to complete the
questionnaires at their convenience, ensuring more
accurate and reliable responses. The questionnaire helped
the proponents in determining the outcome of the proposal
whether the prospect customers would want the business to
operate. The analysis and interpretation of each data
point gathered from all survey questionnaires are
discussed below.
Marketing Aspect 10
Table 1. Familiarity
Have you heard of the concept rage room before?
Sample Indicator Responses Percentage
Yes 295 73.75
No 105 26.25
Total 400 100%
Table 2. Willingness
If yes, are you willing to avail such service if one

would be available in Baguio City?
Yes 353 88.25
No 47 11.5
Total 400 100%
Table 3. Pricing
How much are you willing to pay for a rage room session?
Php 299-399 276 69
Php 400-599 74 18.5
Php 600-799 50 12.5
Total 400 100%

Marketing Aspect 11
Table 4. Frequency
How often would you visit a rage room?
Very often 110 27.5

(12 times a month)
Often 100 25
(10 times a month)
Somewhat often 105 26.5

(8 times a month)
Not Often 85 340

(4 times a month)
Total 400 100%
Table 5. Competition
Are you aware of a business that offers stress-reducing

programs?
Yes 207 51.75

(Spa)
(Gym)
(Shooting Range)
(Adventure Park)
No 193 48.25
Total 400 100%

Marketing Aspect 12
Table 6. Significance
Do you think a rage room will help you relieve anger and
frustration?
Yes 326 81.5
No 74 18.5
Total 400 100%
Table 7. Experience
Would smashing things help you release your suppressed

emotion?
Yes 350 87.5
No 50 12.5
Total 400 100%
Table 8. Benefits
Marketing Aspect 13
What do you think are the potential benefits of a rage

room experience? (Select all that applies)
Stress Relief 260 65
Physical Exercise 102 25.5
Fun and 166 41.5

Entertainment
Catharsis 53 13.25
(Emotional
Release)
Total 581 100%
DEMAND ANALYSIS
Demand Analysis is used to project the demand of
Rage ‘n Release for the next five years. The forecasting
used in the demand analysis makes use of the Least
Squares Method.
The next section provides the data computed for the
population demand of Baguio City which are data gathered
from Philippine Statistics Authority.
Table 9. Historical Data of Demand Population

Marketing Aspect 14
Year (n) Population (y) x X2 xy
2019 231,863 -2 -4 -463,726
2020 235,681 -1 -2 -235,681
2021 239,562 0 0 0
2022 243,507 1 1 243,507
2023 247,517 2 4 495,034
Total 963,365 0 10 39,134
LSM FORMULA: Y = a + bx
Where: a= Σ y / n
b= Σ xy / Σ x 2
Σy
a= = 963,365 = 192,673
n 5
Σ xy 39,134
b= 2 = = 3913.4
Σx 10
Exhibited in the table is the Historical Population
of Demand which shows that from the year 2019 to 2023,
there is a total population of 963,365. The X2 is
computed by getting the value of X indicated in the table
and multiplying the number by itself. While the xy is the
product of the value of x and the population is
represented as the variable y. 39,134 is the total sum of
variable xy that is between 2019 to 2023.
Table 10. Projected Demand

Marketing Aspect 15
Year a=bx Projected Demand
2024 192,673 + 3913.4 (5) 212,240
2025 192,673 + 3913.4 (6) 216,153
2026 192,673 + 3913.4 (7) 220,067
2027 192,673 + 3913.4 (8) 223,980
2028 192,673 + 3913.4 (9) 227,894
Total 1,100,334
As shown in the table, the total projected demand
for the year 2024-2028 is 1,100,334. This signifies that
there is an increased population growth throughout the
year 2019-2023. There is a total population growth
increase which is a significant factor for the increased
demand for rage rooms.
SUPPLY ANALYSIS
Supply Analysis is a detailed review of the inputs
and outputs of a process that is employed to assess how
the available quantity of a product is affected by
changes in demand, input factors and production
techniques. Supply Analysis is often used to make key
policy decisions by manufacturing business managers since
it gives them insights into how shifts in production are
likely to influence market supply. (Hayes, 2017)

Marketing Aspect 16
The proposed business does not have supply analysis
since the business has no direct competitor in Baguio
City. Indirect competitors may include recreational
facilities like fitness centers and gyms, sports clubs,
archery or shooting ranges and adventure parks but it
doesn’t directly affect the supply.
Table 11. List of Indirect Competitors
Indirect Customer Operating days
Competitors satisfaction (annually)
Index
Spa 5.0 260 days
Gyms 4.0 260 days
Sports clubs 3.5 260 days
Shooting ranges 3.0 260 days
Adventure parks 4.5 260 days
Total 20 1,300 days
GAP ANALYSIS
A gap analysis is the process companies use to
compare their current performance with their desired,
expected performance. This analysis is used to determine
whether a company is meeting expectations and using its
resources effectively. A gap analysis is the means by
which a company can recognize its current state—by

Marketing Aspect 17
measuring time, money, and labor—and compare it to its
target state. By defining and analyzing these gaps, the
management team can create an action plan to move the
organization forward and fill in the performance gaps.
(Hayes, 2022)
The proposed business does not have a gap analysis
and supply analysis because it has no direct competitors
that can affect the demand of the business.
FACTORS AFFECTING THE MARKET
1. Price
Price is one of the most important factors that
affects the market demand. Product and/or service have
different sensitivity to changes in price. In a dynamic
environment, inflation may affect the cost of the
necessary materials, supplies and equipment during
operation. The economic environment also influences
pricing in the sense that during a boom period, high
prices may be fixed in order to meet rising production
costs.
2. Trend
Trends can alter how in-demand the service is and
whether the demand curve will shift. People's curiosity

Marketing Aspect 18
can drive company demand, and differing personalities
might influence shifts in an individual's preferences.
Increasing or declining demand helps organizations to
adopt and implement new or alternatives strategies in
order to be more competitive.
3. Population
Increase in population increases the demand for
goods / service in the market. Every year in Baguio
City, the population is increasing. New business will
arise and those existing ones have to be more
competitive, developing strategies to cope with changes
and stay long in the field.
4. Government Regulations
The business should comply with the set of rules and
regulations imposed by the city government. It should
conduct the operations in a safe manner that will not
cause any harm to the society and environment.
PRICING STRATEGY
The cost of services offered by the Rage ‘n Release
is a price per head service and is based on what is
obtainable in the location and the market. This
considers different packages with the number of items to
be broken in a specific amount of time given.

Marketing Aspect 19
Figure 3 – Shatter Point Package
Figure 4 – Solo Smash Package
Figure 5 – Rage Warrior Package

Marketing Aspect 20
PENETRATION STRATEGY
The penetration strategies implemented for the Rage
‘n Release Rage Room considers offering competitive
prices and providing service quality which includes
studying the needs of the market, providing a reasonable
pricing and advertising assertively. To make the
business known competitively, consistency in delivering
what is promised is a necessity.
PROMOTIONAL AND ADVERTISING STRATEGY
Rage ‘n Release will implement these certain
promotional and advertising strategies to increase the
demand and introduce the services offered to the
potential clients and target market:
1. Social Media Marketing
Social media platforms including Facebook, Instagram
and Twitter can aid in building the business’ name and
increase its sales by creating captivating contents,
boosting business awareness and connecting with
consumers.
Marketing Aspect 21
2. Referral
Positive information, discussions and reviews builds
a positive business stature. According to Lanai
Moliterno, word of mouth shows the value of what you are
building.
3. Loyalty Discount Program
This program is designed to reward recurring
customers for their continued support and commitment to
our rage room business. It offers exciting benefits,
exclusive perks and significant discounts to make the
rage room experience even more thrilling affordable and
memorable.
SUMMARY OF COST (MARKETING ASPECT)
Table 12. Summary of Costs Under Marketing Supply
Schedule Marketing Cost

Advertisements
Monthly Social Media Php 500.00

ad boost
Total Cost Php 6,000

Management Aspect 22
MANAGEMENT ASPECT
Management embraces all duties and functions that
pertain to the initiation of an enterprise, its
financing, the establishment of major policies, the
provision of all necessary equipment, the outlining of
the general form of organization under which the
enterprise is to operate and the group of officials in
primary control of an enterprise. (Kimball and Kimball)
Management is guiding human and physical resources
into dynamic organization units which attain their
objectives to the satisfaction of those served and with a
high degree of morale and sense of attainment on the part
of those rendering service. (American Management
Association)
COMPANY NAME: Rage ‘n Release
Using a clear and simple word play, the main idea of
the business is conveyed in the name. Rage is to
recognize the negative emotions suppressed inside. ‘n is
a shortened word for “and,” making it informal. Release
is to let lose all the stress, anger and frustrations you
are feeling, freeing yourself from those emotions.
Overall, the name "Rage 'n Release" captures the duality
of the experience, acknowledging the presence of rage
while emphasizing the therapeutic aspect of releasing and
letting go.
COMPANY LOGO
Figure 6 – Logo for the Rage n’ Release Company

The gray background represents neutrality and balance in
life. Grey is a mix of black and white, meaning it likely
comes from being in the shade of white and black. This
mix also symbolizes the emotions people experience when
they need a rage room, trying to find a balance between
rage and tranquility. The bricks represent a metaphor for
a challenging obstacle or obstruction in life.
Furthermore, the struggle we face and the obstacles we
overcome often end up defining who we are. The broken
glass symbolizes breaking through emotional barriers and
overcoming obstacles. The bold uppercase letters in the
logo convey strength, assertiveness, and power. They
suggest that the rage room is a place where people can
express themselves boldly and without holding back.

PHILOSOPHY
Our rage room business embraces the philosophy of
empowering individuals to channel their frustrations into
a constructive and cathartic outlet, promoting emotional
well-being and personal growth. We believe in creating a
safe and controlled environment that encourages self-
expression, stress relief, and the pursuit of inner
balance.
VISION
To break the mental health stigma in our society and
to promote mental awareness for individuals and families.
MISSION
Our mission is to provide a secure and supportive
environment where our clients can express their negative
feelings and frustration through the creative release of
smashing things, promoting personal development and
empowerment.
Objectives:
● To determine the effectiveness of rage room in
relieving stress
● To determine if smashing and breaking things helps
lessen frustration
● To determine if anger displacement is effective as a
short-term anger management strategy
FORM OF OWNERSHIP
General Partnership
A General Partnership (GP) is an agreement between
partners to establish and run a business together. It is
one of the most common legal entities to form a business.
In a general partnership, each partner is accountable for
the company and are subject to unlimited liability for
all business debts. General partnerships allow
participants to arrange their enterprises in whatever way
they determine fit. This enables those partners to have
more direct control over operations. Each partner reports
their share of the business's profits and losses on their
individual tax returns and pays any taxes owed. The
partnership itself isn't subject to taxation.

The proponents will use this kind of partnership to
have an easy assessment on the business operation and
control on its management. General partnerships provide
the partners with a more flexible method of structuring
their business.
CAPITAL CONTRIBUTION
The Capital amounting to Php 1,200,000 will be
gained through personal funds. Each partner will
contribute a total of Php 200,000.
Table 13. Contributions of Partners
Name of Owners No. of Amount

shares
owned
Baloca, Albert 1 Php 200,000.00
Boragay, Mark Jenver 1 Php 200,000.00
Guinapon, Tana 1 Php 200,000.00
Tambalque, Charles 1 Php 200,000.00

Aldwin
Thapa, Sushmina 1 Php 200,000.00
Valdovoyd, Malkijah 1 Php 200,000.00

Dacsig
Total Php 1,200,000.00
ORGANIZATIONAL CHART
Figure 7 – Organizational Chart for the Business

Officers and Personnel
Table 14. JOB ROLES AND RESPONSIBILITIES
Job Roles and Job Description Job Qualifications

Responsibilities and Requirements
Operations ● Oversee all aspects ● Bachelor's

Manager (1) of the rage room degree in
operations, business
Monthly salary: including administration
scheduling, or a related
Php 21,000 staffing, and field.
facility ● Previous
Salary per year:
maintenance. experience in
Php 252,000 ● Develop and operations
implement management or
operational a similar
policies and role.
procedures to ● Strong
ensure smooth and leadership and
efficient organizational
operations. skills.
● Manage inventory ● Excellent
and equipment, problem-
ensuring solving and
availability and decision-
proper maintenance. making
● Monitor customer abilities.
feedback and ● Knowledge of
implement safety
improvements to protocols and
enhance the regulations.
customer ● Good
experience. communication
● Coordinate with and
other departments interpersonal
to ensure seamless skills.
operations and
resolve any issues
that may arise.
Assistant Manager ● Support the ● High school

Operations (1) operations manager diploma or
in overseeing day- equivalent; a
Monthly salary: to-day operations bachelor's

of the rage room. degree is
Php 18,000
● Assist with preferred.
Salary per year: scheduling staff, ● Previous
Php 216,000 managing inventory, experience in

and maintaining the a supervisory
facility. or assistant
● Handle customer manager role.
inquiries and ● Strong
complaints, organizational
ensuring a high and
level of customer multitasking
satisfaction. skills.
● Train and supervise ● Excellent
employees to ensure communication
they adhere to and
company policies interpersonal
and procedures. abilities.
● Collaborate with ● Ability to
the operations work well
manager to develop under pressure
and implement and resolve
operational conflicts.
strategies. ● Knowledge of
safety
protocols and
customer
service
principles.
Marketing Manager ● Develop and ● Bachelor's

(1) implement marketing degree in
strategies to marketing,
Monthly salary: promote the rage business
Php 21,000 room and attract administration
customers. , or a related
Salary per year:
● Conduct market field.
Php 252,000 research to ● Proven
identify target experience in

demographics and marketing,
competitive trends. preferably in
● Plan and execute the
advertising and entertainment
promotional or leisure
campaigns through industry.
various channels. ● Strong
● Manage social media knowledge of
accounts and online digital
presence to engage marketing
with customers and tools and
build brand techniques.
awareness. ● Excellent
● Analyze marketing analytical and
data and evaluate problem-
campaign solving
effectiveness. skills.
● Creative
thinking and
ability to
generate
innovative
marketing
ideas.
● Strong
communication
and
interpersonal
skills.
Sales Officer (1) ● Actively seek out ● High school

and engage diploma or
Monthly salary: potential customers equivalent; a
Php 15,000 to promote and sell degree in
rage room sales or
Salary per year:
experiences. marketing is a
Php 180,000 ● Provide information plus.
about packages, ● Proven
pricing, and any experience in

current promotions. sales,
● Maintain customer preferably in
databases and a customer-
follow up on leads facing role.
to convert them ● Excellent
into sales. communication
● Collaborate with and
the marketing team negotiation
to develop sales skills.
strategies and ● Goal-oriented
campaigns. with a track
● Meet or exceed record of
sales targets on a meeting or
regular basis. exceeding
sales targets.
● Ability to
work
independently
and in a team
environment.
● Strong
interpersonal
skills and the
ability to
build rapport
with
customers.
Finance Manager ● Manage financial ● Bachelor's

(1) Monthly activities, degree in
salary:
including finance,
Php 21,000 budgeting, accounting, or
forecasting, and a related
Salary per year:
financial field.
Php 252,000 reporting. ● Professional
● Monitor cash flow certification
and manage accounts (e.g., CPA,
payable and CFA) is a
receivable. plus.
● Prepare financial ● Proven
statements and experience in
reports for financial
management review. management or
● Conduct financial accounting.
analysis to ● Strong
identify areas for knowledge of
improvement and financial
cost-saving principles and
opportunities. practices.
● Ensure compliance ● Excellent
with financial analytical and
regulations and problem-
company policies. solving
skills.
● Attention to
detail and
accuracy.
Receptionist/ ● Greet and welcome ● High school

customers, diploma or
Cashier (1) providing equivalent.
information about ● Previous
Monthly salary:
rage room experience in
Php 12,000 experiences and a customer
Salary per year: pricing. service or

● Handle customer receptionist
Php 144,000
inquiries, role.
complaints, and ● Excellent
reservations. communication
● Operate the cash and customer
register and handle service
cash transactions skills.
accurately. ● Proficient in
● Maintain a clean using cash
and organized registers and
reception area. handling cash
transactions.
● Strong
 Assist with organizational
administrative and
tasks, such as multitasking
answering phone abilities.
calls and ● Basic computer
scheduling skills.
appointments.
Life Coach (2) ● Provide guidance ● Certification

and support to or training in
Monthly salary: customers before life coaching
Php 18,000 and after rage room or a related
sessions. field.
Salary per year:
● Help clients set ● Previous
Php 216,000 goals and develop experience in
coping strategies coaching or
for managing stress counseling.
and anger. ● Excellent
● Conduct individual listening and
or group coaching communication
sessions to address skills.
specific needs. ● Empathetic and
● Create and nonjudgmental
implement programs approach.
to promote personal ● Strong
development and problem-
emotional well- solving and
being. interpersonal
abilities.
● Maintain ● Knowledge of
confidentiality and anger
adhere to ethical management
guidelines. techniques and
stress
reduction
strategies.
Medical Aid (1) ● Provide first aid ● Certification

assistance to in first aid,
Monthly salary: customers in case CPR, and AED.
Php 18,000 of injuries or ● Previous
accidents. experience as
Salary per year:
● Assess and a medical aid
Php 216,000 stabilize or in a
customers' similar role.
conditions until ● Knowledge of
further medical first aid
help arrives if techniques and
needed. emergency
● Maintain a clean response
and stocked first procedures.
aid kit. ● Ability to
● Educate staff on remain calm
basic first aid and composed
procedures and in stressful
emergency situations.
protocols. ● Good
communication
● Keep records of and
incidents and interpersonal
report any safety skills.
concerns to the
operations manager.
Housekeeper (3) ● Clean and sanitize ● Previous

rage rooms, common experience in
Monthly salary:
areas, and housekeeping
Php 12,000 restrooms. or janitorial
Salary per year: ● Dust, vacuum, and services.

mop floors. ● Knowledge of
Php 144,000 ● Replenish supplies, cleaning
such as paper techniques and
towels, soap, and use of
cleaning products. cleaning

● Empty trash bins equipment.
and dispose of ● Attention to
waste properly. detail and
● Report any thoroughness
maintenance or in cleaning
repair needs to the tasks.
operations manager. ● Ability to
work
independently
and
efficiently.
● Physical
stamina to
perform
cleaning
tasks.
Security Guard: ● Monitor and patrol ● High school

(1) the premises to diploma or
prevent theft, equivalent.
Monthly salary: vandalism, or ● Previous
Php 13,500 unauthorized experience as
access. a security
Salary per year:
● Enforce safety and guard or in a
Php 162,000 security related field.
regulations. ● Security guard
● Respond to alarms certification
or incidents and or training.
take appropriate ● Knowledge of
actions. security
● Maintain procedures and
surveillance protocols.
systems and report ● Strong
any suspicious observation
activities. and decision-
● Provide assistance making skills.
and guidance to
● Good
customers and
employees as
communication
needed.
and
interpersonal
abilities.
WORK SCHEDULE AND DAY-OFFS
Figure 8 – Working Schedule

HIRING PROCESS
In human resource management, “recruitment” is the
process of finding and hiring the best and most qualified
candidate for a job opening, in a timely and cost-
effective manner. It can also be defined as the “process
of searching for prospective employees and stimulating
and encouraging them to apply for jobs in an
organization.” Luenendonk (2021)
Here are eight steps in our selection process for hiring
employees:
1. Application
This phase in our selection process is sometimes
seen as passive from our hiring team side – we just wait
for candidates to respond to our job ad. After that, we
have qualifying questions that don't require complex or
long answers. Some of these questions could require
simple yes/no answers with the wrong answer automatically
disqualifying a candidate – this is something that can
also easily be done via recruitment software.
2. Resume Screening
Now that we have wrapped up the application phase of
the employee selection process, we have a collection of
resumes or CVs to sift through and filter those deemed
suitable for a screening call. What we will need to do
now is go through resumes one by one, whether manually or
software-assisted, and identify prime candidates. This is
one of the most traditional employee selection methods to
move candidates to the next step by identifying and
disqualifying those who don’t quite fit what we’re
looking for.
3. Screening Call
The screening call, or phone screen, is among the
initial hiring stages where we shortlist applicants. The
purpose of this call is to establish whether the
candidate is truly interested in the job and (at least)
minimally qualified to do it successfully. This way, only
the best applicants will go to the next, stricter (and
more expensive) hiring stages, like assessments and in-
person interviews, saving our team time and money.
In this phase we ask questions and listen carefully
to the candidate. Determine whether their attitude suits
our company and whether their answers are satisfying.

Watch out for answers that may not sound genuine or
contradictions with their resume or application.
4. Assessment Test
Once we’ve screened candidates and sorted them out
into “promising”, “maybe”, and “disqualified” groups, we
want to look at the surviving candidates and further
assess their ability to do the job we’re looking to fill.
In this phase we explain clearly to candidates the scope
and purpose of the assessment, so they understand fully
why we’re doing it.
5. In-person Interviewing
It’s finally time to meet in person with those promising
candidates and determine who’s going to be our next hire.
The entire hiring team makes sure to ask all the right
questions. More specifically, we are preparing a list of
job-related questions and cultural fit questions.
A list of job-related questions that assess how well
candidates can manage regular job duties. In here, we can
ask a mix of:
● Role-specific questions, to evaluate candidates’
knowledge and experience

● Soft skills questions, to identify candidates who
are good not just on paper
● Situational questions, to learn how candidates would
address different scenarios and issues that may
arise on the job
● Behavioral questions, to discover how candidates
have previously handled professional challenges
● Cultural fit questions that will help us pick these
candidates who are more likely to thrive in our work
environment. In here, we could ask:
● Career goals questions, to find candidates whose
professional goals align with our business
objectives
● Collaboration questions, to identify team players
● Adaptability questions, to learn which candidates
are more flexible and will have a smooth transition
to their new role if hired
● Once we have our set of interview questions ready we
can now invite candidates to our office – or
schedule a video call if we’re hiring remotely.
6. Background checks
Background checks reassure us that our finalists are
reliable and don’t pose risks to our company. We conduct
pre-employment checks to make sure candidates have told

the truth in their resumes or don’t currently do illicit
drugs. In fact, we have several types of background
checks including:
● Criminal records
● Credit reports
● Driving records
● Verification reports (e.g. identity, education, work
history, social security number, national insurance
number, etc.)
● Drug tests
These checks are most useful in the selection process
when there’s high risk involved in employing someone
unsuitable in a particular job.
7. Reference Check
In this phase, we will get feedback about the performance
of the candidates from people they’ve actually worked
with in the past, such as former managers, former
colleagues or business partners and clients.
During reference checks, we will:
● Confirm what candidates have already told us (e.g
about time of employment and previous job
responsibilities)
● Learn how candidates use their skills on the job

● Discover potential weaknesses or lack of practical
experience
● Understand how candidates behave in the work
environment (e.g. if they’re punctual, if they
receive feedback well, etc.)
Once we’ve taken everything we learned in the selection
process into account, from our own candidate evaluation
to background and reference checks, we’re ready to make
our hiring decision.
EMPLOYEE BENEFITS
Table 15. Employee benefits and compensation
Cash Compensation
Monthly Basic Salary Based on position
13th Month Pay 1/12 of total basic salary earned within

a calendar year and prorated according
to date of hire.
Hazard Pay 3% of the basic salary earned within a

month.
Premium Pay
Performance Bonus Based on performance

Regular Holiday Entitled to 200% of their salary for

that day (double pay).
Special Holiday 30% of their basic wage for the first 8

hours
Benefits
HMO Benefit Employee coverage will begin after 6

months from the date of hire.
Annual Leave Benefit Subject to the Leave Policy of the

Company
1 year to less 10 days of

than 2 years 15 days Unused Annual
Leave.
2 years to less 18 days
Benefit is
than 4 years
convertible
to cash
4 years and up 21 days
Statutory Benefits SSS

Government-
Philhealth
mandated
benefits
Pag-ibig
Insurance:
a. HMO (Medical & Dental) – Room & Board: Regular
Private with Maximum Benefit Limit of PHP 180,000.00
enrolled upon hire; 100% of the premium shall be
paid by the Company.
Leave Benefits:
You shall be titled to the leave benefits as stated

below:
a. Upon your 3rd month onwards, you shall be
entitled to earn 1 credit of vacation and sick leave
every month.
b. Unused sick leave and vacation leave credits will
not be carried over to the following year and shall
not be converted to cash;
c. Upon resignation or end of project employment,
all unused sick leave and vacation leave credits
will not be included in final pay.
Parental leave:
a. Maternity Leave
A pregnant employee is entitled to 105 days of paid
leave, with the option to extend for an additional 30
days without pay. If the pregnant employee is a single
parent, the leave might be extended for another 15 days

with full pay. The mandatory leave after delivering
cannot be shorter than 60 days.
b. Paternity Leave
A male employee is entitled to 7 days of paid leave.
The leave can only be utilized for the employee's first
four children. The child's married father is entitled to
up to 14 days of paid leave. (Republic Act No. 8187)
c. Parental Leave for Solo Parents
A solo parent who has rendered one year of service
is eligible for paid parental leave for a duration of 7
days every year. (Republic Act No. 8972)
Leave for Victim of Violence against Women and their
Children
An employee who is a victim of violence and whose
children (under the age of 18) also experience violence
shall be entitled to up to 10 days of paid absence.
(Republic Act No. 9262)
Special Leave for Women
Female employees who have surgery for gynecological
conditions are eligible to a special leave benefit of up
to two months with full pay, provided they have performed
continuous aggregate service of at least 6 months in the
last 12-month period. (Republic Act No. 9710)

Holidays:
You shall observe the Client holiday schedule,
unless specifically agreed upon to do otherwise. Work
done during Philippine Holidays will be subject to rules
on Overtime Premium.
Mandatory Benefit: 13 Month Pay
It is a mandatory benefit provided to employees
under Presidential Decree No.851, which mandates that all
rank-and-file employees get a 13th-month salary.
Government Mandatory Contributions
Regular employees will have the following government
contributions automatically taken from their salaries:
a. SSS
The Social Security System serves as a government-
mandated insurance scheme for all wage earners in the
country's private institutions. Depending on their
salary scale, members are obligated to contribute a
particular amount.
b. PAG-IBIG
Also known as the Home Development Mutual Fund
(HDMF), Pag-IBIG is another form of national savings’
program and the financing office for affordable shelter.

c. PhilHealth
It serves as government Insurance health care
program was prompted by the passage of several bills that
had significant implications on health financing.
COMPANY POLICIES
The company policies will include rules for all
personnel. Disregarding or failing to adhere to the
company rules and regulations will result in the
employees receiving disciplinary measures. The first
offense will result in a verbal or oral warning from the
supervisor. The second offense may result in the
supervisor giving an employee a written reprimand. The
consequences depend on the kind of offense the employee
has committed that may result in suspension, less pay, or
no day-offs. The third offense may suspend or terminate
the employee with no pay.
Table 16. Company Policies
Policies Number of Offense Disciplinary
1st Offense Verbal warning
2nd Offense Written warning

Habitually late
for work. 3rd Offense Suspension for 3
working days or
termination

Absent with no
and suspension
valid reason
for 3 working
days
3rd Offense Termination

Sleeping while
working 3rd Offense Suspension for 3
working days or
termination
2nd Offense Suspension for 3

working days
Neglect of duty
3rd Offense Termination
1st Offense Suspension for 5

Reporting to work days workings
under the days
influence of
2nd Offense Termination
alcohol beverages
or drugs.

Mobile Phone 3rd Offense Suspension for 3

Policy: Using working days or
phone during work termination

Smoking within
company premises 3rd Offense Suspension for 3
working days or
termination
1st Offense Suspension for 3

Leaving the work working days
area during
working hours
2nd Offense Termination
without
authorization and
for no valid
reason.
Stealing company 1st Offense Termination

properties
Act of 1st Offense Suspension for 3

abuse/harassment working days
towards co-
2nd Offense
workers and
Termination
customers
GANTT CHART
According to Grant (2022), A Gantt chart is a
commonly used graphical depiction of a project schedule.
It's a type of bar chart showing the start and finish
dates of a project's elements such as resources, planning

and dependencies. A Gantt chart helps in scheduling,
managing, and monitoring specific tasks and resources in
a project. The chart shows the project timeline, which
includes scheduled and completed work over a period. The
Gantt chart aids project managers in communicating
project status or plans and also helps ensure the project
remains on track.
Table 17. Monthly Schedule before the start of Operation

MONTHS
PROCESS
May Jun Jul Aug Sept Oct N D J
o e a
v c n
Feasibility Study
Procurement of Funds
Signing of Contract of Lease
Business Registration
Canvass of materials and

equipment
Purchasing of materials and

equipment
Renovation of Business
Hiring of Employees
Advertising
Safety training
Testing of Rage Rooms,

Equipment and Safety Gears
Start of Operation
PERMITS AND LICENSES

Rage ‘n Release will pay the needed legal documents
for the operation of the business. The table below shows
the costs of the business permit and licenses.
Table 18. Business Permit and Licenses
Particulars Cost
Company Name Reservation Php 120.00
Articles of Partnership Php 2,000.00
DTI Business Registration Php 500.00
DTI Documentary Stamp Tax Php 30.00
BIR Business Registration Php 500.00
BIR Documentary Stamp Tax Php 30.00
Business Permit Php 2,000.00
Fire Safety Inspection Php 500.00

Certificate
Occupancy Permit Php 2,000.00
Sanitary Permit Php 300.00
Garbage Permit Php 260.00
Plumbing Inspection Fee Php 250.00
Electrical Inspection Fee Php 250.00
Community Tax Certificate Php 1,000.00
Locational Clearance Php 575.00
Building Permit Php 400.00
Barangay Business Clearance Php 900.00
Notary Fee Php 300.00
Total Php 11,915.00
SUMMARY OF COST (MANAGEMENT ASPECT)

Table 19 – Summary of cost under Management Aspect
Particulars Annual Cost
Permits and Licenses Php 11,915.00
Employee Salaries Php 1,134,000.00
SSS Contribution Php 106,056.00
PAGIBIG Contribution Php 7,200.00
Philhealth Contribution Php 56,700.00
Total Summary cost PHP 1,315,871.00

Technical Aspect 55
TECHNICAL ASPECT
The technical aspect can be an excellent planning
tool because it provides an overview of how your project
may evolve during its development. It evaluates the
viability of your planned project by assessing the tools
at your disposal and the costs required. These specifics
include required materials and labor, project logistics,
and technology used for creating, delivering, and
tracking the items or services you propose to develop.
The study's findings also necessitate troubleshooting
potential problems and tracking the progress of your
project from concept to reality.
The technical aspect helps in determining the
project's capacity. It provides information on service
activity, raw materials used, and resources. (Schwant,
2014)
The study discusses the company's operations and
production process. It also specifies the machines and
equipment utilized in the manufacturing process, as well
as other details. The plant layout, size, and production
schedule are all presented to help identify the business
operation. (Oettinger, 2012)

Technical Aspect 56
SERVICES OFFERED:
Rage ‘n Release provides a controlled and supervised
environment for individuals or groups to release their
anger and frustration in a safe and fun way. Whether
it's breaking objects, throwing things, or expressing
oneself on the freedom wall, these rooms aim to promote
stress relief, emotional well-being, and a sense of
empowerment by providing an unconventional outlet for
negative emotions.
1. Breaking Room
The breaking room is designed to provide an outlet
for pent-up frustration and anger. It typically features
a controlled environment filled with various breakable
items such as glass bottles, plates, mugs and
electronics. Participants are equipped with protective
gear like helmets and goggles and are encouraged to
release their stress by smashing and destroying these
items using tools like baseball bats or hammers. The
room's purpose is to allow individuals to channel their
aggression in a safe and controlled manner.

Technical Aspect 57
2. Throwing Room
The throwing room is another type of rage room where
participants can vent their anger by hurling objects
against designated targets or walls. This room usually
contains a variety of throwable items such as plates,
cups, bottles or even small appliances. Participants can
indulge in the satisfying act of throwing these objects
as hard as they can, watching them shatter and scatter
across the room. Similar to the breaking room, safety
gear is provided to ensure the well-being of participants
during the session.
3. Package Room with Freedom Wall
In a group setting, a package room offers a unique
rage room experience. Participants are given packages or
boxes containing various items, such as dishes, bottles,
or electronics, which they can throw, smash, or break
within the confines of the room. Additionally, the
package room often includes a freedom wall, which allows
individuals to unleash their creativity by drawing, or
expressing their emotions freely using colorful materials
like markers. This combination of destruction and
creative expression offers a cathartic experience for
participants.
Technical Aspect 58
RAGE ROOM RULES AND REGULATIONS:
Clients must be 18 years of age and must sign the safety
waiver
1. Attire and Safety Equipment
Participants are expected to arrive wearing attire
fit for physical exercise including long-sleeve shirts,
long pants, and closed-toe shoes. Other safety equipment
the rage room can also provide includes:
Safety Glasses
Protective Safety Work Gloves
Hard Hat
Ear Protection
Dust Mask
2. Liability Waiver
Before entering, each participant is required to
sign a liability waiver. Minors (below 18) will not be
allowed.
Technical Aspect 59
Figure 9 – Liability Waiver
3. General Safety
Safety is a personal responsibility. Always follow
the proper procedures and be mindful of your
surroundings. Injuries in a rage room occur when
participants fail to take precautions and break the
rules. Guns and dangerous weapons are not allowed inside
the rage rooms.

Technical Aspect 60
4. Wearing of Safety Gears
All protective gear (including gloves and face
shields) is required to be worn while in the room.
Anyone who removes the gear at any point will be asked to
leave the room until the gear has been inspected and
deemed usable. If you need to remove a client from the
room on several occasions, it is advisable to ask them to
leave and there will be no refunds.
5. Alcohol
Alcohol is not allowed, and do not show up under the
influence of any substance.
6. Mobile Devices
No mobile devices are allowed in the room. Clients
can choose to pay extra for photography and video
coverage services. They will also be allowed to connect
their devices to the Bluetooth speaker and enjoy their
preferred music.
7. Replacement of Damaged Equipment
No breaking of the lamps, cameras, table, Bluetooth
speaker, or crate(s) is permitted. These items are
expensive to replace and complex to repair. Any
intentional or unintentional damage to the rage room's
walls, ceiling, door, storage, etc. will be compensated
for.
Technical Aspect 61
8. Cancellation policy
Clients must cancel at least 24 hours in advance of
their appointment in order to get a full refund. They
can cancel online or by calling the company's hotline.
9. Restrictions
A maximum of 4 people (others based on package) may
be permitted in the rage room at any given time. The
group's remaining members can wait outside the room while
rotating in at intervals.
10. Supervisions
The rage rooms will be constantly monitored by CCTV.
Before the session even begins, a supervisor will provide
instructions to the clients. As the ultimate authority,
they must always be obeyed and respected. Anyone who
doesn't follow their instructions will be asked to leave.
FOR YOUR SAFETY, DO NOT ENTER RAGE ROOM:
1. IF YOU HAVE A HEART CONDITION OR PREGNANT OR THINK YOU
ARE PREGNANT
2. IF YOU ARE NOT PHYSICALLY ABLE TO PARTICIPATE IN
ACTIVITIES
Technical Aspect 62
SAFETY AND SECURITY (Fire Exit)
Safety and security are paramount in rage rooms to
ensure the well-being of participants and staff.
1. Fire Exits: Clearly designated fire exits that abide
by local safety rules shall be provided in rage rooms.
In the event of an emergency, these exits are
strategically located and easily accessible to ensure a
speedy and safe evacuation.
A. Fire Safety: To reduce fire risks, rage rooms will
be furnished with fire extinguishers, smoke
detectors, and sprinkler systems. Additionally, it
entails doing periodic inspections for fire safety
and, when possible, making sure the room was built
with fire-resistant materials.
B. Protective Gear: Participants are provided with
appropriate protective gear to ensure their safety
during the rage room sessions. This typically
includes helmets, goggles, gloves, and sometimes
even coveralls or protective clothing. These items
help protect participants from potential injuries
caused by flying debris or shattered objects.

Technical Aspect 63
C. Safety Briefings and Supervision: Prior to entering
the rage room, participants receive safety briefings
that outline the rules, guidelines, and proper
handling of equipment. Trained staff members will
present at all times to supervise the sessions,
ensuring that participants follow safety protocols
and providing assistance if needed. They can step
in to prevent any unsafe behavior and maintain a
secure environment.
D. Controlled Environment: Rage rooms are constructed
with sturdy materials and reinforced structures to
contain the activities within the designated area.
The room's design minimizes the risk of damage to
surrounding structures and ensures that the impact
of thrown or smashed objects remains contained.
Safety barriers or protective screens may also be in
place to provide an extra layer of protection.
VENTILATION
Since rage rooms involve activities that can
generate dust, debris, or airborne particles, proper
ventilation systems are installed. These systems help
maintain good air quality within the room by continuously
circulating fresh air and removing any potential fumes or
contaminants. Adequate ventilation ensures a safe and
comfortable environment for participants and staff.

Technical Aspect 64
1. Exhaust Fans
Exhaust fans in rage rooms are essential ventilation
systems, ensuring a safe and comfortable environment for
participants. As individuals release their frustrations
and engage in vigorous activities within these dedicated
spaces, the accumulation of dust, debris, and potentially
harmful airborne particles can occur. Exhaust fans
efficiently extract these contaminants from the room,
maintaining air quality and reducing the risk of
respiratory issues. By continuously circulating and
refreshing the air, these fans create a well-ventilated
atmosphere that promotes a healthier and more enjoyable
experience for users. Additionally, exhaust fans aid in
regulating temperature and humidity levels, preventing
excessive heat buildup and maintaining a comfortable
environment. With their powerful airflow and efficient
extraction capabilities, exhaust fans provide an
indispensable element to ensure the safety, comfort, and
overall satisfaction of participants in rage rooms.

Technical Aspect 65
SERVICE PROCESS
Figure 10- Service process of the Business
Step 1: Customers can choose whether to have an online
appointment thru Facebook page or just walk in at the
shop.
Step 2: Upon entering, a receptionist will welcome them
and a form will be given to help them choose what
packages they will avail of. They can avail the throwing
rage room, smashing rage room, or the all-in-one rage
room.
Step 3: After choosing, the attendant will instruct the
customers on safety guidelines to avoid injury and will
be guided to their designated activity room.
Step 4: Customers will be wearing their protective gear
for safety measures.

Technical Aspect 66
Step 5: The customers will now experience the activity
that they have chosen.
Step 6: After the session, if they wish to talk to
someone, they should now go to the clinic room, a
guidance counselor will be guiding them.
Step 7: The customer will return to the front desk to
make a payment if there is an additional charge and to
write feedback about the service that they have
experienced.
LOCATION
Figure 11- Bird’s eye view of location

Technical Aspect 67
BUSINESS/PLANT LAYOUT
Figure 12 – Business Layout

Technical Aspect 68
Figure 13 – Business floor plan

Technical Aspect 69
Figure 14 – Business space
BUSINESS SIZE AND CAPACITY
The plant size refers to the total dimensional area
of the company. The company is divided into 11 areas.
Customer capacity in a day.
1. Throwing room
3 sessions per hour (up to 2 people)
6 customers x 8 hrs = 48 total customers in a day

Technical Aspect 70
2. Smash room
3 sessions per hour (up to 1 person)
3. Package Room
2 sessions per hour (up to 5 people)
TOTAL CAPACITY = 152 CUSTOMERS IN A DAY

Technical Aspect 71
Table 20. Plant size
Area Length Width
Reception/Front 4m 10.5m
Desk
Throwing rage room 4m 4m
Smashing rage room 4m 4m
Clinic 3m 4m
Employee’s lounge 2.75m 4m
Pantry 2m 2m
Toilet 2m 2m
All in one rage 9m 4m

room
Storeroom 2.65m 4m
Changing room 3m 2m
Restroom 3m 2m
Total 39.4 meters 42.5 meters
Lease Expense
A lease is a negotiated contract between the owner
(lessor) of the property allowing the firm (the lessee)

Technical Aspect 72
the use of that property for a specific period of time
for a specific rental. The lessee is the party that uses,
rather than the one who owns, the leased property.
The space that the business will occupy is 218.925m2
wide on the ground floor of Albergo Hotel. There is a one-
month advance and deposit to secure the said rental space
which will be paid at once.
Table 21. Lease expense of the business
Pre-operational Lease Cost

Expense
1-month advance Php 40,000
1-month deposit Php 40,000
Total Php 80,000
Monthly rent Expense Php 40,000
ORGANIZATIONAL COSTING
Organization costs are the expenses incurred by a
company as a result of planning, coordinating, and
overseeing its resources.
Table 22. Construction Materials
The Table below shows the necessary repairs needed to
renovate the Rage room.

Technical Aspect 73
Particulars Source Quantity Price Total
1.Plastering
Cement Camp 7 Lumber 50 bags Php Php

and 260.00 13,000.00
Construction
Supply
Gravel Camp 7 Lumber 2 loads Php Php

and 1,500.00 3,000.00
Construction
Supply
Sand Camp 7 Lumber 2 loads Php Php 3,600

and 1,200.00
Construction
Supply
2.Sound Proofing
Sound proof Camp 7 Lumber 8,000 Php 28.00 Php

wall and pcs 22,400.00
Construction
Supply
3.Utilities
Technical Aspect 74
Electrical Camp 7 Lumber 10 pcs Php Php

pipe and 250.00 2,500.00
Construction
Supply
PVC pipe Camp 7 Lumber 15 pcs Php Php

and 650.00 9,750.00
Construction
Supply
4.Paint
Boysen TG homes 5 Php Php

permacoat gallons 280.00 1,400.00
5.Window
Repair
Glass window Magnificent 8 m2 Php Php

Hardware 690.00 5,520.00
Window Frame Magnificent 10 Php Php

Hardware 1,350.00 13,500.00
Total Php 74,670.00
Labor
Technical Aspect 75
The building improvement or renovation will be
needing 4 labor forces preferably knowledgeable in
carpentry, masonry, and painting.
Wall plastering
Due to the service that we will provide being very
physical it is recommended that the walls where the rage
room will take place be covered with a thick cement
plaster to avoid destroying the original wall.
Sound proofing
The main idea of the business is creating a safe
space for the clients and making them comfortable sound
proofing is necessary.
Utilities
To be able to provide quality service utilities are
necessary such as water and electrical lighting which
will be installed in every room.
Paint
To create a more appealing brand painting will also
be necessary to attract clients and create a clean and
healthy environment.
Technical Aspect 76
Window repairs
Because the proposed space to be rented is a bodega
or warehouse type of space additional windows will be
placed to keep the space cross ventilated.
Table 23. Furniture
Particulars Source Q Price Total
1. Front Desk and Clinic
Office Table Shoppee 1 Php 1,399.00 Php 1,399.00
Office Chairs Shoppee 2 Php 400.00 Php 800.00
Filing Cabinet Shoppee 2 Php 1,548.00 Php 3,096.00
Arm Chair Shoppee 2 Php 400.00 Php 800.00
2. Employee’s Lounge and waiting area
Sofa Mandaue 4 Php 3,500.00 Php 14,000.00

Foam
Home
Store
Wooden Center Mandaue 1 Php 700.00 Php 700.00

Table Foam
Home
Store
Glass Center Mandaue 1 Php 1,635.00 Php 1,635.00

Table Foam
Home
Store
Arm Chairs Shoppee 2 Php 400.00 Php 400.00
Locker Shoppee 1 Php 1,000.00 Php 1,000.00
3. Storage Room
Heavy Duty Shoppee 2 Php 600.00 Php 1,200.00

Metal Rack
Total Php 25,430.00

Technical Aspect 77
Table 24. Equipment
Particulars Source Q Price Total
1. Office Area and Waiting Area
Fire Shoppee 1 Php 800.00 Php 800.00

Extinguisher
Cash Drawer Shoppee 1 Php 1,000.00 Php 1,000.00
Computer Set Shoppee 1 Php Php 10,000.00

10,000.00
Modern Shoppee 2 Php 1,000.00 Php 2,000.00

Chandelier
Light
Electric CW 4 Php 140.00 Php 560.00

Socket Hardware
Electric CW 2 Php 699.00 Php 1,398.00

Extensions Hardware
CCTV CW 2 Php 487.00 Php 974.00

Hardware
Air condition Shoppee 1 Php 3,049.00 Php 3,049.00
Smoke Detector CW 1 Php 105.00 Php 105.00

Hardware
Fire Sprinkler CW 2 Php 57.00 Php 114.00

Hardware
2. Clinic and Employee Lounge
Fire Shoppee 2 Php 800.00 Php 1,600.00

Extinguisher
LED Ceiling CW 2 Php 200.00 Php 400.00

Light Hardware
Electric CW 2 Php 140.00 Php 280.00

Socket Hardware
CCTV CW 2 Php 487.00 Php 974.00

Hardware
Smoke Detector CW 2 Php 105.00 Php 210.00

Hardware

Hardware
Technical Aspect 78
3. Storage Room
LED Tube Light CW 2 Php 169.00 Php 338.00

Hardware
CCTV CW 1 Php 487.00 Php 487.00

Hardware
4. Changing Room
Long Mirror Ace 1 Php 649.00 Php 649.00

Hardware

Hardware
5. Restrooms and Pantry
Ceiling Light CW 3 Php 200.00 Php 600.00

Hardware
Sink CW 2 Php 520.00 Php 1,040.00

Hardware
Toilet CW 2 Php 1,350.00 Php 2,700.00

Hardware
Water CW 1 Php 359.00 Php 359.00

Dispenser Hardware

Hardware
6. Rage Rooms
Fire Shoppee 3 Php 800.00 Php 2,400.00

Extinguisher

Hardware
LED Strip CW 3 Php 280.00 Php 840.00

Light Hardware
Sound System Shoppee 3 Php 799.00 Php 2,397.00
CCTV CW 3 Php 487.00 Php 1,461.00

Hardware
Exhaust fan CW 3 Php 975.00 Php 2,925.00

Hardware
Smoke Detector CW 3 Php 400.00 Php 1,200.00

Hardware

Hardware
Technical Aspect 79
7. Corridors
CCTV CW 2 Php 487.00 Php 974.00

Hardware

Hardware

Hardware
Total Php 43,701.00
Table 25. Professional Expenses
Particulars Labor Cost
Contractor Php 20,000.00
Electrician Php 5,500.00
Plumber Php 5,000.00
Carpenter Php 5,000.00
Mason Php 5,000.00
Fire safety inspector Php 200.00
Sanitary inspector Php 500.00
Total Php 41,200.00

Technical Aspect 80
Table 26. Summary of Construction Costs
Particulars Total Cost
Furnitures Php 25,430.00
Fixture and Others Php 43,701.00
Cost of Costruction Php 74,670.00

Materials
Proffessional Fees Php 41,200.00
Total Construction Cost Php 185,001.00
Table 27. Office Supplies
Particulars Quantity Price/unit Total (Php)

(Php)
Ballpen 1 box Php 65.00 Php 65.00
Coupon bond 5 rims Php 200.00 Php 1,000.00
Marker 1 box Php 249.00 Php 249.00
Record Book 5 Php 340.00 Php 1,700.00
Tape 3 rolls Php 90.00 Php 240.00
Total Php 3,254.00
Operational Supplies
Technical Aspect 81
Restocking and reordering organizational supplies
must be done twice a month, on the 15th and 30th, to
guarantee that enough stock is available to meet consumer
demands. By adhering to this guideline, a 15% safety
stock is always available in the event of exceptional
interruptions in stock delivery or delays.
Table 28. Operational Supplies
Items Quantity Reorder point Price/unit Total

and safety
stock
Breakable 1000 700/300 2 Php 2,000.00

Bottles
Mugs 1000 700/300 2 Php 2,000.00
Plates/saucers 1000 700/300 2 Php 2,000.00
Breakable 30 21/9 50 Php 1,500.00

Tables
Breakable 30 21/9 50 Php 1,500.00

Chairs
Broken 10 7/3 100 Php 1,000.00

Electronics
Dust Mask 150 105/45 20 Php 3,000.00
Disposable Ear 100 pairs 70/30 .50 Php 100.00

covers
Safety Glasses 100 70/30 15 Php 1,500.00
Gloves 100 pairs 70/30 18 Php 1,800.00
Hard hat 50 35/15 67 Php 3,350.00
Total Php 19,750.00
Table 29. Cleaning tools
Particular Quantity Price
Dust Pan 3 Php 357.00

Technical Aspect 82
Garbage Bin 3 Php 1,800.00
Garbage Cart 1 Php 1,350.00
Mop 3 Php 900.00
Stick Broom 3 Php 150.00
Soft Broom 3 Php 240.00
Vacuum 2 Php 3,800.00
Total Php 8,597.00
Table 30. Cleaning supplies
Garbage Bag 100 Php 449.00
Hand Sanitizer 1 Gallon Php 172.00
Tissue 3 Bags Php 276.00
Total Php 894.00
Table 31. Miscellaneous Fee
Jeepney fare 30 Php 420.00

Technical Aspect 83
Xerox Photocopy 55 Php 110.00
Meals 19 Php 1,520.00
Total Php 2,050.00
Utilities Computation
According to Brown (2022), A business utilities
expense is a cost a business pays for using the
infrastructure provided by public utility companies, they
can include electricity, natural gas, water, sewage, and
telephone services. The utilities expense is based on the
amount used during an accounting period and is included
as part of operating expenses in the income statement of
the business.
The source of business electricity will be the
Benguet Electric Cooperative, Inc. The monthly
consumption of the proposed business is shown below.
Table 32. Energy Consumption
Particulars Q Watts Hourly Days of

used Operation
1. Light 19 50 10 30
Technical Aspect 84
2. Sound 3 100 10 30
system
3. Computer 1 200 10 30
Unit
4. Exhaust fan 3 50 10 30
5. Air 1 1440 10 30
Condition
6. CCTV 10 10 10 30
Table 33. Utilities Expense
Particulars Monthly Cost Annual Cost
Electricity Php 5,000.00 Php 60,000.00
Internet Php 2,000.00 Php 24,000.00
Water Php 1,882.00 Php 22,584.00
Total Php 106,584.00
WASTE DISPOSAL MANAGEMENT
Because the rage room will be providing breakable
items to the clients it is important that the items that
the client broke during their session will be disposed
properly. Glass is one of the main items the client will
be breaking so a proper disposal system is necessary. All
broken glass will be collected and will be sold to MRF
stations near Baguio City.
Table 34. Summary of Cost (Technical aspect)
Particulars Annual Cost

Technical Aspect 85
Rent expense Php 540,000.00
Cost of construction Php 74,670.00

materials
Fixtures and Others Php 43,701.00
Professional Fee Php 41,200.00
Furnitures Php 25,430.00
TOTAL Php 725,001.00
Office Supplies Php 3,254.00
Operational Supplies Php 19,750.00
Cleaning Supplies Php 9,494.00
Permits and Licenses Php 4,330.00
TOTAL Php 36,828.00
Electricity Php 60,000.00
Internet Php 24,000.00
Water Php 22,584.00
TOTAL Php 106,584.00
Total Summary Cost Php 868,413.00

Financial Aspect 86
Financial Aspect
Introduction
Finance is the backbone of every company and plays a
crucial part in ensuring that businesses will strive and
continue to grow in the competitive business world.
Moreover, finance also heavily impacts decision making
and risk management within the company which requires
business owners to learn the least basic finance
principles to ensure that the company can still cover
their expenses and also create profit. In order for Rage
‘n Release to achieve company goals of improving the
mental health stability in Baguio City, the financial
aspect is essential and would play a vital role in the
business. This would benefit the business in being able
to manage cash flows while keeping long-term goals which
would help the business accomplish success. Rage ‘n
Release would also be able to monitor and analyze the
company’s progress, meet daily expenses, financially plan
for the company’s future, and conduct investments.

Financial Aspect 87
MAJOR FINANCIAL ASSUMPTIONS
This assumption is taken into account while making
projections for the future business’ financial aspect.
For the construction of the projected financial
statements, Rage ‘n Release will consider the following
assumptions and projections. All of the assumptions are
in line with the company’s policies.
1. All estimated amounts reflected in the projected
financial statement shall be denominated in Philippine
Peso (₱) and are rounded off to the nearest centavo.
2. In the Projected Statement of Comprehensive Income,
the revenue and expenses are based on the following:
A. Service revenue
a. The projected sales are based on the normal
capacity of operations of the business. The increase
in revenue is based on the inflation rate of 6.1%.
B. Cost of services
a. All purchases will be on a cash basis unless
company policy or partner’s discretion will permit a
purchase on account.
Financial Aspect 88
C. Operating Expenses
1. In computing depreciation expense, a straight-line
method will be used in computing the depreciation costs
of the business’ furniture and fixtures, office equipment
and property, and plant and equipment. The useful life of
the furniture and fixture is 5 years.
2. Pre- organizational cost is the summation of all
permits and requirements fees needed in the initial
establishment of the business.
3. All of the utility expenses shall be treated as period
expenses because it is intangible and therefore not part
of inventory.
4. Employee Benefits such as SSS, Phil Health, and Pag-
IBIG expenses are the employer’s share in the respective
funds.
5. 13th Month Pay is equivalent to the one-month salary
of the employee.
6. Taxes and Licenses Fees include payments for tax
filing and business permit requirements and renewal fees.
7. All of the supplies shall be expensed all throughout
the year.
Financial Aspect 89
8. The income tax expense would be 30% of the
partnership's net income. Income taxes will be made every
30 days after each quarter of the calendar year when the
final adjusted income tax return is due to be filled as
prescribed by the BIR.
9. Repair and Maintenance for Rage ‘n Release be 3% of
the office equipment and production equipment.
10. Rage ‘n Release company will take the form of a
general partnership and commence its business on January
2, 2024 under the calendar year with the following
partners:
Table 35. Partnerships
Baloca, Albert Managing Partner
Boragay, Mark Jenver General Partner
Guinapon, Tana General Partner
Tambalque, Charles Aldwin General Partner
Thapa, Sushmina General Partner
Valdoboyd, Malkijah Dacsig General Partner

Financial Aspect 90
Table 36. Yearly revenue
2024 2025 2026 2027 2028
14,273 15,143 16,067 17,04 18,087
,064 ,721 ,488 7,605 ,509
11. Tools are subject to an inflation rate of 6.1% since
supplies usually have fluctuating inflation rates, and
utilities and salaries do not have any basis for their
inflation rates.
12. Of the supplies available for use 98% are used.
Therefore, 2% are unused at the end of the year.
13. Assets include cash and cash equivalents, prepaid
rent, supplies, security deposit, and PPE (property,
plant, and equipment). On the other hand, liabilities
include accrued expenses. Equity includes the invested
capital of the partners.
14. The contingency fund is Php 47,619, which is 5% of
the total start-up costs for three months, annually.
15. Of the total cash and cash equivalents and
contingency funds, 80% is deposited in a bank earning an

Financial Aspect 91
interest of 1.125% annually. The remaining 20% is left as
cash on hand.
16. Supplies will be kept minimal and will only be
purchased when needed - JIT (just in time) inventory
management method.
17. Releasing or the use of supplies is under the FIFO
(first in, first out) method.
18. The entity paid advance rent and security deposit to
the lessor amounting to Php 40,000 each, equal to one-
month rent. The balance of the security deposit, if any,
shall be refunded upon termination of the contract unless
renewed.
19. Equipment, furniture & fixtures, tools, and supplies
are all purchased in cash.
20. The useful lives of each classification of fixed
asset are the following: all equipment - five (5) years,
furniture & fixtures - seven (7) years. Tools are
expensed outright.
21. Straight line method will be used to depreciate fixed
assets.
22. All partners will share the net income after salaries
equally.
Financial Aspect 92
23. Available drawings will be Php 15,000 monthly (Php
2,500 per partner), starting the first month of the
second year of operations increasing by 10% annually
(rounded to the nearest hundredths).
24. Drawings should only be for personal use of the
individual partners, the equity/capital balance should
not be below the initial capital invested, and the amount
withdrawn should not exceed the net income.
25.Permits and licenses will be paid in cash annually
(except for one-time registration payment) and will
remain constant.
26. For its business tax, the entity opted to be taxed
under the percentage tax for the years ended December 31,
2024 and 2025. However, the revenue of the Company
exceeded the threshold of ₱3,000,000 for the years ended
December 31, 2026, 2027 and 2028, which automatically
required it to be taxed under the Value-Added Tax (VAT).
27. Tax is in accordance with the CREATE and TRAIN Law.
In the Statement of Financial Position, the following are
the bases of projection:
A. Current Asset
a. Cash is based on the Statement of Cash Flow

Financial Aspect 93
b. The inventory is composed of raw materials only.
B. Non-Current Asset
a. The net amounts of the non-current assets will be
presented in the statement of financial position.
b. All equipment will be depreciated according to
their respective useful lives using the Straight-
Line Method.
C. Current Liabilities
a. The accrued liabilities account is composed of
the premiums payable to SSS and Phil health.
b. Income and other taxes payables on the other then
remitted to the government the subsequent year.
D. Owners’ Equity
a. The financial source of the business will be from
the total contributed capital of ₱1,500,000.00 from
the five partners. Their initial contributions shall
be equally distributed.
Financial Aspect 94
CAPITAL CONTRIBUTION/SOURCES OF FINANCING
A. Source of Fund The partners agreed to contribute an
equal sharing of capital in the total amount of
1,200.000.00 pesos. The partners shall invest Php
200,000 each in the form of cash and personal loans.
Indicated below are the names of the partners, their
respective contributions, and the number of shares
owned.
B. Based on the computed start-up costs, the needed
capital investment from the partners is Php 1,000,000.
All partners, except for the managing partner, will
invest Php 175,000 each to the partnership. The
managing partner on the other hand will invest his
knowledge and skills in managing the partnership and
an investment amounting to Php 125,000 the said
capital contributions/investments will come from the
savings of the partners.

Financial Aspect 95
Table 37. Capital Contributions
Partners Amount of Investment
Baloca, Albert ₱200,000.00
Boragay, Mark Jenver ₱200,000.00
Guinapon, Tana ₱200,000.00
Tambalque, Charles ₱200,000.00

Aldwin
Thapa, Sushmina ₱200,000.00
Valdoboyd, Malkijah ₱200,000.00
Total ₱1,200,000.00
Financial Aspect 96
Table 38. Start-up cost
START-UP COSTS (Three months)
A. Pre-Operating Expenses
Lease
Prepaid rent 40,000
Security deposit 40,000
Rent expense 120,000 200,000
Notarial and registration fees

Company Name Reservation 120
Articles of Partnership 2,000
DTI Business Registration 500
DTI Documentary Stamp Tax 30
BIR Business Registration 500
BIR Documentary Stamp Tax 30 3,180
Construction materials 74,670

Professional fees 41,200
Advertising and Promotion Expenses 1,500
320,550
B. Project Costs
Operational supplies 19,750

Office supplies 3,254
Cleaning supplies 897
Cleaning tools 8,597
Equipment 43,701
Furniture and fixtures 25,430
Labor costs
Operations manager 63,000
Life coach 54,000
Medical aid 54,000
Cashier 36,000
Housekeeper 36,000
Security guard 40,500
Contributions 0 283,500
Utilities
Electricity 15,000
Water 5,646
Internet 6,000 26,646
Miscellaneous 2,050
Permits and licenses

Business Permit 2,000
Fire Safety Inspection Certificate 500
Occupancy Permit 2,000
Sanitary Permit 300
Financial Aspect 97
Garbage Permit 260

Plumbing Inspection Fee 250
Electrical Inspection Fee 250
Community Tax Certificate 1,000
Locational Clearance 575
Building Permit 400
Barangay Business Clearance 900
Notary Fee 300 8,735
Professional fees 40,000

Repairs and maintenance 2,074
Rent expense 120,000
584,633
Total 905,183
Contingencies 45,259
TOTAL PRE-OPERATING EXPENSES & PROJECT COSTS 950,443
BBG & COMPANY, PARTNERSHIP
Statement of Financial Performance
For the Years Ended December 31, 2024-2028
202 202
Note 2024 2025 2026
7 8
14,179,7 14,179,7 14,179,7 14,179,7 14,179,7
Revenue 7
76 76 76 76 76
Less: Cost of Service 8
Operational supplies used 79,000 86,900 95,590 105,149 115,664
Employee Salary 2,430,000 2,430,000 2,430,000 2,430,000 2,430,000

th
13 Month Paty 202,500 202,500 202,500 202,500 202,500
Contribution of life coach 335,100 335,100 335,100 335,100 335,100

Tot
3,046,600 3,054,500 3,063,190 3,072,749 3,083,264
al
11,133, 11,125, 11,116, 11,107, 11,096,
Gross Profit 176 276 586 027 512
Add: Interest Income
Cash in bank, beg balance 3,982,834 7,695,415 11,293,983 14,442,589
Interest rate 1.1250% 1.1250% 1.1250% 1.1250% 1.1250%

Tot 7 - 44,807 89,611 127,057 162,479
al
Total Income 11,133,176 11,170,083 11,206,197 11,234,084 11,258,991
Less: Operating expenses 8
Legal Expense 11,915 8,735 8,735 8,735 8,735
Construction cost 1,850,001 - - - -
Professional Fees 201,001 - - - -

Advertising & Promotion Expense 6,000 6,000 6,000 6,000 6,000
Cleaning Tools 8,597 9,121 9,678 10,268 10,895
Salaries Expense 2,430,000 2,430,000 2,430,000 2,430,000 2,430,000
Contributions 335,100 335,100 335,100 335,100 335,100
Utilities Expense 106,584 106,584 106,584 106,584 106,584
Office Supplies Expense 12,756 12,756 12,756 12,756 12,756

Cleaning Supplies Expense 3,516 3,516 3,516 3,516 3,516
Depreciation Expense 12,373 12,373 12,373 12,373 12,373
Miscellaneous Expense 8,198 8,198 8,198 8,198 8,198

Financial Aspect 98
Repairs and Maintenance 2,074 2,074 2,074 2,074 2,074
Rent Expense 480,000 480,000 480,000 480,000 480,000
Business Tax 425,393 425,393 425,393 425,393 425,393
Total 5,893,707 3,840,273 5,117,404 5,118,428 5,119,531
Taxable Income 5,239,469 7,329,810 6,088,793 6,115,656 6,139,460
Income Tax 1,511,091 2,138,193 1,765,888 1,773,947 1,781,088
NET INCOME 3,728,378 5,191,617 4,322,905 4,341,709 4,358,372
Table 39.PRE-OPERATING STATEMENT OF FINANCIAL PERFORMANCE
Table 40. Pre-Operating Statement of Financial Position

Statement of Financial Position
As of December 31, 2024-2028
Note 2024 2025 2026 2027 2028

Current Assets:
5,182 10,303 14,608 18,688 22,764
Cash and Cash Equivalents 1
,789 ,860 ,305 ,703 ,640
40 40 40 40 40
Prepaid Rent 2
,000 ,000 ,000 ,000 ,000
Supplies 3
332 372 409 449 495
5,223 10,344 14,648 18,729 22,805
,121 ,232 ,713 ,152 ,136
Non-Current Assets:
40 40 40 40 40
Security Deposit 4
,000 ,000 ,000 ,000 ,000
Property, Plant, and 56 44 32 19 7
5
Equipment, net ,758 ,385 ,012 ,639 ,266
96 84 72 59 47
,758 ,385 ,012 ,639 ,266
5,319 10,428 14,720 18,788 22,852
TOTAL ASSETS
,879 ,617 ,725 ,791 ,401
Current
Liabilities:
701 858 1,084 1,086 1,088
Accrued Expenses 6
,808 ,690 ,755 ,867 ,750
701 858 1,084 1,086 1,088
Total Liabilities
,808 ,690 ,755 ,867 ,750
4,618 9,569 13,635 17,701 21,763
Total Capital
,071 ,927 ,970 ,924 ,652
TOTAL LIABILITIES & 5,319 10,428 14,720 18,788 22,852
CAPITAL ,879 ,617 ,725 ,791 ,401
Financial Aspect 99
Table 41. Pre-Operating Statement of Cash Flow

Statement of Cash Flows
Note 2024 2025 2026 2027 2028

CASH FLOWS FROM OPERATING
ACTIVITIES
Net 3,66 5,13 4,26 4,28 4,30
income 7,628 1,856 4,044 3,754 1,328
Adjustments
for:
1 1 1 1 1
Depreciation 5
2,373 2,373 2,373 2,373 2,373
Interest (4 (9 (13 (16
7
income - 6,219) 2,309) 1,049) 7,773)
Operating income before changes in operating assets
and liabilities
Changes in operating assets and liabilities
Decrease (increase) in:
(4
Prepaid Rent 2
0,000) - - - -
Supplie
3
s (332) (40) (37) (40) (46)
(4
Security Deposit 4
0,000) - - - -
Increase (decrease) in:
70 15 22
Accrued Expenses 6
1,808 6,882 6,065 2,112 1,883
4,30 5,25 4,41 4,16 4,14
Cash generated from operations
1,478 4,851 0,136 7,149 7,765
Interest income 4 9 13 16
received - 6,219 2,309 1,049 7,773
Net cash generated from operating 4,30 5,30 4,50 4,29 4,31
activities 1,478 1,071 2,445 8,198 5,537
CASH FLOWS FROM INVESTING

ACTIVITIES
Purchases of fixed 6
5
assets 9,131 - - - -
(6
Net cash used in investing activities
9,131) - - - -
CASH FLOWS USED IN FINANCING

ACTIVITY
Financial Aspect 100
Partners' 95
Contribution 0,443 - - - -
Withdra 18 19 21 23
wal - 0,000 8,000 7,800 9,600
Net cash generated from/(used in) 95 (18 (19 (21 (23
financing activities 0,443 0,000) 8,000) 7,800) 9,600)
NET INCREASE/(DECREASE) IN CASH AND CASH 5,18 5,12 4,30 4,08 4,07
EQUIVALENTS 2,789 1,071 4,445 0,398 5,937
CASH AND CASH EQUIVALENTS
Beginning 5,18 10,30 14,60 18,68
Balance - 2,789 3,860 8,305 8,703
Ending 5,18 10,30 14,60 18,68 22,76
Balance 2,789 3,860 8,305 8,703 4,640

Statements of Changes in Equity
2024 2025 2026 2027 2028

Partners' Capital, Beginning
Balance - 4,618,071 9,569,927 13,635,970 17,701,924
Ad
Partners' Contribution
d: 950,443 - - - -
Net
Income 3,667,628 5,131,856 4,264,044 4,283,754 4,301,328
Les Drawing
s: s - 180,000 198,000 217,800 239,600
Partners' Capital, Ending
Balance 4,618,071 9,569,927 13,635,970 17,701,924 21,763,652
Table 42. PROJECTED STATEMENT OF CHANGES IN OWNER'S
EQUITY
SIGNIFICANT ACCOUNTING POLICIES
A. Basis of Accounting
The Company’s financial statements are presented on the
accrual basis of accounting in conformity with the
financial reporting standards established in the
Philippines (“PFRS”). Accordingly, revenues are

recognized when earned, and expenses are recognized
when the obligation is incurred.
B. Cash and Cash Equivalents.
Cash and cash equivalents consist of monies on deposit
at financial institutions and other highly liquid
investments with maturities of three months or less.
At times, the Company places deposits with banks and
other high-quality financial institutions. The Company
has not experienced any financial loss related to such
deposits.
C. Supplies
Supplies are recorded at the lower of cost (average
cost) and net realizable (market) value.
D. Prepaid Rent and Security Deposit.
In compliance with the contract of lease, the Company
was required to pay an advance rent and security
deposit equivalent to one-month rent each. The pre-
payment and security deposit are recorded at the cost
basis of accounting. The lease was classified as an
operating lease and no transfer of ownership is to be
expected on the termination of the contract.
E. Property, Plant, and Equipment.
Property, plant, and equipment are stated at cost.
Property, plant, and equipment are capitalized if the

life is expected to be greater than one year.
Depreciation expense is calculated by the straight-line
method and is based on estimated useful lives of five
years for all equipment, and seven years for furniture
and fixtures. Depreciation expenses totaled ₱12,373
for the years ended December 31, 2024, 2025, 2026,
2027, and 2028.
F. Revenue Recognition.
Revenue from the sale of services is recognized when
the Company has delivered the services to the customer,
the customer has accepted the services and
collectability of the related receivables is reasonably
assured.
G. Estimates
The preparation of financial statements in conformity
with PFRS requires management to make estimates and
assumptions that affect reported amounts of assets and
liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during
the reporting period. Accordingly, actual results
could differ from those estimates.
PREPAID RENT
The advance payment to the lessor is equal to one-month
rent payment amounting to ₱40,000 as of December 31,
2024, 2025, 2026, 2027, and 2028, respectively.
SUPPLIES
Table 43. Supplies
2024 2025 2026 2027 2028

₱ ₱ ₱ ₱ ₱
Operational supplies
1,580 1,770 1,947 2,142 2,356
Office supplies 260 292 321 353 388
Cleaning supplies 72 80 88 97 107
₱ ₱ ₱ ₱ ₱
1,912 2,142 2,356 2,592 2,851
SECURITY DEPOSIT
The amount deposited to the lessor as a form of security
is equal to one-month rent payment amounting to ₱40,000
as of December 31, 2024, 2025, 2026, 2027, and 2028,
respectively.
Property and equipment consist of the following at
December 31:
Table 44. Property and Equipment
2024 2025 2026 2027 2028

₱ ₱ ₱ ₱ ₱
Office equipment
43,701 43,701 43,701 43,701 43,701
Furniture and fixtures 25,430 25,430 25,430 25,430 25,430
₱ ₱ ₱ ₱ ₱
69,131 69,131 69,131 69,131 69,131
Less: Accumulated
(12,373) (24,746) (37,119) (49,492) (61,865)
depreciation
₱ ₱ ₱ ₱ ₱
56,758 44,385 32,012 19,639 7,266
Useful life = 5years

Salvage value is 10%
Accrued expenses consist of the following at December 31:
Table 45. ACCRUED EXPENSES
2024 2025 2026 2027 2028

₱ ₱ ₱ ₱ ₱
Utilities Payable
8,882 9,770 10,747 11,822 13,004
Salaries Payable 47,250 51,975 57,173 62,890 69,179
Contributions Payable 7,866 8,530 9,170 9,764 10,221
Income Tax Payable 3,782 19,800 30,633 39,289 49,146
Business Tax Payable 18,891 20,780 102,403 112,644 123,908
₱ ₱ ₱ ₱ ₱
77,789 101,085 199,379 224,587 252,454
Revenue from sales and other income consist of the
following at December 31:

Table 46. REVENUE FROM SERVICES AND OTHER INCOME
2024 2025 2026 2027 2028

₱ ₱ ₱ ₱ ₱
Revenue
2,518,776 2,770,654 3,413,445 3,754,790 4,130,269
Interest earned from
- 8,323 8,685 10,470 12,146
banks
₱ ₱ ₱ ₱ ₱
2,518,776 2,778,976 3,422,130 3,765,260 4,142,415
There is no deferred revenue related to these performance
obligations for the years then ended December 31, 2024,
2025, 2026, 2027, and 2028.
Table 47. EXPENSES BY NATURE
2024 2025 2026 2027 2028

₱ ₱ ₱ ₱ ₱
Cost of services
314,130 347,100 381,641 419,606 461,367
Legal Expense 11,915 8,735 8,735 8,735 8,735
Construction Materials 74,670 - - - -
Professional Fees 201,200 160,000 160,000 160,000 160,000
Advertising Expenses 6,000 6,000 6,000 6,000 6,000
Cleaning Tools 8,597 9,121 9,678 10,268 10,895
Salaries Expense 918,000 1,009,800 1,110,780 1,221,858 1,344,044
13th Month Pay 76,500 84,150 92,565 101,822 112,004
Contributions 156,270 168,840 183,009 195,973 205,502
Utilities Expense 106,584 117,242 128,967 141,863 156,050
Office Supplies Expense 12,756 14,286 15,720 17,292 19,021
Cleaning Supplies Expense 3,516 3,938 4,333 4,767 5,243
Depreciation Expense 12,373 12,373 12,373 12,373 12,373
Miscellaneous Expense 8,198 8,198 8,198 8,198 8,198

Repairs and Maintenance 2,074 2,074 2,074 2,074 2,074
Rent Expense 480,000 480,000 480,000 480,000 480,000
Business Tax 75,563 83,120 409,613 450,575 495,632
₱ ₱ ₱ ₱ ₱
2,468,346 2,514,978 3,013,687 3,241,404 3,487,138
COMMITMENTS AND CONTINGENCIES
The Company was established under the CREATE and
TRAIN Law subject to review and final audit by
authoritative government agencies. Such review and audit
could lead to requests for reimbursement to the
expenditures disallowed under the compliance terms of the
act. Management believes that any required refunds are
unlikely, and in any event, would be immaterial. No
provision has been made in the accompanying financial
statements for the refund of monies due to questioned
costs.
SUBSEQUENT EVENTS
Management has evaluated subsequent events for
recognition or disclosure through [DATE], which was the
date that the financial statements were available to be
issued. Management did not identify any events that
occurred subsequent to year-end that require disclosure
in the financial statements.

Notes on Financial Statements
1. Income statement
This is a financial statement that measures
financial performance over a specific accounting period.
Financial performance assessed by giving a summary of how
the business incurs its revenue and expenses through both
operating and non-operating activities. It also shows the
net profit or loss incurred over a specific accounting
period, typically over a fiscal quarter or year. This is
also known as the “profit and loss statement” or
“statement of revenue and expense”. (Valencia and Roxas,
2010)
2. Statement of Financial Position
This is a financial statement that summarizes a
company’s assets, liabilities, and shareholders’ equity

at a specific point in time. These three balance sheet
segments give investors an idea as to what the company
owns and owes, as well as the amount invested by the
shareholders. The balance sheet must follow the following
formula: Assets= Liabilities + Shareholders’ Equity.
(Valencia and Roxas, 2010)
3. Statement of Cash Flows
This is a revenue or expense stream that changes a
cash account over a given period. Cash inflows usually
arise from one of three activities: financing, operating,
or investing although this also occurs because of
donations or gifts in the case of a personal fiancé. Cash
outflows result from expenses or investments. This holds
true for both business and personal finance.
RATIO ANALYSIS
Financial ratios are quantitative tools used to know
the performance of a business to create a new strategy
and to make sound decisions. Financial ratios can
indicate strong financial performance relating to the use
of assets, debt and equality, and internal production
operations that may or may not be suffering from poor

management. Financial ratios are used by managers,
investors, creditors, and other parties to compare and
evaluate the strength and weaknesses of the company in
the industry.
Table 48. Notes

Schedules
As at and for the years ended December 31, 2024-2028
1. Cash and Cash Equivalents
The account at December 31 consists of:

2024 2025 2026 2027 2028
Cash on hand
995,709 1,991,354 2,823,496 3,610,647 4,396,724
Cash in bank
3,982,834 7,965,415 11,293,983 14,442,589 17,586,896
Petty cash fund
2,050 2,050 2,050 2,050 2,050
Contingency Fund
45,259 45,259 45,259 45,259 45,259
5,025,852 10,004,078 14,164,788 18,100,545 22,030,929

2. Operational Supplies

2024 2025 2026 2027 2028
Beginning balance
- - - - -
Operational supplies
Add:
purchased 79,000 86,900 95,590 105,149 115,664
Operational supplies available for use
79,000 86,900 95,590 105,149 115,664
Less: Operational supplies used
79,000 86,900 95,590 105,149 115,664
3. Office Supplies

2024 2025 2026 2027 2028
Beginning balance
- 260 260 260 352
Add: Office supplies purchased
13,016 14,318 15,749 17,324 19,057
Office supplies available for use
13,016 14,578 16,009 17,584 19,408
Less: Office supplies
used 12,756 14,286 15,689 17,233 19,020

Ending balance
260 292 320 352 388
4. Cleaning Supplies

2024 2025 2026 2027 2028
Beginning balance
- 72 80 88 97
Cleaning supplies
Add:
purchased 3,588 3,947 4,341 4,776 5,253
Office supplies available for use
3,588 4,019 4,422 4,864 5,350
Cleaning
Less:
supplies used 3,516 3,938 4,333 4,767 5,243
Ending balance
72 80 88 97 107
5. Property, Plant, and Equipment, net
Equipment:
2024 2025 2026 2027 2028
Cost
Beginning balance
- 43,701 43,701 43,701 43,701
Additions
43,701 - - - -
Disposals
- - - - -
Ending balance
43,701 43,701 43,701 43,701 43,701
Accumulated depreciation
Beginning balance
- 8,740 17,480 26,221 34,961
Depreciation charge
8,740 8,740 8,740 8,740 8,740
Disposals
- - - - -
Ending balance
8,740 17,480 26,221 34,961 43,701
Net book value

34,961 26,221 17,480 8,740 -
Furniture and Fixtures:

2024 2025 2026 2027 2028
Cost
Beginning balance
- 25,430 25,430 25,430 25,430
Additions
25,430 - - - -
Disposals
- - - - -
Ending balance
25,430 25,430 25,430 25,430 25,430
Accumulated depreciation
Beginning balance
- 3,633 7,266 10,899 14,531
Depreciation charge
3,633 3,633 3,633 3,633 3,633
Disposals
- - - - -
Ending balance
3,633 7,266 10,899 14,531 18,164
Net book value

21,797 18,164 14,531 10,899 7,266
Total net book value

56,758 44,385 32,012 19,639 7,266
6. Accrued Expenses

2024 2025 2026 2027 2028
Utilities
Utilities Payable
Payable 8,882 9,770 10,747 11,822 13,004
Salaries
Salaries Payable 202,500 202,500 202,500 202,500 202,500
Payable
Contribu
Contributions Payable tions 0 0 0 0 0
Payable
Income
Income Tax Payable Tax 377,773 534,548 441,472 443,487 445,272
Payable
Business
Business Tax Payable Tax 106,348 106,348 425,393 425,393 425,393
Payable
1,069,36 1,071,38 1,073,16
686,621 843,397
5 0 5
7. Revenue

2024 2025 2026 2027 2028
Average number of customers per room per day 152 152 152 152 152
Number of range rooms 3 3 3 3 3
Total number of
customers per day 152 152 152 152 152
Number of business days in a year (6 days x 52 weeks) 312 312 312 312 312
Total number of customers per year 47,424 47,424 47,424 47,424 47,424
Price 299 299 299 299 299
T
o
14,179,7 14,179,7 14,179,7 14,179,7 14,179,7
Total t
76 76 76 76 76
a
l
8. Cost of Services

2024 2025 2026 2027 2028
Operational supplies used
79,000 86,900 95,590 105,149 115,664
Employee Salary 2,430,00 2,430,00 2,430,00 2,430,00 2,430,00

0 0 0 0 0
13th month pay of employees
202,500 202,500 202,500 202,500 202,500
Contributions of life coach
335,100 335,100 335,100 335,100 335,100
3,046,60 3,054,50 3,063,19 3,072,74 3,083,26

0 0 0 9 4
9. Interest Income

2024 2025 2026 2027 2028
Cash in bank, beginning balance 3,982,83 7,965,41 11,293,9 14,442,5

- 4 5 83 89
Interest rate 1.1250% 1.1250% 1.1250% 1.1250% 1.1250%
Interest
earned
from - 44,807 89,611 127,057 162,479
banks
10. Operating Expenses

2024 2025 2026 2027 2028
Legal Expense
11,915 8,735 8,735 8,735 8,735
1,8
Construction costs
50,001 - - - -
2
Professional Fees
01,200 - - - -
Advertising and Promotion Expenses
6,000 6,000 6,000 6,000 6,000
Cleaning Tools
8,597 9,121 9,678 10,268 10,895
2,4 2,4 2,4 2,4 2,4
Salaries Expense
30,000 30,000 30,000 30,000 30,000
2 2 2 2 2
13th Month Pay
02,500 02,500 02,500 02,500 02,500
3 3 3 3 3
Contributions
35,100 35,100 35,100 35,100 35,100
1 1 1 1 1
Utilities Expense
06,584 06,584 06,584 06,584 06,584
Office Supplies Expense
12,756 12,756 12,756 12,756 12,756
Cleaning Supplies Expense
3,516 3,938 4,333 4,767 5,243
Depreciation Expense
12,373 12,373 12,373 12,373 12,373
Miscellaneous Expense
8,198 8,198 8,198 8,198 8,198
Repairs and Maintenance

2,074 2,074 2,074 2,074 2,074
4 4 4 4 4
Rent Expense
80,000 80,000 80,000 80,000 80,000
4 4 1,7 1,7 1,7
Business Tax
25,393 25,393 01,573 01,573 01,573
6,0 4,0 5,3 5,3 5,3
96,207 42,773 19,904 20,928 22,031
11. Contributions

2024 2025 2026 2027 2028
Monthly staff salaries:
Operations manager 21,000 21,000 21,000 21,000 21,000
Assistant manager 18,000 18,000 18,000 18,000 18,000
Marketing manager 21,000 21,000 21,000 21,000 21,000
Sales officer 15,000 15,000 15,000 15,000 15,000
Finance manager 12,000 12,000 12,000 12,000 12,000
Receptionists 12,000 12,000 12,000 12,000 12,000
Security guard 13,500 13,500 13,500 13,500 13,500
Medical Aid 18,000 18,000 18,000 18,000 18,000
Housekeeper (3) 36,000 36,000 36,000 36,000 36,000
Life coach (2) 36,000 36,000 36,000 36,000 36,000
TOTAL 202,500 202,500 202,500 202,500 202,500
SSS Contributions
Assistant manager 1,800 1,800 1,800 1,800 1,800
Sales officer 1,900 1,900 1,900 1,900 1,900
Finance manager 1,900 1,900 1,900 1,900 1,900
Receptionists 1,425 1,425 1,425 1,425 1,425
Security guard 1,425 1,425 1,425 1,425 1,425
Medical Aid 1,425 1,425 1,425 1,425 1,425
Housekeeper (3) 1,200 1,200 1,200 1,200 1,200
Life coach (2) 1,425 1,425 1,425 1,425 1,425
TOTAL 16,300 16,300 16,300 16,300 16,300
PhilHealth Contributions
Assistant manager 900 900 900 900 900
Sales officer 750 750 750 750 750
Finance manager 1,050 1,050 1,050 1,050 1,050
Receptionists 750 750 750 750 750
Security guard 675 675 675 675 675
Medical Aid 750 750 750 750 750
Housekeeper (3) 1950 1950 1950 1950 1950

Life coach (2) 1500 1500 1500 1500 1500
TOTAL 10,425 10,425 10,425 10,425 10,425
PAG-IBIG Contributions
Operations manager 100 100 100 100 100
Assistant manager 100 100 100 100 100
Marketing manager 100 100 100 100 100
Sales officer 100 100 100 100 100
Finance manager 100 100 100 100 100
Receptionists 100 100 100 100 100
Security guard 100 100 100 100 100
Medical Aid 100 100 100 100 100
Housekeeper (3) 300 300 300 300 300
Life coach (2) 100 100 100 100 100
TOTAL 1,200 1,200 1,200 1,200 1,200
Monthly total 202,500 202,500 202,500 202,500 202,500

12. Income
tax
2024 2025 2026 2027 2028
Taxable 1 11,096,2 10,3 10,9 11,5
Income 0,319,589 13 18,470 23,406 54,853
Interest 30% 30% 30% 30% 30%
3,328,86 3,277,021. 3,466,455.
Total 3,095,876.70 3,095,541
3.90 80 90
*FOR NOTES
2024 2025 2026 2027 2028
Office equipment ₱43,701 ₱43,701 ₱43,701 ₱43,701 ₱43,701
Furniture and fixtures
25,430 25,430 25,430 25,430 25,430
₱69,131 ₱69,131 ₱69,131 ₱69,131 ₱69,131
Less: Accumulated
depreciation (12,373) (24,746) (37,119) (49,492) (61,865)
₱56,758 ₱44,385 ₱32,012 ₱19,639 ₱7,266
2024 2025 2026 2027 2028

Operational supplies ₱0 ₱0 ₱0 ₱0 ₱0
Office supplies 260 292 320 352 388
Cleaning supplies 72 80 88 97 107
₱332 ₱372 ₱409 ₱449 ₱495
2024 2025 2026 2027 2028

Cost of services ₱3,046,600 ₱3,054,500 ₱3,063,190 ₱3,072,749 ₱3,083,264
Legal Expense
11,915 8,735 8,735 8,735 8,735
Construction costs
1,850,001 - - - -
Professional Fees
201,200 - - - -
Advertising and Promotion
Expenses 6,000 6,000 6,000 6,000 6,000
Cleaning Tools
8,597 9,121 9,678 10,268 10,895
Salaries Expense
2,430,000 2,430,000 2,430,000 2,430,000 2,430,000
13th Month Pay
202,500 202,500 202,500 202,500 202,500
Contributions
335,100 335,100 335,100 335,100 335,100
Utilities Expense
106,584 106,584 106,584 106,584 106,584
Office Supplies Expense
12,756 12,756 12,756 12,756 12,756
Cleaning Supplies Expense
3,516 3,938 4,333 4,767 5,243
Depreciation Expense
12,373 12,373 12,373 12,373 12,373
Miscellaneous Expense
8,198 8,198 8,198 8,198 8,198
Repairs and Maintenance
2,074 2,074 2,074 2,074 2,074
Rent Expense
480,000 480,000 480,000 480,000 480,000
Business Tax
425,393 425,393 1,701,573 1,701,573 1,701,573
₱9,142,807 ₱7,097,273 ₱8,383,094 ₱8,393,677 ₱8,405,295
Table 49. Test of Profitability, Liquidity and Solvency
TEST OF PROFITABILITY
GROSS PROFIT MARGIN 2024 2025 2026 2027 2028
Gross Income
2,204,646 2,423,553 3,031,804 3,335,184 3,668,902
Divided by: Net Sales
2,518,776 2,770,654 3,413,445 3,754,790 4,130,269
89% 89% 89% 89% 89%
The gross profit margin shows the amount of profit

made after deducting cost of goods sold.
NET PROFIT MARGIN 2024 2025 2026 2027 2028

Net Income
48,111 198,861 302,855 383,752 475,854
Divided by: Net Sales
2,518,776 2,770,654 3,413,445 3,754,790 4,130,269
2% 7% 9% 10% 12%
The net profit margin shows the amount of profit made after
deducting selling, general, and administrative costs.
RETURN ON TOTAL ASSETS 2024 2025 2026 2027 2028

Net Income
48,111 198,861 302,855 383,752 475,854
Divided by: Average Total Assets
560,853 1,142,816 1,265,572 1,462,803 1,690,455
9% 17% 24% 26% 28%
The return on total assets shows how effectively a company uses

its assets to generate earnings.
RETURN ON TOTAL EQUITY 2024 2025 2026 2027 2028

Net Income
48,111 198,861 302,855 383,752 475,854
Divided by: Average Total Equity
521,654 1,052,738 1,114,596 1,249,999 1,451,102
9% 19% 27% 31% 33%
The return on total equity measures a company's profit as a percentage of the combined
total worth of all ownership interests in the company.
RETURN ON CURRENT
2024 2025 2026 2027 2028
ASSETS
Net Income
48,111 198,861 302,855 383,752 475,854
Divided by: Average Current Assets
512,474 1,052,245 1,187,374 1,396,978 1,637,003
9% 19% 26% 27% 29%
The return on current assets measures how efficiently a business

utilizes its current assets to generate net profit.
TEST OF LIQUIDITY
CURRENT RATIO 2024 2025 2026 2027 2028
Current Assets
1,024,948 1,079,541 1,295,206 1,498,750 1,775,256
Divide by: Current Liabilities
78,399 101,758 200,194 225,414 253,293
13.07 10.61 6.47 6.65 7.01
The current ratio measures a company’s ability to pay short-term

obligations or those due within one year.
QUICK RATIO 2024 2025 2026 2027 2028

Quick Assets
983,036 1,037,400 1,252,850 1,456,158 1,732,404
Divide by: Current Liabilities
78,399 101,758 200,194 225,414 253,293
12.54 10.19 6.26 6.46 6.84
The quick ratio measures a company's capacity to pay its current liabilities without needing
to sell its inventory or obtain additional financing.
WORKING CAPITAL TO TOTAL

2024 2025 2026 2027 2028
ASSETS RATIO
Working Capital
946,549 977,783 1,095,011 1,273,336 1,521,963

Divide by: Total Assets
1,121,706 1,163,926 1,367,218 1,558,389 1,822,521
84.38% 84.01% 80.09% 81.71% 83.51%
The working capital to total assets ratio indicates the relative liquidity of total
assets & distribution of resources employed.
TOTAL ASSETS TURNOVER 2024 2025 2026 2027 2028

Net Sales
2,518,776 2,770,654 3,413,445 3,754,790 4,130,269
1,121,706 1,163,926 1,367,218 1,558,389 1,822,521
2.25 2.38 2.50 2.41 2.27
The total assets turnover measures the movement and utilization

of all resources to meet operating requirements.
TEST OF SOLVENCY
DEBT RATIO 2024 2025 2026 2027 2028
Total Liabilities
78,399 101,758 200,194 225,414 253,293
1,121,706 1,163,926 1,367,218 1,558,389 1,822,521
7% 9% 15% 14% 15%
The debt ratio measures the amount of leverage used by a

company in terms of total debt to total assets.
EQUITY RATIO 2024 2025 2026 2027 2028

Total Equity
1,043,307 1,062,168 1,167,023 1,332,975 1,569,229
1,121,706 1,163,926 1,367,218 1,558,389 1,822,521
93% 91% 85% 86% 85%
The equity ratio indicates proportion of assets provided by owners. It reflects

financial strength and caution to creditors.
DEBT TO EQUITY RATIO 2024 2025 2026 2027 2028

Total Liabilities
78,399 101,758 200,194 225,414 253,293

Divide by: Total Equity
1,043,307 1,062,168 1,167,023 1,332,975 1,569,229
8% 10% 17% 17% 17%
The debt-to-equity ratio is used to evaluate a company's financial leverage and is

calculated by dividing a company’s total liabilities by its total equity.
FIXED ASSETS TO EQUITY

2024 2025 2026 2027 2028
RATIO
Fixed Assets
96,758 84,385 72,012 59,639 47,266
Divide by: Total Equity
1,043,307 1,062,168 1,167,023 1,332,975 1,569,229
9% 8% 6% 4% 3%
The fixed asset-to-equity ratio measures the proportion of

owner’s capital invested in fixed assets.
Table 50. Payback Period
PAYBACK PERIOD
Yea Annual Net Cash Unrecovered

Project Cost
r Flow Amount
1 995,431 8,134,407 -7,138,976
2 0 7,854,068 -14,993,044
3 0 7,555,892 0
4 0 7,744,943 0
5 0 8,191,683 0
Payback Period = 2
# months
years and
Socio-Economic Aspect 119
Socio-Economic Aspect
The Rage 'n Release’s main advocate is for mental
balance in our society and CSR is the main foundation of
this belief. CSR is important in addressing social
issues, and with the recent rise of mental imbalances in
our city, our business is hoping that our service will
have a great impact in fixing mental imbalance in Baguio
City.
CSR is also a way to show the local community that
we, Rage 'n Release, are socially responsible and will
help cultivate a positive role in our society.

Local Community
The Rage 'n Release company would like to contribute
to the local community by addressing the problem of
mental imbalances such as depression and the
disadvantages of suppression and repression. Due to
Baguio City’s ever so busy atmosphere, our company would
also like to provide a place of relaxation and catharsis
hoping to improve the mental health of the locals so they
could continue with their busy schedule with a stress-
free and refreshed mental state.
Business Community
In the Business Community, it is rarely practiced
that an organization creates solutions to address the
well-being of the public, especially in their mental
state. Our company hopes to break this norm and persuade
entrepreneurs to create more businesses that will
prioritize the well-being and mental state of the public.
Environment
The main supply that our company is providing is the
breaking of glass bottles which could be hard to clean,
dispose of in the garbage bin with any thought of
recycling which could make our environment dirty but now
there is a new way of disposing and recycling them.

Broken glasses are crushed and turned into glass
powder which is a new form of raw materials able to
replace sand. This technology is now available in the
Philippines. With this, we could now recycle glass and
hopefully clear our streets and creeks of unused glass
bottles to help our environment free.
Government
In recent years because of the pandemic, there has
been a surge of mental illnesses that are haunting our
government. Our government is new when it comes to
handling mental health being their first law on mental
health was only passed in 2019 (R.A no 1136) and most
mental health care providers are underdeveloped thus
making it hard to identify individuals with mental
illness.
Our company’s services provide catharsis which could
help us identify which of our clients could have mental
illness and our in-house guidance counselor could provide
psychological evaluations and talk therapy to help people
learn to better cope with life and mental health
conditions.
References 122
REFERENCES:
Breakroom405 blog. How do the Anger Rooms work?

https://breakroom405.com/blog/anger-room/how-do-the-
anger-rooms-work/
Cabildo, A. V. (2023b, May 3). 5 rage rooms in the

Philippines to relieve stress. Tripzilla Philippines.
https://www.tripzilla.ph/rage-rooms-philippines/amp/?
fbclid=IwAR3CSoKNkokBlGuXVhyktFKr4BWRdtb2EkskQIupQaOl76mh
qT9CxZ7ZVpM
Chan, J. G. (n.d.). CORDILLERA ADMINISTRATIVE REGION -

RULES AND REGULATIONS IMPLEMENTING WAGE ORDER NO. RB-CAR-
12 - PHILIPPINE LABOR CIRCULAR ON-LINE - CHAN ROBLES
VIRTUAL LAW LIBRARY.
https://chanrobles.com/carwagerates.irr.carwageorderrbcar
12.html
Corporate FInance Institution. (2019, October 24).

General Partnership.
https://corporatefinanceinstitute.com/resources/valuation
/general-partnership/
GlobalSpec. Glass Powders and Precursors Information.

https://www.globalspec.com/learnmore/materials_chemicals_
adhesives/ceramics_glass_materials/
glass_powders_precursors#:~:text=The%20raw%20materials
%20used%20to,and%20classification%20by%20particle%20size.
GovPH. Baguio Water District.

https://baguiowaterdistrict.gov.ph/water-rates/
Happhoadmin. (2022). How much cement, sand and water is

required for 12mm thick plastering? Happho.
https://happho.com/much-cement-sand-water-required-
plastering-12mm-thick-plaster/
Homes.com. (2022, July 28). 5 ways to reuse broken glass.

Home Sweet Homes. https://www.homes.com/blog/2017/02/5-
ways-reuse-broken-glass/
Lally, J., Tully, J. C., & Samaniego, R. M. (2019).

Mental health services in the Philippines. BJPsych
International, 16(03), 62–64.
https://doi.org/10.1192/bji.2018.34
Professional, C. C. M. (n.d.). Psychologist. Cleveland

Clinic.
https://my.clevelandclinic.org/health/articles/22679-
psychologist
References 123
Profitable Venture Magazine Ltd. A Sample Rage Room

Business Plan Template.
https://www.profitableventure.com/rage-room-business-
plan/
Profitable Venture Magazine Ltd. Top 10 Rage Room Rules

and Regulations in 2023.
https://www.profitableventure.com/rage-room-rules-
regulations/
Province of Abra. (2019). Broken glass bottles can be

recycled through MRF of San Juan. Province of Abra.
https://abra.gov.ph/2019/02/07/broken-glass-bottles-can-
be-recycled-through-mrf-of-san-juan/#:~:text=As%20part
%20of%20Solid%20Waste,%2C%20North%20Poblacion%2C%20San
%20Juan.
Raypole, C. (2020, March 31). Let it out: dealing with

repressed emotions. Healthline.
https://www.healthline.com/health/repressed-emotions?
fbclid=IwAR0FNkclOeO8Y2U5DhZxUFuijDHmgtmvI-
4ZhcRTgPkcjHnZwOotcQxIUuo
SCHOTT AG. (n.d.). SCHOTT Glass powder and Particle

Technologyhttps://www.schott.com/en-il/expertise/technolo
gy-and-processing/glass-powder-and-particle-technology
Skillshareblog. (2022, April 3). Could a Rage Room Become

Part of Your Self-Care Routine?
https://www.skillshare.com/en/blog/could-a-rage-room-
become-part-of-your-self-care-routine/
WebToGo Philippines, www.webtogo.com.ph. (n.d.). Pacific

Paint (BOYSEN) Philippines - products. Pacific Paint
(Boysen) Philippines, Inc.,.
https://www.boysen.com.ph/products.do?item_id=920
Questionnaire 124
SURVEY QUESTIONNAIRE
I. Personal Information
Name (Optional): ____________________________________________

Age: __________________ Gender: ______________________________
II. QUESTIONS
Instructions: Please fill in the following questionnaire by

putting a checkmark on the space provided.
1. Have you heard of the concept rage room before?

_____ Yes _____ No
If yes, are you willing to avail such service if one would

be available in Baguio City?
_____ Yes _____ No
2. How much are you willing to pay for a rage room session?
_____ ₱ 299-399 _____ ₱ 400-599 _____ ₱ 600-799
3. Do you think a rage room will help you relieve anger and
frustration?
_____ Yes _____ No
4. Are you aware of a business that offers stress-reducing

programs?
_____ If yes, where it is located? ___________________
_____ No
5. Would smashing things help you release your suppressed

emotion?
_____ Yes _____ No
6. What do you think are the potential benefits of a rage

room experience? (Select all that applies)
_____ Stress Relief
_____ Physical Exercise
_____ Fun and Entertainment
_____ Catharsis
Other (please specify) ______________________________
7. How often would you visit a rage room?
_____ Very often
_____ Often
_____ Somewhat Often
_____ Not often

Permits and Licenses 125
PERMITS AND LICENSES
Business Permit
PhilHealth
PAG-IBIG
BIR Application for Registration

SSS Personal Record

Curriculum Vitae 131
CURRICULUM VITAE
Albert Angelo Padilla

Baloca
#70 Burgos Street, Brgy.
Poblacion East, San
Nicolas, Pangasinan
09761064506
[email protected]
Personal Particulars
Birthdate: March 24, 2001
Birth of place: Tayug Pangasinan
Nationality: Filipino
Religion: Christian
Educational Background
Primary: Don Antonio Lee Chi Uan Integrated School
Secondary: Tayug National High School
Tertiary: University of the Cordilleras
Qualification and Skills:
 Can work under minimum supervision and can-do multi-

tasking.
 Can be flexible in doing such task.

Mark Jenver Cara Boragay
Leones West, Tubao, La Union

09158557277
[email protected]
Personal Particulars:
Birthdate: September 17, 2002
Birth of place: Tubao, La Union
Religion: Born Again Christian
Educational Background:

Secondary: San Alberto Magno Academy
Primary: Leones West Elementary School
 Tactful and able to deal with difficult situation
 Computer literate
 With good communication skills and complete tasks in
a timely manner
 With positive work ethics

Tana Alwiyao Guinapon
Address: Asin Road, Baguio City

Contact Number: 09194673210
Email: [email protected]
Birth Date: April 5, 2003
Birth Place: Baguio City
Religion: Roman Catholic
Education
2022— University of the Cordilleras Baguio City,
Present (BS- Financial Management) Benguet
 Undergraduate
Cagayan State University

Tuguegarao,
(Bachelor of Science in
2021—2022 Accountancy) Cagayan
 Undergraduate
 Completed 2 semesters
Kalinga State University Tabuk City,

2020—2022 (Accountancy, Business &
Kalinga
Management)
 Graduated with honors
 Senior High School
Qualifications and Skills
 Excellent communication skills, both written and

spoken
 Competent in handling pressure situations and stress
management
 Proficient in overseeing tasks and managing teams
Charles Aldwin P.
Tambalque
Guisad Central
Sagadanian Street,
Baguio City
09476610867
[email protected]
Birthdate: December 29,2001
Birth of place: Baguio City
Higher Secondary: AMA Computer College, Baguio City
Lower Secondary: Guisad Valley National High School
Primary: Josefa Carino Elementary School
• Dedicated, organized and team oriented
• Good in communication skills and leadership skills
• Maturity and a professional attitude

Sushmina O. Thapa
#102B Ledesma Interior East Modern-site

Aurora hill, Baguio City
09973763090
[email protected]
Birthdate: June 24, 1994
Birth of place: Baguio City

Secondary: Baguio City Science Foundation
Primary: Special Education Center, Baguio City
 Can work under pressure and manage stress well
 Good in Interpersonal skills
 Proficient in management and group tasks

Malkijah Dagsig Valdoboyd

Address: Purok 6, Lower Rock Quarry,
Baguio City
Contact Number: 09662615245
Email: [email protected]
Personal Particulars
Birth Date: July 9, 1997
Birthplace: Baguio City
Religion: Born Again
Educational Background
Secondary: Christian Legacy Academy
Primary: UCCP - Baguio Educational Center
 Time management - I manage my time to accomplish

bigger results with less stress.
 Self-discipline - I stay motivated and push forward

no matter the challenge.
 Team work empathy - I work to understand needs of

each team member in order to achieve performance and
employee satisfaction
 Handling pressure - I stay clam with a positive

attitude

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The Feasibility of Proposed Rage Room: Rage 'n Release

Presented to the Faculty of the

College of Business Administration

University of the Cordilleras

of the Requirements for the Degree

BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION

Albert Angelo P. Baloca

Mark Jenver C. Boragay

Charles Aldwin P. Tambalque

This feasibility study entitled FEASIBILITY STUDY OF

JOSEPHINE S. GALANZA, MBA

ROU JAY S. BALAGOT, MBA GABRIEL R.DE GUZMAN, MBA

ANTHONY VANCE B. CULATON, MBA

JOE-EL S. MARCELO, MBA

JOE-EL S. MARCELO, MBA

ROU JAY S. BALAGOT, MBA GABRIEL R.DE GUZMAN, MBA

ANTHONY VANCE B. CULATON, MBA

ACCEPTED AND APPROVED in partial fulfillment of the

GRACE R. TOBIAS, Ph.D.

This study would not have been accomplished without

the support and help of several individuals who in their

own ways gave us the necessary help we need and guidance

to make it through our study. Their assistance made

everything we did possible.

We express our gratitude and sincere appreciation to

the following individuals:

To Mrs. Josephine S. Galanza, our Feasibility Study

Advisor, for being there; supporting, guiding and

assisting us all the way. For showing us that, we can

accomplish anything if we have the drive and

To the Chairperson and members of the panel for

into details for the improvement of our study. Their

suggestions and constructive criticism gave the final

touches of our study;

To the respondents, who gave their time to answer

source of motivation, the individuals who made us strong-

willed through-out the making of the study.

In today's fast-paced and demanding world,

individuals often find themselves burdened with stressed

and pent-up emotions. Recognizing this growing need for

cathartic outlets, a proposed rage room emerges as a

potential solution to provide a safe and controlled

environment for people to release their frustrations.

This feasibility study aims to assess the viability and

potential success of establishing a rage room facility in

the local community. By examining market demand,

financial considerations, and the overall social impact,

this study seeks to determine the feasibility of this

unique venture. The insights gained from this study will

help proponents make informed decisions and potentially

contribute to the well-being of individuals within the

community. (Smith, J 2022)

The purpose of the rage room is to provide a safe

and fun venue for anyone feeling sadness, anxiety,

depression, anger and stress to vent or “blow off some

steam”. It seeks to help individuals to connect

with their internal anger and tension and vent it through

Service Description .........................2

Target Market ...............................7