Entrepreneurship

• Profit


  Gross income
• Cost


  Purchase price of the product including the total outlay required in producing it
• Variable costs


  Things that change based on the amount of product being made and are incurred as a direct result of producing the product
• Variable costs include


  • Materials used
  • Direct labor
  • Packaging
  • Freight
  • Plant supervisor salaries
  • Utilities for a plant or a warehouse
  • Depreciation expense on production equipment
  • Machinery
• Fixed costs


  Generally more static in nature
• Fixed costs include


  • Office expenses such as supplies, utilities, a telephone for the office, etc.
  • Salaries and wages of office staff, salespeople, officers and owners
  • Payroll taxes and employee benefits
  • Advertising, promotional and other sales expenses
  • Insurance
  • Auto expenses for salespeople
  • Professional fees
  • Rent
• Guidelines for Successful Business Plan Implementation


  1. Objectives - the entrepreneur should have a clear idea on what is his purpose of putting up his enterprise

  2. Tasks - the entrepreneur must know what are the tasks he has to perform in order to realize his objectives

  3. Time allocation - the entrepreneur should have a timetable or a schedule to follow for every task so that the tasks will be accomplished timely and he can realize his objectives

  4. Progress - the entrepreneur should monitor the development of the tasks and the accomplishment of the objectives
• Basic requirements to start a business in the Philippines


  • Securities and Exchange Commission (SEC) Registration - for partnership or Corporation
  • Department of Trade and Industry (DTI) Registration - for your business tradename
  • Mayor's Business Permit - for getting the license to operate in the city or municipality and payment of your local business taxes
  • Bureau of Internal Revenue (BIR) Registration - for getting TIN, official receipts and invoices, registering your books of accounts and paying your national Internal revenue taxes
  • SSS, PhilHealth, and Pag-Ibig Fund registration - for registering yourself or your company as an employer and for remitting your employees' contribution together with your employer's share