Starting a Business Tocino is one of the popular Filipino pork productst. To produce juicy and palatable tocino, one should use meat from the loin (lomo). Other meat sources with some portion can be used for tocino like ham (pigue) or the shoulder (kasim), however, the tocino will not be as juicy and palatable. But as long as the quality of the meat is good (i.e. the color is okay) has no foul odor, and good texture) and the procedures are carefully followed, then you are assured of good product quality. 1. ESTIMATED INVESTMENT COST* A. Cost of Utensils Measuring cup/spoon for solid and liquid (plastic or stainless steel) P 70.00 Spatula 49.00 Kitchen knife 120.00 Knife sharpener 240.00 Kitchen spoon 89.00 Ladle 52.00 Tong 99.00 Stainless bowl 32” 130.00 Rectangular tray (plastic or aluminum 210.00 B. ee Weighing scale for spices Php 379.00 Weighing scale for meat 900.00 11ft refrigerator 28,000.00 Polysealer (for sealing plastic bags) 800.00 Styrofoam cooler (for transport of meat ame 305.00 Cc. Raw ee Material Raw Material Pork (pigue or kasim) 1kg. P 160.00 Salt 2 tbsps. 0.77 Curing salt Yatsp. 0.15 Sugar 12 tbsps. 6.86 Phosphate (dissolved in % cup water) 1 tsp. 0.54 Anisado wine 2 tbsps. 2.58 Pineapple Juice 2 tbsps. 0.77 Crushed garlic (garlic powder) 2 tbsps. 3.81 Vitamin C powder % tsp. 0.54 Food color, red (optional) 0 Vetsin (optional) % tsp. 0 Subtotal P 176.02Polethylene Plastic Bag P 0.50 6” x 12”) for ’%_kg. meat product = Based on February 2009 market prices PRODUCT PROCEDURE The curing method is applied in tocino making. This involves the application of salt, sugar, nitrate, and other chemical preservatives that kill micro-organisms or delay microbial action. 1. Select good quality meat. Trim and weigh. 2. Slice meat % in thickness. 3. Weigh meat slices and prepare the curing ingredients per kilo of meat. 4. Mix meat with salt, curing salt, phosphate, and Vitamin C (dissolved in % cup water) in a bowl. Add the rest of the ingredients and mix again. Cure at room temperature for 8 to 10 hours or in refrigerator for 8 to 12 hours. 7. Pack tocino in polyethylene plastic bag in % package. Remove the trapped air inside the bag and seal immediately. Store in freezer. For 2 kls of tocino, double all the amount of ingredients. oo oo ESTIMATED COSTING AND PRICING A. Product Costing Direct Cost Raw Material (1 kg. pork meat) P 160.00 Ingredients used 16.02 Packaging Material 0.50 | Indirect Cost Labor Cost P 3.57 (P125/day/ 70 kgs. produced x 2 workers) Transportation cost (150/ 70kgs) 2.14 Water and Electricity 8.60 (P600 consumption/70 kgs.) Contingency cost (10% of direct cost 17.65 = Based on 70kgs. average daily produceTEE esSoK CMe] Production Cost After adding all ingredients to the 1 kg. meat, the yield of the finished product should weigh to 1.5 kgs. Total Direct Cost P 176.52 Add: Total Indirect Cost 31.96 Total over the 1.5 i Yield 208.48 / sme B. Product Pricing Production Cost per kg. P 138.99 Add: 10% markup of the Production Cost 13.89 | Selling Price per kilogram P 152.88 Market Price per kilogram P 180.00 "The higher the volume of production per day (i.e., more than 70 kgs.), the lower the production cost, thus increasing the markup to more than 10%. * If price per kilogram. is lower compared with the existing market price, increase mark-up to more than 10% IV. REGISTRATION REQUIREMENTS 1. Business Name Registration Department of Trade and Industry (DTI) within NCR a) 2/F, Atrium of Makati Bldg., Makati Ave., corner Paseo de Roxas St., Makati City Tel. No.: 501.5135 b) 2/F Park N' Ride, Lawton, P. Burgos Ave., Dr. Basa St., Ermita, Manila Tel. No.: 536.7153 | c) G/F Highway 54 Plaza, EDSA Mandaluyong City (across SM Megamall) | Tel. No.: 706.1767 d) 5/F Araneta Square Mall Monumento Circle, Kaloocan City | Tel. Nos.: 332.0854/ 332.0829 Contact the DTI Provincial Office where the business is located. NS Mayor’s Permit/ Residence Certificate and Sanitary Permit Contact the municipality or city office where the business is located.3. Tax Identification Number (TIN) Bureau of Internal Revenue (BIR) BIR National Office Bldg. Agham Road, Diliman, Quezon City Tel. No.: (632) 981.7000 Contact the BIR Regional or District Office where the business is located. 4. BFAD Certificate Bureau of Food and Drugs (BFAD) Civic Drive, Filinvest Corporate City Alabang, Muntinlupa City Tel. No.: (632) 807.0721 / 842.5606 Email: [email protected] FINANCING 1. GSIS Family Bank AIC Grande Tower, Garnet Road, Ortigas Center Pasig City Tel. Nos.: (632)706.0487 to 90 loc. 155 Fax No. 706.0493 (Direct lending for individual borrower) 2. National Livelihood Development Corporation (NLDC) 4'F, Hanston Building, F. Ortigas Jr., Road Ortigas Center, Pasig City Tel. Nos.: (632)914.7290 to 97 or 631.2955/57 3. Opportunity Microfinance Bank OMB Building, Robinsons Homes East, Commercial Arcade-1, Robinsons Homes East, Circumferential Road, Barangay San Jose Antipolo City Tel. No.: 630.0141 local 222/229 (Direct Lending for individual borrower) 4. People’s Credit and Finance Corporation 2F, Accelerando Bldg., 395 Sen. Gil Puyat Avenue Makati City Tel. No.: (632) 752.3745 local 130 (Retail Lending is through partner microfinance institutions.) 5. Philippine Microenterprise Development Foundation (PMDF) G/F Melendres Bldg., F. Manalo St., Pasig City Tel. No.: (632)641.2207/ 642.3895 (Direct Lending for group borrower)Small Business Corporation 17" and 18" /F, Antel Corporation Centre, 139 Valero Street, Salcedo Village, Makati City Tel. No.: (632)751.1888 Fax Nos. (632) 894.1677 / 813.5726 (Direcy lending for individual borrower with an asset size of P500,000-P1M) VI. TECHNICAL INSTITUTIONS 1) Department of Trade and Industry — Cottage Industry Technology Center (DTI-CITC) 20 Russet St.,SSS Village, Marikina City Tel. Nos.: (632) 942.3974 / 948.2875 / 941.4516 Fax : (632) 942-0107 Email : [email protected] Department of Science and Technology — Science and Technology Information Institute (DOST-STII) Gen. Santos Ave. Upper Bicutan, Taguig, Metro Manila Tel. Nos.: (632) 837.2191 to 95 Telefax : (632) 837.7520 www.stii.gov.ph Animal Product Development Center Bureau of Animal Industry (BAI) Visayas Avenue corner Elliptical Road Diliman, Quezon City Tel. Nos.: (632) 928.1778, 928.2836 www.bai.ph Technology Resource Center (TRC) 103 J. Abad Santos St. Little Baguio, San Juan Tel. No.: 727.6205 loc. 200 www.trc.dost.gov.ph Ultima Entrepinoy Nutrition Foundation of the Philippines Bldg. 107 E. Rodriguez Sr. Avenue, Quezon City Tel. Nos.: 742.7866/ 411.1349/ 742.0826 BUREAU OF MICRO, SMALL AND MEDIUM @ ENTERPRISE DEVELOPMENT (BMSMED) S/F, Trade and Industry Building =: DEPARTMENT OF 361 Sen. Gil J. Puyat Ave. Makati City . Tel. Nos.: (02) 897.1693 / 897.7596 / 890.4968 TRADEgINDUsTrY Fax No.: (02) 896.7916 # Email: [email protected] PHILIPPINES Www.dti.gov.ph a Printed September 2010