RATIONALE

Bread crumbs (regional variants: breading, crispies) are small particles of dry
bread, used for breading or crumbing foods, topping casseroles, stuffing poultry,
thickening stews, adding inexpensive bulk to meatloaves and similar foods, and
making crisp and crunchy coating for fried foods, especially breaded cutlets like
tonkatsu and schnitzel.

Dry breadcrumbs are made from dry breads which have been baked or
toasted to remove most of the remaining moisture, and may even have a sandy or
even powdery texture. The breads used to make soft or fresh bread crumbs are not
quite as dry, so the crumbs are larger and produce a softer coating, crust, or
stuffing. The crumb of bread crumb is also a term that refers to the texture of the
soft, inner part of a bread loaf, as distinguished from the crust, or "skin".

Bread crumbs can be used in a variety of ways. They can be used as filler in
meatloaf, as coating for fried food like homemade fish fingers, pork chop, goat
cheese, eggplant, Parmesan or chicken cutlets, or as topping to baked casserole.

There are basically three ways to make bread crumbs: with a knife, a food
processor, or a blender. Food processor and blender make really fine, uniform
crumbs that are just perfect. But if these are not available, a knife will work just
fine. Fresh breadcrumbs made from slices of white bread need the crusts trimmed
off first.

With a bread knife, bread is cut up into crumbs. If the bread is really soft, it
can sit on the counter to dry out, after which it can then easily be cut into crumbs.
Blender can also be used to make fresh breadcrumbs. While the motor is running,
small chunks of the bread can be added through the hole in the cover of the
blender.

OBJECTIVE

This project brief aims to encourage potential investors to go into

breadcrumb processing, where there is a ready market from local companies in the
region.

PROJECT DESCRIPTION

Bread crumbs are made by processing bread into a coarse or fine powder. It is
usually made from leftover bread and is a good way of avoiding wastage. It is
usually light pink or light brown in colour. If made from toasted or dried bread, the
resulting powder is fine. If ground from fresh bread, it is white in colour and crumbly
in texture.
 The main role of bread crumbs is to act as a coating agent before pan frying
or deep frying certain foods. Dried bread crumbs are used to make a crisp and
crunchy coating for fried foods. However, fresh bread crumbs will not serve the
same purpose. They produce a much softer coating or crust and are mostly used in
stuffing rather than as coating.

Fresh bread crumbs are used as stuffing for various meats and poultry-based
main courses, or even for certain innovative snacks, koftas or finger foods.

Bread crumbs can be sprinkled as topping on certain recipes, e.g., au gatin,

before they are baked. Panko bread crumbs, a special Japanese variety of plain or
herbed bread crumbs, go very well with seafood. It is commonly used in preparation
of crab cakes etc.

CURRENT MARKET TRENDS AND OPPORTUNITIES

American style bread crumbs were introduced into the commercial market
around 1947 as seafood coating. It was a means of utilizing stale bread from
commercial bakeries. Today's uses have grown to necessitate full-scale bread
bakeries for the sole purpose of producing crumbs.

In General Santos City, breadcrumbs are in demand for there are a lot of
establishments that are using breadcrumbs in their recipes. Most of them are the
bakeries, restaurants, food chains and etc. The products can be found usually in the
malls and other convenience stores. In the leading malls in the city, there are
various brands of breadcrumbs with prices that range from Php25.00 - Php40.00 for
230g. In Kcc Mall, there are two leading brands sold in their supermarket. The
Goodlife Japanese Style Breadcrumbs costs Php27.20 for 230g and Php105.50 for
1kg. Another one is the Krisper Breadcrumbs which is the cheapest that costs
Php25.30 only for 230g. In SM supermarket, there are three brands of breadcrumbs
sold. The 230g Goodlife Japanese Style breadcrumbs costs Php31.50, while 230g
Kasugai Breadcrumbs is for Php36.75 and 230g Polar Breadcrumbs is for Php39.50.

Breadcrumbs can be used in the following recipes: as coating for fries, as

binder for fish in sauteed salmon cakes, as crust for fried fish and chips, as binder
in veggie burgers, and, as toppings for macaroni and cheese, among many others.

FINANCIAL REQUIREMENTS

Underlying Assumptions:
- 8 operating hours a day (monday-friday), 20 days in a month.
- 4 workers with a salary of Php200/day
- Each worker should produce 100 units of finished breadcrumbs;
- Fuel cost per day is Php500.00;
- Projected sales and income is for one month period only; and
- Fixed assets are depreciated using the straight line method for 5-30 years.

Acquisition Price per

Fixed Assets Item Estimated Useful Life Acc. Depreciation
(in Php) (in Years) (in Month)
Building OPex 200,000.00 30 years 555.555
Suzuki Multicab Fb OPex 200,000.00 20 years 833.333
Packaging Sealer Machine 60,000.00 20 years 250
Oven (60cm; 60L capacity) 27,998.00 15 years 155.544
4 Blenders (1.5 Glass Jar) @
Php2,500.00 each 83.333 ok
quantity? ok 10,000.00 10 years
4 Bread Knives 8" @
Php400.00 each quantity?
ok 1,600.00 5 years 26.667 ok
4 Graters @ Php495.00 each
quantity? ok 33 ok
1,980.00 5 years
2 Weighing Scales @
Php899.00 each quantity?
ok 21.405 ok
1,798.00 7 years
6 Baking Sheets/Trays @
Php290.00 each quantity?
ok 29 ok
1,740.00 5 years

Project Cost

Breadcrumbs Processing
Particulars Amount (Php)
Fixed Assets kindly reconcile the amount and quantity
of your assets,with the computed depreciation
Land (200 sq.m.) 300,000.00
Building 200,000.00
1 Suzuki Multicab Fb 200,000.00
1 Packaging Sealer Machine 60,000.00
1 Oven (60cm; 60L capacity) 27,998.00
4 Blenders (1.5 Glass Jar) 10,000.00
4 Bread Knives 8" (@ Php 400.00 each) 1,600.00
4 Graters (@ Php 495.00 each) 1,980.00
2 Weighing Scales (@ Php 899.00 each) 1,798.00
6 Baking Sheets/Trays (@ Php 290.00 each) 1,740.00
Subtotal 805,116.00
Working Capital
Direct Materials 120,000.00
Direct Labor 16,000.00
Overhead 12,698.95
Operating Expense 111,388.89
Subtotal 260,087.84
TOTAL PROJECT COST 1,065,203.84

Projected Sales and Income

Breadcrumbs Processing
Particulars Amount (Php)
Sales (1 month)
Packs
250g (4,000 units @ Php 27.00 each ) 108,000.00
500g (2,000 units @ Php 53.00 each) 106,000.00
1kg (2,000 units @ Php 105.00 each) 210,000.00
TOTAL 424,000.00
Less: Cost of Sales
Direct Materials (1 month)
Bread (4,000kg @ Php 30.00/kg) 120,000.00
Direct Labor
4 Laborers (Php 200.00/day) 16,000.00
Overhead
 Utilities
Fuel 10,000.00
Electric Consumption 1,500.00
Water Consumption 600.00
Depreciation (Fixed Assets/EUL) recompute this and
include this in OPEX if significant amount is related to
assets used in business operation 598.95
TOTAL 148,698.95
Gross Profit 275,301.05
Less: Operating Expense
Supplies Expense
Packing Supplies 110,000.00
Depreciation (Building & Multicab) 1,388.89
Net Income Before Tax 163,912.16
Return on Investment (Ave. Net Income/TPC)Naye pls check
the figures and feedback if ok or not. TY. CHE 15.39%
Gross Profit Rate (Gross Profit/Total Sales) 64.93%
Net Profit Rate (Net Income/Total Sales) 38.66%
PAYBACK PERIOD (TPC/Ave. Net Income + Depreciation) 6 months and 12 days

***kindly check also the computation of ratios. NAYE PLS CHECK. ALL REVISIONS HAVE
BEEN MADE ALREADY.

Hi Maam Che and Maam Naye! ^^ Ok na po yung financial ko? San po yung may corrections
maam na kelangan ko irevise? -Bhai :)))

Sources
http://en.wikipedia.org/wiki/Bread_crumbs
http://startcooking.com/how-to-make-bread-crumbs
http://www.finecooking.com/item/5111/breadcrumbs
http://www.preparedfoods.com/articles/buying-into-breadcrumbs
http://www.yumsugar.com/Recipes-Use-Breadcrumbs-25710753#photo-
25710758
http://www.olx.ph/index.php/view+classifieds/id/44467484/200sqm+NAPO
COR%2C+Mabuhay+Lots+for+Sale+%28with+mango+trees%29?
event=Search+Ranking,Position,1-11,11 (land)