Starting a Homebased Pandesal Making Business

Pandesal is a Spanish word for “salt bread”. It is a rounded bread usually eaten by Filipinos during breakfast. It is made of flour, eggs, lard, yeast, sugar, and salt. It has a soft, powdery texture, and is eaten in a number of ways combined with sandwich spreads.

Despite the literal meaning of its name, the taste of pandesal varies from bland to slightly sweet.

Estimated Investment Cost (based on 2009 prices)

Cost of Utensils:

  • Measuring cups/ spoons (plastic or stainless steel) – P70.00
  • Spatula – 49.00
  • Stainless bowl # 32 (2 pcs) – 260.00
  • Dough cutter – 53.50
  • Plancha – 64.75
  • Cheesecloth – 25.50
  • Sub-total – P522.75

Equipment:

  • Weighing scale – 379.00
  • Dough kneader – 83,853.00
  • Oven (8 planza thermostat) – 45,738.00
  • Working table – 15,246.00
  • Sub-total – P145,216.00

Raw Materials and Ingredients (bakers ration in %):

  • Bread flour, 30 kg – 1,128.00
  • Water, 16.5 kg – 0.00
  • Refined sugar, 5.4 kg – 186.00
  • Vegetable shortening, 1.5 kg – 84.00
  • Salt, 300 g – 60.00
  • Instant yeast , 210 g –  69.00
  • Bread crumbs, 7.5 g – 45.00
  • Sub-total – 1,572.00

Estimated total investment cost – P147,310.75

Procedure

One of the methods in bread making Is the straight-dough method. The procedures are simple and can be done in your own home.

  1. Preheat oven at 175 °C.
  2. Mix all ingredients.
  3. Knead the dough, place in bowl, cover with damp cheesecloth and leave for two hours.
  4. Punch dough to remove air.
  5. Divide the dough into 16 equal portions (about 550 g/piece).
  6. Form each dough piece with approximate length of 30 inches and roll in breadcrumbs.
  7. Rest dough for 45 minutes.
  8. Cut dough into 20 equal portions (about 27.5 g/piece).
  9. Roll in breadcrumbs and arrange on baking trays in cut side up manner.
  10. Proof until double in size in warm and moist proofing cabinet (about 32-34 °C with 85% relative humidity).
  11. Bake for 12-15 minutes or until golden brown.
  12. Finished product will result in 2,700 pieces of pandesal.

Estimated Costing and Pricing

  • A. Direct cost (raw materials, ingredients) – 1,572.00
  • B. Indirect cost (labor, transportation, water, electricity, 10% contingency)  – 739.00
  • C. Production cost (A + B) over the 2,700 pcs/yield (2,311/2,700) – 0.86
  • D. Product pricing (C +10% mark-up) – 0.95
  • Market price/piece – P1.00

Tips:

  • The higher the volume of production per day (i.e. more than 2,700 pcs), the lower the production cost, thus increasing the markup to more than 10%.
  • If price per kilo is lower compared with the existing market price, increase the mark-up to more than 10%.

Registration Requirements

  • Business name registration (www.bnrs.dti.gov.ph)
  • Mayor’s/Business Permit (check your local municipality/city)
  • BIR TIN (www.bir.gov.ph)
  • BFAD Certificate (www.bfad.gov.ph)

Financing Facility

  • GSIS Family Bank ([02] 706-0487 to 90 loc. 155)
  • NLDC ([02] 914-7290 to 97)
  • Opportunity Microfinance Bank ([02] 630-0141 loc 222/229)
  • People’s Credit and Finance Corp (www.pcfc.gov.ph)
  • PMDF ([02] 641-2207, 642-3895)
  • Small Business Corp. ([02] 751-1888)

Technical Assistance (Training and Seminar)

  • DTI-CITC ([02] 942-3974, 948-2875, 941-4516)
  • DOST-STII ([02] 837-2191 to 95, www.stii.dost.gov.ph)

source: dti.gov.ph

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