Financial Analysis

Evaluation of Financial Management Practices

of

LEAPS Labor Services

By

Artvin B. Bolledo

COMPANY PROFILE

Business Name: LEAPS Labor Services (Limoran Edwin Ayento Paradilla Saliente)

Date Established: June 2012

Founder/Owner: Edwin Limoran, Arturo Ayento, Mr. Paradilla, & Melfa Saliente

Type of Ownership: Single Proprietorship under the name of Edwin Limoran

In-progress application to form a Corporation

Location: Libertad, Isabel, Leyte

Services Offered:

Bid out Projects from PASAR Corporation;

-

Civil Works (Piping Installation, Furnaces Debricking)

-

Mechanical Works (Machine Installation & Repairs)

-

Electrical Works

-

Equipment Rentals

-

Supply of Tools & Consumables

Brief History

The owners of the business were once an employee of PASAR Corporation and others are

employed on some different contractors of PASAR. Like Melfa Saliente, a coordinator/manager of PERT

Manpower Services, an in-house contractor of PASAR. Her works was to facilitate the labor needs,

coordinate end-users, and also she does the accounting works of the agency. For almost 15 years in the

service and the agency paid her for only Php 700.00 a day. Then she realizes, that the salary she got from

her employer is not enough for the service she rendered. She does all the managing job, while her

employer got the bigger prize after the project was completed. Since she is capable enough to run the

business, and already established relationships from end-users and access to skilled workers. Then she

realized to form a business on its own.

On late June 2012 together with the other founders, they started the business with a starting

capital of Php 100,000.00 (Php 20,000/owner). Since they are a new player on the industry, LEAPS was

sub-contracted by PASAR Employees Multi-Purpose Cooperative Inc.(PEMCI) to earn & win bid-out

projects from PASAR. PEMCI was a reputable supplier of PASAR in terms of labor, supplies, and equipment

rentals, and...