December 16, 2019

Important points reminders for Holy Gardens Memorial Plans (Destiny Plans)

Goals:    1.  To make services as important component of our total sales
                  say up to 20% in 2020

             2.  To exploit the more profitable segment of Memorial Business
                  we have minimal GP on Memorial Plots

             3.  To generate more cash flows with less cap ex on CGS (more liquidity)

Reality:

            1.  Due to sins of omission and commission, Destiny Plans is bleeding
                at the rate of P7,500 a day.  (including Saturday and Holidays)

               This is about P 225,000 a month  For 7 months now, this at P1,575,000
               that were caused by:

              1.  Non submission of reports faulty reporting, and or delayed;

              2.  Faulty documentation or non documentation

              3.  Negligence of senior Acctg personnel:   outsourcing and insourcicng

              4.  Lack of knowledge of the product, and proper procedure thereof

Some reminders and important processes to be observed:

            1.  Plans for funeral cremation and interment service in the amounts of
                 P30,000 are to be documented as Destiny (HGMP products) using
                 White Rose PPA.  All other products, bundled, less than P30,000 
                 which you continue to offer being affordable, shall not be documented
                 as White rose (this is causing us difficulty

           2.  Receipts:

               PR shall be issued for White Rose at the sbus, and OR will be issued
               by 3f upon receipt of PR and deposit slips.  By 2020 we expect the pay
               anywhere system shall be in place/operational

        3. Deposits

            Collection for Destiny shall be deposited at Destiny Financila Plans Inc
            account at MBTC Angono Number _____________

      4.  PPA

           This will be accomplished well and if possible typed by SBU or at 3f
           and immediately sent noted at 3f by RCRMA of Holy Gardens or Destiny

     5.  Insurance:

         IC and our product representation states that the contracts are to be
         insured for life and accident.   We must  accomplish the forms for
         insurance  and pay the premium asap.  We must finish the documentation
         with Grepalife and Malayan

     5.  Commission:

         1.  Commission shall be based on 10% of 70% and to be paid in one
              year.

         2.  Commission shall be paid only if:

             1.  There is a PPA
             2.  May insurance form
             3.  Proof of deposit and PR

    6.  Accounting for payments (Insurance accounting)

       1.  All payments received are called PREMIUM income

       2.  The Gross Profit is Premium income less Cost of Goods Sold which
             include:

           1. Trust Fund contirbution
           2.  VAT
           3.  Insurance
           4.  Commission
           5.   Collection Fee
           6.   Marketing expense

     3.  The breakdown varies  yearly due to payment of commission in one year.

    4.   Thus:

          Cash                    xxxx

               1.  TFC                             xxx
               2.  VAT                            xxx
              3.   Insurance                    xxx
              4.   Commission                xxx
              5.  Collection Fee
              6.   Marketing Expense

                    Gross Profit                xxxx

       TFC is booked as Nominal Account for TFC reserves
       and deposited with Union Bank the trustee bank

      All others are debited to expense as they are expended

For your additional knowledge and ompliance



   


       

--

























  Jorge U. Saguinsin

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