Start-up Funding | |
Start-up Expenses to Fund | $41,300 |
Start-up Assets to Fund | $221,700 |
Total Funding Required | $263,000 |
Assets | |
Non-cash Assets from Start-up | $93,000 |
Cash Requirements from Start-up | $128,700 |
Additional Cash Raised | $0 |
Cash Balance on Starting Date | $128,700 |
Total Assets | $221,700 |
Liabilities and Capital | |
Liabilities | |
Current Borrowing | $0 |
Long-term Liabilities | $50,000 |
Accounts Payable (Outstanding Bills) | $0 |
Other Current Liabilities (interest-free) | $0 |
Total Liabilities | $50,000 |
Capital | |
Planned Investment | |
Investor 1 | $95,000 |
Investor 2 | $68,000 |
Other | $50,000 |
Additional Investment Requirement | $0 |
Total Planned Investment | $213,000 |
Loss at Start-up (Start-up Expenses) | ($41,300) |
Total Capital | $171,700 |
Total Capital and Liabilities | $221,700 |
Total Funding | $263,000 |
Green Office is a privately held corporation owned by Stan Cooksey. Green Office has been incorporated in Illinois.
Green Office offers a wide range of office supplies, all of which are environmentally friendly, they either use recycled content materials, sustainable products, or substitute toxic chemicals with non-toxic substitutes. Products include:
Green Office believes that it faces a market with many opportunities and significant demand. Green Office’s three main customer segments will be corporations, government agencies, and others which is a “catch all” category.
The office supply industry operates with several different large companies and many small ones. Within the office supplies industry there exists a niche of environmentally-friendly companies that Green Office competes against. Some of these companies serve local markets, others are Web-based for broader coverage.
Green Office has identified three customer segments that it will go after:
Market Analysis | |||||||
Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |||
Potential Customers | Growth | CAGR | |||||
Corporations | 8% | 12,009 | 12,970 | 14,008 | 15,129 | 16,339 | 8.00% |
Government Agencies | 3% | 7,886 | 8,123 | 8,367 | 8,618 | 8,877 | 3.00% |
Other | 7% | 56,888 | 60,870 | 65,131 | 69,690 | 74,568 | 7.00% |
Total | 6.77% | 76,783 | 81,963 | 87,506 | 93,437 | 99,784 | 6.77% |
As mentioned previously in the Market Segmentation section, three customer groups have been identified. Two of these, corporations and government agencies are quite attractive as customer segments. The third is used as a “catch all” category. The strategy will be the use of a targeted sales campaign that uses specific sales agents each of whom are responsible for a specific customer group.
The hiring process for these sales agents will be done with the specific group in mind. The agent responsible for the government agencies will be chosen based on his past experience and proficiency in selling to government agencies if possible. Green Office will therefore provide each experienced sales person with an exclusive territory, assisting them in achieving high sales marks for the respective customer group.
The broader industry that Green Office competes in the office supplies industry. Within that industry there are several market leaders:
Competition comes from two sources, direct and indirect competitors. Direct competitors are companies that offer similar lines of environmentally-friendly products. The main companies are:
The indirect competitors are companies within the office supplies industry who offer eco supplies, but do not concentrate on these products. Customers’ buying patterns are based on two main factors:
Green Office’s goal of becoming a major vendor of environmentally-friendly office supplies is an ambitious but achievable goal. Green Office will leverage its two part competitive edge to achieve this goal. The first edge is an unbeatable selection of green office supplies.
This all inclusive product catalog creates a compelling one stop shopping venue. This wonderful product selection will be supported by a customer-centric company culture. The marketing and sales strategies support these two competitive edges.
The marketing strategy seeks to develop an awareness of Green Office and its ability to offer a wide selection of eco-friendly office products. All products will be priced competitively, often at the same low price as non eco-friendly products.
The sales strategy will use specially engineered economic incentives that channel account manager behavior into the mode of ensuring, happy, long-term customers. This entire strategy is based on the company’s philosophy that it is far cheaper to maintain a current customer than it is to attract new ones.
Green Office competitive edge is two fold, a wide selection of office supplies making it a one stop shopping place and a strong customer service oriented organization where the customers are assigned a specific sales agent/account manager to assist them.
By offering a strong product catalog, customers are able to place all of their office supplies orders at one place instead of having to contact multiple vendors each week or month, whatever the interval may be. Creating the perception that all of the company’s office supply needs can be met by one company, Green Office has a competitive edge.
The second edge is Green Office’s focus on customer service. The company recognizes that if long-term sustainable growth is desired, the customers must feel like that they are being offered the finest service. This will ensure the building of a loyal customer base that will assist Green Office in becoming a sustainable operation.
The marketing strategy will be based on a communication effort that announces Green Office’s two competitive edges, their selection and customer service. To be able to order all of an office’s supply needs from one easy-to-work-with vendor is a significant value. Backing up the extensive product catalog with top rate customer service will retain customers.
Green Office will undertake a marketing campaign that communicates its competitive edge. The campaign will rely primarily on print advertising. The media outlets to be used will be determined based on the readership levels and targeted companies. The campaign will develop an awareness of Green Office to the targeted customers. The development of an awareness or image of Green Office is the first step in the implementation strategy, the second step is the sales strategy detailed in the following section.
Green Office’s sales strategy will be based on the conversion of qualified sales leads into paying customers. The key emphasis here is customer service. Green Office recognizes that customers desire that their needs are taken care of.
Additionally, customers want a seemless experience where their expectations are managed. Green Office will accomplish these lofty goals by assigning a specific account manager/sales agent to each customer (assigned by the customer type). The sales agent receives a commission not just for the individual sale but also using a complex formula that takes into account long-term customer satisfaction of the client.
Green Office therefore has developed an economic incentive for its account managers to develop long-term customers. This incentive based system is key to the sales strategy because it creates an incentive for the sales agent to take into account Green Office’s strategic survival, not just the agents short-term compensation. In addition, long-term customers are more profitable than new customers.
Green Office adopted a conservative forecast for the business plan. These conservative estimates will help ensure that the company does not face any cash flow shortages within the first couple of years The sales forecast also takes into account that Green Office is a start-up organization and it will take time to generate a level of sustainable sales. Sales will increase at a slow but steady rate. Please see the three following table and charts for graphical representation of the sales forecasts.
Sales Forecast | |||
Year 1 | Year 2 | Year 3 | |
Sales | |||
Corporations | $92,892 | $298,887 | $366,544 |
Government Agencies | $107,470 | $358,664 | $439,853 |
Other | $59,362 | $161,399 | $197,934 |
Total Sales | $259,724 | $818,950 | $1,004,331 |
Direct Cost of Sales | Year 1 | Year 2 | Year 3 |
Corporations | $47,380 | $194,277 | $238,254 |
Government Agencies | $56,856 | $233,132 | $285,904 |
Other | $25,585 | $104,909 | $128,657 |
Subtotal Direct Cost of Sales | $129,821 | $532,318 | $652,815 |
Green Office has identified four specific milestones that will serve as goals for the organization to achieve. While the milestones are lofty in terms of qualitative standards and the timeline deadline, they are achievable.
Milestones | |||||
Milestone | Start Date | End Date | Budget | Manager | Department |
Business plan completion | 1/1/2004 | 2/15/2004 | $0 | Stan | Business Development |
First major government agency account | 1/1/2004 | 4/1/2004 | $0 | Sales Manager | Sales |
$200K in sales | 1/1/2004 | 2/15/2005 | $0 | Sales Manager | Sales |
Profitability | 1/1/2004 | 6/1/2005 | $0 | Stan | Entire company |
Totals | $0 |
The website will be developed to offer customers a product catalog for online orders. The overriding design philosophy of the site is ease of use. Green Office wants to make the process of placing an order as easy and fast as possible thereby encouraging increased sales. Green Office will incorporate special features such as a section that is specific to each customer so the customer can easily make purchases of repeat items. Instead of going through the website every month and locating their monthly needs, the site captures regularly ordered items for that specific customer, significantly speeding up the ordering process. This ease-of-use feature will help increase sales as customers become more and more familiar with the site and appreciate how easy it is to place an order.
The marketing strategy for the website will begin initially with a simple strategy of search engine submissions and the use of pay-per-clicks which is a service of Google and Overture where the company pays the search engine every time a surfer clicks through to the Green Office site.
Green Office has secured a start-up website design company to design and develop the site. As a result, the company is able to negotiate a favorable rate for the development and maintenance of the site.
7.1 personnel plan.
Personnel Plan | |||
Year 1 | Year 2 | Year 3 | |
Stan | $20,000 | $22,000 | $24,200 |
Willma | $20,000 | $22,000 | $24,200 |
Sales | $15,000 | $16,500 | $18,150 |
Sales | $12,000 | $13,200 | $14,520 |
Sales | $9,000 | $9,900 | $10,890 |
Accounting | $6,400 | $7,040 | $7,744 |
Shipping | $15,000 | $16,500 | $18,150 |
Shipping | $12,000 | $13,200 | $14,520 |
Shipping | $7,000 | $7,700 | $8,470 |
Admin/customer support | $10,000 | $11,000 | $12,100 |
Admin/customer support | $4,800 | $5,280 | $5,808 |
Total People | 11 | 11 | 11 |
Total Payroll | $131,200 | $144,320 | $158,752 |
The following sections will outline important financial information.
The following table details important Financial Assumptions.
General Assumptions | |||
Year 1 | Year 2 | Year 3 | |
Plan Month | 1 | 2 | 3 |
Current Interest Rate | 9.00% | 9.00% | 9.00% |
Long-term Interest Rate | 8.00% | 8.00% | 8.00% |
Tax Rate | 30.00% | 30.00% | 30.00% |
Other | 0 | 0 | 0 |
The following table and chart show our break-even analysis.
Break-even Analysis | |
Monthly Revenue Break-even | $31,303 |
Assumptions: | |
Average Percent Variable Cost | 50% |
Estimated Monthly Fixed Cost | $15,657 |
The following table will indicate Projected Profit and Loss.
Pro Forma Profit and Loss | |||
Year 1 | Year 2 | Year 3 | |
Sales | $259,724 | $818,950 | $1,004,331 |
Direct Cost of Sales | $129,821 | $532,318 | $652,815 |
Other Costs of Goods | $0 | $0 | $0 |
Total Cost of Sales | $129,821 | $532,318 | $652,815 |
Gross Margin | $129,903 | $286,633 | $351,516 |
Gross Margin % | 50.02% | 35.00% | 35.00% |
Expenses | |||
Payroll | $131,200 | $144,320 | $158,752 |
Sales and Marketing and Other Expenses | $2,400 | $2,400 | $2,400 |
Depreciation | $8,700 | $8,700 | $8,700 |
Rent | $12,000 | $12,000 | $12,000 |
Utilities | $6,000 | $6,000 | $6,000 |
Insurance | $2,400 | $2,400 | $2,400 |
Payroll Taxes | $19,680 | $27,180 | $28,080 |
Website Maintenance | $5,500 | $6,500 | $7,500 |
Total Operating Expenses | $187,880 | $209,500 | $225,832 |
Profit Before Interest and Taxes | ($57,977) | $77,133 | $125,684 |
EBITDA | ($49,277) | $85,833 | $134,384 |
Interest Expense | $3,854 | $3,731 | $3,500 |
Taxes Incurred | $0 | $22,021 | $36,655 |
Net Profit | ($61,831) | $51,381 | $85,528 |
Net Profit/Sales | -23.81% | 6.27% | 8.52% |
The following chart and table will indicate Projected Cash Flow.
Pro Forma Cash Flow | |||
Year 1 | Year 2 | Year 3 | |
Cash Received | |||
Cash from Operations | |||
Cash Sales | $64,931 | $204,738 | $251,083 |
Cash from Receivables | $151,445 | $520,877 | $722,308 |
Subtotal Cash from Operations | $216,376 | $725,615 | $973,390 |
Additional Cash Received | |||
Sales Tax, VAT, HST/GST Received | $0 | $0 | $0 |
New Current Borrowing | $0 | $3,000 | $0 |
New Other Liabilities (interest-free) | $0 | $0 | $0 |
New Long-term Liabilities | $0 | $0 | $0 |
Sales of Other Current Assets | $0 | $0 | $0 |
Sales of Long-term Assets | $0 | $0 | $0 |
New Investment Received | $0 | $36,000 | $0 |
Subtotal Cash Received | $216,376 | $764,615 | $973,390 |
Expenditures | Year 1 | Year 2 | Year 3 |
Expenditures from Operations | |||
Cash Spending | $131,200 | $144,320 | $158,752 |
Bill Payments | $130,946 | $601,459 | $748,773 |
Subtotal Spent on Operations | $262,146 | $745,779 | $907,525 |
Additional Cash Spent | |||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 |
Principal Repayment of Current Borrowing | $0 | $0 | $2,234 |
Other Liabilities Principal Repayment | $0 | $0 | $0 |
Long-term Liabilities Principal Repayment | $3,403 | $3,302 | $3,324 |
Purchase Other Current Assets | $0 | $0 | $0 |
Purchase Long-term Assets | $0 | $0 | $0 |
Dividends | $0 | $0 | $0 |
Subtotal Cash Spent | $265,548 | $749,080 | $913,083 |
Net Cash Flow | ($49,173) | $15,534 | $60,308 |
Cash Balance | $79,527 | $95,062 | $155,369 |
The following table will indicate the Projected Balance Sheet.
Pro Forma Balance Sheet | |||
Year 1 | Year 2 | Year 3 | |
Assets | |||
Current Assets | |||
Cash | $79,527 | $95,062 | $155,369 |
Other Current Assets | $3,500 | $3,500 | $3,500 |
Total Current Assets | $141,788 | $269,506 | $368,509 |
Long-term Assets | |||
Long-term Assets | $43,500 | $43,500 | $43,500 |
Accumulated Depreciation | $8,700 | $17,400 | $26,100 |
Total Long-term Assets | $34,800 | $26,100 | $17,400 |
Total Assets | $176,588 | $295,606 | $385,909 |
Liabilities and Capital | Year 1 | Year 2 | Year 3 |
Current Liabilities | |||
Accounts Payable | $20,122 | $52,060 | $62,392 |
Current Borrowing | $0 | $3,000 | $766 |
Other Current Liabilities | $0 | $0 | $0 |
Subtotal Current Liabilities | $20,122 | $55,060 | $63,158 |
Long-term Liabilities | $46,597 | $43,296 | $39,972 |
Total Liabilities | $66,719 | $98,356 | $103,131 |
Paid-in Capital | $213,000 | $249,000 | $249,000 |
Retained Earnings | ($41,300) | ($103,131) | ($51,750) |
Earnings | ($61,831) | $51,381 | $85,528 |
Total Capital | $109,869 | $197,250 | $282,779 |
Total Liabilities and Capital | $176,588 | $295,606 | $385,909 |
Net Worth | $109,869 | $197,250 | $282,779 |
The following table shows common Business Ratios, specific to Green Office as well as to the industry as a whole.
Ratio Analysis | ||||
Year 1 | Year 2 | Year 3 | Industry Profile | |
Sales Growth | 0.00% | 215.32% | 22.64% | 1.50% |
Percent of Total Assets | ||||
Accounts Receivable | 24.55% | 46.24% | 43.44% | 38.65% |
Inventory | 8.73% | 11.59% | 10.89% | 28.15% |
Other Current Assets | 1.98% | 1.18% | 0.91% | 18.82% |
Total Current Assets | 80.29% | 91.17% | 95.49% | 85.62% |
Long-term Assets | 19.71% | 8.83% | 4.51% | 14.38% |
Total Assets | 100.00% | 100.00% | 100.00% | 100.00% |
Current Liabilities | 11.39% | 18.63% | 16.37% | 43.40% |
Long-term Liabilities | 26.39% | 14.65% | 10.36% | 11.10% |
Total Liabilities | 37.78% | 33.27% | 26.72% | 54.50% |
Net Worth | 62.22% | 66.73% | 73.28% | 45.50% |
Percent of Sales | ||||
Sales | 100.00% | 100.00% | 100.00% | 100.00% |
Gross Margin | 50.02% | 35.00% | 35.00% | 22.64% |
Selling, General & Administrative Expenses | 96.00% | 31.88% | 28.47% | 13.42% |
Advertising Expenses | 0.00% | 0.00% | 0.00% | 0.26% |
Profit Before Interest and Taxes | -22.32% | 9.42% | 12.51% | 1.70% |
Main Ratios | ||||
Current | 7.05 | 4.89 | 5.83 | 1.77 |
Quick | 6.28 | 4.27 | 5.17 | 1.07 |
Total Debt to Total Assets | 37.78% | 33.27% | 26.72% | 5.52% |
Pre-tax Return on Net Worth | -56.28% | 37.21% | 43.21% | 59.64% |
Pre-tax Return on Assets | -35.01% | 24.83% | 31.66% | 13.69% |
Additional Ratios | Year 1 | Year 2 | Year 3 | |
Net Profit Margin | -23.81% | 6.27% | 8.52% | n.a |
Return on Equity | -56.28% | 26.05% | 30.25% | n.a |
Activity Ratios | ||||
Accounts Receivable Turnover | 4.49 | 4.49 | 4.49 | n.a |
Collection Days | 56 | 53 | 74 | n.a |
Inventory Turnover | 5.91 | 21.43 | 17.12 | n.a |
Accounts Payable Turnover | 7.51 | 12.17 | 12.17 | n.a |
Payment Days | 27 | 21 | 28 | n.a |
Total Asset Turnover | 1.47 | 2.77 | 2.60 | n.a |
Debt Ratios | ||||
Debt to Net Worth | 0.61 | 0.50 | 0.36 | n.a |
Current Liab. to Liab. | 0.30 | 0.56 | 0.61 | n.a |
Liquidity Ratios | ||||
Net Working Capital | $121,666 | $214,446 | $305,351 | n.a |
Interest Coverage | -15.04 | 20.67 | 35.91 | n.a |
Additional Ratios | ||||
Assets to Sales | 0.68 | 0.36 | 0.38 | n.a |
Current Debt/Total Assets | 11% | 19% | 16% | n.a |
Acid Test | 4.13 | 1.79 | 2.52 | n.a |
Sales/Net Worth | 2.36 | 4.15 | 3.55 | n.a |
Dividend Payout | 0.00 | 0.00 | 0.00 | n.a |
Sales Forecast | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | |||||||||||||
Corporations | 0% | $0 | $0 | $7,645 | $8,212 | $8,455 | $8,747 | $9,212 | $9,454 | $9,987 | $10,112 | $10,414 | $10,654 |
Government Agencies | 0% | $0 | $0 | $8,774 | $9,454 | $9,746 | $10,096 | $10,654 | $10,945 | $11,584 | $11,734 | $12,097 | $12,385 |
Other | 0% | $0 | $0 | $5,048 | $5,354 | $5,486 | $5,643 | $5,894 | $6,025 | $6,313 | $6,380 | $6,544 | $6,673 |
Total Sales | $0 | $0 | $21,467 | $23,021 | $23,687 | $24,487 | $25,761 | $26,424 | $27,884 | $28,227 | $29,054 | $29,712 | |
Direct Cost of Sales | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Corporations | $0 | $0 | $3,669 | $4,038 | $4,196 | $4,386 | $4,688 | $4,845 | $5,192 | $5,273 | $5,469 | $5,625 | |
Government Agencies | $0 | $0 | $4,403 | $4,845 | $5,035 | $5,263 | $5,625 | $5,814 | $6,230 | $6,327 | $6,563 | $6,750 | |
Other | $0 | $0 | $1,981 | $2,180 | $2,266 | $2,368 | $2,531 | $2,616 | $2,803 | $2,847 | $2,953 | $3,038 | |
Subtotal Direct Cost of Sales | $0 | $0 | $10,054 | $11,064 | $11,496 | $12,016 | $12,845 | $13,276 | $14,225 | $14,447 | $14,985 | $15,413 |
Personnel Plan | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Stan | 0% | $0 | $0 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 |
Willma | 0% | $0 | $0 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 |
Sales | 0% | $0 | $0 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 |
Sales | 0% | $0 | $0 | $0 | $0 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 |
Sales | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 |
Accounting | 0% | $0 | $0 | $0 | $0 | $800 | $800 | $800 | $800 | $800 | $800 | $800 | $800 |
Shipping | 0% | $0 | $0 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 |
Shipping | 0% | $0 | $0 | $0 | $0 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 |
Shipping | 0% | $0 | $0 | $0 | $0 | $0 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 |
Admin/customer support | 0% | $0 | $0 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 |
Admin/customer support | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $800 | $800 | $800 | $800 | $800 | $800 |
Total People | 0 | 0 | 5 | 5 | 8 | 9 | 11 | 11 | 11 | 11 | 11 | 11 | |
Total Payroll | $0 | $0 | $8,000 | $8,000 | $11,800 | $12,800 | $15,100 | $15,100 | $15,100 | $15,100 | $15,100 | $15,100 |
General Assumptions | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Plan Month | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | |
Current Interest Rate | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | |
Long-term Interest Rate | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | |
Tax Rate | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | 30.00% | |
Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Pro Forma Profit and Loss | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Sales | $0 | $0 | $21,467 | $23,021 | $23,687 | $24,487 | $25,761 | $26,424 | $27,884 | $28,227 | $29,054 | $29,712 | |
Direct Cost of Sales | $0 | $0 | $10,054 | $11,064 | $11,496 | $12,016 | $12,845 | $13,276 | $14,225 | $14,447 | $14,985 | $15,413 | |
Other Costs of Goods | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Cost of Sales | $0 | $0 | $10,054 | $11,064 | $11,496 | $12,016 | $12,845 | $13,276 | $14,225 | $14,447 | $14,985 | $15,413 | |
Gross Margin | $0 | $0 | $11,414 | $11,957 | $12,190 | $12,470 | $12,916 | $13,148 | $13,660 | $13,779 | $14,069 | $14,299 | |
Gross Margin % | 0.00% | 0.00% | 53.17% | 51.94% | 51.46% | 50.93% | 50.14% | 49.76% | 48.99% | 48.82% | 48.42% | 48.13% | |
Expenses | |||||||||||||
Payroll | $0 | $0 | $8,000 | $8,000 | $11,800 | $12,800 | $15,100 | $15,100 | $15,100 | $15,100 | $15,100 | $15,100 | |
Sales and Marketing and Other Expenses | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
Depreciation | $725 | $725 | $725 | $725 | $725 | $725 | $725 | $725 | $725 | $725 | $725 | $725 | |
Rent | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
Utilities | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Insurance | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
Payroll Taxes | 15% | $0 | $0 | $1,200 | $1,200 | $1,770 | $1,920 | $2,265 | $2,265 | $2,265 | $2,265 | $2,265 | $2,265 |
Website Maintenance | $0 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
Total Operating Expenses | $2,625 | $3,125 | $12,325 | $12,325 | $16,695 | $17,845 | $20,490 | $20,490 | $20,490 | $20,490 | $20,490 | $20,490 | |
Profit Before Interest and Taxes | ($2,625) | ($3,125) | ($911) | ($368) | ($4,505) | ($5,375) | ($7,574) | ($7,342) | ($6,830) | ($6,711) | ($6,421) | ($6,191) | |
EBITDA | ($1,900) | ($2,400) | ($186) | $357 | ($3,780) | ($4,650) | ($6,849) | ($6,617) | ($6,105) | ($5,986) | ($5,696) | ($5,466) | |
Interest Expense | $332 | $330 | $328 | $326 | $324 | $322 | $320 | $318 | $316 | $315 | $313 | $311 | |
Taxes Incurred | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Net Profit | ($2,957) | ($3,455) | ($1,239) | ($694) | ($4,829) | ($5,697) | ($7,894) | ($7,660) | ($7,147) | ($7,025) | ($6,734) | ($6,501) | |
Net Profit/Sales | 0.00% | 0.00% | -5.77% | -3.01% | -20.39% | -23.26% | -30.64% | -28.99% | -25.63% | -24.89% | -23.18% | -21.88% |
Pro Forma Cash Flow | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Cash Received | |||||||||||||
Cash from Operations | |||||||||||||
Cash Sales | $0 | $0 | $5,367 | $5,755 | $5,922 | $6,122 | $6,440 | $6,606 | $6,971 | $7,057 | $7,264 | $7,428 | |
Cash from Receivables | $0 | $0 | $0 | $537 | $16,139 | $17,282 | $17,785 | $18,397 | $19,337 | $19,854 | $20,922 | $21,191 | |
Subtotal Cash from Operations | $0 | $0 | $5,367 | $6,292 | $22,061 | $23,404 | $24,225 | $25,003 | $26,308 | $26,911 | $28,185 | $28,619 | |
Additional Cash Received | |||||||||||||
Sales Tax, VAT, HST/GST Received | 0.00% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
New Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Other Liabilities (interest-free) | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Sales of Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
New Investment Received | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Received | $0 | $0 | $5,367 | $6,292 | $22,061 | $23,404 | $24,225 | $25,003 | $26,308 | $26,911 | $28,185 | $28,619 | |
Expenditures | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Expenditures from Operations | |||||||||||||
Cash Spending | $0 | $0 | $8,000 | $8,000 | $11,800 | $12,800 | $15,100 | $15,100 | $15,100 | $15,100 | $15,100 | $15,100 | |
Bill Payments | $74 | $2,248 | $2,770 | $3,928 | $3,945 | $4,854 | $15,401 | $18,659 | $18,739 | $20,139 | $19,678 | $20,511 | |
Subtotal Spent on Operations | $74 | $2,248 | $10,770 | $11,928 | $15,745 | $17,654 | $30,501 | $33,759 | $33,839 | $35,239 | $34,778 | $35,611 | |
Additional Cash Spent | |||||||||||||
Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Principal Repayment of Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Other Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Long-term Liabilities Principal Repayment | $273 | $275 | $277 | $279 | $281 | $283 | $284 | $286 | $288 | $290 | $292 | $294 | |
Purchase Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Purchase Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Dividends | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Cash Spent | $348 | $2,523 | $11,047 | $12,207 | $16,026 | $17,936 | $30,785 | $34,045 | $34,127 | $35,529 | $35,070 | $35,905 | |
Net Cash Flow | ($348) | ($2,523) | ($5,680) | ($5,915) | $6,035 | $5,468 | ($6,560) | ($9,043) | ($7,819) | ($8,618) | ($6,885) | ($7,286) | |
Cash Balance | $128,352 | $125,829 | $120,149 | $114,235 | $120,270 | $125,738 | $119,177 | $110,135 | $102,316 | $93,698 | $86,814 | $79,527 |
Pro Forma Balance Sheet | |||||||||||||
Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
Assets | Starting Balances | ||||||||||||
Current Assets | |||||||||||||
Cash | $128,700 | $128,352 | $125,829 | $120,149 | $114,235 | $120,270 | $125,738 | $119,177 | $110,135 | $102,316 | $93,698 | $86,814 | $79,527 |
Other Current Assets | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 | $3,500 |
Total Current Assets | $178,200 | $177,852 | $175,329 | $175,696 | $175,447 | $171,612 | $176,792 | $172,596 | $165,405 | $160,112 | $153,032 | $147,554 | $141,788 |
Long-term Assets | |||||||||||||
Long-term Assets | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 | $43,500 |
Accumulated Depreciation | $0 | $725 | $1,450 | $2,175 | $2,900 | $3,625 | $4,350 | $5,075 | $5,800 | $6,525 | $7,250 | $7,975 | $8,700 |
Total Long-term Assets | $43,500 | $42,775 | $42,050 | $41,325 | $40,600 | $39,875 | $39,150 | $38,425 | $37,700 | $36,975 | $36,250 | $35,525 | $34,800 |
Total Assets | $221,700 | $220,627 | $217,379 | $217,021 | $216,047 | $211,487 | $215,942 | $211,021 | $203,105 | $197,087 | $189,282 | $183,079 | $176,588 |
Liabilities and Capital | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
Current Liabilities | |||||||||||||
Accounts Payable | $0 | $2,157 | $2,639 | $3,797 | $3,795 | $4,344 | $14,779 | $18,036 | $18,067 | $19,484 | $18,995 | $19,817 | $20,122 |
Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Subtotal Current Liabilities | $0 | $2,157 | $2,639 | $3,797 | $3,795 | $4,344 | $14,779 | $18,036 | $18,067 | $19,484 | $18,995 | $19,817 | $20,122 |
Long-term Liabilities | $50,000 | $49,727 | $49,452 | $49,175 | $48,896 | $48,615 | $48,333 | $48,048 | $47,762 | $47,474 | $47,183 | $46,891 | $46,597 |
Total Liabilities | $50,000 | $51,884 | $52,090 | $52,972 | $52,691 | $52,959 | $63,112 | $66,084 | $65,829 | $66,957 | $66,178 | $66,709 | $66,719 |
Paid-in Capital | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 | $213,000 |
Retained Earnings | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) | ($41,300) |
Earnings | $0 | ($2,957) | ($6,411) | ($7,650) | ($8,344) | ($13,173) | ($18,870) | ($26,764) | ($34,424) | ($41,571) | ($48,596) | ($55,329) | ($61,831) |
Total Capital | $171,700 | $168,743 | $165,289 | $164,050 | $163,356 | $158,527 | $152,830 | $144,936 | $137,276 | $130,129 | $123,104 | $116,371 | $109,869 |
Total Liabilities and Capital | $221,700 | $220,627 | $217,379 | $217,021 | $216,047 | $211,487 | $215,942 | $211,021 | $203,105 | $197,087 | $189,282 | $183,079 | $176,588 |
Net Worth | $171,700 | $168,743 | $165,289 | $164,050 | $163,356 | $158,527 | $152,830 | $144,936 | $137,276 | $130,129 | $123,104 | $116,371 | $109,869 |
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Wholesale Bicycle Distributor Business Plan. Wheelie Deals is a wholesale distributor of bicycles and bicycle parts, focusing on closeouts, discontinued models, seconds, etc. Before you write a business plan, do your homework. These sample business plans for wholesale and distribution businesses will give you the head start you need to get your ...
Download Template. Create a Business Plan. A wholesale business offers indefinite benefits starting with low operational costs, an extensive marketplace, and a recurring revenue model. The volume business brings along with lucrative profits and makes a wholesale business a rewarding venture. Anyone can start a wholesale business.
Executive summary. The executive summary of a business plan for a supplier serves as an overview of the entire document. It lets readers know what they can expect. When writing this section, you should know that the aim here is to present your business in a clear, comprehensive, and concise manner.
Distribution Service Plan Sample. 4. Independent Distributor Business Plan Sample. 5. Business Plan for Reclaimed Water Distribution Template. 6. Basic Distribution Business Plan Sample. 7. Gas Distribution Business Plan Sample.
Traditionally, a marketing plan includes the four P's: Product, Price, Place, and Promotion. For a wholesale business plan, your marketing strategy should include the following: Product: In the product section, you should reiterate the type of wholesale company that you documented in your company overview.
Download. Business in a Box templates are used by over 250,000 companies in United States, Canada, United Kingdom, Australia, South Africa and 190 countries worldwide. Quickly create your Supplier Business Plan Template - Download Word Template. Get 3,000+ templates to start, plan, organize, manage, finance and grow your business.
Lean Business Plan Template PDF. This scannable business plan template allows you to easily identify the most important elements of your plan. Use this template to outline key details pertaining to your business and industry, product or service offerings, target customer segments (and channels to reach them), and to identify sources of revenue.
The suppliers section of a business plan details the sources of goods, materials, or services essential for the company's operations. It highlights relationships, terms, and strategies for securing reliable and cost-effective supplies to sustain the business. This example was taken from one of our business plan templates.
Use the Goals feature in ClickUp to set and track your business goals, making sure they are SMART (specific, measurable, achievable, relevant, and time-bound). 2. Analyze the market. To create an effective business plan, you need a thorough understanding of the wholesale market. Research your target customers, competitors, and industry trends.
Free business plan template. A fill-in-the-blank template designed for business owners. Download Now. Sample Plans. ... the need for efficient and reliable suppliers grows with it. This means there is plenty of opportunities for modern manufacturers and wholesalers to step up to the plate. ... To help you get started, check out our library of ...
BUSINESS PLAN TEMPLATE DISCLAIMER Any articles, templates, or information provided by Smartsheet on the website are for reference only. While we strive to keep the information up to date and correct, we make no representations or warranties of any kind, express or implied, about the completeness, accura cy, reliability,
The rest, while still useful, go a bit lighter on guidance in favor of tailoring the plan to a specific industry. Explore: PandaDoc's business plan template library. 5. Canva — Pitch with your plan. Canva is a great option for building a visually stunning business plan that can be used as a pitch tool.
Business Plan James Smith Example Sandwich Co. High Street Town County UK1 1XX 0191 2668877 www.examplesandwichco.co.uk. Example Sandwich Co. Page 2 of 29 ... 3.6 Key Suppliers 21 4 Financial Projections 22 4.1 Sales Forecast 22 4.2 Direct Costs 22 4.3 Overheads 23 4.4 Fixed Assets 23 4.5 Investments 23 4.6 Loans 23
Focus on the future and keep your company moving forward with Jotform's Strategic Plan Template. Simply fill in the attached form with your company overview, delve deeper with a SWOT analysis, and finish off by determining your strategic goals, actions, and financial plans. Our fully-customizable template converts submitted information into ...
The cost for Start-up inventory (stocking with a wide range of building materials) - $250,000. The cost for counter area equipment - $9,500. The cost for store equipment (cash register, security, ventilation, signage) - $13,750. The cost of purchase and installation of CCTVs - $10,000.
Below are the sales projections for Julius Padres® Diesel Distribution Company, Inc., it is based on the location of our business, and other factors as it relates to diesel and other fuel products startups in the United States; First Fiscal Year: $440,000. Second Fiscal Year: $750,000. Third Fiscal Year: $1.5 million.
4 • Identify opportunities to increase spending with Minority, Small, Women and Local businesses. • Collaborating with internal stakeholders to increase participation. • Implementing internal systems to monitor and track progress of the program.. • Benchmarking against similar programs and incorporating best practices. Goals 1. Alignment: Align program guidelines and policies into ...
February 28, 2024. Business Plan. Creating a comprehensive business plan is crucial for launching and running a successful restaurant. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your restaurant's identity, navigate the competitive market, and secure funding for growth.
General Supplies Business Plan - Free download as Word Doc (.doc / .docx), PDF File (.pdf), Text File (.txt) or read online for free. Laveda General Supplies is a startup company providing general supplies like office equipment, stationery, and industrial tools. The company aims to solve procurement challenges for businesses by offering quality products and efficient delivery.
Free Download: Sample Food and Beverage Business Plan Templates. The food and beverage sector is booming. Restaurant openings rose 10% in 2023 compared to 2022 — even higher than in pre-pandemic years. From fine dining to food trucks, farmers to brewers, and wholesalers to coffee makers, there are opportunities across the food and beverage ...
You can get ideas from the terms and examples given above. Some sample terms could involve quantity, price breakdown, payment guidelines, severability or cancellation clauses, deliverables schedule, etc. It is important for a supplier contract to be comprehensive yet concise. Step 4: Confirmation of Agreement.
We encourage Suppliers to register as soon as possible as your account will need to be validated available. There is a quick reference guide that outlines the registration process under the . Links and Attachments section . on If you are doing business with the State at this time you may already have an account. To Access IPRO: 1.
"Nonprofit organization" means an organization qualified to do business in California and qualified under Section 501(c)(3) of Title 26 of the United States Code. ... "Small water supplier" means a community water system serving 15 to 2,999 service connections, inclusive, and that provides less than 3,000 acre-feet of water annually ...
This business plan has been developed to present our company to prospective supplier partners, employers, and investors. Zenergy Medical Industries is a start-up company focused initially on distribution of leading brands of therapeutic systems for use by residents of Homecare and Assisted Living facilities at risk of complications from X disease.
Plan development, personal protective equipment (PPE), monitoring, temporary measures, and any other related or incidental items necessary to complete the Work in for which separate payment is not provided under other items on the Pricing Schedule. B. Ceiling Texture Removal . 1.
growing State economy; encouraging business investment and job creation; and supporting diverse, prosperous local economies across the State. Staff should be familiar with the MWBE Operations Primer published by the Division of Minority and Women's Business Development to ensure compliance with MWBE-related laws and requirements.
Office desk sets with chairs and assorted supplies (6) Workstations and a central file server, two laser printers, and Internet connection (6) Copier, fax machine. Assorted pieces of office furniture. Assorted shipping material. Unit phone system with answer service (7) Shelving units for storage. Used fork lift.
9. Small Business/DVBE Option (GC §§ 14838.5; PCC §§ 10335.5(c)(6), 10340(b)(6)). a. This option allows for an award under the following conditions: 1) The contract is awarded to a certified small business, micro- business or disabled veteran-owned business; 2) The contract award is greater than $5,000 and less than $250,000; and