The Business plan financials and Financial section of the business plan

1.  Sources and Use of Funds: 

Sources of Funds:

Salubrious Water Company operations commenced on January 1, 2020.  My start-up funding is $50,000.  Salubrious Water Company has been financed by a $25,000 no-interest loan from Mr. Jay Allgood, principal due on or before 1/31/2025 and the other $25,000 was financed from my personal savings.  I am currently seeking additional funding in the form of a Small Business Administration Loan.  Future investors will be assured that I am dedicated to the success of Salubrious Water Company as a result in 50% of the start-up funding coming from personal savings. 

Use of Funds: 

Capital Expenditures

            Building Lease                                                $10,200                                                                                              

            Plant Equipment                                             $15,000

                         Total Capital Expenditure               $25,200

Working Capital

            Purchase of Inventory                                     $12,500

            Marketing Activities                                       $10,800                                      

            Other                                                                  $1,500

                        Total Working Capital                     $24,800

Total Use of Funds                                                     $50,000

2.  Plan assumptions:

Sales                            2020                2021                2022                            Annual Growth

Product Line               $     Units        $    Units         $    Units                     Rate %

Flavored Water           2 / 335302       2.05 / 425244  2.10 / 539313              26.7% (2020-2021)

                                                                                                                        26.8% (2021-2022)

3.  Break-even Point:

Year 1 (2020) monthly average break-even number for Salubrious Water Company is $39,063

Year 2 (2021) monthly average break-even number for Salubrious Water Company is $39,063

Year 3 (2022) quarterly average break-even number for Salubrious Water Company is $117,190

Year 4 (2023) quarterly average break-even number for Salubrious Water Company is $117,190

Year 5 (2024) yearly average break-even number for Salubrious Water Company is $468,759