Business Plan and a Pitch Deck and the Financial Worksheet

MASTER-SCOREFinancialAnalysisFormOLD8-20-2019JoesLandscaping.xls

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Introduction

	Financial Projection Model
	This spreadsheet walks you through the process of developing an integrated set of financial projections.
	To use this model, simply complete any information asked for found in the color yellow.
	Example: Fill in boxes that look like this	- 0
	A number found in the color green is optional information that you can complete.
	Example: Check these assumptions	- 0
	Otherwise, any information found in black type is automatically calculated for you.
	Although the cells that are calculated are locked (or protected), you can turn off this protection to modify the sheets.
	To do this, select "Tools" from the menu bar at the top of the screen. Then select, "Protection."
	Finally, select "Unprotect Sheet" and you will be able to edit any labels or formulas.
	Before you begin, we need some information about your business to best customize your financial statements.
	Please enter the name of your business in the box below:
	Joe's Landscaping
	The first six worksheets in this workbook are steps you will need to complete. They are titled:
	1. Required Start-Up Funds
	2. Salaries and Wages
	3. Fixed Operating Expenses
	4. Projected Sales Forecast (2 sheets)
	5. Cash Receipts and Disbursements
	The sixth step titled, "Beginning Balance Sheet" is for existing businesses only.
	Begin by clicking on the tabs below
	q

1. Required Start-Up Funds

Joe's Landscaping								3-Nov-20
Required Start-Up Funds for a New Business
Required Start-Up Funds			Amount	Totals	Depreciation		Notes
	Fixed Assets							Fixed Assets			Pur.
		Real Estate	$ 100,000.00					Real Estate		$ 10,000.00
		Buildings			20.00	years		Buildings		$ 50,000.00
		Leasehold Improvements			7.00	years		Leasehold Improvements
		Equipment	$ 2,500.00		7.00	years		Equipment		$ 2,500.00
		Furniture and Fixtures	$ 1,000.00		5.00	years		Furniture and Fixtures		$ 1,000.00
		Vehicles	$ 25,000.00		5.00	years		Vehicles		$ 25,000.00
		Other Fixed Assets	$ 1,500.00		5.00	years		Other Fixed Assets		$ 1,500.00
	Total Fixed Assets			130,000
	Operating Capital							Operating Capital
		Pre-Opening Salaries and Wages	$ 1,000.00					Pre-Opening Salaries and Wages		$ 1,000.00
		Prepaid Insurance Premiums	$ 1,500.00					Prepaid Insurance Premiums		$ 1,500.00
		Beginning Inventory	$ - 0					Beginning Inventory		$ - 0
		Prof. Services (legal,CPA,Bus.Coach)	$ 2,500.00					Prof. Services (legal,CPA,Bus.Coach)		$ 2,500.00
		Rent Deposits	$ 300.00					Rent Deposits		$ 300.00
		Utility Deposits	$ 300.00					Utility Deposits		$ 300.00
		Supplies	$ 1,000.00					Supplies		$ 1,000.00
		Advertising and Promotions	$ 1,500.00					Advertising and Promotions		$ 1,500.00
		Licenses/Permits	$ 300.00					Licenses/Permits		$ 300.00
		Other Initial Start-Up Costs	$ 1,500.00					Other Initial Start-Up Costs		$ 1,500.00
		Working Capital (Cash On Hand)	$ 7,000.00					Working Capital (Cash On Hand)		$ 5,000.00
	Total Operating Capital			16,900
Total Required Funds				$ 146,900
Sources of Funding			Amount	Totals	Loan Rate	Term in Months	Monthly Payments	Sources of Funding
	Owner's Cash Injection		68.07%	100,000				Investment (Owner plus others)		$ 100,000.00
	Outside Investors		0.00%	- 0
	Additional Loans or Debt							Debt
		Commercial Loan	0.00%	- 0	9.00%	72.00	$0.00		$ - 0
		Commercial Mortgage	31.93%	46,900	9.00%	240.00	$421.97		$ 46,900.00
Total Sources of Funding			100.00%	$ 146,900			$421.97	Total		$ 46,900.00
0				$ - 0				SBA Loan guarantee	85%	$ 39,865.00		$ - 0
								Bank	15%	$ 7,035.00
										$ 46,900.00

2. Salaries and Wages

Joe's Landscaping												3-Nov-20
Salaries and Wages
Salaries and Related Expenses				#	Assumptions	Wage Base	Monthly		Year One	Year Two	Year Three
Percent Change										3.00%	3.00%
Salaries and Wages
	Owner's Compensation			1			$ 2,500		30,000	30,900	31,827
	Office manager								- 0	- 0	- 0
	Wages
		Managers		0			- 0		- 0	- 0	- 0
			Estimated Hours Per Week		- 0
			Estimated Rate Per Hour		$ - 0
		Assistants		1			3,683		44,200	45,526	46,892
			Estimated Hours Per Week		50.00
			Estimated Rate Per Hour		$ 17.00
	Independent Contractors						- 0		- 0	- 0	- 0
Total Salaries and Wages				2			6,183		74,200	76,426	78,719
Payroll Taxes and Benefits
	Social Security				6.20%	$ 102,000	383		4,600	4,738	4,881
	Medicare				1.45%		90		1,076	1,108	1,141
	Federal Unemployment Tax (FUTA)				0.80%	$ 7,000	9		112	112	112
	State Unemployment Tax (SUTA)				2.70%	$ 7,000	32		378	378	378
	Employee Pension Programs				0.00%		- 0		- 0	- 0	- 0
	Worker's Compensation				0.00%		- 0		- 0	- 0	- 0
	Employee Health Insurance				0.00%		- 0		- 0	- 0	- 0
	Other Employee Benefit Programs				0.00%		- 0		- 0	- 0	- 0
Total Payroll Taxes and Benefits							514	8%	6,166	6,337	6,512
Total Salaries and Related Expenses							6,697		80,366	82,763	85,231

3. Fixed Operating Expenses

Joe's Landscaping								3-Nov-20
Fixed Operating Expenses
Fixed Operating Expenses			Monthly	Year One	Year Two	Year Three	Notes
Percent Change					3.00%	3.00%
Expenses								Expenses	MONTHLY
	Advertising		$ 250	3,000	3,090	3,183		Advertising	$ 250
	Auto expenses		$ 500	6,000	6,180	6,365		Auto expenses	$ 500
	Telephone/Internet		$ 150	1,800	1,854	1,910		Telephone/Internet	$ 150
	Insurance (Liability and Property)		$ 150	1,800	1,854	1,910		Insurance (Liability and Property)	$ 150
	Legal and Professional Fees		$ 350	4,200	4,326	4,456		Legal and Professional Fees	$ 350	(Attorney, CPA, Other- Quarterly/monthly)
	Merchant Fees (Credit Card and Bank Charges)		$ 100	1,200	1,236	1,273		Merchant Fees (Credit Card and Bank Charges)	$ 100	(3 % of credit card receipts)
	Office expense		$ 150	1,800	1,854	1,910		Office expense	$ 150
	Payroll Expense		$ - 0	- 0	- 0	- 0		Payroll Expense	$ - 0
	Rent/Lease		$ 150	1,800	1,854	1,910		Rent/Lease	$ 150
	Repair/Maintenance		$ 300	3,600	3,708	3,819		Repair/Maintenance	$ 300
	Shipping and Delivery		$ 50	600	618	637		Shipping and Delivery	$ 50
	Taxes		$ - 0	- 0	- 0	- 0		Taxes	$ - 0
	Travel		$ - 0	- 0	- 0	- 0		Travel	$ - 0
	Utilities		$ 150	1,800	1,854	1,910		Utilities	$ 150
	Personnel expenses (Training, etc.)		$ 150	1,800	1,854	1,910		Personnel expenses (Training, etc.)	$ 150
	Miscellaneous		$ 150	1,800	1,854	1,910		Miscellaneous	$ 150
	Independent Contractors		$ 1,500	18,000	18,540	19,096		Independent Contractors	$ 3,000	(Contractor rate ($25/Hr)X Hrs per month(120)= $3,000)
	Customer Service Call center		$ 150	1,800	1,854	1,910		Customer Service Call center	$ 150
	Business Coach		$ 150	1,800	1,854	1,910		Business Coach	$ 150
				- 0	- 0	- 0
Total Expenses			4,400	52,800	54,384	56,016
Other Expenses
	Depreciation		488	5,857	5,857	5,857
	Interest
		Commercial Loan	- 0	- 0	- 0	- 0
		Commercial Mortgage	349	4,185	4,103	4,013
		Line of Credit	- 0	- 0	- 0	- 0
Total Other Expenses			837	10,042	9,960	9,870
Total Fixed Operating Expenses			5,237	62,842	64,344	65,886

4. Projected Sales Forecast

Joe's Landscaping																	3-Nov-20
Projected Sales Forecast
					Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Products and Services			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	Totals
Mow
	Price Per Unit		$ 50.00	100.00%
	Variable Cost Per Unit		$ 5.00	10.00%														QUESTION: WHAT IS THE MAX PER CREW?
	Gross Margin Per Unit		$ 45.00	90.00%
	Projected Unit Sales
		Seasonality Factor			7.64%	7.64%	7.64%	8.28%	8.60%	8.92%	8.92%	9.24%	9.24%	8.28%	7.96%	7.64%	100.00%
		Year One			120	120	120	130	135	140	140	145	145	130	125	120	1,570	No units per day (5) X days/Week (6) X Weeks/Month (4)= 120 units/month
		Year Two Growth	0.00%		120	120	120	135	135	145	145	150	150	140	135	130	1,625	No units per day (6) X days/Week (6) X Weeks/Month (4)= 144 units/month
		Year Three Growth	0.00%		130	130	130	145	145	145	150	160	165	150	145	140	1,735	No units per day (7) X days/Week (6) X Weeks/Month (4)= 168 units/month
	Fixed Expense Allocation		39.37%
	Projected Revenue		$ 78,500
	Variable Costs		7,850
	Gross Margin		70,650
	Fixed Expenses		24,741
	Profit		45,909	58.48%
	Breakeven Sales Revenue		$ 27,490.16
	Breakeven Sales Units		550		120	240	360	490	625	765	905	1,050	1,195	1,325	1,450	1,570
Trim
	Price Per Unit		$ 10.00	100.00%
	Variable Cost Per Unit		$ 2.00	20.00%
	Gross Margin Per Unit		$ 8.00	80.00%
	Projected Unit Sales
		Seasonality Factor			7.64%	7.64%	7.64%	8.28%	8.60%	8.92%	8.92%	9.24%	9.24%	8.28%	7.96%	7.64%	100.00%
		Year One			120	120	120	130	135	140	140	145	145	130	125	120	1,570
		Year Two Growth			120	120	120	135	135	145	145	150	150	140	135	130	1,625
		Year Three Growth			130	130	130	145	145	145	150	160	165	150	145	140	1,735
	Fixed Expense Allocation		7.87%
	Projected Revenue		$ 15,700
	Variable Costs		3,140
	Gross Margin		12,560
	Fixed Expenses		4,948
	Profit		7,612	48.48%
	Breakeven Sales Revenue		$ 6,185.29
	Breakeven Sales Units		619		120	240	360	490	625	765	905	1,050	1,195	1,325	1,450	1,570

5. Projected Sales Forecast (2)

Joe's Landscaping																	3-Nov-20
Projected Sales Forecast - Page 2
Products and Services			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	Totals
Bag
	Price Per Unit		$ 2.00	100.00%
	Variable Cost Per Unit		$ 0.50	25.00%
	Gross Margin Per Unit		$ 1.50	75.00%
	Projected Unit Sales
		Seasonality Factor			7.64%	7.64%	7.64%	8.28%	8.60%	8.92%	8.92%	9.24%	9.24%	8.28%	7.96%	7.64%	100.00%
		Year One			120	120	120	130	135	140	140	145	145	130	125	120	1,570
		Year Two Growth			120	120	120	135	135	145	145	150	150	140	135	130	1,625
		Year Three Growth			130	130	130	145	145	145	150	160	165	150	145	140	1,735
	Fixed Expense Allocation		1.57%
	Projected Revenue		$ 3,140
	Variable Costs		785
	Gross Margin		2,355
	Fixed Expenses		990
	Profit		1,365	43.48%
	Breakeven Sales Revenue		$ 1,319.53
	Breakeven Sales Units		660		120	240	360	490	625	765	905	1,050	1,195	1,325	1,450	1,570
Package
	Price Per Unit		$ 65.00	100.00%
	Variable Cost Per Unit		$ 7.50	11.54%
	Gross Margin Per Unit		$ 57.50	88.46%
	Projected Unit Sales
		Seasonality Factor			7.64%	7.64%	7.64%	8.28%	8.60%	8.92%	8.92%	9.24%	9.24%	8.28%	7.96%	7.64%	100.00%
		Year One			120	120	120	130	135	140	140	145	145	130	125	120	1,570
		Year Two Growth	0.00%		120	120	120	135	135	145	145	150	150	140	135	130	1,625
		Year Three Growth	0.00%		130	130	130	145	145	145	150	160	165	150	145	140	1,735
	Fixed Expense Allocation		51.18%
	Projected Revenue		$ 102,050
	Variable Costs		11,775
	Gross Margin		90,275
	Fixed Expenses		32,163
	Profit		58,112	56.94%
	Breakeven Sales Revenue		$ 36,358.72
	Breakeven Sales Units		559		120	240	360	490	625	765	905	1,050	1,195	1,325	1,450	1,570

6. Cash Receipts-Disbursements

Joe's Landscaping						3-Nov-20
Cash Receipts and Disbursements
Accounts Receivable Collections
	Percent of Collections
		0 to 30 days	75.00%
		31 to 60 days	25.00%
		More than 60 days	0.00%
	Total Collections Percentage		100.00%
Accounts Payable Disbursements
	Number of Days to Pay Suppliers
		0 to 30 days	100.00%
		31 to 60 days	0.00%
		More than 60 days	0.00%
	Total Disbursements Percentage		100.00%
Line of Credit Assumptions
	Desired Minimum Cash Balance		$ 1,000.00
	Line of Credit Interest Rate		9.00%
Income Tax Assumptions
	Effective Income Tax Rate		15.00%
				2,800	233
Amortization of Start-Up Expenses				500	42
	Amortization Period in Years		3.00		275

7. Beginning Balance Sheet

Joe's Landscaping
Balance Sheet (For Existing Businesses Only)
DO NOT USE THIS PAGE FOR ANY DATA ENTRY
The opening balance sheet is now shown on the "start-up" page inputs, so this page is unnecessary.
			12/31/06	%
Assets
	Current Assets
		Cash	- 0
		Accounts Receivable	- 0
		Inventory	- 0
		Prepaid Expenses	- 0
		Other Current	- 0
	Total Current Assets		- 0
	Fixed Assets
		Real Estate	- 0
		Buildings	- 0
		Leasehold Improvements	- 0
		Equipment	- 0
		Furniture and Fixtures	- 0
		Vehicles	- 0
		Other Fixed Assets	- 0
	Total Fixed Assets		- 0
	Less: Accumulated Depreciation		- 0
Total Assets			- 0
Liabilities and Owner's Equity
	Liabilities
		Accounts Payable	- 0
		Notes Payable	- 0
		Mortgage Payable	- 0
		Line of Credit Balance	- 0
	Total Liabilities		- 0
	Owner's Equity
		Common Stock	- 0
		Retained Earnings	- 0
		Dividends Dispersed	- 0
	Total Owner's Equity		- 0
Total Liabilities and Owner's Equity			- 0
			Statement Balances

8. Income Statement

Joe's Landscaping
Projected Income Statement - Year One
			Month 1	Month 2	Month 3	Month 4	Month 5	Month 6	Month 7	Month 8	Month 9	Month 10	Month 11	Month 12	Totals
Income																Fixed Expense Allocation
	Mow		6,000	6,000	6,000	6,500	6,750	7,000	7,000	7,250	7,250	6,500	6,250	6,000	78,500	39%
	Trim		1,200	1,200	1,200	1,300	1,350	1,400	1,400	1,450	1,450	1,300	1,250	1,200	15,700	8%
	Bag		240	240	240	260	270	280	280	290	290	260	250	240	3,140	2%
	Package		7,800	7,800	7,800	8,450	8,775	9,100	9,100	9,425	9,425	8,450	8,125	7,800	102,050	51%
Total Income			15,240	15,240	15,240	16,510	17,145	17,780	17,780	18,415	18,415	16,510	15,875	15,240	199,390	100%
Cost of Sales
	Mow		600	600	600	650	675	700	700	725	725	650	625	600	7,850
	Trim		240	240	240	260	270	280	280	290	290	260	250	240	3,140
	Bag		60	60	60	65	68	70	70	73	73	65	63	60	785
	Package		900	900	900	975	1,013	1,050	1,050	1,088	1,088	975	938	900	11,775
Total Cost of Sales			1,800	1,800	1,800	1,950	2,025	2,100	2,100	2,175	2,175	1,950	1,875	1,800	23,550
Gross Margin			13,440	13,440	13,440	14,560	15,120	15,680	15,680	16,240	16,240	14,560	14,000	13,440	175,840
Salaries and Wages
	Owner's Compensation		2,500	2,500	2,500	2,500	2,500	2,500	2,500	2,500	2,500	2,500	2,500	2,500	30,000
	Office manager		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Managers		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Assistants		3,683	3,683	3,683	3,683	3,683	3,683	3,683	3,683	3,683	3,683	3,683	3,683	44,200
	Independent Contractors		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Payroll Taxes and Benefits		514	514	514	514	514	514	514	514	514	514	514	514	6,166
Total Salary and Wages			6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	80,366
Fixed Business Expenses
	Advertising		250	250	250	250	250	250	250	250	250	250	250	250	3,000
	Auto expenses		500	500	500	500	500	500	500	500	500	500	500	500	6,000
	Telephone/Internet		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	Insurance (Liability and Property)		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	Legal and Professional Fees		350	350	350	350	350	350	350	350	350	350	350	350	4,200
	Merchant Fees (Credit Card and Bank Charges)		100	100	100	100	100	100	100	100	100	100	100	100	1,200
	Office expense		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	Payroll Expense		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Rent/Lease		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	Repair/Maintenance		300	300	300	300	300	300	300	300	300	300	300	300	3,600
	Shipping and Delivery		50	50	50	50	50	50	50	50	50	50	50	50	600
	Taxes		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Travel		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Utilities		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	Personnel expenses (Training, etc.)		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	Miscellaneous		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	Independent Contractors		1,500	1,500	1,500	1,500	1,500	1,500	1,500	1,500	1,500	1,500	1,500	1,500	18,000
	Customer Service Call center		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	Business Coach		150	150	150	150	150	150	150	150	150	150	150	150	1,800
	0		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Total Fixed Business Expenses			4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	52,800
Other Expenses
	Amortized Start-up Expenses		275	275	275	275	275	275	275	275	275	275	275	275	3,300
	Depreciation		488	488	488	488	488	488	488	488	488	488	488	488	5,857
	Interest
		Commercial Loan	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Commercial Mortgage	352	351	351	350	350	349	349	348	347	347	346	346	4,185
		Line of Credit	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Taxes		225	226	226	394	478	562	562	646	646	394	310	226	4,895
Total Other Expenses			1,340	1,340	1,339	1,507	1,590	1,674	1,674	1,757	1,757	1,504	1,420	1,335	18,237
Net Income			1,003	1,003	1,003	1,956	2,432	2,909	2,909	3,386	3,386	1,959	1,483	1,008	24,437
			1,503	1,503	1,504	2,625	3,185	3,746	3,746	4,307	4,307	2,628	2,068	1,509
			1,503	3,006	4,510	7,135	10,320	14,066	17,812	22,119	26,426	29,054	31,122	32,631

9. Cash Flow Statement

Joe's Landscaping
Projected Cash Flow Statement - Year One
			Month 1	Month 2	Month 3	Month 4	Month 5	Month 6	Month 7	Month 8	Month 9	Month 10	Month 11	Month 12	Totals
Beginning Cash Balance			7,000	5,111	7,032	8,276	10,999	14,441	17,010	21,171	25,733	28,600	32,117	34,757
Cash Inflows
	Income from Sales		11,430	11,430	11,430	12,383	12,859	13,335	13,335	13,811	13,811	12,383	11,906	11,430	149,543
	Accounts Receivable		- 0	3,810	3,810	3,810	4,128	4,286	4,445	4,445	4,604	4,604	4,128	3,969	46,038
Total Cash Inflows			11,430	15,240	15,240	16,193	16,986	17,621	17,780	18,256	18,415	16,986	16,034	15,399	195,580
Cash Outflows
	Investing Activities
		New Capital Purchases	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Inventory Purchases	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Cost of Sales	1,800	1,800	1,800	1,950	2,025	2,100	2,100	2,175	2,175	1,950	1,875	1,800	23,550
	Operating Activities
		Salaries and Wages	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	6,697	80,366
		Fixed Business Expenses	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	4,400	52,800
		Taxes	- 0	- 0	677	- 0	- 0	1,433	- 0	- 0	1,854	- 0	- 0	931	4,895
	Financing Activities														- 0
		Loan Payments	422	422	422	422	422	422	422	422	422	422	422	422	5,064
		Line of Credit Interest	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Line of Credit Repayments	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Dividends Paid	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Total Cash Outflows			13,319	13,319	13,996	13,469	13,544	15,052	13,619	13,694	15,548	13,469	13,394	14,250	166,675
Cash Flow			(1,889)	1,921	1,244	2,723	3,442	2,569	4,161	4,562	2,867	3,517	2,640	1,149	28,905
Operating Cash Balance			5,111	7,032	8,276	10,999	14,441	17,010	21,171	25,733	28,600	32,117	34,757	35,905
Line of Credit Drawdowns			- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Ending Cash Balance			5,111	7,032	8,276	10,999	14,441	17,010	21,171	25,733	28,600	32,117	34,757	35,905
Line of Credit Balance			- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0

10. Balance Sheet

Joe's Landscaping
Balance Sheet - Year One
			Base Period	End of Year One
Assets
	Current Assets
		Cash	7,000	35,905
		Accounts Receivable	- 0	3,810
		Inventory	- 0	- 0
		Prepaid Expenses	8,400	5,600
		Other Current	1,500	1,000
	Total Current Assets		16,900	46,315
	Fixed Assets
		Real Estate	100,000	100,000
		Buildings	- 0	- 0
		Leasehold Improvements	- 0	- 0
		Equipment	2,500	2,500
		Furniture and Fixtures	1,000	1,000
		Vehicles	25,000	25,000
		Other Fixed Assets	1,500	1,500
	Total Fixed Assets		130,000	130,000
	Less: Accumulated Depreciation		- 0	5,857
Total Assets			146,900	170,458
Liabilities and Owner's Equity
	Liabilities
		Accounts Payable	- 0	- 0
		Notes Payable	- 0	- 0
		Mortgage Payable	46,900	46,022
		Line of Credit Balance	- 0	- 0
	Total Liabilities		46,900	46,022
	Owner's Equity
		Common Stock	100,000	100,000
		Retained Earnings	- 0	24,437
		Dividends Dispersed	- 0	- 0
	Total Owner's Equity		100,000	124,437
Total Liabilities and Owner's Equity			146,900	170,458
			Statement Balances	Statement Balances

11. Year End Summary

Joe's Landscaping
Year End Summary
			Year One	%	Year Two	%	Year Three	%
Income
	Mow		78,500		81,250		86,750
	Trim		15,700		16,250		17,350
	Bag		3,140		3,250		3,470
	Package		102,050		105,625		112,775
Total Income			199,390	100.00%	206,375	100.00%	220,345	100.00%
Cost of Sales
	Mow		7,850		8,125		8,675
	Trim		3,140		3,250		3,470
	Bag		785		813		868
	Package		11,775		12,188		13,013
Total Cost of Sales			23,550	11.81%	24,375	11.81%	26,025	11.81%
Gross Margin			175,840	88.19%	182,000	88.19%	194,320	88.19%
Salaries and Wages
	Owner's Compensation		30,000		30,900		31,827
	Office manager		- 0		- 0		- 0
	Managers		- 0		- 0		- 0
	Assistants		44,200		45,526		46,892
	Independent Contractors		- 0		- 0		- 0
	Payroll Taxes and Benefits		6,166		6,337		6,512
Total Salary and Wages			80,366	40.31%	82,763	40.10%	85,231	38.68%
Fixed Business Expenses
	Advertising		3,000		3,090		3,183
	Auto expenses		6,000		6,180		6,365
	Telephone/Internet		1,800		1,854		1,910
	Insurance (Liability and Property)		1,800		1,854		1,910
	Legal and Professional Fees		4,200		4,326		4,456
	Merchant Fees (Credit Card and Bank Charges)		1,200		1,236		1,273
	Office expense		1,800		1,854		1,910
	Payroll Expense		- 0		- 0		- 0
	Rent/Lease		1,800		1,854		1,910
	Repair/Maintenance		3,600		3,708		3,819
	Shipping and Delivery		600		618		637
	Taxes		- 0		- 0		- 0
	Travel		- 0		- 0		- 0
	Utilities		1,800		1,854		1,910
	Personnel expenses (Training, etc.)		1,800		1,854		1,910
	Miscellaneous		1,800		1,854		1,910
	Independent Contractors		18,000		18,540		19,096
	Customer Service Call center		1,800		1,854		1,910
	Business Coach		1,800		1,854		1,910
	0		- 0		- 0		- 0
Total Fixed Business Expenses			52,800	26.48%	54,384	26.35%	56,016	25.42%
Other Expenses
	Amortized Start-up Expenses		3,300		3,300		3,300
	Depreciation		5,857		5,857		5,857
	Interest
		Commercial Loan	- 0		- 0		- 0
		Commercial Mortgage	4,185		4,103		4,013
		Line of Credit	- 0		- 0		- 0
	Taxes		4,895		5,234		6,481
Total Other Expenses			18,237	9.15%	18,494	8.96%	19,651	8.92%
Net Income			24,437	12.26%	26,359	12.77%	33,423	15.17%

12. Income Statement (2)

Joe's Landscaping
Projected Income Statement - Year Two
			Month 1	Month 2	Month 3	Month 4	Month 5	Month 6	Month 7	Month 8	Month 9	Month 10	Month 11	Month 12	Totals
Income
	Mow		6,000	6,000	6,000	6,750	6,750	7,250	7,250	7,500	7,500	7,000	6,750	6,500	81,250
	Trim		1,200	1,200	1,200	1,350	1,350	1,450	1,450	1,500	1,500	1,400	1,350	1,300	16,250
	Bag		240	240	240	270	270	290	290	300	300	280	270	260	3,250
	Package		7,800	7,800	7,800	8,775	8,775	9,425	9,425	9,750	9,750	9,100	8,775	8,450	105,625
Total Income			15,240	15,240	15,240	17,145	17,145	18,415	18,415	19,050	19,050	17,780	17,145	16,510	206,375
Cost of Sales
	Mow		600	600	600	675	675	725	725	750	750	700	675	650	8,125
	Trim		240	240	240	270	270	290	290	300	300	280	270	260	3,250
	Bag		60	60	60	68	68	73	73	75	75	70	68	65	813
	Package		900	900	900	1,013	1,013	1,088	1,088	1,125	1,125	1,050	1,013	975	12,188
Total Cost of Sales			1,800	1,800	1,800	2,025	2,025	2,175	2,175	2,250	2,250	2,100	2,025	1,950	24,375
Gross Margin			13,440	13,440	13,440	15,120	15,120	16,240	16,240	16,800	16,800	15,680	15,120	14,560	182,000
Salaries and Wages
	Owner's Compensation		2,575	2,575	2,575	2,575	2,575	2,575	2,575	2,575	2,575	2,575	2,575	2,575	30,900
	Office manager		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Managers		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Assistants		3,794	3,794	3,794	3,794	3,794	3,794	3,794	3,794	3,794	3,794	3,794	3,794	45,526
	Independent Contractors		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Payroll Taxes and Benefits		528	528	528	528	528	528	528	528	528	528	528	528	6,337
Total Salary and Wages			6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	82,763
Fixed Business Expenses
	Advertising		258	258	258	258	258	258	258	258	258	258	258	258	3,090
	Auto expenses		515	515	515	515	515	515	515	515	515	515	515	515	6,180
	Telephone/Internet		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	Insurance (Liability and Property)		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	Legal and Professional Fees		361	361	361	361	361	361	361	361	361	361	361	361	4,326
	Merchant Fees (Credit Card and Bank Charges)		103	103	103	103	103	103	103	103	103	103	103	103	1,236
	Office expense		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	Payroll Expense		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Rent/Lease		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	Repair/Maintenance		309	309	309	309	309	309	309	309	309	309	309	309	3,708
	Shipping and Delivery		52	52	52	52	52	52	52	52	52	52	52	52	618
	Taxes		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Travel		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Utilities		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	Personnel expenses (Training, etc.)		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	Miscellaneous		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	Independent Contractors		1,545	1,545	1,545	1,545	1,545	1,545	1,545	1,545	1,545	1,545	1,545	1,545	18,540
	Customer Service Call center		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	Business Coach		155	155	155	155	155	155	155	155	155	155	155	155	1,854
	0		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Total Fixed Business Expenses			4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	54,384
Other Expenses
	Amortized Start-up Expenses		275	275	275	275	275	275	275	275	275	275	275	275	3,300
	Depreciation		488	488	488	488	488	488	488	488	488	488	488	488	5,857
	Interest
		Commercial Loan	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Commercial Mortgage	345	345	344	343	343	342	342	341	340	340	339	339	4,103
		Line of Credit	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Taxes		177	177	177	429	429	597	597	681	681	513	430	346	5,234
Total Other Expenses			1,285	1,284	1,284	1,535	1,535	1,702	1,702	1,785	1,785	1,616	1,532	1,447	18,494
Net Income			726	727	727	2,156	2,156	3,109	3,109	3,586	3,586	2,635	2,159	1,684	26,359
			1,178	1,178	1,179	2,860	2,860	3,981	3,981	4,542	4,543	3,423	2,864	2,304
			1,178	2,356	3,535	6,395	9,255	13,236	17,217	21,759	26,302	29,725	32,589	34,893

13. Cash Flow Statement (2)

Joe's Landscaping
Projected Cash Flow Statement - Year Two
			Month 1	Month 2	Month 3	Month 4	Month 5	Month 6	Month 7	Month 8	Month 9	Month 10	Month 11	Month 12	Totals
Beginning Cash Balance			35,905	37,495	39,084	40,143	42,935	46,205	48,821	53,210	58,001	60,990	65,137	68,564
Cash Inflows
	Income from Sales		11,430	11,430	11,430	12,859	12,859	13,811	13,811	14,288	14,288	13,335	12,859	12,383	154,781
	Accounts Receivable		3,810	3,810	3,810	3,810	4,286	4,286	4,604	4,604	4,763	4,763	4,445	4,286	51,276
Total Cash Inflows			15,240	15,240	15,240	16,669	17,145	18,098	18,415	18,891	19,050	18,098	17,304	16,669	206,058
Cash Outflows
	Investing Activities
		New Capital Purchases	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Inventory Purchases	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Cost of Sales	1,800	1,800	1,800	2,025	2,025	2,175	2,175	2,250	2,250	2,100	2,025	1,950	24,375
	Operating Activities
		Salaries and Wages	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	6,897	82,763
		Fixed Business Expenses	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	4,532	54,384
		Taxes	- 0	- 0	530	- 0	- 0	1,455	- 0	- 0	1,960	- 0	- 0	1,289	5,234
	Financing Activities														- 0
		Loan Payments	422	422	422	422	422	422	422	422	422	422	422	422	5,064
		Line of Credit Interest	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Line of Credit Repayments	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Dividends Paid	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Total Cash Outflows			13,651	13,651	14,181	13,876	13,876	15,481	14,026	14,101	16,061	13,951	13,876	15,090	171,819
Cash Flow			1,589	1,589	1,059	2,793	3,269	2,617	4,389	4,790	2,989	4,147	3,428	1,579	34,238
Operating Cash Balance			37,495	39,084	40,143	42,935	46,205	48,821	53,210	58,001	60,990	65,137	68,564	70,144
Line of Credit Drawdowns			- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Ending Cash Balance			37,495	39,084	40,143	42,935	46,205	48,821	53,210	58,001	60,990	65,137	68,564	70,144
Line of Credit Balance			- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0

14. Balance Sheet (2)

Joe's Landscaping
Balance Sheet - Year Two
			End of Year One	End of Year Two
Assets
	Current Assets
		Cash	35,905	70,144
		Accounts Receivable	3,810	4,128
		Inventory	- 0	- 0
		Prepaid Expenses	5,600	2,800
		Other Current	1,000	500
	Total Current Assets		46,315	77,571
	Fixed Assets
		Real Estate	100,000	100,000
		Buildings	- 0	- 0
		Leasehold Improvements	- 0	- 0
		Equipment	2,500	2,500
		Furniture and Fixtures	1,000	1,000
		Vehicles	25,000	25,000
		Other Fixed Assets	1,500	1,500
	Total Fixed Assets		130,000	130,000
	Less: Accumulated Depreciation		5,857	11,714
Total Assets			170,458	195,856
Liabilities and Owner's Equity
	Liabilities
		Accounts Payable	- 0	- 0
		Notes Payable	- 0	- 0
		Mortgage Payable	46,022	45,061
		Line of Credit Balance	- 0	- 0
	Total Liabilities		46,022	45,061
	Owner's Equity
		Common Stock	100,000	100,000
		Retained Earnings	24,437	50,796
		Dividends Dispersed	- 0	- 0
	Total Owner's Equity		124,437	150,796
Total Liabilities and Owner's Equity			170,458	195,856
			Statement Balances	Statement Balances

15. Income Statement (3)

Joe's Landscaping
Projected Income Statement - Year Three
			Month 1	Month 2	Month 3	Month 4	Month 5	Month 6	Month 7	Month 8	Month 9	Month 10	Month 11	Month 12	Totals
Income
	Mow		6,500	6,500	6,500	7,250	7,250	7,250	7,500	8,000	8,250	7,500	7,250	7,000	86,750
	Trim		1,300	1,300	1,300	1,450	1,450	1,450	1,500	1,600	1,650	1,500	1,450	1,400	17,350
	Bag		260	260	260	290	290	290	300	320	330	300	290	280	3,470
	Package		8,450	8,450	8,450	9,425	9,425	9,425	9,750	10,400	10,725	9,750	9,425	9,100	112,775
Total Income			16,510	16,510	16,510	18,415	18,415	18,415	19,050	20,320	20,955	19,050	18,415	17,780	220,345
Cost of Sales
	Mow		650	650	650	725	725	725	750	800	825	750	725	700	8,675
	Trim		260	260	260	290	290	290	300	320	330	300	290	280	3,470
	Bag		65	65	65	73	73	73	75	80	83	75	73	70	868
	Package		975	975	975	1,088	1,088	1,088	1,125	1,200	1,238	1,125	1,088	1,050	13,013
Total Cost of Sales			1,950	1,950	1,950	2,175	2,175	2,175	2,250	2,400	2,475	2,250	2,175	2,100	26,025
Gross Margin			14,560	14,560	14,560	16,240	16,240	16,240	16,800	17,920	18,480	16,800	16,240	15,680	194,320
Salaries and Wages
	Owner's Compensation		2,652	2,652	2,652	2,652	2,652	2,652	2,652	2,652	2,652	2,652	2,652	2,652	31,827
	Office manager		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Managers		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Assistants		3,908	3,908	3,908	3,908	3,908	3,908	3,908	3,908	3,908	3,908	3,908	3,908	46,892
	Independent Contractors		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Payroll Taxes and Benefits		543	543	543	543	543	543	543	543	543	543	543	543	6,512
Total Salary and Wages			7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	85,231
Fixed Business Expenses
	Advertising		265	265	265	265	265	265	265	265	265	265	265	265	3,183
	Auto expenses		530	530	530	530	530	530	530	530	530	530	530	530	6,365
	Telephone/Internet		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	Insurance (Liability and Property)		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	Legal and Professional Fees		371	371	371	371	371	371	371	371	371	371	371	371	4,456
	Merchant Fees (Credit Card and Bank Charges)		106	106	106	106	106	106	106	106	106	106	106	106	1,273
	Office expense		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	Payroll Expense		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Rent/Lease		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	Repair/Maintenance		318	318	318	318	318	318	318	318	318	318	318	318	3,819
	Shipping and Delivery		53	53	53	53	53	53	53	53	53	53	53	53	637
	Taxes		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Travel		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Utilities		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	Personnel expenses (Training, etc.)		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	Miscellaneous		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	Independent Contractors		1,591	1,591	1,591	1,591	1,591	1,591	1,591	1,591	1,591	1,591	1,591	1,591	19,096
	Customer Service Call center		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	Business Coach		159	159	159	159	159	159	159	159	159	159	159	159	1,910
	0		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Total Fixed Business Expenses			4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	56,016
Other Expenses
	Amortized Start-up Expenses		275	275	275	275	275	275	275	275	275	275	275	275	3,300
	Depreciation		488	488	488	488	488	488	488	488	488	488	488	488	5,857
	Interest
		Commercial Loan	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Commercial Mortgage	338	337	337	336	335	335	334	333	333	332	331	331	4,013
		Line of Credit	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Taxes		295	295	295	547	547	547	631	799	883	631	547	464	6,481
Total Other Expenses			1,396	1,395	1,394	1,646	1,645	1,645	1,728	1,896	1,979	1,727	1,642	1,557	19,651
Net Income			1,394	1,394	1,395	2,824	2,824	2,825	3,301	4,254	4,730	3,303	2,827	2,352	33,423
			1,963	1,964	1,965	3,645	3,646	3,647	4,207	5,328	5,889	4,209	3,650	3,091
			1,963	3,927	5,892	9,537	13,183	16,830	21,037	26,365	32,254	36,463	40,113	43,204

16. Cash Flow Statement (3)

Joe's Landscaping
Projected Cash Flow Statement - Year Three
			Month 1	Month 2	Month 3	Month 4	Month 5	Month 6	Month 7	Month 8	Month 9	Month 10	Month 11	Month 12	Totals
Beginning Cash Balance			70,144	72,511	74,879	76,362	79,934	83,981	86,388	90,837	96,247	100,062	105,146	109,352
Cash Inflows
	Income from Sales		12,383	12,383	12,383	13,811	13,811	13,811	14,288	15,240	15,716	14,288	13,811	13,335	165,259
	Accounts Receivable		4,128	4,128	4,128	4,128	4,604	4,604	4,604	4,763	5,080	5,239	4,763	4,604	54,769
Total Cash Inflows			16,510	16,510	16,510	17,939	18,415	18,415	18,891	20,003	20,796	19,526	18,574	17,939	220,028
Cash Outflows
	Investing Activities
		New Capital Purchases	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Inventory Purchases	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Cost of Sales	1,950	1,950	1,950	2,175	2,175	2,175	2,250	2,400	2,475	2,250	2,175	2,100	26,025
	Operating Activities
		Salaries and Wages	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	7,103	85,231
		Fixed Business Expenses	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	4,668	56,016
		Taxes	- 0	- 0	884	- 0	- 0	1,641	- 0	- 0	2,314	- 0	- 0	1,642	6,481
	Financing Activities														- 0
		Loan Payments	422	422	422	422	422	422	422	422	422	422	422	422	5,064
		Line of Credit Interest	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Line of Credit Repayments	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Dividends Paid	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Total Cash Outflows			14,142	14,142	15,026	14,367	14,367	16,008	14,442	14,592	16,981	14,442	14,367	15,935	178,816
Cash Flow			2,368	2,368	1,484	3,571	4,048	2,407	4,449	5,410	3,815	5,084	4,206	2,004	41,212
Operating Cash Balance			72,511	74,879	76,362	79,934	83,981	86,388	90,837	96,247	100,062	105,146	109,352	111,356
Line of Credit Drawdowns			- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Ending Cash Balance			72,511	74,879	76,362	79,934	83,981	86,388	90,837	96,247	100,062	105,146	109,352	111,356
Line of Credit Balance			- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0

17. Balance Sheet (3)

Joe's Landscaping
Balance Sheet - Year Three
			End of Year Two	End of Year Three
Assets
	Current Assets
		Cash	70,144	111,356
		Accounts Receivable	4,128	4,445
		Inventory	- 0	- 0
		Prepaid Expenses	2,800	- 0
		Other Current	500	- 0
	Total Current Assets		77,571	115,801
	Fixed Assets
		Real Estate	100,000	100,000
		Buildings	- 0	- 0
		Leasehold Improvements	- 0	- 0
		Equipment	2,500	2,500
		Furniture and Fixtures	1,000	1,000
		Vehicles	25,000	25,000
		Other Fixed Assets	1,500	1,500
	Total Fixed Assets		130,000	130,000
	Less: Accumulated Depreciation		11,714	17,571
Total Assets			195,856	228,229
Liabilities and Owner's Equity
	Liabilities
		Accounts Payable	- 0	- 0
		Notes Payable	- 0	- 0
		Mortgage Payable	45,061	44,010
		Line of Credit Balance	- 0	- 0
	Total Liabilities		45,061	44,010
	Owner's Equity
		Common Stock	100,000	100,000
		Retained Earnings	50,796	84,219
		Dividends Dispersed	- 0	- 0
	Total Owner's Equity		150,796	184,219
Total Liabilities and Owner's Equity			195,856	228,229	1.33
			Statement Balances	Statement Balances

18. Financial Ratios

Joe's Landscaping
Financial Ratios
Ratio			Year One	Year Two	Year Three	RMA Industry Norms
	Liquidity
		Current Ratio	1.01	1.72	2.63
		Quick Ratio	0.86	1.65	2.63
	Safety
		Debt to Equity Ratio	0.37	0.30	0.24
		Debt to Coverage Ratio	0.66	0.71	0.89
	Profitability
		Sales Growth	- 0	0.04	0.07
		COGS to Sales	0.12	0.12	0.12
		Gross Profit Margin	0.88	0.88	0.88
		SG&A to Sales	0.67	0.66	0.64
		Net Profit Margin	0.12	0.13	0.15
		Return on Equity	0.20	0.17	0.18
		Return on Assets	0.14	0.13	0.15
		Owner's Compensation to Sales	0.15	0.15	0.14
	Efficiency
		Days in Receivables	6.88	7.20	7.26
		Accounts Receivable Turnover	52.33	50.00	49.57
		Days in Inventory	- 0	- 0	- 0
		Inventory Turnover	- 0	- 0	- 0
		Sales to Total Assets	1.17	1.05	0.97

An indication of a company's ability to meet short-term debt obligations.

The ratio between all assets quickly convertible into cash and current liabilities. Measures a company's liquidity. Also called acid-test ratio.

This ratio expresses the relationship between capital contributed by creditors and that contributed by owners.

This ratio indicates how well your cash flow covers debt and the capability of the business to take on additional debt.

This ratio calculates the percentage of increase (or decrease) in sales between the current year and the previous year.

The percentage of sales used to pay for the COGS (expenses which directly vary with sales) is expressed in this ratio.

This ratio indicates how much profit is earned on your products without consideration of indirect costs, selling and administration costs.

This ratio measures the percentage of selling, general and administrative costs to your amount of sales.

Net profit margin shows how much profit comes from every dollar of sales.

Return on equity determines the rate of return on your investment in the business. As an owner or shareholder this is one of the most important ratios as it shows the hard fact about the business - are you making enough of a profit to compensate you for the risk of being in business?

This ratio measures how effectively assets are used to generate a return.

This ratio measures the owner's compensation as a percentage of sales.

Days in receivable calculates the average number of days it takes to collect your account receivable (number of days of sales in receivables).

This ratio tells you the number of times accounts receivable turnover during the year.

This ratio shows the average number of days it will take to sell your inventory.

This ratio calculates the number of times inventory is turned over (or sold) during the year.

This ratio indicates how efficiently your business generates sales on every dollar of assets.

19. Breakeven Analysis

Joe's Landscaping
Breakeven Analysis
Breakeven Analysis		Dollars	Percent
	Annual Sales Revenue	$ 199,390	100.00%
	Cost of Sales	23,550	11.81%
	Gross Margin	175,840	88.19%
	Salaries and Wages	80,366
	Fixed Operating Expenses	62,842
	Total Fixed Business Expenses	143,209
	Breakeven Sales Calculation	143,209
		88.19%
	Breakeven Sales in Dollars	$ 162,389

20. Amoritization Schedule

Joe's Landscaping
Amortization Schedule
Loan Type			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	Totals
Commercial Loan
	Principal Amount		$ - 0
	Interest Rate		9.00%
	Loan Term in Months		72.00
	Monthly Payment Amount		$0.00
	Year One
		Interest		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Principal		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Loan Balance		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Year Two
		Interest		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Principal		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Loan Balance		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
	Year Three
		Interest		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Principal		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
		Loan Balance		- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Commercial Mortgage
	Principal Amount		$ 46,900.00
	Interest Rate		9.00%
	Loan Term in Months		240.00
	Monthly Payment Amount		$421.97
	Year One
		Interest		352	351	351	350	350	349	349	348	347	347	346	346	4,185
		Principal		70	71	71	72	72	73	73	74	75	75	76	76	878
		Loan Balance		46,830	46,759	46,688	46,616	46,544	46,471	46,397	46,323	46,249	46,174	46,098	46,022
	Year Two
		Interest		345	345	344	343	343	342	342	341	340	340	339	339	4,103
		Principal		77	77	78	79	79	80	80	81	82	82	83	83	961
		Loan Balance		45,945	45,868	45,790	45,711	45,632	45,552	45,472	45,391	45,309	45,227	45,144	45,061
	Year Three
		Interest		338	337	337	336	335	335	334	333	333	332	331	331	4,013
		Principal		84	85	85	86	87	87	88	89	89	90	91	91	1,051
		Loan Balance		44,977	44,892	44,807	44,721	44,635	44,547	44,460	44,371	44,282	44,192	44,101	44,010

21. Financial Diagnostics

Joe's Landscaping
Financial Diagnostics
This sheet performs a few tests on your numbers to see if they seem within certain reasonable ranges.
Remember, no computer can tell whether your projections are truly well-constructed, only a human can do that.
But these tests can at least look for values that are critically out of range.
Financial Diagnostics			Value	Findings
	General Financing Assumptions
		Owner's Cash Injection into the Business	68.07%	Owner's injection is reasonable
		Cash Request as percent of Total Required Funds	4.77%	Cash request seems reasonable with respect to total request
	Loan Assumptions
		Commercial Loan Interest rate	9.00%	Interest rate seems reasonable
		Commercial Loan Term in Months	72	Loan term seems within range for this type of loan
		Commercial Mortgage Interest rate	9.00%	Interest rate seems reasonable
		Commercial Mortgage Term in Months	240.00	Loan term seems within range for this type of loan
		Loan Payments as a Percent of Projected Sales	0.21%	Calculated loan payments as a percent of sales seem resonable
	Income Statement
		Gross Margin as a Percent of Sales	88.19%	Gross margin percentage seems reasonable
		Owner's Compensation Lower Limit Check	$ 30,000	An owner's compensation amount has been established
		Owner's Compensation Upper Limit Check	122.77%	Owner's compensation may be too high relative to profitability of business
		Advertising Expense Levels as a Percent of Sales	1.50%	Advertising as a percent of sales may be too low
		Profitability Levels	$ 24,437	The business is showing a profit
		Profitability as a Percent of Sales	12.26%	The projection does not seem highly unreasonable
	Cash Flow Statement
		Desired Operating cash Flow Levels	$ - 0	The financial projection provides the desired level of cash flow
		Line of Credit Drawdowns	$ - 0	The business doesn't seem to require a line of credit
		Accounts Receivable Ratio to Sales	1.91%	Accounts receivable amount as a percent of sales seems reasonable
	Balance Sheet
		Does the Base Period Balance Sheet Balance?	- 0	The balance sheet does balance
		Does the Final Balance Sheet Balance	- 0	The balance sheet does balance
		Debt to Equity Ratio	36.98%	The debt to equity ratio seems reasonable
	Breakeven Analysis
		Breakeven Levels	$ 37,001	The sales projection exceeds the projected break-even sales level