776567 Business Plan Spreadsheet
ltdprinwival
Maurice_Maurice_Ent_301_Week_5_Assg.xlsxDirections
| Last revised 4/23/2014. See revision notes on last tab. | |||||||||||
| Step 1 - Enter info about your company in yellow shaded boxes below. | |||||||||||
| Preparer Name | Company Name | Starting Month | Starting Year | ||||||||
| Maurice Maurice | Lawson's Services | June | 2018 | ||||||||
| Step 2 - Read the following instructions | |||||||||||
| 6 | |||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May |
&9&G &G
This Microsoft Excel Workbook is designed to provide those starting a business or already running a business with information that will allow them to make a "go /no-go" decision. It will help a potential entrepreneur project operating profit, develop a projected income statement, balance sheet and cash flow forecast. It is designed for a wide variety of users, from those who have little or no accounting or Excel experience to those who may be well versed in finance, accounting and the use of Microsoft Excel. The workbook contains a number of worksheets, each documented two ways. Extensive directions and guidance for a particular page or on a specific accounting topic are found in blue boxes (like this one) on pages that are not self-explanatory. The second way this workbook is documented is using Excel comments in a given cell. Comments are normally hidden from sight. If you see a red triangle in the upper right corner of a cell, you can hover your mouse over the triangle to see the note. As your mouse moves away from the triangle, the comment will disappear. Comments will have a beige background. Each comment may have a specific direction for that cell, may be a reminder of something the author believes important, or may have some additional information about the accounting topic. The cells and formulas in this workbook are protected. Cells with yellow or light blue backgrounds are designed for user input. All other cells are designed to generate data based on user input. The cells with formulas in this workbook are locked. If changes are needed, the unlock code is "1234." Please use caution when unlocking the spreadsheets. If you want to change a formula, we strongly recommend that you save a copy of this spreadsheet under a different name before doing so.
Want a guide? Visit our website: score.org/startyourbusiness
http://www.score.org/node/7872471-StartingPoint
| Start-up Expenses Year 1 (Starting Balance Sheet) | ||||||
| Prepared By: | Company Name: | |||||
| Maurice Maurice | Lawson's Services | |||||
| Fixed Assets | Amount | Depreciation (years) Heather Hendy: Years of depreciation must be 3 or more for the calculations in this workbook to work correctly. | Notes | |||
| Real Estate-Land | - | Not Depreciated | ||||
| Real Estate-Buildings | - | 20 | ||||
| Leasehold Improvements | - | 7 | ||||
| Equipment | 2,500 | 7 | ||||
| Furniture and Fixtures | 500 | 5 | ||||
| Vehicles | - | 5 | ||||
| Other | - | 5 | ||||
| Total Fixed Assets | $ 3,000 | |||||
| Operating Capital | Amount | Notes | ||||
| Pre-Opening Salaries and Wages | 30,000 | |||||
| Prepaid Insurance Premiums | 250 | |||||
| Inventory | 500 | |||||
| Legal and Accounting Fees | 1,000 | |||||
| Rent Deposits | - | |||||
| Utility Deposits | 225 | |||||
| Supplies | 100 | |||||
| Advertising and Promotions | 100 | |||||
| Licenses | 100 | |||||
| Other Initial Start-Up Costs | - | |||||
| Working Capital (Cash On Hand) Heather Hendy: Existing businesses should use the calculator at the bottom of this page to determine the Working Capital amount. Calculate the number, then enter it here. | 15,000 | |||||
| Total Operating Capital | $ 47,275 | |||||
| Total Required Funds | $ 50,275 | |||||
| Sources of Funding | Percentage | Totals | Loan Rate | Term in Months | Monthly Payments | Notes |
| Owner's Equity | 100.00% | 50,275 | ||||
| Outside Investors | 0.00% | - | ||||
| Additional Loans or Debt | ||||||
| Commercial Loan | 0.00% | - | 9.00% | 84 | - | |
| Commercial Mortgage | 0.00% | - | 9.00% | 240 | - | See Loan Amortization & Depreciation Schedule |
| Credit Card Debt | 0.00% | - | 7.00% | 60 | - | |
| Vehicle Loans | 0.00% | - | 6.00% | 48 | - | |
| Other Bank Debt | 0.00% | - | 5.00% | 36 | - | |
| Total Sources of Funding | 100.00% | $ 50,275 | Cell D 42 must equal cell C31 | $ - | ||
| Total Funding Needed | $ - | You are fully funded (Balanced) | ||||
| Existing Businesses ONLY -- Calculating Cash on Hand | ||||||
| Cash | - | |||||
| + Accounts Receivable | - | |||||
| + Prepaid Expenses | - | |||||
| - Accounts Payable | - | |||||
| - Accrued Expenses | - | |||||
| Total Cash on Hand | $ - | |||||
&"Gill Sans MT,Regular"&12Start-Up Expenses Year 1 (Starting Balance Sheet)
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
Note: For existing businesses, this should be the "bucket" of cash plus receivables that will be turned into cash, minus payables that will be paid out in cash in the near term (i.e. in the first months of the plan)
2a-PayrollYear1
| Payroll Year 1 | |||||||||||||||||
| Prepared By: | Company Name: | ||||||||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||||||
| Employee Types | Number of Owners /Employees | Average Hourly Pay (to 2 decimal places, ex. $15.23) | Estimated Hrs./Week (per person) | Estimated Pay/Month (Total) | June | July | August | September | October | November | December | January | February | March | April | May | Annual Totals |
| Owner(s) | 1 | 35.00 | 40 | $ 6,067 | 6,067 Heather Hendy: These cells have been auto-populated, but can be overwritten if your payroll expenses increase over time. To restore the auto-population, enter this formula in the cell: =F[insert row number]. For example, the first row in this section would use: =F8. | 6,067 | 6,067 | 6,067 | 6,067 | 6,067 | 6,067 | 6,067 | 6,067 | 6,067 | 6,067 | 6,067 | $ 72,800 |
| Full-Time Employees | 2 | 12.50 | 40 | $ 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | 4,333 | $ 52,000 |
| Part-Time Employees | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | |||
| Independent Contractors | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | |||
| Total Salaries and Wages | 3 | $ 47.50 | 80 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 10,400 | $ 124,800 |
| Payroll Taxes and Benefits | Wage Base Limit Heather Hendy: The Wage Base limit is the maximum earned gross income on which a given tax may be imposed. If you are paying a salary above that amount, you'll need to factor that into your calculation. The amounts below are for 2012. | Percentage of Salary/Wage | Estimated Taxes & Benefits/Month (Total) | June | July | August | September | October | November | December | January | February | March | April | May | Annual Totals | |
| Social Security | $ 110,111 | 6.20% | $ 645 | 645 | 645 | 645 | 645 | 645 | 645 | 645 | 645 | 645 | 645 | 645 | 645 | $ 7,738 | |
| Medicare | -- | 1.45% | $ 151 | 151 | 151 | 151 | 151 | 151 | 151 | 151 | 151 | 151 | 151 | 151 | 151 | $ 1,810 | |
| Federal Unemployment Tax (FUTA) | $ 7,000 | 0.80% Heather Hendy: The Federal Unemployment tax rate was 6.2% from January 1, 2011 through June 30, 2011; and decreased to 6.0% as of July 1, 2011. It is currently still set at that rate, less a maximum credit of 5.4% for amounts paid under State unemployment insurance laws. Accordingly, the normal net FUTA tax is 0.6%. This information is as-of November 2012. Check with the IRS for current information. | $ 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | $ 168 | |
| State Unemployment Tax (SUTA) | $ 7,000 | 3.45% | $ 60 | 60 | 60 | 60 | 60 | 60 | 60 | 60 | 60 | 60 | 60 | 60 | 60 | $ 725 | |
| Employee Pension Programs | -- | 2.00% | $ 208 SCOREUSER: For these benefits, the formula assumes part-time employees are included. If this is not the case, change the formula accordingly. | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | $ 2,496 | |
| Worker's Compensation | -- | 3.00% | $ 312 SCOREUSER: For these benefits, the formula assumes part-time employees are included. If this is not the case, change the formula accordingly. | 312 | 312 | 312 | 312 | 312 | 312 | 312 | 312 | 312 | 312 | 312 | 312 | $ 3,744 | |
| Employee Health Insurance | -- | 2.00% | $ 208 SCOREUSER: For these benefits, the formula assumes part-time employees are included. If this is not the case, change the formula accordingly. | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | 208 | $ 2,496 | |
| Other Employee Benefit Programs | -- | 0.00% | $ - SCOREUSER: For these benefits, the formula assumes part-time employees are included. If this is not the case, change the formula accordingly. | - | - | - | - | - | - | - | - | - | - | - | - | $ - | |
| Total Payroll Taxes and Benefits | 18.90% | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 1,598 | $ 19,176 | ||
| Total Salaries and Related Expenses | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 143,976 | |||
&"Gill Sans MT,Regular"&12Payroll Year 1
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
2b-PayrollYrs1-3
| Payroll Years 1-3 | |||||
| Prepared By: | Company Name: | ||||
| Maurice Maurice | Lawson's Services | ||||
| Employee Types | Year 1 Totals | Growth Rate 1 to 2 | Second Year | Growth Rate 2 to 3 | Third Year |
| Owner(s) | 72,800 | 10.0% | 80,080 | 10.0% | 88,088 |
| Full-Time Employees | 52,000 | 0.8% | 52,390 | 30.0% | 68,107 |
| Part-Time Employees | - | 10.0% | - | 30.0% | - |
| Independent Contractors | - | 3.0% | - | 3.0% | - |
| Total Salaries and Wages | $ 124,800 | $ 132,470 | $ 156,195 | ||
| Payroll Taxes and Benefits | |||||
| Social Security | 7,738 | 20.0% | 9,285 | 30.0% | 12,071 |
| Medicare | 1,810 | 20.0% | 2,172 | 30.0% | 2,823 |
| Federal Unemployment Tax (FUTA) | 168 | 20.0% | 202 | 30.0% | 262 |
| State Unemployment Tax (SUTA) | 725 | 20.0% | 869 | 30.0% | 1,130 |
| Employee Pension Programs | 2,496 | 0.0% | 2,496 | 0.0% | 2,496 |
| Worker's Compensation | 3,744 | 3.0% | 3,856 | 3.0% | 3,972 |
| Employee Health Insurance | 2,496 | 3.0% | 2,571 | 3.0% | 2,648 |
| Other Employee Benefit Programs | - | 10.0% | - | 10.0% | - |
| Total Payroll Taxes and Benefits | $ 19,176 | $ 21,451 | $ 25,402 | ||
| Total Salaries and Related Expenses | $ 143,976 | $ 153,921 | $ 181,597 | ||
&"Gill Sans MT,Regular"&12Payroll Years 1-3
&F &A &D &T
3a-SalesForecastYear1
| Sales Forecast Year 1 | |||||||||||||||
| Prepared By: | Company Name: | ||||||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||||
| Complete This Chart First: | |||||||||||||||
| Product Lines | Units Heather Hendy: TIP: Enter these in the plural form! Ex. projects, dresses, bikes, etc. | Sales Price Per Unit | COGS Per Unit Heather Hendy: TIP: Click here to access a calculator that can help you determine your COGS per unit. | Margin Per Unit | |||||||||||
| Carpet Cleaned - Dry Chemical | 2 | $ 35.00 | $ 2.00 | $ 33.00 | |||||||||||
| Carpet Steamed | 15 | $ 25.00 | $ 1.00 | $ 24.00 | |||||||||||
| Upholstery Cleaned - Dry Chemical | 3 | $ 25.00 | $ 2.50 | $ 22.50 | |||||||||||
| Upholstery Cleaned -Steamed | 12 | $ 35.00 | $ 1.00 | $ 34.00 | |||||||||||
| $ - 0 | |||||||||||||||
| $ - 0 | |||||||||||||||
| Product Lines | June | July | August | September | October | November | December | January | February | March | April | May | Annual Totals | Category Breakdown | Category / Total |
| Carpet Cleaned - Dry Chemical | |||||||||||||||
| 2 Sold | 1 | 1 | 2 | 6.3% | |||||||||||
| Total Sales | 35 | - | - | 35 | - | - | - | - | - | - | - | - | $ 70 | 100.0% | 7.4% |
| Total COGS | 2 | - | - | 2 | - | - | - | - | - | - | - | - | $ 4 | 5.7% | 10.4% |
| Total Margin | 33 | - | - | 33 | - | - | - | - | - | - | - | - | $ 66 | 94.3% | 7.3% |
| Carpet Steamed | |||||||||||||||
| 15 Sold | 2 | 2 | 2 | 3 | 1 | 1 | 1 | 1 | 1 | 1 | 15 | 46.9% | |||
| Total Sales | 50 | 50 | 50 | 75 | 25 | 25 | 25 | 25 | 25 | 25 | - | - | $ 375 | 100.0% | 39.9% |
| Total COGS | 2 | 2 | 2 | 3 | 1 | 1 | 1 | 1 | 1 | 1 | - | - | $ 15 | 4.0% | 39.0% |
| Margin | 48 | 48 | 48 | 72 | 24 | 24 | 24 | 24 | 24 | 24 | - | - | $ 360 | 96.0% | 39.9% |
| Upholstery Cleaned - Dry Chemical | |||||||||||||||
| 3 Sold | 1 | 1 | 1 | 3 | 9.4% | ||||||||||
| Total Sales | - | - | - | - | - | 25 | - | - | - | - | 25 | 25 | $ 75 | 100.0% | 8.0% |
| Total COGS | - | - | - | - | - | 3 | - | - | - | - | 3 | 3 | $ 8 | 10.0% | 19.5% |
| Margin | - | - | - | - | - | 23 | - | - | - | - | 23 | 23 | $ 68 | 90.0% | 7.5% |
| Upholstery Cleaned -Steamed | |||||||||||||||
| 12 Sold | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 12 | 37.5% | |
| Total Sales | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | $ 420 | 100.0% | 44.7% |
| Total COGS | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | $ 12 | 2.9% | 31.2% |
| Margin | 34 | 34 | 34 | 34 | 34 | 34 | 34 | 34 | 34 | 34 | 34 | 34 | $ 408 | 97.1% | 45.3% |
| Product 5 | |||||||||||||||
| Units Sold | 0 | 0.0% | |||||||||||||
| Total Sales | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Total COGS | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Margin | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Product 6 | |||||||||||||||
| Units Sold | 0 | 0.0% | |||||||||||||
| Total Sales | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Total COGS | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Margin | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Total Units Sold | 4 | 3 | 3 | 5 | 2 | 3 | 2 | 2 | 2 | 2 | 2 | 2 | 32 | ||
| Total Sales | $ 120 | $ 85 | $ 85 | $ 145 | $ 60 | $ 85 | $ 60 | $ 60 | $ 60 | $ 60 | $ 60 | $ 60 | $ 940 | ||
| Total Cost of Goods Sold | $ 5 | $ 3 | $ 3 | $ 6 | $ 2 | $ 5 | $ 2 | $ 2 | $ 2 | $ 2 | $ 4 | $ 4 | $ 39 | ||
| Total Margin | $ 115 | $ 82 | $ 82 | $ 139 | $ 58 | $ 81 | $ 58 | $ 58 | $ 58 | $ 58 | $ 57 | $ 57 | $ 902 | ||
&"Gill Sans MT,Regular"&12Sales Forecst Year 1
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
3b-SalesForecastYrs1-3
| Sales Forecast Year 1-3 | |||||||||||||||||||||||||||||||
| Prepared by: | Company Name: | ||||||||||||||||||||||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||||||||||||||||||||
| Growth Rate Year 1 to Year 2: | 10.00% | ||||||||||||||||||||||||||||||
| Growth Rate Year 2 to Year 3: | 10.00% | ||||||||||||||||||||||||||||||
| Product Lines | Year 1 Totals | June | July | August | September | October | November | December | January | February | March | April | May | Year 2 Totals | Category Breakdown | Category / Total | June | July | August | September | October | November | December | January | February | March | April | May | Year 3 Totals | Category Breakdown | Category / Total |
| Carpet Cleaned - Dry Chemical | |||||||||||||||||||||||||||||||
| 2 Sold | 2 | 1 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2 | 0.0% | 1 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2 | 0.0% | ||
| Total Sales | $ 70 | 39 | - | - | 39 | - | - | - | - | - | - | - | - | $ 77 | 100.0% | 0.0% | 42 | - | - | 42 | - | - | - | - | - | - | - | - | $ 85 | 100.0% | 0.0% |
| Total COGS | $ 4 | 2 | - | - | 2 | - | - | - | - | - | - | - | - | $ 4 | 5.7% | 0.0% | 2 | - | - | 2 | - | - | - | - | - | - | - | - | $ 5 | 5.7% | 0.0% |
| Total Margin | $ 66 | 36 | - | - | 36 | - | - | - | - | - | - | - | - | $ 73 | 94.3% | 0.0% | 40 | - | - | 40 | - | - | - | - | - | - | - | - | $ 80 | 94.3% | 0.0% |
| Carpet Steamed | |||||||||||||||||||||||||||||||
| 15 Sold | 15 | 2 | 2 | 2 | 3 | 1 | 1 | 1 | 1 | 1 | 1 | 0 | 0 | 17 | 0.0% | 2 | 2 | 2 | 4 | 1 | 1 | 1 | 1 | 1 | 1 | 0 | 0 | 18 | 0.0% | ||
| Total Sales | $ 375 | 55 | 55 | 55 | 83 | 28 | 28 | 28 | 28 | 28 | 28 | - | - | $ 413 | 100.0% | 0.0% | 61 | 61 | 61 | 91 | 30 | 30 | 30 | 30 | 30 | 30 | - | - | $ 454 | 100.0% | 0.0% |
| Total COGS | $ 15 | 2 | 2 | 2 | 3 | 1 | 1 | 1 | 1 | 1 | 1 | - | - | $ 17 | 4.0% | 0.0% | 2 | 2 | 2 | 4 | 1 | 1 | 1 | 1 | 1 | 1 | - | - | $ 18 | 4.0% | 0.0% |
| Margin | $ 360 | 53 | 53 | 53 | 79 | 26 | 26 | 26 | 26 | 26 | 26 | - | - | $ 396 | 96.0% | 0.0% | 58 | 58 | 58 | 87 | 29 | 29 | 29 | 29 | 29 | 29 | - | - | $ 436 | 96.0% | 0.0% |
| Upholstery Cleaned - Dry Chemical | |||||||||||||||||||||||||||||||
| 3 Sold | 3 | 0 | 0 | 0 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 1 | 1 | 3 | 0.0% | 0 | 0 | 0 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 1 | 1 | 4 | 0.0% | ||
| Total Sales | $ 75 | - | - | - | - | - | 28 | - | - | - | - | 28 | 28 | $ 83 | 100.0% | 0.0% | - | - | - | - | - | 30 | - | - | - | - | 30 | 30 | $ 91 | 100.0% | 0.0% |
| Total COGS | $ 8 | - | - | - | - | - | 3 | - | - | - | - | 3 | 3 | $ 8 | 10.0% | 0.0% | - | - | - | - | - | 3 | - | - | - | - | 3 | 3 | $ 9 | 10.0% | 0.0% |
| Margin | $ 68 | - | - | - | - | - | 25 | - | - | - | - | 25 | 25 | $ 74 | 90.0% | 0.0% | - | - | - | - | - | 27 | - | - | - | - | 27 | 27 | $ 82 | 90.0% | 0.0% |
| Upholstery Cleaned -Steamed | |||||||||||||||||||||||||||||||
| 12 Sold | 12 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 13 | 0.0% | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 15 | 0.0% | ||
| Total Sales | 420 | 39 | 39 | 39 | 39 | 39 | 39 | 39 | 39 | 39 | 39 | 39 | 39 | $ 462 | 100.0% | 0.0% | 42 | 42 | 42 | 42 | 42 | 42 | 42 | 42 | 42 | 42 | 42 | 42 | $ 508 | 100.0% | 0.0% |
| Total COGS | $ 12 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | $ 13 | 2.9% | 0.0% | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | $ 15 | 2.9% | 0.0% |
| Margin | $ 408 | 37 | 37 | 37 | 37 | 37 | 37 | 37 | 37 | 37 | 37 | 37 | 37 | $ 449 | 97.1% | 0.0% | 41 | 41 | 41 | 41 | 41 | 41 | 41 | 41 | 41 | 41 | 41 | 41 | $ 494 | 97.1% | 0.0% |
| Product 5 | |||||||||||||||||||||||||||||||
| Sold | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0.0% | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0.0% | ||
| Total Sales | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Total COGS | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Margin | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Product 6 | |||||||||||||||||||||||||||||||
| Sold | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0.0% | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0.0% | ||
| Total Sales | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Total COGS | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Margin | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% | - | - | - | - | - | - | - | - | - | - | - | - | $ - | 0.0% | 0.0% |
| Total Units Sold | 32 | 4 | 3 | 3 | 6 | 2 | 3 | 2 | 2 | 2 | 2 | 2 | 2 | 35 | 5 | 4 | 4 | 6 | 2 | 4 | 2 | 2 | 2 | 2 | 2 | 2 | 39 | ||||
| Total Sales | $ 940 | $ 132 | $ 94 | $ 94 | $ 160 | $ 66 | $ 94 | $ 66 | $ 66 | $ 66 | $ 66 | $ 66 | $ 66 | $ 1,034 | $ 145 | $ 103 | $ 103 | $ 175 | $ 73 | $ 103 | $ 73 | $ 73 | $ 73 | $ 73 | $ 73 | $ 73 | $ 1,137 | ||||
| Total Cost of Goods Sold | $ 39 | $ 6 | $ 3 | $ 3 | $ 7 | $ 2 | $ 5 | $ 2 | $ 2 | $ 2 | $ 2 | $ 4 | $ 4 | $ 42 | $ 6 | $ 4 | $ 4 | $ 7 | $ 2 | $ 5 | $ 2 | $ 2 | $ 2 | $ 2 | $ 4 | $ 4 | $ 47 | ||||
| Total Margin | $ 902 | $ 127 | $ 90 | $ 90 | $ 153 | $ 64 | $ 89 | $ 64 | $ 64 | $ 64 | $ 64 | $ 62 | $ 62 | $ 992 | $ 139 | $ 99 | $ 99 | $ 168 | $ 70 | $ 97 | $ 70 | $ 70 | $ 70 | $ 70 | $ 68 | $ 68 | $ 1,091 |
&"Gill Sans MT,Regular"&12Sales Forecast Years 1-3
&"Gill Sans MT,Regular"&12Sales Forecast Years 1-3
&"Gill Sans MT,Regular"&12Sales Forecast Years 1-3
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
&F &A &D &T
This sheet will populate based on information in the year 1 Sales Forecast. The included growth rate is just a starting point, if you can provide a more accurate prediction for each month, unlock the sheet (see Directions) and change the value for that month. Please note that you will no longer have a formula in that cell once you change the value, so you may want to save a copy of this spreadsheet under a different name before doing so.
4-AdditionalInputs
| Additional Inputs | ||||||||||||||||
| Prepared By: | Company Name: | |||||||||||||||
| Maurice Maurice | Lawson's Services | |||||||||||||||
| Accounts Receivable (A/R) Days Sales Outstanding | ||||||||||||||||
| Percent of Collections | Year 1 | Year 2 | Year 3 | |||||||||||||
| Paid within 30 days SCORE:: If you are a retail business or don't have accounts receivable put 100% for each year. | 30% | 30% | 30% | |||||||||||||
| Paid between 30 and 60 days SCORE: In this field put the percentage of your sales that you expect to carry as A/R. If your business sells in cash, put 0%. Otherwise, estimate the percentage that will be paid between 30 and 60 days after sale. | 30% | 30% | 30% | |||||||||||||
| Paid in more than 60 days SCORE: In this field put the percentage of your sales that you expect to carry as A/R but not paid for more than 60 days. If your business sells in cash, put 0%. Otherwise, estimate the percentage that will be paid more than 60 days after sale. | 40% | 40% | 40% | |||||||||||||
| Allowance for bad debt SCORE:: Allowance for bad debt is the percentage of total A/R you believe will not be collectable for whatever reason. It could be because your customer becomes insolvent or goes out of business. If you can find an industry average for your industry, use that percentage. If in doubt, use either 0 or 1%. Many businesses that have good collection processes may have substantially less than 1% during a strong economy. Bankers like to see a figure here because it lets them know you are realistic about discounting the total value of your A/R as collateral for a potential loan. | 0% | 0% | 0% | |||||||||||||
| This should equal 100% ----> | 100% | 100% | 100% | |||||||||||||
| Accounts Payable (A/P) | ||||||||||||||||
| Percent of Disbursements | Year 1 | Year 2 | Year 3 | |||||||||||||
| Paid within 30 days | 0% | 0% | 0% | |||||||||||||
| Paid between 30 and 60 days | 100% | 100% | 100% | |||||||||||||
| Paid in more than 60 days | 0% | 0% | 0% | |||||||||||||
| This should equal 100% ----> | 100% | 100% | 100% | |||||||||||||
| Line of Credit Assumptions | ||||||||||||||||
| Desired Minimum Cash Balance | 0 Heather Hendy: How low do you want to let your ending cash balance to get? The minimum should be $0, but you might want to choose $1000, $5000, etc. |
|||||||||||||||
| Line of Credit Interest Rate | 8.00% | |||||||||||||||
| Additional Fixed Assets Purchases Heather Hendy: Use this space to add items purchased after the date of the starting point (Tab 1a). |
||||||||||||||||
| Fixed Assets | Depreciation (years) | June | July | August | September | October | November | December | January | February | March | April | May | Year 1 Totals | Year 2 Total | Year 3 Total |
| Real Estate | 20 | $ - | $ - | |||||||||||||
| Leasehold Improvements | 7 | $ - | $ - | |||||||||||||
| Equipment | 7 | $ 2,500 | $ 2,500 | |||||||||||||
| Furniture and Fixtures | 5 | $ 500 | $ 500 | |||||||||||||
| Vehicles | 5 | $ - | $ - | |||||||||||||
| Other Fixed Assets | 5 | $ - | $ - | $ - | $ - | |||||||||||
| Total Additional Fixed Assets | $ 3,000 | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ 3,000 | $ - | $ - | |
| Income Tax Assumptions | ||||||||||||||||
| Effective Income Tax Rate - Year 1 | 20.0% | |||||||||||||||
| Effective Income Tax Rate - Year 2 | 20.0% | |||||||||||||||
| Effective Income Tax Rate - Year 3 | 20.0% | |||||||||||||||
| Amortization of Start-Up Costs | ||||||||||||||||
| Amortization Period in Years | 3 | |||||||||||||||
&"Gill Sans MT,Regular"&12Additional Inputs
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
5a-OpExYear1
| Operating Expenses Year 1 | |||||||||||||
| Prepared By: | Company Name: | ||||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Annual Totals | |
| Expenses | |||||||||||||
| Advertising | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | $ 1,200 |
| Car and Truck Expenses | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | $ 4,200 |
| Commissions and Fees | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | $ 900 |
| Contract Labor (Not included in payroll) | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Insurance (other than health) | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | $ 2,580 |
| Legal and Professional Services | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | $ 1,800 |
| Licenses | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | $ 600 |
| Office Expense | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | $ 1,500 |
| Rent or Lease -- Vehicles, Machinery, Equipment | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Rent or Lease -- Other Business Property | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Repairs and Maintenance | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | $ 900 |
| Supplies | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | $ 2,400 |
| Travel, Meals and Entertainment | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | $ 1,500 |
| Utilities | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | $ 2,220 |
| Miscellaneous | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | $ 600 |
| Total Expenses | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 20,400 |
| Other Expenses | |||||||||||||
| Depreciation | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | $ 457 |
| Interest | |||||||||||||
| Commercial Loan | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Commercial Mortgage | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Credit Card Debt | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Vehicle Loans | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Other Bank Debt | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Line of Credit | - | (3) | 87 | 180 | 274 | 369 | 465 | 561 | 658 | 756 | 854 | 953 | $ 5,155 |
| Bad Debt Expense | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Total Other Expenses | $ 38 | $ 35 | $ 125 | $ 218 | $ 313 | $ 407 | $ 503 | $ 599 | $ 696 | $ 794 | $ 892 | $ 991 | $ 5,612 |
| Total Fixed Operating Expenses | $ 1,738 | $ 1,735 | $ 1,825 | $ 1,918 | $ 2,013 | $ 2,107 | $ 2,203 | $ 2,299 | $ 2,396 | $ 2,494 | $ 2,592 | $ 2,691 | $ 26,012 |
&"Gill Sans MT,Regular"&12Operating Expenses Year 1
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
5b-OpExYrs1-3
| Operating Expenses Years 1-3 | |||||
| Prepared By: | Company Name: | ||||
| Maurice Maurice | Lawson's Services | ||||
| Line Item | 2018 | Growth Rate 1 to 2 | 2019 | Growth Rate 2 to 3 | 2020 |
| Advertising | 1,200 | 3.0% | 1,236 | 3.0% | 1,273 |
| Car and Truck Expenses | 4,200 | 3.0% | 4,326 | 3.0% | 4,456 |
| Commissions and Fees | 900 | 5.0% | 945 | 5.0% | 992 |
| Contract Labor (Not included in payroll) | - | 3.0% | - | 3.0% | - |
| Insurance (other than health) | 2,580 | 3.0% | 2,657 | 3.0% | 2,737 |
| Legal and Professional Services | 1,800 | 3.0% | 1,854 | 3.0% | 1,910 |
| Licenses | 600 | 5.0% | 630 | 5.0% | 662 |
| Office Expense | 1,500 | 3.0% | 1,545 | 3.0% | 1,591 |
| Rent or Lease -- Vehicles, Machinery, Equipment | - | 3.0% | - | 3.0% | - |
| Rent or Lease -- Other Business Property | - | 3.0% | - | 3.0% | - |
| Repairs and Maintenance | 900 | 5.0% | 945 | 5.0% | 992 |
| Supplies | 2,400 | 3.0% | 2,472 | 3.0% | 2,546 |
| Travel, Meals and Entertainment | 1,500 | 3.0% | 1,545 | 3.0% | 1,591 |
| Utilities | 2,220 | 3.0% | 2,287 | 3.0% | 2,355 |
| Miscellaneous | 600 | 3.0% | 618 | 3.0% | 637 |
| Total Expenses | $ 20,400 | $ 21,060 | $ 21,742 | ||
| Other Expenses | |||||
| Depreciation | 457 | 457 | 457 | ||
| Interest | |||||
| Commercial Loan | - | - | - | ||
| Commercial Mortgage | - | - | - | ||
| Credit Card Debt | - | - | - | ||
| Vehicle Loans | - | - | - | ||
| Other Bank Debt | - | - | - | ||
| Line of Credit | 5,155 | 19,627 | 36,756 | ||
| Bad Debt Expense | - | ||||
| Total Other Expenses | $ 5,612 | $ 20,084 | $ 37,213 | ||
| Total Operating Expenses | $ 26,012 | $ 41,144 | $ 58,956 |
&"Gill Sans MT,Regular"&12Operating Expenses Years 1-3
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
6a-CashFlowYear1
| Cash Flow Forecast Year 1 | |||||||||||||
| Prepared By: | Company Name: | ||||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Totals | |
| Beginning Balance | $ 15,000 | $ 487 | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | |
| Cash Inflows | |||||||||||||
| Cash Sales | 36 | 26 | 26 | 44 | 18 | 26 | 18 | 18 | 18 | 18 | 18 | 18 | $ 282 |
| Accounts Receivable | - | 36 | 74 | 60 | 78 | 76 | 50 | 52 | 42 | 42 | 42 | 42 | $ 592 |
| Total Cash Inflows | $ 36 | $ 62 | $ 99 | $ 103 | $ 96 | $ 102 | $ 68 | $ 70 | $ 60 | $ 60 | $ 60 | $ 60 | $ 874 |
| Cash Outflows | |||||||||||||
| Investing Activities | |||||||||||||
| New Fixed Asset Purchases | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Additional Inventory | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | $ 1,200 |
| Cost of Goods Sold | - | 5 | 3 | 3 | 6 | 2 | 5 | 2 | 2 | 2 | 2 | 4 | $ 35 |
| Operating Activities | |||||||||||||
| Operating Expenses | 1,700 | 1,700 | 1,700 | 1,700 | 1,700 | 1,700 | 1,700 | 1,700 | 1,700 | 1,700 | 1,700 | 1,700 | $ 20,400 |
| Payroll | 11,998 | 11,998 | 11,998 | 11,998 | 11,998 | 11,998 | 11,998 | 11,998 | 11,998 | 11,998 | 11,998 | 11,998 | $ 143,976 |
| Taxes Heather Hendy: This line allows you to approximate the personal income tax of the owner(s). This is the tax on the profit for the business. | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Financing Activities | |||||||||||||
| Loan Payments | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Owners Distribution Joe Clarke: Only record owner's draws above those already listed on the payroll tabs. | 1 | 2 | 3 | 1 | 2 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | $ 16 |
| Line of Credit Interest | (3) | 87 | 180 | 274 | 369 | 465 | 561 | 658 | 756 | 854 | 953 | $ 5,155 | |
| Line of Credit Repayments | 500 | 500 | 500 | 500 | 500 | 500 | 500 | 500 | 500 | 500 | 500 | 500 | $ 6,000 |
| Dividends Paid | 250 | 250 | 250 | 250 | 250 | 250 | 250 | 250 | 250 | 250 | 250 | 250 | $ 3,000 |
| Total Cash Outflows | $ 14,549 | $ 14,552 | $ 14,641 | $ 14,732 | $ 14,830 | $ 14,920 | $ 15,018 | $ 15,112 | $ 15,209 | $ 15,307 | $ 15,405 | $ 15,506 | $ 179,781 |
| Net Cash Flows | $ (14,513) | $ (14,490) | $ (14,542) | $ (14,629) | $ (14,735) | $ (14,819) | $ (14,951) | $ (15,042) | $ (15,149) | $ (15,247) | $ (15,345) | $ (15,446) | $ (178,907) |
| Operating Cash Balance | $ 487 | $ (14,003) | $ (14,542) | $ (14,629) | $ (14,735) | $ (14,819) | $ (14,951) | $ (15,042) | $ (15,149) | $ (15,247) | $ (15,345) | $ (15,446) | |
| Line of Credit Drawdown | $ - | $ 14,003 | $ 14,542 | $ 14,629 | $ 14,735 | $ 14,819 | $ 14,951 | $ 15,042 | $ 15,149 | $ 15,247 | $ 15,345 | $ 15,446 | $ 163,907 |
| Ending Cash Balance | $ 487 | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | |
| Line of Credit Balance | $ (500) | $ 13,003 | $ 27,045 | $ 41,174 | $ 55,409 | $ 69,728 | $ 84,179 | $ 98,721 | $ 113,370 | $ 128,117 | $ 142,962 | $ 157,907 |
&"Gill Sans MT,Regular"&12Cash Flow Forecast Year 1
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
6b-CashFlowYrs1-3
| Cash Flow Forecast Years 1-3 | |||||||||||||||||||||||||||
| Prepared By: | Company Name: | ||||||||||||||||||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||||||||||||||||
| Year 1 Totals | June | July | August | September | October | November | December | January | February | March | April | May | Year 2 Totals | June | July | August | September | October | November | December | January | February | March | April | May | Year 3 Totals | |
| Beginning Balance | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | |||
| Cash Inflows | |||||||||||||||||||||||||||
| Cash Sales | $ 282 | 40 | 28 | 28 | 48 | 20 | 28 | 20 | 20 | 20 | 20 | 20 | 20 | $ 310 | 44 | 31 | 31 | 53 | 22 | 31 | 22 | 22 | 22 | 22 | 22 | 22 | $ 341 |
| Accounts Receivable | $ 592 | 42 | 64 | 81 | 65 | 85 | 84 | 54 | 57 | 46 | 46 | 46 | 46 | $ 717 | 46 | 70 | 89 | 72 | 94 | 92 | 60 | 63 | 51 | 51 | 51 | 51 | $ 789 |
| Total Cash Inflows | $ 874 | $ 82 | $ 92 | $ 109 | $ 113 | $ 105 | $ 112 | $ 74 | $ 77 | $ 66 | $ 66 | $ 66 | $ 66 | $ 1,027 | 90 | 101 | 120 | 125 | 116 | 123 | 82 | 85 | 73 | 73 | 73 | 73 | $ 1,130 |
| Cash Outflows | |||||||||||||||||||||||||||
| Investing Activities | |||||||||||||||||||||||||||
| New Fixed Asset Purchases | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Additional Inventory | $ 1,200 | $ - | $ - | ||||||||||||||||||||||||
| Cost of Goods Sold | $ 35 | 4 | 6 | 3 | 3 | 7 | 2 | 5 | 2 | 2 | 2 | 2 | 4 | $ 42 | 4 | 6 | 4 | 4 | 7 | 2 | 5 | 2 | 2 | 2 | 2 | 4 | $ 46 |
| Operating Activities | |||||||||||||||||||||||||||
| Operating Expenses | $ 20,400 | 1,755 | 1,755 | 1,755 | 1,755 | 1,755 | 1,755 | 1,755 | 1,755 | 1,755 | 1,755 | 1,755 | 1,755 | $ 21,060 | 1,812 | 1,812 | 1,812 | 1,812 | 1,812 | 1,812 | 1,812 | 1,812 | 1,812 | 1,812 | 1,812 | 1,812 | $ 21,742 |
| Payroll | $ 143,976 | 12,827 | 12,827 | 12,827 | 12,827 | 12,827 | 12,827 | 12,827 | 12,827 | 12,827 | 12,827 | 12,827 | 12,827 | $ 153,921 | 15,133 | 15,133 | 15,133 | 15,133 | 15,133 | 15,133 | 15,133 | 15,133 | 15,133 | 15,133 | 15,133 | 15,133 | $ 181,597 |
| Taxes | $ - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | |
| Financing Activities | |||||||||||||||||||||||||||
| Loan Payments | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Owners Distribution Joe Clarke: Only record owner's draws above those already listed on the payroll tabs. | $ 16 | $ - | $ - | ||||||||||||||||||||||||
| Line of Credit Interest | $ 5,155 | 1,053 | 1,156 | 1,261 | 1,366 | 1,471 | 1,578 | 1,685 | 1,793 | 1,901 | 2,011 | 2,121 | 2,232 | $ 19,627 | 2,344 | 2,472 | 2,600 | 2,730 | 2,860 | 2,992 | 3,124 | 3,257 | 3,391 | 3,526 | 3,662 | 3,799 | $ 36,756 |
| Line of Credit Repayments | $ 6,000 | $ - | $ - | ||||||||||||||||||||||||
| Dividends Paid | $ 3,000 | $ - | $ - | ||||||||||||||||||||||||
| Total Cash Outflows | $ 179,781 | $ 15,638 | $ 15,744 | $ 15,846 | $ 15,951 | $ 16,060 | $ 16,162 | $ 16,271 | $ 16,377 | $ 16,485 | $ 16,595 | $ 16,705 | $ 16,817 | $ 194,649 | $ 19,292 | $ 19,423 | $ 19,549 | $ 19,678 | $ 19,812 | $ 19,939 | $ 20,074 | $ 20,204 | $ 20,338 | $ 20,474 | $ 20,610 | $ 20,748 | $ 240,142 |
| Net Cash Flows | $ (178,907) | $ (15,556) | $ (15,652) | $ (15,737) | $ (15,837) | $ (15,955) | $ (16,050) | $ (16,197) | $ (16,300) | $ (16,419) | $ (16,529) | $ (16,639) | $ (16,751) | $ (193,622) | $ (19,203) | $ (19,322) | $ (19,429) | $ (19,554) | $ (19,697) | $ (19,816) | $ (19,992) | $ (20,120) | $ (20,266) | $ (20,401) | $ (20,537) | $ (20,676) | $ (239,011) |
| Operating Cash Balance | $ (15,556) | $ (15,652) | $ (15,737) | $ (15,837) | $ (15,955) | $ (16,050) | $ (16,197) | $ (16,300) | $ (16,419) | $ (16,529) | $ (16,639) | $ (16,751) | $ (19,203) | $ (19,322) | $ (19,429) | $ (19,554) | $ (19,697) | $ (19,816) | $ (19,992) | $ (20,120) | $ (20,266) | $ (20,401) | $ (20,537) | $ (20,676) | |||
| Line of Credit Drawdown | $ 163,907 | $ 15,556 | $ 15,652 | $ 15,737 | $ 15,837 | $ 15,955 | $ 16,050 | $ 16,197 | $ 16,300 | $ 16,419 | $ 16,529 | $ 16,639 | $ 16,751 | $ 193,622 | $ 19,203 | $ 19,322 | $ 19,429 | $ 19,554 | $ 19,697 | $ 19,816 | $ 19,992 | $ 20,120 | $ 20,266 | $ 20,401 | $ 20,537 | $ 20,676 | $ 239,011 |
| Ending Cash Balance | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | |||
| Line of Credit Balance | $ 173,464 | $ 189,116 | $ 204,853 | $ 220,690 | $ 236,645 | $ 252,695 | $ 268,892 | $ 285,191 | $ 301,610 | $ 318,139 | $ 334,778 | $ 351,529 | $ 370,732 | $ 390,054 | $ 409,483 | $ 429,037 | $ 448,733 | $ 468,550 | $ 488,542 | $ 508,662 | $ 528,927 | $ 549,328 | $ 569,865 | $ 590,541 |
&"Gill Sans MT,Regular"&12Cash Flow Forecast Years 1-3
&"Gill Sans MT,Regular"Cash Flow Forecast Years 1-3
&"Gill Sans MT,Regular"&12Cash Flow Forecast Years 1-3
&F &A &D &T
&F &A &D &T
NOTE: To only view the annual total side-by-side, highlight columns C through N and right-click. Then select "Hide". Use the same procedure to Hide columns P through AA. To show them again, highlight columns B, O and AB, right-click and select "Unhide".
7a-IncomeStatementYear1
| Income Statement Year 1 | |||||||||||||
| Prepared By: | Company Name: | ||||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Annual Totals | |
| Revenue | |||||||||||||
| Carpet Cleaned - Dry Chemical | 35 | - | - | 35 | - | - | - | - | - | - | - | - | $ 70 |
| Carpet Steamed | 50 | 50 | 50 | 75 | 25 | 25 | 25 | 25 | 25 | 25 | - | - | $ 375 |
| Upholstery Cleaned - Dry Chemical | - | - | - | - | - | 25 | - | - | - | - | 25 | 25 | $ 75 |
| Upholstery Cleaned -Steamed | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | 35 | $ 420 |
| Product 5 | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Product 6 | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Total Revenue | $ 120 | $ 85 | $ 85 | $ 145 | $ 60 | $ 85 | $ 60 | $ 60 | $ 60 | $ 60 | $ 60 | $ 60 | $ 940 |
| Cost of Goods Sold | |||||||||||||
| Carpet Cleaned - Dry Chemical | 2 | - | - | 2 | - | - | - | - | - | - | - | - | $ 4 |
| Carpet Steamed | 2 | 2 | 2 | 3 | 1 | 1 | 1 | 1 | 1 | 1 | - | - | $ 15 |
| Upholstery Cleaned - Dry Chemical | - | - | - | - | - | 3 | - | - | - | - | 3 | 3 | $ 8 |
| Upholstery Cleaned -Steamed | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | $ 12 |
| Product 5 | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Product 6 | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Total Cost of Goods Sold | $ 5 | $ 3 | $ 3 | $ 6 | $ 2 | $ 5 | $ 2 | $ 2 | $ 2 | $ 2 | $ 4 | $ 4 | $ 39 |
| Gross Margin | $ 115 | $ 82 | $ 82 | $ 139 | $ 58 | $ 81 | $ 58 | $ 58 | $ 58 | $ 58 | $ 57 | $ 57 | $ 902 |
| Payroll | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 11,998 | $ 143,976 |
| Operating Expenses | |||||||||||||
| Advertising | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | $ 1,200 |
| Car and Truck Expenses | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | 350 | $ 4,200 |
| Commissions and Fees | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | $ 900 |
| Contract Labor (Not included in payroll) | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Insurance (other than health) | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | 215 | $ 2,580 |
| Legal and Professional Services | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | 150 | $ 1,800 |
| Licenses | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | $ 600 |
| Office Expense | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | $ 1,500 |
| Rent or Lease -- Vehicles, Machinery, Equipment | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Rent or Lease -- Other Business Property | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Repairs and Maintenance | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | 75 | $ 900 |
| Supplies | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | 200 | $ 2,400 |
| Travel, Meals and Entertainment | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | 125 | $ 1,500 |
| Utilities | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | 185 | $ 2,220 |
| Miscellaneous | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | 50 | $ 600 |
| Other Expense 1 | |||||||||||||
| Other Expense 2 | |||||||||||||
| Total Operating Expenses | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 1,700 | $ 20,400 |
| Income (Before Other Expenses) Heather Hendy: Also known as EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization). This metric allows for a comparison across different businesses, which might have different levels of taxes, depreciation, or interest. This number should be used in conjunction with other metrics, as it does not give a full picture of the health of the business. | $ (13,583) | $ (13,616) | $ (13,616) | $ (13,559) | $ (13,640) | $ (13,617) | $ (13,640) | $ (13,640) | $ (13,640) | $ (13,640) | $ (13,641) | $ (13,641) | $ (163,474) |
| Other Expenses | |||||||||||||
| Amortized Start-up Expenses | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | $ 10,592 |
| Depreciation | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | $ 457 |
| Interest | |||||||||||||
| Commercial Loan | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Commercial Mortgage | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Credit Card Debt | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Vehicle Loans | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Other Bank Debt | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Line of Credit | - | (3) | 87 | 180 | 274 | 369 | 465 | 561 | 658 | 756 | 854 | 953 | $ 5,155 |
| Bad Debt Expense | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Total Other Expenses | 921 | 917 | 1,007 | 1,101 | 1,195 | 1,290 | 1,386 | 1,482 | 1,579 | 1,677 | 1,775 | 1,874 | $ 16,204 |
| Net Income Before Income Tax | $ (14,504) | $ (14,533) | $ (14,623) | $ (14,660) | $ (14,835) | $ (14,908) | $ (15,026) | $ (15,122) | $ (15,219) | $ (15,317) | $ (15,416) | $ (15,515) | $ (179,678) |
| Income Tax | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - |
| Net Profit/Loss | $ (14,504) | $ (14,533) | $ (14,623) | $ (14,660) | $ (14,835) | $ (14,908) | $ (15,026) | $ (15,122) | $ (15,219) | $ (15,317) | $ (15,416) | $ (15,515) | $ (179,678) |
| Income Tax Calculations | |||||||||||||
| Monthly Taxable Income | $ (13,621) | $ (13,651) | $ (13,741) | $ (13,777) | $ (13,953) | $ (14,025) | $ (14,143) | $ (14,239) | $ (14,336) | $ (14,434) | $ (14,534) | $ (14,633) | |
| Cumulative Taxable Income | $ (13,621) | $ (27,272) | $ (41,013) | $ (54,790) | $ (68,742) | $ (82,767) | $ (96,910) | $ (111,150) | $ (125,486) | $ (139,920) | $ (154,453) | $ (169,086) | |
&"Gill Sans MT,Regular"&12Income Statement Year 1
&F &A &D &T
7b-IncomeStatementYrs1-3
| Income Statement Years 1-3 | |||||||||||||
| Prepared By: | Company Name: | ||||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||
| Revenue | 2018 | 2019 | 2020 | ||||||||||
| Carpet Cleaned - Dry Chemical | 70 | 77 | 85 | ||||||||||
| Carpet Steamed | 375 | 413 | 454 | ||||||||||
| Upholstery Cleaned - Dry Chemical | 75 | 83 | 91 | ||||||||||
| Upholstery Cleaned -Steamed | 420 | 462 | 508 | ||||||||||
| Product 5 | - | - | - | ||||||||||
| Product 6 | - | - | - | ||||||||||
| Total Revenue | $ 940 | 100% | $ 1,034 | 100% | $ 1,137 | 100% | |||||||
| Cost of Goods Sold | |||||||||||||
| Carpet Cleaned - Dry Chemical | 4 | 4 | 5 | ||||||||||
| Carpet Steamed | 15 | 17 | 18 | ||||||||||
| Upholstery Cleaned - Dry Chemical | 8 | 8 | 9 | ||||||||||
| Upholstery Cleaned -Steamed | 12 | 13 | 15 | ||||||||||
| Product 5 | - | - | - | ||||||||||
| Product 6 | - | - | - | ||||||||||
| Total Cost of Goods Sold | 39 | 4% | 42 | 4% | 47 | 4% | |||||||
| Gross Margin | 902 | 96% | 992 | 96% | 1,091 | 96% | |||||||
| Payroll | 143,976 | 153,921 | 181,597 | ||||||||||
| Operating Expenses | |||||||||||||
| Advertising | 1,200 | 1,236 | 1,273 | ||||||||||
| Car and Truck Expenses | 4,200 | 4,326 | 4,456 | ||||||||||
| Commissions and Fees | 900 | 945 | 992 | ||||||||||
| Contract Labor (Not included in payroll) | - | - | - | ||||||||||
| Insurance (other than health) | 2,580 | 2,657 | 2,737 | ||||||||||
| Legal and Professional Services | 1,800 | 1,854 | 1,910 | ||||||||||
| Licenses | 600 | 630 | 662 | ||||||||||
| Office Expense | 1,500 | 1,545 | 1,591 | ||||||||||
| Rent or Lease -- Vehicles, Machinery, Equipment | - | - | - | ||||||||||
| Rent or Lease -- Other Business Property | - | - | - | ||||||||||
| Repairs and Maintenance | 900 | 945 | 992 | ||||||||||
| Supplies | 2,400 | 2,472 | 2,546 | ||||||||||
| Travel, Meals and Entertainment | 1,500 | 1,545 | 1,591 | ||||||||||
| Utilities | 2,220 | 2,287 | 2,355 | ||||||||||
| Miscellaneous | 600 | 618 | 637 | ||||||||||
| Other Expense 1 | |||||||||||||
| Other Expense 2 | |||||||||||||
| Total Operating Expenses | $ 20,400 | 2170% | $ 21,060 | 2037% | $ 21,742 | 1912% | |||||||
| Income (Before Other Expenses) Heather Hendy: Also known as EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization). This metric allows for a comparison across different businesses, which might have different levels of taxes, depreciation, or interest. This number should be used in conjunction with other metrics, as it does not give a full picture of the health of the business. | $ (163,474) | -17391% | $ (173,989) | -16827% | $ (202,248) | -17782% | |||||||
| Other Expenses | |||||||||||||
| Amortized Start-up Expenses | 10,592 | 10,592 | 10,592 | ||||||||||
| Depreciation | 457 | 457 | 457 | ||||||||||
| Interest | |||||||||||||
| Commercial Loan | - | - | - | ||||||||||
| Commercial Mortgage | - | - | - | ||||||||||
| Credit Card Debt | - | - | - | ||||||||||
| Vehicle Loans | - | - | - | ||||||||||
| Other Bank Debt | - | - | - | ||||||||||
| Line of Credit | 5,155 | 19,627 | 36,756 | ||||||||||
| Bad Debt Expense | - | - | - | ||||||||||
| Total Other Expenses | $ 16,204 | 1724% | $ 30,675 | 2967% | $ 47,805 | 4203% | |||||||
| Net Income Before Income Tax | $ (179,678) | $ (204,665) | $ (250,053) | ||||||||||
| Income Tax | $ - | $ - | $ - | ||||||||||
| Net Income/Loss | $ (179,678) | -19115% | $ (204,665) | -19793% | $ (250,053) | -21985% | |||||||
| Income Tax Calculations | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | Total |
| Taxable Amount Year 2 | $ (15,546) | $ (15,686) | $ (15,790) | $ (15,833) | $ (16,027) | $ (16,109) | $ (16,241) | $ (16,349) | $ (16,457) | $ (16,567) | $ (16,679) | $ (16,790) | $ (194,073) |
| Total | $ (15,546) | $ (31,232) | $ (47,023) | $ (62,855) | $ (78,882) | $ (94,991) | $ (111,232) | $ (127,581) | $ (144,038) | $ (160,605) | $ (177,283) | $ (194,073) | $ (1,245,341) |
| Income Taxes | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - |
| Taxable Amount Year 3 | $ (19,187) | $ (19,355) | $ (19,484) | $ (19,545) | $ (19,773) | $ (19,877) | $ (20,037) | $ (20,170) | $ (20,304) | $ (20,439) | $ (20,577) | $ (20,714) | $ (239,462) |
| Total | $ (19,187) | $ (38,543) | $ (58,027) | $ (77,572) | $ (97,345) | $ (117,222) | $ (137,258) | $ (157,428) | $ (177,732) | $ (198,171) | $ (218,748) | $ (239,462) | $ (1,536,695) |
| Income Taxes | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - |
&"Gill Sans MT,Regular"&12Income Statement Years 1-3
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
8-BalanceSheet
| Balance Sheet Years 1-3 | |||
| Prepared By: | Company Name: | ||
| Maurice Maurice | Lawson's Services | ||
| ASSETS | 2018 | 2019 | 2020 |
| Current Assets | |||
| Cash | - | - | - |
| Accounts Receivable | 66 | 73 | 80 |
| Inventory | 1,700 | 1,700 | 1,700 |
| Prepaid Expenses | 21,183 | 10,592 | - |
| Other Initial Costs | - | - | - |
| Total Current Assets | $ 22,949 | $ 12,364 | $ 1,780 |
| Fixed Assets | |||
| Real Estate -- Land | - | - | - |
| Real Estate -- Buildings | - | - | - |
| Leasehold Improvements | - | - | - |
| Equipment | 2,500 | 2,500 | 2,500 |
| Furniture and Fixtures | 500 | 500 | 500 |
| Vehicles | - | - | - |
| Other | - | - | - |
| Total Fixed Assets | $ 3,000 | $ 3,000 | $ 3,000 |
| (Less Accumulated Depreciation) | $ 457 | $ 914 | $ 1,371 |
| Total Assets | $ 25,492 | $ 14,449 | $ 3,408 |
| LIABILITIES & EQUITY | |||
| Liabilities | |||
| Accounts Payable | 4 | 4 | 4 |
| Commercial Loan Balance | - | - | - |
| Commercial Mortgage Balance | - | - | - |
| Credit Card Debt Balance | - | - | - |
| Vehicle Loans Balance | - | - | - |
| Other Bank Debt Balance | - | - | - |
| Line of Credit Balance | 157,907 | 351,529 | 590,541 |
| Total Liabilities | $ 157,911 | $ 351,533 | $ 590,545 |
| Equity | |||
| Common Stock | 50,275 | 50,275 | 50,275 |
| Retained Earnings | (179,678) | (384,342) | (634,396) |
| Dividends Dispersed/Owners Draw | 3,016 | 3,016 | 3,016 |
| Total Equity | $ (132,419) | $ (337,083) | $ (587,137) |
| Total Liabilities and Equity | $ 25,492 | $ 14,449 | $ 3,408 |
| Balance sheet in or out of balance? | $ - | $ - | $ - |
| Balanced! | Balanced! | Balanced! | |
&"Gill Sans MT,Regular"&12Balance Sheet Years 1-3
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
BreakevenAnalysis
| Breakeven Analysis Year 1 | |
| Prepared By: | Company Name: |
| Maurice Maurice | Lawson's Services |
| Gross Margin % of Sales | |
| Gross Margin | $ 902 |
| Total Sales | $ 940 |
| Gross Margin/Total Sales | 95.9% |
| Total Fixed Expenses | |
| Payroll | $ 143,975.70 |
| Operating Expenses | $ 26,011.86 |
| Operating + Payroll | $ 169,988 |
| Breakeven Sales in Dollars (Annual) | |
| Gross Margin % of Sales | 95.9% |
| Total Fixed Expenses | $ 169,988 |
| Yearly Breakeven Amount | $ 177,247 |
| Monthly Breakeven Amount | $ 14,771 |
&"Gill Sans MT,Regular"&12Breakeven Analysis
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
Breakeven Sales Level The breakeven sales level represents the number of units that must be sold in order to break even. This means that revenues are equal to expenses. Any units sold beyond this quantity will allow the company to generate net income. One of the best uses of breakeven analysis is to play with various scenarios. For instance, if you add another person to the payroll, how many extra sales dollars will be needed to recover the extra salary expense? If you borrow, how much will be needed to cover the increased principal and interest payments? Many owners, especially retailers, like to calculate a daily breakdown. This gives everyone a target to shoot at for the day. Equation: Breakeven Point = Total Fixed Costs/ (Gross Margin/Total Sales)
FinancialRatios
| Financial Ratios - Year 1 | |||||
| Prepared By: | Company Name: | ||||
| Maurice Maurice | Lawson's Services | ||||
| Ratios | Year One | Year Two | Year Three | Industry Norms Heather Hendy: With some research, you can find industry norms for each ratio. The Risk Management Association provides Annual Statement Studies with this information, for a fee. Visit your local library to see if they have a free copy you can use. You can also refer to trade magazines or other sources of industry data, such as www.bizstats.com or http://biz.yahoo.com/p/industries.html. You may need to use a mix of sources, as one source may not provide all of the data. Speak with your mentor to ensure that the industry norms you are using are relevant to your business. Leave this column blank if you do not have the industry information. | Notes |
| Liquidity | |||||
| Current Ratio | 0.1 Jack Hess: An indication of a company's ability to meet short-term debt obligations. | 0.0 | 0.0 | ||
| Quick Ratio | 0.0 Jack Hess: The ratio between all assets quickly convertible into cash and current liabilities. Measures a company's liquidity. Also called acid-test ratio. | 0.0 | 0.0 | ||
| Safety | |||||
| Debt to Equity Ratio | -1.2 Jack Hess: This ratio expresses the relationship between capital contributed by creditors and that contributed by owners. | -1.0 | -1.0 | ||
| Debt-Service Coverage Ratio - DSCR | -1.1 Jack Hess: This ratio indicates how well your cash flow covers debt and the capability of the business to take on additional debt. | -0.6 | -0.4 | ||
| Profitability | |||||
| Sales Growth | 0.0% Jack Hess: This ratio calculates the percentage of increase (or decrease) in sales between the current year and the previous year. | 10.0% | 10.0% | ||
| COGS to Sales | 4.1% Jack Hess: The percentage of sales used to pay for the COGS (expenses which directly vary with sales) is expressed in this ratio. | 4.1% | 4.1% | ||
| Gross Profit Margin | 95.9% Jack Hess: This ratio indicates how much profit is earned on your products without consideration of indirect costs, selling and administration costs. | 95.9% | 95.9% | ||
| SG&A to Sales | 17486.8% Jack Hess: This ratio measures the percentage of selling, general and administrative costs to your amount of sales. | 16922.7% | 17877.5% | ||
| Net Profit Margin | -19114.7% Jack Hess: Net profit margin shows how much profit comes from every dollar of sales. | -19793.5% | -21984.7% | ||
| Return on Equity (ROE) | 135.7% Jack Hess: 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? | 60.7% | 42.6% | ||
| Return on Assets | -704.8% Jack Hess: This ratio measures how effectively assets are used to generate a return. | -1416.5% | -7337.2% | ||
| Owner's Compensation to Sales | 7744.7% Jack Hess: This ratio measures the owner's compensation as a percentage of sales. | 7744.7% | 7744.7% | ||
| Efficiency | |||||
| Days in Receivables | 25.3 Jack Hess: Days in receivable calculates the average number of days it takes to collect your account receivable (number of days of sales in receivables). | 25.3 | 25.3 | ||
| Accounts Receivable Turnover | 14.2 Jack Hess: This ratio tells you the number of times accounts receivable turnover during the year. | 14.2 | 14.2 | ||
| Days in Inventory | 15896.1 Jack Hess: This ratio shows the average number of days it will take to sell your inventory. | 14651.7 | 13319.7 | ||
| Inventory Turnover | 0.0 Jack Hess: This ratio calculates the number of times inventory is turned over (or sold) during the year. | 0.0 | 0.0 | ||
| Sales to Total Assets | 0.0 Jack Hess: This ratio indicates how efficiently your business generates sales on every dollar of assets. | 0.1 | 0.3 | ||
&"Gill Sans MT,Regular"&12Financial Ratios - Year 1
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
This sheet shows some common financial ratios. There is a column where you can enter industry norms. To get these, contact your local library or bank to see if they have copies of the Risk Management Association (RMA) Annual Statement or refer to industry publications and trade magazines. Speak with your mentor to ensure you are using the appropriate resources.
DiagnosticTools
| Diagnostic Tools - Year 1 | ||
| Prepared By: | Company Name: | |
| Maurice Maurice | Lawson's Services | |
| General Financing Assumptions | Value | Findings |
| Owner's Cash Injection into the Business | 100.0% | Owner's injection is reasonable |
| Cash Request as percent of Total Required Funds | 29.8% | Cash request exceeds 20% which might be too high |
| Loan Assumptions | Value | Findings |
| Commercial Loan Interest rate | 9.0% | Interest rate seems reasonable |
| Commercial Loan Term in Months | 84 | Loan term seems within range for this type of loan |
| Commercial Mortgage Interest rate | 9.0% | Interest rate seems reasonable |
| Commercial Mortgage Term in Months | 240 | Loan term seems within range for this type of loan |
| Debt-Service Coverage | -113.5% | Calculated loan payments relative to operating profit seem reasonable |
| Income Statement | Value | Findings |
| Gross Margin as a Percent of Sales | 95.9% | Gross margin percentage seems reasonable |
| Owner's Compensation Lower Limit Check | $ 72,800 | An owner's compensation amount has been established |
| Owner's Compensation Upper Limit Check | -40.5% | Owner's compensation seems reasonable |
| Advertising Expense Levels as a Percent of Sales | 127.7% | Advertising as a percent of sales seems reasonable |
| Profitability Levels | $ (179,678) | The business is not showing a profit |
| Profitability as a Percent of Sales | -19114.7% | The projection does not seem highly unreasonable |
| Cash Flow Statement | Value | Findings |
| Desired Operating cash Flow Levels | $ 163,907 | The financial projection provides the desired level of cash flow |
| Line of Credit Drawdowns | $ 163,907 | The business will need at least this level of a line of credit |
| Accounts Receivable Ratio to Sales | 7.0% | Accounts receivable amount as a percent of sales seems reasonable |
| Balance Sheet | Value | Findings |
| Does the Year 1 Balance Sheet Balance? | $ - | The balance sheet does balance |
| Debt to Equity Ratio | -119.3% | Very comfortable |
| Breakeven Analysis | Value | Findings |
| Do Sales Exceed the Breakeven Level? | $ (176,307) | The sales projection is less than the break-even amount |
&"Gill Sans MT,Regular"&12Diagnostic Tools - Year 1
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12&D &T
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.
COGS Calculator
| COGS Calculator | |
| Prepared By: | Company Name: |
| Maurice Maurice | Lawson's Services |
| Variable Costs of Products | |
| Timeframe: | Month |
| Product Line: | Widget |
| Raw materials | 10 |
| Labor used to produce product | 2 |
| Costs associated with shipping and storing raw materials | 1 |
| Production facility expenses (use fraction of total if facility is used for other items) | 0 |
| Total Product Expenses | $ 13 |
| Number Units Sold in timeframe used | 10 |
| Cost of Goods Sold Per Unit | $ 1 |
| Variable Costs of Services | |
| Timeframe: | Month |
| Product Line: | Project |
| Amount spent on labor during timeframe | |
| Amount spent on materials during this timeframe | |
| List any other variable costs associated with the delivery of your service during this timeframe. | |
| Total Service Expenses | $ - |
| Number Units Sold During Timeframe | |
| Cost of Goods Sold Per Unit | Please enter all information. |
| Return to Sales Forecast Year 1 | |
&"Gill Sans MT,Regular"&12COGS Calculator
&"Gill Sans MT,Regular"&12&F &"Gill Sans MT,Regular"&12&A &"Gill Sans MT,Regular"&12 &D &T
Amortization&Depreciation
| Amortization & Depreciation Schedule | |||||||||||||
| Prepared By: | Company Name: | Return to Starting Point | |||||||||||
| Maurice Maurice | Lawson's Services | ||||||||||||
| Commercial Loan | |||||||||||||
| Principal Amount | $ - 0 | ||||||||||||
| Interest Rate | 9.00% | ||||||||||||
| Loan Term in Months | 84.00 | ||||||||||||
| Monthly Payment Amount | $0.00 | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Totals | |
| Year One | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Two | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Three | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Commercial Mortgage | |||||||||||||
| Principal Amount | $ - 0 | ||||||||||||
| Interest Rate | 9.00% | ||||||||||||
| Loan Term in Months | 240.00 | ||||||||||||
| Monthly Payment Amount | $0.00 | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Totals | |
| Year One | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Two | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Three | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Credit Card Debt | |||||||||||||
| Principal Amount | $ - 0 | ||||||||||||
| Interest Rate | 7.00% | ||||||||||||
| Loan Term in Months | 60.00 | ||||||||||||
| Monthly Payment Amount | $0.00 | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Totals | |
| Year One | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Two | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Three | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Vehicle Loans | |||||||||||||
| Principal Amount | $ - 0 | ||||||||||||
| Interest Rate | 6.00% | ||||||||||||
| Loan Term in Months | 48.00 | ||||||||||||
| Monthly Payment Amount | $0.00 | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Totals | |
| Year One | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Two | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Three | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Other Bank Debt | |||||||||||||
| Principal Amount | $0.00 | ||||||||||||
| Interest Rate | 5.00% | ||||||||||||
| Loan Term in Months | 36.00 | ||||||||||||
| Monthly Payment Amount | $0.00 | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Totals | |
| Year One | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Two | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Three | |||||||||||||
| Interest | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Principal | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Loan Balance | - | - | - | - | - | - | - | - | - | - | - | - | |
| Depreciation | |||||||||||||
| Real Estate-Buildings | 20 | ||||||||||||
| Leasehold Improvements | 7 | ||||||||||||
| Equipment | 7 | ||||||||||||
| Furniture and Fixtures | 5 | ||||||||||||
| Vehicles | 5 | ||||||||||||
| Other | 5 | ||||||||||||
| June | July | August | September | October | November | December | January | February | March | April | May | Totals | |
| Year One | |||||||||||||
| Starting Depreciation | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | $ 457 |
| Additional Depreciation | - | - | - | - | - | - | - | - | - | - | - | - | |
| Ending Depreciation | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | $ 457 |
| Year Two | |||||||||||||
| Starting Depreciation | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | $ 457 |
| Additional Depreciation | - | - | - | - | - | - | - | - | - | - | - | - | |
| Ending Depreciation | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | $ 457 |
| Year Three | |||||||||||||
| Starting Depreciation | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | $ 457 |
| Additional Depreciation | - | - | - | - | - | - | - | - | - | - | - | - | |
| Ending Deprecation | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | 38 | $ 457 |
| Amortization of Start-Up Costs | Monthly | ||||||||||||
| Prepaid Expenses | $ 31,775 | ||||||||||||
| Total Expensed each Year | $ 10,592 | 883 | |||||||||||
| Other Initial Costs | $ - | ||||||||||||
| Total Expensed each Year | $ - | 0 | |||||||||||
| Prepaid Expenses | June | July | August | September | October | November | December | January | February | March | April | May | Totals |
| Year One | |||||||||||||
| Amount Amortized | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | $ 10,592 |
| Total Amortized | 883 | 1,765 | 2,648 | 3,531 | 4,413 | 5,296 | 6,178 | 7,061 | 7,944 | 8,826 | 9,709 | 10,592 | |
| Year Two | |||||||||||||
| Amount Amortized | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | $ 10,592 |
| Total Amortized | 11,474 | 12,357 | 13,240 | 14,122 | 15,005 | 15,887 | 16,770 | 17,653 | 18,535 | 19,418 | 20,301 | 21,183 | |
| Year Three | |||||||||||||
| Amount Amortized | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | 883 | $ 10,592 |
| Total Amortized | 22,066 | 22,949 | 23,831 | 24,714 | 25,597 | 26,479 | 27,362 | 28,244 | 29,127 | 30,010 | 30,892 | 31,775 | |
| Other Initial Costs | June | July | August | September | October | November | December | January | February | March | April | May | Totals |
| Year One | |||||||||||||
| Amount Amortized | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Total Amortized | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Two | |||||||||||||
| Starting Depreciation | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Ending Depreciation | - | - | - | - | - | - | - | - | - | - | - | - | |
| Year Three | |||||||||||||
| Starting Depreciation | - | - | - | - | - | - | - | - | - | - | - | - | $ - |
| Ending Deprecation | - | - | - | - | - | - | - | - | - | - | - | - | |
&"Gill Sans MT,Regular"&12Amortization and Depreciation Schedule
Revision Notes
| Date Last Revised | Revised By | Notes |
| 6/21/13 | Heather Hendy | Tab 3a, cell O55: added margin from 6th product. Tab 3b, cells O49 and AD49: added margins from 6th product. Tab 7b: added % sales for lines 23 and 59 for all three years. |
| 7/14/13 | Heather Hendy | Updated Tabs 5a, 5b, 7a, and 7b to automatically carry over debt categories from Tab 1 in case they are edited. Updated Tabs 5b, 7a and 7b to carry over expense categories from tab 5a in case they are edited. |
| 4/23/14 | Heather Hendy | Tab 8 Balance Sheet Cell F41 comes from E41 + tab 6b cell AB24 + tab 6b cell AB27. However tab 6b cell AB27 did not have a sum total in the cell. So when paying Dividends in Year 3 the total for the year is not calculated and carried over to the Balance Sheet. This has now been updated. |
Assumptions
| General Assumptions |
| Initial Start up costs are within acceptable indusrty standards |
