Budget and Profit Loss Statement due in 60 hours

Mobile Registrations

In the climate we find ourselves in today, healthcare companies are challenged to find options that will improve the overall patient experience.  My company, Mobile Registrations, will provide the patient with a touch free option to provide necessary demographic and insurance information prior to visiting a Provider’s office.  Many Providers will not be interested in creating their own system but will be interested in partnering with an existing company with a commitment to success.

As a start-up company, my initial investment from my personal funds will be $20,000.00.    Based on my research, I will be able to provide the software to approximately 5 companies at a cost of $3,000.00 each per year.   The software (COGS) will cost me $2,000.00 per Provider on an annual basis.   As a new company with a product that is designed for a new market, I am allotting a total of $3,000.00 for advertisement, marketing and social media platforms for the first 2 years.

My five year forecast includes an anticipated increase of 3 additional companies per year for the first 3 years (Year #2, Year #3 and Year #4) and approximately 7 additional companies for Year #5 based on my ability to purchase additional software and employ cheap part-time labor to provide onsite support with sales and account reconciliation.

Cost of Goods Sold = $2,000.00 per Provider per year

· Additional 3 Providers per year will be added for Year #2 – Year #4

· Additional 7 Providers will be added for Year #5

Operating Expenses

· The operating expenses will remain flat for the first 2 years as the goal will be to use social media and existing pro-rated advertisement.

· The operating expenses will decrease in Year 3 as paid advertisement will be scaled back.  I plan to rely heavily on social media, word of mouth and local advertisement such as magazines, etc. 

· I am not planning to hire any additional support at this time and will remain the sole proprietor of the company.

· The operating expenses will increase in Year 4 and remain at the increased amount for Year #5 as I will hire on additional support (example – part-time student worker) to assist with managing reconciling the accounts and conducting cold calls to acquire new business leads.

Mobile Registrations

Five Year Forecast

 

Five Year Forecast	Year 1	Year 2	Year 3	Year 4	Year 5
Total Revenue	$20,000.00	$24,000.00	$33,000.00	$42,000.00	$63,000.00
Cost of Goods Sold	$12,000.00	$16,000.00	$22,000.00	$28,000.00	$42,000.00
Gross Margin	$8,000.00	$8,000.00	$11,000.00	$14,000.00	$21,000.00
Operating Expenses	$3,000.00	$3,000.00	$2,000.00	$5,000.00	$5,000.00
Profit (Loss) Before Taxes	$5,000.00	$5,000.00	$9,000.00	$9,000.00	$16,000.00