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financial_sheet3.1.xlsx
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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:
U-Deliver
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

U-Deliver 1-Apr-17
Required Start-Up Funds
Required Start-Up Funds Amount Totals Depreciation Notes
Fixed Assets
Real Estate $ 450,000
Buildings 654,300 20.00 years
Leasehold Improvements 325,100 7.00 years
Equipment 345,278 7.00 years
Furniture and Fixtures 123,980 5.00 years
Vehicles 123,432 5.00 years
Other Fixed Assets 1,500,000 5.00 years
Total Fixed Assets 3,522,090
Operating Capital
Pre-Opening Salaries and Wages 60,000
Prepaid Insurance Premiums 239,000
Beginning Inventory 145,000
Legal and Accounting Fees 432,180
Rent Deposits 435,100
Utility Deposits 543,200
Supplies 345,290
Advertising and Promotions 345,217
Licenses 789,054
Other Initial Start-Up Costs 45,000
Working Capital (Cash On Hand) 54,690
Total Operating Capital 3,433,731
Total Required Funds $ 6,955,821
Sources of Funding Amount Totals Loan Rate Term in Months Monthly Payments
Owner's Cash Injection 2.16% 150,000
Outside Investors 10.21% 710,000
Additional Loans or Debt
Commercial Loan 74.94% 5,212,381 9.00% 84.00 $83,862.41
Commercial Mortgage 12.70% 883,440 9.00% 240.00 $7,948.54
Total Sources of Funding 100.00% $ 6,955,821 $91,810.94
A line of credit is also required in the amount of $ 57,435,169

2. Salaries and Wages

U-Deliver 1-Apr-17
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 0 $ 60,000 720,000 741,600 763,848
Salaries 0 35,400 424,800 437,544 450,670
Wages
Full-Time Employees 0 - 0 - 0 - 0 - 0
Estimated Hours Per Week 40.00
Estimated Rate Per Hour $ 9.00
Part-Time Employees 0 - 0 - 0 - 0 - 0
Estimated Hours Per Week 20.00
Estimated Rate Per Hour $ 9.00
Independent Contractors - 0 - 0 - 0 - 0
Total Salaries and Wages 0 95,400 1,144,800 1,179,144 1,214,518
Payroll Taxes and Benefits
Social Security 6.20% $ 102,000 5,915 70,978 73,107 75,300
Medicare 1.45% 1,383 16,600 17,098 17,611
Federal Unemployment Tax (FUTA) 0.80% $ 7,000 - 0 - 0 - 0 - 0
State Unemployment Tax (SUTA) 2.70% $ 7,000 - 0 - 0 - 0 - 0
Employee Pension Programs 0.00% - 0 - 0 - 0 - 0
Worker's Compensation 0.00% 56,000 672,000 692,160 712,925
Employee Health Insurance 0.00% 76,890 922,680 950,360 978,871
Other Employee Benefit Programs 0.00% 45,378 544,536 560,872 577,698
Total Payroll Taxes and Benefits 185,566 2,226,793 2,293,597 2,362,405
Total Salaries and Related Expenses 280,966 3,371,593 3,472,741 3,576,923

3. Fixed Operating Expenses

U-Deliver 1-Apr-17
Fixed Operating Expenses
Fixed Operating Expenses Monthly Year One Year Two Year Three Notes
Percent Change 3.00% 3.00%
Expenses
Advertising $ 45,000 540,000 556,200 572,886
Car and Truck Expenses 35,000 420,000 432,600 445,578
Commissions and Fees 78,900 946,800 975,204 1,004,460
Contract Labor 34,000 408,000 420,240 432,847
Credit Card and Bank Charges 321,092 3,853,104 3,968,697 4,087,758
Customer Discounts and Refunds 890,780 10,689,360 11,010,041 11,340,342
Dues and Subscriptions 567,890 6,814,680 7,019,120 7,229,694
Entertainment 54,230 650,760 670,283 690,391
Insurance (Liability and Property) 67,890 814,680 839,120 864,294
Internet 459,870 5,518,440 5,683,993 5,854,513
Legal and Professional Fees 234,120 2,809,440 2,893,723 2,980,535
Office Expenses 5,420 65,040 66,991 69,001
Postage and Delivery 569,870 6,838,440 7,043,593 7,254,901
Rent (on business property) 34,210 410,520 422,836 435,521
Rent of Vehicles and Equipment 43,276 519,312 534,891 550,938
Repairs and Maintenance 6,500 78,000 80,340 82,750
Supplies 9,870 118,440 121,993 125,653
Telephone and Communications 34,290 411,480 423,824 436,539
Travel 213,459 2,561,508 2,638,353 2,717,504
Utilities 432,780 5,193,360 5,349,161 5,509,636
Total Expenses 4,138,447 49,661,364 51,151,205 52,685,741
Other Expenses
Depreciation 39,830 477,966 477,966 477,966
Interest
Commercial Loan 37,199 446,390 393,862 336,406
Commercial Mortgage 6,570 78,838 77,286 75,589
Line of Credit 197,520 2,370,240 - 0 - 0
Total Other Expenses 281,119 3,373,434 949,114 889,961
Total Fixed Operating Expenses 4,419,566 53,034,798 52,100,319 53,575,702

4. Projected Sales Forecast

U-Deliver 1-Apr-17
Projected Sales Forecast
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
Product/Service A
Price Per Unit $ 50.00 100.00%
Variable Cost Per Unit $ 10.00 20.00%
Gross Margin Per Unit $ 40.00 80.00%
Projected Unit Sales
Seasonality Factor 6.98% 4.65% 9.30% 11.63% 6.98% 11.63% 6.98% 4.65% 13.95% 9.30% 2.33% 11.63% 100.00%
Year One 3 2 4 5 3 5 3 2 6 4 1 5 43
Year Two Growth 10.00% 3 2 4 6 3 6 3 2 7 4 1 6 47
Year Three Growth 10.00% 4 2 5 6 4 6 4 2 7 5 1 6 52
Fixed Expense Allocation 50.00%
Projected Revenue $ 2,150
Variable Costs 430
Gross Margin 1,720
Fixed Expenses 26,517,399
Profit (26,515,679) -1233287.39%
Breakeven Sales Revenue $ 33,146,748.58
Breakeven Sales Units 662,935
Product/Service B
Price Per Unit $ 90.00 100.00%
Variable Cost Per Unit $ 20.00 22.22%
Gross Margin Per Unit $ 70.00 77.78%
Projected Unit Sales
Seasonality Factor 3.64% 7.27% 5.45% 9.09% 14.55% 10.91% 7.27% 5.45% 12.73% 16.36% 5.45% 1.82% 100.00%
Year One 2 4 3 5 8 6 4 3 7 9 3 1 55
Year Two Growth 10.00% 2 4 3 6 9 7 4 3 8 10 3 1 61
Year Three Growth 10.00% 2 5 4 6 10 7 5 4 8 11 4 1 67
Fixed Expense Allocation 16.67%
Projected Revenue $ 4,950
Variable Costs 1,100
Gross Margin 3,850
Fixed Expenses 8,839,133
Profit (8,835,283) -178490.56%
Breakeven Sales Revenue $ 11,364,599.51
Breakeven Sales Units 126,273

5. Projected Sales Forecast (2)

U-Deliver 1-Apr-17
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
Product/Service C
Price Per Unit $ 85.00 100.00%
Variable Cost Per Unit $ 15.00 17.65%
Gross Margin Per Unit $ 70.00 82.35%
Projected Unit Sales
Seasonality Factor 3.57% 5.36% 5.36% 3.57% 12.50% 10.71% 8.93% 10.71% 8.93% 10.71% 12.50% 7.14% 100.00%
Year One 2 3 3 2 7 6 5 6 5 6 7 4 56
Year Two Growth 10.00% 2 3 3 2 8 7 6 7 6 7 8 4 62
Year Three Growth 10.00% 2 4 4 2 8 7 6 7 6 7 8 5 68
Fixed Expense Allocation 16.67%
Projected Revenue $ 4,760
Variable Costs 840
Gross Margin 3,920
Fixed Expenses 8,839,133
Profit (8,835,213) -185613.72%
Breakeven Sales Revenue $ 10,733,232.87
Breakeven Sales Units 126,273
Product/Service D
Price Per Unit $ 150.00 100.00%
Variable Cost Per Unit $ 60.00 40.00%
Gross Margin Per Unit $ 90.00 60.00%
Projected Unit Sales
Seasonality Factor 3.23% 6.45% 8.06% 6.45% 8.06% 9.68% 11.29% 4.84% 9.68% 11.29% 12.90% 8.06% 100.00%
Year One 2 4 5 4 5 6 7 3 6 7 8 5 62
Year Two Growth 10.00% 2 4 6 4 6 7 8 3 7 8 9 6 68
Year Three Growth 10.00% 2 5 6 5 6 7 8 4 7 8 10 6 75
Fixed Expense Allocation 16.67%
Projected Revenue $ 9,300
Variable Costs 3,720
Gross Margin 5,580
Fixed Expenses 8,839,133
Profit (8,833,553) -94984.44%
Breakeven Sales Revenue $ 14,731,888.26
Breakeven Sales Units 98,213

6. Cash Receipts-Disbursements

U-Deliver 1-Apr-17
Cash Receipts and Disbursements
Accounts Receivable Collections
Percent of Collections
0 to 30 days 100.00%
31 to 60 days 0.00%
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 $ 1,000,000.00
Line of Credit Interest Rate 9.00%
Income Tax Assumptions
Effective Income Tax Rate 0.00%
1,063,014 88,584
Amortization of Start-Up Expenses 15,000 1,250
Amortization Period in Years 3.00 89,834

7. Beginning Balance Sheet

U-Deliver
Balance Sheet (For Existing Businesses Only)
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

U-Deliver
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
Product/Service A 150 100 200 250 150 250 150 100 300 200 50 250 2,150
Product/Service B 180 360 270 450 720 540 360 270 630 810 270 90 4,950
Product/Service C 170 255 255 170 595 510 425 510 425 510 595 340 4,760
Product/Service D 300 600 750 600 750 900 1,050 450 900 1,050 1,200 750 9,300
Total Income 800 1,315 1,475 1,470 2,215 2,200 1,985 1,330 2,255 2,570 2,115 1,430 21,160
Cost of Sales
Product/Service A 30 20 40 50 30 50 30 20 60 40 10 50 430
Product/Service B 40 80 60 100 160 120 80 60 140 180 60 20 1,100
Product/Service C 30 45 45 30 105 90 75 90 75 90 105 60 840
Product/Service D 120 240 300 240 300 360 420 180 360 420 480 300 3,720
Total Cost of Sales 220 385 445 420 595 620 605 350 635 730 655 430 6,090
Gross Margin 580 930 1,030 1,050 1,620 1,580 1,380 980 1,620 1,840 1,460 1,000 15,070
Salaries and Wages
Owner's Compensation 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 720,000
Salaries 35,400 35,400 35,400 35,400 35,400 35,400 35,400 35,400 35,400 35,400 35,400 35,400 424,800
Full-Time Employees - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Part-Time Employees - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Independent Contractors - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Payroll Taxes and Benefits 185,566 185,566 185,566 185,566 185,566 185,566 185,566 185,566 185,566 185,566 185,566 185,566 2,226,793
Total Salary and Wages 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 3,371,593
Fixed Business Expenses
Advertising 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 540,000
Car and Truck Expenses 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 35,000 420,000
Commissions and Fees 78,900 78,900 78,900 78,900 78,900 78,900 78,900 78,900 78,900 78,900 78,900 78,900 946,800
Contract Labor 34,000 34,000 34,000 34,000 34,000 34,000 34,000 34,000 34,000 34,000 34,000 34,000 408,000
Credit Card and Bank Charges 321,092 321,092 321,092 321,092 321,092 321,092 321,092 321,092 321,092 321,092 321,092 321,092 3,853,104
Customer Discounts and Refunds 890,780 890,780 890,780 890,780 890,780 890,780 890,780 890,780 890,780 890,780 890,780 890,780 10,689,360
Dues and Subscriptions 567,890 567,890 567,890 567,890 567,890 567,890 567,890 567,890 567,890 567,890 567,890 567,890 6,814,680
Entertainment 54,230 54,230 54,230 54,230 54,230 54,230 54,230 54,230 54,230 54,230 54,230 54,230 650,760
Insurance (Liability and Property) 67,890 67,890 67,890 67,890 67,890 67,890 67,890 67,890 67,890 67,890 67,890 67,890 814,680
Internet 459,870 459,870 459,870 459,870 459,870 459,870 459,870 459,870 459,870 459,870 459,870 459,870 5,518,440
Legal and Professional Fees 234,120 234,120 234,120 234,120 234,120 234,120 234,120 234,120 234,120 234,120 234,120 234,120 2,809,440
Office Expenses 5,420 5,420 5,420 5,420 5,420 5,420 5,420 5,420 5,420 5,420 5,420 5,420 65,040
Postage and Delivery 569,870 569,870 569,870 569,870 569,870 569,870 569,870 569,870 569,870 569,870 569,870 569,870 6,838,440
Rent (on business property) 34,210 34,210 34,210 34,210 34,210 34,210 34,210 34,210 34,210 34,210 34,210 34,210 410,520
Rent of Vehicles and Equipment 43,276 43,276 43,276 43,276 43,276 43,276 43,276 43,276 43,276 43,276 43,276 43,276 519,312
Repairs and Maintenance 6,500 6,500 6,500 6,500 6,500 6,500 6,500 6,500 6,500 6,500 6,500 6,500 78,000
Supplies 9,870 9,870 9,870 9,870 9,870 9,870 9,870 9,870 9,870 9,870 9,870 9,870 118,440
Telephone and Communications 34,290 34,290 34,290 34,290 34,290 34,290 34,290 34,290 34,290 34,290 34,290 34,290 411,480
Travel 213,459 213,459 213,459 213,459 213,459 213,459 213,459 213,459 213,459 213,459 213,459 213,459 2,561,508
Utilities 432,780 432,780 432,780 432,780 432,780 432,780 432,780 432,780 432,780 432,780 432,780 432,780 5,193,360
Total Fixed Business Expenses 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 49,661,364
Other Expenses
Amortized Start-up Expenses 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 1,078,014
Depreciation 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 477,966
Interest
Commercial Loan 39,093 38,757 38,419 38,078 37,735 37,389 37,040 36,689 36,335 35,979 35,620 35,258 446,390
Commercial Mortgage 6,626 6,616 6,606 6,596 6,586 6,575 6,565 6,555 6,544 6,534 6,523 6,512 78,838
Line of Credit - 0 40,920 75,054 109,443 144,090 178,993 214,158 249,588 285,286 321,248 357,478 393,982 2,370,240
Taxes - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Total Other Expenses 175,384 215,958 249,743 283,782 318,075 352,622 387,428 422,496 457,831 493,426 529,286 565,417 4,451,447
Net Income (4,594,217) (4,634,441) (4,668,126) (4,702,145) (4,735,869) (4,770,455) (4,805,461) (4,840,929) (4,875,624) (4,910,999) (4,947,239) (4,983,830) (57,469,335)
(4,504,382) (4,544,606) (4,578,292) (4,612,310) (4,646,034) (4,680,621) (4,715,627) (4,751,095) (4,785,789) (4,821,164) (4,857,404) (4,893,996)
(4,504,382) (9,048,988) (13,627,280) (18,239,591) (22,885,625) (27,566,246) (32,281,872) (37,032,967) (41,818,757) (46,639,921) (51,497,325) (56,391,321)

9. Cash Flow Statement

U-Deliver
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 54,690 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000
Cash Inflows
Income from Sales 800 1,315 1,475 1,470 2,215 2,200 1,985 1,330 2,255 2,570 2,115 1,430 21,160
Accounts Receivable - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Total Cash Inflows 800 1,315 1,475 1,470 2,215 2,200 1,985 1,330 2,255 2,570 2,115 1,430 21,160
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 220 385 445 420 595 620 605 350 635 730 655 430 6,090
Operating Activities
Salaries and Wages 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 280,966 3,371,593
Fixed Business Expenses 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 4,138,447 49,661,364
Taxes - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Financing Activities - 0
Loan Payments 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 1,101,731
Line of Credit Interest - 0 40,920 75,054 109,443 144,090 178,993 214,158 249,588 285,286 321,248 357,478 393,982 2,370,240
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 4,511,444 4,552,529 4,586,723 4,621,087 4,655,909 4,690,837 4,725,987 4,761,162 4,797,146 4,833,202 4,869,357 4,905,636 56,511,019
Cash Flow (4,510,644) (4,551,214) (4,585,248) (4,619,617) (4,653,694) (4,688,637) (4,724,002) (4,759,832) (4,794,891) (4,830,632) (4,867,242) (4,904,206) (56,489,859)
Operating Cash Balance (4,455,954) (3,551,214) (3,585,248) (3,619,617) (3,653,694) (3,688,637) (3,724,002) (3,759,832) (3,794,891) (3,830,632) (3,867,242) (3,904,206)
Line of Credit Drawdowns 5,455,954 4,551,214 4,585,248 4,619,617 4,653,694 4,688,637 4,724,002 4,759,832 4,794,891 4,830,632 4,867,242 4,904,206 57,435,169
Ending Cash Balance 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000
Line of Credit Balance 5,455,954 10,007,168 14,592,416 19,212,033 23,865,727 28,554,364 33,278,366 38,038,198 42,833,088 47,663,720 52,530,962 57,435,169

10. Balance Sheet

U-Deliver
Balance Sheet - Year One
Base Period End of Year One
Assets
Current Assets
Cash 54,690 1,000,000
Accounts Receivable - 0 - 0
Inventory 145,000 145,000
Prepaid Expenses 3,189,041 2,126,027
Other Current 45,000 30,000
Total Current Assets 3,433,731 3,301,027
Fixed Assets
Real Estate 450,000 450,000
Buildings 654,300 654,300
Leasehold Improvements 325,100 325,100
Equipment 345,278 345,278
Furniture and Fixtures 123,980 123,980
Vehicles 123,432 123,432
Other Fixed Assets 1,500,000 1,500,000
Total Fixed Assets 3,522,090 3,522,090
Less: Accumulated Depreciation - 0 477,966
Total Assets 6,955,821 6,345,151
Liabilities and Owner's Equity
Liabilities
Accounts Payable - 0 - 0
Notes Payable 5,212,381 4,652,422
Mortgage Payable 883,440 866,896
Line of Credit Balance - 0 57,435,169
Total Liabilities 6,095,821 62,954,486
Owner's Equity
Common Stock 860,000 860,000
Retained Earnings - 0 (57,469,335)
Dividends Dispersed - 0 - 0
Total Owner's Equity 860,000 (56,609,335)
Total Liabilities and Owner's Equity 6,955,821 6,345,151
Statement Balances Statement Balances

11. Year End Summary

U-Deliver
Year End Summary
Year One % Year Two % Year Three %
Income
Product/Service A 2,150 2,365 2,602
Product/Service B 4,950 5,445 5,990
Product/Service C 4,760 5,236 5,760
Product/Service D 9,300 10,230 11,253
Total Income 21,160 100.00% 23,276 100.00% 25,604 100.00%
Cost of Sales
Product/Service A 430 473 520
Product/Service B 1,100 1,210 1,331
Product/Service C 840 924 1,016
Product/Service D 3,720 4,092 4,501
Total Cost of Sales 6,090 28.78% 6,699 28.78% 7,369 28.78%
Gross Margin 15,070 71.22% 16,577 71.22% 18,235 71.22%
Salaries and Wages
Owner's Compensation 720,000 741,600 763,848
Salaries 424,800 437,544 450,670
Full-Time Employees - 0 - 0 - 0
Part-Time Employees - 0 - 0 - 0
Independent Contractors - 0 - 0 - 0
Payroll Taxes and Benefits 2,226,793 2,293,597 2,362,405
Total Salary and Wages 3,371,593 15933.81% 3,472,741 14919.84% 3,576,923 13970.39%
Fixed Business Expenses
Advertising 540,000 556,200 572,886
Car and Truck Expenses 420,000 432,600 445,578
Commissions and Fees 946,800 975,204 1,004,460
Contract Labor 408,000 420,240 432,847
Credit Card and Bank Charges 3,853,104 3,968,697 4,087,758
Customer Discounts and Refunds 10,689,360 11,010,041 11,340,342
Dues and Subscriptions 6,814,680 7,019,120 7,229,694
Entertainment 650,760 670,283 690,391
Insurance (Liability and Property) 814,680 839,120 864,294
Internet 5,518,440 5,683,993 5,854,513
Legal and Professional Fees 2,809,440 2,893,723 2,980,535
Office Expenses 65,040 66,991 69,001
Postage and Delivery 6,838,440 7,043,593 7,254,901
Rent (on business property) 410,520 422,836 435,521
Rent of Vehicles and Equipment 519,312 534,891 550,938
Repairs and Maintenance 78,000 80,340 82,750
Supplies 118,440 121,993 125,653
Telephone and Communications 411,480 423,824 436,539
Travel 2,561,508 2,638,353 2,717,504
Utilities 5,193,360 5,349,161 5,509,636
Total Fixed Business Expenses 49,661,364 234694.54% 51,151,205 219759.43% 52,685,741 205774.74%
Other Expenses
Amortized Start-up Expenses 1,078,014 1,078,014 1,078,014
Depreciation 477,966 477,966 477,966
Interest
Commercial Loan 446,390 393,862 336,406
Commercial Mortgage 78,838 77,286 75,589
Line of Credit 2,370,240 7,744,315 13,765,936
Taxes - 0 - 0 - 0
Total Other Expenses 4,451,447 21037.09% 9,771,442 41980.76% 15,733,910 61451.94%
Net Income (57,469,335) -271594.21% (64,378,811) -276588.81% (71,978,340) -281125.86%

12. Income Statement (2)

U-Deliver
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
Product/Service A 165 110 220 275 165 275 165 110 330 220 55 275 2,365
Product/Service B 198 396 297 495 792 594 396 297 693 891 297 99 5,445
Product/Service C 187 281 281 187 655 561 468 561 468 561 655 374 5,236
Product/Service D 330 660 825 660 825 990 1,155 495 990 1,155 1,320 825 10,230
Total Income 880 1,447 1,623 1,617 2,437 2,420 2,184 1,463 2,481 2,827 2,327 1,573 23,276
Cost of Sales
Product/Service A 33 22 44 55 33 55 33 22 66 44 11 55 473
Product/Service B 44 88 66 110 176 132 88 66 154 198 66 22 1,210
Product/Service C 33 50 50 33 116 99 83 99 83 99 116 66 924
Product/Service D 132 264 330 264 330 396 462 198 396 462 528 330 4,092
Total Cost of Sales 242 424 490 462 655 682 666 385 699 803 721 473 6,699
Gross Margin 638 1,023 1,133 1,155 1,782 1,738 1,518 1,078 1,782 2,024 1,606 1,100 16,577
Salaries and Wages
Owner's Compensation 61,800 61,800 61,800 61,800 61,800 61,800 61,800 61,800 61,800 61,800 61,800 61,800 741,600
Salaries 36,462 36,462 36,462 36,462 36,462 36,462 36,462 36,462 36,462 36,462 36,462 36,462 437,544
Full-Time Employees - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Part-Time Employees - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Independent Contractors - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Payroll Taxes and Benefits 191,133 191,133 191,133 191,133 191,133 191,133 191,133 191,133 191,133 191,133 191,133 191,133 2,293,597
Total Salary and Wages 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 3,472,741
Fixed Business Expenses
Advertising 46,350 46,350 46,350 46,350 46,350 46,350 46,350 46,350 46,350 46,350 46,350 46,350 556,200
Car and Truck Expenses 36,050 36,050 36,050 36,050 36,050 36,050 36,050 36,050 36,050 36,050 36,050 36,050 432,600
Commissions and Fees 81,267 81,267 81,267 81,267 81,267 81,267 81,267 81,267 81,267 81,267 81,267 81,267 975,204
Contract Labor 35,020 35,020 35,020 35,020 35,020 35,020 35,020 35,020 35,020 35,020 35,020 35,020 420,240
Credit Card and Bank Charges 330,725 330,725 330,725 330,725 330,725 330,725 330,725 330,725 330,725 330,725 330,725 330,725 3,968,697
Customer Discounts and Refunds 917,503 917,503 917,503 917,503 917,503 917,503 917,503 917,503 917,503 917,503 917,503 917,503 11,010,041
Dues and Subscriptions 584,927 584,927 584,927 584,927 584,927 584,927 584,927 584,927 584,927 584,927 584,927 584,927 7,019,120
Entertainment 55,857 55,857 55,857 55,857 55,857 55,857 55,857 55,857 55,857 55,857 55,857 55,857 670,283
Insurance (Liability and Property) 69,927 69,927 69,927 69,927 69,927 69,927 69,927 69,927 69,927 69,927 69,927 69,927 839,120
Internet 473,666 473,666 473,666 473,666 473,666 473,666 473,666 473,666 473,666 473,666 473,666 473,666 5,683,993
Legal and Professional Fees 241,144 241,144 241,144 241,144 241,144 241,144 241,144 241,144 241,144 241,144 241,144 241,144 2,893,723
Office Expenses 5,583 5,583 5,583 5,583 5,583 5,583 5,583 5,583 5,583 5,583 5,583 5,583 66,991
Postage and Delivery 586,966 586,966 586,966 586,966 586,966 586,966 586,966 586,966 586,966 586,966 586,966 586,966 7,043,593
Rent (on business property) 35,236 35,236 35,236 35,236 35,236 35,236 35,236 35,236 35,236 35,236 35,236 35,236 422,836
Rent of Vehicles and Equipment 44,574 44,574 44,574 44,574 44,574 44,574 44,574 44,574 44,574 44,574 44,574 44,574 534,891
Repairs and Maintenance 6,695 6,695 6,695 6,695 6,695 6,695 6,695 6,695 6,695 6,695 6,695 6,695 80,340
Supplies 10,166 10,166 10,166 10,166 10,166 10,166 10,166 10,166 10,166 10,166 10,166 10,166 121,993
Telephone and Communications 35,319 35,319 35,319 35,319 35,319 35,319 35,319 35,319 35,319 35,319 35,319 35,319 423,824
Travel 219,863 219,863 219,863 219,863 219,863 219,863 219,863 219,863 219,863 219,863 219,863 219,863 2,638,353
Utilities 445,763 445,763 445,763 445,763 445,763 445,763 445,763 445,763 445,763 445,763 445,763 445,763 5,349,161
Total Fixed Business Expenses 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 51,151,205
Other Expenses
Amortized Start-up Expenses 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 1,078,014
Depreciation 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 477,966
Interest
Commercial Loan 34,893 34,526 34,156 33,783 33,407 33,029 32,648 32,264 31,877 31,487 31,094 30,698 393,862
Commercial Mortgage 6,502 6,491 6,480 6,469 6,458 6,447 6,435 6,424 6,413 6,401 6,389 6,378 77,286
Line of Credit 430,764 468,818 507,155 545,779 584,692 623,893 663,387 703,180 743,274 783,664 824,355 865,354 7,744,315
Taxes - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Total Other Expenses 601,824 639,500 677,456 715,696 754,222 793,033 832,135 871,533 911,228 951,217 991,503 1,032,095 9,771,442
Net Income (5,153,181) (5,190,472) (5,228,319) (5,266,536) (5,304,436) (5,343,291) (5,382,613) (5,422,450) (5,461,442) (5,501,188) (5,541,893) (5,582,990) (64,378,811)
(5,063,347) (5,100,638) (5,138,484) (5,176,702) (5,214,601) (5,253,456) (5,292,778) (5,332,616) (5,371,607) (5,411,354) (5,452,058) (5,493,156)
(5,063,347) (10,163,985) (15,302,469) (20,479,171) (25,693,772) (30,947,228) (36,240,007) (41,572,622) (46,944,230) (52,355,584) (57,807,642) (63,300,798)

13. Cash Flow Statement (2)

U-Deliver
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 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000
Cash Inflows
Income from Sales 880 1,447 1,623 1,617 2,437 2,420 2,184 1,463 2,481 2,827 2,327 1,573 23,276
Accounts Receivable - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Total Cash Inflows 880 1,447 1,623 1,617 2,437 2,420 2,184 1,463 2,481 2,827 2,327 1,573 23,276
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 242 424 490 462 655 682 666 385 699 803 721 473 6,699
Operating Activities
Salaries and Wages 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 289,395 3,472,741
Fixed Business Expenses 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 4,262,600 51,151,205
Taxes - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Financing Activities - 0
Loan Payments 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 1,101,731
Line of Credit Interest 430,764 468,818 507,155 545,779 584,692 623,893 663,387 703,180 743,274 783,664 824,355 865,354 7,744,315
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 5,074,812 5,113,048 5,151,451 5,190,047 5,229,153 5,268,381 5,307,859 5,347,371 5,387,779 5,428,273 5,468,882 5,509,633 63,476,691
Cash Flow (5,073,932) (5,111,602) (5,149,829) (5,188,430) (5,226,717) (5,265,961) (5,305,676) (5,345,908) (5,385,299) (5,425,446) (5,466,555) (5,508,060) (63,453,415)
Operating Cash Balance (4,073,932) (4,111,602) (4,149,829) (4,188,430) (4,226,717) (4,265,961) (4,305,676) (4,345,908) (4,385,299) (4,425,446) (4,466,555) (4,508,060)
Line of Credit Drawdowns 5,073,932 5,111,602 5,149,829 5,188,430 5,226,717 5,265,961 5,305,676 5,345,908 5,385,299 5,425,446 5,466,555 5,508,060 63,453,415
Ending Cash Balance 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000
Line of Credit Balance 62,509,101 67,620,702 72,770,531 77,958,962 83,185,678 88,451,639 93,757,315 99,103,223 104,488,522 109,913,968 115,380,523 120,888,584

14. Balance Sheet (2)

U-Deliver
Balance Sheet - Year Two
End of Year One End of Year Two
Assets
Current Assets
Cash 1,000,000 1,000,000
Accounts Receivable - 0 - 0
Inventory 145,000 145,000
Prepaid Expenses 2,126,027 1,063,014
Other Current 30,000 15,000
Total Current Assets 3,301,027 2,223,014
Fixed Assets
Real Estate 450,000 450,000
Buildings 654,300 654,300
Leasehold Improvements 325,100 325,100
Equipment 345,278 345,278
Furniture and Fixtures 123,980 123,980
Vehicles 123,432 123,432
Other Fixed Assets 1,500,000 1,500,000
Total Fixed Assets 3,522,090 3,522,090
Less: Accumulated Depreciation 477,966 955,931
Total Assets 6,345,151 4,789,172
Liabilities and Owner's Equity
Liabilities
Accounts Payable - 0 - 0
Notes Payable 4,652,422 4,039,935
Mortgage Payable 866,896 848,799
Line of Credit Balance 57,435,169 120,888,584
Total Liabilities 62,954,486 125,777,318
Owner's Equity
Common Stock 860,000 860,000
Retained Earnings (57,469,335) (121,848,146)
Dividends Dispersed - 0 - 0
Total Owner's Equity (56,609,335) (120,988,146)
Total Liabilities and Owner's Equity 6,345,151 4,789,172
Statement Balances Statement Balances

15. Income Statement (3)

U-Deliver
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
Product/Service A 182 121 242 303 182 303 182 121 363 242 61 303 2,602
Product/Service B 218 436 327 545 871 653 436 327 762 980 327 109 5,990
Product/Service C 206 309 309 206 720 617 514 617 514 617 720 411 5,760
Product/Service D 363 726 908 726 908 1,089 1,271 545 1,089 1,271 1,452 908 11,253
Total Income 968 1,591 1,785 1,779 2,680 2,662 2,402 1,609 2,729 3,110 2,559 1,730 25,604
Cost of Sales
Product/Service A 36 24 48 61 36 61 36 24 73 48 12 61 520
Product/Service B 48 97 73 121 194 145 97 73 169 218 73 24 1,331
Product/Service C 36 54 54 36 127 109 91 109 91 109 127 73 1,016
Product/Service D 145 290 363 290 363 436 508 218 436 508 581 363 4,501
Total Cost of Sales 266 466 538 508 720 750 732 424 768 883 793 520 7,369
Gross Margin 702 1,125 1,246 1,271 1,960 1,912 1,670 1,186 1,960 2,226 1,767 1,210 18,235
Salaries and Wages
Owner's Compensation 63,654 63,654 63,654 63,654 63,654 63,654 63,654 63,654 63,654 63,654 63,654 63,654 763,848
Salaries 37,556 37,556 37,556 37,556 37,556 37,556 37,556 37,556 37,556 37,556 37,556 37,556 450,670
Full-Time Employees - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Part-Time Employees - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Independent Contractors - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Payroll Taxes and Benefits 196,867 196,867 196,867 196,867 196,867 196,867 196,867 196,867 196,867 196,867 196,867 196,867 2,362,405
Total Salary and Wages 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 3,576,923
Fixed Business Expenses
Advertising 47,741 47,741 47,741 47,741 47,741 47,741 47,741 47,741 47,741 47,741 47,741 47,741 572,886
Car and Truck Expenses 37,132 37,132 37,132 37,132 37,132 37,132 37,132 37,132 37,132 37,132 37,132 37,132 445,578
Commissions and Fees 83,705 83,705 83,705 83,705 83,705 83,705 83,705 83,705 83,705 83,705 83,705 83,705 1,004,460
Contract Labor 36,071 36,071 36,071 36,071 36,071 36,071 36,071 36,071 36,071 36,071 36,071 36,071 432,847
Credit Card and Bank Charges 340,647 340,647 340,647 340,647 340,647 340,647 340,647 340,647 340,647 340,647 340,647 340,647 4,087,758
Customer Discounts and Refunds 945,029 945,029 945,029 945,029 945,029 945,029 945,029 945,029 945,029 945,029 945,029 945,029 11,340,342
Dues and Subscriptions 602,475 602,475 602,475 602,475 602,475 602,475 602,475 602,475 602,475 602,475 602,475 602,475 7,229,694
Entertainment 57,533 57,533 57,533 57,533 57,533 57,533 57,533 57,533 57,533 57,533 57,533 57,533 690,391
Insurance (Liability and Property) 72,025 72,025 72,025 72,025 72,025 72,025 72,025 72,025 72,025 72,025 72,025 72,025 864,294
Internet 487,876 487,876 487,876 487,876 487,876 487,876 487,876 487,876 487,876 487,876 487,876 487,876 5,854,513
Legal and Professional Fees 248,378 248,378 248,378 248,378 248,378 248,378 248,378 248,378 248,378 248,378 248,378 248,378 2,980,535
Office Expenses 5,750 5,750 5,750 5,750 5,750 5,750 5,750 5,750 5,750 5,750 5,750 5,750 69,001
Postage and Delivery 604,575 604,575 604,575 604,575 604,575 604,575 604,575 604,575 604,575 604,575 604,575 604,575 7,254,901
Rent (on business property) 36,293 36,293 36,293 36,293 36,293 36,293 36,293 36,293 36,293 36,293 36,293 36,293 435,521
Rent of Vehicles and Equipment 45,912 45,912 45,912 45,912 45,912 45,912 45,912 45,912 45,912 45,912 45,912 45,912 550,938
Repairs and Maintenance 6,896 6,896 6,896 6,896 6,896 6,896 6,896 6,896 6,896 6,896 6,896 6,896 82,750
Supplies 10,471 10,471 10,471 10,471 10,471 10,471 10,471 10,471 10,471 10,471 10,471 10,471 125,653
Telephone and Communications 36,378 36,378 36,378 36,378 36,378 36,378 36,378 36,378 36,378 36,378 36,378 36,378 436,539
Travel 226,459 226,459 226,459 226,459 226,459 226,459 226,459 226,459 226,459 226,459 226,459 226,459 2,717,504
Utilities 459,136 459,136 459,136 459,136 459,136 459,136 459,136 459,136 459,136 459,136 459,136 459,136 5,509,636
Total Fixed Business Expenses 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 52,685,741
Other Expenses
Amortized Start-up Expenses 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 89,834 1,078,014
Depreciation 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 39,830 477,966
Interest
Commercial Loan 30,300 29,898 29,493 29,085 28,674 28,261 27,844 27,423 27,000 26,574 26,144 25,711 336,406
Commercial Mortgage 6,366 6,354 6,342 6,330 6,318 6,306 6,293 6,281 6,269 6,256 6,243 6,230 75,589
Line of Credit 906,664 949,312 992,276 1,035,561 1,079,171 1,123,103 1,167,365 1,211,960 1,256,894 1,302,159 1,347,761 1,393,709 13,765,936
Taxes - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Total Other Expenses 1,072,995 1,115,229 1,157,776 1,200,642 1,243,829 1,287,334 1,331,167 1,375,330 1,419,827 1,464,653 1,509,813 1,555,315 15,733,910
Net Income (5,760,848) (5,802,659) (5,845,085) (5,887,927) (5,930,424) (5,973,978) (6,018,052) (6,062,699) (6,106,423) (6,150,982) (6,196,602) (6,242,660) (71,978,340)
(5,671,014) (5,712,824) (5,755,251) (5,798,092) (5,840,589) (5,884,144) (5,928,218) (5,972,865) (6,016,588) (6,061,148) (6,106,767) (6,152,826)
(5,671,014) (11,383,838) (17,139,089) (22,937,181) (28,777,771) (34,661,914) (40,590,132) (46,562,997) (52,579,585) (58,640,733) (64,747,500) (70,900,326)

16. Cash Flow Statement (3)

U-Deliver
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 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000
Cash Inflows
Income from Sales 968 1,591 1,785 1,779 2,680 2,662 2,402 1,609 2,729 3,110 2,559 1,730 25,604
Accounts Receivable - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Total Cash Inflows 968 1,591 1,785 1,779 2,680 2,662 2,402 1,609 2,729 3,110 2,559 1,730 25,604
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 266 466 538 508 720 750 732 424 768 883 793 520 7,369
Operating Activities
Salaries and Wages 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 298,077 3,576,923
Fixed Business Expenses 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 4,390,478 52,685,741
Taxes - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0 - 0
Financing Activities - 0
Loan Payments 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 91,811 1,101,731
Line of Credit Interest 906,664 949,312 992,276 1,035,561 1,079,171 1,123,103 1,167,365 1,211,960 1,256,894 1,302,159 1,347,761 1,393,709 13,765,936
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 5,687,297 5,730,144 5,773,181 5,816,436 5,860,258 5,904,220 5,948,463 5,992,750 6,038,029 6,083,408 6,128,920 6,174,595 71,137,700
Cash Flow (5,686,329) (5,728,553) (5,771,396) (5,814,657) (5,857,577) (5,901,558) (5,946,061) (5,991,141) (6,035,300) (6,080,299) (6,126,361) (6,172,865) (71,112,097)
Operating Cash Balance (4,686,329) (4,728,553) (4,771,396) (4,814,657) (4,857,577) (4,901,558) (4,946,061) (4,991,141) (5,035,300) (5,080,299) (5,126,361) (5,172,865)
Line of Credit Drawdowns 5,686,329 5,728,553 5,771,396 5,814,657 5,857,577 5,901,558 5,946,061 5,991,141 6,035,300 6,080,299 6,126,361 6,172,865 71,112,097
Ending Cash Balance 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000
Line of Credit Balance 126,574,913 132,303,465 138,074,861 143,889,519 149,747,096 155,648,654 161,594,715 167,585,856 173,621,156 179,701,455 185,827,815 192,000,680

17. Balance Sheet (3)

U-Deliver
Balance Sheet - Year Three
End of Year Two End of Year Three
Assets
Current Assets
Cash 1,000,000 1,000,000
Accounts Receivable - 0 - 0
Inventory 145,000 145,000
Prepaid Expenses 1,063,014 (0)
Other Current 15,000 - 0
Total Current Assets 2,223,014 1,145,000
Fixed Assets
Real Estate 450,000 450,000
Buildings 654,300 654,300
Leasehold Improvements 325,100 325,100
Equipment 345,278 345,278
Furniture and Fixtures 123,980 123,980
Vehicles 123,432 123,432
Other Fixed Assets 1,500,000 1,500,000
Total Fixed Assets 3,522,090 3,522,090
Less: Accumulated Depreciation 955,931 1,433,897
Total Assets 4,789,172 3,233,192
Liabilities and Owner's Equity
Liabilities
Accounts Payable - 0 - 0
Notes Payable 4,039,935 3,369,992
Mortgage Payable 848,799 829,006
Line of Credit Balance 120,888,584 192,000,680
Total Liabilities 125,777,318 196,199,679
Owner's Equity
Common Stock 860,000 860,000
Retained Earnings (121,848,146) (193,826,486)
Dividends Dispersed - 0 - 0
Total Owner's Equity (120,988,146) (192,966,486)
Total Liabilities and Owner's Equity 4,789,172 3,233,192
Statement Balances Statement Balances

18. Financial Ratios

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Financial Ratios
Ratio Year One Year Two Year Three
Liquidity
Current Ratio 0.05
Jack Hess: An indication of a company's ability to meet short-term debt obligations.		 0.02 0.01
Quick Ratio 0.02
Jack Hess: The ratio between all assets quickly convertible into cash and current liabilities. Measures a company's liquidity. Also called acid-test ratio.		 0.01 0.01
Safety
Debt to Equity Ratio (1.11)
Jack Hess: This ratio expresses the relationship between capital contributed by creditors and that contributed by owners.		 (1.04) (1.02)
Debt to Coverage Ratio (0.91)
Jack Hess: This ratio indicates how well your cash flow covers debt and the capability of the business to take on additional debt.		 (0.51) (0.36)
Profitability
Sales Growth - 0
Jack Hess: This ratio calculates the percentage of increase (or decrease) in sales between the current year and the previous year.		 0.10 0.10
COGS to Sales 0.29
Jack Hess: The percentage of sales used to pay for the COGS (expenses which directly vary with sales) is expressed in this ratio.		 0.29 0.29
Gross Profit Margin 0.71
Jack Hess: This ratio indicates how much profit is earned on your products without consideration of indirect costs, selling and administration costs.		 0.71 0.71
SG&A to Sales 2,506.28
Jack Hess: This ratio measures the percentage of selling, general and administrative costs to your amount of sales.		 2,346.79 2,197.45
Net Profit Margin (2,715.94)
Jack Hess: Net profit margin shows how much profit comes from every dollar of sales.		 (2,765.89) (2,811.26)
Return on Equity 1.02
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?		 0.53 0.37
Return on Assets (9.06)
Jack Hess: This ratio measures how effectively assets are used to generate a return.		 (13.44) (22.26)
Owner's Compensation to Sales 34.03
Jack Hess: This ratio measures the owner's compensation as a percentage of sales.		 31.86 29.83
Efficiency
Days in Receivables - 0
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).		 - 0 - 0
Accounts Receivable Turnover - 0
Jack Hess: This ratio tells you the number of times accounts receivable turnover during the year.		 - 0 - 0
Days in Inventory 8,571.43
Jack Hess: This ratio shows the average number of days it will take to sell your inventory.		 7,792.21 7,083.83
Inventory Turnover 0.04
Jack Hess: This ratio calculates the number of times inventory is turned over (or sold) during the year.		 0.05 0.05
Sales to Total Assets 0.00
Jack Hess: This ratio indicates how efficiently your business generates sales on every dollar of assets.
Jack Hess: An indication of a company's ability to meet short-term debt obligations.
Jack Hess: The ratio between all assets quickly convertible into cash and current liabilities. Measures a company's liquidity. Also called acid-test ratio.
Jack Hess: This ratio expresses the relationship between capital contributed by creditors and that contributed by owners.
Jack Hess: This ratio indicates how well your cash flow covers debt and the capability of the business to take on additional debt.
Jack Hess: This ratio calculates the percentage of increase (or decrease) in sales between the current year and the previous year.
Jack Hess: The percentage of sales used to pay for the COGS (expenses which directly vary with sales) is expressed in this ratio.
Jack Hess: This ratio indicates how much profit is earned on your products without consideration of indirect costs, selling and administration costs.
Jack Hess: This ratio measures the percentage of selling, general and administrative costs to your amount of sales.
Jack Hess: Net profit margin shows how much profit comes from every dollar of sales.
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?
Jack Hess: This ratio measures how effectively assets are used to generate a return.
Jack Hess: This ratio measures the owner's compensation as a percentage of sales.
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).
Jack Hess: This ratio tells you the number of times accounts receivable turnover during the year.
Jack Hess: This ratio shows the average number of days it will take to sell your inventory.
Jack Hess: This ratio calculates the number of times inventory is turned over (or sold) during the year.		 0.00 0.01

19. Breakeven Analysis

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Breakeven Analysis
Breakeven Analysis Dollars Percent
Annual Sales Revenue $ 21,160 100.00%
Cost of Sales 6,090 28.78%
Gross Margin 15,070 71.22%
Salaries and Wages 3,371,593
Fixed Operating Expenses 53,034,798
Total Fixed Business Expenses 56,406,391
Breakeven Sales Calculation 56,406,391
71.22%
Breakeven Sales in Dollars $ 79,201,011

20. Amoritization Schedule

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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 $ 5,212,381
Interest Rate 9.00%
Loan Term in Months 84.00
Monthly Payment Amount $83,862.41
Year One
Interest 39,093 38,757 38,419 38,078 37,735 37,389 37,040 36,689 36,335 35,979 35,620 35,258 446,390
Principal 44,770 45,105 45,444 45,784 46,128 46,474 46,822 47,173 47,527 47,884 48,243 48,605 559,959
Loan Balance 5,167,611 5,122,506 5,077,063 5,031,278 4,985,150 4,938,676 4,891,854 4,844,681 4,797,153 4,749,270 4,701,027 4,652,422
Year Two
Interest 34,893 34,526 34,156 33,783 33,407 33,029 32,648 32,264 31,877 31,487 31,094 30,698 393,862
Principal 48,969 49,337 49,707 50,079 50,455 50,833 51,215 51,599 51,986 52,376 52,768 53,164 612,487
Loan Balance 4,603,453 4,554,116 4,504,410 4,454,330 4,403,875 4,353,042 4,301,828 4,250,229 4,198,243 4,145,868 4,093,099 4,039,935
Year Three
Interest 30,300 29,898 29,493 29,085 28,674 28,261 27,844 27,423 27,000 26,574 26,144 25,711 336,406
Principal 53,563 53,965 54,369 54,777 55,188 55,602 56,019 56,439 56,862 57,289 57,718 58,151 669,943
Loan Balance 3,986,372 3,932,407 3,878,038 3,823,261 3,768,073 3,712,471 3,656,452 3,600,013 3,543,151 3,485,862 3,428,144 3,369,992
Commercial Mortgage
Principal Amount $ 883,440.00
Interest Rate 9.00%
Loan Term in Months 240.00
Monthly Payment Amount $7,948.54
Year One
Interest 6,626 6,616 6,606 6,596 6,586 6,575 6,565 6,555 6,544 6,534 6,523 6,512 78,838
Principal 1,323 1,333 1,343 1,353 1,363 1,373 1,383 1,394 1,404 1,415 1,425 1,436 16,544
Loan Balance 882,117 880,785 879,442 878,089 876,726 875,353 873,970 872,576 871,172 869,757 868,332 866,896
Year Two
Interest 6,502 6,491 6,480 6,469 6,458 6,447 6,435 6,424 6,413 6,401 6,389 6,378 77,286
Principal 1,447 1,458 1,469 1,480 1,491 1,502 1,513 1,525 1,536 1,547 1,559 1,571 18,096
Loan Balance 865,449 863,991 862,523 861,043 859,552 858,050 856,537 855,013 853,477 851,929 850,370 848,799
Year Three
Interest 6,366 6,354 6,342 6,330 6,318 6,306 6,293 6,281 6,269 6,256 6,243 6,230 75,589
Principal 1,583 1,594 1,606 1,618 1,631 1,643 1,655 1,668 1,680 1,693 1,705 1,718 19,794
Loan Balance 847,217 845,623 844,016 842,398 840,767 839,124 837,469 835,802 834,122 832,429 830,724 829,006

21. Financial Diagnostics

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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 2.16% Owner's injection might be too low in relation to the amount of money needed
Cash Request as percent of Total Required Funds 0.79% 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 84 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 433.89% Calculated loan payments as a percent of sales seem resonable
Income Statement
Gross Margin as a Percent of Sales 71.22% Gross margin percentage seems reasonable
Owner's Compensation Lower Limit Check $ 720,000 An owner's compensation amount has been established
Owner's Compensation Upper Limit Check -1.25% Owner's compensation seems reasonable
Advertising Expense Levels as a Percent of Sales 2551.98% Advertising as a percent of sales seems reasonable
Profitability Levels $ (57,469,335) The business is not showing a profit
Profitability as a Percent of Sales -271594.21% The projection does not seem highly unreasonable
Cash Flow Statement
Desired Operating cash Flow Levels $ 57,435,169 The financial projection does not provide the desired level of cash flow
Line of Credit Drawdowns $ 57,435,169 The business will need at least this level of a line of credit
Accounts Receivable Ratio to Sales 0.00% 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 -111.21% The debt to equity ratio seems reasonable
Breakeven Analysis
Breakeven Levels $ (79,179,851) The sales projection is less than the break-even amount