Key Financial Indicators

Profit growth data is presented in the chart below.

Profit Monthly

Randall BP 6

Break-even Analysis

Break-even data is presented in the chart and table below.

Break-even Analysis
Randall BP 7

Break-even Analysis:
Monthly Units Break-even 4,923
Monthly Revenue Break-even $12,461
Assumptions:
Average Per-Unit Revenue $2.53
Average Per-Unit Variable Cost $0.50
Estimated Monthly Fixed Cost $10,000

 

Projected Profit and Loss

P & L data is presented in the table below.

Pro Forma Profit and Loss
1999 2000 2001
Sales $248,878 $303,548 $333,903
Direct Cost of Sales $62,138 $75,782 $83,360
Other $0 $0 $0
———— ———— ————
Total Cost of Sales $62,138 $75,782 $83,360
Gross Margin $186,740 $227,767 $250,543
Gross Margin % 75.03% 75.03% 75.03%
Expenses:
Payroll $93,291 $121,824 $129,254
Sales and Marketing and Other Expenses $33,750 $40,000 $43,000
Depreciation $0 $0 $0
Utilities $9,120 $9,120 $9,120
Insurance $6,000 $6,000 $6,000
Rent $24,000 $24,000 $24,000
Payroll Taxes $13,994 $18,274 $19,388
Other $0 $0 $0
———— ———— ————
Total Operating Expenses $180,154 $219,217 $230,762
Profit Before Interest and Taxes $6,586 $8,549 $19,781
Interest Expense $2,436 $1,540 $1,200
Taxes Incurred $555 $1,752 $4,723
Net Profit $3,595 $5,257 $13,858
Net Profit/Sales 1.44% 1.73% 4.15%

 

Projected Cash Flow

Cash flow data is presented in the chart and table below.

Pro Forma Cash Flow
1999 2000 2001
Cash Received
Cash from Operations:
Cash Sales $248,878 $303,548 $333,903
Cash from Receivables $0 $0 $0
Subtotal Cash from Operations $248,878 $303,548 $333,903
Additional Cash Received
Sales Tax, VAT, HST/GST Received $0 $0 $0
New Current Borrowing $2,000 $5,000 $0
New Other Liabilities (interest-free) $0 $0 $0
New Long-term Liabilities $0 $0 $0
Sales of Other Current Assets $0 $0 $0
Sales of Long-term Assets $0 $0 $0
New Investment Received $0 $0 $0
Subtotal Cash Received $250,878 $308,548 $333,903
Expenditures 1999 2000 2001
Expenditures from Operations:
Cash Spending $14,345 $15,972 $17,218
Payment of Accounts Payable $223,877 $282,485 $302,633
Subtotal Spent on Operations $238,223 $298,457 $319,851
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0
Principal Repayment of Current Borrowing $9,290 $2,000 $0
Other Liabilities Principal Repayment $0 $0 $0
Long-term Liabilities Principal Repayment $9,600 $5,000 $4,800
Purchase Other Current Assets $0 $0 $0
Purchase Long-term Assets $0 $0 $0
Dividends $0 $0 $0
Subtotal Cash Spent $257,113 $305,457 $324,651
Net Cash Flow ($6,235) $3,091 $9,252
Cash Balance $17,765 $20,856 $30,108

Cash
Randall BP 8

Projected Balance Sheet

Our projected balance sheet is presented in the table below.

Pro Forma Balance Sheet
Assets
Current Assets 1999 2000 2001
Cash $17,765 $20,856 $30,108
Inventory $6,972 $8,503 $9,353
Other Current Assets $0 $0 $0
Total Current Assets $24,737 $29,359 $39,462
Long-term Assets
Long-term Assets $0 $0 $0
Accumulated Depreciation $0 $0 $0
Total Long-term Assets $0 $0 $0
Total Assets $24,737 $29,359 $39,462
Liabilities and Capital
Current Liabilities 1999 2000 2001
Accounts Payable $12,033 $13,397 $14,442
Current Borrowing $2,000 $5,000 $5,000
Other Current Liabilities $0 $0 $0
Subtotal Current Liabilities $14,033 $18,397 $19,442
Long-term Liabilities $14,400 $9,400 $4,600
Total Liabilities $28,433 $27,797 $24,042
Paid-in Capital $55,000 $55,000 $55,000
Retained Earnings ($62,290) ($58,695) ($53,438)
Earnings $3,595 $5,257 $13,858
Total Capital ($3,695) $1,562 $15,420
Total Liabilities and Capital $24,737 $29,359 $39,462
Net Worth ($3,695) $1,562 $15,420