University Cycle Works

Start your own business plan »

Retail Bicycle Shop Business Plan

Appendix

Sales Forecast
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Sales
New Bicycles 0% $9,500 $14,000 $14,000 $9,500 $6,500 $10,000 $7,500 $6,500 $8,000 $9,500 $11,000 $10,000
Accessories and Parts 0% $11,000 $17,500 $16,000 $11,000 $10,000 $15,000 $9,500 $8,000 $13,000 $15,000 $11,000 $13,000
Clothing 0% $3,500 $3,500 $4,500 $6,500 $10,500 $7,500 $4,500 $3,500 $4,500 $6,500 $7,500 $5,500
Repair and Service 0% $11,000 $11,000 $13,000 $14,000 $12,000 $11,000 $12,000 $14,000 $16,000 $18,000 $18,000 $16,000
University Patrol Service Contract 0% $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100
Total Sales $35,100 $46,100 $47,600 $41,100 $39,100 $43,600 $33,600 $32,100 $41,600 $49,100 $47,600 $44,600
Direct Cost of Sales Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
New Bicycles 68% $6,460 $9,520 $9,520 $6,460 $4,420 $6,800 $5,100 $4,420 $5,440 $6,460 $7,480 $6,800
Accessories and Parts 50% $5,500 $8,750 $8,000 $5,500 $5,000 $7,500 $4,750 $4,000 $6,500 $7,500 $5,500 $6,500
Clothing 35% $1,225 $1,225 $1,575 $2,275 $3,675 $2,625 $1,575 $1,225 $1,575 $2,275 $2,625 $1,925
Repair and Service $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
University Patrol Service Contract $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Direct Cost of Sales $13,185 $19,495 $19,095 $14,235 $13,095 $16,925 $11,425 $9,645 $13,515 $16,235 $15,605 $15,225
Personnel Plan
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Hub Freewheeler 0% $1,800 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000
Vel O'Cipede 0% $2,250 $2,250 $2,250 $2,250 $2,250 $2,250 $2,250 $2,250 $2,250 $2,250 $2,250 $2,250
Dee Raylure 0% $1,950 $1,950 $1,950 $1,950 $1,950 $1,950 $1,950 $1,950 $1,950 $1,950 $1,950 $1,950
Jean-Baptiste Kapsyze 0% $1,650 $1,650 $1,650 $1,650 $1,650 $1,650 $1,650 $1,650 $1,650 $1,650 $1,650 $1,650
Part-time Employees 0% $0 $700 $1,400 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $2,100 $1,400 $700
Total People 4 5 6 7 7 7 7 7 7 7 6 5
Total Payroll $7,650 $9,550 $10,250 $10,950 $10,950 $10,950 $10,950 $10,950 $10,950 $10,950 $10,250 $9,550
General 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
Plan Month 1 2 3 4 5 6 7 8 9 10 11 12
Current Interest Rate 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00%
Long-term Interest Rate 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00%
Tax Rate 30.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00%
Other 0 0 0 0 0 0 0 0 0 0 0 0
Pro Forma Profit and Loss
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Sales $35,100 $46,100 $47,600 $41,100 $39,100 $43,600 $33,600 $32,100 $41,600 $49,100 $47,600 $44,600
Direct Cost of Sales $13,185 $19,495 $19,095 $14,235 $13,095 $16,925 $11,425 $9,645 $13,515 $16,235 $15,605 $15,225
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Cost of Sales $13,185 $19,495 $19,095 $14,235 $13,095 $16,925 $11,425 $9,645 $13,515 $16,235 $15,605 $15,225
Gross Margin $21,915 $26,605 $28,505 $26,865 $26,005 $26,675 $22,175 $22,455 $28,085 $32,865 $31,995 $29,375
Gross Margin % 62.44% 57.71% 59.88% 65.36% 66.51% 61.18% 66.00% 69.95% 67.51% 66.93% 67.22% 65.86%
Expenses
Payroll $7,650 $9,550 $10,250 $10,950 $10,950 $10,950 $10,950 $10,950 $10,950 $10,950 $10,250 $9,550
Sales and Marketing and Other Expenses $1,618 $2,073 $4,268 $1,798 $1,738 $1,998 $1,698 $1,528 $1,813 $2,313 $1,993 $2,028
Depreciation $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000
Leased Equipment $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150
Utilities $300 $300 $300 $300 $300 $300 $300 $300 $300 $300 $300 $300
Insurance $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350
Rent $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $0
Payroll Taxes 25% $1,913 $2,388 $2,563 $2,738 $2,738 $2,738 $2,738 $2,738 $2,738 $2,738 $2,563 $2,388
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Operating Expenses $20,981 $23,811 $26,881 $25,286 $25,226 $25,486 $25,186 $25,016 $25,301 $25,801 $24,606 $15,766
Profit Before Interest and Taxes $935 $2,795 $1,625 $1,580 $780 $1,190 ($3,011) ($2,561) $2,785 $7,065 $7,390 $13,610
EBITDA $1,935 $3,795 $2,625 $2,580 $1,780 $2,190 ($2,011) ($1,561) $3,785 $8,065 $8,390 $14,610
Interest Expense $774 $761 $748 $735 $722 $709 $696 $683 $670 $658 $645 $632
Taxes Incurred $48 $508 $219 $211 $14 $120 ($927) ($811) $529 $1,602 $1,686 $3,244
Net Profit $113 $1,525 $657 $633 $43 $360 ($2,780) ($2,433) $1,586 $4,805 $5,059 $9,733
Net Profit/Sales 0.32% 3.31% 1.38% 1.54% 0.11% 0.83% -8.27% -7.58% 3.81% 9.79% 10.63% 21.82%
Pro Forma Cash Flow
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Cash Received
Cash from Operations
Cash Sales $35,100 $46,100 $47,600 $41,100 $39,100 $43,600 $33,600 $32,100 $41,600 $49,100 $47,600 $44,600
Subtotal Cash from Operations $35,100 $46,100 $47,600 $41,100 $39,100 $43,600 $33,600 $32,100 $41,600 $49,100 $47,600 $44,600
Additional Cash Received
Sales Tax, VAT, HST/GST Received 0.00% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Other Liabilities (interest-free) $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Long-term Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales of Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $8,000
Sales of Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Investment Received $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash Received $35,100 $46,100 $47,600 $41,100 $39,100 $43,600 $33,600 $32,100 $41,600 $49,100 $47,600 $52,600
Expenditures Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Expenditures from Operations
Cash Spending $7,650 $9,550 $10,250 $10,950 $10,950 $10,950 $10,950 $10,950 $10,950 $10,950 $10,250 $9,550
Bill Payments $18,533 $18,893 $36,063 $37,919 $28,809 $24,601 $31,000 $26,371 $19,577 $26,863 $33,930 $32,810
Subtotal Spent on Operations $26,183 $28,443 $46,313 $48,869 $39,759 $35,551 $41,950 $37,321 $30,527 $37,813 $44,180 $42,360
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Principal Repayment of Current Borrowing $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150 $150
Other Liabilities Principal Repayment $0 $0 $0 $1,000 $1,500 $2,500 $1,000 $0 $0 $0 $2,500 $1,500
Long-term Liabilities Principal Repayment $0 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000
Purchase Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Purchase Long-term Assets $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100
Dividends $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash Spent $26,433 $30,693 $48,563 $52,119 $43,509 $40,301 $45,200 $39,571 $32,777 $40,063 $48,930 $46,110
Net Cash Flow $8,667 $15,407 ($963) ($11,019) ($4,409) $3,299 ($11,600) ($7,471) $8,823 $9,037 ($1,330) $6,490
Cash Balance $103,667 $119,074 $118,111 $107,092 $102,683 $105,982 $94,382 $86,912 $95,734 $104,771 $103,442 $109,932
Pro Forma Balance Sheet
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Assets Starting Balances
Current Assets
Cash $95,000 $103,667 $119,074 $118,111 $107,092 $102,683 $105,982 $94,382 $86,912 $95,734 $104,771 $103,442 $109,932
Inventory $17,000 $14,504 $21,445 $21,005 $15,659 $14,405 $18,618 $12,568 $10,610 $14,867 $17,859 $17,166 $16,748
Other Current Assets $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $0
Total Current Assets $120,000 $126,170 $148,518 $147,115 $130,750 $125,088 $132,599 $114,950 $105,521 $118,601 $130,630 $128,607 $126,680
Long-term Assets
Long-term Assets $61,500 $61,600 $61,700 $61,800 $61,900 $62,000 $62,100 $62,200 $62,300 $62,400 $62,500 $62,600 $62,700
Accumulated Depreciation $0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 $7,000 $8,000 $9,000 $10,000 $11,000 $12,000
Total Long-term Assets $61,500 $60,600 $59,700 $58,800 $57,900 $57,000 $56,100 $55,200 $54,300 $53,400 $52,500 $51,600 $50,700
Total Assets $181,500 $186,770 $208,218 $205,915 $188,650 $182,088 $188,699 $170,150 $159,821 $172,001 $183,130 $180,207 $177,380
Liabilities and Capital Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Current Liabilities
Accounts Payable $27,800 $33,108 $55,180 $54,370 $39,622 $36,666 $47,567 $34,948 $29,202 $41,946 $50,420 $47,089 $38,178
Current Borrowing $2,000 $1,850 $1,700 $1,550 $1,400 $1,250 $1,100 $950 $800 $650 $500 $350 $200
Other Current Liabilities $10,000 $10,000 $10,000 $10,000 $9,000 $7,500 $5,000 $4,000 $4,000 $4,000 $4,000 $1,500 $0
Subtotal Current Liabilities $39,800 $44,958 $66,880 $65,920 $50,022 $45,416 $53,667 $39,898 $34,002 $46,596 $54,920 $48,939 $38,378
Long-term Liabilities $130,000 $130,000 $128,000 $126,000 $124,000 $122,000 $120,000 $118,000 $116,000 $114,000 $112,000 $110,000 $108,000
Total Liabilities $169,800 $174,958 $194,880 $191,920 $174,022 $167,416 $173,667 $157,898 $150,002 $160,596 $166,920 $158,939 $146,378
Paid-in Capital $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000
Retained Earnings ($13,300) ($13,300) ($13,300) ($13,300) ($13,300) ($13,300) ($13,300) ($13,300) ($13,300) ($13,300) ($13,300) ($13,300) ($13,300)
Earnings $0 $113 $1,638 $2,295 $2,929 $2,972 $3,332 $552 ($1,881) ($295) $4,510 $9,568 $19,302
Total Capital $11,700 $11,813 $13,338 $13,995 $14,629 $14,672 $15,032 $12,252 $9,819 $11,405 $16,210 $21,268 $31,002
Total Liabilities and Capital $181,500 $186,770 $208,218 $205,915 $188,650 $182,088 $188,699 $170,150 $159,821 $172,001 $183,130 $180,207 $177,380
Net Worth $11,700 $11,813 $13,338 $13,995 $14,629 $14,672 $15,032 $12,252 $9,819 $11,405 $16,210 $21,268 $31,002