Legal Associates Temp Agency
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 | |||||||||||||
| Small-size Law Firms | 0% | $0 | $0 | $800 | $900 | $2,200 | $3,100 | $3,545 | $4,874 | $6,574 | $6,987 | $7,784 | $7,985 |
| Medium-size Law Firms | 0% | $0 | $0 | $1,500 | $1,654 | $3,621 | $4,500 | $4,878 | $5,574 | $8,744 | $9,001 | $10,547 | $11,455 |
| Total Sales | $0 | $0 | $2,300 | $2,554 | $5,821 | $7,600 | $8,423 | $10,448 | $15,318 | $15,988 | $18,331 | $19,440 | |
| 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 | |
| Small-size Law Firms | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Medium-size Law Firms | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Direct Cost of Sales | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| 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 | ||
| President | 0% | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 |
| Office Manager | 0% | $0 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 |
| Receptionist/Secretary | 0% | $0 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 |
| HR Person | 0% | $0 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 | $1,440 |
| Account Manager | 0% | $0 | $0 | $0 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 |
| Total People | 1 | 4 | 4 | 5 | 5 | 5 | 5 | 5 | 5 | 5 | 5 | 5 | |
| Total Payroll | $2,000 | $7,880 | $7,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | |
| 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 | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | |
| 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 | $0 | $0 | $2,300 | $2,554 | $5,821 | $7,600 | $8,423 | $10,448 | $15,318 | $15,988 | $18,331 | $19,440 | |
| Direct Cost of Sales | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Gross Margin | $0 | $0 | $2,300 | $2,554 | $5,821 | $7,600 | $8,423 | $10,448 | $15,318 | $15,988 | $18,331 | $19,440 | |
| Gross Margin % | 0.00% | 0.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | |
| Expenses | |||||||||||||
| Payroll | $2,000 | $7,880 | $7,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | |
| Sales and Marketing and Other Expenses | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | |
| Depreciation | $139 | $139 | $139 | $139 | $139 | $139 | $139 | $139 | $139 | $139 | $139 | $139 | |
| Utilities | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | |
| Insurance | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
| Rent | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | |
| Payroll Taxes | 15% | $300 | $1,182 | $1,182 | $1,632 | $1,632 | $1,632 | $1,632 | $1,632 | $1,632 | $1,632 | $1,632 | $1,632 |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Operating Expenses | $4,739 | $11,501 | $11,501 | $14,951 | $14,951 | $14,951 | $14,951 | $14,951 | $14,951 | $14,951 | $14,951 | $14,951 | |
| Profit Before Interest and Taxes | ($4,739) | ($11,501) | ($9,201) | ($12,397) | ($9,130) | ($7,351) | ($6,528) | ($4,503) | $367 | $1,037 | $3,380 | $4,489 | |
| EBITDA | ($4,600) | ($11,362) | ($9,062) | ($12,258) | ($8,991) | ($7,212) | ($6,389) | ($4,364) | $506 | $1,176 | $3,519 | $4,628 | |
| Interest Expense | $0 | $0 | $0 | $0 | $0 | $0 | $108 | $108 | $108 | $108 | $108 | $108 | |
| Taxes Incurred | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Net Profit | ($4,739) | ($11,501) | ($9,201) | ($12,397) | ($9,130) | ($7,351) | ($6,636) | ($4,611) | $259 | $929 | $3,272 | $4,381 | |
| Net Profit/Sales | 0.00% | 0.00% | -400.04% | -485.40% | -156.85% | -96.72% | -78.79% | -44.14% | 1.69% | 5.81% | 17.85% | 22.53% | |
| 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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Cash from Receivables | $0 | $0 | $0 | $77 | $2,308 | $2,663 | $5,880 | $7,627 | $8,491 | $10,610 | $15,340 | $16,066 | |
| Subtotal Cash from Operations | $0 | $0 | $0 | $77 | $2,308 | $2,663 | $5,880 | $7,627 | $8,491 | $10,610 | $15,340 | $16,066 | |
| 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 | $13,000 | $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 | $0 | |
| 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 | $46,000 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Cash Received | $0 | $0 | $0 | $77 | $2,308 | $48,663 | $18,880 | $7,627 | $8,491 | $10,610 | $15,340 | $16,066 | |
| 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 | $2,000 | $7,880 | $7,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | $10,880 | |
| Bill Payments | $87 | $2,629 | $3,482 | $3,497 | $3,932 | $3,932 | $3,936 | $4,040 | $4,040 | $4,040 | $4,040 | $4,040 | |
| Subtotal Spent on Operations | $2,087 | $10,509 | $11,362 | $14,377 | $14,812 | $14,812 | $14,816 | $14,920 | $14,920 | $14,920 | $14,920 | $14,920 | |
| 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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Other Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Long-term Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Purchase Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Purchase Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Dividends | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Cash Spent | $2,087 | $10,509 | $11,362 | $14,377 | $14,812 | $14,812 | $14,816 | $14,920 | $14,920 | $14,920 | $14,920 | $14,920 | |
| Net Cash Flow | ($2,087) | ($10,509) | ($11,362) | ($14,300) | ($12,504) | $33,851 | $4,065 | ($7,293) | ($6,430) | ($4,310) | $420 | $1,146 | |
| Cash Balance | $56,713 | $46,204 | $34,842 | $20,542 | $8,038 | $41,889 | $45,954 | $38,661 | $32,231 | $27,921 | $28,341 | $29,487 | |
| 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 | $58,800 | $56,713 | $46,204 | $34,842 | $20,542 | $8,038 | $41,889 | $45,954 | $38,661 | $32,231 | $27,921 | $28,341 | $29,487 |
| Accounts Receivable | $0 | $0 | $0 | $2,300 | $4,777 | $8,290 | $13,227 | $15,770 | $18,590 | $25,418 | $30,795 | $33,786 | $37,160 |
| Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Current Assets | $58,800 | $56,713 | $46,204 | $37,142 | $25,319 | $16,328 | $55,116 | $61,723 | $57,251 | $57,649 | $58,716 | $62,127 | $66,647 |
| Long-term Assets | |||||||||||||
| Long-term Assets | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 |
| Accumulated Depreciation | $0 | $139 | $278 | $417 | $556 | $695 | $834 | $973 | $1,112 | $1,251 | $1,390 | $1,529 | $1,668 |
| Total Long-term Assets | $5,000 | $4,861 | $4,722 | $4,583 | $4,444 | $4,305 | $4,166 | $4,027 | $3,888 | $3,749 | $3,610 | $3,471 | $3,332 |
| Total Assets | $63,800 | $61,574 | $50,926 | $41,725 | $29,763 | $20,633 | $59,282 | $65,750 | $61,139 | $61,398 | $62,326 | $65,598 | $69,979 |
| 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 | $0 | $2,513 | $3,366 | $3,366 | $3,801 | $3,801 | $3,801 | $3,906 | $3,906 | $3,906 | $3,906 | $3,906 | $3,906 |
| Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $13,000 | $13,000 | $13,000 | $13,000 | $13,000 | $13,000 |
| Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Subtotal Current Liabilities | $0 | $2,513 | $3,366 | $3,366 | $3,801 | $3,801 | $3,801 | $16,906 | $16,906 | $16,906 | $16,906 | $16,906 | $16,906 |
| Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Liabilities | $0 | $2,513 | $3,366 | $3,366 | $3,801 | $3,801 | $3,801 | $16,906 | $16,906 | $16,906 | $16,906 | $16,906 | $16,906 |
| Paid-in Capital | $65,000 | $65,000 | $65,000 | $65,000 | $65,000 | $65,000 | $111,000 | $111,000 | $111,000 | $111,000 | $111,000 | $111,000 | $111,000 |
| Retained Earnings | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) | ($1,200) |
| Earnings | $0 | ($4,739) | ($16,240) | ($25,441) | ($37,838) | ($46,968) | ($54,319) | ($60,955) | ($65,567) | ($65,308) | ($64,379) | ($61,108) | ($56,727) |
| Total Capital | $63,800 | $59,061 | $47,560 | $38,359 | $25,962 | $16,832 | $55,481 | $48,845 | $44,233 | $44,492 | $45,421 | $48,692 | $53,073 |
| Total Liabilities and Capital | $63,800 | $61,574 | $50,926 | $41,725 | $29,763 | $20,633 | $59,282 | $65,750 | $61,139 | $61,398 | $62,326 | $65,598 | $69,979 |
| Net Worth | $63,800 | $59,061 | $47,560 | $38,359 | $25,962 | $16,832 | $55,481 | $48,845 | $44,233 | $44,492 | $45,421 | $48,692 | $53,073 |
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