The Coffee Warehouse
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 | |||||||||||||
| Espresso Syrups | 0% | $14,322 | $16,470 | $18,941 | $21,782 | $25,049 | $28,807 | $33,128 | $38,097 | $43,811 | $50,383 | $57,940 | $66,632 |
| Chocolate & Caramel Sauces | 0% | $10,465 | $12,034 | $13,839 | $15,915 | $18,303 | $21,048 | $21,048 | $24,205 | $27,836 | $32,011 | $36,813 | $42,335 |
| Specialty Beverage Mixes | 0% | $8,626 | $6,363 | $3,759 | $4,006 | $4,242 | $4,732 | $7,887 | $10,498 | $21,167 | $30,347 | $34,899 | $40,134 |
| Energy Drinks | 0% | $1,530 | $1,760 | $2,023 | $2,327 | $2,676 | $3,077 | $3,539 | $4,070 | $4,680 | $5,382 | $6,190 | $7,118 |
| Concentrated Milk | 0% | $1,530 | $2,924 | $3,520 | $4,245 | $5,128 | $6,360 | $7,914 | $9,882 | $12,379 | $15,556 | $19,604 | $24,774 |
| Paper Supplies | 0% | $51,400 | $47,414 | $43,114 | $45,849 | $51,378 | $58,075 | $68,506 | $85,766 | $123,777 | $177,815 | $202,120 | $230,071 |
| Marketing | 0% | $700 | $805 | $910 | $1,015 | $1,155 | $1,295 | $1,470 | $1,680 | $1,890 | $2,170 | $2,450 | $2,765 |
| Total Sales | $88,573 | $87,770 | $86,106 | $95,139 | $107,931 | $123,394 | $143,492 | $174,198 | $235,540 | $313,664 | $360,016 | $413,829 | |
| 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 | |
| Espresso Syrups | $11,908 | $13,694 | $15,748 | $18,110 | $20,827 | $23,951 | $27,544 | $31,675 | $36,426 | $41,890 | $48,174 | $55,400 | |
| Chocolate & Caramel Sauces | $8,441 | $9,707 | $11,163 | $12,837 | $14,763 | $16,977 | $19,524 | $22,453 | $25,821 | $29,694 | $34,148 | $39,270 | |
| Specialty Beverage Mixes | $6,496 | $4,866 | $2,981 | $3,192 | $3,401 | $3,802 | $6,168 | $8,145 | $16,035 | $22,852 | $26,280 | $30,222 | |
| Energy Drinks | $1,260 | $1,449 | $1,666 | $1,916 | $2,204 | $2,534 | $2,914 | $3,352 | $3,854 | $4,433 | $5,097 | $5,862 | |
| Concentrated Milk | $1,308 | $2,509 | $3,022 | $3,646 | $4,405 | $5,465 | $6,804 | $8,499 | $10,651 | $13,389 | $16,880 | $21,339 | |
| Paper Supplies | $38,550 | $35,560 | $32,335 | $34,387 | $38,534 | $43,556 | $51,379 | $64,325 | $92,833 | $133,361 | $151,590 | $172,554 | |
| Marketing | $250 | $288 | $325 | $363 | $413 | $463 | $525 | $600 | $675 | $775 | $875 | $988 | |
| Subtotal Direct Cost of Sales | $68,213 | $68,073 | $67,240 | $74,451 | $84,546 | $96,749 | $114,858 | $139,049 | $186,297 | $246,395 | $283,045 | $325,635 | |
| 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 | ||
| Jennifer Smith | 0% | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 |
| Sales/Delivery (Salary) | 0% | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 |
| Sales/Delivery (Commission) | 0% | $170 | $192 | $216 | $240 | $268 | $300 | $336 | $379 | $429 | $493 | $565 | $649 |
| Delivery/Warehouse Personnel | 0% | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 | $1,700 |
| Administration | 0% | $1,560 | $1,560 | $1,560 | $1,560 | $1,560 | $1,560 | $1,560 | $1,560 | $1,560 | $1,560 | $1,560 | $1,560 |
| Total People | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | |
| Total Payroll | $7,630 | $7,652 | $7,676 | $7,700 | $7,728 | $7,760 | $7,796 | $7,839 | $7,889 | $7,953 | $8,025 | $8,109 | |
| 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 | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | |
| Long-term Interest Rate | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | |
| 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 | $88,573 | $87,770 | $86,106 | $95,139 | $107,931 | $123,394 | $143,492 | $174,198 | $235,540 | $313,664 | $360,016 | $413,829 | |
| Direct Cost of Sales | $68,213 | $68,073 | $67,240 | $74,451 | $84,546 | $96,749 | $114,858 | $139,049 | $186,297 | $246,395 | $283,045 | $325,635 | |
| Hidden Row | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $68,213 | $68,073 | $67,240 | $74,451 | $84,546 | $96,749 | $114,858 | $139,049 | $186,297 | $246,395 | $283,045 | $325,635 | |
| Gross Margin | $20,360 | $19,697 | $18,866 | $20,688 | $23,385 | $26,645 | $28,634 | $35,149 | $49,243 | $67,269 | $76,971 | $88,194 | |
| Gross Margin % | 22.99% | 22.44% | 21.91% | 21.74% | 21.67% | 21.59% | 19.96% | 20.18% | 20.91% | 21.45% | 21.38% | 21.31% | |
| Expenses | |||||||||||||
| Payroll | $7,630 | $7,652 | $7,676 | $7,700 | $7,728 | $7,760 | $7,796 | $7,839 | $7,889 | $7,953 | $8,025 | $8,109 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Rent | $2,758 | $2,758 | $2,758 | $2,758 | $2,758 | $2,758 | $2,758 | $2,758 | $2,758 | $2,758 | $2,758 | $2,758 | |
| Utilities and Phone | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | $600 | |
| Insurance | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
| Payroll Burden | 15% | $1,145 | $1,148 | $1,151 | $1,155 | $1,159 | $1,164 | $1,169 | $1,176 | $1,183 | $1,193 | $1,204 | $1,216 |
| Leased Equipment (Delivery Vehicles) | $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 (Warehouse) | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | $250 | |
| Leased Equipment (Other) | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Fuel (delivery) | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
| Advertising / Promotion | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | |
| Professional Services | 15% | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 |
| Miscellaneous (office supplies, etc) | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Total Operating Expenses | $15,783 | $15,808 | $15,835 | $15,863 | $15,895 | $15,932 | $15,973 | $16,023 | $16,080 | $16,154 | $16,237 | $16,333 | |
| Profit Before Interest and Taxes | $4,578 | $3,889 | $3,030 | $4,825 | $7,490 | $10,713 | $12,661 | $19,126 | $33,163 | $51,116 | $60,735 | $71,861 | |
| EBITDA | $4,578 | $3,889 | $3,030 | $4,825 | $7,490 | $10,713 | $12,661 | $19,126 | $33,163 | $51,116 | $60,735 | $71,861 | |
| Interest Expense | $620 | $607 | $593 | $580 | $567 | $553 | $540 | $527 | $513 | $500 | $487 | $473 | |
| Taxes Incurred | $1,187 | $821 | $609 | $1,061 | $1,731 | $2,540 | $3,030 | $4,650 | $8,162 | $12,654 | $15,062 | $17,847 | |
| Other Income | |||||||||||||
| Interest Income | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Other Income Account Name | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Other Income | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Other Expense | |||||||||||||
| Account Name | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Other Expense Account Name | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Other Expense | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Net Other Income | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Net Profit | $2,770 | $2,462 | $1,828 | $3,184 | $5,192 | $7,620 | $9,090 | $13,950 | $24,487 | $37,962 | $45,186 | $53,541 | |
| Net Profit/Sales | 3.13% | 2.80% | 2.12% | 3.35% | 4.81% | 6.18% | 6.34% | 8.01% | 10.40% | 12.10% | 12.55% | 12.94% | |
| 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 | $88,573 | $87,770 | $86,106 | $95,139 | $107,931 | $123,394 | $143,492 | $174,198 | $235,540 | $313,664 | $360,016 | $413,829 | |
| Subtotal Cash from Operations | $88,573 | $87,770 | $86,106 | $95,139 | $107,931 | $123,394 | $143,492 | $174,198 | $235,540 | $313,664 | $360,016 | $413,829 | |
| Additional Cash Received | |||||||||||||
| Non Operating (Other) Income | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| 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 | $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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Cash Received | $88,573 | $87,770 | $86,106 | $95,139 | $107,931 | $123,394 | $143,492 | $174,198 | $235,540 | $313,664 | $360,016 | $413,829 | |
| 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 | $7,630 | $7,652 | $7,676 | $7,700 | $7,728 | $7,760 | $7,796 | $7,839 | $7,889 | $7,953 | $8,025 | $8,109 | |
| Bill Payments | $2,607 | $78,184 | $77,442 | $76,236 | $92,651 | $106,626 | $122,274 | $147,608 | $181,556 | $257,760 | $334,299 | $348,850 | |
| Subtotal Spent on Operations | $10,237 | $85,836 | $85,118 | $83,936 | $100,379 | $114,386 | $130,070 | $155,447 | $189,445 | $265,713 | $342,324 | $356,959 | |
| Additional Cash Spent | |||||||||||||
| Non Operating (Other) Expense | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Principal Repayment of Current Borrowing | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | |
| 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 | $12,237 | $87,836 | $87,118 | $85,936 | $102,379 | $116,386 | $132,070 | $157,447 | $191,445 | $267,713 | $344,324 | $358,959 | |
| Net Cash Flow | $76,336 | ($66) | ($1,012) | $9,203 | $5,552 | $7,008 | $11,422 | $16,751 | $44,095 | $45,951 | $15,692 | $54,870 | |
| Cash Balance | $86,136 | $86,071 | $85,059 | $94,262 | $99,813 | $106,821 | $118,243 | $134,994 | $179,089 | $225,039 | $240,731 | $295,601 | |
| 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 | $9,800 | $86,136 | $86,071 | $85,059 | $94,262 | $99,813 | $106,821 | $118,243 | $134,994 | $179,089 | $225,039 | $240,731 | $295,601 |
| Inventory | $75,000 | $75,034 | $74,880 | $73,964 | $81,896 | $93,001 | $106,424 | $126,344 | $152,954 | $204,926 | $271,034 | $311,349 | $358,198 |
| Other Current Assets | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 | $18,750 |
| Total Current Assets | $103,550 | $179,920 | $179,701 | $177,773 | $194,908 | $211,564 | $231,995 | $263,337 | $306,698 | $402,765 | $514,823 | $570,830 | $672,549 |
| Long-term Assets | |||||||||||||
| Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Accumulated Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Assets | $103,550 | $179,920 | $179,701 | $177,773 | $194,908 | $211,564 | $231,995 | $263,337 | $306,698 | $402,765 | $514,823 | $570,830 | $672,549 |
| 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 | $75,600 | $74,919 | $73,163 | $89,114 | $102,578 | $117,390 | $141,641 | $173,052 | $246,632 | $322,728 | $335,549 | $385,728 |
| Current Borrowing | $95,000 | $93,000 | $91,000 | $89,000 | $87,000 | $85,000 | $83,000 | $81,000 | $79,000 | $77,000 | $75,000 | $73,000 | $71,000 |
| Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Subtotal Current Liabilities | $95,000 | $168,600 | $165,919 | $162,163 | $176,114 | $187,578 | $200,390 | $222,641 | $252,052 | $323,632 | $397,728 | $408,549 | $456,728 |
| Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Liabilities | $95,000 | $168,600 | $165,919 | $162,163 | $176,114 | $187,578 | $200,390 | $222,641 | $252,052 | $323,632 | $397,728 | $408,549 | $456,728 |
| 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 | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) | ($16,450) |
| Earnings | $0 | $2,770 | $5,232 | $7,060 | $10,244 | $15,436 | $23,056 | $32,146 | $46,096 | $70,583 | $108,545 | $153,731 | $207,271 |
| Total Capital | $8,550 | $11,320 | $13,782 | $15,610 | $18,794 | $23,986 | $31,606 | $40,696 | $54,646 | $79,133 | $117,095 | $162,281 | $215,821 |
| Total Liabilities and Capital | $103,550 | $179,920 | $179,701 | $177,773 | $194,908 | $211,564 | $231,995 | $263,337 | $306,698 | $402,765 | $514,823 | $570,830 | $672,549 |
| Net Worth | $8,550 | $11,320 | $13,782 | $15,610 | $18,794 | $23,986 | $31,606 | $40,696 | $54,646 | $79,133 | $117,095 | $162,281 | $215,821 |
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