The Coffee Break
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 | |||||||||||||
| Total Revenue | 0% | $12,500 | $16,000 | $18,500 | $22,000 | $21,500 | $20,000 | $18,500 | $16,000 | $16,000 | $17,000 | $19,000 | $21,000 |
| Other | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Sales | $12,500 | $16,000 | $18,500 | $22,000 | $21,500 | $20,000 | $18,500 | $16,000 | $16,000 | $17,000 | $19,000 | $21,000 | |
| 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 | |
| Total Costs | $8,000 | $8,000 | $8,000 | $9,000 | $9,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $9,000 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Direct Cost of Sales | $8,000 | $8,000 | $8,000 | $9,000 | $9,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $9,000 | |
| 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 | ||
| Bree Sallee | 0% | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 |
| Other | 0% | $0 | $0 | $560 | $560 | $560 | $560 | $0 | $0 | $0 | $0 | $560 | $560 |
| Cashier 1 | 0% | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 |
| Cashier 2 | 0% | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 |
| Cashier 3 | 0% | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 |
| Cashier 4 | 0% | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 | $560 |
| Total People | 5 | 5 | 6 | 6 | 6 | 6 | 5 | 5 | 5 | 5 | 6 | 6 | |
| Total Payroll | $3,840 | $3,840 | $4,400 | $4,400 | $4,400 | $4,400 | $3,840 | $3,840 | $3,840 | $3,840 | $4,400 | $4,400 | |
| 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 | $12,500 | $16,000 | $18,500 | $22,000 | $21,500 | $20,000 | $18,500 | $16,000 | $16,000 | $17,000 | $19,000 | $21,000 | |
| Direct Cost of Sales | $8,000 | $8,000 | $8,000 | $9,000 | $9,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $9,000 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $8,000 | $8,000 | $8,000 | $9,000 | $9,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $9,000 | |
| Gross Margin | $4,500 | $8,000 | $10,500 | $13,000 | $12,500 | $12,000 | $10,500 | $8,000 | $8,000 | $9,000 | $11,000 | $12,000 | |
| Gross Margin % | 36.00% | 50.00% | 56.76% | 59.09% | 58.14% | 60.00% | 56.76% | 50.00% | 50.00% | 52.94% | 57.89% | 57.14% | |
| Expenses | |||||||||||||
| Payroll | $3,840 | $3,840 | $4,400 | $4,400 | $4,400 | $4,400 | $3,840 | $3,840 | $3,840 | $3,840 | $4,400 | $4,400 | |
| Sales and Marketing and Other Expenses | $381 | $381 | $381 | $381 | $381 | $381 | $381 | $381 | $381 | $381 | $381 | $381 | |
| Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Insurance | $425 | $425 | $425 | $425 | $425 | $425 | $425 | $425 | $425 | $425 | $425 | $425 | |
| 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 | |
| Utilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Leased Equipment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Payroll Taxes | 15% | $576 | $576 | $660 | $660 | $660 | $660 | $576 | $576 | $576 | $576 | $660 | $660 |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Operating Expenses | $6,722 | $6,722 | $7,366 | $7,366 | $7,366 | $7,366 | $6,722 | $6,722 | $6,722 | $6,722 | $7,366 | $7,366 | |
| Profit Before Interest and Taxes | ($2,222) | $1,278 | $3,134 | $5,634 | $5,134 | $4,634 | $3,778 | $1,278 | $1,278 | $2,278 | $3,634 | $4,634 | |
| EBITDA | ($2,222) | $1,278 | $3,134 | $5,634 | $5,134 | $4,634 | $3,778 | $1,278 | $1,278 | $2,278 | $3,634 | $4,634 | |
| Interest Expense | $408 | $399 | $391 | $382 | $373 | $365 | $356 | $347 | $339 | $330 | $321 | $313 | |
| Taxes Incurred | ($789) | $220 | $686 | $1,313 | $1,190 | $1,067 | $856 | $233 | $235 | $487 | $828 | $1,080 | |
| Net Profit | ($1,841) | $659 | $2,058 | $3,939 | $3,571 | $3,202 | $2,567 | $698 | $705 | $1,461 | $2,485 | $3,241 | |
| Net Profit/Sales | -14.73% | 4.12% | 11.12% | 17.90% | 16.61% | 16.01% | 13.87% | 4.36% | 4.40% | 8.59% | 13.08% | 15.43% | |
| 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 | $12,500 | $16,000 | $18,500 | $22,000 | $21,500 | $20,000 | $18,500 | $16,000 | $16,000 | $17,000 | $19,000 | $21,000 | |
| Subtotal Cash from Operations | $12,500 | $16,000 | $18,500 | $22,000 | $21,500 | $20,000 | $18,500 | $16,000 | $16,000 | $17,000 | $19,000 | $21,000 | |
| 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 | $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 | $12,500 | $16,000 | $18,500 | $22,000 | $21,500 | $20,000 | $18,500 | $16,000 | $16,000 | $17,000 | $19,000 | $21,000 | |
| 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 | $3,840 | $3,840 | $4,400 | $4,400 | $4,400 | $4,400 | $3,840 | $3,840 | $3,840 | $3,840 | $4,400 | $4,400 | |
| Bill Payments | $83 | $2,534 | $3,519 | $4,293 | $11,627 | $13,455 | $11,324 | $12,072 | $11,462 | $11,464 | $11,713 | $12,193 | |
| Subtotal Spent on Operations | $3,923 | $6,374 | $7,919 | $8,693 | $16,027 | $17,855 | $15,164 | $15,912 | $15,302 | $15,304 | $16,113 | $16,593 | |
| 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 | $1,042 | $1,042 | $1,042 | $1,042 | $1,042 | $1,042 | $1,042 | $1,042 | $1,041 | $1,041 | $1,041 | $1,041 | |
| 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 | $4,965 | $7,416 | $8,961 | $9,735 | $17,069 | $18,897 | $16,206 | $16,954 | $16,343 | $16,345 | $17,154 | $17,634 | |
| Net Cash Flow | $7,535 | $8,584 | $9,539 | $12,265 | $4,431 | $1,103 | $2,294 | ($954) | ($343) | $655 | $1,846 | $3,366 | |
| Cash Balance | $10,035 | $18,618 | $28,157 | $40,422 | $44,854 | $45,957 | $48,250 | $47,296 | $46,953 | $47,609 | $49,455 | $52,820 | |
| 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 | $2,500 | $10,035 | $18,618 | $28,157 | $40,422 | $44,854 | $45,957 | $48,250 | $47,296 | $46,953 | $47,609 | $49,455 | $52,820 |
| Inventory | $36,000 | $28,000 | $20,000 | $12,000 | $9,900 | $9,900 | $8,800 | $8,800 | $8,800 | $8,800 | $8,800 | $8,800 | $9,900 |
| Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Current Assets | $38,500 | $38,035 | $38,618 | $40,157 | $50,322 | $54,754 | $54,757 | $57,050 | $56,096 | $55,753 | $56,409 | $58,255 | $62,720 |
| 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 | $38,500 | $38,035 | $38,618 | $40,157 | $50,322 | $54,754 | $54,757 | $57,050 | $56,096 | $55,753 | $56,409 | $58,255 | $62,720 |
| 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 | $2,418 | $3,384 | $3,908 | $11,176 | $13,078 | $10,921 | $11,690 | $11,080 | $11,074 | $11,309 | $11,712 | $13,977 |
| Current Borrowing | $50,000 | $48,958 | $47,916 | $46,874 | $45,832 | $44,790 | $43,748 | $42,706 | $41,664 | $40,623 | $39,582 | $38,541 | $37,500 |
| Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Subtotal Current Liabilities | $50,000 | $51,376 | $51,300 | $50,782 | $57,008 | $57,868 | $54,669 | $54,396 | $52,744 | $51,697 | $50,891 | $50,253 | $51,477 |
| Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Liabilities | $50,000 | $51,376 | $51,300 | $50,782 | $57,008 | $57,868 | $54,669 | $54,396 | $52,744 | $51,697 | $50,891 | $50,253 | $51,477 |
| Paid-in Capital | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 | $216,000 |
| Retained Earnings | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) | ($227,500) |
| Earnings | $0 | ($1,841) | ($1,182) | $876 | $4,815 | $8,385 | $11,587 | $14,154 | $14,852 | $15,557 | $17,018 | $19,502 | $22,743 |
| Total Capital | ($11,500) | ($13,341) | ($12,682) | ($10,624) | ($6,685) | ($3,115) | $87 | $2,654 | $3,352 | $4,057 | $5,518 | $8,002 | $11,243 |
| Total Liabilities and Capital | $38,500 | $38,035 | $38,618 | $40,157 | $50,322 | $54,754 | $54,757 | $57,050 | $56,096 | $55,753 | $56,409 | $58,255 | $62,720 |
| Net Worth | ($11,500) | ($13,341) | ($12,682) | ($10,624) | ($6,685) | ($3,115) | $87 | $2,654 | $3,352 | $4,057 | $5,518 | $8,002 | $11,243 |
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