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JTB Integrated Technologies

Executive Summary

This plan provides detailed investor information and includes the basic strategic business plan information necessary for initial establishment and operation of JTB Integrated Technologies. JTB’s Integrated Technologies Division is a sub-corporation of the larger JTB Technologies, Inc., a holding company. The other two divisions are JTB Industrial Sales, and JTB Products and Services. While all three divisions will work closely together, and share some common staff, the following plan outlines all aspects of the Integrated Technologies Division only.

JTB Integrated Technologies, Inc. will be formed in February with its primary location in Richfield, Louisiana as a corporation under the laws of the commonwealth of Louisiana.

JTB’s Integrated Technologies Division will develop and support a full line of P.C.-based business software applications. Additionally, JTB will develop and support ad-based Internet marketplaces, online magazines, custom-developed commercial websites, and other hosted business products tailored to the Industrial marketplace. The Integrated Technologies Division will develop these applications using JTB’s Industrial Sales and Industrial Products Divisions as a test bed and as a marketing referral for live product demonstration.

The managers have worked for the last twenty years as vendors in these businesses, and have seen a niche in helping businesses with their product presentations, internal customer management, and external job costing. Businesses in this industry are all currently using different software and databases to handle internal vendor information resources and external customer RFQ management. When our products are installed, their pre-sales and order processing will be available online, and function as they did internally without interruption, allowing the businesses utilizing the applications to extend their services and products into new markets, through our distributor partners.  Businesses integrated into the system can now offer the other partners products and services to increase their own business revenues, and possibilities of participating in larger contracts, as is the case with many larger corporations providing EDI (electronic data interchange). With high-end software and servers in place, these businesses can easily extend larger clients’ inventory, order tracking, and engineering information, filling in the gaps left by larger systems contracts. JTB’s Integrated Technologies Division will be a base partner in the network, providing support of the business applications.

The management team responsible for overseeing product design, development, integration, and company management of the daily operations are Mitchell R. Jeremy, and Rachel Jeremy. In addition, a team-oriented and customer-focused staff of 3 will support the management team, and in-house developers will create and maintain our software applications and websites.JTB Integrated Technologies, Inc. will retain the services of a CPA firm to perform professional company audits, prepare taxes and payroll, and serve as a business consultant to assist in setting achievable long-range strategic goals.

Based on the current prices in the Industrial Marketing Products and Services market, JTB Integrated Technologies, Inc. has the potential of making sales of  $220,000 within the first eighteen months of operation. With good management, a revenue growth averaging nearly 30% percent annually is expected. The projected ratios at the end of Fiscal Year 3 are quite solid.

The equity for each investor will be based on his or her investment. An in-depth look at Ratios can be found in the Financial Plan section. We anticipate that within 48 months, the business will be at a level to attract further investment, and will be able to pay out its initial investors.  

Database software business plan, executive summary chart image

1.1 Objectives

  The primary objectives of JTB Integrated Technologies are to develop and support:

  1. Vendor relations software and inventory sharing technology systems.
  2. Purchasing and order management technology systems.
  3. Job costing and quotation management technology systems.
  4. Web-based E-marketing sites and systems.
  5. LAN and WAN based sales, marketing, engineering Intranet systems.

After developing these products, we will bring these applications into the market using our business as the test bed proving their worth, and then resell this technology and its required support services.

1.2 Keys to Success

  1. Seasoned management with over twenty-five years of business experience in servicing the Industrial Distribution and Tool industries as a service provider and a manufacturer.
  2. Focused and well-defined long range goals for longevity, to allow flexibility and growth.
  3. Strong marketing goals with niche products and services, targeted services and products delivered with  unique marketing approaches.
  4. Very low internal development costs at startup.
  5. Previous base of quality external support vendors available to build on, with over twenty years of industry  contacts.

1.3 Mission

JTB will develop and support only the highest quality marketing services and products. With this as our primary mission, we will embed our products and services into the metalworking, and manufacturing marketplace. Our software products will be a valuable resource as both a procurement product and an engineered sales resource. Combined with our quality Internet-based marketing websites and customer management tools, our clients can expect positive results and long term growth.

Using JTB’s Products and Services Division as a model and test bed for our P.C.-based business development software, JTB will provide the mid-sized corporate market with new and exciting ways to cost effectively  manage external vendor and customer transactions, online marketing, job costing, purchasing , and project management yielding continual savings for the users of our products and services.

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Company Summary

JTB’s Integrated Technologies, Inc. will be located in Richfield, Louisiana. This location is very close to the I-82 corridor providing excellent access to the Mississippi, Arkansas, and Texas Industrial Markets. JTB’s management acquired it’s roots in the Industrial marketplace while managing  RL&I Tool and Machine, Inc, a privately held corporation that operated in Missouri for over twenty-five years.

Further experience was also acquired while managing RL&I’s Industrial supply division of  RL&I Tool and Machine. RL&I also produced its own line of  tools. In late 1999 the Missouri corporation was closed and the management shown in this plan relocated here to Louisiana. 

The primary partners in this plan are responsible for all phases of business and product development, with special emphasis on bringing the latest integrated technologies design into the business. With our roots firmly planted in the Industrial marketplace, JTB will provide integrated business development technology to Industrial and Commercial manufacturing accounts acquired over the last twenty-five years while working with the following business types:

  1. Automotive repair and Auto body industries.
  2. Auto Makers, and their support industries.
  3. Turbine, Valve, Specialty Manufacturers, and Machining industries.
  4. Sporting Goods manufacturers, and Services industries.
  5. Hole drilling (Mining) and Utility service providers.

2.1 Company Ownership

JTB will be a privately held corporation co-owned by Rachel L. Jeremy and her husband, Mitchell R. Jeremy. Rachel Jeremy has 10 years of experience in production management and customer services, acquired while she worked with RL&I Tool and Machine, Inc., where she was also the Secretary for that corporation. Rachel will also add a large percentage to the minority-owned shares, allowing the firm to participate in larger contracts requiring minority involvement.

Mitchell R. Jeremy owns and operates Technical Marketing Technologies LLC, a technology and marketing consulting firm. Mr. Jeremy is an innovator with over 25 years of technical experience in the Industrial tool market with an additional 15 years of integrating computers and other technologies into the manufacturing and distribution of industrial products.

Mr. Jeremy has a proven track record of success in launching new business projects and directing operations for a previous MIssouri-based corporation as President of RL&I Tool and Machine, Inc. To achieve our objectives, Jeremy is seeking $27,150 in loan financing and $225,000 in investment for JTB’s Integrated Technologies Division. The loan will be repaid from the cash flow of the business. It will be secured by the assets of the company, and backed by the character, experience and personal guarantees of the owners.

Initial investors will have a choice in year three of opting out, with a repayment of $300,000, or of maintaining their equity investment and receiving yearly dividends over the next five years, after software is developed and sales are reaching full potential via all revenue streams. We anticipate that within 48 months of start-up, we will be in a position to attract new investment. Details of the first option are illustrated in the Cash Flow table, in the Financial Plan outlined below.

2.2 Start-up Summary

Initially, the Integrated Technologies Division will work from the offices of JTB’s Industrial Sales Division. Start-up will consist of hiring two Application developers and one Web Developer to begin development of the Internet-based software to later drive the inventory-sharing and customer-interactivity aspects of the business. We will hire database experts and Web-based application specialists to achieve the desired results. The expense line for “Headhunter fees” represents anticipated fees to head-hunters with whom we are working to complete the hiring process.

Our largest Start-up expenses are for office and computer equipment to set up our development center, and licensing of a proprietary version-control software to help maintain the integrity of the code during development and upgrades. Other Current Assets includes networkable servers and backup systems as insurance for the software-development process.

In addition to the above, we will buy and install approximately $15,000 of high-speed color printing equipment, and specialty CD duplicator equipment in the business development office area. This equipment will allow the JTB’s sales and marketing department to produce the businesses marketing literature, custom burn our developed applications, and resell the latest technology in printing equipment.

Our start-up period, after receiving funding, is one month. We have already scouted some potential developers, and this will give us the time to complete their employment contracts and set up the offices for software development, including the networked servers and backup drives.

Database software business plan, company summary chart image

Start-up
Requirements
Start-up Expenses
Legal $3,000
Stationery etc. $450
Brochures $2,500
Headhunter fees $2,000
Insurance $750
Rent $750
Computer Equipment and Software Licenses $10,200
Total Start-up Expenses $19,650
Start-up Assets
Cash Required $210,000
Start-up Inventory $1,000
Other Current Assets $6,500
Long-term Assets $15,000
Total Assets $232,500
Total Requirements $252,150
Start-up Funding
Start-up Expenses to Fund $19,650
Start-up Assets to Fund $232,500
Total Funding Required $252,150
Assets
Non-cash Assets from Start-up $22,500
Cash Requirements from Start-up $210,000
Additional Cash Raised $0
Cash Balance on Starting Date $210,000
Total Assets $232,500
Liabilities and Capital
Liabilities
Current Borrowing $0
Long-term Liabilities $27,150
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $27,150
Capital
Planned Investment
Investor 1 $225,000
Other $0
Additional Investment Requirement $0
Total Planned Investment $225,000
Loss at Start-up (Start-up Expenses) ($19,650)
Total Capital $205,350
Total Capital and Liabilities $232,500
Total Funding $252,150

2.3 Company Locations and Facilities

JTB will initially work from its Richfield, Louisiana location, alongside the Industrial Sales Division. This proximity will allow us to test the inventory-sharing and customer-support functions of the software with real-time feedback from employees of the other JTB divisions. In addition, warehousing space in the Industrial Sales Division can support the storage of completed CD-packages of the standard software.

The Richfield location provides sufficient space for offices for each of the developers, for a server room, and for backup storage. Additional backup plans include off-site storage at a contracted secure location in the Northeast, in the event of physical damage to the Richfield area (floods, hurricanes, etc.).

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Products and Services

JTB Integrated Technologies will develop and support P.C.-based sales and customer support applications. Our primary product will be a set of data management applications for businesses in the industries served by our other divisions, as described above in the Company Summary. These applications will provide our staff, and our clients’ inside sales staff, with database-driven, market-specific product information, quotation, and RFQ processing. Our custom solutions will provide a rich source for sales and engineering information to aid in completing orders, and pre-sales marketing.

After development of the standard software packages for inventory-sharing, marketing and customer-support tracking and management, we will train our own sales and support personnel in the software, so they can demonstrate and support its features. In the second year, we will begin working with medium-sized industrial clients contacted through the other JTB divisions to develop customized version of the software to suit their needs.

Our website development is the secondary project of JTB’s Integrated Technologies Division. In addition to providing support for sales and marketing efforts in all three JTB divisions, the website will implement the JTB software in real-time, to provide additional testing for software during development. Starting in year two, the website will begin hosting other clients’ websites and client-version software for non-networked clients.

When completed, our products will also generate support income when installed at the various distributors. Further niche applications include industry-specific portal systems which will target specific markets, and provide direct access to our paid advertisers.

JTB Integrated Technologies will develop customized business growth and customer services solutions. As our clients will be throughout the U.S., most if not all of our work will be done online via the Internet. JTB will offer distributed software products from well known names in the engineering software field, and our own software titles as well. Our support services will help our clients implement their installations, and training support via contracted trainers will be offered when needed. As our niche market is small- to mid-sized corporations, we differ from larger firms like Peoplesoftware, Profit2100, Dimasystems, and Net2soft, which have developed very expensive software and netware packages starting at $10,000 – $50,000 and up.

Our cost analysis has shown that there are many more cost-competitive options available for businesses to choose from, which in many cases they are simply unaware they are available. As a service business that will utilize our own products, we can market and demo our products simultaneously, further reducing our costs per solicitation. 

3.1 Product and Service Description

PRODUCTS

Custom-developed P.C.- and network-based applications allowing as many as 100 users simultaneous access to order processing, quotation processing, pre-sales product request fulfillment, after-sales product support, and custom networked business solution products. These products can be thought of as support applications or tools for a business’ sales and marketing staff to work with daily to streamline many repetitive tasks. The products will be designed to work with Windows®-based software applications.

Basically, these software tools will fill in the gaps where businesses may have older accounting and marketing systems. Our products can run on older networks, and do not require a company to upgrade their computer systems past Windows 98. Additionally, management is professionally schooled in network management, allowing JTB to also offer complete turn-key applications with hardware.

Custom Developed Applications – P.C.-based products will be developed to interact with our Intranet products allowing a customizable work environment for our clients’ business support needs.

Distributors of prototype engineering software and hardware – CAD software products, business applications software, Accounting and Database applications software.

SERVICES

A mix of product support and development services, supporting our applications and P.C.-based products. Distribution after-sales support of our resold products offering.

Custom support services – JTB will offer custom support services for all of our P.C.-based products, and turn-key business networks and software.

Internet based marketing and subscription services – Industrial marketing sites, search engines, and portal systems, Industrial website development, Industrial and commercial hosting.

3.2 Competitive Comparison

JTB will compete in the industrial media and business applications marketplace. This market is comprised of printed trade magazines, industrial content websites, and with custom Web developers. Our emphasis is on businesses that are looking for smart, cost-effective ways to develop new customers. This division will provide sales and support of our engineering software and services, and our developed applications and Web-based services.  In many respects our services offering is very similar to what is offered by some very large firms with one major difference, the cost to the end users.

Our integrated products will give smaller businesses better media opportunities to grow and market themselves with the much needed customer support features that many firms are lacking. It is no secret that most businesses do not implement a quality business plan or marketing plan. JTB will offer a mix of products geared to our industry. These products present all of the features and capabilities that a very large corporations staff would utilize, while keeping our products simplified to expedite the required tasks. Our other divisions will utilize, test, and help develop this technology.

In terms of competition, no other firm in our industry really will have a similar product offering. By distributing such high-quality business software, we can introduce JTB to all types of businesses, possibly opening up doors to clients on whom we otherwise could not call. Distributing the latest prototype development products also introduces the company to the engineering departments rather than the purchasing departments allowing further opportunity to introduce all of the JTB divisions. In general, this division could be considered an engineered sales and marketing firm that utilizes our own technology to grow our business. 

3.3 Sales Literature

JTB’s Integrated Technologies division will utilize the same methods of providing our clients with sales literature as our other divisions. We will purchase and manage our own color print systems allowing us to update and manage our printed goods as needed. These printed items will be mailed to our clients when written proposals on our products and services are dispatched to the customer. Other media will include product information via our websites and fax services.

3.4 Fulfillment

JTB’s Integrated Technologies division will fulfill its clients’ needs by developing its own media to support our Web-based products. This media will handle customer support and download capabilities for clients to access our products. Boxed CD versions of our products will available in our inventory, and shipped as needed. Further fulfillment comes when our staff or an outsourced engineer travels to a client to make a hardware or software installation.

3.5 Technology

JTB’s technology consists of the latest in high speed Unix based servers to support our PHP driven business applications, in addition to the server technology, JTB will also develop local P.C.-based applications with MYSQL Databases.

Additionally, management will personally build and implement a custom computer network throughout the entire corporation. Our in-house servers will support our corporate applications and our Accounting and Marketing systems.

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Market Analysis Summary

JTB Integrated Technologies is targeting the following markets:

  1. Aerospace Industry – High Tech Manufacturers, and supporting sub-industries.
  2. Automotive – Auto Makers, and their support industries.
  3. Primary Metals and Machining Industry – Turbine, Valve, Specialty Manufacturers, and Machining industries.
  4. Sporting Industry – Sporting Goods manufacturers, and Services industries.
  5. Mining and Contractor Industry – Hole drilling and Utility service providers.
  6. Industrial distributors throughout the U.S.
  7. Service providers for the above industries throughout the U.S.
  8. Distributor Partners

Our business-development goals are to integrate our marketing and business development services into the above markets. Our P.C.-based applications will make it possible for these businesses to partner with our distributor partners and service providers. These distributor partnerships with smaller businesses can then take on larger clientele they previously did not have the capacity to handle.

The approximate number of clients for JTB in the Louisiana region, in target markets 1-5, above, is 4,553.  The totals for the U.S market are 314,555. Categories 7 and 8 represent approximately 1,500 – 6,000 distributor partners who could participate in servicing categories 1-6. JTB anticipates additional marketing revenues from providing the channel partners access to the customer databases.

4.1 Market Segmentation

Key market segmentation highlights:

  1. All of the above businesses require Internet support services to conduct daily business.
  2. Over 70% of these businesses pay substantial monthly fees for online services.
  3. Over 80% of these businesses pay monthly software support fees.
  4. Each business spends a minimum of $3,000 or more annually on monthly access fees and advertising, creating a potential market of $961,665,000 annually.

Our conclusion is that all markets represent what we would call approachable potential customers, and sales could occur directly, or indirectly through a channel partner. JTB anticipates the low entry costs involved with accessing our server-based systems will stimulate a strong market response. We expect that these users will continue to subscribe to our services annually.

The following table and chart show the relative size and growth rates of the different national markets. Primary Metals and Machinery is by far the largest group.

Database software business plan, market analysis summary chart image

Market Analysis
Year 1 Year 2 Year 3 Year 4 Year 5
Potential Customers Growth CAGR
Aerospace, High Tech manufacturing 3% 25,587 26,355 27,146 27,960 28,799 3.00%
Automotive, Auto makers, support sub-industry 2% 4,000 4,080 4,162 4,245 4,330 2.00%
Primary Metals, and Machining industry 7% 210,000 224,700 240,429 257,259 275,267 7.00%
Sporting Goods and related services 7% 6,058 6,482 6,936 7,422 7,942 7.00%
Mining, and Contractor industry 9% 3,149 3,432 3,741 4,078 4,445 9.00%
Independent Distributors 4% 1,500 1,560 1,622 1,687 1,754 3.99%
Service Providers 4% 4,500 4,680 4,867 5,062 5,264 4.00%
Total 6.50% 254,794 271,289 288,903 307,713 327,801 6.50%

4.2 Target Market Segment Strategy

Our marketing strategy will vary slightly for each target market segment. We will directly market to the Aerospace, Automotive, Primary Metals and Machining, and Sporting Industries, introducing these clients to JTB’s Industrial Purchasing,  Marketing, and Vendor management solutions.

Additionally, the Integrated Technologies Division will draw its clients from the other divisions’ business contacts. Our interactive order management and inventory systems will further allow our integration into the market as it is developed, to form a closer, one-on-one relationship with the client, making for a more approachable environment to market our technology. Special incentives will be given to the businesses using the system.

We will target the Mining and Contractor Industry, Industrial distributors, and Service providers for our Internet-based products for Web management, and to develop their own individual marketplaces.

The media market has changed over the last five years. Business sites are gradually becoming more informational, where originally customers were impressed with a more graphic presentation. This change has been driven by the search engines, and how they analyze a site’s content for ranking. Additionally, trends in trade magazine ads are much more likely to contain a business’ Web address. As buyers visit the larger manufacturers’ sites, they also become spoiled with the functionality of the site. Upon returning to the smaller business’ site, they may be turned off by its lack of high-end features. Our niche market is small- to mid-sized corporations, those overlooked by larger firms like Peoplesoftware, Profit2100, Dimasystems, and Net2soft, which have targeted larger clientele by developing very expensive software and netware packages starting at $10,000.

Over the last five years, we have been working with a limited budget to acquire as much knowledge as possible to test processes to drive user/owner-developed site content management systems that incorporate many of the features found in higher-end programs. JTB will bring these products to market for 1/10th of the cost, while earning additional revenues with paid support services.

4.2.2 Market Needs

JTB’s market is serviced by many types of media, marketing, and business applications development companies. Traditionally these developers dictate to the clients what it is exactly they can offer, or a potential client has seen a product they have produced that offers some features they like. In JTB’s case, all of our applications will utilize Web technologies to allow full customization and personalization of our products to exactly match the business’ marketing strategy.  

Our view is simple: the market is made up of businesses looking for work, businesses wanting to sell or distribute products, and a large offering of Web-based sites backed by large trade magazines. Ad rates for the industry are also very high, with most companies except the very large relying on other avenues to develop new clients. Caught in the mix is a large group of small- to mid-sized manufacturers using all types of low-end marketing to avoid these high-cost forms of marketing.

JTB’s management has been exploring this industry for the last 5 years, collecting information, and talking to businesses. As I was, most businesses are unhappy with the Web-development aspects of marketing, and many of the businesses in this group have not had great success with attracting additional business via their sites. Sites tend to stagnate and are not utilized effectively by the businesses, as they are at the mercy of the site developers demanding fees for continual changes. In most cases, the developers do nothing in the way of marketing the sites, and in some cases I have seen, websites are net even registered with the search engines.

JTB’s Integrated Technologies Division will develop interactive, Web-based products to replace older technology sites, or work with their existing site. We will develop our sales and marketing products to work interactively with the business’ website, providing real-time inventory and other customer-demanded interactivity.

4.3 Service Business Analysis

JTB’s Integrated Technologies Division is part of the Business-Oriented Computer Software industry. This industry ranges from giants like Microsoft Corporation to small, 1-2 people enterprises in smaller niche markets. We are generally competing with non-integrated, multiple software products, each of which can handle one part of the overall task management of buying, making, and selling products and support in our targeted markets. We will be the first in the industry to offer an integrated software package, from design to hosting, for small- to mid-sized companies in the industries.

4.3.1 Distributing a Service

JTB’s business development division will distribute its services in several forms: first, as a business development firm providing badly needed alternatives to customer support and marketing; second, as a business partner integrated with our other JTB divisions and marketing sites, providing work opportunities for businesses utilizing our software technologies. As mentioned in the fulfillment section 3.4, all of our services will eventually be accessible online. In plan year 5, there are also plans for 3 other satellite offices to further the businesses growth.

4.3.2 Competition and Buying Patterns

Things to consider about our competitors:

  1. They usually produce a generic offering of Internet-based applications not very well matched to the customer’s needs.
  2. Many developers force the users to have the latest in computer hardware and the highest Internet access speeds.
  3. Many competitors do not provide Internet support, or a well-combined offering of products and services.
  4. Many software and application developers do not integrate the badly needed marketing and customer support needed to develop clients and provide for long-term growth.

Client buying patterns vary greatly, and are normally driven by management’s needs to promote better customer support, and to further develop new sales territory. As with all businesses including our target markets, software and applications upgrades change as newer computer equipment is developed. It is our opinion that most small to mid-sized corporations do not have a well balanced interactive sales and marketing environment that is capable of growing with their business. This has been seen many times while interacting with these businesses in both a prospective client situation, and as a vendor.

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Strategy and Implementation Summary

JTB’s strategy is to utilize our own products while working with new clients, as demonstrations are better than literature. Our sales staff will interact with potential clients and vendors simultaneously, providing a demonstration environment. Further attention will be drawn to our low-cost forms of marketing and marketing sites, all featuring our “powered by” logos. As these sites acquire users, we will accumulate detailed business information, allowing our staff to more accurately approach these businesses to review our products and services.

What will set JTB apart from the competition:

  1. JTB’s products have flexible core features to help make them more easily adaptable to our users’ needs.
  2. JTB’s P.C.-based applications do not require their users to have the latest in computer technology, as the hosting server provides most of the application’s required support.
  3. JTB’s offering of services will be a combined offering providing quality options, flexible features, and complete customization to suit our Industrial clients’ needs.
  4. JTB offers interactive media marketplaces for its clients as a part of its offering of quality services, our applications also interact with these marketplaces making quality customer access and support possible.

5.1 Sales Strategy

JTB’s Integrated Technologies Division has a simple sales strategy. By demonstrating the effectiveness of the software, as we use it, in all of our interactions with customers in the other two divisions, we will create an interest among the existing clients of JTB Industrial Sales and JTB Products and Services. Our sales agents will begin contacts with existing clients of the other divisions, and work closely with them to customize applications, hosting services, and support which meet their individual needs. These clients will then be used as further demonstrations to new potential clients of how our software is helping real businesses in these industries to improve their inventory tracking, customer service, sales, and internal communications.

5.1.1 Sales Forecast

With potential clients and distributor partners numbering near 330,000, the sales forecast for JTB’s Integrated Technologies Division looks strong. We are developing our own products and services for resale, in the form of renewable subscribed services. With the average business spending approximately $3,000 or more annually, this quickly becomes a $990 Million dollar marketplace. 

The following table and charts show our projected sales for the Integrated technologies Division. The first nine months of the plan are required lead-time for software development, during which we will have almost no sales. As the website functionality is established, we expect some small income from resale of distributed products beginning in July. After much internal testing, our launch date for the initial version of the standard integrated-software package is November 10th, 2005. After this point, we expect a heavy increase in sales, as customers of the other JTB divisions see the advantage of buying a low-cost, fully-integrated software system which suits their industry needs.

Direct inventory costs for these products and services is very low, since most of the related costs are R&D based, and are covered in regular employee payroll. Inventory costs are mostly applicable to resale of outside software and products. Direct costs for internally-developed software include outsourced packaging of the completed CD-ROMs and redelivery to the Richfield location for shipping. CD-ROM packaging will be outsourced to a reputable plant in the local area. Other costs include new software and upgrades to servers as we expand our hosting and support capabilities, and travel expenses for employees to personally install the software packages on clients’ computer systems.

Our sales forecast table uses the following assumptions:

  1. Auto body Products market growth rate of 14%.
  2. Auto body Services market growth rate of  7%.
  3. Commercial Drilling market growth rate of  22%.
  4. Sporting Goods Products market growth rate of 18%.
  5. Sporting Goods Services market growth rate of 15%.
  6. Metalworking and Manufacturing market growth rate of 14%..
  7. Service providers for the above industries, market growth rate of 4%.
  8. Distributor Partners market growth rate of 4%.

Categories 1-6 highlight our targeted market clientele all of which show a consistent growth growth rate that is consistent with the other JTB divisions. Categories 7 and 8 represent approximately 1,500 – 6,000 partners who could participate in servicing categories 1-6. JTB anticipates additional marketing revenues from providing the distributor partners access to the customer databases.

Database software business plan, strategy and implementation summary chart image

Database software business plan, strategy and implementation summary chart image

Sales Forecast
Year 1 Year 2 Year 3 Year 4 Year 5
Sales
Interactive media site revenues $5,500 $71,360 $87,059 $97,506 $117,772
Custom Applications Revenue $0 $26,346 $30,297 $34,841 $40,067
Existing Applications Revenue $3,724 $35,282 $40,574 $46,660 $53,659
Support Services Revenue $2,880 $29,000 $40,600 $56,840 $79,576
Distributed Resale Products $10,900 $24,000 $48,000 $60,000 $90,000
Distributor Partner Revenues $0 $8,160 $10,200 $12,750 $15,937
Affitiate Revenue $200 $5,800 $11,600 $23,200 $46,400
Total Sales $23,204 $199,948 $268,330 $331,797 $443,411
Direct Cost of Sales Year 1 Year 2 Year 3 Year 4 Year 5
Interactive media site $1,100 $14,272 $17,412 $19,501 $23,554
Custom Applications $0 $2,635 $3,030 $3,484 $4,007
Existing Applications $372 $3,528 $4,057 $4,666 $5,366
Support Services $0 $0 $0 $0 $0
Distributed Resale Products $6,976 $15,360 $30,720 $38,400 $57,600
Subtotal Direct Cost of Sales $8,448 $35,795 $55,219 $66,051 $90,527

5.2 Strategic Alliances

JTB’s Integrated Technologies division will develop long-term relationships with many quality media developers, to provide our clients with a broad offering of products and services. Our developer partners and technology suppliers will be hand-picked for their products and capabilities. Our main goal while developing our strategic alliances is to select the best possible providers we can locate. JTB will network with our clients and distributor partners to create a unique collaborative environment capable of providing the needed input to fulfill and complete our media projects.

5.3 Marketing Strategy

  1. Develop a high profile sales environment, to bring our products to new and existing clients.
  2. Develop new ways to market our products to potential clients via our branded applications and software.
  3. Develop distributor partnerships utilizing our P.C.-based applications.
  4. Develop and maintain high-quality customer service and follow-up programs for all of the JTB divisions.
  5. Develop and utilize an ongoing automated marketing system to contact potential clients.
  6. Carefully target marketing expenditures to maximize returns on the campaigns.

5.3.1 Promotion Strategy

Much of our media marketing products, custom developed applications, P.C.-based sales and customer support products can be offered on a trial and demonstration arrangement. Promotion strategy will include a 100% performance guaranty with a limited-time money-back offer. Part of our strategy is to develop the products in such a way that modules can be added when the client would like additional features. All of our products will have a help and support area for the clients to access 24 hours; this will also allow a no-cost Web-based demonstration and product marketing environment.

5.3.2 Distribution Strategy

JTB will implement a Web-based distribution of its business applications, allowing JTB or other Web developers to instantly setup or install our applications on PCs. With Internet-based accessibility, the distribution costs are minimal. Some custom applications may use CD-ROMs to get the applications to the customer.

5.3.3 Positioning Statement

JTB Integrated Technologies will initially focus entirely on the development of its online media and business applications. When these initial software products are completed, JTB will position its industrial website technology in the industrial marketplace. Once established, marketing can immediately begin to develop the intended markets, with emphasis on marketing programs developed to generate subscription revenues as quickly as possible. As noted in the competitive edge, our mix of media products and services are developed to interact with sellers and buyers in the industrial marketplace, providing badly needed improvements in the marketing process. As our visitors and clients interact in our developed media environment, they will get a full appreciation of what JTB’s goals are in the marketplace.

Additionally, our representation of quality software products can be marketed within our media environment. 

5.3.4 Pricing Strategy

JTB’s product offering is developed to target small- to mid-sized corporations seeking overall improvements in the sales and marketing process. Our mix of products and services allows the client to cost-effectively develop their products, bring them to market, and provide the product with the highest possible level of support. Product and service pricing are based in part on time spent to customize applications, support services, subscription, licensing, and advertisement fees. As JTB will develop its own applications and media environments, our overall platform can be re-used many times over, making JTB’s offering extremely cost competitive.

5.4 Milestones

Hire Application Developers – JTB will seek multi-talented individuals to create the desired P.C.-based business applications we plan to develop as part of our product offering. These employees will work closely with management to custom-develop the base code needed for our application.

Hire Web Developer – JTB will seek a highly-experienced database applications Web developer to create the desired Internet applications to work in conjunction with our developed P.C applications. This employee will work closely with management to develop management’s concepts into logical, well-planned Web-based business development, customer service, marketing, and engineering related tools.

Applications development begins – JTB’s application developers will begin development of our sales, marketing and engineering applications for integration with the corporation’s websites, as an aid for staff members to manage customer requests, develop projects with other firms seeking engineering help, and exporting sales and engineering information about our products and services offering. When completed, these P.C.-based tools will interact with our Internet-based sites, and will become part of our applications offering of customer support products. 

Sales and Marketing program development – JTB will develop a substantial database-driven marketing program to contact new clients directly. JTB has a good overall view of the U.S. market, its buying patterns, and its marketing preferences. With this information, JTB can better tailor its product and service offerings, generating a better return on our marketing efforts.

Customer Service Associate Manager and Support Associate selection – JTB will screen applicants for skilled individuals seeking to develop a career in customer services. This person will need excellent computer skills, some previous website support experience, and previous sales experience. Both employees will work closely with Mr. Jeremy and the developers for intensive training in all areas of our products and services offering.

Marketing Sites are established – JTB will develop and manage multiple marketing sites dedicated to JTB’s entire line of industrial products and services. These sites will also generate revenue with additional product marketing from our distributor partners.

Revenue Sites are established – JTB will develop and manage multiple industry-specific sites. These sites will be a pay-per-ad situation, allowing businesses to highlight their products and services. The JTB media group’s logo will allow visitors to access our product and service sites. In some cases JTB will be a vendor in these sites as well.

Partnership Development Begins – JTB will implement its distributor partnership program to expand its client base throughout the U.S.

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Milestones
Milestone Start Date End Date Budget Manager Department
Hire Application Developers 12/31/2004 1/31/2005 $1,500 M. Jeremy App Development
Hire Web Developer 12/31/2004 1/31/2005 $500 M. Jeremy Web Development
Application development 2/15/2005 9/15/2005 $70,200 M. Jeremy App Development
Revenue Sites are established 4/15/2005 6/15/2005 $9,000 M. Jeremy Sales/Marketing
Partnership Development Begins 7/1/2005 3/1/2006 $5,000 M. Jeremy Sales/Marketing
Finish Beta Version of Software 8/15/2005 9/1/2005 $0 M. Jeremy Sales/Marketing
Marketing Sites are established 9/15/2005 11/15/2005 $7,500 M. Jeremy Sales/Marketing
Hire Customer Service Manager 10/1/2005 10/31/2005 $0 M. Jeremy Sales/Marketing
Hire Customer Support Associate 10/1/2005 10/31/2005 $0 M. Jeremy Sales/Marketing
Sales and Marketing program development 11/1/2005 4/15/2006 $18,950 M. Jeremy Sales/Marketing
Launch Initial Software 11/9/2005 11/10/2005 $0 M. Jeremy Sales/Marketing
Totals $112,650

5.5 Competitive Edge

JTB’s combined competitive edge is an overall approach to market our goods and services to many different industries. Our unique approach of developing our own branded P.C.-based sales and marketing applications will strengthen our ties to our distributor partners and direct clients. As computer networking is a strong area for the owners personally, we see the benefits to businesses that have solid network based sales and marketing tools in place.

5.6 Value Proposition

JTB’s value proposition is entirely about working with businesses in a consulting fashion, working closely with the business’ sales, marketing, engineering, and management so our products can create a better working environment for our staff and clients. Our tailored products will streamline all aspects of customer support, creating continual savings for the client. As these products are scripted in a way that allows adaptability, the costs of a complete customization are minimal.

Further value is added when we can offer our intended clients a quality marketing and work procurement environment geared to helping their businesses grow.

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Web Plan Summary

JTB’s Integrated Technologies Division will have the final responsibility for building, testing, updating, and maintaining the websites for all three subdivisions and the holding company which oversees them. JTB’s Web-based marketing plan is essentially the same for all of the JTB divisions, with the exception of how each division targets its clients. As JTB will be able to add its services offering into the marketplaces to be developed, we will get day to day information and feedback from the various paid ads we place in industrial trade magazines, and with other websites as well. The Web plan is to link our products and services with as many affiliate sites as possible. 

When established, these marketplaces and affiliate sites will serve as a very cost-effective marketing tool for all of the JTB divisions, again keeping in mind that each divisions approach to this will be tailored towards its intended potential clients. Each division will have dedicated websites operating under the JTB logo. With a track record available at all times via our servers, we can easily show others seeking a better marketing system, order processing, Web-based marketing, and special applications that JTB products perform as intended providing affordable long term results for our clients. 

6.1 Website Marketing Strategy

JTB will develop and manage as many industrial marketplaces as possible, seeking out niche marketing that drives customers to our industrial product and service sites. JTB will also embed itself into many other sites utilizing search engine technology, affiliate marketing programs, and paid banner ads.

As JTB will develop all of its sites and Internet-based applications internally, this will be done at a considerably lower overall cost that our competitors would spend to develop the same type of Web-based applications.

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Management Summary

President and Sales Manager
Mitchell R. Jeremy will play a key role in working closely with the software and application developers to create the products to be offered by the business development division. We will jointly create the needed sample applications and provide the necessary creative environment needed to complete the interactive products. During this time I will also work to develop a team of support associates and train these individuals in all phases of marketing, customer support, and product support. 

NOTE: Mitchell Jeremy’s salary is paid at the level of the holding company, JTB Technologies, Inc., and is not reflected in the plan for this Division.

7.1 Personnel Plan

Customer Support Associate/Manager – the customer support associate/manager will work in all areas of  sales, marketing and customer support, providing customer support while continually training to market new products.

Customer Support Associate – Part-time. The customer support associate will be available to cover the operating hours of the office when the manager is unavailable. This role will focus more on developing new clients while also providing customer support when needed. 

Sales and Marketing Associate – (Shared) The Sales and Marketing Associate will work in a sales role, new customer development and follow up marketing.

Application Developer (Full-time) – This employee will develop our products, create updates and provide any additional custom work when needed.

Assistant Application Developer/Quality Assurance Tester (Part-time) – This employee will assist in the development of certain modules of the standard integrated software package and be responsible for all QA testing, including maintaining a current bug list, processing feedback from other JTB employees, and from outside clients.

Web Developer – This is a full-time position, responsible for overseeing the creation of the company websites and for integrating the software package for use on the Intranet. The Web Developer will work with the App Developers to maintain database-driven content suitable for use in client demonstrations, as well as in day to day work at JTB’s different divisions.

Personnel Plan
Year 1 Year 2 Year 3 Year 4 Year 5
Developers Personnel
Application Developer $48,000 $50,000 $50,000 $50,000 $50,000
Part-time App Developer/QA Tester $10,800 $14,000 $14,000 $14,000 $14,000
Web Developer $36,000 $10,800 $10,800 $10,800 $10,800
Subtotal $94,800 $74,800 $74,800 $74,800 $74,800
Sales and Marketing Personnel
Customer Support Associate/ Manager $7,800 $33,000 $34,000 $34,000 $34,000
Customer Support Associate $3,600 $14,000 $16,000 $18,000 $20,000
(shared)Sales and Marketing Associate $1,700 $3,000 $3,000 $3,000 $3,000
Subtotal $13,100 $50,000 $53,000 $55,000 $57,000
General and Administrative Personnel
Name or Title $0 $0 $0 $0 $0
Other $0 $0 $0 $0 $0
Subtotal $0 $0 $0 $0 $0
Other Personnel
Name or Title $0 $0 $0 $0 $0
Other $0 $0 $0 $0 $0
Subtotal $0 $0 $0 $0 $0
Total People 6 6 6 6 6
Total Payroll $107,900 $124,800 $127,800 $129,800 $131,800

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Financial Plan

JTB’s financial plan is based on raising $225,000 by way of private equity to develop the Integrated Technologies Division of the corporation. To maintain Gross Margins of 36% or better, the Integrated Technologies division will develop, market and support  P.C.-based industrial sales applications and marketing portals.These products will be developed  in conjunction with input from our Industrial Sales, and Products and Services divisions, using our other divisions as a model and test bed. Our unique customer applications will help to speed the quotation and purchasing process of our 300,000 industrial products offered in our industrial divisions catalogs.

In just over one year, the Integrated Technologies Division will fully implement a large-scale Internet and catalog-based marketing program to develop its client base both locally and nationally.

We expect this division to show a net loss in the first two years, which will help to offset taxes on profits made by the other two divisions at the JTB Technologies level. The infrastructure built by this division will serve as a critical part of the daily operations of JTB Industrial Sales and JTB Products and Services beginning in month six. Given these benefits to the overall corporation, the long lead-time necessary for full software development is a worthwhile investment.

Important elements that will impact the financial plan include:

  1. How quickly the Industrial Sales division can pull its operations together, as this division will be situated within the same location as the other divisions. Management will have to develop and cross-train its sales teams as quickly as possible.
  2. While management is putting a lot of emphasis on the Internet based sales and marketing, we will initially implement a solid direct marketing plan with ads in many industrial magazines and websites.
  3. Although the business is a start-up company, the financial plan is solidly based on other software and application developers’ business profiles and cost structures. We have eliminated some corporate overhead expenses, such as warehouse and administrative costs, inventory penalties, and corporate nominal interest, as this division will carry only 1/3 of many of the normal operating expenses once established.

With all these factors considered, this division is capable of developing $443,000 in sales by year 5 of the plan. With tough financial planning, these financial goals will be fully realized when all aspects of the business divisions are in place, functioning as a complete corporation.

8.1 Important Assumptions

This plan is one part of a multi-division business plan providing details of each business segment for more accurate projections. For full forecasts, see the main plan (JTB Technologies, Inc.), which shows the overall development of the business in its entirety. Key assumptions around which we have developed this plan are as follows:

  1. Current business, banking, and economic trends continue to be stable.
  2. Customer buying trends and orders remain strong.
  3. Overhead and other external operating costs grow as projected.
  4. External outsourced costs grow as anticipated.
  5. Internet buying trends continue to grow in the industrial sector.

Note 8.1.1 Management has selected a quality networked accounting system with capabilities of having multiple businesses running while still offering full consolidation of the business for accounting purposes. This system is complete with project management capabilities and budgeting. As such, management will implement a budgeted approach for the projects while adjusting costs in JTB’s favor wherever possible.

All Profit and Loss forecasts in this plan include only the projections for the Industrial Products and Services Division . We suggest that each plan is reviewed, as each is quite different.

General Assumptions
Year 1 Year 2 Year 3 Year 4 Year 5
Plan Month 1 2 3 4 5
Current Interest Rate 10.00% 10.00% 10.00% 10.00% 10.00%
Long-term Interest Rate 10.00% 10.00% 10.00% 10.00% 10.00%
Tax Rate 0.00% 30.00% 30.00% 30.00% 30.00%
Other 0 0 0 0 0

8.2 Break-even Analysis

As a start-up software firm, JTB Integrated Technologies will not reach break-even until year 3, although we will control costs to maintain a positive cash balance with the initial funding throughout the first two years.

The initial goal is to bring the subscription based products and services to market within 10 months, and to fully develop the linked websites for affiliate development in the first year. We will also offer numerous well accepted industrial software products for resale.  What will set JTB apart from the other industrial entities is its ability for flexibility, expansion, and its individual divisions with key individuals all under one roof targeting each market segment JTB will pursue.

With this in mind, the goal is to build a solid base for the corporation with our primary products and services while continuing the development phase of our distribution software.

Database software business plan, financial plan chart image

Break-even Analysis
Monthly Revenue Break-even $5,518
Assumptions:
Average Percent Variable Cost 36%
Estimated Monthly Fixed Cost $3,509

8.3 Projected Profit and Loss

Please be sure to read note 8.1.1 in the Important Assumptions, section 8.1 regarding our Accounting system and methodology.

The Projected Profit and Loss table takes into consideration all of the basic operating expenses for the Integrated Technologies Division only. When management produced the table, we would have preferred to project a softer startup with more of a gradual expense growth as we added equipment and services. However, in software and Web development, up-front research and development expenses are significant. The plan does show a full depreciation schedule of relevant long-term assets.

One consideration not included in the Profit and Loss statement is the burden of management, and management’s output. Please remember when you do review the P&L, that the 3 JTB divisions will actually be operating under one roof; as such, management’s role will be to fill in, in all areas of production wherever needed to complete orders. Jeremy Mitchell will have primary management oversight ni the Integrated Technologies Division.

The Profit and Loss statement, below, includes an additional direct cost of sales in the fees paid to a contracted Graphic Designer, who will work with our developers to create the “look” of the software application UI and the JTB websites. We will keep this graphic artist on retainer to provide updates as we develop new and more customized versions of the software, and as we update the look and functionality of the website over the next five years.

Database software business plan, financial plan chart image

Database software business plan, financial plan chart image

Database software business plan, financial plan chart image

Database software business plan, financial plan chart image

Pro Forma Profit and Loss
Year 1 Year 2 Year 3 Year 4 Year 5
Sales $23,204 $199,948 $268,330 $331,797 $443,411
Direct Cost of Sales $8,448 $35,795 $55,219 $66,051 $90,527
Developers Payroll $94,800 $74,800 $74,800 $74,800 $74,800
Contracted Graphics Dvlpmnt for Software $4,500 $4,500 $4,500 $4,500 $4,500
Total Cost of Sales $107,748 $115,095 $134,519 $145,351 $169,827
Gross Margin ($84,544) $84,853 $133,811 $186,446 $273,584
Gross Margin % -364.35% 42.44% 49.87% 56.19% 61.70%
Operating Expenses
Sales and Marketing Expenses
Sales and Marketing Payroll $13,100 $50,000 $53,000 $55,000 $57,000
Advertising/Promotion $5,850 $7,200 $12,000 $12,000 $12,000
Other Sales and Marketing Expenses $0 $0 $0 $0 $0
Total Sales and Marketing Expenses $18,950 $57,200 $65,000 $67,000 $69,000
Sales and Marketing % 81.67% 28.61% 24.22% 20.19% 15.56%
General and Administrative Expenses
General and Administrative Payroll $0 $0 $0 $0 $0
Sales and Marketing and Other Expenses $3,000 $5,000 $12,000 $12,000 $16,000
Depreciation $996 $1,000 $1,000 $1,000 $1,000
Rent $9,000 $9,000 $9,000 $9,000 $9,000
Utilities $3,000 $3,000 $3,000 $3,000 $3,000
Insurance $4,200 $6,000 $6,000 $6,000 $6,000
Payroll Taxes $0 $0 $0 $0 $0
CPA: Accounting and Payroll $600 $600 $600 $600 $600
Off-site secure backup storage $360 $400 $400 $400 $400
Computer maintenance and software upgrades $2,000 $3,000 $4,000 $5,000 $6,000
Total General and Administrative Expenses $23,156 $28,000 $36,000 $37,000 $42,000
General and Administrative % 99.79% 14.00% 13.42% 11.15% 9.47%
Other Expenses:
Other Payroll $0 $0 $0 $0 $0
Consultants $0 $0 $0 $0 $0
Other Expenses $0 $0 $0 $0 $0
Total Other Expenses $0 $0 $0 $0 $0
Other % 0.00% 0.00% 0.00% 0.00% 0.00%
Total Operating Expenses $42,106 $85,200 $101,000 $104,000 $111,000
Profit Before Interest and Taxes ($126,650) ($347) $32,811 $82,446 $162,584
EBITDA ($125,654) $653 $33,811 $83,446 $163,584
Interest Expense $2,592 $2,374 $2,144 $1,914 $1,684
Taxes Incurred $0 $0 $9,200 $24,160 $48,270
Net Profit ($129,243) ($2,721) $21,467 $56,372 $112,630
Net Profit/Sales -556.99% -1.36% 8.00% 16.99% 25.40%

8.4 Projected Cash Flow

JTB’s projected cash flow reflects the business’ position to repay the initial investors and the long-term loan. Please remember when you review this table, it is for the Integrated Technologies Division only. This division will operate at a loss for the first two years in order to build a solid, integrated software package to support the other divisions and to serve as the basis for future customized software and hosting for outside clients.

As the cash flow projects only the base products described in the business plan, it’s highly probable JTB will be involved with more outsourced products in years 2 thru 5 furthering our potential profitability. After initial decreases due to development lead-time, the cash position shows strong positive growth.

The Cash Flow table reflects one possible exit strategy for initial investors. Early in year three, as the business is becoming profitable with a stabilized software offering, we may seek a second round of outside investment and pay out our initial investors, with a $70,000 increase over the initial investment. We are confident that we can achieve this buy-out rate given the desperate need for software such as ours, the benefit of which will be proven after the first two years.

Please review section 8.1 regarding the Important Assumptions to get a better feel for the explained projected cash flow. 

Database software business plan, financial plan chart image

Pro Forma Cash Flow
Year 1 Year 2 Year 3 Year 4 Year 5
Cash Received
Cash from Operations
Cash Sales $11,602 $99,974 $134,165 $165,899 $221,706
Cash from Receivables $5,871 $56,324 $117,277 $150,224 $194,140
Subtotal Cash from Operations $17,473 $156,298 $251,442 $316,123 $415,846
Additional Cash Received
Sales Tax, VAT, HST/GST Received $0 $0 $0 $0 $0
New Current Borrowing $0 $0 $0 $0 $0
New Other Liabilities (interest-free) $0 $0 $0 $0 $0
New Long-term Liabilities $0 $0 $0 $0 $0
Sales of Other Current Assets $0 $0 $0 $0 $0
Sales of Long-term Assets $0 $0 $0 $0 $0
New Investment Received $0 $0 $350,000 $0 $0
Subtotal Cash Received $17,473 $156,298 $601,442 $316,123 $415,846
Expenditures Year 1 Year 2 Year 3 Year 4 Year 5
Expenditures from Operations
Cash Spending $107,900 $124,800 $127,800 $129,800 $131,800
Bill Payments $38,265 $82,991 $119,715 $145,872 $198,976
Subtotal Spent on Operations $146,165 $207,791 $247,515 $275,672 $330,776
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0 $0 $0
Principal Repayment of Current Borrowing $0 $0 $0 $0 $0
Other Liabilities Principal Repayment $0 $0 $0 $0 $0
Long-term Liabilities Principal Repayment $2,262 $2,300 $2,300 $2,300 $2,300
Purchase Other Current Assets $0 $0 $0 $0 $0
Purchase Long-term Assets $0 $0 $0 $0 $0
Dividends $0 $0 $300,000 $20,000 $80,000
Subtotal Cash Spent $148,427 $210,091 $549,815 $297,972 $413,076
Net Cash Flow ($130,953) ($53,794) $51,627 $18,150 $2,770
Cash Balance $79,047 $25,253 $76,880 $95,030 $97,800

8.5 Projected Balance Sheet

JTB Integrated Technologies’s projected Balance Sheet shows the expected decrease in asset values (including cash reserves) over the two years, as we build, test, and establish our products and services. Once sales begin to pick up, we will make up this loss, reaching a strong net worth in year five.

Pro Forma Balance Sheet
Year 1 Year 2 Year 3 Year 4 Year 5
Assets
Current Assets
Cash $79,047 $25,253 $76,880 $95,030 $97,800
Accounts Receivable $5,731 $49,381 $66,269 $81,944 $109,509
Inventory $2,345 $9,935 $15,327 $18,952 $25,328
Other Current Assets $6,500 $6,500 $6,500 $6,500 $6,500
Total Current Assets $93,622 $91,069 $164,976 $202,426 $239,136
Long-term Assets
Long-term Assets $15,000 $15,000 $15,000 $15,000 $15,000
Accumulated Depreciation $996 $1,996 $2,996 $3,996 $4,996
Total Long-term Assets $14,004 $13,004 $12,004 $11,004 $10,004
Total Assets $107,626 $104,073 $176,980 $213,430 $249,140
Liabilities and Capital Year 1 Year 2 Year 3 Year 4 Year 5
Current Liabilities
Accounts Payable $6,631 $8,099 $11,838 $14,216 $19,596
Current Borrowing $0 $0 $0 $0 $0
Other Current Liabilities $0 $0 $0 $0 $0
Subtotal Current Liabilities $6,631 $8,099 $11,838 $14,216 $19,596
Long-term Liabilities $24,888 $22,588 $20,288 $17,988 $15,688
Total Liabilities $31,519 $30,687 $32,126 $32,204 $35,284
Paid-in Capital $225,000 $225,000 $575,000 $575,000 $575,000
Retained Earnings ($19,650) ($148,893) ($451,613) ($450,146) ($473,774)
Earnings ($129,243) ($2,721) $21,467 $56,372 $112,630
Total Capital $76,107 $73,387 $144,854 $181,226 $213,856
Total Liabilities and Capital $107,626 $104,073 $176,980 $213,430 $249,140
Net Worth $76,107 $73,387 $144,854 $181,226 $213,856

8.6 Business Ratios

JTB’s business ratios are compared to standard industry ratios for the Business-Oriented Computer Software industry. Our ratios differ in some areas, as the industry profiles most likely reflect a complete business with a full overhead. Our ratios are lighter in overhead and assets, as most of the heavy assets are in our Industrial Products and Services Division, and are not shown in this division’s balance sheet.

Our sales growth is substantially greater as we are adding new products and services each year to the plan, and our average Gross Margins reflect the time and expense invested up-front in the development of many of our products. Overall, we feel our ratios are better than the industry as we have maximized our marketing budgets and marketing avenues while keeping costs in check. Further maximization comes in the form of training the sales staff on maintaining profit-per-order levels when processing orders. Our unique order processing makes for streamlined repeat ordering by customers, further allowing our staff to process orders more efficiently, while reducing the internal costs.

Ratio Analysis
Year 1 Year 2 Year 3 Year 4 Year 5 Industry Profile
Sales Growth 0.00% 761.70% 34.20% 23.65% 33.64% 3.84%
Percent of Total Assets
Accounts Receivable 5.32% 47.45% 37.44% 38.39% 43.95% 18.43%
Inventory 2.18% 9.55% 8.66% 8.88% 10.17% 2.30%
Other Current Assets 6.04% 6.25% 3.67% 3.05% 2.61% 46.80%
Total Current Assets 86.99% 87.50% 93.22% 94.84% 95.98% 67.53%
Long-term Assets 13.01% 12.50% 6.78% 5.16% 4.02% 32.47%
Total Assets 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Current Liabilities 6.16% 7.78% 6.69% 6.66% 7.87% 33.10%
Long-term Liabilities 23.12% 21.70% 11.46% 8.43% 6.30% 15.52%
Total Liabilities 29.29% 29.49% 18.15% 15.09% 14.16% 48.62%
Net Worth 70.71% 70.51% 81.85% 84.91% 85.84% 51.38%
Percent of Sales
Sales 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Gross Margin -364.35% 42.44% 49.87% 56.19% 61.70% 100.00%
Selling, General & Administrative Expenses 26.60% 25.88% 19.21% 15.86% 12.27% 79.13%
Advertising Expenses 19.89% 18.89% 16.37% 14.26% 11.45% 1.27%
Profit Before Interest and Taxes -545.81% -0.17% 12.23% 24.85% 36.67% 1.63%
Main Ratios
Current 14.12 11.24 13.94 14.24 12.20 1.34
Quick 13.77 10.02 12.64 12.91 10.91 1.07
Total Debt to Total Assets 29.29% 29.49% 18.15% 15.09% 14.16% 57.52%
Pre-tax Return on Net Worth -169.82% -3.71% 21.17% 44.44% 75.24% 3.03%
Pre-tax Return on Assets -120.08% -2.61% 17.33% 37.73% 64.58% 7.13%
Additional Ratios Year 1 Year 2 Year 3 Year 4 Year 5
Net Profit Margin -556.99% -1.36% 8.00% 16.99% 25.40% n.a
Return on Equity -169.82% -3.71% 14.82% 31.11% 52.67% n.a
Activity Ratios
Accounts Receivable Turnover 2.02 2.02 2.02 2.02 2.02 n.a
Collection Days 39 101 157 163 158 n.a
Inventory Turnover 7.36 5.83 4.37 3.85 4.09 n.a
Accounts Payable Turnover 6.77 10.43 10.43 10.43 10.43 n.a
Payment Days 31 32 29 32 30 n.a
Total Asset Turnover 0.22 1.92 1.52 1.55 1.78 n.a
Debt Ratios
Debt to Net Worth 0.41 0.42 0.22 0.18 0.16 n.a
Current Liab. to Liab. 0.21 0.26 0.37 0.44 0.56 n.a
Liquidity Ratios
Net Working Capital $86,991 $82,971 $153,138 $188,210 $219,540 n.a
Interest Coverage -48.85 -0.15 15.31 43.08 96.56 n.a
Additional Ratios
Assets to Sales 4.64 0.52 0.66 0.64 0.56 n.a
Current Debt/Total Assets 6% 8% 7% 7% 8% n.a
Acid Test 12.90 3.92 7.04 7.14 5.32 n.a
Sales/Net Worth 0.30 2.72 1.85 1.83 2.07 n.a
Dividend Payout 0.00 0.00 13.97 0.35 0.71 n.a

8.7 Long-term Plan

JTB’s Integrated Technologies Divisions long term plan has been projected out to a 10 year review to highlight the businesses long term results, and the added potential of the channel partnerships. Additionally, the fourth and fifth year cash position can be shown for pay-out analysis of the initial investors, this plan also give a much better equity picture.

  1. Gross Sales over $600,000 by year 8 of this plan.
  2. Gross Margins over $270,000 by year 5 of this plan.
  3. Net Income over $100,000 by year 5 of this plan.
  4. Current Assets back up over $200,000 by year 5 of the plan.
  5. Equity of over $260,000 by year 8 of this plan.
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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
Interactive media site revenues 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,100 $1,600 $2,800
Custom Applications Revenue 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Existing Applications Revenue 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $774 $1,100 $1,850
Support Services Revenue 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $570 $910 $1,400
Distributed Resale Products 0% $0 $0 $0 $0 $0 $600 $600 $1,200 $1,800 $2,000 $2,200 $2,500
Distributor Partner Revenues 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Affitiate Revenue 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $200
Total Sales $0 $0 $0 $0 $0 $600 $600 $1,200 $1,800 $4,444 $5,810 $8,750
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
Interactive media site 20% $0 $0 $0 $0 $0 $0 $0 $0 $0 $220 $320 $560
Custom Applications 10% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Existing Applications 10% $0 $0 $0 $0 $0 $0 $0 $0 $0 $77 $110 $185
Support Services 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Distributed Resale Products 64% $0 $0 $0 $0 $0 $384 $384 $768 $1,152 $1,280 $1,408 $1,600
Subtotal Direct Cost of Sales $0 $0 $0 $0 $0 $384 $384 $768 $1,152 $1,577 $1,838 $2,345
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
Developers Personnel
Application Developer $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000
Part-time App Developer/QA Tester $0 $0 $0 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200
Web Developer $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000
Subtotal $7,000 $7,000 $7,000 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200
Sales and Marketing Personnel
Customer Support Associate/ Manager $0 $0 $0 $0 $0 $0 $0 $0 $0 $2,600 $2,600 $2,600
Customer Support Associate $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,200 $1,200 $1,200
(shared)Sales and Marketing Associate $0 $0 $0 $0 $0 $0 $0 $0 $0 $250 $250 $1,200
Subtotal $0 $0 $0 $0 $0 $0 $0 $0 $0 $4,050 $4,050 $5,000
General and Administrative Personnel
Name or Title $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
Subtotal $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Personnel
Name or Title $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
Subtotal $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total People 3 3 3 3 3 3 3 3 3 6 6 6
Total Payroll $7,000 $7,000 $7,000 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $12,250 $12,250 $13,200

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 Tax Rate 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00%
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 $0 $0 $0 $600 $600 $1,200 $1,800 $4,444 $5,810 $8,750
Direct Cost of Sales $0 $0 $0 $0 $0 $384 $384 $768 $1,152 $1,577 $1,838 $2,345
Developers Payroll $7,000 $7,000 $7,000 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200
Contracted Graphics Dvlpmnt for Software $0 $0 $450 $450 $450 $450 $450 $450 $450 $450 $450 $450
Total Cost of Sales $7,000 $7,000 $7,450 $8,650 $8,650 $9,034 $9,034 $9,418 $9,802 $10,227 $10,488 $10,995
Gross Margin ($7,000) ($7,000) ($7,450) ($8,650) ($8,650) ($8,434) ($8,434) ($8,218) ($8,002) ($5,783) ($4,678) ($2,245)
Gross Margin % 0.00% 0.00% 0.00% 0.00% 0.00% -1405.67% -1405.67% -684.83% -444.56% -130.14% -80.52% -25.66%
Operating Expenses
Sales and Marketing Expenses
Sales and Marketing Payroll $0 $0 $0 $0 $0 $0 $0 $0 $0 $4,050 $4,050 $5,000
Advertising/Promotion $450 $450 $450 $500 $500 $500 $500 $500 $500 $500 $500 $500
Other Sales and Marketing Expenses $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Sales and Marketing Expenses $450 $450 $450 $500 $500 $500 $500 $500 $500 $4,550 $4,550 $5,500
Sales and Marketing % 0.00% 0.00% 0.00% 0.00% 0.00% 83.33% 83.33% 41.67% 27.78% 102.39% 78.31% 62.86%
General and Administrative Expenses
General and Administrative Payroll $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales and Marketing and Other Expenses $0 $0 $0 $0 $0 $0 $500 $500 $500 $500 $500 $500
Depreciation $83 $83 $83 $83 $83 $83 $83 $83 $83 $83 $83 $83
Rent $750 $750 $750 $750 $750 $750 $750 $750 $750 $750 $750 $750
Utilities $250 $250 $250 $250 $250 $250 $250 $250 $250 $250 $250 $250
Insurance $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350
Payroll Taxes 15% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
CPA: Accounting and Payroll $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50 $50
Off-site secure backup storage 15% $30 $30 $30 $30 $30 $30 $30 $30 $30 $30 $30 $30
Computer maintenance and software upgrades $0 $0 $0 $0 $0 $2,000 $0 $0 $0 $0 $0 $0
Total General and Administrative Expenses $1,513 $1,513 $1,513 $1,513 $1,513 $3,513 $2,013 $2,013 $2,013 $2,013 $2,013 $2,013
General and Administrative % 0.00% 0.00% 0.00% 0.00% 0.00% 585.50% 335.50% 167.75% 111.83% 45.30% 34.65% 23.01%
Other Expenses:
Other Payroll $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Consultants $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Expenses $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Other Expenses $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other % 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
Total Operating Expenses $1,963 $1,963 $1,963 $2,013 $2,013 $4,013 $2,513 $2,513 $2,513 $6,563 $6,563 $7,513
Profit Before Interest and Taxes ($8,963) ($8,963) ($9,413) ($10,663) ($10,663) ($12,447) ($10,947) ($10,731) ($10,515) ($12,346) ($11,241) ($9,758)
EBITDA ($8,880) ($8,880) ($9,330) ($10,580) ($10,580) ($12,364) ($10,864) ($10,648) ($10,432) ($12,263) ($11,158) ($9,675)
Interest Expense $225 $223 $222 $220 $218 $217 $215 $214 $212 $211 $209 $207
Taxes Incurred $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Net Profit ($9,188) ($9,186) ($9,635) ($10,883) ($10,881) ($12,664) ($11,162) ($10,945) ($10,727) ($12,557) ($11,450) ($9,965)
Net Profit/Sales 0.00% 0.00% 0.00% 0.00% 0.00% -2110.64% -1860.38% -912.06% -595.95% -282.56% -197.07% -113.89%

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 $300 $300 $600 $900 $2,222 $2,905 $4,375
Cash from Receivables $0 $0 $0 $0 $0 $0 $160 $300 $460 $760 $1,605 $2,586
Subtotal Cash from Operations $0 $0 $0 $0 $0 $300 $460 $900 $1,360 $2,982 $4,510 $6,961
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 $0 $0 $0 $0 $0 $300 $460 $900 $1,360 $2,982 $4,510 $6,961
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 $7,000 $7,000 $7,000 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $12,250 $12,250 $13,200
Bill Payments $0 $1,824 $2,103 $2,492 $2,594 $2,599 $4,330 $3,512 $4,041 $4,564 $5,031 $5,175
Subtotal Spent on Operations $7,000 $8,824 $9,103 $10,692 $10,794 $10,799 $12,530 $11,712 $12,241 $16,814 $17,281 $18,375
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 $189 $189 $189 $189 $189 $189 $189 $189 $189 $189 $189 $189
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 $7,189 $9,013 $9,292 $10,880 $10,982 $10,987 $12,719 $11,901 $12,429 $17,003 $17,470 $18,564
Net Cash Flow ($7,189) ($9,013) ($9,292) ($10,880) ($10,982) ($10,687) ($12,259) ($11,001) ($11,069) ($14,021) ($12,960) ($11,602)
Cash Balance $202,812 $193,799 $184,507 $173,627 $162,645 $151,958 $139,699 $128,698 $117,629 $103,609 $90,649 $79,047
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 $210,000 $202,812 $193,799 $184,507 $173,627 $162,645 $151,958 $139,699 $128,698 $117,629 $103,609 $90,649 $79,047
Accounts Receivable $0 $0 $0 $0 $0 $0 $300 $440 $740 $1,180 $2,642 $3,942 $5,731
Inventory $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $616 $482 $768 $1,152 $1,577 $1,838 $2,345
Other Current Assets $6,500 $6,500 $6,500 $6,500 $6,500 $6,500 $6,500 $6,500 $6,500 $6,500 $6,500 $6,500 $6,500
Total Current Assets $217,500 $210,312 $201,299 $192,007 $181,127 $170,145 $159,374 $147,121 $136,706 $126,461 $114,328 $102,929 $93,622
Long-term Assets
Long-term Assets $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 $15,000
Accumulated Depreciation $0 $83 $166 $249 $332 $415 $498 $581 $664 $747 $830 $913 $996
Total Long-term Assets $15,000 $14,917 $14,834 $14,751 $14,668 $14,585 $14,502 $14,419 $14,336 $14,253 $14,170 $14,087 $14,004
Total Assets $232,500 $225,229 $216,133 $206,758 $195,795 $184,730 $173,876 $161,540 $151,042 $140,714 $128,498 $117,016 $107,626
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 $2,105 $2,384 $2,832 $2,940 $2,945 $4,943 $3,958 $4,594 $5,181 $5,710 $5,867 $6,631
Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Current Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Current Liabilities $0 $2,105 $2,384 $2,832 $2,940 $2,945 $4,943 $3,958 $4,594 $5,181 $5,710 $5,867 $6,631
Long-term Liabilities $27,150 $26,962 $26,773 $26,585 $26,396 $26,208 $26,019 $25,831 $25,642 $25,454 $25,265 $25,077 $24,888
Total Liabilities $27,150 $29,066 $29,157 $29,416 $29,336 $29,153 $30,962 $29,789 $30,236 $30,635 $30,975 $30,943 $31,519
Paid-in Capital $225,000 $225,000 $225,000 $225,000 $225,000 $225,000 $225,000 $225,000 $225,000 $225,000 $225,000 $225,000 $225,000
Retained Earnings ($19,650) ($19,650) ($19,650) ($19,650) ($19,650) ($19,650) ($19,650) ($19,650) ($19,650) ($19,650) ($19,650) ($19,650) ($19,650)
Earnings $0 ($9,188) ($18,374) ($28,008) ($38,891) ($49,773) ($62,437) ($73,599) ($84,543) ($95,271) ($107,828) ($119,277) ($129,243)
Total Capital $205,350 $196,162 $186,976 $177,342 $166,459 $155,577 $142,913 $131,751 $120,807 $110,079 $97,522 $86,073 $76,107
Total Liabilities and Capital $232,500 $225,229 $216,133 $206,758 $195,795 $184,730 $173,876 $161,540 $151,042 $140,714 $128,498 $117,016 $107,626
Net Worth $205,350 $196,162 $186,976 $177,342 $166,459 $155,577 $142,913 $131,751 $120,807 $110,079 $97,522 $86,073 $76,107

Long-term
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Sales $23,204 $199,948 $268,330 $331,797 $443,411 $546,335 $570,335 $602,279 $650,462 $679,732
Cost of Sales $107,748 $115,095 $134,519 $145,351 $169,827 $209,246 $218,438 $230,673 $249,127 $260,337
Gross Margin ($84,544) $84,853 $133,811 $186,446 $273,584 $337,089 $351,897 $371,606 $401,335 $419,395
Gross Margin % -364.35% 42.44% 49.87% 56.19% 61.70% 61.70% 61.70% 61.70% 61.70% 61.70%
Operating Expenses $42,106 $85,200 $101,000 $104,000 $111,000 $139,320 $143,499 $147,087 $150,028 $154,529
Operating Income ($126,650) ($347) $32,811 $82,446 $162,584 $197,769 $208,398 $224,519 $251,307 $264,866
Net Income ($129,243) ($2,721) $21,467 $56,372 $112,630 $153,965 $160,286 $204,048 $233,290 $250,059
Current Assets $93,622 $91,069 $164,976 $202,426 $239,136 $263,049 $289,354 $318,290 $350,119 $385,131
Long-term Assets $14,004 $13,004 $12,004 $11,004 $10,004 $18,004 $15,004 $12,004 $9,004 $6,004
Current Liabilities $6,631 $8,099 $11,838 $14,216 $19,596 $31,120 $33,659 $23,859 $25,851 $27,537
Long-term Liabilities $24,888 $22,588 $20,288 $17,988 $15,688 $13,388 $11,088 $8,788 $6,488 $4,188
Equity $76,107 $73,387 $144,854 $181,226 $213,856 $236,545 $259,611 $297,647 $326,784 $359,410

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