Shaw's Records Management and Data Storage
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 | |||||||||||||
| Storage | 0% | $0 | $15,000 | $20,000 | $27,000 | $36,000 | $43,000 | $50,000 | $50,000 | $60,000 | $65,000 | $70,000 | $70,000 |
| Storage Materials | 0% | $0 | $2,000 | $3,000 | $5,000 | $8,000 | $10,000 | $13,000 | $15,000 | $18,000 | $20,000 | $23,000 | $21,000 |
| Other | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Sales | $0 | $17,000 | $23,000 | $32,000 | $44,000 | $53,000 | $63,000 | $65,000 | $78,000 | $85,000 | $93,000 | $91,000 | |
| 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 | |
| Storage | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Storage Materials | $0 | $1,000 | $1,500 | $2,500 | $4,000 | $5,000 | $6,500 | $7,500 | $9,000 | $10,000 | $11,500 | $1,050 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Direct Cost of Sales | $0 | $1,000 | $1,500 | $2,500 | $4,000 | $5,000 | $6,500 | $7,500 | $9,000 | $10,000 | $11,500 | $1,050 | |
| 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 | ||
| Martin Shaw | 0% | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 |
| Facility Manager | 0% | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 |
| Security Manager | 0% | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 |
| Customer Service Manager | 0% | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 |
| Facility Staff | 0% | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 |
| Security Staff | 0% | $3,200 | $3,200 | $3,200 | $3,200 | $3,200 | $3,200 | $3,200 | $3,200 | $3,200 | $3,200 | $3,200 | $3,200 |
| Customer Service Staff | 0% | $3,400 | $3,400 | $3,400 | $3,400 | $3,400 | $3,400 | $3,400 | $3,400 | $3,400 | $3,400 | $3,400 | $3,400 |
| Sales Staff | 0% | $6,000 | $6,000 | $6,000 | $6,000 | $6,000 | $6,000 | $6,000 | $6,000 | $6,000 | $6,000 | $6,000 | $6,000 |
| Total People | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | |
| Total Payroll | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | |
| 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% | 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 | $17,000 | $23,000 | $32,000 | $44,000 | $53,000 | $63,000 | $65,000 | $78,000 | $85,000 | $93,000 | $91,000 | |
| Direct Cost of Sales | $0 | $1,000 | $1,500 | $2,500 | $4,000 | $5,000 | $6,500 | $7,500 | $9,000 | $10,000 | $11,500 | $1,050 | |
| Other Production Expenses | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $0 | $1,000 | $1,500 | $2,500 | $4,000 | $5,000 | $6,500 | $7,500 | $9,000 | $10,000 | $11,500 | $1,050 | |
| Gross Margin | $0 | $16,000 | $21,500 | $29,500 | $40,000 | $48,000 | $56,500 | $57,500 | $69,000 | $75,000 | $81,500 | $89,950 | |
| Gross Margin % | 0.00% | 94.12% | 93.48% | 92.19% | 90.91% | 90.57% | 89.68% | 88.46% | 88.46% | 88.24% | 87.63% | 98.85% | |
| Expenses | |||||||||||||
| Payroll | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | |
| Sales and Marketing and Other Expenses | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | |
| Depreciation | $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 | |
| Utilities | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
| Insurance | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
| Rent | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | |
| Payroll Taxes | 15% | $4,815 | $4,815 | $4,815 | $4,815 | $4,815 | $4,815 | $4,815 | $4,815 | $4,815 | $4,815 | $4,815 | $4,815 |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Operating Expenses | $46,915 | $46,915 | $46,915 | $46,915 | $46,915 | $46,915 | $46,915 | $46,915 | $46,915 | $46,915 | $46,915 | $46,915 | |
| Profit Before Interest and Taxes | ($46,915) | ($30,915) | ($25,415) | ($17,415) | ($6,915) | $1,085 | $9,585 | $10,585 | $22,085 | $28,085 | $34,585 | $43,035 | |
| EBITDA | ($46,915) | ($30,915) | ($25,415) | ($17,415) | ($6,915) | $1,085 | $9,585 | $10,585 | $22,085 | $28,085 | $34,585 | $43,035 | |
| Interest Expense | $1,229 | $1,208 | $1,188 | $1,167 | $1,146 | $1,125 | $1,104 | $1,083 | $1,063 | $1,042 | $1,021 | $1,000 | |
| Taxes Incurred | ($14,443) | ($9,637) | ($7,981) | ($5,575) | ($2,418) | ($12) | $2,544 | $2,850 | $6,307 | $8,113 | $10,069 | $12,611 | |
| Net Profit | ($33,701) | ($22,486) | ($18,622) | ($13,007) | ($5,643) | ($28) | $5,937 | $6,651 | $14,716 | $18,930 | $23,495 | $29,425 | |
| Net Profit/Sales | 0.00% | -132.27% | -80.96% | -40.65% | -12.82% | -0.05% | 9.42% | 10.23% | 18.87% | 22.27% | 25.26% | 32.33% | |
| 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 | $4,250 | $5,750 | $8,000 | $11,000 | $13,250 | $15,750 | $16,250 | $19,500 | $21,250 | $23,250 | $22,750 | |
| Cash from Receivables | $0 | $0 | $425 | $12,900 | $17,475 | $24,300 | $33,225 | $40,000 | $47,300 | $49,075 | $58,675 | $63,950 | |
| Subtotal Cash from Operations | $0 | $4,250 | $6,175 | $20,900 | $28,475 | $37,550 | $48,975 | $56,250 | $66,800 | $70,325 | $81,925 | $86,700 | |
| 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 | $15,000 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Cash Received | $0 | $4,250 | $6,175 | $20,900 | $28,475 | $52,550 | $48,975 | $56,250 | $66,800 | $70,325 | $81,925 | $86,700 | |
| 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 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | $32,100 | |
| Bill Payments | $53 | $1,794 | $7,458 | $9,635 | $13,062 | $17,655 | $21,063 | $25,006 | $26,413 | $31,277 | $34,084 | $37,141 | |
| Subtotal Spent on Operations | $32,153 | $33,894 | $39,558 | $41,735 | $45,162 | $49,755 | $53,163 | $57,106 | $58,513 | $63,377 | $66,184 | $69,241 | |
| 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 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | |
| 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 | $34,653 | $36,394 | $42,058 | $44,235 | $47,662 | $52,255 | $55,663 | $59,606 | $61,013 | $65,877 | $68,684 | $71,741 | |
| Net Cash Flow | ($34,653) | ($32,144) | ($35,883) | ($23,335) | ($19,187) | $295 | ($6,688) | ($3,356) | $5,787 | $4,448 | $13,241 | $14,959 | |
| Cash Balance | $122,747 | $90,603 | $54,720 | $31,386 | $12,199 | $12,494 | $5,806 | $2,450 | $8,237 | $12,684 | $25,925 | $40,884 | |
| 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 | $157,400 | $122,747 | $90,603 | $54,720 | $31,386 | $12,199 | $12,494 | $5,806 | $2,450 | $8,237 | $12,684 | $25,925 | $40,884 |
| Accounts Receivable | $0 | $0 | $12,750 | $29,575 | $40,675 | $56,200 | $71,650 | $85,675 | $94,425 | $105,625 | $120,300 | $131,375 | $135,675 |
| Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Current Assets | $157,400 | $122,747 | $103,353 | $84,295 | $72,061 | $68,399 | $84,144 | $91,481 | $96,875 | $113,862 | $132,984 | $157,300 | $176,559 |
| 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 | $157,400 | $122,747 | $103,353 | $84,295 | $72,061 | $68,399 | $84,144 | $91,481 | $96,875 | $113,862 | $132,984 | $157,300 | $176,559 |
| 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 | $1,548 | $7,140 | $9,204 | $12,477 | $16,958 | $20,230 | $24,131 | $25,374 | $30,145 | $32,837 | $36,158 | $28,493 |
| 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 | $1,548 | $7,140 | $9,204 | $12,477 | $16,958 | $20,230 | $24,131 | $25,374 | $30,145 | $32,837 | $36,158 | $28,493 |
| Long-term Liabilities | $150,000 | $147,500 | $145,000 | $142,500 | $140,000 | $137,500 | $135,000 | $132,500 | $130,000 | $127,500 | $125,000 | $122,500 | $120,000 |
| Total Liabilities | $150,000 | $149,048 | $152,140 | $151,704 | $152,477 | $154,458 | $155,230 | $156,631 | $155,374 | $157,645 | $157,837 | $158,658 | $148,493 |
| Paid-in Capital | $350,000 | $350,000 | $350,000 | $350,000 | $350,000 | $350,000 | $365,000 | $365,000 | $365,000 | $365,000 | $365,000 | $365,000 | $365,000 |
| Retained Earnings | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) | ($342,600) |
| Earnings | $0 | ($33,701) | ($56,187) | ($74,809) | ($87,816) | ($93,459) | ($93,487) | ($87,550) | ($80,899) | ($66,183) | ($47,253) | ($23,758) | $5,666 |
| Total Capital | $7,400 | ($26,301) | ($48,787) | ($67,409) | ($80,416) | ($86,059) | ($71,087) | ($65,150) | ($58,499) | ($43,783) | ($24,853) | ($1,358) | $28,066 |
| Total Liabilities and Capital | $157,400 | $122,747 | $103,353 | $84,295 | $72,061 | $68,399 | $84,144 | $91,481 | $96,875 | $113,862 | $132,984 | $157,300 | $176,559 |
| Net Worth | $7,400 | ($26,301) | ($48,787) | ($67,409) | ($80,416) | ($86,059) | ($71,087) | ($65,150) | ($58,499) | ($43,783) | ($24,853) | ($1,358) | $28,067 |
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