The financial plan contains these essential factors:
Difficulties and Risks:
The following assumptions will determine the potential for future success.
The following chart and table summarize our break-even analysis. We don't really expect to reach break-even until a few months into the business operation. We will be charging $4.00 for a bucket of balls and we speculate that if for every two buckets of balls purchased we sell one drink at a cost of $2.00 we will have an average cost per unit of 25%.
The following represents the projected profit and loss for Emerald Driving Range based on sales and expense projections for 2004 and beyond.
The cash flow projections are outlined below. Again, these projections are based on our basic assumptions with revenue generation factors carrying the most significant weight regarding the outcome.
Emerald Driving Range's balance sheet is outlined below.
Business Ratios for the years of this plan are shown below. Industry profile ratios based on the Standard Industrial Classification (SIC) code 7999-0202 Driving Ranges are shown for comparison. The following will enable us to keep on track. If we fail in any of these areas, we will need to re-evaluate our business model.