The Scarlet Tassel
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 | |||||||||||||
Revenue | 0% | $8,000 | $32,000 | $46,000 | $54,000 | $58,000 | $66,000 | $71,000 | $49,000 | $61,000 | $59,000 | $41,000 | $44,000 |
Other | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Total Sales | $8,000 | $32,000 | $46,000 | $54,000 | $58,000 | $66,000 | $71,000 | $49,000 | $61,000 | $59,000 | $41,000 | $44,000 | |
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 | |
Inventory | $2,960 | $11,840 | $17,020 | $19,980 | $21,460 | $24,420 | $26,270 | $18,130 | $22,570 | $21,830 | $15,170 | $16,280 | |
Inbound Freight | $640 | $2,560 | $3,680 | $4,320 | $4,640 | $5,280 | $5,680 | $3,920 | $4,880 | $4,720 | $3,280 | $3,520 | |
Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Direct Cost of Sales | $3,600 | $14,400 | $20,700 | $24,300 | $26,100 | $29,700 | $31,950 | $22,050 | $27,450 | $26,550 | $18,450 | $19,800 |
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 | ||
Co-Owner/Manager–Merchandising & Marketing | 0% | $834 | $834 | $834 | $834 | $834 | $1,667 | $1,667 | $2,500 | $2,500 | $3,334 | $3,334 | $3,334 |
Co-Owner/Manager–Operations & Finance | 0% | $834 | $834 | $834 | $834 | $834 | $1,667 | $1,667 | $2,500 | $2,500 | $3,334 | $3,334 | $3,334 |
Full-Time Sales Associate / Manager Trainee | 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 |
Full-Time Sales Associate | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Part-Time Sales Associate | 0% | $1,286 | $1,329 | $1,286 | $1,329 | $1,329 | $1,286 | $1,329 | $1,286 | $1,329 | $1,329 | $1,329 | $1,329 |
Part-Time Sales Associate | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Part-Time Sales Associate / Holiday Temp | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $1,196 | $1,157 | $1,196 | $0 | $0 | $0 |
Total People | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | |
Total Payroll | $5,454 | $5,497 | $5,454 | $5,497 | $5,497 | $7,120 | $8,359 | $9,943 | $10,025 | $10,497 | $10,497 | $10,497 |
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 | $8,000 | $32,000 | $46,000 | $54,000 | $58,000 | $66,000 | $71,000 | $49,000 | $61,000 | $59,000 | $41,000 | $44,000 | |
Subtotal Cash from Operations | $8,000 | $32,000 | $46,000 | $54,000 | $58,000 | $66,000 | $71,000 | $49,000 | $61,000 | $59,000 | $41,000 | $44,000 | |
Additional Cash Received | |||||||||||||
Sales Tax, VAT, HST/GST Received | 7.00% | $560 | $2,240 | $3,220 | $3,780 | $4,060 | $4,620 | $4,970 | $3,430 | $4,270 | $4,130 | $2,870 | $3,080 |
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 | $8,560 | $34,240 | $49,220 | $57,780 | $62,060 | $70,620 | $75,970 | $52,430 | $65,270 | $63,130 | $43,870 | $47,080 | |
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 | $20,364 | $27,214 | $50,703 | $49,872 | $54,110 | $56,846 | $62,008 | $37,752 | $59,818 | $53,262 | $38,113 | $49,621 | |
Bill Payments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Subtotal Spent on Operations | $20,364 | $27,214 | $50,703 | $49,872 | $54,110 | $56,846 | $62,008 | $37,752 | $59,818 | $53,262 | $38,113 | $49,621 | |
Additional Cash Spent | |||||||||||||
Sales Tax, VAT, HST/GST Paid Out | $560 | $2,240 | $3,220 | $3,780 | $4,060 | $4,620 | $4,970 | $3,430 | $4,270 | $4,130 | $2,870 | $3,080 | |
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 | $0 | $1,203 | $1,214 | $1,225 | $1,235 | $1,246 | $1,257 | $1,268 | $1,279 | $1,290 | $1,302 | $1,313 | |
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 | $20,924 | $30,657 | $55,137 | $54,877 | $59,405 | $62,712 | $68,235 | $42,451 | $65,367 | $58,682 | $42,285 | $54,014 | |
Net Cash Flow | ($12,364) | $3,583 | ($5,917) | $2,903 | $2,655 | $7,908 | $7,735 | $9,979 | ($97) | $4,448 | $1,585 | ($6,934) | |
Cash Balance | $15,734 | $19,316 | $13,400 | $16,303 | $18,958 | $26,866 | $34,601 | $44,580 | $44,484 | $48,932 | $50,517 | $43,583 |
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 | $8,000 | $32,000 | $46,000 | $54,000 | $58,000 | $66,000 | $71,000 | $49,000 | $61,000 | $59,000 | $41,000 | $44,000 | |
Direct Cost of Sales | $3,600 | $14,400 | $20,700 | $24,300 | $26,100 | $29,700 | $31,950 | $22,050 | $27,450 | $26,550 | $18,450 | $19,800 | |
Other Production Expenses | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Total Cost of Sales | $3,600 | $14,400 | $20,700 | $24,300 | $26,100 | $29,700 | $31,950 | $22,050 | $27,450 | $26,550 | $18,450 | $19,800 | |
Gross Margin | $4,400 | $17,600 | $25,300 | $29,700 | $31,900 | $36,300 | $39,050 | $26,950 | $33,550 | $32,450 | $22,550 | $24,200 | |
Gross Margin % | 55.00% | 55.00% | 55.00% | 55.00% | 55.00% | 55.00% | 55.00% | 55.00% | 55.00% | 55.00% | 55.00% | 55.00% | |
Expenses | |||||||||||||
Payroll | $5,454 | $5,497 | $5,454 | $5,497 | $5,497 | $7,120 | $8,359 | $9,943 | $10,025 | $10,497 | $10,497 | $10,497 | |
Travel | $0 | $1,000 | $2,200 | $0 | $2,300 | $0 | $2,400 | $0 | $0 | $0 | $2,000 | $0 | |
Depreciation | $1,644 | $1,644 | $1,644 | $1,644 | $1,644 | $1,644 | $1,644 | $1,644 | $1,644 | $1,644 | $1,644 | $1,644 | |
Dues & Subscriptions | $122 | $0 | $0 | $234 | $0 | $0 | $175 | $0 | $0 | $198 | $0 | $0 | |
Entertainment | $175 | $0 | $0 | $175 | $0 | $0 | $175 | $0 | $0 | $175 | $0 | $0 | |
Insurance | $550 | $182 | $182 | $182 | $182 | $182 | $182 | $182 | $182 | $182 | $182 | $182 | |
Marketing and Advertising | $2,225 | $6,263 | $2,763 | $2,763 | $4,763 | $2,763 | $2,763 | $3,263 | $2,763 | $2,763 | $2,763 | $3,263 | |
Merchant Fees | 3% | $160 | $640 | $920 | $1,080 | $1,160 | $1,320 | $1,420 | $980 | $1,220 | $1,180 | $820 | $880 |
Miscellaneous | $111 | $111 | $111 | $233 | $681 | $111 | $233 | $111 | $111 | $233 | $111 | $111 | |
Outbound Freight | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | |
Rent | $8,166 | $8,166 | $8,166 | $8,166 | $8,166 | $8,166 | $8,166 | $8,166 | $8,166 | $8,166 | $8,166 | $8,166 | |
Repairs & Maintenance | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | |
Supplies–Office, POS, Giftwrap, Packaging | $170 | $179 | $187 | $197 | $207 | $217 | $228 | $239 | $251 | $264 | $277 | $291 | |
Taxes–Other and Licenses | $120 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $275 | $0 | $1,200 | |
Telephone and Utilities | $843 | $843 | $843 | $843 | $843 | $843 | $843 | $843 | $843 | $843 | $843 | $843 | |
Payroll Taxes | 15% | $818 | $825 | $818 | $825 | $825 | $1,068 | $1,254 | $1,491 | $1,504 | $1,575 | $1,575 | $1,575 |
Other | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | |
Total Operating Expenses | $20,958 | $25,748 | $23,688 | $22,238 | $26,667 | $23,833 | $28,241 | $27,262 | $27,108 | $28,394 | $29,277 | $29,051 | |
Profit Before Interest and Taxes | ($16,558) | ($8,148) | $1,612 | $7,462 | $5,233 | $12,467 | $10,809 | ($312) | $6,442 | $4,056 | ($6,727) | ($4,851) | |
EBITDA | ($14,914) | ($6,505) | $3,256 | $9,106 | $6,877 | $14,111 | $12,453 | $1,332 | $8,086 | $5,700 | ($5,083) | ($3,207) | |
Interest Expense | $1,050 | $1,039 | $1,029 | $1,018 | $1,007 | $996 | $985 | $974 | $963 | $952 | $940 | $929 | |
Taxes Incurred | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
Net Profit | ($17,608) | ($9,188) | $583 | $6,444 | $4,226 | $11,470 | $9,824 | ($1,286) | $5,479 | $3,105 | ($7,667) | ($5,780) | |
Net Profit/Sales | -220.10% | -28.71% | 1.27% | 11.93% | 7.29% | 17.38% | 13.84% | -2.63% | 8.98% | 5.26% | -18.70% | -13.14% |
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 | $28,098 | $15,734 | $19,316 | $13,400 | $16,303 | $18,958 | $26,866 | $34,601 | $44,580 | $44,484 | $48,932 | $50,517 | $43,583 |
Inventory | $31,770 | $28,170 | $15,840 | $22,770 | $26,730 | $28,710 | $32,670 | $35,145 | $24,255 | $30,195 | $29,205 | $20,295 | $21,780 |
Other Current Assets | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 |
Total Current Assets | $62,868 | $46,904 | $38,156 | $39,170 | $46,033 | $50,668 | $62,536 | $72,746 | $71,835 | $77,679 | $81,137 | $73,812 | $68,363 |
Long-term Assets | |||||||||||||
Long-term Assets | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 | $83,775 |
Accumulated Depreciation | $0 | $1,644 | $3,288 | $4,932 | $6,575 | $8,219 | $9,863 | $11,507 | $13,151 | $14,795 | $16,438 | $18,082 | $19,726 |
Total Long-term Assets | $83,775 | $82,131 | $80,487 | $78,843 | $77,200 | $75,556 | $73,912 | $72,268 | $70,624 | $68,980 | $67,337 | $65,693 | $64,049 |
Total Assets | $146,643 | $129,035 | $118,644 | $118,013 | $123,233 | $126,223 | $136,447 | $145,014 | $142,460 | $146,659 | $148,473 | $139,504 | $132,412 |
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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Long-term Liabilities | $120,000 | $120,000 | $118,797 | $117,583 | $116,358 | $115,123 | $113,876 | $112,619 | $111,351 | $110,072 | $108,782 | $107,480 | $106,167 |
Total Liabilities | $120,000 | $120,000 | $118,797 | $117,583 | $116,358 | $115,123 | $113,876 | $112,619 | $111,351 | $110,072 | $108,782 | $107,480 | $106,167 |
Paid-in Capital | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 |
Retained Earnings | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) | ($23,357) |
Earnings | $0 | ($17,608) | ($26,796) | ($26,213) | ($19,768) | ($15,542) | ($4,072) | $5,752 | $4,465 | $9,944 | $13,049 | $5,381 | ($398) |
Total Capital | $26,643 | $9,035 | ($153) | $430 | $6,875 | $11,101 | $22,571 | $32,395 | $31,108 | $36,587 | $39,692 | $32,024 | $26,245 |
Total Liabilities and Capital | $146,643 | $129,035 | $118,644 | $118,013 | $123,233 | $126,223 | $136,447 | $145,014 | $142,460 | $146,659 | $148,473 | $139,504 | $132,412 |
Net Worth | $26,643 | $9,035 | ($153) | $430 | $6,875 | $11,101 | $22,571 | $32,395 | $31,108 | $36,587 | $39,692 | $32,024 | $26,245 |