Hamlin and Park Design
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 | |||||||||||||
| Remodeling Projects | 0% | $2,100 | $2,200 | $3,020 | $6,000 | $8,500 | $12,000 | $14,000 | $18,000 | $10,022 | $5,210 | $3,820 | $2,800 |
| New Home Construction | 0% | $0 | $0 | $2,000 | $3,000 | $4,000 | $5,000 | $7,000 | $8,000 | $5,000 | $3,000 | $2,000 | $2,000 |
| Interior Design of Existing Home | 0% | $3,000 | $3,000 | $4,240 | $6,300 | $9,000 | $11,000 | $14,000 | $17,000 | $13,000 | $4,322 | $3,222 | $2,655 |
| Total Sales | $5,100 | $5,200 | $9,260 | $15,300 | $21,500 | $28,000 | $35,000 | $43,000 | $28,022 | $12,532 | $9,042 | $7,455 | |
| 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 | |
| Remodeling Projects | $0 | $230 | $433 | $630 | $950 | $1,201 | $1,550 | $1,700 | $850 | $530 | $300 | $260 | |
| New Home Construction | $0 | $0 | $300 | $400 | $500 | $600 | $700 | $900 | $800 | $600 | $400 | $300 | |
| Interior Design of Existing Home | $0 | $320 | $590 | $800 | $1,002 | $1,202 | $1,409 | $1,650 | $1,200 | $390 | $280 | $248 | |
| Subtotal Direct Cost of Sales | $0 | $550 | $1,323 | $1,830 | $2,452 | $3,003 | $3,659 | $4,250 | $2,850 | $1,520 | $980 | $808 | |
| 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 | ||
| Courtney Hamlin | 0% | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 |
| Katherine Park | 0% | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 |
| Total People | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | 2 | |
| Total Payroll | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | |
| 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 | $5,100 | $5,200 | $9,260 | $15,300 | $21,500 | $28,000 | $35,000 | $43,000 | $28,022 | $12,532 | $9,042 | $7,455 | |
| Direct Cost of Sales | $0 | $550 | $1,323 | $1,830 | $2,452 | $3,003 | $3,659 | $4,250 | $2,850 | $1,520 | $980 | $808 | |
| Other Production Expenses | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $0 | $550 | $1,323 | $1,830 | $2,452 | $3,003 | $3,659 | $4,250 | $2,850 | $1,520 | $980 | $808 | |
| Gross Margin | $5,100 | $4,650 | $7,937 | $13,470 | $19,048 | $24,997 | $31,341 | $38,750 | $25,172 | $11,012 | $8,062 | $6,647 | |
| Gross Margin % | 100.00% | 89.42% | 85.71% | 88.04% | 88.60% | 89.28% | 89.55% | 90.12% | 89.83% | 87.87% | 89.16% | 89.16% | |
| Expenses | |||||||||||||
| Payroll | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | |
| Sales and Marketing and Other Expenses | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
| Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Leased Equipment | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Utilities | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Insurance | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Rent | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | |
| Payroll Taxes | 15% | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 | $1,200 |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Operating Expenses | $13,300 | $13,300 | $13,300 | $13,300 | $13,300 | $13,300 | $13,300 | $13,300 | $13,300 | $13,300 | $13,300 | $13,300 | |
| Profit Before Interest and Taxes | ($8,200) | ($8,650) | ($5,363) | $170 | $5,748 | $11,697 | $18,041 | $25,450 | $11,872 | ($2,288) | ($5,238) | ($6,653) | |
| EBITDA | ($8,200) | ($8,650) | ($5,363) | $170 | $5,748 | $11,697 | $18,041 | $25,450 | $11,872 | ($2,288) | ($5,238) | ($6,653) | |
| Interest Expense | $245 | $241 | $236 | $232 | $227 | $223 | $218 | $213 | $209 | $204 | $200 | $195 | |
| Taxes Incurred | ($2,534) | ($2,667) | ($1,680) | ($18) | $1,656 | $3,442 | $5,347 | $7,571 | $3,499 | ($748) | ($1,631) | ($2,054) | |
| Net Profit | ($5,912) | ($6,224) | ($3,919) | ($43) | $3,865 | $8,032 | $12,476 | $17,666 | $8,164 | ($1,745) | ($3,806) | ($4,794) | |
| Net Profit/Sales | -115.92% | -119.68% | -42.33% | -0.28% | 17.98% | 28.69% | 35.65% | 41.08% | 29.14% | -13.92% | -42.10% | -64.30% | |
| 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 | $2,550 | $2,600 | $4,630 | $7,650 | $10,750 | $14,000 | $17,500 | $21,500 | $14,011 | $6,266 | $4,521 | $3,728 | |
| Cash from Receivables | $0 | $85 | $2,552 | $2,668 | $4,731 | $7,753 | $10,858 | $14,117 | $17,633 | $21,250 | $13,753 | $6,208 | |
| Subtotal Cash from Operations | $2,550 | $2,685 | $7,182 | $10,318 | $15,481 | $21,753 | $28,358 | $35,617 | $31,644 | $27,516 | $18,274 | $9,935 | |
| 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 | $2,550 | $2,685 | $7,182 | $10,318 | $15,481 | $21,753 | $28,358 | $35,617 | $31,644 | $27,516 | $18,274 | $9,935 | |
| 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 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | $8,000 | |
| Bill Payments | $10,100 | $3,026 | $3,482 | $5,252 | $7,420 | $9,713 | $12,053 | $14,618 | $17,152 | $11,672 | $6,229 | $4,828 | |
| Subtotal Spent on Operations | $18,100 | $11,026 | $11,482 | $13,252 | $15,420 | $17,713 | $20,053 | $22,618 | $25,152 | $19,672 | $14,229 | $12,828 | |
| 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 | $550 | $550 | $550 | $550 | $550 | $550 | $550 | $550 | $550 | $550 | $550 | $550 | |
| 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 | $18,650 | $11,576 | $12,032 | $13,802 | $15,970 | $18,263 | $20,603 | $23,168 | $25,702 | $20,222 | $14,779 | $13,378 | |
| Net Cash Flow | ($16,100) | ($8,891) | ($4,850) | ($3,484) | ($489) | $3,490 | $7,755 | $12,449 | $5,943 | $7,295 | $3,495 | ($3,443) | |
| Cash Balance | $43,350 | $34,459 | $29,609 | $26,125 | $25,636 | $29,126 | $36,881 | $49,330 | $55,273 | $62,568 | $66,063 | $62,620 | |
| 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 | $59,450 | $43,350 | $34,459 | $29,609 | $26,125 | $25,636 | $29,126 | $36,881 | $49,330 | $55,273 | $62,568 | $66,063 | $62,620 |
| Accounts Receivable | $0 | $2,550 | $5,065 | $7,143 | $12,126 | $18,145 | $24,392 | $31,033 | $38,417 | $34,794 | $19,810 | $10,578 | $8,098 |
| Other Current Assets | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 | $20,000 |
| Total Current Assets | $79,450 | $65,900 | $59,524 | $56,752 | $58,250 | $63,781 | $73,518 | $87,915 | $107,747 | $110,067 | $102,378 | $96,641 | $90,717 |
| 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 | $79,450 | $65,900 | $59,524 | $56,752 | $58,250 | $63,781 | $73,518 | $87,915 | $107,747 | $110,067 | $102,378 | $96,641 | $90,717 |
| 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 | $10,000 | $2,911 | $3,309 | $5,007 | $7,098 | $9,314 | $11,569 | $14,040 | $16,757 | $11,462 | $6,067 | $4,687 | $4,107 |
| 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 | $10,000 | $2,911 | $3,309 | $5,007 | $7,098 | $9,314 | $11,569 | $14,040 | $16,757 | $11,462 | $6,067 | $4,687 | $4,107 |
| Long-term Liabilities | $30,000 | $29,450 | $28,900 | $28,350 | $27,800 | $27,250 | $26,700 | $26,150 | $25,600 | $25,050 | $24,500 | $23,950 | $23,400 |
| Total Liabilities | $40,000 | $32,361 | $32,209 | $33,357 | $34,898 | $36,564 | $38,269 | $40,190 | $42,357 | $36,512 | $30,567 | $28,637 | $27,507 |
| Paid-in Capital | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 | $60,000 |
| Retained Earnings | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) | ($20,550) |
| Earnings | $0 | ($5,912) | ($12,135) | ($16,055) | ($16,098) | ($12,233) | ($4,201) | $8,275 | $25,941 | $34,105 | $32,360 | $28,554 | $23,760 |
| Total Capital | $39,450 | $33,538 | $27,315 | $23,395 | $23,352 | $27,217 | $35,249 | $47,725 | $65,391 | $73,555 | $71,810 | $68,004 | $63,210 |
| Total Liabilities and Capital | $79,450 | $65,900 | $59,524 | $56,752 | $58,250 | $63,781 | $73,518 | $87,915 | $107,747 | $110,067 | $102,378 | $96,641 | $90,717 |
| Net Worth | $39,450 | $33,538 | $27,315 | $23,395 | $23,352 | $27,217 | $35,249 | $47,725 | $65,391 | $73,555 | $71,810 | $68,004 | $63,210 |
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