Arz al-Lubnan Hookah Bar
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 | ||
| Unit Sales | |||||||||||||
| Tobacco | 500 | 600 | 720 | 864 | 1,037 | 1,244 | 1,493 | 1,792 | 2,150 | 2,580 | 3,096 | 3,715 | |
| Drinks | 600 | 720 | 864 | 1,037 | 1,244 | 1,493 | 1,792 | 2,150 | 2,580 | 3,096 | 3,715 | 4,458 | |
| Food | 400 | 480 | 576 | 691 | 829 | 995 | 1,194 | 1,433 | 1,720 | 2,064 | 2,477 | 2,972 | |
| Total Unit Sales | 1,500 | 1,800 | 2,160 | 2,592 | 3,110 | 3,732 | 4,479 | 5,375 | 6,450 | 7,740 | 9,288 | 11,145 | |
| Unit Prices | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
| Tobacco | $14.00 | $14.00 | $14.00 | $14.00 | $14.00 | $14.00 | $14.00 | $14.00 | $14.00 | $14.00 | $14.00 | $14.00 | |
| Drinks | $6.00 | $6.00 | $6.00 | $6.00 | $6.00 | $6.00 | $6.00 | $6.00 | $6.00 | $6.00 | $6.00 | $6.00 | |
| Food | $5.00 | $5.00 | $5.00 | $5.00 | $5.00 | $5.00 | $5.00 | $5.00 | $5.00 | $5.00 | $5.00 | $5.00 | |
| Sales | |||||||||||||
| Tobacco | $7,000 | $8,400 | $10,080 | $12,096 | $14,518 | $17,416 | $20,902 | $25,088 | $30,100 | $36,120 | $43,344 | $52,010 | |
| Drinks | $3,600 | $4,320 | $5,184 | $6,222 | $7,464 | $8,958 | $10,752 | $12,900 | $15,480 | $18,576 | $22,290 | $26,748 | |
| Food | $2,000 | $2,400 | $2,880 | $3,455 | $4,145 | $4,975 | $5,970 | $7,165 | $8,600 | $10,320 | $12,385 | $14,860 | |
| Total Sales | $12,600 | $15,120 | $18,144 | $21,773 | $26,127 | $31,349 | $37,624 | $45,153 | $54,180 | $65,016 | $78,019 | $93,618 | |
| Direct Unit Costs | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
| Tobacco | 30.00% | $4.20 | $4.20 | $4.20 | $4.20 | $4.20 | $4.20 | $4.20 | $4.20 | $4.20 | $4.20 | $4.20 | $4.20 |
| Drinks | 20.00% | $1.20 | $1.20 | $1.20 | $1.20 | $1.20 | $1.20 | $1.20 | $1.20 | $1.20 | $1.20 | $1.20 | $1.20 |
| Food | 30.00% | $1.50 | $1.50 | $1.50 | $1.50 | $1.50 | $1.50 | $1.50 | $1.50 | $1.50 | $1.50 | $1.50 | $1.50 |
| Direct Cost of Sales | |||||||||||||
| Tobacco | $2,100 | $2,520 | $3,024 | $3,629 | $4,355 | $5,225 | $6,271 | $7,526 | $9,030 | $10,836 | $13,003 | $15,603 | |
| Drinks | $720 | $864 | $1,037 | $1,244 | $1,493 | $1,792 | $2,150 | $2,580 | $3,096 | $3,715 | $4,458 | $5,350 | |
| Food | $600 | $720 | $864 | $1,037 | $1,244 | $1,493 | $1,791 | $2,150 | $2,580 | $3,096 | $3,716 | $4,458 | |
| Subtotal Direct Cost of Sales | $3,420 | $4,104 | $4,925 | $5,910 | $7,092 | $8,509 | $10,212 | $12,256 | $14,706 | $17,647 | $21,177 | $25,411 | |
| 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 | ||
| Sayed Batroun | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | |
| Yamine Batroun | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | |
| Bar Staff | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | |
| Wait Staff | $2,800 | $2,800 | $2,800 | $2,800 | $2,800 | $2,800 | $2,800 | $2,800 | $2,800 | $2,800 | $2,800 | $2,800 | |
| Kitchen Staff | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | |
| General Manager | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total People | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | |
| Total Payroll | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | |
| 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 | $12,600 | $15,120 | $18,144 | $21,773 | $26,127 | $31,349 | $37,624 | $45,153 | $54,180 | $65,016 | $78,019 | $93,618 | |
| Direct Cost of Sales | $3,420 | $4,104 | $4,925 | $5,910 | $7,092 | $8,509 | $10,212 | $12,256 | $14,706 | $17,647 | $21,177 | $25,411 | |
| Other Costs of Sales | $1,000 | $1,050 | $1,102 | $1,157 | $1,215 | $1,276 | $1,340 | $1,407 | $1,477 | $1,551 | $1,629 | $1,710 | |
| Total Cost of Sales | $4,420 | $5,154 | $6,027 | $7,067 | $8,307 | $9,785 | $11,552 | $13,663 | $16,183 | $19,198 | $22,806 | $27,121 | |
| Gross Margin | $8,180 | $9,966 | $12,117 | $14,706 | $17,820 | $21,564 | $26,072 | $31,490 | $37,997 | $45,818 | $55,213 | $66,497 | |
| Gross Margin % | 64.92% | 65.91% | 66.78% | 67.54% | 68.21% | 68.79% | 69.30% | 69.74% | 70.13% | 70.47% | 70.77% | 71.03% | |
| Expenses | |||||||||||||
| Payroll | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | |
| Marketing/Promotion | $5,000 | $5,000 | $5,000 | $5,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | |
| Depreciation | $1,400 | $1,400 | $1,400 | $1,400 | $1,400 | $1,400 | $1,400 | $1,400 | $1,400 | $1,400 | $1,400 | $1,400 | |
| Rent | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | |
| Utilities | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | |
| Insurance | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Payroll Taxes | 15% | $2,295 | $2,295 | $2,295 | $2,295 | $2,295 | $2,295 | $2,295 | $2,295 | $2,295 | $2,295 | $2,295 | $2,295 |
| Permit Renewals | 15% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $500 | $0 | $0 |
| Supplies | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
| Total Operating Expenses | $26,995 | $26,995 | $26,995 | $26,995 | $24,995 | $24,995 | $24,995 | $24,995 | $24,995 | $25,495 | $24,995 | $24,995 | |
| Profit Before Interest and Taxes | ($18,815) | ($17,029) | ($14,878) | ($12,289) | ($7,175) | ($3,431) | $1,077 | $6,495 | $13,002 | $20,323 | $30,218 | $41,502 | |
| EBITDA | ($17,415) | ($15,629) | ($13,478) | ($10,889) | ($5,775) | ($2,031) | $2,477 | $7,895 | $14,402 | $21,723 | $31,618 | $42,902 | |
| Interest Expense | $513 | $509 | $505 | $495 | $485 | $475 | $453 | $428 | $403 | $378 | $354 | $342 | |
| Taxes Incurred | ($5,798) | ($5,261) | ($4,615) | ($3,835) | ($2,298) | ($1,172) | $187 | $1,820 | $3,780 | $5,983 | $8,959 | $12,348 | |
| Net Profit | ($13,530) | ($12,277) | ($10,768) | ($8,949) | ($5,362) | ($2,734) | $437 | $4,247 | $8,819 | $13,961 | $20,905 | $28,813 | |
| Net Profit/Sales | -107.38% | -81.20% | -59.35% | -41.10% | -20.52% | -8.72% | 1.16% | 9.41% | 16.28% | 21.47% | 26.79% | 30.78% | |
| 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 | $12,600 | $15,120 | $18,144 | $21,773 | $26,127 | $31,349 | $37,624 | $45,153 | $54,180 | $65,016 | $78,019 | $93,618 | |
| Subtotal Cash from Operations | $12,600 | $15,120 | $18,144 | $21,773 | $26,127 | $31,349 | $37,624 | $45,153 | $54,180 | $65,016 | $78,019 | $93,618 | |
| Additional Cash Received | |||||||||||||
| Sales Tax, VAT, HST/GST Received | 9.00% | $1,134 | $1,361 | $1,633 | $1,960 | $2,351 | $2,821 | $3,386 | $4,064 | $4,876 | $5,851 | $7,022 | $8,426 |
| 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 | $13,734 | $16,481 | $19,777 | $23,733 | $28,478 | $34,170 | $41,010 | $49,217 | $59,056 | $70,867 | $85,041 | $102,044 | |
| 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 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | $15,300 | |
| Bill Payments | $314 | $9,472 | $10,747 | $12,273 | $14,047 | $14,876 | $17,487 | $20,611 | $24,354 | $28,850 | $34,557 | $40,670 | |
| Subtotal Spent on Operations | $15,614 | $24,772 | $26,047 | $27,573 | $29,347 | $30,176 | $32,787 | $35,911 | $39,654 | $44,150 | $49,857 | $55,970 | |
| Additional Cash Spent | |||||||||||||
| Sales Tax, VAT, HST/GST Paid Out | $1,134 | $1,361 | $1,633 | $1,960 | $2,351 | $2,821 | $3,386 | $4,064 | $4,876 | $5,851 | $7,022 | $8,426 | |
| Principal Repayment of Current Borrowing | $300 | $300 | $300 | $800 | $800 | $800 | $800 | $1,000 | $1,000 | $1,000 | $900 | $0 | |
| Other Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Long-term Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | $1,500 | |
| Purchase Other Current Assets | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| 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 | $17,248 | $26,633 | $28,180 | $30,532 | $32,699 | $33,997 | $38,673 | $42,675 | $47,231 | $52,702 | $59,478 | $66,096 | |
| Net Cash Flow | ($3,514) | ($10,152) | ($8,403) | ($6,800) | ($4,220) | $173 | $2,337 | $6,542 | $11,826 | $18,166 | $25,562 | $35,948 | |
| Cash Balance | $36,486 | $26,334 | $17,931 | $11,131 | $6,911 | $7,084 | $9,421 | $15,963 | $27,789 | $45,954 | $71,517 | $107,464 | |
| 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 | $40,000 | $36,486 | $26,334 | $17,931 | $11,131 | $6,911 | $7,084 | $9,421 | $15,963 | $27,789 | $45,954 | $71,517 | $107,464 |
| Other Current Assets | $40,000 | $40,200 | $40,400 | $40,600 | $40,800 | $41,000 | $41,200 | $41,400 | $41,600 | $41,800 | $42,000 | $42,200 | $42,400 |
| Total Current Assets | $80,000 | $76,686 | $66,734 | $58,531 | $51,931 | $47,911 | $48,284 | $50,821 | $57,563 | $69,589 | $87,954 | $113,717 | $149,864 |
| Long-term Assets | |||||||||||||
| Long-term Assets | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 | $95,000 |
| Accumulated Depreciation | $0 | $1,400 | $2,800 | $4,200 | $5,600 | $7,000 | $8,400 | $9,800 | $11,200 | $12,600 | $14,000 | $15,400 | $16,800 |
| Total Long-term Assets | $95,000 | $93,600 | $92,200 | $90,800 | $89,400 | $88,000 | $86,600 | $85,200 | $83,800 | $82,400 | $81,000 | $79,600 | $78,200 |
| Total Assets | $175,000 | $170,286 | $158,934 | $149,331 | $141,331 | $135,911 | $134,884 | $136,021 | $141,363 | $151,989 | $168,954 | $193,317 | $228,064 |
| 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 | $9,115 | $10,340 | $11,805 | $13,554 | $14,296 | $16,804 | $19,804 | $23,399 | $27,705 | $33,209 | $39,067 | $46,502 |
| Current Borrowing | $8,000 | $7,700 | $7,400 | $7,100 | $6,300 | $5,500 | $4,700 | $3,900 | $2,900 | $1,900 | $900 | $0 | $0 |
| Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Subtotal Current Liabilities | $8,000 | $16,815 | $17,740 | $18,905 | $19,854 | $19,796 | $21,504 | $23,704 | $26,299 | $29,605 | $34,109 | $39,067 | $46,502 |
| Long-term Liabilities | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $48,500 | $47,000 | $45,500 | $44,000 | $42,500 | $41,000 |
| Total Liabilities | $58,000 | $66,815 | $67,740 | $68,905 | $69,854 | $69,796 | $71,504 | $72,204 | $73,299 | $75,105 | $78,109 | $81,567 | $87,502 |
| Paid-in Capital | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 | $197,000 |
| Retained Earnings | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) | ($80,000) |
| Earnings | $0 | ($13,530) | ($25,806) | ($36,575) | ($45,523) | ($50,885) | ($53,620) | ($53,183) | ($48,936) | ($40,117) | ($26,155) | ($5,250) | $23,562 |
| Total Capital | $117,000 | $103,470 | $91,194 | $80,425 | $71,477 | $66,115 | $63,380 | $63,817 | $68,064 | $76,883 | $90,845 | $111,750 | $140,562 |
| Total Liabilities and Capital | $175,000 | $170,286 | $158,934 | $149,331 | $141,331 | $135,911 | $134,884 | $136,021 | $141,363 | $151,989 | $168,954 | $193,317 | $228,064 |
| Net Worth | $117,000 | $103,470 | $91,194 | $80,425 | $71,477 | $66,115 | $63,380 | $63,817 | $68,064 | $76,883 | $90,845 | $111,750 | $140,562 |
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