DocBuzz, Inc.
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 | |||||||||||||
| Pharaceutical Companies | 0% | $100,000 | $125,000 | $130,000 | $135,000 | $140,000 | $145,000 | $150,000 | $155,000 | $160,000 | $165,000 | $170,000 | $200,000 |
| Medical Professionals | 0% | $30,000 | $60,000 | $120,000 | $150,000 | $20,000 | $22,000 | $30,000 | $35,000 | $40,000 | $50,000 | $70,000 | $90,000 |
| Bio-Tech | 0% | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $300,000 | $300,000 | $300,000 | $300,000 | $30,000 | $30,000 |
| Medical Devices | 0% | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 | $50,000 |
| Other | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Sales | $210,000 | $265,000 | $330,000 | $365,000 | $240,000 | $247,000 | $530,000 | $540,000 | $550,000 | $565,000 | $320,000 | $370,000 | |
| 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 | |
| Pharaceutical Companies | $150 | $100 | $100 | $120 | $300 | $500 | $700 | $900 | $1,200 | $1,500 | $1,700 | $1,900 | |
| Medical Professionals | $150 | $150 | $150 | $150 | $150 | $160 | $160 | $175 | $200 | $250 | $250 | $450 | |
| Bio-Tech | $400 | $400 | $800 | $900 | $1,000 | $1,300 | $15,000 | $2,000 | $2,500 | $3,000 | $3,200 | $3,700 | |
| Medical Devices | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Direct Cost of Sales | $2,700 | $2,650 | $3,050 | $3,170 | $3,450 | $3,960 | $17,860 | $5,075 | $5,900 | $6,750 | $7,150 | $8,050 | |
| 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 | ||
| Dr. Wu | 0% | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 |
| Dr. Rayder | 0% | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 | $6,250 |
| CEO | 0% | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 |
| IT Director | 0% | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 |
| Marketing Director | 0% | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 | $3,333 |
| Secretary | 0% | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 |
| Secretary 2 | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Secretary 3 | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Bookkeepter | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Secretary 4 | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Secretary 5 | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| CFO | 0% | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 | $4,167 |
| Total People | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | |
| Total Payroll | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | |
| 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 | $210,000 | $265,000 | $330,000 | $365,000 | $240,000 | $247,000 | $530,000 | $540,000 | $550,000 | $565,000 | $320,000 | $370,000 | |
| Direct Cost of Sales | $2,700 | $2,650 | $3,050 | $3,170 | $3,450 | $3,960 | $17,860 | $5,075 | $5,900 | $6,750 | $7,150 | $8,050 | |
| Other Production Expenses | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $2,700 | $2,650 | $3,050 | $3,170 | $3,450 | $3,960 | $17,860 | $5,075 | $5,900 | $6,750 | $7,150 | $8,050 | |
| Gross Margin | $207,300 | $262,350 | $326,950 | $361,830 | $236,550 | $243,040 | $512,140 | $534,925 | $544,100 | $558,250 | $312,850 | $361,950 | |
| Gross Margin % | 98.71% | 99.00% | 99.08% | 99.13% | 98.56% | 98.40% | 96.63% | 99.06% | 98.93% | 98.81% | 97.77% | 97.82% | |
| Expenses | |||||||||||||
| Payroll | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | |
| Sales and Marketing and Other Expenses | $17,000 | $17,000 | $17,000 | $17,000 | $17,000 | $17,000 | $17,000 | $17,000 | $17,000 | $17,000 | $17,000 | $17,000 | |
| Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Leased Equipment | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | |
| Utilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Insurance | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Rent | $1,666 | $1,666 | $1,666 | $1,666 | $1,666 | $1,666 | $1,666 | $1,666 | $1,666 | $1,666 | $1,666 | $1,666 | |
| Payroll Taxes | 15% | $4,410 | $4,410 | $4,410 | $4,410 | $4,410 | $4,410 | $4,410 | $4,410 | $4,410 | $4,410 | $4,410 | $4,410 |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Operating Expenses | $54,976 | $54,976 | $54,976 | $54,976 | $54,976 | $54,976 | $54,976 | $54,976 | $54,976 | $54,976 | $54,976 | $54,976 | |
| Profit Before Interest and Taxes | $152,324 | $207,374 | $271,974 | $306,854 | $181,574 | $188,064 | $457,164 | $479,949 | $489,124 | $503,274 | $257,874 | $306,974 | |
| EBITDA | $152,324 | $207,374 | $271,974 | $306,854 | $181,574 | $188,064 | $457,164 | $479,949 | $489,124 | $503,274 | $257,874 | $306,974 | |
| Interest Expense | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Taxes Incurred | $45,697 | $62,212 | $81,592 | $92,056 | $54,472 | $56,419 | $137,149 | $143,985 | $146,737 | $150,982 | $77,362 | $92,092 | |
| Net Profit | $106,627 | $145,162 | $190,382 | $214,798 | $127,102 | $131,645 | $320,015 | $335,964 | $342,387 | $352,292 | $180,512 | $214,882 | |
| Net Profit/Sales | 50.77% | 54.78% | 57.69% | 58.85% | 52.96% | 53.30% | 60.38% | 62.22% | 62.25% | 62.35% | 56.41% | 58.08% | |
| 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 | $210,000 | $265,000 | $330,000 | $365,000 | $240,000 | $247,000 | $530,000 | $540,000 | $550,000 | $565,000 | $320,000 | $370,000 | |
| Subtotal Cash from Operations | $210,000 | $265,000 | $330,000 | $365,000 | $240,000 | $247,000 | $530,000 | $540,000 | $550,000 | $565,000 | $320,000 | $370,000 | |
| 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 | $210,000 | $265,000 | $330,000 | $365,000 | $240,000 | $247,000 | $530,000 | $540,000 | $550,000 | $565,000 | $320,000 | $370,000 | |
| 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 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | $29,400 | |
| Bill Payments | $2,466 | $74,522 | $91,098 | $110,571 | $119,559 | $83,580 | $89,110 | $180,387 | $174,755 | $178,383 | $180,868 | $110,609 | |
| Subtotal Spent on Operations | $31,866 | $103,922 | $120,498 | $139,971 | $148,959 | $112,980 | $118,510 | $209,787 | $204,155 | $207,783 | $210,268 | $140,009 | |
| 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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| 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 | $31,866 | $103,922 | $120,498 | $139,971 | $148,959 | $112,980 | $118,510 | $209,787 | $204,155 | $207,783 | $210,268 | $140,009 | |
| Net Cash Flow | $178,134 | $161,078 | $209,502 | $225,029 | $91,041 | $134,020 | $411,490 | $330,213 | $345,845 | $357,217 | $109,732 | $229,991 | |
| Cash Balance | $482,134 | $643,212 | $852,715 | $1,077,744 | $1,168,785 | $1,302,805 | $1,714,295 | $2,044,508 | $2,390,353 | $2,747,570 | $2,857,303 | $3,087,294 | |
| 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 | $304,000 | $482,134 | $643,212 | $852,715 | $1,077,744 | $1,168,785 | $1,302,805 | $1,714,295 | $2,044,508 | $2,390,353 | $2,747,570 | $2,857,303 | $3,087,294 |
| Other Current Assets | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 |
| Total Current Assets | $309,000 | $487,134 | $648,212 | $857,715 | $1,082,744 | $1,173,785 | $1,307,805 | $1,719,295 | $2,049,508 | $2,395,353 | $2,752,570 | $2,862,303 | $3,092,294 |
| 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 | $309,000 | $487,134 | $648,212 | $857,715 | $1,082,744 | $1,173,785 | $1,307,805 | $1,719,295 | $2,049,508 | $2,395,353 | $2,752,570 | $2,862,303 | $3,092,294 |
| 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 | $71,507 | $87,424 | $106,544 | $116,775 | $80,715 | $83,090 | $174,566 | $168,815 | $172,273 | $177,198 | $106,419 | $121,528 |
| 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 | $71,507 | $87,424 | $106,544 | $116,775 | $80,715 | $83,090 | $174,566 | $168,815 | $172,273 | $177,198 | $106,419 | $121,528 |
| Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Liabilities | $0 | $71,507 | $87,424 | $106,544 | $116,775 | $80,715 | $83,090 | $174,566 | $168,815 | $172,273 | $177,198 | $106,419 | $121,528 |
| Paid-in Capital | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 | $408,000 |
| Retained Earnings | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) | ($99,000) |
| Earnings | $0 | $106,627 | $251,789 | $442,170 | $656,968 | $784,070 | $915,715 | $1,235,730 | $1,571,694 | $1,914,081 | $2,266,373 | $2,446,884 | $2,661,766 |
| Total Capital | $309,000 | $415,627 | $560,789 | $751,170 | $965,968 | $1,093,070 | $1,224,715 | $1,544,730 | $1,880,694 | $2,223,081 | $2,575,373 | $2,755,884 | $2,970,766 |
| Total Liabilities and Capital | $309,000 | $487,134 | $648,212 | $857,715 | $1,082,744 | $1,173,785 | $1,307,805 | $1,719,295 | $2,049,508 | $2,395,353 | $2,752,570 | $2,862,303 | $3,092,294 |
| Net Worth | $309,000 | $415,627 | $560,789 | $751,170 | $965,968 | $1,093,070 | $1,224,715 | $1,544,730 | $1,880,694 | $2,223,081 | $2,575,373 | $2,755,884 | $2,970,766 |
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