Adorable Pet Photography
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 | |||||||||||||
| Studio Portrait Sessions | 0% | 10 | 20 | 30 | 40 | 15 | 30 | 50 | 60 | 80 | 80 | 80 | 80 |
| Holiday Location Promotions | 0% | 0 | 50 | 500 | 375 | 0 | 100 | 400 | 300 | 200 | 200 | 100 | 0 |
| Pet Show Locations | 0% | 0 | 50 | 0 | 0 | 75 | 50 | 100 | 125 | 150 | 75 | 75 | 150 |
| Home Portrait Sessions | 0% | 2 | 2 | 3 | 5 | 2 | 4 | 5 | 8 | 8 | 8 | 8 | 10 |
| Total Unit Sales | 12 | 122 | 533 | 420 | 92 | 184 | 555 | 493 | 438 | 363 | 263 | 240 | |
| 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 | |
| Studio Portrait Sessions | $50.00 | $50.00 | $50.00 | $50.00 | $50.00 | $50.00 | $50.00 | $50.00 | $50.00 | $50.00 | $50.00 | $50.00 | |
| Holiday Location Promotions | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | |
| Pet Show Locations | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 | $10.00 | |
| Home Portrait Sessions | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | $100.00 | |
| Sales | |||||||||||||
| Studio Portrait Sessions | $500 | $1,000 | $1,500 | $2,000 | $750 | $1,500 | $2,500 | $3,000 | $4,000 | $4,000 | $4,000 | $4,000 | |
| Holiday Location Promotions | $0 | $1,000 | $10,000 | $7,500 | $0 | $2,000 | $8,000 | $6,000 | $4,000 | $4,000 | $2,000 | $0 | |
| Pet Show Locations | $0 | $500 | $0 | $0 | $750 | $500 | $1,000 | $1,250 | $1,500 | $750 | $750 | $1,500 | |
| Home Portrait Sessions | $200 | $200 | $300 | $500 | $200 | $400 | $500 | $800 | $800 | $800 | $800 | $1,000 | |
| Total Sales | $700 | $2,700 | $11,800 | $10,000 | $1,700 | $4,400 | $12,000 | $11,050 | $10,300 | $9,550 | $7,550 | $6,500 | |
| 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 | |
| Studio Portrait Sessions | 0.00% | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 | $12.00 |
| Holiday Location Promotions | 0.00% | $8.00 | $8.00 | $8.00 | $8.00 | $8.00 | $8.00 | $8.00 | $8.00 | $8.00 | $8.00 | $8.00 | $8.00 |
| Pet Show Locations | 0.00% | $1.30 | $1.30 | $1.30 | $1.30 | $1.30 | $1.30 | $1.30 | $1.30 | $1.30 | $1.30 | $1.30 | $1.30 |
| Home Portrait Sessions | 0.00% | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 | $20.00 |
| Direct Cost of Sales | |||||||||||||
| Studio Portrait Sessions | $120 | $240 | $360 | $480 | $180 | $360 | $600 | $720 | $960 | $960 | $960 | $960 | |
| Holiday Location Promotions | $0 | $400 | $4,000 | $3,000 | $0 | $800 | $3,200 | $2,400 | $1,600 | $1,600 | $800 | $0 | |
| Pet Show Locations | $0 | $65 | $0 | $0 | $98 | $65 | $130 | $163 | $195 | $98 | $98 | $195 | |
| Home Portrait Sessions | $40 | $40 | $60 | $100 | $40 | $80 | $100 | $160 | $160 | $160 | $160 | $200 | |
| Subtotal Direct Cost of Sales | $160 | $745 | $4,420 | $3,580 | $318 | $1,305 | $4,030 | $3,443 | $2,915 | $2,818 | $2,018 | $1,355 | |
| 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 | ||
| Payroll | 0% | $0 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 |
| Other | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total People | 0 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | |
| Total Payroll | $0 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
| 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 | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | 8.00% | |
| 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 | 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 | $700 | $2,700 | $11,800 | $10,000 | $1,700 | $4,400 | $12,000 | $11,050 | $10,300 | $9,550 | $7,550 | $6,500 | |
| Direct Cost of Sales | $160 | $745 | $4,420 | $3,580 | $318 | $1,305 | $4,030 | $3,443 | $2,915 | $2,818 | $2,018 | $1,355 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $160 | $745 | $4,420 | $3,580 | $318 | $1,305 | $4,030 | $3,443 | $2,915 | $2,818 | $2,018 | $1,355 | |
| Gross Margin | $540 | $1,955 | $7,380 | $6,420 | $1,383 | $3,095 | $7,970 | $7,608 | $7,385 | $6,733 | $5,533 | $5,145 | |
| Gross Margin % | 77.14% | 72.41% | 62.54% | 64.20% | 81.32% | 70.34% | 66.42% | 68.85% | 71.70% | 70.50% | 73.28% | 79.15% | |
| Expenses | |||||||||||||
| Payroll | $0 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
| Sales and Marketing and Other Expenses | $1,200 | $1,200 | $1,200 | $700 | $700 | $700 | $700 | $700 | $700 | $700 | $700 | $700 | |
| Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Leased Equipment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Utilities | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | $50 | |
| Insurance | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | |
| Rent | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Payroll Taxes | 15% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Operating Expenses | $1,400 | $2,400 | $2,400 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | $1,900 | |
| Profit Before Interest and Taxes | ($860) | ($445) | $4,980 | $4,520 | ($518) | $1,195 | $6,070 | $5,708 | $5,485 | $4,833 | $3,633 | $3,245 | |
| EBITDA | ($860) | ($445) | $4,980 | $4,520 | ($518) | $1,195 | $6,070 | $5,708 | $5,485 | $4,833 | $3,633 | $3,245 | |
| Interest Expense | $65 | $64 | $63 | $61 | $60 | $59 | $57 | $56 | $55 | $53 | $52 | $51 | |
| Taxes Incurred | ($278) | ($153) | $1,475 | $1,338 | ($173) | $341 | $1,804 | $1,695 | $1,629 | $1,434 | $1,074 | $958 | |
| Net Profit | ($648) | ($356) | $3,442 | $3,121 | ($404) | $795 | $4,209 | $3,956 | $3,801 | $3,345 | $2,506 | $2,236 | |
| Net Profit/Sales | -92.53% | -13.20% | 29.17% | 31.21% | -23.78% | 18.08% | 35.07% | 35.80% | 36.91% | 35.03% | 33.20% | 34.40% | |
| 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 | $700 | $2,700 | $11,800 | $10,000 | $1,700 | $4,400 | $12,000 | $11,050 | $10,300 | $9,550 | $7,550 | $6,500 | |
| Subtotal Cash from Operations | $700 | $2,700 | $11,800 | $10,000 | $1,700 | $4,400 | $12,000 | $11,050 | $10,300 | $9,550 | $7,550 | $6,500 | |
| 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 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Subtotal Cash Received | $700 | $2,700 | $11,800 | $10,000 | $1,700 | $4,400 | $12,200 | $11,250 | $10,500 | $9,750 | $7,750 | $6,700 | |
| 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 | $0 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
| Bill Payments | $40 | $1,225 | $2,588 | $10,436 | $4,816 | $804 | $1,553 | $8,793 | $5,430 | $4,924 | $5,033 | $3,155 | |
| Subtotal Spent on Operations | $40 | $2,225 | $3,588 | $11,436 | $5,816 | $1,804 | $2,553 | $9,793 | $6,430 | $5,924 | $6,033 | $4,155 | |
| 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 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| 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 | $240 | $2,425 | $3,788 | $11,636 | $6,016 | $2,004 | $2,753 | $9,993 | $6,630 | $6,124 | $6,233 | $4,355 | |
| Net Cash Flow | $460 | $275 | $8,012 | ($1,636) | ($4,316) | $2,396 | $9,447 | $1,257 | $3,870 | $3,626 | $1,517 | $2,345 | |
| Cash Balance | $13,960 | $14,235 | $22,247 | $20,611 | $16,295 | $18,691 | $28,138 | $29,395 | $33,265 | $36,890 | $38,407 | $40,752 | |
| 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 | $13,500 | $13,960 | $14,235 | $22,247 | $20,611 | $16,295 | $18,691 | $28,138 | $29,395 | $33,265 | $36,890 | $38,407 | $40,752 |
| Inventory | $1,500 | $1,340 | $1,595 | $4,862 | $3,938 | $3,621 | $2,316 | $4,433 | $3,787 | $3,207 | $3,099 | $2,219 | $1,864 |
| Other Current Assets | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 |
| Total Current Assets | $25,000 | $25,300 | $25,830 | $37,109 | $34,549 | $29,915 | $31,007 | $42,571 | $43,181 | $46,471 | $49,989 | $50,626 | $52,616 |
| 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 | $25,000 | $25,300 | $25,830 | $37,109 | $34,549 | $29,915 | $31,007 | $42,571 | $43,181 | $46,471 | $49,989 | $50,626 | $52,616 |
| 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 | $1,148 | $2,234 | $10,271 | $4,790 | $761 | $1,256 | $8,612 | $5,266 | $4,755 | $4,927 | $3,058 | $2,812 |
| Current Borrowing | $10,000 | $9,800 | $9,600 | $9,400 | $9,200 | $9,000 | $8,800 | $8,600 | $8,400 | $8,200 | $8,000 | $7,800 | $7,600 |
| Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Subtotal Current Liabilities | $10,000 | $10,948 | $11,834 | $19,671 | $13,990 | $9,761 | $10,056 | $17,212 | $13,666 | $12,955 | $12,927 | $10,858 | $10,412 |
| Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Liabilities | $10,000 | $10,948 | $11,834 | $19,671 | $13,990 | $9,761 | $10,056 | $17,212 | $13,666 | $12,955 | $12,927 | $10,858 | $10,412 |
| Paid-in Capital | $22,350 | $22,350 | $22,350 | $22,350 | $22,350 | $22,350 | $22,350 | $22,550 | $22,750 | $22,950 | $23,150 | $23,350 | $23,550 |
| Retained Earnings | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) | ($7,350) |
| Earnings | $0 | ($648) | ($1,004) | $2,438 | $5,559 | $5,155 | $5,950 | $10,159 | $14,115 | $17,917 | $21,262 | $23,768 | $26,004 |
| Total Capital | $15,000 | $14,352 | $13,996 | $17,438 | $20,559 | $20,155 | $20,950 | $25,359 | $29,515 | $33,517 | $37,062 | $39,768 | $42,204 |
| Total Liabilities and Capital | $25,000 | $25,300 | $25,830 | $37,109 | $34,549 | $29,915 | $31,007 | $42,571 | $43,181 | $46,471 | $49,989 | $50,626 | $52,616 |
| Net Worth | $15,000 | $14,352 | $13,996 | $17,438 | $20,559 | $20,155 | $20,950 | $25,359 | $29,515 | $33,517 | $37,062 | $39,768 | $42,204 |
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