Garden Way Yoga Center
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 | |||||||||||||
| Yoga Instruction | 0% | $0 | $0 | $7,000 | $9,000 | $14,000 | $16,000 | $18,000 | $20,000 | $15,000 | $15,000 | $18,000 | $20,000 |
| Boutique Sales | 0% | $0 | $0 | $3,000 | $4,000 | $5,000 | $6,000 | $8,000 | $8,000 | $6,000 | $7,000 | $8,000 | $9,000 |
| Other | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Sales | $0 | $0 | $10,000 | $13,000 | $19,000 | $22,000 | $26,000 | $28,000 | $21,000 | $22,000 | $26,000 | $29,000 | |
| 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 | |
| Yoga Instruction | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Boutique Sales | $0 | $0 | $1,000 | $1,500 | $1,750 | $2,000 | $2,400 | $2,400 | $2,000 | $2,200 | $2,400 | $2,500 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Direct Cost of Sales | $0 | $0 | $1,000 | $1,500 | $1,750 | $2,000 | $2,400 | $2,400 | $2,000 | $2,200 | $2,400 | $2,500 | |
| 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 | ||
| Jill Gordon | 0% | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 | $3,000 |
| Teachers (5) | 0% | $4,500 | $4,500 | $4,500 | $4,500 | $4,500 | $4,500 | $4,500 | $4,500 | $4,500 | $4,500 | $4,500 | $4,500 |
| Boutique Staff | 0% | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 | $1,600 |
| Total People | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | 7 | |
| Total Payroll | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | |
| 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 | $0 | $0 | $10,000 | $13,000 | $19,000 | $22,000 | $26,000 | $28,000 | $21,000 | $22,000 | $26,000 | $29,000 | |
| Direct Cost of Sales | $0 | $0 | $1,000 | $1,500 | $1,750 | $2,000 | $2,400 | $2,400 | $2,000 | $2,200 | $2,400 | $2,500 | |
| Other Production Expenses | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $0 | $0 | $1,000 | $1,500 | $1,750 | $2,000 | $2,400 | $2,400 | $2,000 | $2,200 | $2,400 | $2,500 | |
| Gross Margin | $0 | $0 | $9,000 | $11,500 | $17,250 | $20,000 | $23,600 | $25,600 | $19,000 | $19,800 | $23,600 | $26,500 | |
| Gross Margin % | 0.00% | 0.00% | 90.00% | 88.46% | 90.79% | 90.91% | 90.77% | 91.43% | 90.48% | 90.00% | 90.77% | 91.38% | |
| Expenses | |||||||||||||
| Payroll | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | |
| Sales and Marketing and Other Expenses | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | |
| Depreciation | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Utilities | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $0 | |
| Insurance | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | $200 | |
| Payroll Taxes | 15% | $1,365 | $1,365 | $1,365 | $1,365 | $1,365 | $1,365 | $1,365 | $1,365 | $1,365 | $1,365 | $1,365 | $1,365 |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Operating Expenses | $13,165 | $13,165 | $13,165 | $13,165 | $13,165 | $13,165 | $13,165 | $13,165 | $13,165 | $13,165 | $13,165 | $12,865 | |
| Profit Before Interest and Taxes | ($13,165) | ($13,165) | ($4,165) | ($1,665) | $4,085 | $6,835 | $10,435 | $12,435 | $5,835 | $6,635 | $10,435 | $13,635 | |
| EBITDA | ($12,965) | ($12,965) | ($3,965) | ($1,465) | $4,285 | $7,035 | $10,635 | $12,635 | $6,035 | $6,835 | $10,635 | $13,835 | |
| Interest Expense | $663 | $660 | $656 | $652 | $649 | $645 | $642 | $638 | $634 | $631 | $627 | $624 | |
| Taxes Incurred | ($4,148) | ($4,147) | ($1,446) | ($695) | $1,031 | $1,857 | $2,938 | $3,539 | $1,560 | $1,801 | $2,942 | $3,903 | |
| Net Profit | ($9,680) | ($9,677) | ($3,375) | ($1,622) | $2,405 | $4,333 | $6,855 | $8,258 | $3,640 | $4,203 | $6,865 | $9,108 | |
| Net Profit/Sales | 0.00% | 0.00% | -33.75% | -12.48% | 12.66% | 19.69% | 26.37% | 29.49% | 17.34% | 19.10% | 26.41% | 31.41% | |
| 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 | $0 | $0 | $10,000 | $13,000 | $19,000 | $22,000 | $26,000 | $28,000 | $21,000 | $22,000 | $26,000 | $29,000 | |
| Subtotal Cash from Operations | $0 | $0 | $10,000 | $13,000 | $19,000 | $22,000 | $26,000 | $28,000 | $21,000 | $22,000 | $26,000 | $29,000 | |
| 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 | $0 | $0 | $10,000 | $13,000 | $19,000 | $22,000 | $26,000 | $28,000 | $21,000 | $22,000 | $26,000 | $29,000 | |
| 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 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | $9,100 | |
| Bill Payments | $13 | $380 | $467 | $3,100 | $3,880 | $5,572 | $6,446 | $8,792 | $10,348 | $7,656 | $8,762 | $10,076 | |
| Subtotal Spent on Operations | $9,113 | $9,480 | $9,567 | $12,200 | $12,980 | $14,672 | $15,546 | $17,892 | $19,448 | $16,756 | $17,862 | $19,176 | |
| 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 | $430 | $430 | $430 | $430 | $430 | $430 | $430 | $430 | $430 | $430 | $430 | $430 | |
| 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 | $9,543 | $9,910 | $9,997 | $12,630 | $13,410 | $15,102 | $15,976 | $18,322 | $19,878 | $17,186 | $18,292 | $19,606 | |
| Net Cash Flow | ($9,543) | ($9,910) | $3 | $370 | $5,590 | $6,898 | $10,024 | $9,678 | $1,122 | $4,814 | $7,708 | $9,394 | |
| Cash Balance | $57,357 | $47,448 | $47,451 | $47,821 | $53,412 | $60,310 | $70,334 | $80,012 | $81,134 | $85,948 | $93,656 | $103,050 | |
| 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 | $66,900 | $57,357 | $47,448 | $47,451 | $47,821 | $53,412 | $60,310 | $70,334 | $80,012 | $81,134 | $85,948 | $93,656 | $103,050 |
| Inventory | $10,000 | $10,000 | $10,000 | $9,000 | $7,500 | $5,750 | $3,750 | $2,640 | $2,640 | $2,200 | $2,420 | $2,640 | $2,750 |
| Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Current Assets | $76,900 | $67,357 | $57,448 | $56,451 | $55,321 | $59,162 | $64,060 | $72,974 | $82,652 | $83,334 | $88,368 | $96,296 | $105,800 |
| Long-term Assets | |||||||||||||
| Long-term Assets | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 | $30,000 |
| Accumulated Depreciation | $0 | $200 | $400 | $600 | $800 | $1,000 | $1,200 | $1,400 | $1,600 | $1,800 | $2,000 | $2,200 | $2,400 |
| Total Long-term Assets | $30,000 | $29,800 | $29,600 | $29,400 | $29,200 | $29,000 | $28,800 | $28,600 | $28,400 | $28,200 | $28,000 | $27,800 | $27,600 |
| Total Assets | $106,900 | $97,157 | $87,048 | $85,851 | $84,521 | $88,162 | $92,860 | $101,574 | $111,052 | $111,534 | $116,368 | $124,096 | $133,400 |
| 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 | $367 | $365 | $2,972 | $3,695 | $5,360 | $6,155 | $8,443 | $10,094 | $7,366 | $8,427 | $9,719 | $10,345 |
| 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 | $367 | $365 | $2,972 | $3,695 | $5,360 | $6,155 | $8,443 | $10,094 | $7,366 | $8,427 | $9,719 | $10,345 |
| Long-term Liabilities | $80,000 | $79,570 | $79,140 | $78,710 | $78,280 | $77,850 | $77,420 | $76,990 | $76,560 | $76,130 | $75,700 | $75,270 | $74,840 |
| Total Liabilities | $80,000 | $79,937 | $79,505 | $81,682 | $81,975 | $83,210 | $83,575 | $85,433 | $86,654 | $83,496 | $84,127 | $84,989 | $85,185 |
| 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 | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) | ($33,100) |
| Earnings | $0 | ($9,680) | ($19,357) | ($22,731) | ($24,354) | ($21,948) | ($17,615) | ($10,760) | ($2,502) | $1,138 | $5,341 | $12,207 | $21,315 |
| Total Capital | $26,900 | $17,220 | $7,543 | $4,169 | $2,546 | $4,952 | $9,285 | $16,140 | $24,398 | $28,038 | $32,241 | $39,107 | $48,215 |
| Total Liabilities and Capital | $106,900 | $97,157 | $87,048 | $85,851 | $84,521 | $88,162 | $92,860 | $101,574 | $111,052 | $111,534 | $116,368 | $124,096 | $133,400 |
| Net Worth | $26,900 | $17,220 | $7,543 | $4,169 | $2,546 | $4,952 | $9,285 | $16,140 | $24,398 | $28,038 | $32,241 | $39,107 | $48,215 |
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