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Mother's House Cleaning Service - Sample Plan

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This sample business plan was created using Business Plan Pro®-
business planning software published by Palo Alto Software.
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This plan may be edited using Business Plan Pro and is one of 500+
sample plans available from within the software.

To learn more about Business Plan Pro and other planning products for
small and medium sized businesses, visit us at www.paloalto.com.
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This is a sample business plan and the names, locations and numbers may have been
changed, and substantial portions of the original plan text may have been omitted to
preserve confidentiality and proprietary information.

You are welcome to use this plan as a starting point to create your own, but you do not have
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permission to resell, reproduce, publish, distribute or even copy this plan as it exists here.

Requests for reprints, academic use, and other dissemination of this sample plan should be
emailed to the marketing department of Palo Alto Software at marketing@paloalto.com. For
product information visit our Website: www.paloalto.com or call: 1-800-229-7526.
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Copyright © Palo Alto Software, Inc., 1995-2007. All rights reserved.

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 Confidentiality Agreement

The undersigned reader acknowledges that the information provided by

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_________________________ in this business plan is confidential; therefore, reader agrees
not to disclose it without the express written permission of _________________________.

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It is acknowledged by reader that information to be furnished in this business plan is in all
respects confidential in nature, other than information which is in the public domain through
other means and that any disclosure or use of same by reader, may cause serious harm or
damage to _________________________.

Upon request, this document is to be immediately returned to _________________________.

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___________________
Signature

___________________
Name (typed or printed)

___________________
Date

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This is a business plan. It does not imply an offering of securities.
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Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.com
 Table of Contents

1.0 Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

1.1 Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
1.2 Mission . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

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2.0 Company Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
2.1 Company Ownership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
2.2 Start-up Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

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3.0 Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

4.0 Market Analysis Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

4.1 Market Segmentation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
4.2 Target Market Segment Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

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4.3 Competition and Buying Patterns . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

5.0 Strategy and Implementation Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

5.1 Competitive Edge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
5.2 Sales Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
5.2.1 Sales Forecast . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

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5.3 Milestones . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

6.0 Management Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

6.1 Personnel Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
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7.0 Financial Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
7.1 Important Assumptions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
7.2 Break-even Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
7.3 Projected Profit and Loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
7.4 Projected Cash Flow . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
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7.5 Projected Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

7.6 Business Ratios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
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Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.com
 Mother's House Cleaning Service

1.0 Executive Summary

Mother's House Cleaning Service (MHCS) is a start-up organization based in Cleanly, WA.

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MHCS specializes in high-end residential house cleaning. By offering a professional,
trustworthy, and effective service, Mother's will quickly grow their business.

From the outset, MHCS has developed several ambitious objectives. The first is to always, with

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every customer, exceed his or her expectations. Exceeding customer's expectations will ensure
repeat business and word of mouth referrals. Increasing their client base by 20% a year is
their second objective. The third is to achieve cash sustainability by the end of year one. The
last objective is to have a 30% conversion rate of prospective customers into clients.

The Market

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While there is plenty of competition in the residential cleaning industry, there are few
competitors that are considered professional and trustworthy. MHCS will target two distinct
market segments to go after, two income and one-income wealthy families. The affluent single
income households are growing at 11%. The two income families are growing at a slightly
faster rate of 13%.

Services Offered

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As mentioned earlier, MHCS is a residential household cleaning service. They are able to
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handle all sorts of residential needs, from general house cleaning to child and pet disasters. All
of their services are offered in the most professional manner possible. Professionalism,
trustworthiness and effectiveness are MHCS' mantras. By having the following characteristics
as mantras, customers immediately feel at ease with MHCS. This is indicated by the fact that it
is not uncommon for clients, after their first appointment, to provide MHCS with house keys so
they may come in unattended at their leisure to provide future services.
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Management

With years in the industry, sole proprietor Sarah Tookleen has decided to take a stab at
opening her own business in the industry that she has so much knowledge and experience of.
Sarah initially spent several years at Sanitation Management, a nationwide cleaning service.
She then moved onto Immaculate Cleanception where Sarah received ample management
training. It was these experiences that gave Sarah the skills and confidence to open her own
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business.

MHCS is an exciting opportunity that combines the skills and passion of the principal with an
unmet need in Cleanly, WA. Profit margins will be 1.4% in year 1 and 14.7% in year three.
MHCS will generate over $188,000 in sales by the end of year one and $228,000 by the end of
year three.
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 Mother's House Cleaning Service

Highlights

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$250,000

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$200,000

$150,000 Sales
Gross Margin

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$100,000 Net Profit

$50,000

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$0
2002 2003 2004
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1.1 Objectives

Mother's House Cleaning Service's objectives for the first three years of operation include:
• To create a service based company whose #1 goal is exceeding customer's
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expectations.
• To increase our number of clients served by 20% per year through superior service.
• To develop a sustainable home-based business, living off its own cash flow.
• The utilization of Mother's House Cleaning Service on a regular basis by at least 30% of
the leads that contact us for more information.
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1.2 Mission

Mother's House Cleaning Service's mission is to provide the customer with all residential
cleaning services in an environmentally sound, completely trustworthy, and professional
manner. We exist to attract and maintain customers. When we adhere to this maxim,
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everything else will fall into place. Our services will exceed the expectations of our customers.
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Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.com Page 2
 Mother's House Cleaning Service

2.0 Company Summary

Mother's House Cleaning Service (MHCS), soon to be located in Cleanly, WA, will offer

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residential home cleaning services. MHCS will offer a wide range of services to the residential
client, from general room cleaning to child/pet disasters. We will be going after the upper end
of the market, typically the affluent whose spouse does not have a full-time job but chooses to
do other things with his/her time, or the two income family who chooses not to clean the home

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themselves.

The business will be based out of Sarah Tookleen's home. Sarah will be responsible for
scheduling, estimates, training, inventory, ordering, payroll and customer care management.
The business organizational type will be a sole proprietorship, with six employees within the
first 12 months.

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According to sales forecasts, net profits per month will be 10% of sales by the end of the first
year and will grow to 14.7% by year three.

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2.1 Company Ownership

Mother's House Cleaning Service will be a sole proprietorship, owned by Sarah Tookleen.
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2.2 Start-up Summary

Mother's House Cleaning Service's start-up costs include equipment needed for a home-based
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business (to be detailed below), initial legal fees, marketing fees, cleaning equipment and
supplies, uniforms, and signs for employee vehicles.

The home office equipment includes a computer system (with the following minimum
specifications: 500 mhz processor, 64 megabytes RAM, 6 gigabyte hard drive, printer, and CD-
RW). Also required for the office is an additional land phone line, fax machine, pager, and
cellular phone. A few pieces of furniture will also be needed.
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The legal fees are used for the formation of the business as well as reviewing/generating
employee and client contracts.

Marketing fees are for the production of business cards and brochures.

Cleaning equipment must also be purchased with one set of equipment per employee. The
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major per employee expense is a commercial vacuum cleaner (consumer models will not
withstand continuous use) and assorted brooms, mops, and chemicals (biodegradable).

Uniforms will be used to give off a professional image.

Lastly, we will have a few magnetic company signs made to turn the employee car into the
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appearance of a company car.

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 Mother's House Cleaning Service

Table: Start-up

Start-up

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Requirements

Start-up Expenses
Legal $300
Stationery etc. $50

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Brochures $200
Insurance $500
Uniforms $100
Cleaning Equipment $800
Office Furniture $100
Communication Equipment $100
Computer Equipment $1,500

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Magnetic Car Signs $75
Cleaning Supplies $200
Other $0
Total Start-up Expenses $3,925

Start-up Assets Needed

Cash Balance on Starting Date $9,075

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Start-up Inventory $0
Other Current Assets $0
Total Current Assets $9,075

Long-term Assets $0
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Total Assets $9,075
Total Requirements $13,000

Funding

Investment
Investor 1 $13,000
Investor 2 $0
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Other $0
Total Investment $13,000

Current Liabilities
Accounts Payable $0
Current Borrowing $0
Other Current Liabilities $0
Current Liabilities $0

Long-term Liabilities $0
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Total Liabilities $0

Loss at Start-up ($3,925)

Total Capital $9,075
Total Capital and Liabilities $9,075
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 Mother's House Cleaning Service

Start-up

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$14,000

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$12,000

$10,000

$8,000

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$6,000

$4,000

$2,000

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$0
Expenses Assets Investment Loans
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3.0 Services

Mother's House Cleaning Service will provide a residential house cleaning service for the upper
end of the market. We will have two target customers:
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1. The affluent who has a spouse who does not work, but is not inclined to do housework.
To many a maid/house cleaner is a symbol of wealth, and this idea symbolizes this
group of customers.
2. The two-income households whose opportunity costs are too great to spend time
cleaning the house.

MHCS offers house cleaning to these targeted customers. House cleaning ranges from cleaning
of standard rooms such as kitchen, bathrooms, bedrooms, as well as more unusual jobs like
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small disasters from children and pets.

4.0 Market Analysis Summary

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Mother's House Cleaning Service will target the upper end of the house cleaning market. It
would appear, at least if you opened the yellow pages, that there is not a need for another
house cleaning service. Make no mistake however, there is a need for a quality, honest
service. MHCS is offering a high quality, totally trustworthy service for high income
households. Our service will ooze professionalism. We are perfectionists and this will be clear
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by our service.

Cleanly, WA currently has quite a range of different residential house cleaning services, from
independent companies to franchise services. No one else is specifically targeting the wealthy.
We will be targeting two wealthy populations:
1. Wealthy one-income households.
2. Affluent two-income households.

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 Mother's House Cleaning Service
Both of these targeted groups appreciate a professional, reliable, trustworthy, cleaning service
and are willing to pay a premium to get this top shelf level of service. We will be marketing our
service to these people through word of mouth referrals as well as through membership lists
from Cleanly's exclusive membership clubs.

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Cleanly, WA, like most cities, has lots of cleaning services. Although there are lots of
competitors, we are the only company to go after the upper socio/economic class exclusively.
Demand for a upper-end cleaning service will allow us to have steady growth.

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4.1 Market Segmentation

Mother's House Cleaning Service will be focusing on two upper socio/economic groups. The

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first is the affluent where only one spouse works. Although the other spouse is at home and
has time to clean, he/she chooses not to. This spouse would rather volunteer for a public
interest organization, play tennis and golf, or just spend time how he/she chooses to. They
have no desire to clean the house. To them that is not enjoyable and they have the money to
pay someone to do that kind of work. This market has annual incomes over $200,000 and live
in expensive houses. While Cleanly, WA only has 650 families that fall into this category, this

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group reliably uses cleaning services.

Our second segment of the market that we are targeting is the two income family. Over the
last couple of decades, the number of two-income households have increased, to a point
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where in parts of the country they exceed one income families. Our target customer is two
income families whose combined annual income is over $125,000. These families don't really
have the time to clean, can afford a cleaning service, and choose to hire a service because the
opportunity costs are too high to waste time cleaning their house. These households are
typically age 32-55 and live in houses valued over $250,000. Cleanly has approximately
10,000 families that fall into this demographic. It is this segment which has tremendous
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potential for us. Nearly 80% of dual income households use an outside cleaning service for
some of their house cleaning according to the U.S. Department of Commerce.

Additionally, there are some potential customers that MHCS has labeled as assorted "well-off"
households. These are families that have the money for our services that do not fit neatly into
the two previous categories.
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Table: Market Analysis

Market Analysis
Potential Customers Growth 2002 2003 2004 2005 2006 CAGR
Wealthy One-income 11% 7 8 9 10 11 11.96%
Households
Affluent Two-income 13% 8 9 10 11 12 10.67%
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Households
Assorted "Well-off" 6% 8 8 8 8 8 0.00%
Households
Total 7.75% 23 25 27 29 31 7.75%
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 Mother's House Cleaning Service

Market Analysis (Pie)

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Wealthy One-income Households
Affluent Two-income Households

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Assorted "Well-off" Households

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4.2 Target Market Segment Strategy

MHCS is focusing on these people because they appreciate a professional, reliable,

trustworthy, and immaculate house cleaning service, and are more than willing to pay for this.
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While Cleanly, WA has several different cleaning services, we are the only one that targets the
affluent exclusively. The wealthy are consistent customers. Whether they have a house
cleaning service does not depend on the finances each month. These groups always have the
money for our services, just as they always need/desire a clean house.

The affluent desire quality and are willing to pay a premium for a service that that they can
trust 100%, that extrudes professionalism, and basically allows them to forget that they have
to deal with whatever it takes to get a clean house. We do all of this in a seamless, customer
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centric manner.

We will market our company through a two-pronged approach. One prong is the distribution of
a color brochure detailing our services. The distribution of this document will be targeted to hit
our chosen segment. This will be done by setting up strategic relationships with organizations
or clubs whose members fits our targeted customer profile. Examples of this would be higher-
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end athletic clubs, country clubs, wine connoisseur clubs, etc. We will gain access to these
clubs membership through deals where the club owners will receive our services for
themselves to test the quality so they then feel comfortable with helping us by being a
"cheerleader" for our service.
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The second prong of our approach will be through word of mouth referrals. We will offer an
economic incentive (such as a free visit) to our customers if they bring in new business for us.
We believe this will be effective because the financial incentive will motivate their behavior,
and people naturally like to share good things with their friends.

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 Mother's House Cleaning Service

4.3 Competition and Buying Patterns

Although there are lots of competitors in the cleaning service space, there is good reason for

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this competition, demand is high. Plenty of maid/janitorial services have waiting lists, they are
unable to meet demand. Additionally, many of the maid and janitorial services are "mom and
pop" operations without enough employees. Cleaning service customers want quality, and not
everyone in the cleaning service space offers quality. How often when you ask one of your

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friends for a referral do they tell you they have been using a bunch of different companies and
they have yet to find one that they are truly happy with.

The residential house cleaning niche is a subset of the larger cleaning business. Within the
cleaning business, there are both residential as well as commercial cleaners. The commercial
cleaners are typically a janitorial service that offers a wide range of services from general

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office cleaning, to carpet cleaning, to window cleaning. Janitorial services are a one-stop
service offering for commercial businesses. There are also residential cleaning services. The
residential house cleaning market is serviced predominately by independent companies. There
are however, a few large franchises. Residential services are divided into a couple of different
categories, maid or house cleaners, carpet cleaners, window cleaners, and a variety of other
services that are required on a less frequent basis. They are far more restricted in their range

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of offered services relative to the commercial janitorial services.

We charge a premium for our services, and people are willing to pay to get our unsurpassed
level of professionalism, trustworthiness, and attention to detail. We provide the most pleasant
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experience possible.

5.0 Strategy and Implementation Summary

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Mother's House Cleaning Service will be courting the high income families in Cleanly, WA. We
will be attractive to these customers because of our commitment to professional, trustworthy
service. We will achieve this high level of service through extensive training and a continuous
learning process. MHCS will be qualifying leads over the phone with estimates and more
importantly, with in-house meetings. This sales strategy should yield a steady increase in jobs
starting from month two.
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5.1 Competitive Edge

Our competitive advantage will be based on our large investment in human capital. MHCS
begins with a rigorous training program for new employees. At the outset, employees with be
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trained on how to clean. Granted everyone has some idea on how to clean, but we will show
them a methodical way producing a far cleaner home more efficiently. We will then be training
employees to work effectively on teams. While there are some households that prefer
individual cleaners instead of a team, a request that we are more then happy to oblige, we
generally work in teams as they are more efficient. Working efficiently on a team takes
training, and through this team training, we are able to make significant gains in efficiency.
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The next topic of training involves professionalism. We provide our employees the tools
necessary to impress our most affluent clients. Professionalism is a skill that is used
throughout the service call, from the way the employee greets and interacts with the client, to
the way they clean, to the way they act when they break that priceless vase (which in the
inevitable case that we do break something, we have specific guidelines for the employee to
follow to resolve the conflict).

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 Mother's House Cleaning Service
We finally train our employees to know what the expectations of our clients are. We will
provide them the tools needed to exceed these expectations.

This extensive training, both up front, as well as continuously (called our continuous learning
system) builds a trust relationship between our company and the client. It is the bond of trust

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that will not only earn MHCS the loyalty of that customer but also the referral of several more
of their friends. Satisfied customers like to tell their friends about service providers that they
are happy with, people like to "spread the wealth" with their friends.

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Lastly we will emphasize our use of environmentally sound chemicals. Other companies also
use environmentally sound chemicals so this is not a huge differentiation, but it is something
that we are proud of, and will be mentioned.

We will also be creating the appearance of professionalism through the use of uniforms and

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large magnetic sign affixed to the side of the vehicles we use.

5.2 Sales Strategy

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The sales process will begin through the qualification of leads generated from our marketing
campaign. The marketing campaign will primarily generate leads through interest sparked
from our brochures. Someone will call to receive more information about our service, while we
will be able to give them an estimate over the phone, we would prefer to be able to get into
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their home and speak with them. On one hand we would be able to offer them a more
accurate estimate. More importantly however, it provides us an opportunity to impress them
with our company. We feel confident that since we are dealing with the affluent, who for many
services are less price sensitive, are more likely to be impressed with our professionalism,
"feel" an immediate trust bond forming, and sign up for the service.
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For those clients whom we are only able to speak with over the phone, we will initially quote
them a price. Because they are less price sensitive then the general population, we will then
detail why our service is priced a bit higher than most. Mother's House Cleaning Service will
explain all of the different training systems and methodologies that each employee goes
through, and what expectations are reasonable for the customer to form about our superior
service. This conversation will leave the prospective customer the impression that MHCS is
indeed different from the run of the mill residential cleaning services and that the price
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differential is justified.

Lastly, we will be qualifying the leads by explaining up front that our service is more
expensive. This is not a fact that we are trying to hide. We are setting up an expectation for
the customer that they can indeed expect more with our service. This "angle" is based on the
assumption that many people are not thrilled with their current cleaning service. Sure they
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clean adequately, but there is not a trust bond formed as if you had the same house cleaner
for 20 years who helped raise your children. This is how we will differentiate ourselves and
ultimately win over new customers.
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 Mother's House Cleaning Service

5.2.1 Sales Forecast

The first month will be used to set up the business. It is unlikely much/any business will be

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officially transacted. In addition to dealing with legal and accounting issues for the business,
office equipment will be purchased and set up. Once the physical office is ready we will then
develop the employee policy and procedure manual. Then we will develop our training
program. This will take a bit of time therefore it is very important it is set up at the outset,

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ensuring that it is completed and done properly when there are far less time constraints.

The second month will begin to see some activity. We will begin to field inquiries over the
phone and expect to turn some of those into contracts. The first week of jobs will be done as a
team, with Sarah and one employee. As the number of contracts begin to pick up at the end of
the second month an additional person will be hired to form the first employee team. By the

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end of month four we will have built up enough demand that a new team of two will be trained
and begin working. Having two teams of two will be sufficient until month seven when two
more people will be brought on. We expect to remain with a six person head count into mid-
year two when we expect to bring on one more team.

The sales forecast is based on the assumption that increased demand will occur at a steady

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pace. This is based on the assumption that a large part for our new clients after month two will
be from word of mouth referrals. The logic is that we will incrementally gain customers as we
continue to serve current customers. We will need a couple of visits before we can turn a new
client into a referral service. All this will happen steadily and incrementally. This forecast is on
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the conservative side, it is possible that because we are superior to competing services that
things really take off, however, it would not be prudent to take that aggressive of a forecast. It
is always better to err on the side of caution.

Table: Sales Forecast

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Sales Forecast
Sales 2002 2003 2004
Wealthy One-income Households $61,633 $67,796 $74,576
Affluent Two-income Households $126,937 $139,631 $153,594
Total Sales $188,570 $207,427 $228,170

Direct Cost of Sales 2002 2003 2004

Wealthy One-income Households $1,601 $1,681 $1,765
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Affluent Two-income Households $3,907 $4,102 $4,307

Subtotal Direct Cost of Sales $5,508 $5,783 $6,073
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 Mother's House Cleaning Service

Sales Monthly

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$30,000

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$25,000

$20,000

$15,000 Wealthy One-income Households

Affluent Two-income Households

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$10,000

$5,000

$0

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5.3 Milestones

Mother's House Cleaning Service will have several milestones early on:
1. Business plan completion. This will be done as a roadmap for the organization. While
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we do not need a business plan to raise capital, it will be an indispensable tool for the
ongoing performance and improvement of the company.
2. Set up the office. This will be done within the first month. This includes setting up the
physical office where business will be transacted.
3. Set up the supply room. This will be done in Sarah's garage. It will occur in the first
month and will be the place where all of the bulk, environmentally sound, chemicals will
be mixed into the proper concentrations.
4. Training program. This will be the development of a training program for the
ess

employees. The employees will receive initial sessions of training up-front, but will
undergo constant training, part of our constant learning process.
5. Welcoming our sixth employee.

Table: Milestones
sin

Milestones
Milestone Start Date End Date Budget Manager Department
Business Plan Completion 1/1/10 2/1/01 $0 Tookleen Management
Office Set-up 1/1/01 2/1/01 $0 Tookleen Management
Set-up Supply Room 1/1/01 2/1/01 $0 Tookleen Management
Training Program 1/1/01 2/1/01 $0 Tookleen Management
Bu

Welcome Sixth Employee 6/1/01 6/1/01 $0 Everyone Everyone

Totals $0

Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.comPage 11
 Mother's House Cleaning Service

6.0 Management Summary

Mother's House Cleaning Service is owned and operated by Sarah Tookleen. It will be formed

le
as a sole proprietorship. There is no compelling need to incorporate. The advantage of
incorporation, limited liability, can be offset by good insurance.

Sarah Tookleen, founder and owner, has a degree in History from Alfred University. Sarah

mp
spent three of her four years in college working for a Sanitation Management cleaning service.
Sanitation Management was both a residential and commercial cleaning service. Sarah worked
on a cleaning crew with two other individuals. By the end of Sarah's third year she was
promoted to crew manager and was responsible for coordinating the jobs for that crew, as well
as all customer interactions. After college, Sarah moved from New York to Seattle where she
was employed as a Manager of Immaculate Cleanception, a residential house cleaning service.

Sa
Sarah managed the 23 person organization for two years. Her responsibilities included all
facets of management including, hiring, training, customer service, inventory control, and
purchasing. It was her experience at Immaculate Cleanception that provided Sarah with the
skills and confidence to open up her own company. She decided to move Cleanly, an upscale
suburb of Seattle with her husband and start her own company.

6.1 Personnel Plan

ro
nP
The staff will consist of Sarah working full time for MHCS. Initially Sarah will be working in both
the office as well as on jobs, by the end of month two she will be working only in the office and
will have hired an additional employee. Month five will see an additional two people hired, and
month six will see two more hired for a total of six employees.

We will be paying our employees $12 an hour, quite a bit more than minimum wage. This is
Pla

calculated to attract a much higher caliber employee that is not looking for temporary
employment, but a stable job environment. This is compounded by the fact that in order to
make our training cost effective for us, we need this person to be a part of the company for an
extended period of time, not just a few months until a better job comes along. In addition to
paying an above market wage, we will be offering extensive training. This personal
development will be another attraction for the high caliber employee. The need for the higher
class employee is necessitated because of the upper end clients that we serve. In order to
ess

exceed the customer's expectations of our services, we need to have the right employee that
has been properly trained and feels a sense of empowerment on the job.

Sarah will be paid a salary of $2,000 a month. The rest of the profits will remain within the
business.
sin

Table: Personnel

Personnel Plan
2002 2003 2004
Owner $24,000 $25,200 $26,460
Employees $120,776 $126,815 $133,156
Bu

Total People 0 0 0
Total Payroll $144,776 $152,015 $159,616

Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.comPage 12
 Mother's House Cleaning Service

7.0 Financial Plan

The following subtopics will provide more financial information.

le
7.1 Important Assumptions

mp
See following table for MHCS' general assumptions.

Table: General Assumptions

Sa
General Assumptions
2002 2003 2004
Plan Month 1 2 3
Current Interest Rate 10.00% 10.00% 10.00%
Long-term Interest Rate 10.00% 10.00% 10.00%
Tax Rate 14.58% 25.00% 14.58%
Other 0.00% 0.00% 0.00%

ro
Calculated Totals
Payroll Expense $144,776 $152,015 $159,616
New Accounts Payable $182,754 $191,465 $202,302
Inventory Purchase $6,207 $5,834 $6,104
nP
Pla
ess
sin
Bu

Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.comPage 13
 Mother's House Cleaning Service

7.2 Break-even Analysis

The break-even analysis is based on the figure of $25.00 for the average billing unit. The

le
calculations are based on a $1.00 unit of revenue and costs a percentage of $1.00.

mp
Break-even Analysis

$20,000

$15,000

$10,000

Sa
$5,000

$0

($5,000)

($10,000)

ro
($15,000)
$0 $6,000 $12,000 $18,000 $24,000 $30,000

Monthly break-even point

nP
Break-even point = where line intersects with 0
Pla

Table: Break-even Analysis

Break-even Analysis:
Monthly Units Break-even 15,224
Monthly Revenue Break-even $15,224

Assumptions:
Average Per-Unit Revenue $1.00
Average Per-Unit Variable Cost $0.03
ess

Estimated Monthly Fixed Cost $14,755

sin
Bu

Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.comPage 14
 Mother's House Cleaning Service

7.3 Projected Profit and Loss

The following table will indicate projected profit and loss.

le
Profit Monthly

mp
$3,000

$2,000

Sa
$1,000

$0

($1,000)

ro
($2,000)

($3,000)
nP
($4,000)
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Table: Profit and Loss

Pla

Pro Forma Profit and Loss

2002 2003 2004
Sales $188,570 $207,427 $228,170
Direct Cost of Sales $5,508 $5,783 $6,073
Production Payroll $0 $0 $0
Other $0 $0 $0
------------ ------------ ------------
Total Cost of Sales $5,508 $5,783 $6,073
Gross Margin $183,062 $201,644 $222,097
ess

Gross Margin % 97.08% 97.21% 97.34%

Expenses:
Payroll $144,776 $152,015 $159,616
Depreciation $960 $960 $960
Chemicals and Supplies $1,665 $1,920 $4,048
Gas/Mileage Reimbursement $4,048 $4,048 $4,048
Leased Equipment $0 $0 $0
sin

Utilities $1,200 $1,200 $1,200

Insurance $2,400 $2,400 $2,400
Rent $0 $0 $0
Payroll Taxes $21,716 $22,802 $23,942
Contract/Consultants $300 $0 $0
------------ ------------ ------------
Total Operating Expenses $177,065 $185,345 $196,214
Bu

Profit Before Interest and Taxes $5,997 $16,299 $25,883

Interest Expense $0 $0 $0
Taxes Incurred $3,351 $4,075 $3,775
Net Profit $2,645 $12,224 $22,109
Net Profit/Sales 1.40% 5.89% 9.69%
Include Negative Taxes TRUE TRUE TRUE

Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.comPage 15
 Mother's House Cleaning Service

7.4 Projected Cash Flow

The following table will indicate projected cash flow.

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Cash

mp
$16,000

$14,000

$12,000

Sa
$10,000

$8,000

$6,000 Net Cash Flow

$4,000 Cash Balance

ro
$2,000

$0

($2,000)
nP
($4,000)
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Pla
ess
sin
Bu

Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.comPage 16
 Mother's House Cleaning Service

Table: Cash Flow

Pro Forma Cash Flow 2002 2003 2004

le
Cash Received
Cash from Operations:
Cash Sales $188,570 $207,427 $228,170
Cash from Receivables $0 $0 $0
Subtotal Cash from Operations $188,570 $207,427 $228,170

mp
Additional Cash Received
Non Operating (Other) Income $0 $0 $0
Sales Tax, VAT, HST/GST Received $0 $0 $0
New Current Borrowing $0 $0 $0
New Other Liabilities (interest-free) $0 $0 $0
New Long-term Liabilities $0 $0 $0

Sa
Sales of Other Current Assets $0 $0 $0
Sales of Long-term Assets $0 $0 $0
New Investment Received $0 $0 $0
Subtotal Cash Received $188,570 $207,427 $228,170

Expenditures 2002 2003 2004

Expenditures from Operations:

ro
Cash Spending $2,910 $2,828 $2,831
Payment of Accounts Payable $179,204 $191,565 $202,298
Subtotal Spent on Operations $182,114 $194,393 $205,129

Additional Cash Spent

nP
Non Operating (Other) Expense $0 $0 $0
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0
Principal Repayment of Current Borrowing $0 $0 $0
Other Liabilities Principal Repayment $0 $0 $0
Long-term Liabilities Principal Repayment $0 $0 $0
Purchase Other Current Assets $0 $0 $0
Purchase Long-term Assets $0 $0 $0
Dividends $0 $0 $0
Pla

Subtotal Cash Spent $182,114 $194,393 $205,129

Net Cash Flow $6,456 $13,034 $23,041

Cash Balance $15,531 $28,566 $51,606
ess
sin
Bu

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 Mother's House Cleaning Service

7.5 Projected Balance Sheet

The following table will indicate the projected balance sheet.

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Table: Balance Sheet

mp
Pro Forma Balance Sheet

Assets
Current Assets 2002 2003 2004
Cash $15,531 $28,566 $51,606
Inventory $699 $749 $780
Other Current Assets $0 $0 $0
Total Current Assets $16,230 $29,315 $52,387

Sa
Long-term Assets
Long-term Assets $0 $0 $0
Accumulated Depreciation $960 $1,920 $2,880
Total Long-term Assets ($960) ($1,920) ($2,880)
Total Assets $15,270 $27,395 $49,507

Liabilities and Capital

ro
2002 2003 2004
Accounts Payable $3,550 $3,451 $3,454
Current Borrowing $0 $0 $0
Other Current Liabilities $0 $0 $0
Subtotal Current Liabilities $3,550 $3,451 $3,454
nP
Long-term Liabilities $0 $0 $0
Total Liabilities $3,550 $3,451 $3,454

Paid-in Capital $13,000 $13,000 $13,000

Retained Earnings ($3,925) ($1,280) $10,944
Earnings $2,645 $12,224 $22,109
Total Capital $11,720 $23,944 $46,053
Pla

Total Liabilities and Capital $15,270 $27,395 $49,507

Net Worth $11,720 $23,944 $46,053

7.6 Business Ratios

The following table contains important business ratios from the building maintenance services
ess

industry, as determined by the Standard Industry Classification (SIC) Index code 7349.
sin
Bu

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 Mother's House Cleaning Service

Table: Ratios

Ratio Analysis
2002 2003 2004 Industry Profile

le
Sales Growth 0.00% 10.00% 10.00% 7.30%

Percent of Total Assets

Accounts Receivable 0.00% 0.00% 0.00% 24.70%
Inventory 4.58% 2.73% 1.58% 3.80%

mp
Other Current Assets 0.00% 0.00% 0.00% 44.90%
Total Current Assets 106.29% 107.01% 105.82% 73.40%
Long-term Assets -6.29% -7.01% -5.82% 26.60%
Total Assets 100.00% 100.00% 100.00% 100.00%

Current Liabilities 0.00% 0.00% 0.00% 44.40%

Long-term Liabilities 0.00% 0.00% 0.00% 16.40%

Sa
Total Liabilities 0.00% 0.00% 0.00% 60.80%
Net Worth 100.00% 100.00% 100.00% 39.20%

Percent of Sales
Sales 100.00% 100.00% 100.00% 100.00%
Gross Margin 97.08% 97.21% 97.34% 0.00%
Selling, General & Administrative Expenses 94.22% 93.58% 91.63% 81.70%

ro
Advertising Expenses 0.93% 1.06% 1.03% 1.30%
Profit Before Interest and Taxes 3.18% 7.86% 11.34% 2.00%

Main Ratios
Current 4.57 8.50 15.17 1.67
nP
Quick 4.37 8.28 14.94 1.33
Total Debt to Total Assets 23.25% 12.60% 6.98% 60.80%
Pre-tax Return on Net Worth 51.16% 68.07% 56.20% 3.50%
Pre-tax Return on Assets 39.27% 59.50% 52.28% 9.00%

Business Vitality Profile 2002 2003 2004 Industry

Sales per Employee $0 $0 $0 $22,170
Survival Rate 56.61%
Pla

Additional Ratios 2002 2003 2004

Net Profit Margin 1.40% 5.89% 9.69% n.a
Return on Equity 22.57% 51.05% 48.01% n.a

Activity Ratios
Accounts Receivable Turnover 0.00 0.00 0.00 n.a
Collection Days 0 0 0 n.a
Inventory Turnover 12.00 7.99 7.94 n.a
Accounts Payable Turnover 51.48 55.49 58.57 n.a
ess

Payment Days 4 80 75
Total Asset Turnover 12.35 7.57 4.61 n.a

Debt Ratios
Debt to Net Worth 0.30 0.14 0.07 n.a
Current Liab. to Liab. 1.00 1.00 1.00 n.a
sin

Liquidity Ratios
Net Working Capital $12,680 $25,864 $48,933 n.a
Interest Coverage 0.00 0.00 0.00 n.a

Additional Ratios
Assets to Sales 0.08 0.13 0.22 n.a
Current Debt/Total Assets 23% 13% 7% n.a
Bu

Acid Test 4.37 8.28 14.94 n.a

Sales/Net Worth 16.09 8.66 4.95 n.a
Dividend Payout 0.00 0.00 0.00 n.a

Copyright © Palo Alto Software, Inc. 1995-2007 All rights reserved. Not for resale, reproduction, publication, or distribution. www.paloalto.comPage 19
 Appendix

l e
Appendix Table: Sales Forecast

Sales Forecast

p
Sales Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Wealthy One-income Households $1,700 $1,700 $2,745 $2,900 $5,308 $5,600 $5,812 $6,900 $6,954 $7,014 $7,100 $7,900
Affluent Two-income Households $4,150 $4,150 $4,745 $4,900 $9,197 $9,558 $10,400 $14,880 $15,300 $15,311 $17,041 $17,305

m
Total Sales $5,850 $5,850 $7,490 $7,800 $14,505 $15,158 $16,212 $21,780 $22,254 $22,325 $24,141 $25,205

Direct Cost of Sales Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

a
Wealthy One-income Households $60 $60 $65 $68 $132 $145 $154 $165 $174 $181 $187 $210
Affluent Two-income Households $151 $151 $160 $165 $354 $365 $371 $387 $412 $445 $457 $489

S
Subtotal Direct Cost of Sales $211 $211 $225 $233 $486 $510 $525 $552 $586 $626 $644 $699

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P la
e s s
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 Appendix

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Appendix Table: Personnel

Personnel Plan

p
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Owner $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000
Employees $2,250 $3,185 $6,200 $6,254 $10,029 $10,111 $10,115 $13,874 $14,001 $14,654 $15,001 $15,102

m
Total People 0 0 0 0 0 0 0 0 0 0 0 0
Total Payroll $4,250 $5,185 $8,200 $8,254 $12,029 $12,111 $12,115 $15,874 $16,001 $16,654 $17,001 $17,102

S a
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P la
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 Appendix

l e
Appendix Table: General Assumptions

General Assumptions

p
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
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%

m
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 0.00% 0.00% 0.00% 0.00% 0.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00%
Other 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

a
Calculated Totals
Payroll Expense $4,250 $5,185 $8,200 $8,254 $12,029 $12,111 $12,115 $15,874 $16,001 $16,654 $17,001 $17,102

S
New Accounts Payable $5,520 $6,851 $10,321 $10,385 $15,164 $15,026 $15,268 $19,865 $20,116 $20,741 $21,448 $22,049
Inventory Purchase $422 $211 $239 $241 $739 $534 $540 $579 $620 $666 $662 $754

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 Appendix

l e
Appendix Table: Profit and Loss

Pro Forma Profit and Loss

p
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Sales $5,850 $5,850 $7,490 $7,800 $14,505 $15,158 $16,212 $21,780 $22,254 $22,325 $24,141 $25,205
Direct Cost of Sales $211 $211 $225 $233 $486 $510 $525 $552 $586 $626 $644 $699

m
Production Payroll $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
------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------

a
Total Cost of Sales $211 $211 $225 $233 $486 $510 $525 $552 $586 $626 $644 $699
Gross Margin $5,639 $5,639 $7,265 $7,567 $14,019 $14,648 $15,687 $21,228 $21,668 $21,699 $23,497 $24,506

S
Gross Margin % 96.39% 96.39% 97.00% 97.01% 96.65% 96.64% 96.76% 97.47% 97.37% 97.20% 97.33% 97.23%
Expenses:
Payroll $4,250 $5,185 $8,200 $8,254 $12,029 $12,111 $12,115 $15,874 $16,001 $16,654 $17,001 $17,102
Depreciation $80 $80 $80 $80 $80 $80 $80 $80 $80 $80 $80 $80

o
Chemicals and Supplies $0 $135 $135 $135 $155 $155 $155 $155 $160 $160 $160 $160
Gas/Mileage Reimbursement $0 $368 $368 $368 $368 $368 $368 $368 $368 $368 $368 $368

r
Leased Equipment $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Utilities $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100
Insurance $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200

P
Rent $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Payroll Taxes 15% $638 $778 $1,230 $1,238 $1,804 $1,817 $1,817 $2,381 $2,400 $2,498 $2,550 $2,565
Contract/Consultants $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $300
------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------

n
Total Operating Expenses $5,268 $6,846 $10,313 $10,375 $14,736 $14,831 $14,835 $19,158 $19,309 $20,060 $20,459 $20,875
Profit Before Interest and Taxes $372 ($1,207) ($3,048) ($2,808) ($717) ($183) $852 $2,070 $2,359 $1,639 $3,038 $3,631

la
Interest Expense $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Taxes Incurred $0 $0 $0 $0 $0 ($46) $213 $517 $590 $410 $759 $908
Net Profit $372 ($1,207) ($3,048) ($2,808) ($717) ($137) $639 $1,552 $1,769 $1,229 $2,278 $2,723
Net Profit/Sales 6.35% -20.63% -40.69% -36.00% -4.95% -0.90% 3.94% 7.13% 7.95% 5.51% 9.44% 10.80%

P
Include Negative Taxes

e s s
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 Appendix

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Appendix Table: Cash Flow

Pro Forma Cash Flow Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

p
Cash Received
Cash from Operations:

m
Cash Sales $5,850 $5,850 $7,490 $7,800 $14,505 $15,158 $16,212 $21,780 $22,254 $22,325 $24,141 $25,205
Cash from Receivables $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash from Operations $5,850 $5,850 $7,490 $7,800 $14,505 $15,158 $16,212 $21,780 $22,254 $22,325 $24,141 $25,205

a
Additional Cash Received

S
Non Operating (Other) Income $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
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

o
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

r
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 $5,850 $5,850 $7,490 $7,800 $14,505 $15,158 $16,212 $21,780 $22,254 $22,325 $24,141 $25,205

P
Expenditures Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Expenditures from Operations:
Cash Spending $89 $125 $151 $151 $231 $213 $240 $310 $323 $315 $353 $408

n
Payment of Accounts Payable $4,745 $6,536 $10,100 $10,380 $14,467 $15,182 $15,038 $19,260 $20,003 $20,804 $21,118 $21,571
Subtotal Spent on Operations $4,835 $6,662 $10,251 $10,531 $14,698 $15,396 $15,278 $19,569 $20,326 $21,119 $21,472 $21,979

la
Additional Cash Spent
Non Operating (Other) Expense $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

P
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

s
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

s
Subtotal Cash Spent $4,835 $6,662 $10,251 $10,531 $14,698 $15,396 $15,278 $19,569 $20,326 $21,119 $21,472 $21,979

e
Net Cash Flow $1,015 ($812) ($2,761) ($2,731) ($193) ($238) $934 $2,211 $1,928 $1,206 $2,669 $3,226
Cash Balance $10,090 $9,279 $6,518 $3,787 $3,594 $3,356 $4,290 $6,501 $8,430 $9,636 $12,305 $15,531

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 Appendix

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Appendix Table: Balance Sheet

Pro Forma Balance Sheet

p
Assets
Current Assets Starting Balances Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

m
Cash $9,075 $10,090 $9,279 $6,518 $3,787 $3,594 $3,356 $4,290 $6,501 $8,430 $9,636 $12,305 $15,531
Inventory $0 $211 $211 $225 $233 $486 $510 $525 $552 $586 $626 $644 $699
Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

a
Total Current Assets $9,075 $10,301 $9,490 $6,743 $4,020 $4,080 $3,866 $4,815 $7,053 $9,016 $10,262 $12,949 $16,230
Long-term Assets

S
Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Accumulated Depreciation $0 $80 $160 $240 $320 $400 $480 $560 $640 $720 $800 $880 $960
Total Long-term Assets $0 ($80) ($160) ($240) ($320) ($400) ($480) ($560) ($640) ($720) ($800) ($880) ($960)
Total Assets $9,075 $10,221 $9,330 $6,503 $3,700 $3,680 $3,386 $4,255 $6,413 $8,296 $9,462 $12,069 $15,270

o
Liabilities and Capital

r
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Accounts Payable $0 $775 $1,090 $1,311 $1,316 $2,013 $1,857 $2,087 $2,693 $2,806 $2,743 $3,072 $3,550
Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

P
Other Current Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Current Liabilities $0 $775 $1,090 $1,311 $1,316 $2,013 $1,857 $2,087 $2,693 $2,806 $2,743 $3,072 $3,550

Long-term Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

n
Total Liabilities $0 $775 $1,090 $1,311 $1,316 $2,013 $1,857 $2,087 $2,693 $2,806 $2,743 $3,072 $3,550

la
Paid-in Capital $13,000 $13,000 $13,000 $13,000 $13,000 $13,000 $13,000 $13,000 $13,000 $13,000 $13,000 $13,000 $13,000
Retained Earnings ($3,925) ($3,925) ($3,925) ($3,925) ($3,925) ($3,925) ($3,925) ($3,925) ($3,925) ($3,925) ($3,925) ($3,925) ($3,925)
Earnings $0 $372 ($835) ($3,883) ($6,691) ($7,409) ($7,546) ($6,907) ($5,354) ($3,585) ($2,356) ($78) $2,645
Total Capital $9,075 $9,447 $8,240 $5,192 $2,384 $1,666 $1,529 $2,168 $3,721 $5,490 $6,719 $8,997 $11,720

P
Total Liabilities and Capital $9,075 $10,221 $9,330 $6,503 $3,700 $3,680 $3,386 $4,255 $6,413 $8,296 $9,462 $12,069 $15,270
Net Worth $9,075 $9,447 $8,240 $5,192 $2,384 $1,666 $1,529 $2,168 $3,721 $5,490 $6,719 $8,997 $11,720

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