Wedding Consultant Business Plan

TLC Wedding Consultants

Executive Summary
TLC Wedding Consultants is a full service company that provides complete consulting services
for weddings, holy unions and anniversaries. Our consultants are experienced and dedicated
professionals with many years of event planning experience. TLC is unique in that we give our
clients our undivided attention. We listen to their needs and work with them to create the event
of their dreams. Our clients' wishes become our commands. So whether our client wants a
Western, Tropical, Las Vegas or more traditional wedding, we can help. Our services include
weddings, honeymoons, receptions, anniversary consultations, budget planning, answers to
etiquette questions, as well as full-service referrals to florists, hair stylists, entertainers,
musicians, etc.

1.1 Mission

TLC Wedding Consultants is a full service company that provides complete consulting services
for weddings, holy unions and anniversaries. Our consultants are experienced and dedicated
professionals with many years of event planning experience. TLC is unique in that we give our
clients our undivided attention. We listen to their needs and work with them to create the event
of their dreams. Our clients' wishes become our commands. So whether our client wants a
Western, Tropical, Las Vegas or more traditional wedding or anniversary party, we can help. Our
services include weddings, honeymoons, receptions, anniversary consultations, budget planning,
answers to etiquette questions, as well as full-service referrals to florists, hair stylists,
entertainers, musicians, etc.

1.2 Objectives

Whether this is our client's first wedding, a renewal of their vows or their anniversary, we want
every detail of their event to be both a pleasurable and a memorable experience. Therefore we
offer a host of packages and services specifically tailored to the needs of each couple. We are
confident that this business venture will be a success and we estimate that our net income will
increase modestly by the second year.

1.3 Keys to Success

The keys to our success are as follows:

1. Service our clients' needs promptly and efficiently.

2. Maintain an excellent working relationships with vendors such as florists, hair salons and
bridal shops.
3. Maintain a professional image at all times.
Company Summary
TLC Wedding Consultants is a start-up company that provides wedding, holy union, and
anniversary consulting services to brides, grooms and other family members. We are a full-
service bridal consulting group and our goal is to put the "fun" back into planning a wedding,
holy union or anniversary party. Too many people become overly stressed and frustrated when
planning these wonderful events. We are experienced and professional consultants and will use
our expertise to help create memorable and stress free events for our customers. By doing this,
our clients can sit back and enjoy their event. The result? We create events suited to the couple's
unique style--a true expression of their relationship and individuality as a couple.

2.1 Company Ownership

This business will start out as a simple proprietorship, owned by its founders, Darla and Micah
Johnson. As the operation grows, the owners will consider re-registering as a limited liability
company or as a corporation, whichever will better suite the future business needs.

2.2 Start-up Summary

The company founders, Darla and Micah Johnson, will handle day-to-day operations of the plan
and will work collaboratively to ensure that this business venture is a success.

We estimate that our start-up costs will be $3,000 (including legal costs, logo design, advertising,
direct mail, and related expenses). An additional $5,000 will be required in the bank account as
an operating capital for the first two months of operation. The start-up costs are to be financed in
equal portions by the owners' personal funds (i.e., Darla and Micah Johnson are investing $4,000
each).
Start-up
Requirements
Start-up Expenses
Legal $200
Stationery etc. $450
Brochures $450
Insurance $300
Research and
$200
development
Expensed equipment $900
Other $500
Total Start-up Expenses $3,000
Start-up Assets
Cash Required $5,000
Other Current Assets $0
Long-term Assets $0
Total Assets $5,000
Total Requirements $8,000

Start-up Funding
Start-up Expenses to Fund $3,000
Start-up Assets to Fund $5,000
Total Funding Required $8,000
Assets
Non-cash Assets from Start-up $0
Cash Requirements from Start-up $5,000
Additional Cash Raised $0
Cash Balance on Starting Date $5,000
Total Assets $5,000
Liabilities and Capital
Liabilities
Current Borrowing $0
Long-term Liabilities $0
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $0
Capital
Planned Investment
Darla Johnson $4,000
Micah Johnson $4,000
Additional Investment Requirement $0
Total Planned Investment $8,000
Loss at Start-up (Start-up Expenses) ($3,000)
Total Capital $5,000
Total Capital and Liabilities $5,000
Total Funding $8,000

2.3 Company Locations and Facilities

Initially this will be a home-based business; however, by Year 5, we intend to expand our
facilities into a well-equipped and operational office.
Services
We are a full-service wedding consultant group and provide the following services: etiquette
advice, event scheduling, discounted invitations and products, vendor confirmation, rehearsal
attendance, supervision of both ceremony and reception setup and budget planning.

Market Analysis Summary

Nearly $35 billion are spent every year on weddings and receptions. Therefore, professional
wedding consultants are a commodity, not a calamity. TLC Wedding Consultants are full-service
wedding consultants that offer a variety of services to our clients. We pride ourselves on being
professional and courteous at all times and we have packages to suit everyone's needs.

As previously stated, marriage is a billion dollar industry, therefore, just about everyone we meet
is a potential client. However, we mostly advertise to brides, grooms, and family members.

4.1 Market Segmentation

Although the flash and excitement of impending nuptials can be intoxicating, it can also be
overwhelming. Therefore, we primarily market our services to the people who need them most--
brides and grooms. In 1997, 2.4 million marriages took place in the United States. According to
the Encarta Encyclopedia, the current US marriage rate of nine marriages per 1,000 people is still
the highest rate among the industrialized countries. This marriage rate is expected to remain at
the same level in the near future. In the Eugene, OR area where TLC Wedding Consultants plans
to operate their business, over 1,500 marriages are registered each year, which creates a sizable
market potential for this line of business.

Another customer segment is represented by the numerous family members and guests attending
weddings, anniversaries, and similar events. This segment requires event preparation services
like gift ideas, etiquette tips, etc.

Besides the wedding arrangements, which TLC Wedding Consultants believe to be their major
client assignments, other events the company will provide services to include corporate retreats,
etiquette training, etc. This customer segment is estimated to have the annual volume of 1,000
orders in the Eugene, OR area.
Market Analysis
Year 1 Year 2 Year 3 Year 4 Year 5
Potential
Growth CAGR
Customers
Brides & Grooms 5% 1,500 1,575 1,654 1,737 1,824 5.01%
Family Members 5% 5,000 5,250 5,513 5,789 6,078 5.00%
Other 5% 1,000 1,050 1,103 1,158 1,216 5.01%
Total 5.00% 7,500 7,875 8,270 8,684 9,118 5.00%

4.2 Target Market Segment Strategy

TLC Wedding Consultants will offer its services mostly to the brides and grooms, as well as to
the family members. The company will position itself as an experienced provider of wedding
planning services. Unlike most of its competitors, TLC will be offering a full range of services
and thus provide the convenience of one-stop shopping for its clients. This will significantly
reduce the customers' time and efforts preparing for such an important event as a wedding.
Moreover, by utilizing numerous supplier contacts that the company owners have established
and economies of scale, TLC Wedding Consultants will be able to pass on to its customers
sizable cost savings.

4.2.1 Market Needs

The market needs for wedding planning services are strongly shaped by the customers' desire to
have a perfectly planned and executed wedding ceremony. Although both major customer
segments, brides and grooms and family members, plan and budget for the wedding ceremony as
far as a year or more in advance, they often realize that they cannot make all the necessary
preparations by themselves in a cost effective manner. Strongly affected by the established social
values, such customers seek professional advice to ensure that all the important aspects of the
wedding ceremony meet or exceed perceived expectations.

4.3 Service Business Analysis

The wedding services market is fragmented with the overwhelming majority of the incumbents
offering only a limited line of services. There are numerous florists, hair stylists, and caterers to
choose from. However, there are almost no companies that will provide the full range of services
associated with the wedding planning and execution.

4.3.1 Competition and Buying Patterns

Competitive analysis conducted by the company owners has shown that there are 20 companies
currently offering some sort of wedding planning services in the Eugene area. However, the
majority of the incumbent competitors offer only a limited line of services like catering, flower
arrangements or gifts. In fact, of these 25 competitors only three offered a range of services
comparable with what TLC Wedding Consultants plan to offer to its customers. The following is
the list of the major competitors with a brief description of their services:

 Rent-An-Action offers ceremony preparation, rehearsing and execution services.

 Cross & Reeves provide flower and catering arrangements and wedding consulting
services.
 Lafayette Wedding offers its clients entertaining, catering, floral design and hair styling
services.

The market research has also shown that customers anticipate the complete wedding consulting
services to be expensive and they budget accordingly. In fact, lower prices are very often
associated with poor service quality. By aggregating a complete range of wedding services under
one roof, TLC Wedding Consultants will offer its customers the ease of one-stop shopping.

Strategy and Implementation Summary

Our strategy is simple: we intend to provide our customers with a wide range of services custom
tailored to their individual needs. Therefore, whether they require a complete package, or simply
consulting on a particular service, we can help.

5.1 Competitive Edge

By aggregating a complete range of wedding services under one roof, TLC Wedding Consultants
will offer its customers the ease of one-stop shopping. The company will leverage its owners'
expertise in planning such events to competitively position itself as a premier provider of
wedding services. Both owners have very strong communication skills that will help develop the
'buzz' about the high quality of the services offered by TLC Wedding Consultants.

5.2 Sales Strategy

The company's sales strategy will be based on the following elements:

 Advertising in the Yellow Pages - two inch by three inch ads describing the services will
be placed in the local Yellow Pages.
  Placing advertisements in the local press, including The Register Guard, Eugene Weekly,
The Oregon Daily Emerald.
 Developing affiliate relationships with other service providers (florists, hair stylists,
caterers) that would receive a percentage of sales to the referred customers.
 Word of mouth referrals - generating sales leads in the local community through
customer referrals.

Sales Forecast
Year 1 Year 2 Year 3
Sales
Brides & Grooms $54,200 $65,040 $71,544
Family Members $25,800 $30,960 $34,056
Other $15,300 $18,360 $20,196
Total Sales $95,300 $114,360 $125,796
Direct Cost of Sales Year 1 Year 2 Year 3
Row 1 $0 $0 $0
Row 1 $0 $0 $0
Other $0 $0 $0
Subtotal Direct Cost of $0 $0 $0
Sales

Management Summary
Our wedding consultants are Darla and Micah Johnson. Collaboratively they have planned and
serviced over 150 weddings and receptions. They are knowledgeable about all areas of planning,
decorating, as well as budgeting. Darla has a BS in Communications and a minor in Interior
Decorating. She has been a wedding consultant for five years and became interested in providing
consultant services when she successfully planned her first five weddings for family and friends.
Since then, Darla has received extensive training in wedding planning and her certification from
the National Association of Wedding Consultants and Professional Wedding Planners. Micah has
an Associates Degree in Fashion Design, and, like Darla, she became interested in becoming a
consultant when she successfully planned her first three weddings. Micah received her
certification from the National Association of Wedding Consultants and has been a wedding
planner for three years. Micah enjoys all aspects of planning traditional and nontraditional
weddings.

6.1 Personnel Plan

Initially, TLC Wedding Consultants' personnel will include only the two owners, both of whom
will be working full time. As the personnel plan shows, we expect to hire an additional wedding
consultant in the next year This person will work full time, but will not be included in the
management decisions.

Personnel Plan
Year 1 Year 2 Year 3
Owner $53,100 $76,200 $85,800
Other $0 $0 $0
Total People 0 0 0
Total Payroll $53,100 $76,200 $85,800

Financial Plan
The following subtopics represent the financial plan of TLC Wedding Consultants.

7.1 Break-even Analysis

The following table and chart summarize our break-even analysis.

Break-even Analysis
Monthly Revenue Break-even $4,804
Assumptions:
Average Percent Variable
0%
Cost
Estimated Monthly Fixed
$4,804
Cost

7.2 Projected Profit and Loss

Our projected profit and loss is shown in the following table.

Pro Forma Profit and Loss
Year 1 Year 2 Year 3
Sales $95,300 $114,360 $125,796
Direct Cost of Sales $0 $0 $0
Other $0 $0 $0
Total Cost of Sales $0 $0 $0
Gross Margin $95,300 $114,360 $125,796
Gross Margin % 100.00% 100.00% 100.00%
Expenses
Payroll $53,100 $76,200 $85,800
Sales and Marketing and Other Expenses $4,550 $1,000 $2,000
Depreciation $0 $0 $0
Leased Equipment $0 $0 $0
Utilities $0 $0 $0
Insurance $0 $0 $0
Rent $0 $0 $0
Payroll Taxes $0 $0 $0
Other $0 $0 $0
Total Operating Expenses $57,650 $77,200 $87,800
Profit Before Interest and Taxes $37,650 $37,160 $37,996
EBITDA $37,650 $37,160 $37,996
Interest Expense $0 $0 $0
Taxes Incurred $9,443 $9,290 $9,657
Net Profit $28,208 $27,870 $28,339
Net Profit/Sales 29.60% 24.37% 22.53%

7.3 Projected Cash Flow

The following chart and table show our cash flow projections.

Pro Forma Cash Flow

Year 1 Year 2 Year 3
Cash Received
Cash from Operations
Cash Sales $38,120 $45,744 $50,318
Cash from Receivables $45,494 $66,279 $74,075
Subtotal Cash from Operations $83,614 $112,023 $124,394
Additional Cash Received
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
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 $83,614 $112,023 $124,394
Expenditures Year 1 Year 2 Year 3
Expenditures from Operations
Cash Spending $53,100 $76,200 $85,800
Bill Payments $12,748 $10,689 $11,545
Subtotal Spent on Operations $65,848 $86,889 $97,345
Additional Cash Spent
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
Subtotal Cash Spent $65,848 $86,889 $97,345
Net Cash Flow $17,766 $25,134 $27,049
Cash Balance $22,766 $47,900 $74,949

General Assumptions
Year 1 Year 2 Year 3
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 25.42% 25.00% 25.42%
Other 0 0 0

7.4 Projected Balance Sheet

Three years of annual totals are presented in the Projected Balance Sheet below. First year
monthly figures are included in the appendix.

Pro Forma Balance Sheet

Year 1 Year 2 Year 3
Assets
Current Assets
Cash $22,766 $47,900 $74,949
Accounts Receivable $11,686 $14,023 $15,426
Other Current Assets $0 $0 $0
Total Current Assets $34,452 $61,923 $90,374
Long-term Assets
Long-term Assets $0 $0 $0
Accumulated Depreciation $0 $0 $0
Total Long-term Assets $0 $0 $0
Total Assets $34,452 $61,923 $90,374
Liabilities and Capital Year 1 Year 2 Year 3
Current Liabilities
Accounts Payable $1,245 $846 $958
Current Borrowing $0 $0 $0
Other Current Liabilities $0 $0 $0
Subtotal Current Liabilities $1,245 $846 $958
Long-term Liabilities $0 $0 $0
Total Liabilities $1,245 $846 $958
Paid-in Capital $8,000 $8,000 $8,000
Retained Earnings ($3,000) $25,208 $53,078
Earnings $28,208 $27,870 $28,339
Total Capital $33,208 $61,078 $89,416
Total Liabilities and
$34,452 $61,923 $90,374
Capital
Net Worth $33,207 $61,078 $89,416

7.5 Business Ratios

The following table outlines some of the more important ratios from the Personal
Services industry. The final column, Industry Profile, details specific ratios based on the industry
as it is classified by the Standard Industry Classification (SIC) code, 7299.

Ratio Analysis
Year 1 Year 2 Year 3 Industry Profile
Sales Growth 0.00% 20.00% 10.00% 17.90%
Percent of Total Assets
Accounts Receivable 33.92% 22.65% 17.07% 11.10%
Other Current Assets 0.00% 0.00% 0.00% 37.10%
Total Current Assets 100.00% 100.00% 100.00% 52.80%
Long-term Assets 0.00% 0.00% 0.00% 47.20%
Total Assets 100.00% 100.00% 100.00% 100.00%
Current Liabilities 3.61% 1.37% 1.06% 33.90%
Long-term Liabilities 0.00% 0.00% 0.00% 28.00%
Total Liabilities 3.61% 1.37% 1.06% 61.90%
Net Worth 96.39% 98.63% 98.94% 38.10%
Percent of Sales
Sales 100.00% 100.00% 100.00% 100.00%
Gross Margin 100.00% 100.00% 100.00% 0.00%
Selling, General & Administrative
70.37% 75.63% 77.35% 72.70%
Expenses
Advertising Expenses 3.52% 0.87% 1.59% 2.20%
Profit Before Interest and Taxes 39.51% 32.49% 30.20% 4.00%
Main Ratios
Current 27.68 73.22 94.32 1.81
Quick 27.68 73.22 94.32 1.33
Total Debt to Total Assets 3.61% 1.37% 1.06% 61.90%
Pre-tax Return on Net Worth 113.38% 60.84% 42.49% 6.30%
Pre-tax Return on Assets 109.28% 60.01% 42.04% 16.60%
Additional Ratios Year 1 Year 2 Year 3
Net Profit Margin 29.60% 24.37% 22.53% n.a
Return on Equity 84.94% 45.63% 31.69% n.a
Activity Ratios
Accounts Receivable Turnover 4.89 4.89 4.89 n.a
Collection Days 57 68 71 n.a
Accounts Payable Turnover 11.24 12.17 12.17 n.a
Payment Days 27 37 28 n.a
Total Asset Turnover 2.77 1.85 1.39 n.a
Debt Ratios
Debt to Net Worth 0.04 0.01 0.01 n.a
Current Liab. to Liab. 1.00 1.00 1.00 n.a
Liquidity Ratios
Net Working Capital $33,207 $61,078 $89,416 n.a
Interest Coverage 0.00 0.00 0.00 n.a
Additional Ratios
Assets to Sales 0.36 0.54 0.72 n.a
Current Debt/Total Assets 4% 1% 1% n.a
Acid Test 18.29 56.64 78.22 n.a
Sales/Net Worth 2.87 1.87 1.41 n.a
Dividend Payout 0.00 0.00 0.00 n.a

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
Brides & Grooms 0% $2,900 $3,100 $3,300 $3,500 $4,000 $5,400 $4,600 $5,000 $5,200 $5,500 $5,700 $6,000
Family Members 0% $1,600 $1,700 $1,800 $1,900 $2,000 $2,100 $2,200 $2,300 $2,400 $2,500 $2,600 $2,700
Other 0% $1,200 $1,200 $1,200 $1,200 $1,200 $1,300 $1,300 $1,300 $1,300 $1,300 $1,400 $1,400
Total Sales $5,700 $6,000 $6,300 $6,600 $7,200 $8,800 $8,100 $8,600 $8,900 $9,300 $9,700 $10,100
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
Row 1 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Row 1 $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
Subtotal Direct Cost of Sales $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

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
Owner 0% $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $5,700 $5,700 $5,700
Other 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total People 0 0 0 0 0 0 0 0 0 0 0 0
Total Payroll $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $5,700 $5,700 $5,700

General Assumptions
Month
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11
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
10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00%
Rate
Tax Rate 30.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00%
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 $5,700 $6,000 $6,300 $6,600 $7,200 $8,800 $8,100 $8,600 $8,900 $9,300 $9,700 $10,100
Direct Cost of Sales $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 Cost of Sales $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Gross Margin $5,700 $6,000 $6,300 $6,600 $7,200 $8,800 $8,100 $8,600 $8,900 $9,300 $9,700 $10,100
Gross Margin % 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Expenses
Payroll $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $5,700 $5,700 $5,700
Sales and Marketing and $1,100 $250 $250 $250 $600 $250 $250 $250 $600 $250 $250 $250
Other Expenses
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 $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 $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 $5,100 $4,250 $4,250 $4,250 $4,600 $4,250 $4,250 $4,250 $4,600 $5,950 $5,950 $5,950
Profit Before Interest and
$600 $1,750 $2,050 $2,350 $2,600 $4,550 $3,850 $4,350 $4,300 $3,350 $3,750 $4,150
Taxes
EBITDA $600 $1,750 $2,050 $2,350 $2,600 $4,550 $3,850 $4,350 $4,300 $3,350 $3,750 $4,150
Interest Expense $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Taxes Incurred $180 $438 $513 $588 $650 $1,138 $963 $1,088 $1,075 $838 $938 $1,038
Net Profit $420 $1,313 $1,538 $1,763 $1,950 $3,413 $2,888 $3,263 $3,225 $2,513 $2,813 $3,113
Net Profit/Sales 7.37% 21.88% 24.40% 26.70% 27.08% 38.78% 35.65% 37.94% 36.24% 27.02% 28.99% 30.82%

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 $2,280 $2,400 $2,520 $2,640 $2,880 $3,520 $3,240 $3,440 $3,560 $3,720 $3,880 $4,040
Cash from Receivables $0 $114 $3,426 $3,606 $3,786 $3,972 $4,352 $5,266 $4,870 $5,166 $5,348 $5,588
Subtotal Cash from Operations $2,280 $2,514 $5,946 $6,246 $6,666 $7,492 $7,592 $8,706 $8,430 $8,886 $9,228 $9,628
Additional Cash Received
Sales Tax, VAT, HST/GST
0.00% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Received
New Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Other Liabilities (interest-
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
free)
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 $2,280 $2,514 $5,946 $6,246 $6,666 $7,492 $7,592 $8,706 $8,430 $8,886 $9,228 $9,628
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 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $5,700 $5,700 $5,700
Bill Payments $43 $1,260 $690 $765 $851 $1,255 $1,382 $1,217 $1,349 $1,655 $1,091 $1,191
Subtotal Spent on Operations $4,043 $5,260 $4,690 $4,765 $4,851 $5,255 $5,382 $5,217 $5,349 $7,355 $6,791 $6,891
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Out
Principal Repayment of Current
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Borrowing
Other Liabilities Principal
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Repayment
Long-term Liabilities Principal
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Repayment
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 $4,043 $5,260 $4,690 $4,765 $4,851 $5,255 $5,382 $5,217 $5,349 $7,355 $6,791 $6,891
Net Cash Flow ($1,763) ($2,746) $1,256 $1,481 $1,815 $2,237 $2,210 $3,489 $3,081 $1,531 $2,437 $2,737
Cash Balance $3,237 $491 $1,747 $3,228 $5,043 $7,280 $9,491 $12,980 $16,061 $17,592 $20,029 $22,766

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
Starting
Assets
Balances
Current Assets
Cash $5,000 $3,237 $491 $1,747 $3,228 $5,043 $7,280 $9,491 $12,980 $16,061 $17,592 $20,029 $22,766
Accounts Receivable $0 $3,420 $6,906 $7,260 $7,614 $8,148 $9,456 $9,964 $9,858 $10,328 $10,742 $11,214 $11,686
Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Current Assets $5,000 $6,657 $7,397 $9,007 $10,842 $13,191 $16,736 $19,455 $22,838 $26,389 $28,334 $31,243 $34,452
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 $5,000 $6,657 $7,397 $9,007 $10,842 $13,191 $16,736 $19,455 $22,838 $26,389 $28,334 $31,243 $34,452
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 $1,237 $665 $737 $810 $1,208 $1,341 $1,172 $1,293 $1,619 $1,051 $1,148 $1,245
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 $1,237 $665 $737 $810 $1,208 $1,341 $1,172 $1,293 $1,619 $1,051 $1,148 $1,245
Long-term Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Liabilities $0 $1,237 $665 $737 $810 $1,208 $1,341 $1,172 $1,293 $1,619 $1,051 $1,148 $1,245
Paid-in Capital $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000 $8,000
Retained Earnings ($3,000) ($3,000) ($3,000) ($3,000) ($3,000) ($3,000) ($3,000) ($3,000) ($3,000) ($3,000) ($3,000) ($3,000) ($3,000)
Earnings $0 $420 $1,733 $3,270 $5,033 $6,983 $10,395 $13,283 $16,545 $19,770 $22,283 $25,095 $28,208
Total Capital $5,000 $5,420 $6,733 $8,270 $10,033 $11,983 $15,395 $18,283 $21,545 $24,770 $27,283 $30,095 $33,208
Total Liabilities and Capital $5,000 $6,657 $7,397 $9,007 $10,842 $13,191 $16,736 $19,455 $22,838 $26,389 $28,334 $31,243 $34,452
Net Worth $5,000 $5,420 $6,733 $8,270 $10,033 $11,983 $15,395 $18,283 $21,545 $24,770 $27,282 $30,095 $33,207

1.0 Executive Summary

 Mission
 Objectives
 Keys to Success

2.0 Company Summary

 Company Ownership
 Start-up Summary
 Company Locations and Facilities

3.0 Services

4.0 Market Analysis Summary

 Market Segmentation
 Target Market Segment Strategy
o Market Needs
 Service Business Analysis
o Competition and Buying Patterns

5.0 Strategy and Implementation Summary

 Competitive Edge
 Sales Strategy

6.0 Management Summary

 Personnel Plan

7.0 Financial Plan

 Break-even Analysis
 Projected Profit and Loss
 Projected Cash Flow
 Projected Balance Sheet
 Business Ratios
Appendix