Executive Summary This business plan outlines the strategy for sales of enterprise software planning solutions to medium-sized

companies and franchises. Corporate Software Sales (CSS) will act as the direct sales arm of a software manufacturing firm based in Oregon. We expect a high degree of profitability based on our plan to key in on businesses that have already expressed the need for such services and products to the software manufacturer. Our management expertise in dealing with corporate decision makers and our partner's reputation will be the cornerstone of our success.

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan 1.1 Objectives Market a business planning software package to corporate managers and achieve $60K in commission fees in year one. Customize the software to the individual needs of each client. Provide training and follow-up service to each client. 1.2 Mission The employees of CSS recognize that information is vital for management and presenting that information in an efficient and easily understood framework is crucial. Also, not every business manager requires similar tools; what works for a service based company might be useless for a manufacturer. That's why we market an already proven third-party software planning tool which we will customize to the client's individual needs. Although we recognize the intimate relationship

between profitability and quality products, we know that our success is ultimately dependent on the well-being of our employees. 1.3 Keys to Success The success of our company is dependent on our ability to: Anticipate clients needs. Adapt software solutions to these needs. Identify industries/corporations that need planning tools.

Company Summary CSS provides enterprise-corporate planning software solutions. We identify companies' planning needs and work with a third-party manufacturer to create software to address these needs. Although the actual software is produced out-ofhouse, we guarantee the customer the right solution. 2.1 Start-up Summary Start-up expenses, which cover phone calls, office furniture, letterhead and business cards come to $3,050. We also need $11,000 of cash on hand. These costs will either be financed by owner investment or through financing from the software manufacturing partner. Details and assumptions are summarized in the following chart and table.

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Start-up Requirements Start-up Expenses Legal $300 Stationery etc. $250 Brochures $0 Consultants $0 Insurance $1,000 Rent $0 Research and development $0 Expensed equipment $1,500 Other $0 Total Start-up Expenses $3,050 Start-up Assets Cash Required $11,000 Other Current Assets $0 Long-term Assets $0 Total Assets $11,000 Total Requirements $14,050 Need real financials? We recommend using Business Plan Pro as the easiest way to create automatic financials for your own business plan. Edit this sample plan Start-up Funding Start-up Expenses to Fund Start-up Assets to Fund Total Funding Required Assets Non-cash Assets from Start-up Cash Requirements from Start-up Additional Cash Raised Cash Balance on Starting Date Total Assets Liabilities and Capital

$3,050 $11,000 $14,050 $0 $11,000 $0 $11,000 $11,000

Liabilities Current Borrowing $0 Long-term Liabilities $0 Accounts Payable (Outstanding Bills) $500 Other Current Liabilities (interest-free) $0 Total Liabilities $500 Capital Planned Investment Investor 1 $9,000 Investor 2 $4,550 Other $0 Additional Investment Requirement $0 Total Planned Investment $13,550 Loss at Start-up (Start-up Expenses) ($3,050) Total Capital $10,500 Total Capital and Liabilities $11,000 Total Funding $14,050 2.2 Company Locations and Facilities The company will be located in a home-based office in Portland, Oregon. This location is ideal, as it is close to the software manufacturer's facilities and several of the first potential clients' home offices.

Products and Services CSS will provide medium- and large-sized companies with enterprise-wide collaborative planning solutions. We will also provide consulting services by helping companies recognize opportunities for using technology to streamline their business processes. Finally, we will provide complete training for the use of solutions purchased from us. 3.1 Product and Service Description Software CSS software products consist of a business planning software package that is proven in the consumer market. In fact, this product is the top-rated and bestselling small business planning package. The enterprise version will be similar to the consumer version however, it will be modified to fit the needs of different clients. The product will allow corporate sales forces and franchises to use planning tools to achieve tremendous efficiencies in their business processes. In

essence, a sales force will be able to write concise business plans for any customer and through the use of an extranet, allow the customer to collaboratively plan their own account. Franchises will be able to create a road map of their business plans that corporate managers can monitor and adjust accordingly. The possibility exists to customize the product to work with other collaborative tools such as LotusNotes and the clients email applications. Consulting CSS will perform an analysis of all potential clients' planning strategies and tactics as well as their degree of aptitude with planning software and information technology. The goal of this analysis is to ensure that all clients get a solution that best fits their needs and capabilities. Whether they decide to purchase the product or not they will have an expert analysis of their planning strategies. Training CSS will provide further value to our customers, and ease the customer service burden on our partner, by ensuring that all product users are properly trained in the use of all software solutions. Interface Through the software manufacturer, CSS will provide an additional product which will give the client a dedicated service representative--eliminating the need for product updates. This will in essence create a "living" product which can grow and adapt with the clients' needs. The interface representative will function through the clients' established extranet. 3.2 Competitive Comparison Alternative products do not offer a complete package of tools. For example, to get similar results from another product(s) the client would have to integrate complex spreadsheets, word processing software, instructions and Web based collaboration themselves. 3.3 Technology The software package runs on Windows 95, 98, 2000, Windows NT, and Macintosh platforms.

Market Analysis Summary We operate in the business-to-business segment of e-commerce which recent research estimates transactions in excess of $160 billion (www.ecommerceguide.com). Our market is further segmented into companies with sales forces greater than 100 people and companies with branches, divisions or franchises in excess of 100 units.

4.1 Market Segmentation We segment our market by size of sales force and number of company subunits. Our target customers will have sales operations in excess of 100 direct sales representatives or more than 100 organizational subdivisions or franchises. For the first three years of operation we will focus on U.S. companies in the Pacific Northwest, California and the Southwest. Geographically this make sense as our office is central to these regions and management has established key client contacts in each of these areas. Larger clients are more likely to benefit from the efficiencies our product offers and will provide fees that will sustain our profitability. Exact figures for the number of businesses are hard to determine, however, the lean structure of our company will allow us to be profitable by generating two to three new clients per year.

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan Market Analysis Year Year Year Year Year 1 2 3 4 5 Potential Growth CAGR

Customers Sales Companies 3% 500 515 530 546 562 Franchises 2% 800 812 824 836 849 Other 5% 200 210 221 232 244 Total 2.49% 1,500 1,537 1,575 1,614 1,655 Need real financials?

2.97% 1.50% 5.10% 2.49%

We recommend using Business Plan Pro as the easiest way to create automatic financials for your own business plan. Edit this sample plan 4.2 Target Market Segment Strategy Our strategy is designed to target:

Medium- to large-size organizations whose sales forces provide their clients with proposals and plans that the client either collaborates on, or would benefit from collaboration. Companies that sell franchise rights and take an active role in the success of their franchises. Larger clients that will provide greater revenues through a larger volume of software licensing sales and greater chance of selling client interface solution.

4.2.1 Market Trends The most significant trend affecting our company is the growth of business-tobusiness e-commerce. More and more firms recognize the need to take advantage of the exchange of information over the Internet and our products and services rely on this. 4.2.2 Market Growth The fastest growing segment of the e-commerce industry is the business-tobusiness sector. This segment has gone from less than $50 billion to more than $160 billion in three years. 4.2.3 Market Needs

Customization-products that strengthen their brand and address their differences:

We will "Private Label" the solution so as to further strengthen the clients' brand. We recognize that different clients will have varying levels of sophistication and we will design different product templates for each customer.

Speed, efficiency and information:

Our product will allow the client to make better and faster business decisions and receive quicker feedback from their end-customer. Managers will have the ability to monitor the progress and profitability of their staff.

4.3 Service Business Analysis Customers tend to buy enterprise software solutions based on reputation, price and reliability. Also, compatibility with existing or legacy systems is very important. With this in mind, the key decision makers and influencer(s) will be the companies' chief financial officer and chief information officer. 4.3.1 Business Participants There are currently several companies that provide business planning software for desktop applications, but as yet none of these offer enterprise-wide solutions. Additional competitors are companies which provide word processing, spreadsheet and collaborative planning software, as well as publishers of business planning literature. Page

Strategy and Implementation Summary Various strategy/and implementation topics are discussed in the following sections. 5.1 Competitive Edge Our greatest strength and competitive edge is the reputation and success of the desktop software product. This product is the market leader in sales and consumer ratings. Our success will rely upon building on those strengths. We will also rely on our experience working with decision makers at the corporate level.

5.2 Marketing Strategy We will position CSS as the best planning consultant for large corporations interested in the desktop software we sell. The software's reputation is already established, so we need to focus on our understanding of the needs of large corporations and franchises, and how we can translate that into finding the correct software solution. 5.2.1 Pricing Strategy This is an expensive solution to develop and maintain, and the price will reflect the premium quality of the offering. Set-up costs to the client will run between $100K$200K. The dedicated service option is approximately $5K/year. Software licenses are $100/year. 5.3 Sales Strategy We will first target the corporate offices of franchises with more than 100 units, and companies with sales forces in excess of 100 personnel. The software manufacturer has already provided the names and contact information for several firms which fit this profile. These firms have approached the software manufacturer about enterprise solutions in the past. The software firm has also provided a list of larger businesses that purchased an executive version of their desktop product. We will contact these firms with the idea of helping them take this planning tool to the next level. Management of CSS has business contacts at the decision maker level for several more prospects as well. These will be our secondary targets. Tertiary targets will come from lists of firms fitting the above criteria which management has generated through Web-based market research efforts. Tactics for approaching these prospects will be indirect, i.e., we will contact sales managers and/or franchisees to establish whether the firm fits our profile and then probe for upper or middle level management contact information. We will attempt to establish a face-to-face meeting with decision makers (CFO, CIO, COO) where we will present a proposal tailored to their needs. If possible, we will also have this proposal reside on an extranet so that the client can modify the proposal and see first-hand how the product and service work. 5.3.1 Sales Forecast Our sales consist of two services--consulting and training, and one product-the software/extranet package (called start-up sales). Our services provide a fraction of the revenue we will receive for the software/extranet solution, but they will sustain our cash flow needs while we develop the enterprise sales. Sales of consulting, training and product are predicted to grow at 30%, 20% and 10% respectively. Costs associated with these sales are estimated at 10% for start-up sales, 40% for consulting fees and 50% for training. We expect these costs to decrease two, five, and ten percentage points respectively in years two and three.

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan Sales Forecast Year 1 Year 2 Year 3 Sales Start-up fees $150,000 $165,000 $189,750 Consulting fees $2,400 $3,120 $4,368 Training fees $2,550 $3,060 $3,978 Total Sales $154,950 $171,180 $198,096 Direct Cost of Sales Year 1 Year 2 Year 3 Start-up fees $15,000 $13,200 $15,180 Consulting fees $960 $1,092 $1,529 Training fees $1,275 $1,224 $1,591 Subtotal Direct Cost of Sales $17,235 $15,516 $18,300 Need real financials? We recommend using Business Plan Pro as the easiest way to create automatic financials for your own business plan. Edit this sample plan

Management Summary Ronald Ivanhoe, 33, founded the company in September of 2000 to take advantage of a partnership opportunity with a highly successful Pacific NW software company. He has an MBA in marketing and e-commerce from the University of Arizona, and has designed numerous successful business plans for companies in the manufacturing, e-commerce and entertainment sectors. He consults with insurance brokers, e-commerce, and manufacturing companies in marketing strategies. He has lived in Asia for five years, speaks Japanese fluently and currently resides in Portland, OR. 6.1 Personnel Plan Payroll expenses reflect the salary of Mr. Ivanhoe. Personnel Plan Ivanhoe Other Total People Total Payroll Year 1 Year 2 $80,000 $85,000 $0 $0 0 0 $80,000 $85,000 Year 3 $90,000 $0 0 $90,000

Financial Plan The most crucial issue affecting our financial plan is the receipt of start-up fees for the customization and installation of the software and extranet solution. This drives our cash flow, and all other aspects of our operation. 7.1 Important Assumptions This table summarizes the general assumptions used to project our balance sheet. General Assumptions Plan Month Current Interest Rate Long-term Interest Rate Tax Rate Other Need real financials? Year 1 1 10.00% 8.00% 30.00% 0 Year 2 2 10.00% 8.00% 30.00% 0 Year 3 3 10.00% 8.00% 30.00% 0

We recommend using Business Plan Pro as the easiest way to create automatic financials for your own business plan. Edit this sample plan 7.2 Key Financial Indicators The chart below shows the relative relationships, year-to-year, of four business indicators; sales, gross margin, operating expenses, collection days of accounts receivable.

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan 7.3 Break-even Analysis We have a break-even point in sales/month for year one as shown below.

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan Break-even Analysis Monthly Revenue Break-even $8,450 Assumptions: Average Percent Variable Cost 11% Estimated Monthly Fixed Cost $7,510 7.4 Projected Profit and Loss Monthly P&L fluctuate drastically due to the work required before a sale is closed. One to two months prior to closing a sale, we will incur travel costs and other miscellaneous expenses associated with our consulting service. Expenses are approximately 40% of fees. Set-up costs to the client (our commission), drive revenue in the period a sale is made, as do training fees. Associated direct costs are 10% and 50% respectively; however, as we anticipate a learning curve in training costs, these decrease to a flat rate in year two of eight percent. The direct cost of start-up fees is our major expense. As the client prepares to go live with the product, we will need to travel more frequently to the site, bring in their key end-customers, and travel to the manufacturer more frequently as well. We have anticipated that start-up fees will grow 10% in year two and 15% in year three. Consulting fees are projected to grow at a steady rate of 20% and training fees at 30%. As a result, net profit is projected to grow at a conservative and realistic rate for the first three years.

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan Pro Forma Profit and Loss Year 1 Year 2 Year 3

Sales $154,950 $171,180 $198,096 Direct Cost of Sales $17,235 $15,516 $18,300 Other $0 $0 $0 Total Cost of Sales $17,235 $15,516 $18,300 Gross Margin $137,715 $155,664 $179,796 Gross Margin % 88.88% 90.94% 90.76% Expenses Payroll $80,000 $85,000 $90,000 Marketing/Promotion $4,000 $5,000 $6,000 Depreciation $0 $0 $0 Utilities $480 $500 $550 Insurance $1,440 $1,440 $1,440 Rent $4,200 $4,200 $4,350 Payroll Taxes $0 $0 $0 Other $0 $0 $0 Total Operating Expenses $90,120 $96,140 $102,340 Profit Before Interest and Taxes $47,595 $59,524 $77,456 EBITDA $47,595 $59,524 $77,456 Interest Expense $0 $0 $0 Taxes Incurred $14,279 $17,857 $23,237 Net Profit $33,317 $41,667 $54,219 Net Profit/Sales 21.50% 24.34% 27.37% 7.5 Projected Cash Flow Our cash flow assumptions are dependent on the start-up fee. We will receive 1520% of the total fee in commission. Historical values of start-up fees are from $150K to $200K and the accounts have taken from one to four months to close. Conservative estimates lead us to believe that we can attain sales revenue from start-up fees of between $135K and $140K in year one.

Need actual charts? We recommend using Business Plan Pro as the easiest way to create graphs for your own business plan. Edit this sample plan Pro Forma Cash Flow Year 1 Cash Received Cash from Operations Cash Sales Cash from Receivables Subtotal Cash from Operations Additional Cash Received Sales Tax, VAT, HST/GST Received New Current Borrowing New Other Liabilities (interestfree) New Long-term Liabilities Sales of Other Current Assets Sales of Long-term Assets New Investment Received Year 2 Year 3

$77,475 $76,895

$85,590 $85,529

$99,048 $98,947 $197,995

$154,370 $171,119

$0 $0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0 $0

Subtotal Cash Received $154,370 $171,119 $197,995 Expenditures Year 1 Year 2 Year 3 Expenditures from Operations Cash Spending $80,000 $85,000 $90,000 Bill Payments $33,015 $49,973 $53,107 Subtotal Spent on Operations $113,015 $134,973 $143,107 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 $113,015 $134,973 $143,107 Net Cash Flow $41,355 $36,146 $54,888 Cash Balance $52,355 $88,501 $143,389 7.6 Projected Balance Sheet Balance sheet is a result of key assumptions and estimated sales/cash flows. Pro Forma Balance Sheet Year 1 Assets Current Assets Cash Accounts Receivable Other Current Assets Total Current Assets Long-term Assets Long-term Assets Accumulated Depreciation Year 2 Year 3

$52,355 $580 $0 $52,935 $0 $0

$88,501 $641 $0 $89,142 $0 $0

$143,389 $742 $0 $144,131 $0 $0

Total Long-term Assets $0 $0 $0 Total Assets $52,935 $89,142 $144,131 Liabilities and Capital Year 1 Year 2 Year 3 Current Liabilities Accounts Payable $9,119 $3,659 $4,428 Current Borrowing $0 $0 $0 Other Current Liabilities $0 $0 $0 Subtotal Current Liabilities $9,119 $3,659 $4,428 Long-term Liabilities $0 $0 $0 Total Liabilities $9,119 $3,659 $4,428 Paid-in Capital $13,550 $13,550 $13,550 Retained Earnings ($3,050) $30,267 $71,933 Earnings $33,317 $41,667 $54,219 Total Capital $43,817 $85,483 $139,703 Total Liabilities and Capital $52,935 $89,142 $144,131 Net Worth $43,817 $85,483 $139,703 Need real financials? We recommend using Business Plan Pro as the easiest way to create automatic financials for your own business plan. Edit this sample plan 7.7 Business Ratios The following table outlines important business ratios for pre-packaged software, as described by the standard industry classification (SIC) index, 7372. Ratio Analysis Year 1 Year 2 Year 3 0.00% 10.47% 15.72% Industry Profile 9.70% 21.50% 45.70% 70.20% 29.80% 100.00% 42.40%

Sales Growth Percent of Total Assets Accounts Receivable 1.10% 0.72% 0.51% Other Current Assets 0.00% 0.00% 0.00% Total Current Assets 100.00% 100.00% 100.00% Long-term Assets 0.00% 0.00% 0.00% Total Assets 100.00% 100.00% 100.00% Current Liabilities 17.23% 4.10% 3.07%

Long-term Liabilities 0.00% 0.00% 0.00% Total Liabilities 17.23% 4.10% 3.07% Net Worth 82.77% 95.90% 96.93% Percent of Sales Sales 100.00% 100.00% 100.00% Gross Margin 88.88% 90.94% 90.76% Selling, General & Administrative Expenses 65.84% 64.01% 60.68% Advertising Expenses 0.00% 0.00% 0.00% Profit Before Interest and Taxes 30.72% 34.77% 39.10% Main Ratios Current 5.81 24.36 32.55 Quick 5.81 24.36 32.55 Total Debt to Total Assets 17.23% 4.10% 3.07% Pre-tax Return on Net Worth 108.62% 69.63% 55.44% Pre-tax Return on Assets 89.91% 66.77% 53.74% Additional Ratios Year 1 Year 2 Year 3 Net Profit Margin 21.50% 24.34% 27.37% Return on Equity 76.04% 48.74% 38.81% Activity Ratios Accounts Receivable Turnover 133.58 133.58 133.58 Collection Days 60 3 3 Accounts Payable Turnover 4.57 12.17 12.17 Payment Days 67 52 27 Total Asset Turnover 2.93 1.92 1.37 Debt Ratios Debt to Net Worth 0.21 0.04 0.03 Current Liab. to Liab. 1.00 1.00 1.00 Liquidity Ratios

19.20% 61.60% 38.40% 100.00% 100.00% 79.40% 1.30% 2.20% 1.51 1.16 61.60% 3.50% 9.20% n.a n.a

n.a n.a n.a n.a n.a n.a n.a

Net Working Capital Interest Coverage Additional Ratios Assets to Sales Current Debt/Total Assets Acid Test Sales/Net Worth Dividend Payout

$43,817 $85,483 $139,703 0.00 0.00 0.00 0.34 17% 5.74 3.54 0.00 0.52 4% 24.19 2.00 0.00 0.73 3% 32.38 1.42 0.00

n.a n.a n.a n.a n.a n.a n.a

Appendix Sales Forecast Mon Mon Mon Mont Mont Mon Mon Mont Mon Mon Mon Mont th th th 1 h 2 h 3 th 4 th 5 h 6 th 7 th 8 th 9 h 10 11 12 Sales Startup fees Consult ing fees Trainin g fees Total Sales Direct Cost of Sales Startup fees Consult ing fees Trainin g fees Subtot 0 $45,0 $25,0 $30,0 % $0 00 00 $0 $0 00 0 % $500 $300 $0 $600 $200 $0 0 % $0 $300 $250 $0 $0 $400 $45,6 $25,2 $30,4 $500 00 50 $600 $200 00 $50,0 $0 00

$0

$0

$0

$0

$0 $400 $200 $0 $0

$0 $400

Mon Mont Mont Mon Mon Mont Mon Mon th 1 h 2 h 3 th 4 th 5 h 6 th 7 th 8 $4,50 $2,50 $3,00 $0 0 0 $0 $0 0 $0 $0 $200 $120 $0 $240 $80 $0

$0 $200 $0 $1,0 $0 $600 00 $0 $50,6 $1,2 $200 00 00 $0 Mon Mon Mon Mont th th th 9 h 10 11 12 $5,00 $0 0 $0 $0 $0 $80 $0 $0 $0

$0 $160 $80

$0 $150 $125 $0 $0 $200 $200 $4,77 $2,62 $240 $80 $3,20

$0 $0 $0 $300 $500 $0 $160 $80 $5,30 $580

al 0 5 0 0 Direct Cost of Sales Need real financials? We recommend using Business Plan Pro as the easiest way to create automatic financials for your own business plan. Edit this sample plan Personnel Plan Mon Mon th 1 th 2 Ivanh 0 $6,0 $6,0 oe % 00 00 0 Other % $0 $0 Total Peopl e 0 0 Total Payr $6,0 $6,0 oll 00 00

Mon Mon Mon Mon Mon Mon Mon Mon Mont Mont th 3 th 4 th 5 th 6 th 7 th 8 th 9 th 10 h 11 h 12 $6,0 $6,0 $6,0 $6,0 $6,0 $6,0 $6,0 $6,0 $10,0 $10,0 00 00 00 00 00 00 00 00 00 00 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

$6,0 $6,0 $6,0 $6,0 $6,0 $6,0 $6,0 $6,0 $10,0 $10,0 00 00 00 00 00 00 00 00 00 00

General Assumptions Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon th 1 th 2 th 3 th 4 th 5 th 6 th 7 th 8 th 9 th 10 th 11 th 12 Plan Mont h 1 2 3 4 5 6 7 8 9 10 11 12 Curr ent Inter est 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 % % % % % % % % % % % % Long -term Inter 8.00 8.00 8.00 8.00 8.00 8.00 8.00 8.00 8.00 8.00 8.00 8.00 est % % % % % % % % % % % %

Rate Ta x Tax Ra 30.00 30.00 30.00 30.00 30.00 30.00 30.00 30.00 30.00 30.00 30.00 30.00 Rate te % % % % % % % % % % % % Othe r 0 0 0 0 0 0 0 0 0 0 0 0 Pro Forma Profit and Loss Mo Mo Mon nth nth th 1 2 3 $45, $25, Sales $500 600 250 Direct Cost $4,7 $2,6 of Sales $200 70 25 Other $0 $0 $0 Total Cost $4,7 $2,6 of Sales $200 70 25 Gross $40, $22, Margin $300 830 625 Gross 60.0 89.5 89.6 Margin % 0% 4% 0% Expenses $6,0 $6,0 $6,0 Payroll 00 00 00 Marketing/ $1,0 $1,0 Promotion $0 00 00 Depreciatio n $0 $0 $0 Utilities $40 $40 $40 $12 $12 Insurance $120 0 0 $35 $35 Rent $350 0 0 Payroll 15 Taxes % $0 $0 $0

Mo Mo Mo Mon Mon Mont nth nth Mont Mont nth th Mon th 4 h 5 6 7 h 8 h 9 10 11 th 12 $30, $50, $1,2 $600 $200 400 $0 $400 $200 600 00 $0 $3,2 $5,3 $240 $80 00 $0 $160 $80 00 $580 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $3,2 $5,3 $240 $80 00 $0 $160 $80 00 $580 $0 $27, $45, $360 $120 200 $0 $240 $120 300 $620 $0 60.0 60.00 89.4 0.00 60.00 60.00 89.5 51.6 0.00 0% % 7% % % % 3% 7% % $6,0 $6,00 $6,0 $6,0 $6,00 $6,00 $6,0 $10, $10, 00 0 00 00 0 0 00 000 000 $1,0 $1,0 $0 $0 00 $0 $0 $0 00 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $40 $40 $40 $40 $40 $40 $40 $40 $12 $12 $12 $120 $120 0 0 $120 $120 0 $120 $120 $35 $35 $35 $350 $350 0 0 $350 $350 0 $350 $350 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $40

Other Total Operating Expenses Profit Before Interest and Taxes EBITDA Interest Expense Taxes Incurred Net Profit Net Profit/Sale s

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$6,5 $7,5 $7,5 $6,5 $6,51 $7,5 $6,5 $6,51 $6,51 $7,5 $10, $10, 10 10 10 10 0 10 10 0 0 10 510 510

($6,2 $33, $15, ($6,1 ($6,3 $19, ($6, ($6,2 ($6,3 $37, ($9,8 10) 320 115 50) 90) 690 510) 70) 90) 790 90) ($6,2 $33, $15, ($6,1 ($6,3 $19, ($6, ($6,2 ($6,3 $37, ($9,8 10) 320 115 50) 90) 690 510) 70) 90) 790 90) $0 $0 $0 $0 ($1,8 $9,9 $4,5 ($1,8 63) 96 35 45) ($4,3 $23, $10, ($4,3 47) 324 581 05) 869. 51.1 41.9 717. 40% 5% 0% 50% $0 $0 $0 ($1,9 $5,9 ($1, 17) 07 953) ($4,4 $13, ($4, 73) 783 557) 2236. 45.3 0.00 50% 4% % $0 ($1,8 81) ($4,3 89) 1097. 25%

($10, 510) ($10, 510)

$0 $0 $0 $0 ($1,9 $11, ($2,9 ($3,1 17) 337 67) 53) ($4,4 $26, ($6,9 ($7,3 73) 453 23) 57) 2236. 52.2 576. 0.00 50% 8% 92% %

Pro Forma Cash Flow Mon Mon Mon Mon Mon Mon Mon Mon Mont Mon Mon th Mont th th 1 th 2 th 3 th 4 th 5 th 6 h 7 th 8 th 9 10 h 11 12 Cash Receive d Cash from Operatio ns Cash Sales Cash from Receiva bles

$22, $12, $15, $250 800 625 $300 $100 200

$25, $0 $200 $100 300 $600

$0

$0

$1,0 $22, $12, $14, $8 02 461 214 $293 $603 693

$24, $7 $197 $940 477

Subtota l Cash from Operati $22, $13, $22, $12, $15, $14, $25, $1,54 $24, ons $250 808 627 761 314 493 $603 893 $107 497 0 477 Additio nal Cash Receive d Sales Tax, VAT, HST/GS T Receive 0.0 d 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 New Current Borrowi ng $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 New Other Liabiliti es (interest -free) $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 New Longterm Liabiliti es $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 Longterm $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Assets New Investm ent Receive d Subtota l Cash Receive d Expend itures Expendi tures from Operatio ns Cash Spendin g Bill Payment s Subtota l Spent on Operati ons Additio nal Cash Spent Sales Tax, VAT, HST/GS T Paid Out

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$22, $13, $22, $12, $15, $14, $25, $1,54 $24, $250 808 627 761 314 493 $603 893 $107 497 0 477 Mon Mon Mon Mon Mon Mon Mon Mon Mont Mon Mon th Mont th th 1 th 2 th 3 th 4 th 5 th 6 h 7 th 8 th 9 10 h 11 12

$6,0 $6,0 $6,0 $6,0 $6,0 $6,0 $6,00 $6,0 $6,0 $6,0 $10,0 $10, 00 00 00 00 00 00 0 00 00 00 00 000 ($65 ($57 $16, $7,2 ($2,3 ($92 $8,82 ($2,6 ($2,4 ($67 $15,6 ($4,4 3) 2) 022 86 86) 9) 0 06) 98) 8) 65 57)

$5,3 $5,4 $22, $13, $3,6 $5,0 $14,8 $3,3 $3,5 $5,3 $25,6 $5,5 47 28 022 286 15 71 20 94 02 22 65 43

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

Principa l Repaym ent of Current Borrowi ng Other Liabiliti es Principa l Repaym ent Longterm Liabiliti es Principa l Repaym ent Purchas e Other Current Assets Purchas e Longterm Assets Dividen ds Subtota l Cash Spent Net Cash Flow

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0 $0

$0 $0

$0 $0

$0 $0

$0 $0

$0 $0

$0 $0

$0 $0

$0 $0

$0 $0

$0 $0

$0 $0

$5,3 $5,4 $22, $13, $3,6 $5,0 $14,8 $3,3 $3,5 $5,3 $25,6 $5,5 47 28 022 286 15 71 20 94 02 22 65 43 ($5,0 $17, ($8,3 $9,4 $8,7 $10, ($14, $11, ($3,3 $20, ($24, $18, 97) 380 96) 75 00 422 217) 499 96) 175 125) 934

Cash $5,9 $23, $14, $24, $33, $43, $29,2 $40, $37, $57, $33,4 $52, Balance 03 283 888 363 063 485 68 767 372 546 21 355 Need real financials? We recommend using Business Plan Pro as the easiest way to create automatic financials for your own business plan. Edit this sample plan Pro Forma Balance Sheet Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon th th th th 1 th 2 th 3 th 4 th 5 th 6 th 7 th 8 th 9 10 11 12 Start ing Bala Assets nces Current Assets $11,0 $5,9 $23, $14, $24, $33, $43, Cash 00 03 283 888 363 063 485 Accoun ts Receiva $23, $34, $12, $15, ble $0 $250 042 665 504 $390 297 Other Current Assets $0 $0 $0 $0 $0 $0 $0 Total Curren $11,0 $6,1 $46, $49, $36, $33, $58, t Assets 00 53 325 553 867 453 781 Longterm Assets Longterm Assets $0 $0 $0 $0 $0 $0 $0 Accum ulated Depreci $0 $0 $0 $0 $0 $0 $0

$29, $40, $37, $57, $33, $52, 268 767 372 546 421 355

$14, $25, $25, 693 $200 $293 397 057 $580

$0

$0

$0

$0

$0

$0

$43, $40, $37, $82, $58, $52, 961 967 665 943 478 935

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

ation Total Longterm Assets Total Assets Liabilit ies and Capital Current Liabiliti es Accoun ts Payable Current Borrow ing Other Current Liabiliti es Subtot al Curren t Liabilit ies Longterm Liabiliti es Total Liabilit ies Paid-in Capital

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $11,0 $6,1 $46, $49, $36, $33, $58, $43, $40, $37, $82, $58, $52, 00 53 325 553 867 453 781 961 967 665 943 478 935 Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon Mon th th th th 1 th 2 th 3 th 4 th 5 th 6 th 7 th 8 th 9 10 11 12

$500

$16, $9,4 $1,1 $2,1 $13, $3,4 $4,8 $6,0 $24, $7,3 $9,1 $0 848 95 15 73 719 56 51 21 846 04 19

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$500

$16, $9,4 $1,1 $2,1 $13, $3,4 $4,8 $6,0 $24, $7,3 $9,1 $0 848 95 15 73 719 56 51 21 846 04 19

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$16, $9,4 $1,1 $2,1 $500 $0 848 95 15 73 $13,5 $13, $13, $13, $13, $13, 50 550 550 550 550 550

$13, $3,4 $4,8 $6,0 719 56 51 21 $13, $13, $13, $13, 550 550 550 550

$24, $7,3 $9,1 846 04 19 $13, $13, $13, 550 550 550

Retaine d Earning s Earning s Total Capital Total Liabilit ies and Capital Net Worth

($3,0 ($3,0 ($3,0 ($3,0 ($3,0 ($3,0 ($3,0 ($3,0 ($3,0 ($3,0 ($3,0 ($3,0 ($3,0 50) 50) 50) 50) 50) 50) 50) 50) 50) 50) 50) 50) 50) ($4,3 $18, $29, $25, $20, $34, $30, $25, $21, $47, $40, $33, $0 47) 977 558 253 780 563 006 617 144 597 674 317 $10,5 $6,1 $29, $40, $35, $31, $45, $40, $36, $31, $58, $51, $43, 00 53 477 058 753 280 063 506 117 644 097 174 817

$11,0 $6,1 $46, $49, $36, 00 53 325 553 867 $10,5 $6,1 $29, $40, $35, 00 53 477 058 753

$33, 453 $31, 280

$58, 781 $45, 063

$43, 961 $40, 506

$40, 967 $36, 117

$37, 665 $31, 644

$82, 943 $58, 097

$58, 478 $51, 174

$52, 935 $43, 817